The Town of Lady Lake will not hold its annual Christmas Parade this year, citing current budget constraints, future uncertainty surrounding Amendment 3 and the significant staffing and operational resources required to safely host the event.

Town officials announced the decision Tuesday morning, calling it an “extremely difficult decision” and acknowledging the parade’s significance to residents, businesses, organizations and families who participate each year.

According to the town, the Christmas Parade is one of its most resource-intensive special events and requires an “all-hands-on-deck approach.”

All Lady Lake Police officers are assigned to work the parade, while employees from Public Works, Parks and Recreation and other town departments assist with traffic control, road closures, setup, cleanup, event operations and other logistical needs.

Multiple roads must also be closed before and during the parade, requiring additional personnel to manage traffic and maintain safety along the route.

Personnel costs alone total approximately $15,000, according to the town. That figure does not include other expenses necessary to produce the event.

“Given current financial constraints, the Town determined that holding the parade this year would not be fiscally responsible,” town officials say in the announcement.

The announcement did not detail how Amendment 3 factored into the decision, but many municipalities are already looking at budget cuts should it pass on the November ballot.

Amendment 3 is a proposed constitutional amendment on the Nov. 3 ballot that would raise the homestead exemption for non-school property taxes to $150,000 in 2027 and $250,000 in 2028. It would not eliminate property taxes, and school taxes would remain. The measure needs at least 60% of the vote to pass.

Property taxes are a major source of revenue for cities and counties, helping fund law enforcement, fire protection, roads, parks and other services. According to the Town of Lady Lake’s website, the amendment would reduce the town’s property tax collections by an estimated $1.24 million in 2027 and $1.73 million in 2028. The town lists possible effects including reduced services and the cancellation of most events.

Preliminary estimates based on Lake County Property Appraiser data show the taxable value available to Lake County’s general fund could fall about 19.5% in the first year and roughly 31.9% once the full exemption and a lower cap on assessment increases for non-homestead property are in place. Those figures reflect reductions in taxable value, not necessarily identical cuts to local budgets.

“What would be on the chopping block would be parks and recreation, libraries, trail systems, all the extra stuff that doesn’t directly affect day-to-day government, but does affect quality of life,” says Tyler Brandeburg, chief deputy of the Lake County Tax Collector’s Office. “The funding still has to come from somewhere.”

Amendment 3 does not itself dictate which services would be cut. It reduces the property tax base, leaving local officials to balance the difference through spending reductions, different tax rates, other revenue sources or fees. Gov. Ron DeSantis, who supports the amendment, says he believes local governments can absorb the reductions after years of increased revenue.

Going forward, according to the town, its ability to hold community events will largely depend on fundraising, sponsorships and other outside support rather than taxpayer funds to help offset the costs associated with staffing, operations and event production.

“The Town appreciates the community’s understanding and support as it works to balance fiscal responsibility with the programs, services and traditions that are important to Lady Lake,” officials say.

Future events will be evaluated based on available funding, fundraising efforts, resources and operational needs.