The Anchorage Assembly will take up a controversial proposal Tuesday evening that would ask voters to approve a retail sales tax in the city.
Assemblyman George Martinez has introduced an ordinance that would place a 1% sales tax measure — cleverly dubbed “Penny for Progress” — on the April 7, 2026, municipal ballot. If passed by a simple majority of voters, the new tax could begin as soon as October 2027. Administering such a tax would be costly to the city but no fiscal analysis has been revealed.
The plan would dedicate tax revenues equally into three vague categories:
- Infrastructure improvements such as roads, sidewalks, utilities, and snow removal systems.
- Workforce housing development and preservation.
- Behavioral and mental health facilities and crisis response programs.
Martinez says that Anchorage’s fiscal model is “structurally imbalanced” and unable to meet long-term capital needs without new revenue. His ordinance frames the 1% tax as a transparent, accountable “city-building strategy,” complete with oversight committees and a five-year review process.
But the proposal represents a camel’s nose under the tent. Anchorage does not have a sales tax, and once implemented, the rate will inevitably climb higher in future years. The measure would amend the city charter, making it easier for future assemblies to build upon this initial levy.
The Assembly has repeatedly delayed or rejected putting the measure on the ballot. A 3% sales tax known as Project Anchorage was considered for a special election on Sept. 2, but the Assembly voted 8-4 on March 18, to postpone the legislation indefinitely, effectively killing it. Earlier discussions included potentially placing it on the April 1, 2025, municipal election ballot as an advisory vote, but this was also postponed.
The Assembly will take up Martinez’s ordinance during the Tuesday, Sept. 9 meeting, which starts at 5 pm at the Loussac Library Assembly Chambers. This item is subject to a public hearing, which will take place after 6 pm. Agenda at this link.
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Today is 9 7 and 4 7 is day 97. April is a good month to trade success for failure. Success is out and about living life, and failure is voting multiple times using mail in ballots.
Add that to the gasoline tax. It’s another 1% reason to keep my shopping in the Valley.
Gimmie your money so I can reward my clients and cronies said the criminals.
Here is a thought….why don’t you trim your budget instead. It makes me sick what our assembly is doing. Lets keep on taxing the people that actually contribute to society. Bleed them dry over and over again. Once a tax starts it never stops and only increases. If we let this happen we only have ourselves to blame.
This is complete crap! This assembly spends more money that get ZERO results than any past assembly in Anchorage. What happened to the Muni charter that specified 3/5 of the REGISTERED voters had to approve a sales tax? When did the charter get changed and who changed it?
More city employees to collect this tax?
Seems like a recocklus amount.
B double S. Make it 3% and get rid of my obscene double o property tax.
Where is the regular reporting required annually by the passage of the 5% alcohol sales tax? AT LEAST 120 DAYS [by 9/3/25] before the END OF THE FISCAL YEAR [12/31/25] of the Municipality and at such other times as the assembly directs, the MAYOR (no LaFrance) SHALL SUBMIT to the assembly a report of the tax revenues collected and expended. The report of expenses SHALL BE ITEMIZED by EACH AUTHORIZED USE or PURPOSE and presented to the public. Where is it?
Dedication of [alcohol tax] proceeds:
1. Funding for police, related criminal justice personnel, and first responders; and
2. Funding to combat and address child abuse, sexual assault and domestic violence; and
3. Funding for substance misuse treatment, prevention programs, detoxification or long-term additiction recovery facilities (Golden Lion Hotel ring a bell?), mental and behavorial health programs, and resources to prevent and address Anchorage’s homelessnes crisis.
No thanks. I’ve seen this in action, start small and in a few years it’s up to 6-7%. They must think we are stupid.
1% now, but later 2% and then 3% and then 4% and then 5%, and on and on and on. Meanwhile, Anchorage will remain the sh_thole it has become or probably worse.
Let’s read that as a funding source for the growth of the homeless industrial complex… Paid for in part by visitors to the city. Add that to the closure of electrical generation deficit being made up by the intertie – cost born mostly by Fairbanks – and it is clear the Anchorage assembly leftists are simply thieves. Pass this tax morons, and I will not return to Anchorage – it will be cheaper to do business exclusively in Fairbanks.
The Marxist Nine at it again.
Marxists gonna confiscate wealth from the downtrodden average citizen, and never be satisfied, no matter how high the rate of confiscation may go.
It’s what they do.
How much do they waste on the addicts and drunks? Maybe they should ask for that money back if they need to spend more. Otherwise, maybe we should just cut the Assembly, since they seem to cost an awful lot.
If we can balance the household budget, so can the Assembly.