For many Juneau residents, the conversation about affordability is no longer an abstract debate — it is an urgent, personal reality. Families, retirees, and working professionals are feeling the squeeze from rising costs, and property taxes are a major contributor.
While the City and Borough of Juneau often points to a “lowered” mill rate as evidence of fiscal prudence, the truth is that property tax collections have risen dramatically. To make Juneau affordable, we must consider capping property taxes, especially given the city’s strong financial position and ample reserves.
Let’s start with the numbers. In 2015, the general government mill rate was 9.26. By 2024, it had been reduced to 8.96 — a drop of 3.2%. While this might appear to be a win for taxpayers, the key detail is that during this same period, assessed property values skyrocketed. In 2015, the assessed valuation of taxable property in Juneau was $4,484,327,332. By 2024, that number had risen to $6,496,299,327 — an astonishing 44.9% increase.
What’s driving growth? It’s not new housing or major economic development that’s expanded the tax base. Instead, the increase largely comes from reassessments of existing properties. Property owners are paying more simply because their homes are valued higher — not because they’re getting more services.
The result is a sharp increase in city revenues from property taxes. In 2015, property tax collections for general operations totaled $39,272,336. By 2024, that number had jumped to $56,466,670 — a 47.8% increase over 10 years. Compare that to the average annual inflation rate during this period, which was just 3.09%, and it’s clear that property tax growth has far outpaced the rise in the cost of living.
This trajectory is unsustainable for residents and for the long-term health of our community. Rising property taxes hit homeowners directly, but they also impact renters, as landlords pass on increased costs. Over time, this creates a cycle where fewer people can afford to live here, our workforce shrinks, and our economy suffers.
Some have raised the concern that capping the mill rate will simply push the city to dramatically increase property valuations. But this fear is misplaced. State law requires that property be assessed at fair market value, and Juneau is already at the upper end of assessments compared to the rest of Alaska. With so much supply currently on the market, those fair market prices are visible and enforceable, making it very difficult for the city to artificially inflate values.
Some argue that capping property taxes could limit the city’s ability to respond to emergencies. However, Juneau is not without a safety net. CBJ currently holds more than $30 million in reserves. These funds exist to ensure the city can handle unexpected challenges — from natural disasters to sudden revenue shortfalls — without placing additional burdens on taxpayers. Maintaining strong reserves while capping property taxes is not mutually exclusive; in fact, it’s sound fiscal management.
The real question is not whether the city has the capacity to cap taxes, but whether it has the will to make affordability a priority. By keeping taxes predictable, we create an environment where families can establish roots, small businesses can plan for the future, and retirees can stay in the community they love. We shouldn’t let fear of an unlikely scenario stop us from adopting sound, common-sense policy that protects homeowners and ensures affordability.
Juneau should be a magnet for opportunity — a place where entrepreneurs want to start a business, families want to settle, and young people see a future. That vision requires fiscal policies that support growth without pricing out the very people who keep our community thriving.
The mill rate chart may make for a nice talking point at city hall, but the reality on the ground tells a different story. By enacting a reasonable cap on property tax increases, we can give residents the breathing room they need, encourage responsible growth, and ensure that Juneau remains not only a beautiful place to live — but an affordable one. With healthy reserves and a strong community spirit, we have the tools to make it happen. Vote yes on ballot measures 1 and 2.
Angela Rodell served as commissioner of revenue from 2013-2014 and CEO of the Alaska Permanent Fund Corporation from 2015-2021 and is a member of the Affordable Juneau Coalition.
