Florida lawmakers are considering a proposal to eliminate property taxes through a constitutional amendment scheduled for the November 2026 ballot. The potential impact of such a move on school funding has become a topic of discussion among educators and policymakers.
Public schools in Florida receive funding from both state and local sources. While state funds primarily come from sales taxes, local funds are mainly generated by property taxes. Currently, about 46% of the Florida Education Finance Program (FEFP)—the main funding source for public schools—comes from local contributions, although this percentage varies significantly across districts.
The proportion of local versus state funding each district receives is determined by the required local effort (RLE), which considers how much revenue a county can contribute through property taxes. Counties with higher property values provide a larger share via property taxes, while those with lower values rely more heavily on state support.
According to the release, “There is not a single county in Florida that can afford to lose $1,000 in per-student funding. Even fiscally constrained counties like Holmes that rely very heavily on state funding would face immediate, negative consequences from eliminating property taxes.”
In districts such as Walton County, where nearly 90% of FEFP funding comes from property taxes, continued operation without these funds would be highly challenging.
The statement emphasizes the importance of evaluating changes to property tax policy carefully: “Changes to property taxes should always carefully consider the local impacts, and any changes must ensure that school funding does not suffer.”
The legislature had tasked Florida’s Office of Economic and Demographic Research (EDR) with studying the possible effects of eliminating or reducing property taxes and suggesting ways to address any negative fiscal outcomes. However, Governor Ron DeSantis vetoed the budget for this study.
Despite this setback, an analysis by the Florida Policy Institute found that replacing lost revenue from eliminated property taxes would require doubling the current state sales tax rate.
As legislative discussions continue over coming months, further analysis will be provided regarding what is at stake for students and educators if these proposals move forward. The release encourages individuals concerned about potential changes to begin informing their communities about how much their school districts depend on property tax revenues.
###
