City prepares for next steps with Amendment 3 approval

Nov. 4, 2026

Following Florida voters’ approval of Amendment 3 in the general election, the City of Sarasota is preparing to evaluate the amendment’s financial implications and develop a responsible approach to addressing potential impacts on municipal operations, services, and long-term financial planning.

The amendment changes Florida’s property tax structure, creating significant financial considerations for cities and counties throughout the state, including Sarasota. The City estimates that when fully implemented, the impact will be an estimated loss of $5.6 million in revenue and will grow each year thereafter by the cost of inflation. Additionally, the approval now explicitly mandates a procedure for the Florida State Legislature to fully eliminate non-school property taxes, which is the primary funding source for city operations.

“Florida voters have spoken, and we respect their decision,” said City Manager Karie Friling. “We recognize that property tax relief is important to many residents, particularly as families continue to face rising costs. At the same time, local government must now address the financial realities associated with these changes, while continuing to provide the essential services our community expects and deserves.”

The Florida Legislature now must establish a process to implement Amendment 3 and City staff will work closely with the City’s elected state delegation to ensure its position is represented.

The City has already been navigating substantial financial pressures associated with hurricane recover, infrastructure needs, rising operational costs and increasing demands for municipal services. In anticipation of potential revenue challenges, the City previously implemented a hiring freeze on certain General Fund positions and has been evaluating opportunities to improve operational efficiency and reduce expenditures.

“Over the past several years, Sarasota has faced extraordinary challenges, and our employees have continued to deliver essential services under difficult circumstances,” Friling said. “We must be thoughtful about how we move forward, recognizing both our financial responsibilities and the importance of maintaining the services that contribute to Sarasota’s quality of life. City staff will continue analyzing the amendment’s implementation requirements, projected revenue impacts, and potential effects on future operating budgets. This analysis will help inform recommendations to the City Commission regarding financial priorities, service delivery, organizational efficiencies, and long-term fiscal sustainability.

Friling emphasized that it would be premature to speculate about specific service reductions or organizational changes before a comprehensive financial analysis is completed. “Our responsibility is not simply to react to this decision, but to plan responsibly for the future,” Friling said. “We will evaluate our options carefully, engage with our City Commission in the decision-making process, and communicate transparently with our employees and the community.”

The approval of Amendment 3 further reinforces the importance of the City’s upcoming strategic planning process. “Now, more than ever, we need a clear, shared vision for Sarasota’s future that identifies our community’s priorities and aligns our limited financial resources with the services and investments that matter most. Our new strategic plan must be more than a document. It must serve as a roadmap for making informed decisions, establishing measurable goals, and evaluating how we deliver core services. This process will involve our City Commission, employees, residents, businesses, and community partners. In a changing financial environment, we must be intentional about where we invest our resources and what we want our community to look like for generations to come.”

Despite the challenges ahead, Friling expressed confidence in the City’s ability to adapt. “Sarasota is an extraordinary community, and extraordinary challenges require thoughtful leadership, collaboration, and a willingness to do things differently. We have an opportunity to rethink how we deliver services, strengthen our organization and position Sarasota for long-term success. Our commitment to the people we serve remains unchanged.”

The City will provide additional information as its financial analysis progresses and the State of Florida’s implementation requirements of Amendment 3 become clearer. 

Media Contact: News@sarasotafl.gov

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About the City of Sarasota:  The City of Sarasota is a diverse and inclusive community located on Florida’s Suncoast with 55,000 year-round residents, internationally recognized cultural arts venues, stunning sunsets along Lido Beach, restored Donald Ross-designed municipal golf course, and Major League spring training baseball with the Baltimore Orioles. Learn more about us at www.SarasotaFL.Gov

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