2023 One Percent Sales Tax Information
The City and Borough of Juneau has a 5% sales tax. For decades, one percent of that has been a temporary tax which is approved by voters every five years. The temporary sales tax funding for expenses such as capital projects and nonprofit community projects. The Assembly determines what projects the tax revenue is intended for. The current 1% sales tax is set to expire September 30, 2028 unless voters decide to renew it during the October 2027 election (Sales Tax Code: 69.05.020).
Current Voter-Approved One Percent Sales Tax Projects
During the 2022 election, voters approved the continuation of the one percent sales tax with the effective dates of October 1, 2023 – September 30, 2028. The following projects were adopted by voters during the election.
$1 million will be added to the Restricted Budget Reserve, created by the Assembly in 2012. The Restricted Budget Reserve is a rainy-day fund that can be accessed, with a payback plan, by future Assemblies for unexpected events and emergencies.
$1.5 million will partially fund planning, design, and construction of a new bike and pedestrian route through Lemon Creek as an alternative to Glacier Highway. These funds are also expected to be used to match state and federal grants for this project.
Funds will partially fund planning and initial construction efforts to relocate the Juneau-Douglas City Museum from its current space-constrained location to a more accessible location on the waterfront with modern climate controls and appropriate archival storage. A waterfront museum will be more self-sustaining due to additional revenue from out of town visitors. Additional funding will be sought from cruise ship passenger fees and grants. The existing building would become part of the Capitol complex.
$2.5 million will provide direct assistance to licensed childcare providers through grants from the CBJ on a per child served basis. In 2019, the Assembly’s Childcare Task Force recommended this type of funding in order to stabilize the childcare industry and address the lack of available childcare in Juneau. Funding will be targeted at age groups that have the highest amount of unmet need.
$3 million will partially fund the implementation of a 7-year information technology (IT) strategic plan that addresses the modernization of IT services. Major elements include: enhanced cybersecurity, disaster recovery/business continuity, geographic information systems improvements, information security training, migration of services to cloud based providers, and the implementation of formal service level agreements with CBJ IT clients.
$2 million will partially fund a radio system replacement project at the Juneau Police Department. The radio system that JPD maintains for its own response and the response of partner agencies is at end of life. The Assembly has already appropriated some funding to this project, and additional funds will be sought through grants and other opportunities. $1.2 million will fund the replacement of a ladder truck at CCFR, which is necessary for safely extinguishing large structure fires and rescuing trapped individuals.
Incentivizing and participating in the creation of new and affordable housing development continues to rank high among Assembly goals. $4.15M of these funds would be deposited into the Affordable Housing Fund, which is the primary financial vehicle used by the Assembly to fund housing grants, loans, and joint ventures. The CBJ has completed one phase of Pederson Hill development resulting in 18 new lots, all of which have been sold. The next phase is anticipated to create an additional 32 lots. $1.85M would provide partial funding for this phase.
$5 million will fund float replacements and uplands improvements in Aurora Harbor, including replacing the harbor office building, improvements to the boatyard, installing new lighting, and paving parking areas. $1.5 million will fund deferred maintenance projects at the Wayside Park and Taku Harbor. Wayside Park, adjacent to DIPAC, provides ADA accessible roadside fishing opportunities. Grant based matching funds will be pursued to the maximum extent possible
$5 million will match $5 million of funding provided by the Legislature to partially fund replacement of the north parking garage downtown at the State Office Building. The current structure is located between the State Office Building, Fireweed Place, and Calhoun Avenue and presents a good locational opportunity to build a new parking structure that would serve businesses, workers, and residents in the Aak’w Village District.
$4 million will fund the widening of Gastineau Avenue between Bulger Way and Ewing Way to accommodate reliable safe passage and turn around for emergency vehicles. It will further provide new on-street parking to accommodate proposed higher density housing development in the area.
$2 million will fund the beginning stages of Telephone Hill redevelopment. The State of Alaska has begun the process of conveying Telephone Hill to CBJ, representing an opportunity to redevelop more than two acres of land downtown. Funds will be used to begin the public process of formulating a redevelopment plan to be adopted
CBJ and JSD have a large number of buildings, parks, and other facilities to maintain, including schools, city hall, parking garages, fire and police stations, swimming pools, libraries, playgrounds, and other facilities. These public facilities need major maintenance in order to prolong their useful life and reduce operating costs. $16.5 million will fund mechanical and electrical updates, roofing, HVAC system replacements, energy efficiency improvements, exterior/interior painting, building envelope repairs, and other building maintenance improvements.
$5 million will fund ongoing major maintenance and repairs at more than 30 developed parks and 25 sports facilities, including repair of parking lots and drainage systems, replacing outdoor lighting, replacing playgrounds, and providing covered storage for maintenance equipment.
$2 million will fund the construction of equipment bays for trucks, plows, road graders, and loaders that are currently stored outdoors when not being used. This will extend the lifespan of expensive equipment and reduce response times in the winter as operators will not have to spend time removing snow and ice from equipment before plowing CBJ streets.