Florida Passes $114.5 Billion Budget as Property Tax Battle Heads Into Special Session
Why It Matters
Florida lawmakers finalized a $114.5 billion state budget for fiscal year 2026-27, but the vote was only the opening act of a politically charged week ahead. A special session beginning Monday will force legislators to take a position on a sweeping property tax exemption proposal from Gov. Ron DeSantis — one that faces resistance from county governments, school advocates, and members of both parties.
What Happened
The Florida Legislature passed the state’s spending plan for the fiscal year running July 1, 2026 through June 30, 2027 on Friday afternoon. The Senate approved the measure unanimously, while the House passed it 99-6.
The budget funds public schools, higher education, healthcare, criminal justice, environmental programs, and other state priorities. House Speaker Daniel Pérez said in a written statement that the budget reflects what “Floridians expect their government to spend responsibly.”
Republican legislative leaders argued the plan covers essential services while trimming total spending below the prior year’s level. Several Democrats pushed back, contending that the budget shortchanges schools, healthcare, and environmental needs. They also took aim at a roughly $300 million tax reduction package, arguing it benefits special interests over working Floridians.
Among the points of Democratic criticism: a gas tax suspension championed by DeSantis in 2022 was left out of the final tax package, while a tax break on gun accessories, including silencers, was included.
By the Numbers
- $114.5 billion — Total budget for FY 2026-27
- 99-6 — House vote margin; the Senate voted unanimously in favor
- $300 million — Approximate size of the accompanying tax cut package
- $250 million — Earmarked for an emergency fund controlled by DeSantis, used in part for immigration enforcement
- $50 million — Set aside to help fund a new Tampa Bay Rays stadium near Hillsborough College
- $4 million — Appropriated as compensation for the Groveland Four
- $60 billion — Property taxes collected statewide in 2025, according to the Florida Chamber of Commerce
The Property Tax Fight Ahead
Legislators will return to Tallahassee Monday for a three-day special session focused on property tax reduction. DeSantis has formally proposed increasing the state’s homestead property tax exemption to $150,000 of a home’s assessed value beginning January 1, 2027, rising to $250,000 beginning January 1, 2028.
To place the proposal on the November ballot, the governor needs support from 60 percent of each legislative chamber — a high threshold that he is reportedly pressing hard to reach. Democrats in both chambers said DeSantis has been personally contacting lawmakers on both sides of the aisle to build support.
House Democratic Leader Fentrice Driskell of Tampa said colleagues across the aisle understand the plan is “wildly unpopular” and that it would harm local governments and public schools.
Senate Democratic Leader-elect Tracie Davis of Jacksonville acknowledged divisions within her own caucus: “We know we’re going to have members on both sides,” she said, adding there is currently “no consensus” in the Senate on the measure.
Opposition has emerged from multiple directions. The Florida Association of Counties sent a letter to all 160 legislators urging a no vote, arguing that property taxes are “local by design” and that the governor’s plan amounts to a tax shift that would undermine locally controlled services. The Florida Education Association also came out against the plan, warning it would deprive public schools of critical funding.
The Florida Chamber of Commerce, which often aligns with DeSantis, said it would evaluate the proposal’s fiscal impact with its members before taking a position — a notably cautious stance given the Chamber’s usual posture.
If the measure clears the Legislature and passes voter approval in November with at least 60 percent support, the expanded exemption would take effect as scheduled. Those are two significant hurdles, and the outcome of Monday’s special session remains uncertain. Readers tracking Florida’s 2026 governor’s race may find the property tax vote an early indicator of which candidates are willing to align with — or break from — the current governor’s priorities.
What’s Next
DeSantis has twice in recent weeks referenced his power to veto individual line items from the budget — and has acknowledged using that leverage to advance his legislative agenda. Several senators noted the threat casts a shadow over the member projects they championed, including water infrastructure, road funding, and social service grants for their districts.
Budget vetoes are expected in the weeks ahead. Meanwhile, the special session beginning Monday will test whether DeSantis can assemble the legislative supermajority needed to send his property tax proposal to Florida voters in November. The outcome could shape the political landscape heading into the 2026 election cycle, including state Senate races across South Florida and competitive congressional contests.