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West Palm Beach warns property tax reform could cost city $30 million and cut key services

City leaders say a proposed property tax reform measure could strip millions from West Palm Beach's budget and limit how cities spend tax dollars
WPB property tax cuts
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WEST PALM BEACH, Fla. — A proposed property tax reform measure could appear on Florida's ballot this November — and while it promises savings for homeowners, West Palm Beach leaders warn it could come at a steep cost to city services.

City officials say West Palm Beach could lose at least $30 million by 2029 if the measure passes.

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West Palm Beach warns property tax reform could cut city services

Governor Ron DeSantis has been pushing for the reform, arguing taxes are too high and driving people out of the state.

"A lot of people, they just want the relief, they need the relief," DeSantis said.

West Palm Beach resident Carolyn Reikenis said the idea of saving money is appealing — but complicated.

"The idea of paying less taxes is appealing, but also if it means that the city is being, you know, hurt by that decision, then it's complicated," Reikenis said.

City officials say more than half of West Palm Beach's general fund currently goes to public safety. City Administrator Faye Johnson said the financial hit would force the city to restructure.

"There's no way we would be able to escape not having to look at how we would reshape our organization," Johnson said.

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Beyond reducing tax revenue, leaders say the measure would also limit what cities are allowed to spend property tax dollars on — a detail they say most residents are unaware of.

Under the proposal, property tax spending would be directed mainly toward public safety, schools, infrastructure projects, and basic government operations.

Mayor Keith James said the dual restrictions are a serious concern.

"They're telling us not only they're reducing the money, they're telling us what we could spend the money on," James said.

"It's an abdication of home rule to the highest degree," James said.

James said the reform would not allow — or would dramatically reduce — funding for services like park maintenance, libraries, and sanitation, all of which currently rely on property tax dollars to operate.

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When I asked Reikenis whether she was aware of the spending limitations placed on cities under the proposal, she said she was not.

"No, no," Reikenis said.

City leaders say residents could lose quality-of-life services and face staffing cuts. Officials have also raised the possibility of increasing fees for services currently funded by taxes — such as trash pickup and park entry.

"Obviously not good, you know, our quality of life is very much, very important to us," Reikenis said.

The city says it plans to launch an education campaign to ensure residents understand what could change with their vote this November.

This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.

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