Mayor Levine Cava's budget proposal includes a slight tax rate reduction, leading to higher tax bills
Miami-Dade County homeowners may face slightly higher tax bills despite a proposed 1% reduction in the tax rate, according to Mayor Daniella Levine Cava's 2024 budget plan. The decrease comes after almost a decade of stagnant taxes and aims to provide relief to property owners as inflation drives up property values. However, the proposed rate cut would still result in higher bills due to the growth in property values outperforming the reduction.
Aiming for smart investments: Levine Cava's budget proposal
Mayor Levine Cava plans to present her $11.7 billion spending plan in a press conference, advocating for smart and targeted investments that promote prosperity and well-being for all Miami-Dade County residents. While the county's treasury receives a boost from a 12% increase in property values, it also faces the end of over $300 million in federal COVID aid that previously funded various salaries, services, and initiatives in the 2023 budget.
Last year, commissioners approved Levine Cava's 1% property tax rate mreduction proposal, which included funding municipal services, rescue services, and the Miami-Dade library system. This year, the mayor aims to maintain flat rates for these taxes and implement a 1% reduction in the countywide tax.
Implications for homeowners
Miami-Dade County has experienced rare tax rate changes in recent years, with a flat countywide rate between 2015 and 2022. However, even a slight reduction in rates leads to higher property taxes for most homeowners. Florida law restricts increases in assessed values for primary residences up to a 3% rate of inflation.
With inflation exceeding 6% in the past two years, taxpayers have faced maximum caps. Considering a 3% increase in assessed values and a 1% decrease in the countywide rate, the average homeowner with a property assessed at $303,000 would see an additional $30 on their 2024 tax bill.
If the countywide tax rate remains flat, the increase would rise to around $40. While the average homeowner may save $10 due to the lower rate, this reduction is estimated to cost the Miami-Dade budget approximately $17 million, based on calculations by the County Commission's Office of Policy and Budget Affairs.
Financial challenges lie ahead for the county due to the establishment of a rapid-transit bus line, new union contracts, a new civil courthouse opening, and the restructuring of various departments into independent agencies with separate budgets. County officials warn that any rate adjustments should consider the long-term impact and the need to fund essential services for residents.