Section 16 Maintenance of Funding of a State-Mandated Activity

• Library: Tax Law 2009

Article X, § 21, of the Missouri Constitution prohibits the state from “reducing the state financed proportion of the costs of any existing activity or service required of counties and other political subdivisions.” In Community Federal Savings & Loan Ass’n v. Director of Revenue, 752 S.W.2d 794, 800 (Mo. banc 1988), a group of savings and loan associations appealed a decision by the Administrative Hearing Commission denying their claim to a refund of taxes paid under a Missouri statute subsequently declared unconstitutional. Two school...