Orange County Faces $275 Million Tax Loss After Amendment 3 Passage

Tiffany Moore Russell will begin her tenure as Orange County’s first Black woman mayor with a major financial challenge to solve. The county stands to lose $275 million in property tax revenue by the 2028-29 fiscal year due to the passage of Amendment 3. This constitutional change, approved by 62% of Florida voters, raises the homestead exemption limit from $50,000 to $150,000 starting next year. The exemption will increase again in 2028, reaching a total of $250,000.

The tax reduction means homeowners will pay property taxes as if their homes were worth $250,000 less than their actual market value. County staff estimate this shift will create a substantial gap in the local budget. Moore Russell said the county will likely need to reduce public services or implement new charges to offset the lost funds. She has not yet committed to specific program cuts or fee structures.

Moore Russell, who previously worked as a government employee, campaigned against Amendment 3 before the election. Now that the measure is law, she must determine how to adjust county operations. She stated that her transition team will focus on effective government, opportunity, and quality of life. She described these goals as intentionally broad to avoid predetermined answers during the early stages of her administration.

The mayor-elect emphasized the need to listen and understand the challenges ahead. She said she believes the county has skilled staff who have already been exploring potential scenarios. She plans to review their findings before making final decisions. Moore Russell indicated that hiring processes and capital improvement projects may be areas where the county pauses work. She also said the recently approved spending plan for $862 million in tourist development tax revenues is open for reconsideration.

Moore Russell raised concerns about that spending plan last month, noting the public needed more time to review it. She described the amendment as providing a different perspective that requires the county to pivot on existing plans. She announced that Michael Griffin will head her transition team. Griffin is the senior vice president of advocacy and public policy at AdventHealth. He previously held senior leadership roles at Walt Disney Parks and Resorts and worked for 25 years as a reporter and editor at the Orlando Sentinel.

Moore Russell launched a new website on Wednesday to provide residents with updates on her transition. The site will serve as a central hub for information regarding her arrival in the mayor's office. Her team will use the platform to communicate decisions and progress as they address the financial realities created by Amendment 3.