TAXWATCH WANTS SAVE OUR HOME REPEAL

Whoa Nelly...this one is sure to raise some hackles. And as a non-homesteaded homeowner in the Crystal Beach area, I agree with many of the points raised and possible solutions suggested. Though I'm certain the local contingent will resist any hint of change, the fact remains that a large number of non-resident owners are bearing the burden of exhorbitant tax increases noted over the last handful of years. Though this platform will most likely never see the chambers of the House, I'd certainly advise state leadership to take a good look at the out of state contingent and consider the some form of relief for the non-homesteaded homeowners. Here's the article...

Florida's property tax system is in crisis with skyrocketing levies accompanied by explosive local government spending that is exceeding the taxpayers' ability to pay, according to a report by Florida TaxWatch. "Florida taxpayers perceive our property tax system as unfair and unaffordable and they are right," said Dominic Calabro, president and CEO of Florida TaxWatch. "Our research quantifies the growing tax burden and tax shift onto certain classes of property owners that has created two separate, but unequal tax systems in Florida."

The TaxWatch research report urges repeal of a popular three-percent cap on homesteaded property owners' annual tax bills while maintaining taxpayers' current savings, a cap on local property taxes and revenues, and a fairer system for assessing a property's value. The report, "Controlling Escalating Property Taxation and Local Government Spending and Revenue," places part of the blame on the state's "Save Our Homes" amendment in the state constitution. Since it took effect in 1995, it has limited annual increases in homesteaded property to three percent or the increase in inflation, whichever is less.

The report shows that while holding down taxes for many homeowners, the amendment has brought on a myriad of problems, shifting billions of dollars in taxes from homesteaded taxpayers to non-homesteaded businesses and those with second properties, creating inequities in tax treatment, increasing housing costs for renters and new home buyers, and restricting the financial ability of some people to move to a different home. It also shifts taxes among homesteaders, as some benefit more than others.

In addition to repealing the Save Our Homes amendment, Florida TaxWatch recommendations include: allowing homeowners who currently enjoy the protection of the amendment's cap to keep their reduced assessment; capping local governments' revenues; allowing a one-time statewide portability of a homeowner's assessment reduction; assessing commercial property at the value of its existing business, rather than what the property could sell for under the current "highest and best use" criteria.

The Florida Home Builders Association, during its Winter Governmental Affairs Committee Meeting, will discuss and possibly adopt a position on Florida's increasing property tax problem. The FHBA's Governmental Affairs meeting is slated for Jan. 26, from 10 a.m. until 3 p.m. at the HBA of Metro Orlando.

This article was contributed to The Log by FHBA