I am urging the assembly to put the sales tax increase on the October ballot for re-consideration, but this time send out a Skagway box holder listing all that sales tax money is supporting; school funding ($1.2 million), ‘buy down’ property tax mill rate ($1 million+), the clinic (was it $967,000 last year?) How much for the rec center, day care providers fire department, police department, KHNS support and so many other things?
And just in case you don’t know, food at the grocery store is always tax exempt year-round.
The city of Skagway has two main sources of income – property tax and sales tax. Other funds received are mostly dedicated to specific costs or projects.
I heard someone say that renters might leave if their rent is raised by 1.5% ($15 on $1,000). How much more likely are they to leave if their rent goes up $100 per month because the landlord’s property tax has doubled? The money to support all the things we need and want must come from somewhere, if not sales tax then property tax.
For the tour operators already selling next year’s tours, build in this increase now. If it passes you are covered, if it fails you have a little extra profit. Most tours are sold at ‘rate plus sales tax’ anyway.
This increase would take effect April 1, 2024 and would be for only the 2nd and 3rd quarters – tourist season. We need this additional income. Wouldn’t it be nice to have Broadway re-paved or at least fill in the potholes? That one at 7th and Broadway will eat your tire if you hit it wrong.
Sharon Bolton
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