The most comprehensive analysis to date of the impact of proposals to overhaul Florida property taxes shows the dramatic and far-reaching impacts the plans would have in Broward County.
Individual Broward homeowners could see thousands of dollars in savings a year.
But the cumulative effect of those tax reductions on homes and condos could add up to the loss of hundreds of millions of dollars, or more, to the county government and Broward’s cities, towns and villages. If that money isn’t made up in some way, local leaders warn that the services homeowners want, and need, could be decimated.
The property tax plans under consideration in Tallahassee include only the proposed cuts, and don’t say anything about how to make up the lost revenue, which would total billions of dollars a year statewide.
In Broward County alone, the most talked about property tax proposal would reduce income to local governments by more than $1.4 billion in the first year, said Broward Property Appraiser Marty Kiar. A state estimate put the statewide total at $14.1 billion in the first year.
“When you vote to put something on the ballot, it’s going to be one of the most consequential votes you’ll ever take,” Kiar told senators and representatives at a recent Broward Legislative Delegation hearing. “It’s going to be so far reaching.”
Kiar knows the implications better than most. Serving in his third term as the countywide elected property appraiser, he’s also a former Broward County commissioner, and a former state representative.
He prepared the analysis of the impact on Broward, for individual property owners and for local governments.
The size of the reductions may sound good to individuals, but that doesn’t mean they’re the right thing to do, said Florida House Minority Leader Fentrice Driskell, D-Tampa.
“Lowering taxes, that sounds great. But the reality is, you know, if you were to offer me candy for dinner, I might say yes. But that’s not the best thing for me. I need some protein. I need some balanced carbs. I need some vegetables, and that’s the situation that we have here,” Driskell told reporters Thursday after a lengthy property tax hearing in the Capitol.
“We have the governor and the Legislature throwing out these proposals that would be the equivalent of something that sounds good but has the unintended consequence of truly harming our communities,” Driskell said.
Local government leaders are trying to figure out how decisions made on the state level, and ultimately by voters, would affect how much people pay in property taxes, and how much revenue local government would take in.
State Rep. Mitch Rosenwald, a Democrat and former Oakland Park city commissioner, said there’s a tension between priorities.
“Homeowners need municipal services. Homeowners need economic relief,” Rosenwald said. “So that’s the middle ground that we’re trying to find: efficiencies of government, but enough services that take care of our public.”
Impact on homeowners
The proposal that has received the most attention would eliminate property taxes — except for School Districts — entirely for owner-occupied residential properties that have homestead exemptions.
The median residential property owner in Broward would save $2,421 in the first year, according to Kiar’s analysis. The median means half would save more and half would save less.
The impact would vary enormously.
In the county’s most populous city, Fort Lauderdale, the median homeowner would save more: $2,929.
In the second most populous city, Pembroke Pines, the savings would be $2,412, according to Kiar’s calculation, almost exactly the same as the countywide median.
In 12 of the county’s cities, towns and villages, Kiar’s analysis shows, the median savings would top $3,000 a year.
In 14 places, it would be less than $2,000 a year. In the remaining five communities, the median savings is estimated at $2,000 to $3,000 a year.
Some of the differences stem from much higher home values in particular communities. If properties are more expensive in some locations — think a high-rise beachfront condominium or a manse with a large tract of property in the western part of the county — they’re likely to have higher taxable values. In other words, there’s more taxable value to cut by eliminating property taxes on homesteaded property.
Some communities have much higher levels of services and taxpayer-funded amenities paid for by higher property taxes.
And, an especially big factor, Kiar said, is that some communities have lots of commercial and other business property — which wouldn’t get the new tax reductions — while others are predominantly residential, meaning those communities would see a big reduction.
Kiar pointed to Parkland, the affluent community in northwest Broward that is overwhelmingly residential. The median tax savings for a residential homeowner there would be $6,913.
He also highlighted Pembroke Park, in southern Broward, which is mostly non-residential property and the residential property isn’t overwhelmingly high end. The median savings in Pembroke Park would be $507, Kiar estimated.
Kiar’s analysis applied the constitutional amendments as if they were in effect for the 2025 tax year.
Impact on governments
Kiar said the Parkland and Pembroke Park examples show the dramatically different collective impact of the proposed tax reduction.
In overwhelmingly residential Parkland, it would total $28.2 million, which amounts to more than 75% of what it takes in via property taxes.
In heavily commercial Pembroke Park, it would total $142,000, which is just 1.3% of the budget.
Overall, the collective reduction in revenues from the plan would be enormous.
For Broward County government, it would amount to $624.8 million in the first year, which is 34.6% of what the county government receives from property taxes.
Some communities would lose much larger shares of their property tax money than others.
Seven cities, towns and villages would lose less than 25% of their property tax revenue. Eighteen would lose between 25% to 50% of their property tax income.
And six would lose more than 50%.
Cooper City would lose $17 million, which is 61.7% of its property tax revenue. Southwest Ranches would lose $6.5 million, which is 60.5% of its revenues.
In eastern Broward County, Deerfield Beach would lose $17.8 million, or 23.7%; Fort Lauderdale would lose $79.9 million, or 28.9%; Oakland Park would lose $10.6 million, or 27.3%; and Wilton Manors would lose $6.3 million, or 39.5% of its property tax revenue.
