Missouri
Missouri Supreme Court reviews airport property tax deduction
Summary:
- Missouri Supreme Court heard arguments on constitutionality of airport property tax valuation statute.
- Case involves valuation of Marriott hotel at Kansas City International Airport.
- Platte County assessor argues statute creates special tax advantage for airport properties.
- Missouri State Tax Commission reduced hotel’s valuation from $13.45 million to about $6.14 million.
The Missouri Supreme Court heard arguments Feb. 10 in a case challenging how a hotel at Kansas City International Airport was valued for property tax purposes and whether a state statute allowing deductions for airport property improvements is constitutional.
The dispute centers on the valuation of the Marriott Hotel located at Kansas City International Airport and whether a provision in Section 137.115.1 of state law improperly reduces the taxable value of certain airport properties.
At issue is a challenge by the Platte County assessor and the Park Hill School District to a decision by the Missouri State Tax Commission that resulted in a lower valuation for the 2016 tax year.
The assessor was represented during arguments by Stephen E. Magers, an attorney for Platte County in Platte City; Grady Hotel Investments was represented by Peter A. Corsale of McCarthy, Leonard & Kaemmerer in Town & Country.
Magers argued the statute effectively creates a special class of property that receives favorable tax treatment.
“This case concerns a truly novel item of the Missouri statutes,” he said. “It stands alone as the only statute within the entirety of the Missouri framework that gives a certain set of taxpayers a tax advantage of having real property located within an airport receive a deduction for new construction and improvements.”
The property at issue is a Marriott hotel located on land owned by Kansas City within the boundaries of Kansas City International Airport. The city leases the land to a private operator.
In 2015, Grady Hotel Investments purchased the prior operator’s interest in the property for about $8.5 million. As part of the transaction, Grady entered into an amended lease and concession agreement with the city and committed to making capital improvements to repair and renovate the property.
For the 2016 tax year, the Platte County assessor valued Grady’s interest in the hotel at approximately $13.45 million. After the county board of equalization upheld that valuation, Grady appealed to the Missouri State Tax Commission.
The commission initially set the hotel’s assessed value at zero using the “bonus value” methodology for leasehold interests, but the Missouri Court of Appeals Western District later reversed that ruling and remanded the case. On remand, the commission ultimately determined the hotel’s “true value in money” was about $6.14 million. The commission reached that figure after deducting the value of personal property included in the purchase and approximately $1.2 million in costs paid toward new construction and improvements made after 2008, as permitted under Section 137.115.1.
Magers argued that the statute operates as an unconstitutional tax break for properties located within airport boundaries.
“At its core, what the statute does is create a special kind of property that receives a reduction to its value based on new construction and improvements spent toward such possessory interests in real property,” said Magers.
He also said the provision treats airport properties differently from other commercial properties.
“A homeowner doesn’t get a reduction to their value when they get a new roof on their property,” he said. “But for property that is located within an airport boundary that undertakes new construction or improvements, there is a deduction to that value that the statute mandates.”
Corsale countered that the statute does not create a tax exemption but instead establishes a permissible method for valuing certain types of property.
“To me the answer is no. This is a method of valuation,” he said, arguing that the Missouri Constitution gives the legislature authority to determine how property is valued for tax purposes.
Judge Mary R. Russell questioned whether the deduction could potentially reduce a property’s value to zero if improvements continue over time.
“But couldn’t it be, at some point, a perpetual exemption,” she said, noting the statute allows deductions regardless of when improvement costs were incurred.
Corsale said the improvements ultimately revert to the city when the lease ends.
“What we are dealing with is a private company improving public land that eventually reverts back to the public,” he said. “At the conclusion of the lease, the public gets the benefit of whatever money they put into this property.”
A Jackson County judge on Friday denied Missouri Attorney General Catherine Hanaway’s attempt to immediately stop Kansas City-based CBD American Shaman and several affiliated companies from selling kratom products.
The motion for a temporary restraining order, which was filed alongside the Missouri Department of Health and Senior Services, took particular aim at the more potent 7-OH products, which Hanaway argues are “hazardous opioids” banned by state and federal law.
Jackson County Circuit Judge Charles McKenzie’s ruling Friday stated there are “competing affidavits” from experts on both sides of the argument, following a hearing on the motion earlier this week.
“The court cannot find, based on the oral argument of the parties, the respective competing affidavits presented and the pleadings, whether the plaintiff is likely to succeed on the merits at this juncture in the proceedings in order for the court to grant relief in the form of a temporary restraining order,” McKenzie’s order states.
Hanaway’s argument was backed by sworn statements from an undercover narcotics officer with the highway patrol who said 7-OH is being used to cut fentanyl and a woman whose brother died from a kratom overdose.
Her office also submitted an FDA report that points to 7-OH as “a potent opioid that poses an emerging public health threat” and states health data showing synthetic 7-OH was involved in at least 197 Missouri deaths.
American Shaman submitted statements of its own from five toxicology and addiction experts, who largely said there wasn’t enough evidence to show that 7-OH and kratom posed a public health risk. One who researched narcotics said she had never heard of 7-OH being used to cut fentanyl.
