Amendment 3: Increased Homestead Exemption; Lower Cap on Increases in Non-Homestead Property Assessments

The law today

Under current law, homestead property gets an exemption on the first $25,000 of assessed value that applies to all property taxes, including school taxes, and an additional exemption on assessed value between $50,000 and $75,000 that does not apply to school taxes and is adjusted annually for inflation (the House staff analysis gives $25,722 for 2025). The annual increase in a homestead's assessed value is capped at the lesser of 3 percent or the change in the Consumer Price Index. Non-homestead property's annual assessment increase is capped at 10 percent. The Constitution reserves to local governments the authority to levy property taxes and does not limit the purposes for which counties and municipalities may spend them to a listed set.[10]

Official fiscal estimate

The Florida House's final bill analysis, citing the Revenue Estimating Conference, estimates that if voters approve, local non-school property tax revenues would fall by $4.95 billion in fiscal year 2027-28 (with the $150,000 exemption), $8.78 billion in 2028-29 (with the $250,000 exemption), and a recurring $11.86 billion by fiscal year 2031-32. It calls the impact on state government "indeterminate at this time but likely insignificant."[10]

Arguments made for

• Gov. Ron DeSantis, in the proclamation convening the special session, stated that "Florida voters deserve the right to decide at the ballot box in 2026 on whether they continue to pay rent to the government in perpetuity through taxes on their homesteaded property," and noted that local governments collected $32 billion in property taxes in 2019 and are projected to collect $83 billion by 2032.[2]
• Florida Chief Financial Officer Blaise Ingoglia, a prominent supporter, said during a June appearance: "The numbers work," and "The only people who are complaining about it are the people who actually have to cut back. We are on the side of the taxpayers here." The Florida Phoenix also reported that Republicans who backed the resolution "argued homeowners need relief from rising tax bills."[8][5]

Arguments made against

• Following the Legislature's vote, the Florida Policy Institute put out a statement saying the proposal doesn't represent a tax reduction but a tax shift. "One that will force local lawmakers to cut local services that families rely upon or increase other taxes and fees to make up for the missing revenue," Institute CEO Sadaf Knight said in the statement. "In either case, everyday Floridians ultimately pay the price for the massive loss in property tax revenue."[5]
• Common Cause Florida, which has joined the "Save Our Services" campaign against the amendment, said through Executive Director Amy Keith: "If it passes, it will blow such a hole in local community budgets that it is certain essential services will be cut and everyday Floridians will be left holding the bag. Costs and fees will increase for small businesses, renters, and homeowners on fixed incomes, and more power will be centralized in Tallahassee." WLRN reported that opponents also include local government officials and law enforcement groups.[9]

On record in support

• Gov. Ron DeSantis, who called the special session to put the question to voters[2]
• Florida Chief Financial Officer Blaise Ingoglia[8]
• Florida Realtors (Florida Association of Realtors), which launched the "Vote Yes on 3" campaign[11]
• National Association of Realtors, which gave $2.0165 million to Vote Yes on 3 on Oct. 9[11]

On record in opposition

• "Save Our Services — No on 3" coalition, joined by Common Cause Florida[9]
• Florida Policy Institute[5]
• Florida TaxWatch, which urged a no vote in September[11]
• JAX Chamber and the Civic Council (Jacksonville)[11]
• Florida Association of Special Districts and Palm Beach County League of Cities, reported as donors to opposition committees[11]