Photo courtesy of Jennifer Webb
Gulfport’s Ward III Council member Jennifer Webb warned City leaders June 16 that new state laws could affect city revenue, utility rates, budgets, development review, affordable housing, rights-of-way, and local policy decisions.
Webb gave a high-impact legislative update during the City Council meeting. She said the bills matter to Gulfport because the City owns its utilities, runs a working waterfront, and operates as a full-service small city.
She also pointed to Gulfport’s low-lying, storm-exposed neighborhoods.
Webb said she organized the bills by impact. She focused on laws that change something the City does, owns, collects, or enforces.
Property Taxes Top the List
Webb placed property taxes at the top of the list.
She said a proposed homestead exemption expansion could reduce Gulfport revenue by about $2.1 million if voters approve it in November.
The proposal would raise the homestead exemption on city and county taxes to $150,000 in 2027. It would rise again to $250,000 in 2028.
A home assessed at $250,000 or less would owe no city property tax once the measure fully phases in, according to Webb’s presentation.
Webb said property tax makes up about 32% of Gulfport’s general fund. She also said the city faces a 10-mill cap, which limits how much it could recover by raising the millage rate.
“I put property tax on the top because that is the biggest impact to us,” Webb said.
Webb said the City would discuss property taxes in more detail at a separate meeting.
Utility Law Could Affect Revenue
Webb also highlighted a utility services bill.
She said HB 1451 would end the automatic 25% surcharge authority for out-of-city water and sewer customers. Gulfport serves customers outside city limits, so Webb said the bill could affect city revenue.
The law would still let the City set separate outside-city rates. However, the City would need to hold a public hearing first.
Those rates could not exceed 25% above inside-city rates.
The City would also need to hold an annual public meeting in the extraterritorial service area. It would also have to report outside customer, volume, revenue, and rate information to the Public Service Commission.
“This is a potential revenue reduction,” Webb said.
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That’s not all that happened at the June 16 Gulfport City Council meeting. Read about ADU rules, Centurion Club, Gulfport Elementary, pension changes, Town Shores, and what we overheard.
Budget Rules Add New Requirements
Webb also discussed HB 1329, a local government finance bill.
She said Gulfport already publicly notices budget meetings. The City also gives residents a chance to comment. However, Webb said the new law would require more work.
The City would need to hold a public budget workshop before adopting its budget. During that workshop, City officials would need to show how they could reduce next year’s budget by 10% without hurting essential services.
Webb called it a “belt-tightening exercise.”
The City also would need to post tentative, adopted, and final budgets online. Those budgets would need summaries, expense breakdowns, staffing information, debt costs, capital costs, and reserve analysis.
The law also requires quarterly employee compensation summaries. Those summaries must list job titles, names, and salaries.
The City would also need to publish a budget calendar by Jan. 30 each year.
Webb said those requirements would take additional staff time.
Lawsuit Caps Will Rise
Another bill changes lawsuit limits against local governments.
Webb said current sovereign immunity caps allow governments to pay up to $200,000 per person and $300,000 per incident. Larger settlements must go through the legislative claims bill process.
The new limits would rise to $350,000 per claim and $500,000 per incident for claims that accrue on or after Oct. 1, 2026.
The law also shortens some claim-handling deadlines.
Webb said the change gives the City less time to respond. It also increases Gulfport’s liability exposure.
“This is not as bad as it could have been,” Webb said.
She said earlier proposals included higher limits.
Development Review Could Change
Webb said new building permit and land-use laws could change how Gulfport reviews development.
HB 803 changes rules for building permits, inspections, private providers, fees, and minor-work approvals.
HB 399 requires cities to use compatibility factors and objective design standards in comprehensive plans and land-development regulations.
Webb said Cities cannot deny a project based only on broad concerns about community character or neighborhood feel.
Instead, the City must identify specific areas of incompatibility.
Another bill, HB 927, applies to municipalities with more than 10,000 residents. Gulfport has about 11,800 residents, so Webb said the city qualifies.
The law requires Gulfport to create a pre-application consultation program by Jan. 1, 2027.
Applicants could choose City staff or qualified private contractors for that consultation. The City also must keep a registry of qualified contractors or firms.
Affordable Housing Law Limits Some Local Control
Webb also discussed affordable housing legislation.
She said HB 1389 expands Live Local Act provisions. The bill could apply to qualifying projects on county, municipal, school-board, and certain house-of-worship properties.
The law also limits some setback and step-back requirements.
Webb said the goal of expanding affordable housing is good. However, she said the law could reduce the City’s control over some project requirements.
The bill also creates new Fair Housing liability exposure for governments.
Rights-of-Way Rules Also Shift
Webb reviewed SB 488, which affects communications facilities and small wireless facilities in public rights-of-way.
She said the law limits the City’s control over some right-of-way and telecom permits.
Gulfport manages its own rights-of-way. Because of that, Webb said the City will need to update related permitting rules before the law takes effect Oct. 1, 2026.
Webb Explains Anti-DEI Law
Webb also reviewed SB 1134, which restricts official government actions related to diversity, equity, and inclusion (DEI).
The law takes effect Jan. 1, 2027.
Webb said the bill prohibits DEI offices and officers. It also creates a resident cause of action.
The law also requires some contractors and grant recipients to certify they will not use local government funds for DEI-related employee instruction. Webb said the bill includes several carve-outs.
Cities may still comply with state and federal anti-discrimination laws. They may also recognize holidays and observances.
Cities may issue event permits in a content-neutral way. They may also provide public safety services and support certain single-sex shelters and at-risk youth programs.
Webb said Gulfport could still permit events such as Pride and Juneteenth if the City applies its permitting rules evenly.
Council Took No Action
Webb said the bills create revenue challenges, new deadlines, added staff work, and possible legal risk for Gulfport.
She said she relied heavily on Florida League of Cities materials while preparing the update.
Council took no action on the legislative update.
The Gulfport City Council’s next meeting is July 7 at 6 p.m.
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