Voters overwhelmingly approve half-penny sales tax increase for Palm Beach County schools

(This story has been updated to add new information.)

Palm Beach County voters have overwhelmingly supported extending the schools' portion of a 2016 penny sales tax increase that has helped schools as well as local cities and unincorporated Palm Beach County.

With 100% of precincts reporting, 60% of voters approved the sales tax referendum, according to the Supervisor of Elections Office. Nearly 690,00 voters weighed in on the ballot question.

Now that the half-penny question is settled, Palm Beach County's sales tax will actually drop to 6.5% from 7%. Voters in 2016 agreed to a full penny increase in the sales tax to 7% from 6%, but that increase will sunset in December 2025.

Half of that 2016 increase went to the schools and the other half-penny went to the county and municipalities. Now, the county and cities are not attempting to renew their half of the increase.

Palm Beach County 2024 General Election Results

2024 Florida General Election Results

The money from the sales tax increase is being used primarily to upgrade school buildings: replacing aging roofs, restrooms, upgrading lighting and HVAC systems throughout local schools, enhancing school security, buying buses and updating technology.

The money will be shared with charter schools, which are public schools run by private boards of directors.

The half-penny increase will go into effect in January 2026 and is projected to generate $2 billion over 10 years. The tax would end in 2035 regardless of how much money it raises.

More on how the sales tax works: Your November ballot will include a sales tax increase for schools. Here's what to know

Palm Beach County schools sales tax election result: How is the sales tax increase different from previous funding approvals?

Recent construction projects by the School District of Palm Beach County include, clockwise from top left, Dr. Joaquín García High, the exterior of West Boynton Middle School, Blue Lake Elementary School and the interior of West Boynton Middle School. The projects are part of a capital plan that school leaders say they may need to supplement with a sales tax increase starting in 2026.

Sales taxes are paid by any person who buys goods or services in Palm Beach County.

This proposed sales tax increase is different from a property tax increase voters approved in 2018 and again in 2022 that funds teacher pay, school safety and mental health counselors in schools. The property tax increase, which only affects homeowners, began in 2023 and ends in 2027.

Florida school districts are increasingly looking to voters to approve such ballot measures because a majority of the property tax for schools is controlled by the state.

Unlike the property tax increase, the proposed sales tax increase can be spent only on capital projects such as buildings, new schools and buses. The money cannot be spent to fill needs such as teacher salaries or specific school programs.

"Existing funding streams are not sufficient to maintain current needs due to escalation of construction, materials, and maintenance costs," according to a school district presentation on the proposed sales tax increase. "There are no other funding options available for schools."

Katherine Kokal is a journalist covering education at The Palm Beach Post. You can reach her at kkokal@pbpost.com. Help support our work; subscribe today!

This article originally appeared on Palm Beach Post: Palm Beach County 2024 schools sales tax increase on way to approval