252 THE FISCAL PROBLEM IN MISSOURI 
are probably within the limits of variation found in the 
state.! School districts, A to G, are assumed to have taxable 
property the true value of which is $100,000 in each case. 
The assessed valuations, of course, vary with the assessment 
ratios. By applying a uniform rate of $0.20 to the assessed 
valuations, the local taxes column is obtained. District A, in 
which property is assessed at 70%, would levy local taxes 
amounting to $140, while at the other extreme district G 
would levy local taxes of only $80. The tax rate on true 
value in District A would be $0.14 per $100, while in district 
G it would only be’$0.08 per $100. Deducting the local taxes 
from $900, the last column in the table is obtained. This 
column clearly indicates that the amount of aid guaranteed 
increases as the assessment ratio decreases. On the basis of 
this table, it seems that the financial plan would place a 
premium upon a low ratio of assessed valuation to true value, 
and it is difficult to see how any result other than a tendency 
towards low valuations could be expected, unless a strong 
state tax commission were in charge of the assessment and 
equalization procedure. The tendency toward low assessed 
valuations, which might result from the adoption of the 
school program, would present a serious problem to those in 
charge of property tax administration, even though the 
present system were greatly improved. 
As another approach to the problem, Table 81 was com- 
piled, in order to ascertain if any relationship might exist 
between ratios of assessed valuation to sales value and the 
distribution of one-teacher districts according to the amount 
of aid guaranteed. Data for twenty counties, ten with high 
ratios and ten with low ratios, are included in the table. 
Counties in which large cities are located were not considered 
in compiling this table,” and the ratios, according to which 
the counties are grouped, are for rural property transfers 
only, the assumption being that in the counties chosen most 
of the one-teacher districts are rural schools. Of the districts 
receiving aid in the group I counties, for which the ratios are 
relatively very high, only 20.3%, would receive total state, 
county, and township aid of more than $600. On the other 
1 See Table 51, p. 174. 
* St. Louis County was also excluded Because it is not a typical rural county.