MO HB1394

Public library districts may impose a sales tax up to one-half of one cent per dollar of retail sales upon majority vote of the board of directors.

Tax adoption requires approval by majority vote of qualified voters at a state general, primary, or special election before becoming effective.

Tax revenue, minus one percent retained for collection costs, is deposited into a special "Public Library District Sales Tax Fund" for library operation and maintenance only.

Voters may repeal the tax through a ballot measure if a majority approves, becoming effective December 31st of that calendar year, or through petition signed by at least 10 percent of registered voters from the last gubernatorial election.

Upon tax repeal or termination, remaining funds continue to be used for designated library purposes with the director retaining two percent for one year to cover refunds and dishonored checks before remitting the balance to the district.