Budget & Taxes in Alaska

in committee · Alaska · House May 14, 2025

HB 171: An Act relating to interchange fees on tax and gratuity; and relating to the Alaska Unfair Trade Practices and Consumer Protection Act.

HB 171 prohibits payment processors from charging merchants interchange fees on the tax or tip portion of card payments when merchants provide documentation of those amounts during transaction processing. Merchants must submit tax/tip records to the payment processor within 180 days, triggering a 30-day refund of any fees charged on those portions. Violations carry $1,000 penalties per transaction, and processors cannot raise fees on other transaction parts to offset lost tax/tip fees. This directly affects restaurants, retailers, and other businesses accepting card payments in Alaska, ensuring they aren't overcharged on taxes or tips.

Topics ✓ Budget & Taxes

in committee · Alaska · Senate Apr 14, 2025

SB 171: An Act relating to the insurance tax education credit; relating to the income tax education credit; relating to the oil or gas producer education credit; relating to the property tax education credit; relating to the mining business education credit; relating to the fisheries business education credit; relating to the fisheries resource landing tax education credit; renaming the day care assistance program the child care assistance program; relating to the child care assistance program and the child care grant program; and providing for an effective date.

SB 171 expands tax credit programs for educational contributions across multiple sectors in Alaska, including credits for donations to universities, vocational schools, Alaska Native cultural programs, and coastal ecosystem centers. It also creates new tax credits for businesses that operate child care facilities for employees, contribute to nonprofit child care providers, or reimburse employees for child care costs. The bill renames the "day care assistance program" to "child care assistance program" and integrates this change with related tax credit provisions. These changes directly affect Alaska taxpayers who make qualifying educational or child care-related contributions, allowing them to reduce their income, insurance, or property tax liabilities. The bill consolidates and modifies existing credit structures under various tax codes without altering the program's core eligibility criteria.

Topics ✓ Budget & Taxes ✓ Education

Sub-Topics Early Childhood

in committee · Alaska · House Apr 30, 2025

HB 29: An Act relating to group insurance coverage and self-insurance coverage for school district employees, employees of the University of Alaska, and employees of other governmental units in the state; and providing for an effective date.

HB 29 clarifies that school districts, the University of Alaska, and other Alaska government units must budget for group or self-insurance coverage for their employees. It amends statutes to require school boards to specifically allocate funds for insurance participation in their annual budgets (under AS 14.14.090(1)) and explicitly authorizes boards to maintain such coverage (under AS 14.08.101(12)). This change ensures insurance costs are formally included in budget planning for these public employees, without creating new coverage requirements.

Topics ✓ Budget & Taxes

in committee · Alaska · Senate Mar 3, 2025

SJR 5: Proposing amendments to the Constitution of the State of Alaska relating to the Alaska permanent fund, appropriations from the permanent fund, and the permanent fund dividend.

SJR 5 proposes constitutional amendments to Alaska's Permanent Fund rules. It would require the legislature to annually appropriate up to 5.5% of the fund's average value to the general fund, with a portion specifically designated for resident dividend payments. Crucially, it mandates that any change to the dividend amount must be approved by voters in a statewide election, not just passed by the legislature. These changes would apply to appropriations starting with the 2028 fiscal year, affecting how Alaska manages its oil revenue fund and distributes dividends to residents.

Topics ✓ Budget & Taxes

Sub-Topics State Budget

in committee · Alaska · Senate May 12, 2025

SB 151: An Act relating to head lice in public schools.

SB 151 requires Alaska public schools serving grades K-8 to adopt policies allowing students with live head lice to stay in class until the end of the school day but return only after a school nurse confirms no lice. Schools must provide parents with treatment information when lice is detected. The state would reimburse districts 20% of costs for school nurses if they screen at least 95% of students annually (while protecting privacy), submit required reports, and meet other specified conditions. This bill directly affects K-8 students, families, and school districts in Alaska.

