Safety Harbor Faces $3.5 Million Revenue Loss if Property Tax Elimination Passes

Safety Harbor stands to lose $3.5 million from its $35 million budget should Florida abolish property taxes. Gov. Ron DeSantis keeps pressing state legislators to scrap the taxes, despite a proposal that died in the Senate back in February.

The Florida House approved eliminating certain property taxes in February. The measure stalled in the Senate.

According to Bay News 9, City Manager Josh Stefancic said the uncertainty troubles residents and city workers who count on the municipality as a stable employer. Difficult choices loom ahead, he explained, particularly regarding services that distinguish communities — recreation programs and library offerings among them.

Public Works Director Renee Cooper warned that abolishing property taxes could mean fewer road paving projects, diminished sidewalk repairs, and less maintenance for parks. The city might be forced to shift from active parks to a passive system, she said. Cooper mentioned that some staff members worry about their jobs, with cuts looming if funding drops.

Officials say property taxes fund parks, libraries, and road maintenance throughout the city. Without that money, those services would shrink.

Mayor Joe Ayoub said government leaders would have to examine priorities and figure out where cuts might happen if the city loses funding. He worried that reduced services could make communities less desirable and hurt property values.

The February proposal aimed to remove non-school property taxes from homesteaded properties. Legislative proposals haven't outlined how revenue would be replaced in local municipalities.

Stefancic pointed out that raising fees wouldn't cover a $3.5 million shortfall. That could mean changes in how residents contribute — higher taxes or increased fees among the possibilities, officials say.

City leaders say they're focused on educating the public about how critical property tax revenue is to maintaining services. Their biggest question remains unanswered: What will a final proposal to eliminate property taxes look like?

Should the measure pass the Senate in the future, it would go before voters and would need to reach a 60% threshold to be approved.