Florida Gov. Rick Scott wants one of his enduring legacies to be a constitutional amendment requiring supermajorities in the state legislature to raise taxes.
Critics say the concept might not be a good fit for the Sunshine State.
Joseph Pennisi, executive director of the Florida Policy Institute, equated Scott’s proposal to a failed 2012 amendment that aimed to limit state revenues based on inflation and population growth. That proposal went down to defeat by 58 percent to 42 percent.
Colorado approved such a limit in 1992 and saw the percentage of children in the state who didn’t have health insurance increase twofold, Pennisi said.
“Florida can’t afford to follow in Colorado’s footsteps, especially with the current fiscal climate on the federal level, where big cost-shifts to states are on the horizon,” he told Watchdog.org.
Scott’s proposal is not in draft form, and the Governor’s Office didn’t respond to a query about what kind of supermajority vote – two-thirds, three-fourths or three-fifths – the governor favors. But the measure should apply to any taxes or fees the legislature might attempt to raise, according to Scott.
“While cutting taxes is important, we must prevent against unfair tax increases in the future so our progress is not undone,” the governor said in a prepared statement when he proposed the amendment. “It is my goal to make it harder for politicians to raise taxes on Florida families and businesses – and that can be achieved with an amendment to our state’s constitution.”
Florida TaxWatch backs Scott’s idea, which could go before the state’s voters by November of next year, but the research institute also urges the governor to proceed with a moderate supermajority percentage.
“A thoughtful, non-draconian supermajority vote requirement not only protects taxpayers, it can also help avoid a more severe tax or revenue limit that could improperly and imprudently constrain state government,” an October report published on Florida TaxWatch’s website said.
The governor’s proposal would make it more likely that lawmakers will cut excessive spending before calling on taxpayers to pay more, the report said.
Kurt Wenner, the institute’s vice president of research, said a supermajority amendment may help the state maintain economic growth in the future.
“What it does do is it provides a little bit of stability, which is what businesses like in terms of a tax policy …” Wenner told Watchdog.org. “If it holds down taxes, generally that’s good.”
If passed, however, the amendment wouldn’t likely have much effect on the Republican-dominated legislature’s actions because it has been cutting taxes for eight consecutive sessions, he said. Instead, the proposal is billed as a long-term protection for Florida taxpayers
“This is not a new concept for Florida because local governments have this already,” Wenner said, noting that a two-thirds vote is required by local agencies to raise property taxes beyond what’s needed to provide stable revenues from year to year.
Although Scott has not released details of his proposed amendment, Wenner expects more specifics soon, perhaps by the end of the year.
“I imagine that the governor will release it when he releases his budget proposal, which will be in the next couple months,” he said.
Florida TaxWatch does not favor having the supermajority amendment include state legislative committees, some of which have only five members, according to Wenner. And the research institute is calling for a three-fifths – or 60 percent – threshold on tax votes, as opposed to two-thirds or three-fourths.
And the 60 percent requirement would be calculated in terms of the full membership of each chamber of the legislature. In turn, efforts to raise taxes would require 72 votes in the House and 24 votes in the Senate.
“A non-draconian supermajority requirement will help to protect taxpayers and is also a responsible alternative to more severe measures that would violate the nature of the representative democracy that this great country is blessed to have been founded upon,” said the Florida TaxWatch president and CEO, Dominic Calabro, in a prepared statement.
Scott’s proposal has also gotten the backing state legislative leaders. Florida Senate President Joe Negron applauded the governor’s proposed amendment when it was announced, saying that Scott is committed to preserving Florida’s reputation for fiscal responsibility.
In addition, Negron said he takes seriously the need not to unduly burden state taxpayers.
“We have fought to lower that burden through cutting taxes and fees like vehicle registration fees and communication services taxes, and we have worked to maintain record levels of reserves to weather financial storms,” Negron said in an email to Watchdog.org. “I look forward to working with Gov. Scott to ensure our state remains fiscally responsible and financially healthy for Florida taxpayers.”