House looks to clamp down on local taxes


A wide-ranging bill that would rein in local governments’ ability to increase taxes narrowly passed the House Ways & Means Committee on Wednesday.

The committee approved the measure (PCB WMC 17-02) on a nearly party-line vote, 9-7, with Rep. Kathleen Peters, R-Treasure Island, joining all the committee Democrats in opposing the measure.

The bill would require local governments, except for school boards, to spend down money saved in some special funds before approving increases in property taxes.

“When you’re sitting down to do your budget for the next year and deciding what tax rate you need to levy, if your cash position as a local government is such that you could make the choice to spend the money you have in the bank instead of raising taxes, that is the choice we would like to see you do as a result of this bill,” said Rep. Matt Caldwell, a North Fort Myers Republican handling the legislation.

The proposal would also restrict cities and counties from passing local option taxes if they have approved property-tax increases within the last three years. An increase in sales taxes for school construction would have to pass a school board with a four-fifths supermajority.

And the measure would require any local referendums raising taxes to gain 60 percent of the vote to pass. Such questions also would have to go before voters during general elections. Voters would also have to approve any moves by local governments to take on debt longer than five years.

Critics contended the legislation was confusing and too restrictive on local governments.

Amber Hughes, a lobbyist for the Florida League of Cities, said different accounting methods among local governments might make it difficult to figure out the meaning of certain terms in the bill — like the excess fund balances that the legislation targets.

“When I send (a message) out to my finance officers and say, ‘Do you meet these thresholds?’ and they say, ‘We have no idea; we don’t even know how to calculate it’ — that’s concerning to me,” Hughes said.

Others zeroed in on the bill’s mandate that a supermajority of voters approve tax referendums.

“To start imposing 60 percent requirements to get anything done, I just think is anti-democratic,” said Rep. Joseph Geller, D-Aventura.

The bill comes amid a debate at the Capitol about the proper role of local governments. A measure that would severely restrict the authority of local governments to pass business regulations (HB 17) has already been approved by one of its two House committees.


1 thought on “House looks to clamp down on local taxes

  1. In September, the Pensacola City Council voted to increase the “property tax levy” by 4.06% or $583,162. Few noticed. In part because I was a candidate, I attended the budget workshop and both budget hearings and heard all of the discussion on this matter which was little to none. The Council almost unthinkingly invoked a special state law that allows them to increase the property tax levy if they take certain extraordinary measures such as justifying the increase, taking a special vote and providing certain documentation to the Florida Department of State. The Council’s legal justification given it by the Hayward Administration was just seven words long, “To maintain services and meet increased costs.” Included would be continuing to pay for Mayor Hayward to have a private photographer, a new permanent “Special Assistant to the City Administrator” position created for Rusty Wells (the former fired City Attorney), and of course the Council’s 53% pay raise. One way to put bloated local governments on a diet would be for the Florida Legislature to amend the “Truth In Millage Act” to require local governments to get voter approval at referendum to increase the property tax levy. Perhaps the Florida Legislature will address the issue in its next session.

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