Editorial | Tax protection is what’s needed
If you are hoping that the ’26 Legislative Session will bring actual tax relief to property owners, you are probably still waiting for the feds to send us all that promised $5,000 check to reflect the saving wrought by DOGE.
It’s not that various state reps have not been busy drafting proposed constitutional amendments to cut our non-school property taxes, if not eliminate them as per Gov. Ron DeSantis’ expressed goal.
They have, indeed, been busy with seven — seven! — such proposals on the table.
The introduced bills range from eliminating non-school property taxes for owner-occupied homes or those owned by older homeowners to various changes to Homestead exemptions amounts or caps on annual increases.
Worried about cuts to public safety?
Pshaw. Each House bill proposed would prohibit “counties and municipalities from reducing total funding for law enforcement” even as money from property taxes is, in theory, reduced.
Meanwhile, local governments — including the city of Cape Coral- have been equally busy, coming up with options of their own to replace “revenue” lost should property taxes be eliminated or reduced.
And maybe then some.
First, here are the proposals at the state level so far:
• HJR 201: Elimination of Non-school Property Tax for Homesteads
Proposes amendment to State Constitution to exempt homestead property from all ad valorem taxation other than school district levies.
• HJR 203: Phased Out Elimination of Non-school Property Tax for Homesteads
Proposes amendment to State Constitution to increase the exemption for homestead property from all ad valorem taxation other than school district levies annually for 10 years by a certain amount, to make homestead property exempt from all ad valorem taxation other than school district levies.
• HJR 205: Elimination of Non-School Property Tax for Homesteads for Persons Age 65 or Older
Proposes amendment to State Constitution to exempt homestead property from all levies other than school district levies for persons who have attained age 65.
• HJR 207: Assessed Home Value Homestead Exemption of Non-school Property Tax
Proposes amendment to State Constitution to add a homestead exemption for levies other than school levies equal to 25 percent of the remaining assessed value after applying existing exemptions.
• HJR 209: Property Insurance Relief Homestead Exemption of Non-school Property Tax
Proposes amendment to State Constitution to increase by $100,000 the exemption for homestead property from all ad valorem taxation other than school district levies for homestead properties that have property insurance.
• HJR 211: Accrued Save-Our-Homes Property Tax Benefit for Non-school Property Tax
Proposes amendment to State Constitution to increase the maximum value of the accrued Save-Our-Homes benefit which may be transferred to a new homestead for all levies other than school district levies.
• HJR 213: Modification of Limitations on Property Assessment Increases
Proposes amendment to State Constitution to modify limitations on assessment increases for both homestead and nonhomestead property.
And one more related bill, HB 215: Ad Valorum Taxation, which would require super-majority votes — a two-thirds vote of any county, municipal or independent district board — to increase millage rates.
Gov. DeSantis has pooh-poohed the legislative efforts, which we also are inclined to do.
Local governments’ first reaction has been to figure out how to recoup the money.
The go-to on that is new taxes or raising other taxes — including levies that don’t have the constitutional cap existing property taxes have thanks to Save Our Homes protections not only on the books but carved into the state’s bedrock governing document, its constitution,
We do not blame local government for looking ahead, Cape Coral officials among them, should two things happen: 1) One of the House bills passes muster and so there is a reduction or elimination of homestead taxable valuation and 2) no revenue to replace it is provided by the state.
Government operations require funding and the impact on the city’s budget could be significant, according to a report prepared by city staff.
At the city’s current millage rate of 5.1471 mills, city officials estimate the monetary loss would be $62,315,612, or 39.44% of the budgeted ad valorem revenue for Fiscal Year 2026.
Possible options, which Council plans to discuss at a special meeting shortly after the start of the new year?
— Raising the city’s Fire Assessment Cost Recovery from 81% to 100% of the cost of operations, which, using this year’s numbers, would be about $14,508,333 for FY 2026, or an increase from $64 million to $78.5 million. The assessment is a tax on property, though not a “property tax.”
— Adding another 3% to the city’s Public Service Tax- now at 7 % plus a 3% franchise fee — to go from the current $16 million to $22.9 million. That would be a collective 13% tax on electric bills.
— Increasing the millage rate. If you don’t fall into the “tax break” category approved — for example if you own a lot, a rental property or second home, or a commercial parcel — you’re going to pay more.
Probably a lot more in property taxes.
— Imposing a local sales tax of a half-cent to a cent and a half, if the state would allow it.
We believe you get the picture.
As we said in September when the state effort geared up — a tax is a tax is a tax.
What government gives with one hand, it tends to take away with the other and our fear — our very real fear — is eliminating or modifying a tax with constitutional protections and opening the door to the-skies-the-limit alternatives.
Think we’re exaggerating?
All of us who own property have our tax bills in hand.
How much did your bill go up due to the city of Cape Coral’s fire services “assessment,” originally designed to offset property taxes, not supplement them?
Call them assessments, call them what you will — let us repeat: A tax is a tax is a tax.
Any move to eliminate property taxes, or minimize them by raising the sales tax on the state level would be a tax shift, not a tax savings, unless the un-capped, exemption-less non-ad valorem component of Florida’s property tax bills are considered as part of the reform.
Property owners in Florida do not need our constitutional Save-Our-Homes protections and exemptions removed or modified, leaving long-time homeowners, disabled veterans, older property owners and more vulnerable to being “assessed” out of their homes.
Tax relief?
We’re for it.
We’re also for tax protection, a continued fail at the state level which has long allowed “assessments” and other end-runs around Florida’s constitutional millage cap.
We urge our state legislature to make protection priority one if it truly wants to tackle tax reform.
Breeze editorial