Florida taxpayers just got some bad news heading into 2026.
The state's budget watchdog dropped a reality check that state lawmakers can't ignore.
And Florida TaxWatch just dropped one warning that has Tallahassee scrambling.
Florida's Budget Watchdog Sounds the Alarm on Government Spending
Florida TaxWatch released its Top 10 taxpayer priorities for the 2026 legislative session that kicks off January 13th.
The independent watchdog group didn't pull punches about what Florida lawmakers need to fix.
President and CEO Jeff Kottkamp laid out the stakes for Florida residents watching their tax dollars disappear into state coffers.
"As the 'eyes and ears' of taxpayers, Florida TaxWatch has once again identified these important taxpayer priorities and will be closely monitoring how elected officials allocate precious taxpayer dollars to meet the needs of all Floridians," Kottkamp stated.
The group zeroed in on property taxes as a major concern for Florida homeowners getting crushed by rising costs.
Florida TaxWatch called on the legislature to examine options to reduce or eliminate non-school homestead property taxes.
That's music to the ears of Florida homeowners watching their property tax bills explode year after year.
State Employee Health Insurance Faces $1.5 Billion Deficit
But the real bombshell came buried in Florida TaxWatch's findings about the state employees' health insurance trust fund.
The watchdog group revealed that without changes, the fund could face a $1.5 billion deficit by fiscal year 2028-29.
That's not a typo.
Florida's state employee health insurance program is heading for a financial cliff if lawmakers don't act fast.
The trust fund started with a cash balance of $652.7 million for fiscal year 2024-25.
But increasing expenses are eating through that cushion faster than anyone in Tallahassee wants to admit.
Florida TaxWatch warned that without changes to the current funding model or additional legislative appropriations, the entire system risks collapse.
The group offered potential policy solutions to keep the fund solvent, but it's going to require tough decisions from lawmakers who'd rather kick the can down the road.
Watchdog Identifies Over $1.2 Billion in Questionable Spending
Florida TaxWatch didn't stop with warnings about future budget disasters.
The organization's 2025 Budget Turkey Watch Report exposed over $1.2 billion in questionable spending.
The watchdog identified 238 appropriations totaling $413 million that completely bypassed proper legislative vetting.
That's taxpayer money getting handed out without the oversight and scrutiny it deserves.
Florida's state budget has exploded more than 60% in just the last decade.
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Economic forecasts show a revenue slowdown ahead in 2026, which means every dollar becomes even more precious when budgets tighten.
Florida TaxWatch wants a Florida Government Efficiency Act that makes the Governor's budget spell out exactly where the state can save money.
Right now lawmakers just rubber-stamp spending increases without asking basic questions about efficiency.
Property Insurance Reforms Remain a Top Priority
Florida TaxWatch isn't letting up on the property insurance disaster either.
Tallahassee passed some reforms that helped stabilize things, but homeowners are still getting crushed by sky-high premiums.
Florida TaxWatch backed efforts to increase competition, reduce frivolous lawsuits and litigation costs, and shrink Citizens Property Insurance Corporation.
The group also pushed to expand the My Safe Florida Home and My Safe Florida Condo Programs.
Those home hardening programs give homeowners incentives to make their properties more resilient to storms and natural disasters.
Other priorities on Florida TaxWatch's list included protecting the state's water system, stopping municipal utility revenue sweeps, and supporting Florida's manufacturing industry.
The organization called for expanding access to childcare and preventing child drownings through swimming programs.
Florida TaxWatch doesn't take a dime from the government.
Private contributions fund the whole operation, which means they can call out wasteful spending without worrying about getting their funding cut.
For 45 years they've saved taxpayers billions by exposing garbage taxes and making politicians answer for how they spend your money.
The 2026 legislative session begins January 13th and runs through March 13th.
Florida TaxWatch made it clear they'll be watching every move lawmakers make with taxpayer dollars.
The question is whether Tallahassee will listen to the warnings or keep spending like there's no tomorrow.
That $1.5 billion health insurance deficit isn't going to fix itself.
Sources:
- Elizabeth Borodulin, "Florida TaxWatch unveils Top 10 taxpayer priorities for 2026 legislative session," Florida News, January 8, 2026.
- "Florida TaxWatch announces 2026 taxpayer priorities, provides independent research," Lake Okeechobee News, January 8, 2026.
- Jeff Kottkamp, "Florida TaxWatch prepared to carry out its founder's vision," Opinion, January 4, 2026.
