The Three-Legged Stool of Taxes with David Stokes

State and Local Government |
By Susan Pendergrass and David Stokes | Read Time 1 min

Susan Pendergrass speaks with David Stokes, Director of Municipal Policy at the Show-Me Institute, about A Free-Market Guide for Missouri Cities, Towns, and Villages, Part Two: Taxation. They discuss Missouri’s over-reliance on sales taxes and harmful local income taxes, particularly in St. Louis and Kansas City. Stokes emphasizes the need for a “three-legged stool” approach to municipal funding, where sales taxes, property taxes, and user fees work together to create a more stable and sustainable financial system for Missouri’s municipalities.

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Timestamps

00:00 Introduction to Municipal Policy Expertise
02:52 Understanding Municipal Policy and Governance
06:12 Local Taxation: Sources and Implications
09:03 The Role of User Fees in Municipal Finance
12:10 Sales Tax Dynamics and Special Taxing Districts
14:47 The Impact of Tax Incentives on Local Development
17:54 Challenges of Property and Personal Property Taxes
20:58 Sales Tax Pooling: A Unique Approach
24:08 Conclusion and Future Directions in Municipal Policy

Produced by Show-Me Opportunity

Susan Pendergrass

About the Author

Before joining the Show-Me Institute, Susan Pendergrass was Vice President of Research and Evaluation for the National Alliance for Public Charter Schools, where she oversaw data collection and analysis and carried out a rigorous research program. Susan earned a Bachelor of Science degree in Business, with a concentration in Finance, at the University of Colorado in 1983. She earned her Masters in Business Administration at George Washington University, with a concentration in Finance (1992) and a doctorate in public policy from George Mason University, with a concentration in social policy (2002). Susan began researching charter schools with her dissertation on the competitive effects of Massachusetts charter schools. Since then, she has conducted numerous studies on the fiscal impact of school choice legislation. Susan has also taught quantitative methods courses at the Paul H. Nitze School for Advanced International Studies, at Johns Hopkins University, and at the School of Public Policy at George Mason University. Prior to coming to the National Alliance, Susan was a senior policy advisor at the U.S. Department of Education during the Bush administration and a senior research scientist at the National Center for Education Statistics during the Obama administration.
David Stokes

About the Author

David Stokes is a St. Louis native and a graduate of Saint Louis University High School and Fairfield (Conn.) University. He spent six years as a political aide at the St. Louis County Council before joining the Show-Me Institute in 2007. Stokes was a policy analyst at the Show-Me Institute from 2007 to 2016. From 2016 through 2020 he was Executive Director of Great Rivers Habitat Alliance, where he led efforts to oppose harmful floodplain developments done with abusive tax subsidies. Stokes rejoined the Institute in early 2021 as the Director of Municipal Policy. He is a past president of the University City Library Board. He served on the St. Louis County 2010 Council Redistricting Commission and was the 2012 representative to the Electoral College from Missouri’s First Congressional District. He lives in University City with his wife and their three children.

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