A proposal to drastically change property taxes will go before voters this November.
Under the plan, homeowners whose primary home has a taxable value of $150 thousand or less would pay property taxes only for schools starting next year. That value would go up to $250 thousand in 2028. After that, the new homestead exemption would increase with inflation each year.
The proposal is a product of plans put out by governor Ron DeSantis, and edited by lawmakers in committee on Monday.
Before the bill passed, Hialeah Gardens Republican Senator and bill sponsor Bryan Avila said local governments that depend on property taxes to provide services will need to rein in their spending.
“I think what this will force is local government officials to actually really do right by the residents and really truthfully do the right thing in terms of looking at their budgets and prioritizing their spending, just like we do in the state of Florida,” he said.
Property tax cuts have been widely opposed by Democrats, local governments of all party affiliations, and other advocacy groups. Opponents point to the almost $5 billion counties stand to lose in revenue once the exemption reaches $250 thousand.
During debate on the Senate floor, Orlando Democratic Senator LaVon Bracy Davis voiced the concerns of many local governments and Democratic officials, saying it will lead to significant revenue issues for local services.
“What services will be cut? Who really benefits? Who pays the bills when the money runs out? Because someone always pays the bill, and when the bill comes due, it won't be paid by Tallahassee, it will be paid by your city, your county, your neighborhood school, your library, your community,” she said.
Tallahassee Republican Senator Corey Simon, who represents 12 fiscally constrained rural counties, said on the floor that it will impact rural municipalities and several have voiced concerns to him, but he supports giving voters a choice.
“Taylor County is still digging out of the rubble of three hurricanes in 15 months. This is going to be painful if we don't come back and do the work that they've asked us to do, but first and foremost we have to give them a voice, and that's what this bill is about. It's about giving the public a voice,” he said.
Other criticisms include that it would consolidate more power in the state government. Rich Templin with the Florida AFL-CIO spoke against the measure while lawmaker discussed it in committee Monday.
“This is some real, ranking member Eskamani, Star Wars, Revenge of the Sith, like Empire taking over kind of thing happening right now, where the state is going to assume massive control over all 67 of our counties and all of our municipalities. That is not conservative, that is not small government, that is not Republican, that is nothing that the majority has ever stood for, and yet that's what's happening right now,” he said.
Florida is not the only state currently exploring property tax changes recently. Over a dozen states have considered eliminating or rolling back their property tax rates in recent years. But for this proposal to pass in Florida, it will need to get approval from 60 percent of state voters in November's general election.