Consumer

  After the Florida Senate announced that they had passed a property tax cut proposal that gives the average homeowners about $240 in tax breaks, some lawmakers are talking about starting a petition where the voters will be the ones who demand a more aggressive break on their tax bills.

Many homeowners questioned Tuesday about the new property tax-cutting proposal that will be on Florida's Jan. 29 presidential primary ballot had a common response: "It's better than nothing."

That's not good enough, though, for Miami real estate broker Sep Niakan. He said he'll probably vote against it to protest what he considers a paltry savings.

Homeowners are expected to see an average reduction of $240 a year from a provision that doubles the $25,000 exemption for primary homes, or homesteads, valued at more than $50,000 -- except for school taxes.

"Two hundred forty dollars on an $8,000 tax bill, give me a break," Niakan said. "That's nothing."

"We missed a tremendous opportunity yesterday in Tallahassee, to not only cut your property taxes, but to stimulate our economy, and we didn't take that opportunity," said House Speaker Marco Rubio (R).

Even some Democrats mouthed off on their discontentment.

"I think, clearly we didn't give enough relief to the people that need it," said Representative Dan Gelber (D) of Miami Beach.  "We created too many winners and losers."

But despite Governor Crist's efforts to promote the ballot, House Speaker Rubio hasn't given up the battle to cut property taxes even deeper.

"As sad as it may be, and as much as it breaks my heart to say it, i have become convinced that Tallahassee is not going to give us property tax relief," said Rubio.  "We're going to have to go out and get signatures and put this on the ballot."

The proposed state constitutional amendment that lawmakers passed Monday also drew negative reviews for the opposite reason from local officials and unions representing teachers and public employees. They are worried about how it will affect public services and jobs.

Some cities and counties are considering service reductions such as cutting library hours and bus routes or raising other taxes and fees.

Gov. Charlie Crist held news conferences Tuesday in four cities -- Tallahassee, Jacksonville, Orlando and Port St. Lucie -- to promote the new ballot proposal. He also signed a bill into law that puts the amendment on the January ballot.

In Jacksonville, Crist visited the Evangel Temple Assembly of God where the Rev. Garry Wiggins thanked him for his leadership on the issue. Crist called all 159 members of the Legislature -- one seat is vacant due to the recent death of Rep. Mike Davis, R-Naples -- to push for the plan's passage.

"I want to thank God," Crist said at the church. "It's tough in Tallahassee to maneuver around without his guidance."

Travis McLendon, a mortgage dealer who lives across the street from the church, plans to vote for the amendment although he had hoped for a bigger cut.

"But every little bit helps," McLendon said. "I would just like to see it not go up every year."

Jacksonville probation officer Alan Louder also plans to vote for the measure.

"I think it will help me, but all the money will probably go back into my gas tank," he said.

In Port St. Lucie, longtime homeowner Antonio Molina said he didn't think the plan did enough for new homeowners. A provision that would have given first-time buyers an extra exemption was eliminated as part of a compromise.

"It's never enough, but it's better than nothing," Molina said.

The measure includes variations of two key planks that were in Crist's campaign platform last year: doubling the homestead exemption and letting homeowners take existing tax breaks along when they move, which is known as "portability."

Other provisions would give businesses a $25,000 exemption on equipment and other personal property and cap annual assessment increases on businesses, second homes and rentals at 10 percent. Homestead assessments already are capped at 3 percent.

The amendment replaces an earlier ballot proposal that would have offered the potential for bigger homeowner savings, at least in the short term.

That measure was removed from the ballot, though, by a judge who ruled its summary was misleading and inaccurate. The state asked the Florida Supreme Court to overrule that decision but withdrew the appeal Tuesday.

The new amendment is expected to cut $12 billion from city, county, special district and school board budgets over the first five years.

That's on top of an estimated $15 billion in cuts the Legislature approved in June through a property tax rollback and freeze. It's expected to result in savings for all taxpayers including $174 annually for the average homeowner. That would bring the combined average savings for homeowners to $414, if the amendment passes.

Also Tuesday, Crist called Florida Education Association president Andy Ford to "plead with them to hear us out before they launch" a campaign against the proposal. Crist said the leader of the statewide teachers union agreed to meet when the governor returns from a six-day trade mission to Brazil that begins Saturday.

"He said, 'I hear you governor, we'll stand down,"' Crist said. "He said, 'I think we can find a way to find an agreement."'

Crist and legislative leaders have repeatedly said they intend to hold schools "harmless" by replacing lost property tax revenues although the amendment doesn't require that.

Supporters also have argued the portability provision would help revive Florida's sagging housing market and generate more tax revenues.

FEA spokesman Mark Pudlow said the union won't decide whether to campaign against the measure until its governing board meets in mid-November. The five-year estimate includes a $2.7 billion reduction in school property taxes.

"That's going to have an impact on schools one way or another," Pudlow said. "It may be that there's reduced programs, it could mean that there are fewer teachers hired, it could be that there's folks that lose their jobs."