MO HB2228

Authorizes cities of the fourth classification with 2,700-2,800 inhabitants in third classification counties (without township government) with 41,100-41,200 inhabitants to impose a transient guest tax on hotel and motel sleeping rooms.

Tax rate capped at 5 percent per occupied room per night, imposed solely for economic development initiatives and stated separately from other charges and taxes.

Tax becomes effective only upon voter approval at a state general, primary, or special election, taking effect the first day of the second calendar quarter following the election.

All tax revenue collected by the city collector of revenue shall be deposited in a special trust fund and used exclusively for designated economic development purposes, with any interest earnings credited to the fund.

Tax may be repealed by voter approval at any city election or by petition signed by at least 10 percent of registered voters from the last gubernatorial election, with repeal effective December 31st of the approval year.