Anchorage Assembly takes up repeal of 43-year Sullivan Arena ticket surcharge

A per-ticket surcharge on Sullivan Arena admissions that has stood since 1983 could end if the Anchorage Assembly passes an ordinance introduced Tuesday.

Under current code, every ticket to an event at Alaska's largest multi-use indoor arena carries two required add-ons: a $0.50 operating surcharge plus either $0.50 for tickets priced at $10 or under, or $1.00 for tickets above $10. The surcharge was originally adopted to offset the cost of traffic control and other municipal services provided in support of arena events. It was last amended in 2003. In recent years, the municipality has shifted to directly billing for those services and has deposited surcharge revenue into the facility's capital-reserve account instead. Operators have reported the surcharge mechanism has proved administratively cumbersome. If the Assembly passes the ordinance, repeal takes effect immediately.

Prospective operator All in 49 LLC has offered to raise its gross-revenue capital-reserve deposit from 5 percent to 6 percent if the surcharge is repealed. Mayor Suzanne LaFrance wrote in the ordinance memorandum that "this ordinance is not expected to have significant economic effects."

A Feb. 9 internal audit report adds context to that assessment. The Anchorage Internal Audit Department found that "ticket surcharges collected from April 2024 to July 2025 totaled $111,687 and had only been collected for three types of events: a comedy show, a hockey legends event, and hockey games." The operating contract with All in 49 LLC and the surcharge repeal both remain before the Assembly.