For Florida homeowners, Amendment 3 could mean a smaller property tax bill.
The proposal on the Nov. 3 ballot would expand the homestead exemption over two years. It would also change tax rules for rental and business properties and set conditions on how local governments spend property tax money.
That money helps pay for services people use every day. Much of the debate comes down to whether cities and counties can absorb the loss without cutting those services or collecting more money elsewhere.
Recent polling:
A University of North Florida poll released Oct. 21 found 50% of likely voters supported Amendment 3, while 35% opposed it and 14% were undecided. It needs at least 60% approval to pass.
The survey included 1,471 likely Florida midterm voters. Researchers conducted it Oct. 12 through 19, with a margin of error of plus or minus 2.81 percentage points.
An earlier St. Pete Polls survey, conducted Oct. 5 through 7, put support at 42%. That was down from 45% in its September survey.
What the Amendment says:
This amendment increases the homestead exemption, for all non-school taxes, to $150,000 in 2027 and $250,000 in 2028, and adjusts for inflation thereafter. It requires the Legislature to prescribe a uniform procedure for counties and municipalities, for their respective levies, to increase the homestead exemption up to full assessed value, and allows special districts, subject to referendum approval, to do the same.
What that means:
Start with the homestead exemption. It is a tax break for a home you own and use as your permanent residence.
To understand how it works, look at the home’s assessed value. Your county property appraiser determines that figure. It may be different from the purchase price or what a buyer would pay for the property today.
The exemption removes part of the assessed value before taxes are calculated. The larger the exemption, the less value there is to tax.
Under Amendment 3, qualifying homeowners would receive an exemption of up to $150,000 for non-school property taxes in 2027. It would rise to $250,000 in 2028, followed by annual inflation adjustments beginning in 2029.
Those are exemption amounts. A homeowner would not receive a $150,000 reduction in the tax bill.
Here is an example:
Say your home has an assessed value of $250,000.
In 2027, a $150,000 exemption would leave $100,000 subject to non-school property taxes, before any other applicable exemptions.
In 2028, a $250,000 exemption would cover the entire assessed value. You would owe no non-school property taxes on that home.
But you could still receive a bill. School taxes would remain. Separate assessments, like some charges for services, would also remain.
How much you would save depends on your home’s assessed value, existing exemptions, and local tax rates. The amendment changes the exemption. It does not freeze local tax rates.
New residents would have to wait. People who become Florida residents after Dec. 31, 2026, would begin with the smaller exemption. The larger benefit would become available in their fifth year of receiving a homestead exemption.
Rental properties and businesses are covered by a different provision. They would not receive the homestead exemption. Instead, the amendment would lower the annual limit on assessment increases for non-school taxes from 10% to 5%.
That distinction matters. The limit applies to assessed value. A tax bill also depends on the tax rate, so a 5% assessment cap would not guarantee that the bill could increase by no more than 5%.
What would change for local governments?
A larger exemption would leave less property value available to tax. If tax rates stayed the same, local governments would collect less money.
The amendment also spells out how cities and counties could spend property tax money. The list includes public safety, roads, schools, and the day-to-day costs of running local government.
Public safety’s place on that list does not guarantee a funding amount for police, firefighters, or emergency medical services.
Supporters:
- Gov. Ron DeSantis
- Florida Realtors
- Byron Donalds, Republican candidate for governor
- Bryan Avila, Republican candidate for lieutenant governor
Supporters argue:
Property taxes are another expense for families already paying more for insurance, groceries, and utilities. Supporters say a larger exemption would give homeowners some relief and help them afford to stay in their homes.
Opponents:
- One Okaloosa Economic Development Council
- David Jolly, Democratic candidate for governor
- Florida Policy Institute
- Florida TaxWatch President and CEO Jeff Kottkamp
- Senate President Ben Albritton
- Florida Sheriffs Association
- Florida Fire Chiefs’ Association
- Florida Professional Firefighters
- Common Cause Florida
- Opportunity Florida, a rural Northwest Florida economic development organization
- Florida Rural Economic Development Association
- League of Women Voters of Florida
- Sierra Club Florida
Opponents argue:
The tax savings would leave a gap in local budgets, and the amendment does not provide replacement funding. Opponents say residents could lose services or face higher taxes and fees elsewhere.
Emergency response is a particular concern for police and fire organizations. They question how communities would maintain staffing and service levels with less revenue.
Albritton voted to put the proposal on the ballot but now says he will vote against it. He cites the potential harm to rural counties and their ability to provide essential services.
Here in Northwest Florida, One Okaloosa supports tax reform but opposes this proposal. The economic development organization worries about uncertainty in local funding and the possibility of higher taxes on commercial property. It says those costs could discourage business growth.
A 'yes' vote would:
- Increase the homestead exemption for qualifying homeowners to $150,000 in 2027 and $250,000 in 2028 for non-school property taxes.
- Lower the annual assessment increase limit for non-homestead properties from 10% to 5%.
- Adopt new rules for spending local property tax revenue.
- Require a process for additional local homestead exemptions.
- School property taxes would continue.
A 'no' vote would:
Keep the current constitutional rules for homestead exemptions, property assessment limits, and local property tax spending.
Amendment 3 must receive at least 60% approval to become part of Florida’s Constitution.
