Oct 26, 2007 3:57 pm US/Eastern
Lawmakers Meet Monday On Property Tax
MIAMI (CBS4) ―
The House and Senate, although still at odds over property tax relief, will reconvene a special session Monday, just one day before the deadline to get a proposal on the Jan. 29th presidential primary ballot.
Legislative leaders made that announcement Friday. Senate President Ken Pruitt earlier had said his chamber might not come back at all to consider the proposals that could save homeowners from less than $100 to several times that amount a year.
Pruitt wrote that staffers were still trying to gauge the financial effects of the House plan but should complete that work in time for the Senate to decide Monday how to respond.
The Senate essentially passed a plan that had been worked out in advance with House leaders and Gov. Charlie Crist. The House returned it with some major changes. That left the Senate with several choices on how to respond, Pruitt noted.
"We could reject it because the significant changes came too late in the process; we could accept the changes hoping that there wouldn't be unintended consequences; or, we could take the necessary time to conduct fiscal and legal analyses," Pruitt wrote.
Senate leaders chose the latter approach.
Pruitt, R-Port St. Lucie, was first to announce that his chamber would reconvene. House Speaker Marco Rubio, R-West Miami, then notified his members to also come back.
The biggest challenge has been determining the effects of a House proposal to put a 5 percent annual cap on assessments for businesses, second homes and rental properties, Pruitt said. It's similar to an existing 3 percent Save Our Homes limit enjoyed by homesteads -- primary homes.
The latest House estimate is the non-homestead cap would cut local property taxes by $13.5 billion over 10 years including $5.8 billion for school districts. The school number has been particularly troubling for senators while waiting for their own staff analysis.
Another key difference is over expanding the current $25,000 homestead exemption.
The Senate plan would provide a second $25,000 exemption for homes valued at more than $50,000 except for school taxes.
The House proposal, instead, would give homeowners an exemption equal to 40 percent of the median home value in each county -- again except for school taxes -- or their Save Our Homes benefits, whichever is greater.
Both plans would let homeowners take their Save Our Homes benefits with them when they move, known as "portability," and give businesses a $25,000 deduction on their machinery, computers and other personal property.
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