(The Center Square) – After weeks of verbal sparring, Florida lawmakers reached a tentative budget deal that would include $2.25 billion in tax relief.
In memorandums issued to their members, House Speaker Daniel Perez, R-Miami, and Senate President Ben Albritton, R-Wauchula, also said the Legislature is scheduled to end the session June 16.
Tax relief in the budget package includes the elimination of the business rent tax ($900 million) and permanent sales tax exemptions that Perez said were targeted to Florida families ($350 million). The deal also includes $250 million in debt reduction.
He also said lawmakers would take up a joint resolution to amend the state Constitution to raise the cap on the Budget Stabilization Fund, better known as the rainy day fund, from 10% to 25% and require an annual payment ($750 million) into the fund until the cap has been reached.
Legislative leaders also said the annual payment of $750 million will be held in reserve for the next two fiscal years and will be automatically transferred to the fund if 60% of voters approve the amendment in the November 2026 election.
Budget conference meetings will begin on Tuesday and end on Thursday before lawmakers return on June 16 to vote on the conference report and other measures after a constitutionally-mandated 72-hour period.
In his letter to the Senate, Albritton said “the framework set forth in these allocations provides for a fiscally responsible, balanced budget that reduces state spending, lowers per capita spending, and reduces the growth of state bureaucracy.”
“The budget authorizes early payoff of state debt, accounts for significant, broad-based tax relief, and builds on historic state reserves for emergencies,” Albritton added. “New reporting requirements throughout the budget will safeguard taxpayer dollars and improve accountability, transparency and oversight of government spending.”
Perez had accused Albritton of “breaking his word” on May 13 after the two sides reached a tentative budget deal that included $2.5 billion in tax relief. The House wanted a cut in the state’s overall sales tax rate from 6% to 5.25% while the Senate wanted a smaller amount.
Albritton said Gov. Ron DeSantis’ threat to veto any sales tax reduction was a concern for senators, which would have also eliminated any chance for property tax reductions supported by the governor.
He also said his members were concerned about the state’s ability to deal with any large-scale downturn in the state’s tax revenues.