Juneau tax votes could send sales tax up in April, down in July
Published 1:30 pm Monday, September 14, 2026
Juneau shoppers could pay a higher sales tax beginning in April 2027, then see the rate fall three months later, depending on how voters decide two tax propositions in the Oct. 6 municipal election.
Three tax measures are on the ballot, asking voters separately whether to extend an existing sales tax, create a seasonal sales tax and raise the city’s property tax ceiling.
The two sales tax propositions could produce four different outcomes in 2027 because their effective dates do not line up.
Proposition A would renew a temporary 3% sales tax for five years, from July 1, 2027 through June 30, 2032.
Proposition C would establish an additional 1% sales tax each year from April through September, beginning April 1, 2027.
Voters can approve either measure, both, or neither.
Because Proposition C would begin three months before the existing 3% tax is set to expire, Juneau’s sales tax rate could change twice during 2027.
Juneau’s current 5% sales tax would remain in place through March 2027. It consists of a permanent 1% tax, the temporary 3% tax addressed by Proposition A and a separate temporary 1% tax for special projects.
That final 1% tax expires Sept. 30, 2028, so the rates shown above apply only to 2027.
If voters reject Proposition A, the city estimates it would lose about $34 million in annual revenue. About $23 million currently supports general government services and $11 million supports capital projects.
The city says the assembly would have to respond by cutting spending, raising revenue elsewhere or using some combination of the two.
Proposition C is expected to generate about $6.8 million annually, meaning it would replace only part of the revenue lost if Proposition A fails.
The seasonal tax would apply to residents and visitors alike. Existing exemptions, including those for qualifying food and utilities, would remain in place.
City officials intend to use revenue from the seasonal tax for indoor and outdoor recreation. The ballot measure, however, would not legally dedicate the money to those purposes, leaving spending decisions to the Assembly.
Property tax ceiling
Proposition B is separate from the two sales tax measures.
It would raise the property tax ceiling in Juneau’s charter from 9 mills to 12 mills, not including taxes levied to pay general obligation debt.
Approval would not automatically raise the property tax rate to 12 mills. Instead, it would give the Assembly authority to set a rate as high as 12 mills for operations.
One mill equals $1 in tax for every $1,000 of taxable assessed value. On a property with a taxable value of $400,000, the difference between 9 mills and 12 mills would be $1,200 per year, excluding debt service.
Juneau’s current total property tax rate is 9.92 mills: 9 mills for operations and 0.92 mills for debt.
The Assembly sets the property tax rate each year as part of the city budget process.
Ballots are scheduled to be mailed Sept. 18. In-person voting begins Sept. 21 at the City Hall Assembly Chambers and the Mendenhall Valley Public Library.
Ballot drop boxes close at 8 p.m. Oct. 6.
