Comment on proposed CBJ budget at April 25 Assembly Meeting
The public is invited to provide feedback on the proposed City and Borough of Juneau budget for fiscal year 2023 at a Regular Assembly Meeting on Monday, April 25 at 7 p.m. The public can comment on the property tax mill levy rate, the CBJ operating budget, the Juneau School District operating budget, and the capital improvement program. The agenda packet will be posted here by close of business Friday, April 22. For more information on the budget ordinances and resolution, see the official Notice of Public Hearing here or go to juneau.org/budget.
The manager’s proposed citywide budget, including the school district, hospital, and all city enterprises, totals $408 million, which is down $26.9 million from the FY22 Amended Budget. The budget proposes a property tax increase of 0.1 mills, resulting in a total mill levy rate of 10.66 mills.
How to watch the meeting:
- Attend the meeting in person at City Hall
- Join online https://juneau.zoom.us/j/91515424903
- Call 1-253-215-8782 with ID: 915 1542 4903
- Watch on CBJ’s YouTube channel
How to provide spoken comments during the meeting:
- Testify in person by attending the meeting. A sign-up sheet will be available.
- Testify remotely via Zoom online or phone. To do this, you are required to call the Municipal Clerk’s Office at 907-586-5278 and give advanced notification by 4 p.m. Monday, April 25.
The public is also welcome to email comments in advance of the meeting, or anytime during the budget process, to [email protected].
Budget items up for public hearing at the Assembly Meeting include:
- Ordinance 2022-06: An Ordinance Appropriating Funds from the Treasury for FY23 City and Borough Operations.
- Ordinance 2022-07: An Ordinance Appropriating Funds from the Treasury for FY23 School District Operations.
- Ordinance 2022-08: An Ordinance Establishing the Rate of Levy for Property Taxes for Calendar Year 2022 Based Upon the Proposed Budget for Fiscal Year 2023.
- Resolution 2975: A Resolution Adopting the City and Borough Capital Improvement Program for Fiscal Years 2023 through 2028, and Establishing the Capital Improvement Project Priorities for Fiscal Year 2023.
The public will have another opportunity to comment on the budget prior to adoption: the Assembly plans to adopt the Juneau School District general operating budget during a Regular Assembly Meeting on May 16; and CBJ’s operating budget, capital improvement plan, and the property tax mill levy rate during a Regular Assembly Meeting on June 13.
For more information, contact the City Clerk’s Office at 907-586-5278 or [email protected].
Property buyers must disclose sale price to CBJ within 90 days, or pay $50/day late fee
Individuals who purchase property in the City and Borough of Juneau are required to disclose to the Assessor Office the price they paid for their property. The mandatory disclosure law has been in place since November 30, 2020. Still, more than 50 percent of property buyers after that date have not disclosed. If this is you – if you purchased real estate on or after November 30, 2020 and have not disclosed the sale price to CBJ – please complete the disclosure form, and return it to the Assessor Office by email [email protected], fax (907) 586-4520, mail, or in person. If not, starting June 27, 2022, you’ll be fined $50 per day.
Here’s where that fine comes from: The Juneau Assembly voted February 28, 2022 to amend the mandatory disclosure law to include a fine for failure to comply. Subsection 15.05.105(d) says a $50.00 per day fine will be levied beginning on June 27, 2022, or 90 days from the date of the recorded transaction of the sale (whichever is later). In order to avoid fines you must complete a disclosure form and send it to the Assessor Office. This applies to property buyers since November 30, 2020 who have not disclosed, and – moving forward – to any current or future property buyers.
The sales data you provide will be compiled with all other sales data in order to determine assessed values using statistical analysis. The assessed value for your property will not be based solely on your sale price and will not likely to be the same as the sale price.
There are exceptions to the mandatory disclosure, like property transfers that are not typical market value transactions. Exceptions include transfers between close family members, transfers between associated business, transfers for delinquent taxes or assessments, and transfers that constitute a gift. If your transaction was a result of one of these circumstances, please identify which on the disclosure form, then sign and return the form to the Assessor Office. If your transaction does not fall into one of the specific categories, you are required to complete the whole form, sign it, and return it to the Assessor Office.
For more information, contact the Assessor Office at 907-586-5215 or [email protected].
