135.963. Improvements exempt, when--authorizing resolution, contents--public hearing required, notice--certain property exempt from ad valorem taxes, duration--time period--property affected--assessor
Improvements exempt, when--authorizing resolution, contents--publichearing required, notice--certain property exempt from ad valoremtaxes, duration--time period--property affected--assessor'sduties.
135.963. 1. Improvements made to real property as such term is definedin section 137.010, RSMo, which are made in an enhanced enterprise zonesubsequent to the date such zone or expansion thereto was designated, may,upon approval of an authorizing resolution by the governing authority havingjurisdiction of the area in which the improvements are made, be exempt, inwhole or in part, from assessment and payment of ad valorem taxes of one ormore affected political subdivisions. In addition to enhanced businessenterprises, a speculative industrial or warehouse building constructed by apublic entity or a private entity if the land is leased by a public entity maybe subject to such exemption.
2. Such authorizing resolution shall specify the percent of theexemption to be granted, the duration of the exemption to be granted, and thepolitical subdivisions to which such exemption is to apply and any otherterms, conditions, or stipulations otherwise required. A copy of theresolution shall be provided to the director within thirty calendar daysfollowing adoption of the resolution by the governing authority.
3. No exemption shall be granted until the governing authority holds apublic hearing for the purpose of obtaining the opinions and suggestions ofresidents of political subdivisions to be affected by the exemption fromproperty taxes. The governing authority shall send, by certified mail, anotice of such hearing to each political subdivision in the area to beaffected and shall publish notice of such hearing in a newspaper of generalcirculation in the area to be affected by the exemption at least twenty daysprior to the hearing but not more than thirty days prior to the hearing. Suchnotice shall state the time, location, date, and purpose of the hearing.
4. Notwithstanding subsection 1 of this section, at least one-half ofthe ad valorem taxes otherwise imposed on subsequent improvements to realproperty located in an enhanced enterprise zone of enhanced businessenterprises or speculative industrial or warehouse buildings as indicated insubsection 1 of this section shall become and remain exempt from assessmentand payment of ad valorem taxes of any political subdivision of this state ormunicipality thereof for a period of not less than ten years following thedate such improvements were assessed, provided the improved properties areused for enhanced business enterprises. The exemption for speculativebuildings is subject to the approval of the governing authority for a periodnot to exceed two years if the building is owned by a private entity and fiveyears if the building is owned or ground leased by a public entity. Thisshall not preclude the building receiving an exemption for the remaining timeperiod established by the governing authority if it was occupied by anenhanced business enterprise. The two- and five-year time periods indicatedfor speculative buildings shall not be an addition to the local abatement timeperiod for such facility.
5. No exemption shall be granted for a period more than twenty-fiveyears following the date on which the original enhanced enterprise zone wasdesignated by the department.
6. The provisions of subsection 1 of this section shall not apply toimprovements made to real property begun prior to August 28, 2004.
7. The abatement referred to in this section shall not relieve theassessor or other responsible official from ascertaining the amount of theequalized assessed value of all taxable property annually as required bysection 99.855, 99.957, or 99.1042, RSMo, and shall not have the effect ofreducing the payments in lieu of taxes referred to in subdivision (2) ofsubsection 1 of section 99.845, RSMo, subdivision (2) of subsection 3 ofsection 99.957, RSMo, or subdivision (2) of subsection 3 of section 99.1042,RSMo, unless such reduction is set forth in the plan approved by the governingbody of the municipality pursuant to subdivision (1) of subsection 1 ofsection 99.820, section 99.942, or section 99.1027, RSMo.
(L. 2004 S.B. 1155 § 135.1065, A.L. 2007 1st Ex. Sess. H.B. 1)Effective 11-28-07