FY2018-09 Requesting That The Legislature Amend The Senior Citizens/Disabled Veteran's Property Tax Exemption (AS 29.45.030(g)), By Reinstituting The Means Based Provision, And Exclude The Value From The Determination Under AS 14.17.510
1 Introduced by:KIB Assembly
2 Drafted by:AML/Assembly member Crow
3 Introduced on:08/03/2017
4 Adopted on:08/03/207
5
6 KODIAK ISLAND BOROUGH
7 RESOLUTIONNO. FY2018-09
8
9 A RESOLUTION REQUESTING THAT THE LEGISLATURE AMENDTHE SENIOR
10 CITIZENS/DISABLED VETERAN'S PROPERTY TAX EXEMPTION (AS 29.45.030(g)), BY
11 REINSTITUTING THEMEANS BASEDPROVISION, AND EXCLUDE THE VALUE FROM
12 THE DETERMINATION UNDER AS 14.17.510, TO ENSURE THE FAIR AND EQUITABLE
13 TREATMENT OF ALLPROPERTY OWNERS, WHILE ALSO PROVIDING EXEMPTIONS TO
14 THOSE WHO ARE ECONOMICALLYDISADVANTAGED
15
16 WHEREAS,in 1973, the State of Alaska mandated that all municipalities provide senior
17 citizens with a tax exemptionon the total assessed value of their residential property, on a
18 needs basis. During that year a total of nine-hundred & eleven (911) persons were exempt from
19 paying a total of$197,050in property taxto municipalities, which the State reimbursed the
20 municipalities for, and
21
22 WHEREAS,the needs based provision was removedfrom this mandate in 1974; disabled vets
23 and surviving spouses were addedin 1985; and the law was amended to limit the exemption to
24 the first $150,000 of the assessed property value in 1986; and
25
26 WHEREAS,theState of Alaska stopped reimbursing municipalities for this mandated
27 exemption in1997, and
28
29 WHEREAS,by 2015 thirty-five thousand five-hundred and sixty-one(35,561) persons were
30 exempt from paying a total of $66,223,849 in property taxes; and
31
32 WHEREAS,the exemption was givento these two groups because of perceived economic
33 disadvantages;and
34
35 WHEREAS,these exemptions are placingmore and more of a financial burden on all other
36 property owners, some of whom are legitimately economically disadvantaged; and
37
38 WHEREAS,while some of the currently exempt population iseconomically disadvantaged
39 and should continue to receive thisexemption, many who receive it are not;and
40
41 WHEREAS,this mandatory exemption further burdens municipalities by barring revenues
42 needed to fund essential government services, and
43
44 WHEREAS,Stateand Federal fundsto support municipal services arebeing reduced.
45
Kodiak Island Borough, AlaskaResolutionNo. FY2018-09
Page 1 of 2
46 NOW, THEREFORE, BE IT RESOLVED that the Kodiak Island Borough Assembly strongly
47 requests thatthe Alaska Municipal League urgethat the legislature amendthe Senior
48 Citizen’s/Disabled Veteran’s Property Tax Exemption (AS 29.45.030(g)), excluding the value
49 from the determination under AS14.17.510, by reinstituting and administering a means based
50 determination to allow only those senior citizens and disabled veterans and their spouses who
51 are economically disadvantaged to continue receiving this exemption.
52
53 BE IT FURTHER RESOLVED that upon adoption, this Resolution shall be submitted to the
54 membership of the Alaska Municipal League for consideration and adoption.
55
56 ADOPTED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH
57 THIS THIRDDAY OF AUGUST, 2017.
58
59
60 VOTES:
61 Ayes:Crow, LeDoux, Skinner, Smiley, Symmons
62 Noes:Townsend, Van Daele
63
Kodiak Island Borough, AlaskaResolutionNo. FY2018-09
Page 2of 2