ST. LOUIS CITY ASSESSOR

Current law requires assessors in each county to be elected every four years, but exempts St. Louis City from such requirement. This act removes such exemption and requires the St. Louis City assessor to be elected every four years. (Section 53.010)

This provision is identical to a provision contained in HCS/SS/SCS/SB 570 (2020), HCS/SS#2/SCS/SB 594 (2020), and HCS/SCS/SB 725 (2020).

This section shall not become effective until the passage and approval of a constitutional amendment allowing all county assessors to be elected.

COMMERCIAL PROPERTY TAX ASSESSMENTS

In any county that adopts the provisions of this act, a building or structure that is used as commercial property that is newly constructed shall be assessed and taxed as of the first day of the month following the date of occupancy. Newly constructed commercial property that is not occupied shall not be assessed as improvements to property until it is occupied or until January 1 of the year following the completion of construction, whichever is earlier.

The assessor shall determine whether a property is occupied as described in the act.

If an assessment of property occurs under this act subsequent to the deadline to appeal such assessment, the property owner may appeal such assessment the following year and may pay such taxes under protest.

This act allows a property owner to apply to the assessor to remove any commercial real property improvements from the tax book if such commercial property has been destroyed or been rendered uninhabitable by a natural disaster. A political subdivision may revise its property tax levy to recover any lost revenue, provided the levy does not exceed the highest rate approved by voters. (Section 137.084)

This provision is identical to HB 2232 (2020).

PROPERTY TAX ASSESSMENTS

Current law provides that, in any charter county or in St. Louis City, if a valuation of residential real property is made by computer, computer-assisted method, or a computer program, the burden of proof shall be on the assessor at any hearing or appeal. This act modifies such provision to require the burden of proof to be on the assessor at any hearing or appeal in any charter county, first class county, and St. Louis City, regardless of whether a computer, computer-assisted method, or a computer program was used.

Current law requires assessors to conduct a physical inspection of a property prior to increasing the assessment of such property by more than 15%, excluding increases due to construction and improvements. This act requires such inspection prior to increasing an assessment by more than 10%, including increases due to construction and improvements. This act also modifies additional physical inspection requirements applicable only to St. Louis County by making such requirements applicable to the whole state. (Section 137.115)

This section shall not become effective until the passage and approval of a constitutional amendment authorizing a statutory limitation on increases in assessed valuations.

These provisions are identical to provisions contained in HCS/SS/SCS/SB 570 (2020) and HCS/SS/SCS/SB 594 (2020), and are similar to a provision contained in HCS/SB 676 (2020), HCS/SS#2/SB 704 (2020), and SB 579 (2020).

Current law requires taxpayers in first class counties to appeal assessed valuations to the board of equalization by the third Monday in June. This act changes such deadline to the second Monday in July. (Section 137.385)

This provision is identical to a provision contained in HCS/SS/SCS/SB 570 (2020), HCS/SS/SCS/SB 594 (2020), HCS/SB 676 (2020), and HCS/SCS/SB 725 (2020, and is similar to a provision contained in HCS/SS#2/SB 704 (2020).

For property assessment appeals to the boards of equalization in the City of St. Louis, St. Charles County, and St. Louis County, current law provides that the assessor shall have the burden to prove that the valuation does not exceed the true market value of the property. Additionally, if a physical inspection of a property is required for assessment, the assessor shall have the burden to prove that such inspection was performed. If the assessor fails to provide sufficient evidence that the inspection was performed, the property owner shall prevail on the appeal as a matter of law.

This act applies such provisions to appeals in all counties for appeals in which the subject property experienced an increase in assessed valuation of at least ten percent unless the increase is due to construction and improvements. (Section 138.060)

This provision is substantially similar to SB 655 (2020) and HB 2047 (2020), and to a provision contained in SB 579 (2020), HCS/SS/SCS/SB 594 (2020), HCS/SB 676 (2020), and HCS/SS#2/SB 704 (2020), and is similar to a provision contained in HCS/SS/SCS/SB 570 (2020), HCS/SCS/SB 725 (2020) and HB 1409 (2020).

HEALTHCARE INDUSTRY TAX RELIEF

This act authorizes the Department of Economic Development to enter into agreements with qualified companies to provide tax relief for such companies creating new jobs and making new capital investments in the state. Qualified companies are defined as certain entities registered to do business in Missouri and that are in certain health care related industries, as defined in the act.

A qualified company that completes an eligible project, defined as an expansion, improvement, or relocation into the state that results in at least ten new jobs and new capital investments of at least $100,000, may, for a 10 year period, receive the following tax relief: 1) retention of 100% of the withholding taxes from the new jobs created by the eligible project; 2) an exemption from state and local sales taxes for all purchases made related to the eligible project; 3) a cap on the qualified company's state income tax liability, equal to such company's state tax liability in the tax year immediately preceding the tax year in which the project period begins; and 4) if the eligible project is located in an area determined by the local taxing jurisdiction to be blighted, and if approved by the governing body of the local taxing jurisdiction, a complete or partial property tax abatement for improvements made to real property related to the eligible project.

A qualified company intending to receive benefits under this act shall submit a notice of intent to the Department. The Department shall respond to such notice of intent within thirty days with a proposal for benefits or a written response refusing such proposal. In evaluating the notice of intent, the Department shall consider the significance of the qualified company's need for program benefits and the amount of projected net fiscal benefit to the state of the project and the period in which the state would realize such net fiscal benefit, along with other factors as described in the act.

Upon approval of a notice of intent and issuance of a proposal of benefits, the Department and the qualified company shall enter into a written agreement covering the applicable project period. The agreement shall specify, at a minimum, the committed number of new jobs and new capital investment for each year during the project period, clawback provisions, financial guarantee provisions, and any other provisions the Department may require.

A qualified company receiving benefits shall provide an annual report to the Department. If the Department determines the qualified company fails to satisfy the provisions of the notice of intent, the qualified company shall not receive any benefits for the balance of the project period. Failure to timely file the annual report shall result in the recapture of withholding taxes retained by the qualified company during such year.

A qualified company shall not receive any benefits from any other program for the jobs and new capital investment for which the company receives benefits under this act.

No benefits shall be awarded to any project that commences on or after January 1, 2023. (Section 620.3700)

JOSH NORBERG