FAR backs tax amendment and remains committed to quick relief for homeowners

TALLAHASSEE, Fla. – Sept. 26, 2007 – For the leadership of the Florida Association of Realtors® (FAR) and Tallahassee staff, it’s steady as she goes in the fight for a property tax amendment on the January ballot – but there could be rough waters ahead.

Many unanswered questions remain, but FAR sent a memo to affected committees and local Realtor associations reaffirming its commitment to “finding relief, from high taxes” and the “lock-in effect” of the current property tax laws “as soon as possible.” Since the January amendment offers the quickest route to change – and a potential boost to state home sales – FAR’s primary commitment remains quick passage.

One question was answered this morning: Secretary of State Kurt Browning announced that he will immediately appeal the circuit court decision, by Circuit Judge Charles A. Francis of Tallahassee, with the 1st District Court of Appeal. The case will likely go to the Florida Supreme Court for a final decision.

One question not answered, however: Will the Florida Legislature consider a change in the ballot wording during its upcoming special session on Oct. 3? Gov. Charlie Crist, who is strongly committed to the January amendment, can follow through with the appeal, but he cannot unilaterally force the Florida Legislature to revisit the amendment. For that, he also needs a buy-in from Senate President Ken Pruitt (R-Port St. Lucie) and House Speaker Marco Rubio (R-West Miami) because they supervise the special session.

Senate President Ken Pruitt earlier indicated a desire to appeal the lower court’s ruling, leaving the amendment language as written and relying on a favorable judgment from a higher court. “I believe the best course of action for the Senate and for Florida taxpayers is to vigorously defend our work product,” Pruitt said in a memo to other senators. “The ruling yesterday represents the first step in the judicial process; we will appeal this decision.”

Rubio favors the appeal but is willing to reconsider the amendment language during the special session. “Burdened by taxes that they cannot afford to pay, Floridians have waited long enough for relief,” Rubio said in a release. “We must do everything in our power to preserve the Jan. 29 special election, even if that means addressing the property tax issue in the upcoming special session.”

While FAR leaders “are fairly confident in the language” of the current amendment, it presents a problem if the court ultimately rules against it. According to Florida’s secretary of state, amendments must be presented by Oct. 28, and it’s unlikely that a court ruling against the amendment would give lawmakers enough time to get an adjusted version onto the January ballot if they wait. Under that scenario, property tax reform could not be on the ballot until the November 2008 election, postponing any significant relief until at least 2009.

For that reason, FAR is in the process of contacting the Senate President and other Florida Senators to “express our concern about not having relief before 2009.” Members are encouraged to prepare for possible calls-to-action about property tax reform and even other issues under discussion during the special session, such as state commitments to affordable housing, possible cuts in the DBPR budget and tax reform proposals. FAR also continues to update local Realtor associations/boards, other business groups, and the public at large about the benefits of Amendment 1.

Stay updated on Amendment 1 issues on floridarealtors.org’s home page under “What’s New.”

© 2007 FLORIDA ASSOCIATION OF REALTORS®

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