Members Rally to the Cause -- The Florida Taxation and Budget Reform Commission (TBRC) members have argued that even though Amendment 1 on the property tax issue passed, it did not go far enough in offering tax relief in the minds of voters.  The appointed members of this powerful commission have the unique ability to place constitutional proposals (CP) directly on the November ballot and are moving ahead with a series of deeper property tax reductions.  Although this sounds like wonderful news for property owners, it could have some devastating effects for FAHSA members depending on where these cuts are made!

Thanks to everyone for your efforts leading up to Monday's TBRC Finance & Tax Committee meeting.  While we did not see the total demise of CP0002, however, the services tax portion of the proposal has been removed.  The elimination of tax exemptions and the taxing of services would have been a double whammy on FAHSA members.  So one might say we had a partial victory! 

We are now tracking three constitutional proposals (CPs) that all address the elimination of sales tax exemptions - CP0002, CP0007, and CP0050 (this is CP0002, as amended).  Please see below for a summary of all pertinent proposals taken up by the Committees and the full TBRC Commission this past week. 

TBRC Finance and Tax Committee:

CP0002 was heard again this week.  This constitutional proposal would reduce property taxes by 27% and shift the required local effort (RLE) for school funding off of property tax. This measure will require the Legislature to make up at least $8 billion and as high as $9.5 billion in revenue offsets with this revenue shift. The majority of this revenue offset will have to come from the Legislature removing existing sales tax exemptions, although it remains to be seen which exemptions would stay intact if any!   

Twenty-five speakers testified before the Committee on CP0002. Only two of the speakers spoke in favor of the proposal. Of the 23 that testified against the proposal, three of them were, Roger Stevens, COO, Westminster Services, Janegale Boyd, President/CEO, FAHSA, and Bennett Napier, CAE, FLiCRA. Additionally, 16 residents were present from Westminster Oaks (CCRC) and Georgia Belle Apartments (affordable housing) along with Don Wilson, Administrator, Westminster Oaks. 

• CP0002 - RLE Replacement/Sales Tax

After lengthy presentations from two economists, the committee approved an amendment to CP0002 sponsored by Commissioner Levesque (amendment 12) that was left pending at the previous meeting.  The amendment barely passed by a 6-5 vote. As amended, CP0002 passed by a unanimous vote of 11-0.

Amendment #12 by Commissioner Levesque is similar to CP0002 in that it requires the legislature to repeal the RLE and replace the $8 billion with a combination of three revenue sources.  Both require:

1.       Up to a one-cent sales tax increase

2.       Repealing sales tax exemptions 

3.       Spending reductions in the state budget and increases in revenues  

You can find the full text of Amendment #12 that was added to CP0002 at: http://www.floridatbrc.com/pdf/CP0002Amendment12_2.pdf 

• CP0050 - Elimination of RLE Property Taxes for Education

This proposal by Commissioner Levesque is nearly the same language as what was included in her amendment 12 to CP0002.  The committee passed this proposal by a unanimous vote of 10-0. The full text can be viewed at: http://www.floridatbrc.com/pdf/CP0050.pdf 

The full TBRC met and debated several issues including:

• Rules Revision: the commission approved several rule revisions including clarifying the process for which a proposal that receives 17 yes votes must go through to get to the ballot. If a proposal receives 17 votes, it will then be sent to the style and drafting committee to ensure that the 15-word title, 75-word summary and proposal is drafted correctly.
  
•  CP0007 (sales tax exemption review) was reported on as passing the Governmental Procedures and Structural Committee (GPS) and will come to the full commission for consideration. 

• SR0029 (joint legislative sales and use tax exemption review committee) was reported on as passing the GPS Committee and will come to the full commission for consideration.

• The next TBRC meetings will be held at the Department of Transportation (DOT) building on the following dates:
  - March 6 (committees)
  - March 7 (full commission)
  - March 17 (full commission)
  - March 26 (full commission)
  - April 4 (full commission)
  - May 2 (full commission)

 Thanks again for an amazing show of resident, community, and overall team effort the last couple of weeks!