Juneau’s budget moment: Time to pause and get it right

The recent passage of ballot measures to improve affordability in Juneau demonstrates a majority perspective that the CBJ must reduce the tax burden it places on residents. While the change in revenue collected by the CBJ may eventually result in a need to adjust the services it provides, the most responsible action in the FY27 budget is to use fund balance — reflecting revenues collected in excess of spending in prior years — as a way to return that overcollection before pursuing significant cuts to services that make Juneau a great place to live. This approach helps avoid placing additional near-term pressure on families and businesses when many are already feeling financial strain.

Related to the discussion about ways in which the CBJ may increase revenue to replace voter-approved reductions in sales tax, it’s important to get those decisions right. Changes that increase tax revenue should be made if and when they are known to be necessary and can achieve a fair outcome. As CBJ considers these options, it should be wary of stepping into the activities of enterprise operations or diverting revenues collected for a specific purpose.

The Assembly has taken a thoughtful and open approach to this process, and we appreciate the time spent on public input and deliberation. At the same time, many of the decisions under consideration are based on projections that are not yet fully understood. Using fund balance to create time for a more deliberate evaluation — grounded in actual data rather than forecasts — would lead to better long-term outcomes. These decisions will shape Juneau’s economic environment in both the near and long term and should be made with a clear focus on sustaining a strong, resilient local economy. The chamber is committed to working with the city throughout the year on practical, sustainable approaches to revenue.

Rebecca Parks

Executive director, Juneau Chamber of Commerce

Corey Baxter

President, Juneau Chamber of Commerce