Concerns arise as Florida lawmakers consider raising homestead exemption to $250K
LEE COUNTY, Fla. —
Florida lawmakers are considering raising the homestead exemption to $250,000, a move that could eliminate property taxes for homeowners whose properties are valued at $250,000 or less and are occupied full-time, while raising concerns about funding for cities, counties, and essential services.
“If we’re all tax-exempt and no longer pay, that leaves no money on the table for services we all depend on. The question now is, where does the money come from?” Gulf Coast News Chief Political Reporter Dave Elias said.
Taxpayer Maryann Almeida shared her concerns about the proposal.
“I don’t know, there is a lot in question over this,” Almeida said.
Barry Jenkins, another homeowner, expressed support for the exemption.
“It would be a great help budget-wise for me, especially,” Jenkins said.
Lee County Property Appraiser Matt Caldwell suggested a slower implementation of the exemption.
“I think it would make a lot more sense to phase it in over, say, the next decade,” Caldwell said.
When asked about the potential loss in tax collections, Caldwell said, “These estimates are between 20 and 25% of the taxable value in the county, and the school district and the cities will be lost in the result of that.”
Gov. Ron DeSantis defended the proposal, saying, “I don’t like this idea of governments losing revenue. It’s not their money. It’s your money. The government is not taking as much. You’re getting constitutional protection for your property. That’s a good thing.”
Democrats voiced concerns about the proposal’s impact on renters.
“It isn’t going to give any relief to renters. It’s going to shift more of a cost burden onto them,” said State Rep. Fentrice Driskell.
Caldwell warned that landlords could pass higher costs onto renters.
“If the landlord has higher costs, in this case, it might be 30 to 40% higher costs; they’re going to pass that through,” Caldwell said.
He also noted that cities might charge significantly more for services like garbage collection, fire protection, and public safety.
“Ultimately, voters get to decide what services they want to pay for,” Caldwell said.
Lawmakers are continuing to work on the final plan, which is expected to be presented to taxpayers for a vote in November.
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