Topics ✓ Budget & Taxes ✓ Education

Sub-Topics Student Health

in committee · Alaska · House Mar 28, 2025

HB 129: An Act relating to the fisheries product development tax credit; providing for an effective date by amending the effective date of sec. 2, ch. 31, SLA 2022; and providing for an effective date.

HB 129 modifies Alaska's fisheries product development tax credit program. It affects Alaska-based fisheries businesses that invest in equipment to process eligible fish (like salmon, herring, or pollock) into higher-value products. Key provisions include changing the effective date for credit claims from 2026 to 2029, defining "qualified investment" to cover specific processing equipment (e.g., canning machines for non-standard can sizes, ice-making systems, and byproduct conversion tools), and excluding general supplies or transport equipment from the credit. The bill clarifies eligibility and timing for businesses seeking tax credits on qualifying investments.

Topics ✓ Budget & Taxes

Sub-Topics Tax Credits

in committee · Alaska · House Feb 27, 2025

HB 85: An Act making supplemental appropriations, reappropriations, and other appropriations; amending appropriations; capitalizing funds; repealing appropriations; and providing for an effective date.

HB 85 is a budget bill that adjusts funding allocations for Alaska state agencies during the 2025 fiscal year (July 1, 2024-June 30, 2025). It specifies exact dollar amounts for departments like the Department of Commerce ($30,000 for Oil and Gas Conservation), Corrections ($4.1 million for Population Management), Health ($3.1 million for Behavioral Health), and Medicaid ($228.6 million). The bill reassigns, adds, or removes funds within existing budgets but does not create new programs or change laws. It directly affects state agencies by determining their available operating funds for the upcoming fiscal year.

Topics ✓ Budget & Taxes ✓ Healthcare

Sub-Topics Appropriations State Budget

in committee · Alaska · House Mar 3, 2025

HB 94: An Act relating to the registration of marijuana establishments; relating to a tax exemption for qualified small businesses; relating to marijuana taxes; and providing for an effective date.

HB 94 changes marijuana business registration from biennial to annual, requiring the state board to issue permits within 45-90 days or allow applicants to submit directly to local authorities if delays occur. It establishes a tax exemption for qualified small marijuana businesses and permits local governments to set annual registration and application fees. The bill also clarifies that if voters ban marijuana businesses locally, existing registrations expire 90 days after election results are certified, with limited extensions for expired permits during that period. These provisions directly affect marijuana businesses, local governments, and state regulators.

Topics ✓ Budget & Taxes

Sub-Topics Business Taxes

in committee · Alaska · Senate Feb 11, 2026

SB 81: An Act relating to employer contribution rates in the teachers' retirement system and the Public Employees' Retirement System of Alaska; and providing for an effective date.

SB 81 sets minimum annual employer contribution rates for Alaska's Teachers' Retirement System and Public Employees' Retirement System. It requires state employers to pay at least the rate needed to cover three specific costs: ongoing pension expenses (normal cost), past service liabilities, and other mandated contributions. This directly affects state agencies, school districts, and other public employers that fund these retirement systems. The bill takes immediate effect without further legislative action.

Topics ✓ Budget & Taxes ✓ Education ✓ Labor & Employment

Sub-Topics Pensions

vetoed · Alaska · House Jul 30, 2025

HB 174: An Act relating to the regional educational attendance area and small municipal school district fund; relating to Mt. Edgecumbe High School; and relating to teacher housing.

HB 174 creates a dedicated fund to support rural school districts and Mt. Edgecumbe High School in Alaska. It provides funding for school construction and major maintenance projects at these locations, as well as for maintenance of state-owned teacher housing located within rural school districts. The bill specifies that the fund must not hold more than $70 million in unspent balances and prioritizes school construction projects. This directly affects regional educational attendance areas, small municipal school districts, and teachers working in those communities.

Topics ✓ Budget & Taxes ✓ Education ✓ Housing

Sub-Topics Teachers

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