What to consider before voting on Ballot Measure 1

By John Pugh

Before voting on Ballot Measure, I ask your to please consider what the City and Borough of Juneau accomplishes with your taxes. Do you really want to jeopardize the quality of life that we now enjoy? 

Every Sunday our church service provides a time for the congregation to request prayers for various needs whether they be healing from illness, comforting grieving families, or responding to a disaster. Last Sunday someone asked for prayers of thanks for the response to the glacier outburst. In addition, they asked for prayers to ensure that the city will continue to support a long-term solution. The congregation responded affirming their support. 

In that moment, I definitely agreed with the petitioner, but thought immediately about what if Ballot Measure 1 passes, and the City and Borough of Juneau loses some of its flexibility and resources to respond to disasters like the glacier outburst. The mill rate cap amendment would change the present cap from 12 to 9. A significant decrease in the policy.

Research around the country has shown that ballot measures to cap taxes often result in underfunded public services that affect the quality of life for all residents. Juneau is a great place to live and work. We have a number of amenities that make Juneau exceptional. For example, our health care system is publicly funded and available for all residents. Our recreational opportunities include a world-class ski facility; over 100 hiking trails that start from our road system; pools in both the downtown and valley. We have excellent public safety systems that serve the entire community. All these services are funded, in part, by our local government.

In addition, the community of Juneau has chosen to provide our seniors incentives to remain in Juneau after they retire by providing sales tax relief on food and utilities and giving each senior property owner a $150,000 dollar reduction on their assessed value to reduce their tax burden. This equates to $3.9 million in tax relief, an average of $1,469 per senior.

Ballot measures to cap various taxes at the state or local level have become quite popular around the country. The advocates for such measures argue that they provide a more predictable tax environment for taxpayers. They also argue that limiting taxes on homeowners, particularly, make home buying more affordable.  

However, for Juneau’s home buyers, affordability is driven more by land and development costs in addition to the high costs of construction. Property taxes make up very little of the cost for housing in Juneau. Ballot Measure 1 will not suddenly make housing more affordable. 

Our assembly has been working on ways to make housing more affordable in Juneau. In addition, they have continued to make Juneau a safe and healthy community with wonderful recreational opportunities for all residents. Let’s not tie their hands by adopting Ballot Measure 1. 

• John Pugh is a former chancellor at the University of Alaska Southeast, president of the Gastineau Rotary Club and vice-chair of the Juneau Economic Development Council. He lives in Juneau.