Voters defeated tax-cutting measure
Local government officials in Central Florida breathed a sigh of relief when a statewide ballot measure that could have cost them millions in property tax revenue fell just short of passing.
Amendment 1, which would have granted about 69 percent of homeowners in the region a tax break of about $250, received about 58 percent support, failing to reach the 60-percent threshold needed to pass. It was the only one of a dozen amendments not to win approval from voters.
Apopka Mayor Bryan Nelson said he was surprised by the result. He said the measure would have cost Orange County’s secondlargest city about $800,000 in tax revenue.
“Our whole thing about Amendment 1 was it was a tax shift,” Nelson said. “It’s pretty easy to understand it, I think that was the thing.”
The amendment would’ve added another $25,000 homestead exemption on homes with taxable values above $100,000, something opponents argued wouldn’t have helped about 75 percent of Floridians, including renters.
Had it passed, municipalities statewide would have lost about $752.7 million in the first year and losses could have ballooned to $816.8 million after the fifth year, according to the Florida Association of Counties.
Local government officials argued that had it passed, some might be forced to either raise the tax rate or cut some services in order to budgets.
However, with Florida’s economy booming and property values rising, some legislators argued it was only fair to give homeowners a break.
Florida House Speaker Richard Corcoran said earlier this year that “local governments have a spending problem” and homeowners deserved the additional homestead exemption, which would have been added to two other $25,000 exemptions balance their — one tacked onto the first $25,000 of a home’s value and a second applied to the portion of a home’s value from $50,000 to $75,000.
“We think ultimately the voters looked and recognized that you have to protect your local communities,” said Cragin Mosteller, director of external affairs for the Florida Association of Counties.
Seminole County Commissioner Lee Constantine said the result Tuesday was welcome news.
“I was very proud of the citizens of Florida for seeing through that sham that the Legislature tried to perpetuate,” said Constantine, a former state legislator.
Nelson said his city still would have been able to balance its budget but wouldn't have been able to increase services.
Of counties across Central Florida, only Lake voters exceeded the 60-percent mark, with 62 percent of voters giving it the green light. In Orange and Seminole counties, 54 percent of voters approved it.
In the build-up to the election, a political action committee called Floridians for Tax Fairness formed in hopes of stopping both Amendment 1 and 2.
Amendment 2 will permanently cap assessment increases on non-homesteaded properties at 10 percent. It received 66 percent of support from Florida voters.
“For us, yesterday’s [Tuesday’s] results were a mixed bag,” said Joe Pennisi, who formed the committee. “I think we were successful in having people understand the implications of 1, but were not as successful with having people understand the ramifications of Amendment 2.”