This bill establishes a new section, 218.137, in the Florida Statutes, aimed at addressing the loss of ad valorem tax revenue in fiscally constrained counties due to a constitutional amendment approved in the November 2026 general election. Starting in the 2027-2028 fiscal year, the Legislature is required to appropriate funds to offset these revenue reductions. The distribution of these funds will occur annually in January and will be based on each county's proportion of the total reduction in ad valorem tax revenue resulting from the aforementioned amendment.

To participate in this funding distribution, each fiscally constrained county must apply to the Department of Revenue by November 15 each year, providing documentation that includes estimates of the reduction in taxable value and relevant millage rates. The calculation for each county's reduction in ad valorem tax revenue will be determined as 95% of the estimated reduction in taxable value multiplied by the applicable millage rate. If a county fails to apply for its share, the funds will revert to the original appropriation fund. The act is contingent upon the approval of the related constitutional amendment and is set to take effect on January 1, 2027.