6/17/25 update:

Last night the Florida Legislature finalized the state budget and the “Tax Package.” It includes two notable provisions related to the Tourist Development Tax (TDT):

  1. Lifeguard Funding Expansion (Lines 96-100 of attached)
    A new provision would allow counties to use TDT revenue to fund lifeguards expanding the list of permissible TDT uses.

Here’s the language:
F.S. 125.0401(5)(a) 7. To employ, train, equip, insure, or otherwise fund the  provision of lifeguards certified by the American Red Cross, the Y.M.C.A., or an equivalent nationally recognized aquatic training program, for beaches on the Gulf of America or the Atlantic Ocean.

  1. Infrastructure Spending Expansion for Fiscally Constrained Counties (See lines 79-81 of attached)

Currently, only counties collecting at least $10 million in annual TDT may use those funds for certain infrastructure projects. This bill would expand that authority to include fiscally constrained counties as well.

To qualify, counties must still:

  1. Secure a two-thirds vote of the county commission,
  2. Allocate at least 40% of TDT revenues to tourism promotion and advertising,
  3. Obtain an independent professional analysis, and
  4. Fund no more than 70%of the infrastructure project with TDT revenue.

While disappointing, these provisions are far less damaging than the sweeping threats we’ve worked together to fight against over the past 2½ months.

This budget, totaling $115.1 billion, is now in the hands of the Governor to sign or veto before July 1, when the budget will take effect.

We’ll turn our attention to preparing for the next Legislative Session, which begins January 13, 2026. Thank you for your continued support!

6/16/25 update:

According to Destinations Florida and the Florida Restaurant & Lodging Association, a vote is expected tonight (Monday, June 16) on the Florida budget bill. Good news, the anti-TDC provisions were removed from the state budget. The new bill:

  • Permanently eliminates the business rent tax
  • Allows coastal counties to use TDT to fund lifeguards on beaches
  • Allows the use of TDT for infrastructure funding in “fiscally constrained counties,” which previously couldn’t access TDT for public facilities (doesn’t apply to Monroe County)

Thank you to everyone who took action to write, call or email House and Senate Representatives about the positive power of tourism and its importance to the Florida Keys.

However, we can’t rest on this success! We need to continue to educate against undermining our #1 economic engine before next year’s legislative session. A coalition of legislators, who are seeking drastic change in their own counties, are building a coalition that could be damaging to several counties in Florida, including Monroe County, as evidenced by this quote in this June 14 Florida Politics article that provided an update on the TDT tax in the budget bill:

“‘The fact that our proposal came so close to crossing the finish line proves there is wide support behind the flexible use of hotel taxes to fund community needs like public transit. Our reform coalition is growing rapidly and now includes bipartisan support from both chambers,’ said Sen. Carlos Guillermo Smith, the Orlando Democrat who had been fighting for changes.”

Please continue to make your voices heard using the resources below!

6/12/25 update:

According to Destinations Florida, HB 7033 has been indefinitely postponed and withdrawn from consideration. That means, as of today, there are no active bills proposing changes to the Tourist Development Tax (TDT). That’s great news.

However, we’re not in the clear just yet. Lawmakers will soon release a new tax package that serves as the vehicle for all remaining tax-related provisions. It’s been “any minute now” for several days, which is why we’ve waited to provide a meaningful update until now.

The Budget Conference has been extended until Wednesday, June 19. Negotiations are ongoing, and the final contents of the tax package will be determined in the coming days.

All verbal signals from Senate leaders indicate the House’s proposal to eliminate TDCs and redirect TDT is not going to happen. While encouraging, nothing is resolved until session is complete.

Destinations Florida will send out a notification when the tax package is released, especially if it includes any language that could impact TDT.

6/2/25 update:

According to Destinations Florida, on Friday, May 30, leaders announced an agreement on silo allocations and some tax cut provisions, but no other issues have been resolved. The Budget Conference starts Tuesday with plans to pass the full budget by June 16.

HB 7033 remains active. It still includes language that would strip Tourist Development Taxes (TDT) and dissolve all TDCs. Several Senators (and many members of the House) have made it clear they oppose these extreme changes, but nothing is off the table until a deal is signed.

5/16/25 update:

According to Destinations Florida, the Florida House and Senate are now at an impasse.

House leadership has doubled down, pushing for a sweeping tax package that includes HB 7033 – the proposal that would eliminate funding for tourism promotion and dissolve every Tourist Development Council (TDC) in Florida. The Senate and Governor have expressed concerns about the permanent sales tax cuts the House has proposed.

The House reconvened Tuesday, May 13 to extend to June 30 and hold committee meetings. The Senate has made no plans to return to Tallahassee.

5/7/25 update:

The Florida Senate has its own version of the HB1221 bill, which does not currently include any of the TDT provisions that are in the House bill.

The Florida Legislature is back in session May 12 through June 6 and is expected to continue deliberations on the proposed tax package. 

The legislative session (originally scheduled to end on Friday, May 2) is ongoing and no final decision has been made. It could be June before there is a final decision.

4/25/25 update:

The Florida House passed the Tax Package (HB7033 and HB1221) with amendments on 4/25, including:

  • Severely restrict future investment in tourism marketing
  • Eliminate county tourism promotion agencies
  • Reduce (originally 100%, now 75%) the amount of non-contracted tourist development taxes to be redirected to offset property taxes.

Which if passed, would have a dire impact on our tourism economy in Monroe County and Florida overall.

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Proposals to severely eliminate county tourism promotion are moving through the Florida Legislature.

Amendments to House Tax Package - HB 7033 and HB 1221 - would eliminate the use of Tourist Development Tax (TDT) revenues for tourism promotion and marketing.

This legislation is a direct attack on Florida’s tourism industry and the millions of Floridians whose jobs, businesses and communities rely on visitor spending.

If passed, these bills would:

  • Eliminate or severely reduce funding for tourism marketing and facilities
  • Dissolve every Tourist Development Council in Florida by the end of the year
  • Force a referendum every eight years just to keep local tourism dollars
  • Bring about a loss of jobs in the Keys, not just at hotels and attractions, but in all segments of the community
  • Cut critical tourism funding for coral restoration, beach cleaning, funding for Keys arts and culture and more.

Tourism is Florida’s number one economic driver and visitors fund our Monroe County economy. 

If these bills pass, residents will pay more and get less. And other states will benefit from our loss. 

Now is the time to act. Destinations Florida is asking us and all of you to:

  • Contact your representatives and senators and urge them to vote NO on this legislation
  • Make your voice heard with the local media
  • Share your stories with us about how tourism impacts your business and community and what is at stake. Send to: tdcalert@fla-keys.com

The Florida Keys rely on tourism. Let’s protect our future and make our voices heard.  

RESOURCES:

REPRESENTATIVES: