Florida's affordable housing plan, DeSantis' elimination of CRT, DEI programs in higher ed, universal school choice bill, and more...
February 3, 2023 — This Week's Top Stories in Florida
Welcome to this week’s edition of Floridian Today, a newsletter about all things Florida — from politics, business, real estate, and climate. Reporting from the Sunshine State, these are the most important stories you need to know. To never miss an update, subscribe here:
Here’s the latest from Florida…
Florida’s plan to make housing more affordable
Florida has been in the midst of an affordable housing crisis for years, and the situation has only grown worse since the onset of the COVID-19 pandemic, with hundreds of thousands of new residents flocking to the state and demand outpacing the current housing supply. A 2022 report from the Florida Housing Coalition (FHC) outlines that over 2.1 million households are cost-burdened, paying more than 30% of gross income on housing costs. Of that number, more than half of those households – 1.2 million – pay more than 50% of their income on housing. The state has only 25 affordable rental units available for every 100 households that are considered extremely low-income, those making 30% or less of the area median income (AMI), the report by FHC also details. As such, in the months leading up to the 2023 Legislative Session, which begins March 7, affordable housing was deemed a leading priority for state lawmakers, including by Senate President Kathleen Passidomo (R-Naples). Last week, President Passidomo released the details of her legislation that aims to tackle Florida’s affordable housing crisis in Senate Bill 102, called the “Live Local Act,” filed by Senator Alexis Calatayud (R-Miami). The Live Local Act incentivizes private development, reduces local government regulations, and increases funding for state programs that make available attainable housing options for the workforce in the communities where they serve. SB 102 calls for historically high funding levels for the State Housing Initiatives Partners (SHIP) and the State Apartment Incentive Loan (SAIL) programs, and gives tax credits to corporations that contribute to SAIL (capped at $100 million annually). The latter is a state program that provides low-interest, competitive financing to affordable housing developers. The plan allocates $252 million for SHIP in the 2023-24 state budget – up from $209 million last year – and puts aside $259 million via documentary stamp tax revenue for SAIL, an increase of $231 million from the 2022-23 budget.
The 93-page bill expands down payment and closing cost assistance to frontline workers such as law enforcement officers, first responders, military personnel, veterans, educators, and healthcare professionals with $100 million through the Hometown Heroes Housing Program. To ensure the realization of workforce housing projects undergoing hardship in the development process, SB 102 provides $100 million in gap financing to developers who may be experiencing construction setbacks due to inflation, rising material, and construction costs, or other economic factors. These funds are appropriated in the current fiscal year and the remaining unallocated program dollars will apply to SAIL. Another program gives new or recently constructed developments that set aside a minimum of 70 units for middle-to-low-income households up to a 100% property tax exemption, depending on the unit’s AMI criteria. Additionally, local governments are granted authority to offer ad valorem tax exemptions to developers who dedicate units for extremely low and very-low-income households, defined as 50% AMI or below. A municipality can exempt up to 100% of each unit’s property tax value for developments that are exclusively dedicated to affordable housing, or up to a 75% property tax exemption for complexes where all units are not set aside for affordable housing. This would apply to both new and existing housing developments that have at least 50 units.
A challenge that SB 102 looks to address is expanding affordable housing options for the state’s workforce in the immediate areas where they are employed. This helps companies in their ability to recruit and retain employees by reducing workers’ commute times and promoting a higher quality of life for families. To meet this goal, the Live Local Act removes zoning regulations by local governments for proposed affordable multifamily residential projects in any area that is zoned commercial or mixed-use. Qualifying projects must set aside 40% of units for households up to 120% AMI for a 30-year minimum. Adding to this, the bill would prohibit local governments from imposing rent control measures in any form. The allocation of increased revenues specified in SB 102 for the various programs and incentives begins in the 2023-24 fiscal year and continues annually for ten years.
While the bill lacks a House companion version at the moment, House Speaker Paul Renner (R-Palm Coast) expressed his support for the bill on Twitter. Also joining the applause is the Florida Chamber of Commerce, with CEO Mark Wilson releasing a statement that reads, “Florida’s ability to attract and retain the talent necessary to grow from the 16th to 10th largest global economy relies on the availability of affordable and attainable housing.” Gov. Ron DeSantis also signaled his support for the legislation during a news conference in Miami last week.
DeSantis announces elimination of CRT, DEI programs at state universities
Governor Ron DeSantis has elevated his fight against what he and other conservatives believe is an “ideological,” racially divisive push in higher education to promote a so-called “woke” agenda. Speaking from Bradenton, Florida, the Republican governor announced a proposal that aims to prohibit critical race theory (CRT) and diversity, equity, and inclusion (DEI) programs in the state college and university system. Gov. DeSantis is asking state lawmakers to eliminate all funding for these programs in the upcoming 2023 legislative session that begins next month. In a press release from the governor’s office, the legislation aims to “further elevate civil discourse and intellectual freedom in higher education” and “[push] back against the tactics of liberal elites who suppress free thought in the name of identity politics and indoctrination.” CRT and DEI have long been a target of DeSantis, which has become one of his signature issues ahead of a potential 2024 presidential bid. CRT examines systemic racism embedded in American legal systems and policies, while DEI is a framework that works to promote the representation, fair treatment, and participation of all backgrounds, identities, races, ethnicities, gender, or sexual orientation in the workplace or an educational setting. Last year, DeSantis signed the Stop WOKE Act into law that restricts the teaching of CRT in K-12 schools, forbids CRT training in the workplace, and prohibits furthering the idea that individuals are “inherently racist, sexist, or oppressive” or should “bear personal responsibility” for past discriminatory actions. The latest proposal "raises the standards of learning and civil discourse of public higher education in Florida" by "prohibiting higher education institutions from using any funding, regardless of source, to support DEI, CRT, and other discriminatory initiatives" the governor’s office added. In December, the DeSantis administration requested all state universities report expenditures and resources directed toward CRT and DEI activities on campus, including state dollars for such programs. Formal legislation outlining DeSantis’ proposal has not yet been introduced by the GOP-controlled House or Senate, but it is expected given the lawmaker’s previous eagerness to carry out his agenda.
Gov. DeSantis pushes for wider educational reforms in Florida
Florida’s 40 state colleges and universities have been under the microscope of the DeSantis administration during his tenure as he aims to eliminate “woke” instruction and politicization in higher education. The Republican governor is now focused on increasing accountability and raising education standards as part of a larger legislative package unveiled this week. In addition to his legislative proposal to eliminate all state funding directed toward critical race theory and diversity, equity, and inclusion programs on college campuses, Gov. DeSantis has announced his desire for university presidents and trustee boards to review faculty tenure “at any time” and take a more proactive role in “hiring and retention decisions.” To bolster these efforts, DeSantis has recommended $100 million in the 2023-2024 state budget for the recruitment and retention of “highly qualified” faculty within the state university system. Also proposed is a review and realignment of general education core courses to ensure they are “historically accurate” and “career-relevant” as well as the elimination of “political loyalty oaths and DEI statements” in the hiring process of new faculty. The governor’s efforts to reshape the state’s college and university system in a more conservative manner follows his appointment of six new trustees to Sarasota’s New College of Florida, a small liberal arts college with a progressive reputation, and has culminated with the ouster of the school’s president, Patricia Okker, this week. Former state education commissioner and House Speaker Richard Corcoran will take over as interim president beginning in March. Gov. DeSantis will also recommend $15 million (and a recurring $10 million annually) for faculty and student recruitment at New College in the upcoming state budget. As for the governor’s recent proposals that promise an overhaul to the higher educational system, the United Faculty of Florida, the union representing college and university faculty, said they will oppose the governor’s efforts.
Universal school choice bill passes House committee as costs remain unknown
A controversial universal school choice bill cleared its first test in the Florida House last Thursday, which would grant eligibility to all Florida students to receive state funds for private school tuition, irrespective of household income or ability. In a 13-4 vote, HB 1, named “School Choice” passed the Choice and Innovation Committee — the bill’s first committee stop – even without an attached cost analysis. If approved by both chambers and signed by Gov. DeSantis, the legislation will remove the low-income requirements of the Family Empowerment Scholarship (FES-EO) and the Florida Tax Credit Scholarship Program (FTC), allowing any grade K-12 public school student to apply for private school vouchers. Currently, more than 185,000 students are enrolled statewide in these two income-based scholarship programs, with the average award between $7,250 and $7,850. Low-income households making less than 185% of the federal poverty level ($51,338) will still be prioritized under the bill’s new language, however. Students who are homeschooled are also eligible to receive state funding for resources like online lessons or private tutoring. Democrats criticized the legislation, citing concerns that it could hurt public education by encouraging more students to enroll in private schools and lead to decreased funding for public schools. A Democrat-led amendment that would have limited households with incomes above $1 million from taking advantage of subsidies for private school education was voted down. Democrats also criticized private schools for lacking accountability as state educational standards do not apply to educators or curriculum, and teachers maintain fewer employment protections. According to HB 1’s sponsor, Rep. Kaylee Tuck (R-Highlands County), the bill aims to give parents greater freedom to choose where their children get educated “that fits their unique needs.” The bill would be the most significant expansion to the state’s school voucher program since it began under former Governor Jeb Bush. But questions remain about how much the bill would cost the state and local school districts as an estimate of the plan’s impact on taxpayers is still being calculated. According to the Department of Education, during the 2021-22 year, there were 416,084 students enrolled in private schools while 2,833,175 students attended public schools in Florida.
DeSantis proposes criminal justice legislation that adds death penalty for certain sex crimes, life sentences for selling fentanyl
Branding Florida as a “law and order state” and advocating for tough-on-crime policies has been one of Gov. DeSantis’ defining features as he promises to draw a hard line on hot-button crime-related issues that grab national headlines. Adding to this reputation, DeSantis unveiled a broad criminal justice proposal that he will ask lawmakers to consider ahead of the 2023 Legislative Session in March. Speaking at two events before law enforcement personnel last week, the Republican governor advocated for the State Legislature to consider allowing juries to administer the death penalty by a supermajority – opposing the current law that requires a unanimous verdict by a jury. This push is in response to the 2018 Stoneman Douglas High School shooting in Parkland that resulted in 17 deaths. The gunman held responsible for the violence was spared the death penalty because one of the jurors personally opposed it. “One juror should not be able to veto that,” DeSantis said of the decision. “I don’t think justice was served.” Gov. DeSantis also turned his attention to the possession and selling of fentanyl, specifically colorful fentanyl pills referred to as “rainbow fentanyl” that resembles candy and appeals to children. He is asking lawmakers to make the possession, selling, or manufacturing of rainbow fentanyl a first-degree felony, and add a $1 million penalty for trafficking the pills to children. As governor, he is trying to draw a clear contrast between Florida and the criminal reform policies in many Democratic-run cities across the U.S., like New York City, which has eliminated cash bail. DeSantis suggested giving judges greater discretion over deciding what criminals are eligible for release prior to their first court appearance following an arrest. He also wants the death penalty imposed for convicted child rapists, or at least a mandatory life sentence, and for those incarcerated for attempted sexual misconduct or battery, he is asking for the elimination of reduced sentences for good behavior. The governor’s proposed “law and order” legislative package would also require law enforcement agencies to report missing persons to the National Missing and Unidentified Persons Systems – not just the Florida Crime Information Center and the National Crime Information Center. He is also asking for $5 million to be directed toward his human smuggling strike force announced last year to continue interdictions and seize illegal weapons transported to the state.
Since Gov. DeSantis’ announcement last week, two of his criminal justice proposals have been introduced in the State Legislature. First, HB 537 by Rep. David Silvers (D-West Palm Beach) is legislation that would eliminate gain-time (aka. sentence reduction for positive behavior in prison) for actual or attempted sexual battery and lewd or lascivious battery, molestation, conduct, or exhibition. That bill lacks a current companion in the Senate. Secondly, two identical pieces of legislation were filed in both the Senate and House that address jury recommendations in cases involving the death penalty. SB 450 by Sen. Blaise Ingoglia (R-Spring Hill) and HB 455 by Rep. Berny Jacques (R-Largo) revises language to state statutes that specify decisions by a jury are “recommendations” to the court – not determinations – and provide that at least eight jurors can recommend a death sentence be imposed. Since 2017, juries in Florida have been required to come to a unanimous decision to sentence a prisoner to death.
Tampa Bay Rays/Hines plan selected by Mayor to redevelop St. Petersburg’s stadium site
In a previous edition of Floridian Today, we detailed the four development proposals submitted to redevelop St. Petersburg’s Historic Gas Plant District, home to Tropicana Field and subject to longtime discussions of redevelopment opportunities. During Mayor Ken Welch’s State of the City address this week, he unveiled his decision to select the joint proposal by the Tampa Bay Rays and Hines, a privately-owned real estate investment and development firm with a global portfolio, to lead redevelopment efforts at the site. The selection was largely influenced by the plan being the best chance to keep the Tampa Bay Rays in St. Petersburg (versus moving across the Bay to Tampa). But the developer’s proposed affordable housing allotment and promises to pay homage to the City’s Black history with the new Woodson African American Museum of Florida were also leading deciding factors cited by Mayor Welch. He scrapped the selection made by his predecessor, Mayor Rick Kriseman, and relaunched the RFP process after he believed those bids did not address the affordable housing crisis in the city or racial economic disparities. The 86-acre redevelopment plan calls for a mixed-use district that combines housing, retail, entertainment, dining, office space, and cultural arts across 7 million square feet of downtown St. Petersburg, including a state-of-the-art 30,000-seat baseball stadium as the centerpiece. The entire project is estimated to total over $6 billion across 20-plus years, with at least $2.5 billion coming immediately with initial construction. Despite the Rays-led proposal being selected to move forward with redeveloping the Gas Plant District, the team did not rule out making a future move to Tampa. “We’re continuing the dialogue,” Rays President Brian Auld said following the Mayor’s announcement. "We need to reach a development agreement with the city administration, we need city council approval on the agreement, we're going to need a financing plan for the ballpark and we're going to need the county's support on that,” Auld added. The Rays’ lease at Tropicana Field in St. Petersburg expires in 2027. Welch’s selection is just the beginning of years worth of negotiations, public input, and approval by the City Council that will need to occur for the Rays to continue to call St. Petersburg home. But city officials are optimistic about their ability to come to an agreement with the team.
The $7B plan to alleviate highway congestion and boost safety
Many of Florida’s major highways will see infrastructure improvements over the next four years under a transportation proposal unveiled by Gov. DeSantis on Monday. If approved by the GOP-led legislature, a total of $7 billion would be invested across 20 major roadway projects identified by the DeSantis administration to relieve congestion and increase safety. The “Moving Florida Forward” plan calls for $4 billion in general revenue surplus, an average of $131 million annually to be diverted into the State Transportation Work Program, and additional financing to be leveraged to better accommodate the population growth Florida has witnessed. The Florida Department of Transportation (FDOT) would prioritize and accelerate construction for the 20 target projects to deliver “completion more than a decade ahead of schedule,” according to Gov. DeSantis. The infrastructure improvements include making highways like I-4, I-10, I-75, and I-95 more resilient during severe weather events.
New bill would penalize left-lane drivers
A bill filed in the Florida House last week by Representative Jenna Persons-Mulicka (R-Fort Myers) would make it illegal for drivers to continuously drive in the furthermost left lane of highways and implements penalties for doing so. HB 421, titled “Driving in the Furthermost Left-hand Lane of a Roadway,” restricts any driver “on a road, street, or highway having two or more lanes…with a posted speed limit of at least 65 miles per hour” from “continuously operating a motor vehicle in the furthermost left-hand lane, except when overtaking and passing another vehicle” or preparing to exit the roadway. The legislation establishes a noncriminal traffic infraction for violators. There is existing law in Florida that specifies slower vehicles move to the right to make way for faster-moving traffic, but seeks to improve roadway safety by penalizing drivers who ignore the current law. The bill does not have a companion filed in the Senate at this time.
Thousands of Disney workers to refuse company’s offer to increase pay
The Service Trades Council Union (STCU) represents over 40,000 employees at Walt Disney World and after months of negotiations with Disney, the union is urging all members to reject the company’s recent offer of $1 an hour raises. The existing contract being negotiated expired on October 1, 2022, but that agreement is extended as negotiations continue, which includes wage increases, healthcare costs, and retirement. However, Walt Disney World’s Cast Members say the offer made by the company is not enough and the $1 raise does not offset the increased cost of living in Central Florida. STCU President Matt Hollis cited the increased cost of rent, childcare, and the inflationary impact on food and fuel as grounds to reject the Walt Disney Company’s offer. Meanwhile, the entertainment giant defend their offer saying, “This very strong offer provides our Cast Members with a nearly 10 percent average increase immediately and guaranteed raises for the next four years...with every single non-tipped Cast Member promised at least a $20 starting wage during the contract, and the majority seeing a 33% to 46% increase during that time." Most non-tipped workers will be making at least $20 an hour by 2026 under the offer, with bus drivers and housekeepers making $20 an hour immediately. Culinary staff would make $20 to $25 per hour. As an alternative to Disney’s proposal, STCU is asking for an immediate $3 an hour raise, or 20%, plus an additional $1 an hour increase annually in the following years. The union says 75% of its members currently make $15 an hour. On February 2 and 3, thousands of Disney’s full-time workers will be voting on the contract offer proposed by management. The contract is expected to be rejected which will likely result in additional rounds of negotiations.
Hometown Heroes program distributes $50M in housing aid
Enacted by the state legislature during last year’s legislative session, Florida’s Hometown Heroes housing assistance program was designed to provide frontline community workers in certain professions with financial aid to purchase their first home. Eligible professions include law enforcement officers, first responders, educators, healthcare professionals, military personnel, and veterans. So far, in the program’s first eight months, more than $50 million has been awarded in down payment and closing cost assistance to eligible Floridians, Gov. DeSantis has announced. The funds have been disbursed to nearly 3,500 frontline workers to purchase their first home in the communities where they serve amid soaring housing costs across the state that has pushed many employees to live far from their workplace. State lawmakers set aside $100 million to establish and fund the program in the 2022-23 fiscal year. Under the Hometown Heroes program, qualifying first-time homebuyers receive up to 5% of their first mortgage loan amount (up to a maximum of $25,000) in down payment and closing cost assistance via a 0%, 30-year deferred second mortgage.
Senator Rick Scott announces re-election
Florida’s junior Senator Rick Scott is running for re-election, announcing his campaign staff hires in an unsurprising move as he seeks his second term in the U.S. Senate. The move ends speculation on Sen. Scott’s rumored run for president after serving as chair of the National Republican Senatorial Committee. In announcing his decision, he pushed his controversial “Rescue America” plan that was unsuccessful last year and garnered criticism for raising taxes, including on middle-class and lower-income Americans. Scott later revised those portions of the bill but renewed his steadfast support for his proposals on immigration, education, welfare, crime, inflation, and the economy. Among the details are cuts to Social Security and Medicare spending, drawing the ire of Democrats including President Biden. Scott acknowledged the rollback for social service spending by arguing that they are on an unsustainable financial path and urged for more “able-bodied” people to jump back into the workforce and expand the base of taxpayers. The former two-term Florida governor also refused to weighed-in on the 2024 presidential race, which will likely include two Floridians – former President Donald Trump and Scott’s gubernatorial successor, Governor Ron DeSantis. “I’m focused on my race. I’m not focused on somebody else’s race,” Scott said. “My goal is to have a good working relationship with all Republicans. But I don’t plan on getting involved in an endorsement in a presidential primary.” He did admit to having little relationship with DeSantis, which is likely related to a contentious transition of power that carried over into inauguration day. In the U.S. Senate, Scott has found himself at odds with many of his colleagues and even leadership. Following the mid-term election, he unsuccessfully challenged longtime Minority Leader Mitch McConnell (R-KY) for the leadership post. Scott has won all three of his elections by less than a percentage point and will likely leave nothing on the table as he enters his 2024 re-election bid.
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Excellent write-up on SB102. Thanks for taking the time to parse through that lengthy bill!