by Max Marbut
Staff Writer
When you’re the guest speaker at the Rotary Club of Jacksonville, the members ask you questions that are topical and direct to the point.
Duval County Tax Collector Mike Hogan arrived with a presentation that explained the role and responsibilities of the tax collector. He also shared some of the possible ramifications if the constitutional amendment on property taxes is approved by the state’s voters today.
Then came the Q-and-A portion of the program.
“So Mike, are you going to tell us how you’re going to vote on the amendment?” Hogan was asked.
“I have already voted on it,” he replied and didn’t miss a beat when he added, “I voted ‘no’ and I’ll be glad to tell you why.”
Hogan said he believes changes that would become law if the amendment passes would be unfair for more than one reason.
“Those who would receive the most (tax) relief in this amendment are those who need it the least, and those who need it the most basically get nothing. Portability will increase the inequity that has already been caused by Save Our Homes,” he said.
Inequity isn’t the only reason Hogan said he voted against the amendment.
“I think the 10 percent cap is too high,” he said. “There have only been a couple of times in history that property taxes have risen more than 10 percent in one year.
“Many people believe that portability is unconstitutional. The legislature paid an expert to give them an opinion and he told them he thought it violated the U.S. Constitution,” he said.
Hogan also pointed out that the revenues reduced if the measure is approved don’t even go to the State, but the amendment will force cities and counties to implement new sources of revenue to compensate for their losses.
The aspect of the proposal that most weighed on his decision to vote against the amendment, Hogan added, was “It allows local governments to recoup any losses caused by the amendment. That could negate any tax savings the amendment might achieve.”
He pointed to stormwater fees, solid waste fees and utility franchise fees as examples.
“I’d rather pay more on my property tax bill because I can deduct that on my federal income taxes. You can’t deduct fees,” said Hogan.
He also talked about some of the things he thinks might be on the November ballot in terms of tax reform. Hogan is on the 25-member Florida Taxation and Budget Reform Commission. The body has very broad powers, he said.
“I’m amazed at what we can do. The most unusual power is the right to place constitutional amendments directly on the ballot without the consent of the legislature or the governor,” he said.
With the support of 17 commissioners, an amendment would go directly to the ballot and would be sent to the state legislature with a simple majority. Hogan said the commission is considering 24 bills currently, including repealing the class size amendment.
The body is also considering a tax on services, but Hogan doesn’t think it will make it to the ballot. Also under consideration is a measure to put revenue and spending caps on city and county governments.
“Service taxes are probably the worst tax we could have because there’s no way to design a fair system,” said Hogan. “We’ve already repealed service taxes once in Florida. They have been tried in 34 states and repealed in all 34 states.”