Homes along Mendenhall River flood area see 20% drop in CBJ’s assessed property values

Average residence in Juneau increases 0.63% in taxable value, assessor reports

Workers clean up a damaged residential neighborhood after record flooding from the Mendenhall River in August of 2024. (City and Borough of Juneau photo)

Homeowners affected by record flooding of the Mendenhall River the past two years are seeing about a 20% drop in the taxable assessed value of their properties, the city’s finance director said Wednesday.

The average assessed value of a residence in Juneau increased 0.63% as of Jan. 1 this year compared to a year ago, according to a report by the City and Borough of Juneau’s assessor. But the report shows homes in the "West Valley" dropped 11.6% — far more than any other sector of town — with the city assessor stating that’s due to flood-affected homes suffering an average drop of about 20%.

"I believe that was (the assessor’s) general reduction specifically for homes that were impacted by the flood," CBJ Finance Director Angie Flick said in an interview Wednesday. "So that would be a subset of probably multiple of these groups."

Other zones seeing valuation drops of more than 1% in the assessor’s report include Back Loop Road where some flooded homes are located, Lemon Creek and the Highlands area.

Flick said she does not have an estimate of how much the flood-related drop in assessed valuation would cost the city in lost property tax revenue.

About 300 homes were damaged by a record glacial outburst flood from Suicide Basin in August of 2024, and a few dozen homes suffered damage (with three homes destroyed) during a then-record flood in August of 2023. While the glacial floods have occurred since 2011, experts stated flooding similar to the recent record levels is likely to continue in future years due to climate change.

That has put flood protection at the forefront of the Juneau Assembly’s priority list. It voted earlier this year to install a semipermanent levee using HESCO barriers along the most vulnerable section of the Mendenhall River, charging 466 property owners in the affected area about $6,300 apiece to cover 40% of the installation cost.

This week CBJ notified homeowners that annual property tax bills have been mailed out and are due by Sept. 30. The Assembly voted to raise this year’s mill rate to 10.24, compared to last year’s rate of 10.04, meaning property owners will owe $10.24 cents for every $1,000 of assessed value.

• Contact Mark Sabbatini at editor@juneauindependent.com or (907) 957-2306.