Audrain County has joined four other counties in suing the State Tax Commission concerning increasing property assessments.

The suit was filed Aug. 25 in Polk County. Other counties in the lawsuit are DeKalb, Pike, Polk and Reynolds.

Gregory K. Allsberry, chief counsel for the State Tax Commission of Missouri, said in an email that the tax commission could not comment because the tax commission has not officially been served with a petition, so officials have not evaluated the statements and allegations that may be contained in it.

The lawsuit said the issues raised by petitioners arise out of the tax commission’s actions in requiring assessors to execute memorandums of understanding, withholding reimbursement funds from counties that attempt to compromise or negotiate the MOUs or fail to execute the MOU, requiring boards of equalization to extend their statutory appeals period past the July 31 deadline and issuing equalization orders requiring the counties to increase assessment amounts in an arbitrary and capricious manner, “all in excess of the Commission’s statutory authority.” 

The lawsuit also alleges that the tax commission has not provided notice of the intention to raise assessed valuations in counties and the tax commission has not held public hearings related to the increase in assessed valuations by the commission. 

“In the past few years, the market value of real property has been unpredictable and volatile,” the lawsuit stated. “Near the end of 2024 and Spring of 2025, the Commission sent the Counties Memorandums of Understanding if the assessed property value was not within 90-110% of the market value of the property.” 

Audrain County officials refused to sign the MOU to raise residential property assessments between 12-15%, but state officials later asked for 15% when the county agreed to 12%, Audrain County Presiding Commissioner Alan Winders said, adding the caveat that the tax commission wanted the county to increase assessments on land and improvements.

“We agreed, through the assessor, to increase assessments on residential land across the board but not improvements, and there’s a pretty big difference in those,” he said.

Officials in Pike, Polk and Reynolds also did not sign the MOUs to raise residential assessments between 12-15%. DeKalb officials refused to sign an MOU for commercial assessments, the lawsuit stated.

“The increases proposed by the Commission contemplated increases of 12-15% on residential assessments and are arbitrary and not based on accurate data and if imposed will have an unequal and discriminatory impact on taxpayers within the respective Counties and will negatively impact taxpayers’ abilities to stay in their homes,” the lawsuit stated.  

In an interview with the Ledger, Winders said the tax commission’s actions are not fair to county residents.

“We didn’t do what they wanted us to do, so they’re withholding payment to us,” Winders said, adding that’s part of the lawsuit as well. County officials question the methodology.

“Doing across the board increases does not make things more equitable," he said. 

Because Audrain County officials did not sign the MOU, the tax commission withheld $51,275.40 in tax reimbursements to the county. 

Winders was not sure how long the litigation period would last.