(The Center Square) – Republican Missouri Attorney General Andrew Bailey is suing Jackson County officials for illegal taxation the day after Republican Auditor Scott Fitzpatrick revealed county residents “were victims of a flawed an inadequate assessment process.”
Bailey and Missouri’s State Tax Commission filed a 39-page, 13-count complaint against Jackson County, its legislature, Executive Frank White, Assessor Gail McCann Beatty, the Jackson County Board of Equalization and Tyler Technologies in Jackson County Circuit Court. Four counts are against Tyler Technologies, a vendor based in Plano, Texas, specializing in software and services to governments.
However, a media release from Bailey noted “affected Jackson County residents should pay their taxes due Dec. 31 under protest and then plan to pursue remedies available to them by law.”
Also on Tuesday, the Missouri Supreme Court ruled in favor of Jackson County and Tyler Technologies in separate cases regarding the 2023 property tax assessment process.
In a 7-0 decision, the Supreme Court dismissed claims in a class-action suit against Tyler Technologies, stating it was the assessor’s duty to properly assess property taxes, not the company. In a separate 7-0 decision, the Supreme Court dismissed a class action lawsuit against Jackson County over the 2023 property tax assessment. Chief Justice Mary R. Russell wrote in her ruling that taxpayers should have appealed to the Board of Equalization or the State Tax Commission instead of filing a lawsuit in the circuit court.
Bailey alleges the defendants violated the Missouri Merchandising Practices Act, which prohibits deception, fraud, false pretense or promise, misrepresentation, unfair practice or the concealment, suppression or omission of any facts in connection with transactions made in the state.
The lawsuit states Jackson County signed a contract worth approximately $17.9 million with Tyler Technologies to perform appraisal and reassessment services for the 2023 assessment of real estate in the county. The lawsuit alleges the county’s assessments were illegal and resulted in an average increase of 30% in real property values.
“Many Jackson County real property owners received increases in excess of 100%,” the complaint said. “There are … property owners that face an unexpected tax burden increase in excess of $1,000, or hundreds of dollars a month more for 2023 than in 2022.”
The four counts against Tyler Technologies allege false promise, misrepresentation, unfair practices and negligence.
“It was foreseeable that Jackson County real property owners would be harmed by Defendant Tyler Technologies breaching its duty,” the lawsuit claims. “Due to this breach, Jackson County real property owners have suffered and will suffer harm, including economic harm in the form of increased tax burdens, losing tenants, and having to expend extra spend time and other resources accounting for uncertain tax burdens and in navigating a dysfunctional administrative review process.”
The lawsuit requests all increases in assessed value of property to be voided and to stop county officials from collecting or levying any property taxes based on an increase in assessed value. It seeks civil penalties and restitution from Tyler Technologies.