Anchorage residents won’t vote on a sales tax proposal in the next municipal election.
At a meeting Tuesday, the Assembly postponed voting on the proposed ballot measure, and instead passed a resolution calling for a potential special election later this year.
Vice chair Meg Zaletel and Anna Brawley proposed the resolution. Zaletel said she thinks the Assembly needs more time to continue the conversation.
“When this item came before the Assembly, I remember the chair clearly saying, ‘I wish we had six months for this conversation.’ I'm trying to create some of that space,” Zaletel said.
The Assembly still needs to vote to hold a special election on the sales tax, which would happen before Nov.30.
The original version was introduced in October by members Felix Rivera and Randy Sulte, and proposes a 3% sales tax in the city. In December, Assembly members put forward four additional variations of the proposal, offering changes to the tax percentage and how revenues would be spent.
The original proposal is estimated to generate $180 million annually, and revenue would go toward reducing property taxes and funding public projects. Supporters say the tax would allow Anchorage to invest in itself, while critics say it would disproportionately impact low-income residents.
Brawley said holding a special election would give Assembly members the opportunity to fine-tune a final proposal, and allow the public time to learn and understand the details.
“I think it is important to continue working through this,” she said. “I'm not advocating that we take months and months on this. I'm asking for a few extra weeks. I think within 60 days from now, or less, we could come up with a proposal.”
Brawley said special elections cost around $200,000, and have similar turnout to regular elections.
The resolution passed 7-5. Scott Myers, George Martinez, Mark Littlefield, Karen Bronga and chair Chris Constant were the no votes.
Assembly members will hear public testimony at the regular meeting on March 4.
