Missouri State Senate

Conference Committee Substitute

CCS/HCS/SB 221 - This act modifies provisions relating to annexations and sales taxes in St. Louis County.

ST. LOUIS COUNTY SALES TAX POOL - 66.620

Currently, the revenues from a 1% sales tax in St. Louis County are distributed to unincorporated areas of the county as well as municipalities based on a formula. What are commonly called "Group B" entities pool their revenue from the tax. After a diversion to account for incorporation of previously unincorporated areas, revenues are generally split amongst the municipalities and unincorporated areas of the county in Group B by population, regardless of where the tax was collected. This act requires that beginning January 1, 2016, municipalities in Group B receive at least a certain percentage of the tax revenue generated in such municipality. The percentage will be 40% in the first year, 45% in the second year, and 50% thereafter. However, such new formula shall not apply in any year where the total amount of sales taxes collected in the county is less than the amount collected in 2014.

This provision is similar to HCS/HB 812 (2015), HCS/HB 1067 (2015), and SB 379 (2015).

ANNEXATIONS - 72.150 & 72.401

This act allows municipalities in first or second class counties with intergovernmental agreements to consolidate if they are less than one mile apart and are connected by at least two public maintained right of ways.

This provision is substantially similar to a provision of HCS/SCS/SB 315 (2015) and is identical to a provision of HCS/SB 364 (2015).

This act exempts annexations by municipalities that provide water and sanitary sewer service from review requirements of the St. Louis Boundary Commission. This act also specifies that such annexations are not prohibited by the existence of an established unincorporated area. This provision is identical to the truly agreed to and finally passed HB 511 (2015), the truly agreed to and finally passed but vetoed HB 1553 (2014), HCS/SCS/SB 824 (2014), HCS/HB 1667 (2014), HCS/HB 2112 (2014), and HCS/SCS/SB 854 (2014).

LAW ENFORCEMENT SALES TAX - 94.860

This act allows St. Louis County, upon approval by the county's voters, to impose a sales tax of up to one-half of one percent on all retail sales in unincorporated areas of the county for the purpose of providing law enforcement services to the county. The sales tax must be deposited into the "County Law Enforcement Sales Tax Trust Fund". One percent of the money collected must be deposited in the state's general revenue for the cost of collection. This act provides procedures in the case of overpayment and abolishment of the tax.

This provision is identical to a provision in HCS/HB 812 (2015) and HCS/SS/SCS/SB 115 (2015).

MEGHAN LUECKE & Mike Hammann

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