Statement: I wanted to let you know what has happened in the Matanuska Borough. Over the last couple of years the property tax has elevated to the extent that people's taxes are well into the $thousands$ of dollars for their homes. I know that when I think of borough, I think of Palmer and what has happened to them. I know of several folks who have more than one piece of property and had to sell one in order to be able to pay taxes throughout their lifetime. That is what scares me. Property tax can be so unfair.
On another note, we are in an agricultural area. I hope that if and when taxation happens, the farmers/ranchers can live with the tax amounts allocated. We sell many products to Alaskans and others who travel up here and we contribute to the economy of the State & local community. I hope that the next generations will be able to do the same should the business continue. I hope the borough will take into consideration the agricultural land differences vs. private property-non/agricultural.
Response: The Deltana Borough Charter Commission heard local residents' concerns about various types of taxation. Each one has its positive and negative elements in producing the needed funds for local services. The Commission advanced a petition that included a
(1) Payment in Lieu of Taxation in which Teck-Cominco will pay a set amount (no less than $2 million annually)
(2) a 10% energy tax and
(3) a 3% tax on fuel.
The three taxes will be voted up or down as a bundle. If the local people vote against the taxes then the proposition of organizing a borough fails. If the borough is supported by voters, the borough assembly may reduce, modify or provide for exemptions for certain activities or times of the year for the two taxes. However, the assembly may not increase those taxes. Only the local residents can increase them through a public vote. Any other form of taxes requires a vote of the local residents.