This bill amends section 200.065 of the Florida Statutes, which pertains to the computation of ad valorem tax rates. It revises the method for calculating the rolled-back rate, which is the millage rate that would generate the same tax revenue as the previous year, excluding certain new construction and value increases. The bill specifies that the rolled-back rate will now be calculated "inclusive" of certain factors, and it establishes that the maximum millage rate that can be levied in a fiscal year is set at 102 percent of the rolled-back rate. Additionally, it prohibits the adoption of a higher rate than this maximum, which was previously allowed under specific conditions.

Furthermore, the bill introduces a requirement that any excess ad valorem revenues collected beyond 102 percent of the rolled-back rate must be returned to taxpayers on a prorated basis or used to pay down debt. This change aims to ensure that taxpayers are not overburdened by excessive tax collections. The act is set to take effect on July 1, 2025.