The size of the potential property tax reductions would be exceedingly difficult for local governments to absorb if there is no alternative funding stream, Adam Reichbach, president of the Broward County City Managers Association, told the county legislative delegation.
Reichbach, who is also assistant city manager in Hollywood, said that across Broward’s 31 municipalities, property taxes fund nearly half of general fund budgets.
“Public safety alone accounts for about 55% of the average general fund, meaning many cities’ public safety costs are well in excess of their entire property tax revenue. And in some cases, law enforcement budgets alone exceed total property tax revenue,” he said.
Reichbach pleaded for a result that “balance(s) taxpayer relief with the need to sustain vital services for our residents.”
After Republicans on the House Select Committee on Property Taxes voted Thursday to advance a range of proposals, state Rep. Toby Overdorf, R-Palm City, chair of the committee, told reporters that local governments should be looking at their budgets with an eye toward reductions.
“I think they should have concerns about how they’re going to be spending their money, and I think that this is a line in the sand,” he said. “The Florida Legislature has said that in fact we’ve seen some times where the budgets may in fact be bloated. The budgets may need to be tightened.”
Tallahassee moves
Kiar’s analysis is a detailed assessment of the effects of each proposal, as of mid-November. His analysis didn’t opine on whether the cuts are good or bad.
The state Legislature will determine what happens.
If three-fifths of the state House and Senate approve one or more proposed amendments to the state Constitution, which is the way to effect major changes in property taxes in Florida, they’d go before voters in November 2026.
Passage requires 60% of the vote in the referendum.
Republicans, generally, have championed the tax-reductions proposals and Democrats have generally been skeptical.
But they can’t agree on what should happen, so on Thursday the Republican majority on the House Select Committee on Property Taxes voted to advance seven proposals, even though they have conflicting provisions. For example, one calls for elimination of taxes on homestead property, except for schools. Another calls for complete elimination, but phased in over 10 years.
“If you put them all on the ballot, and they all pass, there’s conflict in some of them,” state Rep. Chip LaMarca, a Broward Republican, said recently.
“Some say eliminate property taxes today. Some say over 10 years you get to a certain homestead number. Some give increases in homestead exemptions for seniors. Some give higher portability numbers, which basically you can move into a lower-cost home instead of a higher-cost home and use your banked portability and cut your property taxes way down,” LaMarca said. “I think if you put them all out there, it’s confusing and there’s conflict.”
Overdorf said he didn’t see any conflicts among the different proposals.
There’s a political calculation being made. Some think anything that is placed on the ballot would pass. Others, including Gov. Ron DeSantis, have said if more than one proposal makes it on the ballot in 2026, it could become a confusing mess, and might mean nothing passes.
Ultimately, even lawmakers who think changing the system isn’t a good idea believe one or more questions are likely to get on the ballot.
Proposals
The various proposals would have dramatically different effects on Broward’s homeowners and governments.
The main proposal is House Joint Resolution 201, which if approved by voters would end non-school property taxes for homesteaded properties.
House Joint Resolution 203 is similar to the first, except it phases out the residential property taxes over a 10-year period.
In the first year, Kiar said the median savings in Broward would be $798. He said that would reduce the county government’s property tax revenue by $193.7 million, or 10.7%. That doesn’t include what cities would lose.
House Joint Resolution 205 would eliminate property taxes, except for schools, on owner-occupied residential property for owners older than 65.
Kiar said the median savings for the estimated 163,590 seniors living in Broward would be $1,128.
It would reduce the county government’s property taxes by $161.9 million, or 9%.
House Joint Resolution 207 would provide another homestead exemption — value not subject to taxation — of 25% of a home’s value. For a home with an assessed value for tax purposes of $500,000, it would add a non-taxable exemption of $125,000.
Kiar estimated the median Broward savings at $798. The collective reduction in county government tax income would be $187 million, or 10.4%, not counting reductions to cities, towns and villages.
Other proposals would increase exemptions for homestead properties if they are insured, allow for transferring more of the Save Our Homes exemption to a new home, and would reduce the maximum annual increase in taxable value of homesteads and non-homesteaded property.
Political battle
Democrats are faulting the Republican majority for advancing tax reduction plans without identifying how they’d be paid for. If the state makes up the money, it could require a significantly higher state sales tax.
If the state doesn’t make up the money, it could result in higher property taxes for businesses and for owners of residential rental property, which means renters would end up paying more in rent when landlords pass on the higher tax costs.
Or it could result in cuts in services.
The governments’ general funds, which are funded for property taxes, pay for most of the things people associate with local governments, such as police, fire-rescue, other emergency services such as 911, parks and libraries.
All the proposals decree that total funding for law enforcement couldn’t be cut. But there are no details and it’s unclear how that would work when police and sheriff’s offices seek more money every year, and when public safety accounts for so much local government spending.
State Rep. Robin Bartleman, a Democrat and chair of the Broward Legislative Delegation, told a recent Tower Forum luncheon of Fort Lauderdale business leaders that supporters of the proposed amendments should have to explain if, and how, the revenue would be made up.
“When you eliminate property taxes, where are you getting it? Are you raising the sales tax to 14%? Is each individual city now going to have fees for everything? It is a huge problem,” Bartleman said.
Political writer Anthony Man can be reached at aman@sunsentinel.com and can be found @browardpolitics on Bluesky, Threads, Facebook and Mastodon.