DYSON, KENNEDY DISSENT ON TAX-SPEND PLAN
The Anchorage Assembly on Tuesday passed the first quarter revisions to the 2019 budget approved in November.
It’s an increase of $5.7 million to the tax base, due to higher costs and revenue that fell short of projections made when the original budget passed.
The preliminary budget is passed in November before the city actually has all of the data. The first quarter adjustment is typical, after better numbers are in.
Property taxes have already risen year over year by five percent. For every $100,000 in value, owners now pay nearly $880 in property taxes to the municipality for services and another $700 per year for schools.
Anchorage’s mill rate of 16.4 is the second highest in Alaska, according to Connie Yoshimura at Dwell Realty. “Only Fairbanks has a higher mill rate of 19.8. In Anchorage the tax on a $350,000 home is $5,740 and $8,200 on a $500,000 home, excluding any exemptions entitled to the property owner. In Fairbanks, those same home values would be taxed at $6,930 and $9,900,” she wrote.
Of course, if Gov. Michael Dunleavy gets his way, every man, woman, and child in Alaska will be receiving a $3,000 Permanent Fund dividend, enough to pay for those local property tax, school bond increases, and then some.
Assembly members Crystal Kennedy and Fred Dyson were the only two who voted against the budget adjustment. While campaigning for Assembly, Kennedy said she heard time and again from people that they were paying all the taxes they could afford.
“This absolutely raises the tax burden on property owners. And another thing that really concerns me is that this pushes up the level to a point where we start at a higher level next year with the taxes,” she said.