Introduced

SB 832 - This act prohibits the use of tax increment financing for projects located in flood plains except for river front development projects. The act defines the term "Greenfield" and prohibits use of tax increment financing for greenfield development. Residential TIF projects are prohibited for the development of vacant land.

Two additional members are added to Tax Increment Finance Commissions. These additional members will represent affected taxing districts other than the municipality or the school boards. The act prohibits certain members of the Tax Increment Finance Commission from being employees of the municipality.

If a tax increment finance commission rejects a proposed tax increment finance project, the governing body must either:

(1) Place the project before the registered voters of the municipality for approval; or

(2) Approve the project by a super majority vote of the governing body and allocate one hundred percent of the economic activity taxes to the special allocation fund.

The act allows for referendum petitions relating to tax increment financing projects in any municipality within the state. Such a petition must be signed by a number of voters equal to at least fifteen percent of the votes cast for all registered voters for the last preceding election.

In order for a municipality to receive "Super TIF" funds, the municipality must allocate one hundred percent of economic activity taxes to the special allocation fund.

The act prohibits voter approved tax increases or levies which are approved subsequent to the adoption of an ordinance approving a redevelopment plan from being captured as economic activity taxes by such project. Municipalities are prohibited from conferring eminent domain power to other entities when a project utilizes both tax increment financing and chapter 353 incentives.

The act creates penalties for the failure of a municipality to report to the Department of Economic Development with regard to tax increment finance projects. A municipality will be subject to a fine of ten dollars a day for everyday of noncompliance. Such fines will be placed into the Missouri Supplemental Tax Increment Finance Fund.

JASON ZAMKUS


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