Try balancing CBJ’s budget
The Juneau Assembly is currently in the process of reviewing the City and Borough of Juneau’s budget for fiscal year 2023, which has a general fund deficit of $3.4 million. The Assembly’s job is to get that number to $0. Through a new online simulation tool, it can be your job as well. Do you agree with how CBJ proposes to spend its revenue? The tool allows you to raise taxes, lower taxes, put money into services that matter most to you and, likewise, take funding away from programs you think Juneau cannot afford. Try your hand at balancing the budget here or by going to juneau.org/budget.
The online budget balancing tool serves two purposes. First, it is a learning opportunity for members of the public to learn where CBJ gets revenue and how that money is spent. Second, it is an opportunity for the public to make adjustments to the budget and then submit their version of the budget as feedback to city staff.
Using the online tool is simple and interactive. It does not require any prior knowledge of city budgeting. At the top of the webpage, an indicator describes whether the budget is in balance, in deficit, or in surplus. As you adjust revenues or spending, that indicator shows if you’re moving closer to a balanced budget, or further away.
For more information, contact Finance Director Jeff Rogers at 907-723-6907 or [email protected].
Assembly begins budget review process at April 6 Finance Committee meeting
The Juneau Assembly will begin its multi-week process to review the City and Borough of Juneau’s budget for fiscal year (FY) 2023 at the Assembly Finance Committee meeting on Wednesday, April 6 at 5:30 p.m. Join the committee meeting in person at City Hall, online at https://juneau.zoom.us/j/93917915176, or call 1-253-215-8782 with webinar ID: 939 1791 5176.
The City Manager introduced the proposed budget during the Regular Assembly meeting on April 4. The manager’s proposed citywide budget, including the school district, hospital, and all city enterprises, totals $408 million, which is down $26.9 million from the FY22 Amended Budget. The budget proposes a property tax increase of 0.1 mills, resulting in a total mill levy rate of 10.66 mills. Prior to the 10.56 mill rate established in 2021 for the FY22 budget, CBJ’s property tax rate was 10.66, or higher, for 8 years straight.
The budget reflects increased projections of sales tax revenues and cruise ship passenger fees in anticipation of cruise tourism returning to near pre-pandemic levels this summer. The budget also includes higher property tax revenues as a result of a 6.2% increase to total borough-wide property valuation. This is primarily reflective of the robust residential home sales market during the pandemic in response to high demand and low supply of homes. These revenue increases are offset by inflationary cost growth in both the operating and capital budgets, as well as shifting costs for education funding from the State to the City as a result of property valuation increases. These factors contribute to a general fund deficit of $3.4 million in the FY23 proposed budget.
The budget includes the following major components:
- $86.7 million for the Juneau School District, a decrease of $5.7 million (6.2 percent) over the FY22 Amended Budget. This decrease primarily reflects one-time expenditures in FY22 associated with the Elementary and Secondary School Emergency Relief Fund grant to address the impacts of the COVID-19 pandemic on students, as well as a reduction to the Public Employees’ and Teacher retirement systems on-behalf contributions.
- $179.4 million for Enterprise Funds (hospital, airport, water utilities, docks, and harbors), an increase of $18.5 million (11.5 percent). This change is primarily due to higher anticipated patient volume at the hospital as a result of increased capacity.
- $87.3 million for general government, an increase of $705,600 (0.8 percent) from the FY22 Amended Budget. While total budget change is relatively small, the budget reflects a big shift from federal pandemic relief revenues back to local taxes and other revenues.
- $36.5 million for capital improvement projects, a decrease of $32.3 million (47 percent) from the FY22 Amended Budget. This decrease is a result of significant supplemental appropriations made in FY22 to the capital budget, as well as the Hospital issuing $20 million in revenue bonds for which the proceeds were fully appropriated to capital projects.
- $10.9 million for the debt service budget, a decrease of $4.2 million (27.7 percent) over the FY22 Amended Budget. This reflects a reduction in outstanding school construction debt, as multiple bonds were fully paid off during FY22. However, unreimbursed school bond debt from FY22 will be paid off with property taxes collected in FY23, which keeps the debt service portion of the mill rate flat.
Read CBJ’s proposed Biennial Budget for fiscal years 2023 and 2024. The City Manager’s Budget Message is on pages 19-22.
For more information, contact Finance Director Jeff Rogers at 907-723-6907 or [email protected].
