MO HB2404

Repeals and replaces section 67.1305 regarding economic development sales taxes in Missouri cities and counties.

Allows cities and counties to impose a sales tax of up to one-half of one percent on retail sales for economic development purposes, subject to voter approval.

Creates a special exception for cities of the third classification with more than 10,800 but fewer than 10,900 inhabitants located in more than one county, allowing resubmission of a defeated proposal as early as 90 days after the first rejection (instead of the standard 12-month waiting period).

Requires at least 20 percent of tax revenue to be used for long-term economic development preparation projects including land acquisition, infrastructure, and water/wastewater improvements.

Establishes an economic development tax board to oversee spending and requires annual reporting to the joint committee on economic development categorizing expenditures by type.