TALLAHASSEE - Republican and Democratic Senate leaders Thursday released a bipartisan property tax reform package that significantly differs from a contentious plan being pushed by the GOP in the House.

Leaders in both chambers and Gov. Charlie Crist have proclaimed property tax relief a top priority for this year's legislative session. They have been showered with complaints about rapidly rising tax bills due mainly to soaring real estate values and a system that favors some taxpayers over others.

The Senate proposal includes a tax rate rollback and a cap on future local government revenue increases - a provision that would let homeowners take existing tax breaks with them when they move and a special exemption for first-time homebuyers.

Sen. Mike Haridopolos, chairman of the Senate Finance and Tax Committee, said the package is designed to provide relief for a broad range of taxpayers including business people, homeowners and landlords.

"It's comprehensive," Haridopolos, R-Indialantic, said. "It's not angled toward one group or another."

The House GOP plan offers it's biggest share of relief to homeowners. It would abolish at least some - and possibly all - property taxes on primary homes, known as homesteads.

To make up some of those lost revenues, it also would increase the statewide sales tax from 6 percent to 7 percent and give local governments and their voters a chance to add another 1.5 percent sales tax in exchange for removing remaining homestead taxes.

The Senate package has no sales tax increase but would save taxpayers far less overall than the House plan, which has sharper tax rollbacks and caps.

Haridopolos estimated the Senate proposal would cut $11 billion over the first five years, an average of $2.2 billion a year. The House package, scheduled for a floor vote next week, would reduce taxes by at least $5.5 billion and up to $8.6 billion a year.

A close look

Manatee County government leaders and a taxpayers group pushing for major property tax reform viewed the Senate proposal guardedly.

Manatee County Administrator Ed Hunzeker said his first impression of the bill was that it wouldn't do enough to provide business with relief. He said it's too early to see what the financial implications would be for the county and its residents.

"My message to the state is, slow down and open a dialogue with local governments," Hunzeker said. "Maybe they just don't believe us. It's taken us 50 years to get in this condition, and you don't solve it in 60 days. Whatever they're going to do this year, let's call it an interim solution until you hear from the Budget and Taxation Commission."

Amy Merrill, Manatee's assistant deputy county administrator, said a number of questions remain unanswered.

"We have a lot of questions. We're concerned that it doesn't address non-homesteaded properties, which are bearing a large burden of property taxes," Merrill said. "This would have less of an impact (than the House's plan), but it would be a major impact, without addressing the inequities that exist, which any true tax reform would have to address."

Don Schroder, president of the Coalition Against Runaway Taxation, agreed that it's "way too early to tell," what kind of impact the Senate plan would have for local home and business owners. But on first glance, he said the plan doesn't offer the kind of reform his group is hoping for.

"We asked for a rollback to the 2000-01 fiscal year. We feel that 2004-05 is too far down the road. Too great a tax imposition has been placed on the non-homesteaded owners and businesses. We don't see any movement toward helping the snowbirds and people who own property that aren't homesteaded," Schroder said.

CART leaders are planning a trip to Tallahassee on Tuesday, as part of a statewide lobbying effort.

"I think it's more important than ever that the Rally in Tally takes place, because of what's happened in the Senate plan," Schroder said. "We have three and a half weeks to go and a great many changes have to be worked out among Senate and House, and we hope they'll listen to their constituents, the people really paying taxes."

Who's for? Who's against?

The House plan's big bite has drawn opposition from local government officials, who say it would force them to cut vital services including police and fire protection. Most Democrats, a minority in both chambers, also are against it.

In the Senate, though, Democratic Leader Steve Geller and other top Democrats joined Republican leaders to present the reform package to the full chamber. Geller, of Cooper City, said he expected Gov. Charlie Crist to support it, too, because it includes variations of reforms the governor has proposed.

Crist said he had not yet been briefed on the Senate plan but was "encouraged by what I've seen thus far."

The governor has called for doubling the existing $25,000 homestead exemption to $50,000. The Senate plan would also double it but only for first-time buyers of homes valued below $100,000.

Over time, the extra exemption for new homeowners would be replaced by benefits from the existing Save Our Homes Amendment, which limits annual tax increases to no more than 3 percent.

Many homeowners have complained they feel trapped by Save Our Homes because they would lose its benefits if they moved. Crist has proposed letting them take the benefits with them. The Senate plan would also offer such "portability" but with limits: Homeowners could apply Save Our Homes benefits the first year after moving, but then their tax bills would increase by 10 percent annually until reaching a level equal to what they would have paid without the portability benefit. A that point, the normal 3 percent cap would kick in.

The annual increase is designed to reduce a gap between taxes paid by homesteaders and other property owners to avoid a legal challenge on the grounds that portability discriminates against out-of-state owners who don't get Save Our Homes benefits, Geller said.

Both chambers have included Crist's proposal for a $25,000 exemption on taxes that businesses pay on equipment, office furniture and other personal property.

The Senate has proposed a one-year rollback of local property tax rates with allowances for population and personal income growth, and then a one-year freeze. That would be followed by caps on future property tax revenue increases, again with allowances for population and personal income growth.

Other elements would require that affordable rental housing be taxed based on rental income instead of market value, and limit the use of "highest and best use" assessments that have resulted in sharp tax increases because nearby real estate has increased in value.

The House, meanwhile, rejected a Democratic proposal to quickly cut property taxes the state requires local school districts to levy by $545 million. It was defeated 65-44 in a largely partisan vote with four Republicans joining the Democrats.

Cap on future local government revenue increases - a provision that would let homeowners take existing tax breaks with them when they move and a special exemption for first-time homebuyers.

• No sales tax increase but would save taxpayers far less overall than the House plan, which has sharper tax rollbacks and caps.

• Estimated reduction in taxes: At least $5.5 billion and up to $8.6 billion a year.

HOUSE

• It would abolish at least some - and possibly all - property taxes on primary homes, known as homesteads.

• To make up some of those lost revenues, it also would increase the statewide sales tax from 6 percent to 7 percent and give local governments and their voters a chance to add another 1.5 percent sales tax in exchange for removing remaining homestead taxes.

• Estimated reduction in taxes: $11 billion over first five years

Dissecting the plans

Senate plan

• Cap on future local government revenue increases - a special exemption for first-time home buyers and a provision that would let homeowners take existing tax breaks with them when they move

• No sales tax increase but would save taxpayers far less overall than the House plan, which has sharper tax rollbacks and caps

• Estimated reduction in taxes: At least $5.5 billion and up to $8.6 billion a year

House plan

• It would abolish at least some, possibly all, property taxes on primary homes, known as homesteads.

• To make up some lost revenues, it would increase statewide sales tax from 6 percent to 7 percent and give local governments and their voters a chance to add another 1.5 percent sales tax in exchange for removing remaining homestead taxes.

• Estimated reduction in taxes: $11 billion over first five years