St. Augustine Braces for Potential Property Tax Cuts

City officials warn of significant service reductions if Florida Legislature reduces property taxes

Feb. 24, 2026 at 6:05pm

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The city of St. Augustine is preparing for the possibility of major budget cuts if the Florida Legislature passes a proposal to eliminate non-school property taxes on primary residences. City leaders estimate the move could result in a $7.8 million loss, representing nearly 60% of the city's general fund revenue. Officials say service reductions across all departments are likely, with public safety potentially impacted despite restrictions on cutting those budgets.

Why it matters

St. Augustine relies heavily on property tax revenue to fund essential city services like historic preservation, police, and fire departments. A significant loss of this funding could have widespread impacts on the community, raising concerns about public safety and the city's ability to maintain its unique character and quality of life.

The details

The leading proposal in the Florida Legislature, HJR 203, would completely eliminate non-school property taxes on primary residences. If passed, St. Augustine officials estimate it would result in a $7.8 million budget shortfall, representing nearly 60% of the city's general fund. While the bill restricts municipalities from cutting police and fire department budgets, the city says all other services would likely be impacted, as the various city departments are interconnected. One potential solution discussed is consolidating police and fire services with St. Johns County, although the current bill limits that option.

  • The Florida Legislature is scheduled to wrap up its 2026 legislative session next month.
  • City officials discussed the potential impacts during a workshop on Monday, February 24, 2026.

The players

David Birchim

St. Augustine City Manager

Jim Springfield

St. Augustine City Commissioner

Nancy Sikes-Kline

Mayor of St. Augustine

Jeffrey Leibovitz

St. Augustine resident

Ron DeSantis

Governor of Florida

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What they’re saying

“If we have to reduce the people who maintain trucks, then our utilities company who drives those trucks may have trouble getting and responding to their work environment. I'm just saying it's not black and white. There will be impacts to the system if there are (property tax) reductions.”

— David Birchim, St. Augustine City Manager

“We're paying county taxes — we're already paying for the Sheriff's Department, we're already paying for the fire department in the county — but if we have to cut a majority of our money, there's a good chance that we would say, we need to consolidate our services and maybe police or fire is the way to go.”

— Jim Springfield, St. Augustine City Commissioner

“I have to live within my means. The city has to learn to live within its means. Those of us who have gotten to that point in our lives where we're looking for some relief on taxes really would like to have some.”

— Jeffrey Leibovitz, St. Augustine resident

What’s next

The Florida Legislature is scheduled to continue debating various property tax relief proposals, with a goal of passing legislation before the end of the 2026 session next month.

The takeaway

The potential loss of significant property tax revenue poses a major challenge for St. Augustine, forcing the city to consider difficult choices between cutting essential services or raising taxes on other property owners. This debate highlights the broader tensions between providing tax relief for residents and maintaining the funding needed for local governments to function effectively.