Jacksonville Mayor Donna Deegan, a former newscaster, is urging citizens to “read between the headlines” and look at the details of a tax cut plan from state lawmakers that she says is too good to be true.
The first-term Democratic Mayor warns that if a constitutional amendment to increase the homestead exemption passes, a decrease in city services will follow amid a “Tallahassee takeover” that threatens the city’s “load-bearing wall” of reliable revenue.
“A $300 million hit is not a small hit,” Deegan told reporters. “We’d obviously have to cut services.”
Deegan said the “bait-and-switch” tax cut, though enticing, will “hurt more people than it helps,” and is merely a “cost shift, a shell game” that “benefits half the city” but impacts everyone.
“It’s like an outsider coming into your kitchen table and demanding that you cut 1/3 of your family budget,” Deegan said.
“This proposed reduction will inevitably result in roads deteriorating, libraries, pools and parks closing, public safety response times going up, housing affordability, worsening, and more homeless on our streets.”
She also noted that pressures would increase, especially given the city’s decision to allow public safety employees to join the Florida Retirement System.
“Remember, our property tax revenue today has barely paid, barely covered the cost for just police and fire. In the coming months, as we continue to take better care of our police and firefighters, as we promised them we would do, those costs will go up considerably. They’ll take more of those property taxes. Would you have us not do that? Would the state have us not do that?”
She also took issue with the narrowly tailored list of essential services from the state plan as being ignorant of true return on investment.
“The services that fall outside the state’s approved list are precisely the ones that have the greatest return on investment for our city: libraries, parks, public health, literacy, housing and homelessness programs. The result is every dollar saved destroys several dollars in economic value for our citizens.”
The Legislature approved putting the matter in front of voters in November. If at least 60% support it, the homestead exemption will be increased to $150,000 next year and $250,000 in 2027, with further potential raises contingent on legislative approval during implementation.
Local governments would be limited in what they can fund under this proposal to public safety, infrastructure, schools, debt service and pensions. County constitutional officers like Elections Supervisors, Clerks of Court, Property Appraisers, and County and City Commissions would also be funded.
Deegan then compared the city’s spending and return on investment to what was happening six years ago, when Lenny Curry was Mayor, responding to state leaders holding up 2019 budgeting levels as optimal by way of making the case that cities around the state are overspending on pork and bloat.
“Six years ago, police and fire hadn’t had a significant raise in years, or the pension benefits that they deserved. In 2020, 74 miles of road were repaved. This year, we’re on pace for 108,” Deegan said.
“When we came into office, pools were green and closed. This Summer, for a third year in a row, 30 pools are open. Six years ago, we were demolishing buildings all over downtown, and today we’ve got cranes in the air everywhere. We’re doing all this, and more, with the lowest taxes. Our choice. We have purposely kept taxes low, for which we will now be punished. The lowest taxes of any major city in the state of Florida.”
Deegan questioned the utility of state lawmakers attempting to understand local budgetary needs.
“Here’s the plain truth. This is not conservative government or being fiscally responsible. It’s a Tallahassee takeover,” Deegan said. “It moves all the important decisions about quality of life, your quality of life, away from you to unknown representatives in Tallahassee, all for a power grab. We get lectured often about big government. But that’s exactly what this is. Local government is your government closest to the people.”