Special Legislative Update: State session extended to June

By extending the current session until June 6, leaders hope to finish their work on not only the Florida budget, but a few of the marquis bills such as Senate Pres. Ben Albritton’s “Rural Renaissance” legislation, an omnibus tax bill, and assorted legislation related to spending authority. All other pending bills have died and must be introduced again in 2026.

In April, the Florida House and Senate passed their respective budget proposals, with the Senate's budget totaling $117,355,632,050 and the House's budget totaling $112,953,017,248 — a difference of about $4.4 billion. 

Gov. Ron DeSantis and House Speaker Daniel Perez have offered up big-ticket tax relief items, including a permanent reduction in the state sales tax from 6% to 5.25% (Perez) or significantly lowering/eliminating property taxes (DeSantis) – both estimated to cost $5 billion. The Senate has offered a permanent elimination of the sales tax on clothing and shoes, along with the potential for a property tax decrease using Tourist Development Taxes to offset the difference. 

To date, no final compromise has been reached on narrowing the gap. Finally, last week Perez announced the creation of a special property tax committee (which includes St. Johns County Rep. Judson Sapp) that will hold hearings on the economic aspects of each proposal and make recommendations to the Legislature in the 2026 session.

Below is an update on several of the important issues the Chamber is engaging on that will have a direct impact on St. Johns County businesses:

Elimination of the state sales tax on commercial rents  

The Chamber has strongly supported the elimination of this tax as a way to keep the local business community competitive. The Legislature is moving forward with another reduction effort from the current 2% to 1.25%, a reduction contained in both the House and Senate budgets. Final action on the commercial rent tax reduction/elimination will not occur until the closing days of the extended session, bundled into the tax/budget process.

Funding requests for county infrastructure projects

The county has a huge backlog of unfunded road and infrastructure needs. The Chamber is supporting St. Johns County's requests for substantial state funding to widen SR16, upgrade SR206, SR207, SR 208 and CR210, and to extend CR2209 and SR312/313. The county has also requested funding to address beach erosion south of the Guana Reserve, as well as funding for the completion of the feasibility study for a transit rail line between Jacksonville and St. Augustine. 

Why does this matter? Getting around St. Johns County is not always easy. Businesses are negatively affected as employees cannot get to work in a reasonable amount of time, residents are hesitant to get on the roads to go about their daily activities, and our quality of life suffers as we spend more time in traffic. State funding requests will go a long way to upgrading infrastructure as the county continues to grow and prosper.

What can you do? Urge support of the county legislative delegation for these high priority road and infrastructure investments.

Attainable housing

The median home price in St. Johns County is more than $550,000; many workers cannot afford to live here. Last year, the State Legislature amended the Live Local Act to further incentivize builders and developers to construct more housing at more affordable prices. 

• Live Local Act Amendments (Lopez/Calatayud) Florida is in the midst of a housing affordability crisis, particularly impacting the “missing middle”—those who earn too much for traditional affordable housing but too little for market-rate homes. This challenge is pushing young professionals and essential workers including teachers, healthcare professionals, and first responders, out of the communities they serve and out of Florida, leading to a loss in workforce retention and hindering Florida’s long-term economic growth. Latest action: SB 1730 was passed as amended by the Florida House and Senate on May 1 and has been sent to DeSantis for his signature. Among the highlights:
  • The legislation changes zoning and development rules and requires counties and municipalities to allow multifamily and mixed-use residential developments in certain flexibly zoned areas. At least 40% of multifamily rental units must meet affordability standards, while 65% of mixed-use developments must be for residential use.
  • Counties and municipalities must reduce parking requirements for developments near transit hubs, though certain regulations can still be placed on density, floor area ratios, and height of developments.
  • Developers can include adjacent parcels of land in proposed multifamily developments. Religious institutions will also be able to approve affordable housing developments on their lands.
  • The legislation, effective July 1 if signed by the governor, also provides for public sector and hospital employer-sponsored housing.

• HB 247/SB 184 Accessory Dwelling Units (Conerly/Gaetz) Requiring, rather than authorizing, local governments to adopt an ordinance to allow accessory dwelling units in certain areas; authorizing a local government to provide a density bonus incentive to landowners who make certain real property donations to assist in the provision of affordable housing for military families; requiring the Office of Program Policy Analysis and Government Accountability to evaluate the efficacy of using mezzanine finance and the potential of tiny homes for specified purposes, etc. Latest action: Senate Appropriations Committee on Transportation, Tourism, and Economic Development approved unanimously; Senate Rules Committee approved unanimously on April 1, 2025. These bills have been added as amendments to the Live Local Act bills above, where both were approved during floor action the week of April 21. 

Why does this matter? The lack of attainable housing impacts businesses’ ability to expand and hire workers, including first responders and teachers. As workers seek housing outside the county, local employers will struggle to attract and retain employees due to increased commute times and associated costs, or employers will be forced to pay more to hire and retain employees.

