Property tax reform. The state of Florida has given the voters an opportunity to decide on less government when they go to the polls in November. A yes vote will raise the homestead exemption from $50,000 to $150,000 in year one, and $250,000 in year two. It will also force local governments to tighten their belts.
What does all this mean? Local municipalities in Southwest Florida are trying to figure it out just as they workshop their budgets for fiscal 2027 that begins on October 1st. In addition to the homestead exemption changes, lawmakers in Tallahassee have also put limitations on what local municipalities can spend ad valorem taxes on.
There has always been this tension between Tallahassee and local elected officials. Many House and Senate members believe local municipalities over tax and over regulate their residents. Local elected officials say they have the pulse on what their residents want and need and how much they are willing to spend. As an example, one Tallahassee lawmaker told us yesterday, “Lee County will be fine. They’ve been spending like drunken sailors for years.”
As local elected officials dig into the details of the legislation and try to educate their constituents on how much revenue will be lost if this passes, they are also trying to be careful not to come across using scare tactics. That will be the trick here. And, if they are able to show voters millions of dollars worth of savings in their budget to prepare for this legislation passing, what happens if it fails? Do they continue forward with those cuts?
On Thursday, after Cape Coral’s City Manager told the City Council they would no longer be able to fund parks and recreation facilities, we reached out to 3 Lee County Commissioners to ask them if that was true. We received 3 different answers.
We then reached out to House Rep. Adam Botana for clarification. Here’s what he said: “If the voters decide to approve the amendment in November by 60% of the vote, then yes, ad valorem revenue would not be able to be used for parks and recreation.”
We then asked Botana what local municipalities were able to use their ad valorem revenue for.
“Provide for public safety, including law enforcement, fire service, and emergency medical service, Provide funding for education and public schools, finance or refinance infrastructure, including expenditures on road and bridge construction and maintenance and stormwater control, to Finance or refinance natural resource projects, including flood control measures, to Issue local bonds for uses consistent with the approved uses above, and to make debt service payments for existing obligations, meet obligations for retirement benefits of local government employees, fund the operations and administration of county officers and commissioners established under Article VIII of the Florida Constitution and municipalities, and the expenditures approved by such county officers or county or municipal governing bodies, except those expenditures prohibited by general law.”
Now it’s up to the voters to decide.
Not sure how parks are not considered infrastructure!
Send Nick Shirley down to Florida. I’m sure he could uncover enough fraud to cover property taxes and then some. And Carol? Your answer is to screw the tourists? You don’t have a clue how much money tourists generate. How bout screw the politicians pensions and 401k’s. Make them save like the rest of us.
Excellent answer, why should they be any different, if you continue giving them more & more then they’ll never feel the pain & struggle every average family experiences .
Unbelievable how so many public “servants” are speaking out against this with warnings and threats of service cuts while never talking about finding efficiency gains or cutting fat. FMB has lots of options…..Bay Oaks, Mound House and headcount rationalization could be a start.
You can’t find that many gains. There is not that much waste. Let me take 60% of your money away. You’ll be cutting your own lawn and cleaning your pool as you will layoff those two people. Go to a budget meeting this june\july, you’ll see
60%? You need to check your facts on the impact of this.
Wonderful news, that vote will be an absolute yes! Time for local governments to be more contentious with taxpayer dollars. Don’t waste your time on “scary tactics” saying there will be no funding for this or that, it won’t work. HAhaha
First question: You spoke with 3 commissioners. Which ones?
Next: you got 3 different answers. What did each say, with identities?
Kast: the other commissioners, qwre they not asked? Not reached? Or could they just not be bothered to respond?
Inquiring minds want to know as this may impact our votes in many ways.
I’m originally from Illinois and I don’t want Florida to end up like that state financial situation. The more money the government gets the more they will spend. A lot of people won’t want to hear this but the number one problem is defined pension programs for example a teacher in Illinois retired 10 years ago making $85,000 right now his yearly pensions 110,000 and may live to 95. The program was OK when the life expectancy was a lot lower.Florida must changes to 401(k)’s like the rest of the workers in America have to live with. Also, how many government employees switched to another job and get two or three pensions?
Yeah! Cuz only top execs and overpaid CEOs should enjoy a comfortable retirement. There is money for everyone. Everyone. Not just the money hoarders
I’m sure if you were the one that worked their ass off to have a comfortable life when you retired you wouldn’t be saying this crap!!! Keep living in your crappy liberal state and Florida alone.
Ultimately, I believe that this will come down to a compromise: somewhere between $150K and $250K in two years. However, I do agree with Carol, how much of this narrative and the corresponding arguments against the increase are scare tactics? It is not how much money you have but how wisely and judiciously it is spent.
In addition, FMB should be more open to discussions and compromise with the RE developers who will bring-in more tax dollars.
Finally a bill to help hard working homeowners amidst a surge in taxes and insurance premiums and so many are against it. The towns and cities will have to budget our tax dollars better which is a win for everyone! Vote Yes !! 💯
As a single man without children, this is the first tax cut that would potentially help me and others alike. It will also help first time homebuyers and the housing market in general. Vote YES ! 💯
Adam is in it for himself and his handlers. Crooked as it gets., with a smile on his face. Vote NO!
The bill was so rushed that even politicians cant agree whether parks and rec spending is banned or included in government operations. Hopefully things will be clarified. Fire and the two schools comprise 68% of my 2025 tax bill. then there are the constitutional officers that will still be funded.
I’m not sure I understand why government is making this sound like such an issue. Two questions: 1) How many properties are worth $250K to be totally worth zero taxes? 2) Of those properties, how many are not snowbirds that can actually fully take advantage of this? Does this really impact many property owners or governments bottom line? Another scare tactic? Maybe manage your budgets better like the residents have to. Finally, tax tourist and vacation rentals more. We recently went to Key West and the taxes on our rental were more than the nightly rate. We still went. Tourist are still going to come here.
It won’t be zero taxes; even properties assessed at or below $250k will still pay school taxes.
The FL League of Cities has a great chart on their website, showing by city/town how many properties are homesteaded (FMB is 1,834) along with the potential impacts if this passes in November.
I guess municipalities will have to use other income (fees and such) to fund their parks and recs if this passes. Since Newton Park is for Education does that count? FMB with a sales tax? Are beach accesses a safety measure or environmentally necessary? Does make you think.