Anchorage’s Sales Tax Proposal: Circling Back to Good Foresight

Anchorage’s mayor has proposed a 3% city sales tax to address budget shortfalls and invest in key services. This move highlights the tough fiscal choices facing Alaska as state support declines and economic pressures mount.

Our free strategic planning resource, Alaska Economic Futures, explores scenarios for the state’s economy through 2035. These scenarios show that new taxes, like the proposed sales tax, may become more common as leaders seek fiscal stability. They also raise important questions for anyone leading an organization in Anchorage today:

• Will new taxes stabilize finances, or accelerate a decline?

• Would a city sales tax be the only new tax, or merely the first of several?

• What other economic domino effects – if any – might there be over the next couple of election cycles?

The environment today requires clear, continual, strategic thinking. Download our scenarios and use them with your leadership team to frame new conversations about Alaska’s future.