What can you do? Contact our Legislative Delegation members and urge them to support further amendments to the Live Local Act that would encourage builders and developers to increase attainable housing options in the county.

Workforce development

With our partners at First Coast Technical College, St. Johns River State College, the St. Johns County School District and private sector employers, the Chamber's goal is to develop a well-educated, homegrown talent pipeline. The Chamber supports state appropriations and grants designed to grow a strong local workforce. Legislation we're following:

• HB 571/SB 1094 (Rep. Kendall/Sen. Simon) Career Planning Opportunities for students This bill strengthens Florida's K-12 education system and talent development by integrating career planning, work-based learning, and apprenticeships, expanding access to paid opportunities for students over 16 through career fairs, and creating a framework for awarding postsecondary credit for apprenticeship-related education, enhancing career mobility and educational advancement. Latest action: Approved unanimously by the House Careers and Workforce Subcommittee and is now headed to the House floor. The Senate companion measure has not moved since introduction.

Why does this matter? Employers need a pipeline of qualified workers to fuel growth and prosperity. Developing homegrown talent not only provides jobs for St. Johns County residents, but also it helps ensure a solid future for our local economy. We need young people to stay in St. Johns County, find work in St. Johns County and keep us moving forward.

What can I do? To get involved in local workforce development programs or to learn how your business can benefit from the many available programs, contact Scott Maynard, the Chamber’s senior vice president of economic development and public policy. You can also encourage these programs by sharing support for state and federal funding for workforce development in the county.

Tourism Development Funding

As St. Johns County’s largest source for employment and revenue, a strong tourism and hospitality industry is vital to the economic well-being of our community. The Chamber has long supported tourism development efforts, including Visit Florida, the state’s nonprofit tourism development corporation, which assists bringing visitors to areas like St. Augustine and Ponte Vedra Beach. This year, both the House/Senate and DeSantis’ budgets recommend full funding of $80 million for Visit Florida. The Chamber also strongly opposes any effort to divert tourist tax revenues away from localities or to allocate the revenues to fund non-tourism related programs. Legislation we're following:

• HB1221/SB664 (Rep. Miller/Sen. Trumbull) Local Option Taxes including Bed Tax This bill requires that any local discretionary sales tax, tourist development tax, or local option food and beverage tax that is subject to approval in a referendum that is in effect on June 30, 2025, be renewed on or before Jan. 1, 2033, in accordance with existing requirements for a referendum. The bill creates a new 8-year duration for those taxes. Future levies that will be pledged for debt service are subject to a maximum 30-year duration. If approved, this Local Option Tax legislation could require local Tourism Development Taxes (like St. Johns County's bed tax) to be reauthorized by voter referendum every 8 years.

• HB1221/SB7033 (House/Senate state budgets) Amendments were filed April 21 to SB 7033 and HB 1221, now included in the House-passed budget and subject to conference. This legislation would prohibit the use of Tourist Development Taxes for their intended purpose of promoting tourism. Instead, these amendments would divert TDT revenue to offset proposed property tax levies – with no guarantee that local businesses would benefit from the tax relief. We must protect the tourism industry – St. Johns County’s top employer and chief economic driver. The proposed changes to TDT threaten the livelihoods of millions of Floridians and the sustainability of businesses like our Chamber members.

Why does this matter? Visitors to St. Johns County spend billions of dollars here each year, supporting many sectors of the economy. According to county data, in 2023 visitors spent more than $2.4 billion locally. Additionally, the county’s Tourism Development Tax (paid primarily by non-local tourists) provides more $23 million annually to support the local tourism and hospitality industry, allowing businesses to hire more workers and improve their facilities. We all understand the importance of easing property tax burdens, but this proposal completely undermines the purpose of Tourist Development Taxes, which are essential for keeping St. Johns County top of mind as a travel destination. Without these investments, our ability to attract visitors will decline — harming our businesses, our communities, and our workers. If these changes pass, the impact on our local hospitality industry will be severe and irreversible. This is not just about numbers — it's about real people, real jobs, and the future of Florida's economy.

What can I do? Contact members of the county’s State Legislative Delegation to let them know how important tourism funding is for St. Johns County, including the need for continued funding of Visit Florida. Urge our legislators to OPPOSE sunsetting of our county's Tourism Development Council and its ability to use Bed Tax dollars to promote St. johns County as a tourism destination.

Other bills we're watching:

• SB 466 (Leek) Florida Museum of Black History The Senate Committee on Community Affairs reported the bill favorably on March 11; next committee stop is Senate Appropriations. This bill provides for the creation of the Florida Museum of Black History Board of Directors, including a selection process for board members. It directs the board to oversee the commission, construction, operation, and administration of the museum, working jointly with the Foundation for the Museum of Black History, Inc. and the St. Johns County Board of County Commissioners, which will provide administrative support and staffing to the board for pre-construction activities. Latest action: Approved on the Senate floor by a unanimous vote of 35-0 on April 9. The bill has not been acted on by the House by the May 2 deadline, which effectively kills the measure for 2025.