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Florida House advances proposal to phase out homestead property taxes, drawing warnings from local governments

How would these bills impact Apopka's budget?

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In Summary:

House Joint Resolution 203 cleared its final House committee on Thursday and is now ready for a full House vote, placing Florida on track for a possible 2026 ballot measure to phase out non-school homestead property taxes over 10 years. County officials and policy groups told lawmakers the lost revenue would be difficult or impossible to replace, threatening core services such as law enforcement, emergency management, and libraries. Florida TaxWatch estimates that the proposal would reduce local government revenue by $4.4 billion in fiscal year 2027–28, rising to $13.3 billion upon full implementation.

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A leading proposal to cut property taxes advanced in the Florida House on Thursday, but not without pushback from critics who said local governments would suffer without the revenue.

Related: Study warns proposed property tax cuts could destabilize city budgets across Florida.

House Joint Resolution 203 would phase out non-school homestead property taxes over the next decade, if 60% of voters agree. The measure cleared its final House committee on Thursday and is now ready for a vote by the full chamber. 

Debate over its potential effects on smaller municipalities and lower-income residents dominated a nearly two-hour House Ways & Means Committee meeting.

Glades County Manager Paul Carlisle told lawmakers the county would not be able to replace the funds it would lose from property tax revenue. The sheriff’s department alone comprises 60% of the county’s budget, Carlisle said.

“There is no extra money. We don’t have grocery stores, we don’t have hospitals. We don’t have any way to make that money,” said Carlisle.

Julianne Young, deputy county administrator for Putnam County, said property taxes are essential to paying for mandated services such as the medical examiner, burials for residents who have no way to pay for them and Medicaid costs.

“What’s left with less than a quarter of that budget funds essential services like emergency management, veteran services, library services,” Young said. “Those are the things in our counties that make us a community. Those things are in the greatest threat of being cut or eliminated by this proposal.”

The proposal was also criticized for benefiting wealthier homeowners and shifting costs to renters and businesses. Aurelie Larrauri, senior policy associate for the Florida Southern Poverty Law Center, urged lawmakers to consider reforms that help lower-income residents.

“A one-size approach to property tax reform will not be helpful to most Floridians who are already struggling with how unaffordable the state has become with soaring housing prices, insurance rates, and health care costs,” Larrauri said. 

The Florida Policy Institute has criticized all of the property tax proposals currently moving through the legislature.

“Without a plan to raise revenue to pay for any policies that become law, Floridians will pay for relief with budget cuts or a cost shift,” the group said in a statement.

Florida TaxWatch estimates the plan would reduce local government revenue by $4.4 billion in fiscal year 2027-2028, eventually reaching $13.3 billion when the phase-out of non-school property taxes is complete.

“Putting a proposal on the 2026 ballot to eliminate all property taxes, or even non-school taxes on homestead property, is not responsible, especially without an accompanying comprehensive reform plan. This would address factors, such as local government fiscal responsibility, provision of critical government services, and safeguards against the shifting of taxes to non-homestead properties,” Florida TaxWatch wrote in its latest report.

Another property tax relief proposal, House Joint Resolution 209, is ready for a full House vote and would increase the property tax exemption to $200,000.

The measures are two of eight plans the House has proposed to cut property taxes. 

Gov. Ron DeSantis has said only one plan should appear on the November ballot for voters to consider, and has suggested scheduling a special legislative session to narrow the list.

How these bills could impact Apopka's budget

If either House proposal moves forward—especially HJR 203’s phase-out of non-school homestead property taxes—Apopka could face a long-term squeeze on one of the most stable revenue sources used to fund everyday city operations. While cities don’t receive the “school” portion of property taxes, they do rely heavily on non-school property tax collections to pay for public safety, staffing, and basic services that don’t rise and fall with tourism or one-time grant funding. A gradual reduction in homestead tax revenue could force Apopka to either cut spending, delay infrastructure and maintenance projects, or shift more of the burden onto other payers through higher non-homestead rates, increased fees, or greater reliance on business and commercial property taxes—changes that could affect local employers, renters, and overall affordability. Even proposals framed as tax relief can create downstream impacts for residents if the city must backfill revenue through service reductions, slower response capacity, or higher utility and permitting costs.

Key Points:

  • HJR 203 would phase out non-school homestead property taxes over 10 years, requiring approval from 60% of voters.
  • The measure cleared its final House committee and now heads to the full Florida House.
  • Local officials warned that property tax revenue is essential to providing services and is difficult to replace, especially in smaller counties.
  • Critics said the proposal could disproportionately benefit wealthier homeowners and shift costs onto renters and businesses.
  • Florida TaxWatch estimates the plan could reduce local government revenue by $4.4 billion in FY 2027–28 and $13.3 billion when fully phased in.
Florida property taxes, HJR 203, homestead exemption, DeSantis property tax plan, local government revenue, city budgets, Orange County municipalities, Apopka budget

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