President Ford Responds to Amendment 1 Vote

Voters approve Amendment 1

Florida voters Tuesday approved a ballot initiative that amends the Florida Constitution to provide some property tax relief to homeowners, risking further cuts in education spending over the next five years.

Amendment 1 will cut an estimated $9.2 billion in property tax revenue from local governments and public school districts over the next five years. Estimates of the cost to Florida public schools range from $1.6 billion to $3 billion in that same period of time.

Proponents say it will save owners of primary homes, called homesteads in Florida, an average of $240 a year, and it will save most businesses $400 to $560 a year. Other elements of the proposal provide some tax savings for owners of second homes in Florida and even greater savings to primary homeowners who sell their homestead and buy another one in Florida.

The proposed constitutional amendment, known as Amendment 1, needed 60 percent voter approval to pass. The yes vote exceeded that margin by about 4 percentage points.

“Tonight the voters of Florida have indicated that they are strapped financially and that they need immediate relief … even at the cost of funding our schools and other vital services,” said FEA President Andy Ford. “I congratulate the governor on his victory tonight and hope that he recognizes the message that voters are sending about the state of Florida’s economy. Additionally, there are now significant revenue challenges that lie ahead as a result of the passage of Amendment 1. While we have agreed to disagree about this amendment, I’m hopeful that we can now work with Governor Crist to find the necessary resources to properly fund our public schools. It’s vitally important that we join together in making sure that Florida provides the resources necessary to make the required investments in our state’s most important asset … the students in our public schools.”

The anticipated budget cuts may lead to negative impacts throughout the state, in local districts and classrooms. In some places, programs will have been cut, school services curtailed and public-school employees laid off. Salary increases, already crippled by a slowing economy, may suffer even further, despite the fact that public school salaries in Florida are already thousands of dollars below the national average. 

Though Amendment 1 was approved, many observers believe the Legislature may try to cut property taxes this legislative session, which begins in early March. In addition, the Taxation and Budget Commission is meeting this year. The commission is reformulated every 20 years to examine the state’s tax structure and to place ballot initiatives on the November ballot without going through the legislative process.

FEA leaders are optimistic that some positive changes to Florida’s flawed tax structure may result from the commission’s work, but there is also the danger that some negative initiatives may wind up on the November ballot.