Company owner Vince Sanders’ statement detailed how he came up with the idea to create 7-OH products, which now have an “enormous” demand, particularly among people who need pain management.
Sanders could not be reached for comment about the ruling on Friday.
McKenzie denied a temporary restraining order “without prejudice,” meaning that he would like to see more evidence.
“It is because of this finding that the court determines it necessary to hold an additional hearing,” he wrote, “where it can consider the parties’ respective positions with the potential of testimonial evidence and other properly introduced evidence, all as more fully developed by the parties, in order to further analyze these issues.”
The judge will consider “other injunctive relief sought in the pleadings at a future hearing to consider the issues,” the order states.
Hanaway filed a similar lawsuit Thursday against Relax Relief Rejuvenate Trading LLC, and its owners Dustin Robinson and Ajaykumar Patel.
The group received a warning letter from the FDA for producing 7-OH products last year, similar to one received by Shaman Botanicals.
“This is another step in our ongoing crackdown on kratom manufacturers who flout the law and try to justify endangering Missourians in the name of profit,” Hanaway said in a press release Thursday.
“Our mission is to safeguard Missourians from unregulated and addictive substances, and we will continue to pursue every legal tool available to protect public health and safety.”
The Missouri Lottery offers several draw games for those aiming to win big.
Here’s a look at May 10, 2026, results for each game:
Winning Pick 3 numbers from May 10 drawing
Midday: 7-2-5
Midday Wild: 7
Evening: 9-6-8
Evening Wild: 7
Check Pick 3 payouts and previous drawings here.
Winning Pick 4 numbers from May 10 drawing
Midday: 7-1-9-9
Midday Wild: 1
Evening: 6-9-8-9
Evening Wild: 2
Check Pick 4 payouts and previous drawings here.
Winning Cash Pop numbers from May 10 drawing
Early Bird: 02
Morning: 11
Matinee: 10
Prime Time: 12
Night Owl: 11
Check Cash Pop payouts and previous drawings here.
Winning Show Me Cash numbers from May 10 drawing
09-18-23-31-39
Check Show Me Cash payouts and previous drawings here.
Feeling lucky? Explore the latest lottery news & results
Are you a winner? Here’s how to claim your lottery prize
All Missouri Lottery retailers can redeem prizes up to $600. For prizes over $600, winners have the option to submit their claim by mail or in person at one of Missouri Lottery’s regional offices, by appointment only.
To claim by mail, complete a Missouri Lottery winner claim form, sign your winning ticket, and include a copy of your government-issued photo ID along with a completed IRS Form W-9. Ensure your name, address, telephone number and signature are on the back of your ticket. Claims should be mailed to:
Ticket Redemption
Missouri Lottery
P.O. Box 7777
Jefferson City, MO 65102-7777
For in-person claims, visit the Missouri Lottery Headquarters in Jefferson City or one of the regional offices in Kansas City, Springfield or St. Louis. Be sure to call ahead to verify hours and check if an appointment is required.
For additional instructions or to download the claim form, visit the Missouri Lottery prize claim page.
When are the Missouri Lottery drawings held?
- Powerball: 9:59 p.m. Monday, Wednesday and Saturday.
- Mega Millions: 10 p.m. Tuesday and Friday.
- Pick 3: 12:45 p.m. (Midday) and 8:59 p.m. (Evening) daily.
- Pick 4: 12:45 p.m. (Midday) and 8:59 p.m. (Evening) daily.
- Cash4Life: 8 p.m. daily.
- Cash Pop: 8 a.m. (Early Bird), 11 a.m. (Late Morning), 3 p.m. (Matinee), 7 p.m. (Prime Time) and 11 p.m. (Night Owl) daily.
- Show Me Cash: 8:59 p.m. daily.
- Lotto: 8:59 p.m. Wednesday and Saturday.
- Powerball Double Play: 9:59 p.m. Monday, Wednesday and Saturday.
This results page was generated automatically using information from TinBu and a template written and reviewed by a Missouri editor. You can send feedback using this form.
BURLINGTON JUNCTION, Mo. (KCTV) – A head-on collision on Highway 71 killed 3 people and seriously injured a 4th, according to the Missouri State Highway Patrol.
State Troopers say the crash happened around 1:25 p.m. on Saturday, May 9, near the intersection of Highway 71 and 170th St. – about a mile and a half north of Burlington Junction.
Investigators say a 2026 Chevrolet Equinox, driven by a 59-year-old woman from Carthage, Texas, was heading north on the highway when it crossed the centerline.
The Chevrolet struck a southbound 2026 Ford Explorer head-on, according to MSHP. Both vehicles caught fire and came to rest in the southbound lane.
State Troopers note that the crash killed the Texas driver, a 67-year-old woman from Harlan, Iowa and a 76-year-old woman from Rockwell City, Iowa.
The Ford’s driver – a 72-year-old man from Rockwell City – was airlifted to Bryan West Medical Center in Lincoln, Nebraska, with serious injuries, according to first responders.
Troopers say all four people involved were wearing seatbelts at the time of the crash.
The cause of the collision remains under investigation.
Copyright 2026 KCTV. All rights reserved.
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