First House panel OKs measure calling for tax breaks to aerospace companies

The House Ways & Means Committee has approved a measure that calls for tax breaks for private contractors working on space projects in Florida.

The bill (HB 1177) would provide property tax and sales and use tax exemptions for companies working on space programs hired by Space Florida, the state’s space project development agency.

Rep. Tyler Sirois, a Merritt Island Republican, said the measure is designed to keep Florida aerospace programs competitive across Florida, not just limited to the areas surrounding Cape Canaveral. He noted that aerospace development is gaining momentum at Cecil Spaceport in Jacksonville and Cape San Blas in the Panhandle, among other installations.

“We need to move forward in a way that keeps up with the industry and we need to be aggressive, because I’m here to tell you, California, Texas, Alabama, these states are not slowing down in challenging us for what historically has been an industry that we’re head and shoulders above our peers,” Sirois said.

Rep. Anna Eskamani, an Orlando Democrat, said she’s concerned about giving tax breaks to private companies even when they’re working on public projects because many governmental tax incentives are being challenged in courts.

“This is the Statehouse, not a courthouse,” Sirois said. “What I’m here to do is put forward to you opportunities for us to continue to advance the footprint of this industry.”

Eskamani was the only Committee member to vote against the measure, while 18 others approved.

The legislation comes as Space Florida is reporting record-breaking aerospace activity. In 2025, Space Florida oversaw a record 109 launches from Sunshine State facilities. In January, Space Florida officials projected that figure would likely be eclipsed this year.

The measure now heads to two other House panels: the Transportation & Economic Development Budget Subcommittee and the Commerce Committee.

A similar bill (SB 1512) is making its way through the Senate, having been OK’d in one of three assigned Committees.