If plans being made by the Florida Legislature come to fruition, Florida homeowners could receive a significant reprieve on property taxes. A new proposal coming from a vote by the state’s Taxation and Budget Reform Commission on Monday would cut property tax and increase sales taxes by a penny.

The proposal is to be placed as an amendment on the ballot for the general elections on November 4 and similar to the property tax amendment vote during the January 29 primary elections, will require 60 percent of the vote in order to pass and become effective.

The amendment would mean that the average property tax throughout the state could be reduced by an average of 25 percent, and as high as 33 percent for Miami-Dade homeowners and 36 percent for those in Broward. In order to realize this significant reduction, the state and its various counties would see sharp reductions in revenue that make up school budgets. This is because in order to realize the property tax cut, taxes would be sacrificed that go towards financing these schools. It is estimated that $9.3 billion would be lost to schools from the reduction in property taxes.

However, the proposal recognizes this loss and plans to make up the deficiency by increasing sales tax by one cent, and eliminating tax exemptions on services and products that do not advance or serve the public purpose. Food, rent, medicine, electricity, and religious institutions, however, would remain protected from any tax. Any difference outstanding for school budgets that remain from the proceeds of the increased sales tax would be filled in by the Legislature. If approved, the amendment would take effect in the 2010-11 fiscal and school year.

The possibility that the proceeds from the increased sales tax could not adequately make up the billions lost to schools is a concern for South Florida school executives. The Miami-Dade school district board management thinks that depending on sales tax to fund the schools is not as reliable as depending on the proceeds from property tax. Broward County’s school superintendent, Jim Notter, is reported to be skeptical about some of the plans to make up the shortfall should the proceeds from sales taxes be insufficient.

The passage of this proposal in the Legislature bears characteristics of one long submitted by House Speaker, Marco Rubio, who is reported to have lobbied the commission members to pass the new proposal. Twice last year, he tried, unsuccessfully, to push through a property tax/sales tax swap proposal.

While several of South Florida’s Caribbean and African American homeowners indicated that they would support a increase in sales tax should property taxes be cut significantly, they assumed that the increase in sales taxes would be sufficient to meet the state’s budgetary allocation for schools.

“Now I am not too sure,” said Lesleen Rollins, a Miramar Librarian and homeowner. She told the National Weekly that she would prefer that nothing is left to politician’s involvement. “Politicians are legend for not keeping promises made. Honestly, the plan seems good, but I would prefer paying a two-cent sales tax increase which should adequately make up the deficit from the cut in property tax for financing our schools, rather than leave it to the state’s legislature to make up the difference. We can’t afford to risk our schools’ financial health. Should there be real relief from property taxes most homeowners should be able to afford a two cent increase, but I understand that other people would not be able to afford this. Still, I am not comfortable leaving it up to the Legislature to make up the difference. Another way must be found to meet any deficiency.”