A pair of payments aiming to supply Floridians property tax aid by diverting tourism {dollars} had been authorized by the Home on April 25.
Each Home Payments 1221 and 7033 had been despatched to the Senate, the place negotiations between the chambers might see some adjustments to the proposal. Many inside the tourism and lodging sectors are hoping the funds, that are at present used for promotion, capital amenities enhancements for tourist-based amenities and festivals and occasions, stay safeguarded. However Home invoice sponsors imagine Floridians want some aid from growing property tax payments and wind insurance coverage prices.
Each Home payments deal with the use and distribution of assorted tax revenues within the Sunshine State, together with vacationer growth taxes. Underneath the proposals, 75% of the vacationer growth tax revenues, that are paid by guests reserving in a single day lodging, would go towards lowering a county’s advert valorem tax levy starting in 2026. As for the remaining 25%, county commissioners would in the end determine the place to make use of that cash.
“We have now an area present affordability disaster. We need to present as a lot as attainable towards native authorities property tax aid,” stated Rep. Wyman Dugggan, a Republican from Jacksonville who sponsored Home Invoice 7033. “Different structural property tax aid must be accomplished by way of the poll in November 2026, which might not take impact till tax invoice 2027. That’s a good distance off. That is what we will do at the moment.”
An modification by Democratic Rep. Fentrice Driskell, of Tampa sought to provide counties extra flexibility to make use of TDTs for different public functions past lowering the property tax levy. The modification didn’t garner sufficient help.
Not solely do the payments alter the usage of the vacationer tax {dollars}, however additionally they search to dissolve all county Vacationer Improvement Councils starting July 1. Each items of laws additionally suggest the dissolution of tourism promotion businesses except they’re authorized by the county fee.
Each payments are going through opposition from Florida’s tourism and lodging industries. Kara Franker, Go to Florida Keys CEO, stated the Home payments have a dire affect on the native tourism economic system. In 2023 and 2024, the county collected roughly $61 million yearly in vacationer growth taxes. These funds had been used to help 140 occasions all through the island chain final 12 months, in addition to enhancements to tourism amenities from Key Largo to Key West. A portion of the tourism {dollars} help tourism advertising and marketing and promotion of the island chain to different states.
“TDT just isn’t paid by Florida residents. It’s paid by guests — and reinvested domestically to help small companies and create jobs,” Franker informed Keys Weekly. “With over 2 million jobs and $124 billion in annual customer spending on the road in Florida, that is an existential risk — not simply to the tourism business, however to the communities like ours that depend upon it.”
State Rep. Jim Mooney voted in opposition to Home Invoice 1221 and for Home Invoice 7033. He stated laws he supported contained extra parts than the vacationer growth tax situation. Home Invoice 7033 additionally proposes a discount in Florida’s state gross sales tax charges by .75%, repeals the aviation gasoline tax, delays the efficient date of pure gasoline gasoline taxes and extends an area charge freeze for communications providers taxes.
Mooney, nevertheless, has grave issues relating to the proposed diversion of vacationer growth taxes.
“The truth is Colorado tried this within the Nineties. They went from the No. 1 vacationer vacation spot on this nation to lifeless final. And it took 15 years to recuperate,” he stated.
State Sen. Ana Maria Rodriguez informed Keys Weekly on April 30 that the Home and Senate are in negotiations. She stated she has severe issues over the elimination of vacationer growth tax revenues because it pertains to Miami-Dade and Monroe counties.