Juneau Assembly Finance Committee cuts Travel Juneau budget in 5-4 vote

The Juneau Assembly Finance Committee voted 5-4 Wednesday night to cut Travel Juneau's hotel bed tax funding by $400,000 on a recurring basis. The reduction drops the destination marketing organization's budget from roughly $1.27 million to about $867,000, a 31 percent cut.

Travel Juneau Executive Director Liz Perry said the cut would likely take Juneau out of the visitor marketplace for two to three years. The reduction targets destination marketing spending. The organization's visitor services and tourism management programs would continue. Perry said the cut would eliminate trade show attendance, association memberships, and the ability to attract independent travelers and meetings.

Assembly Member Brooks proposed the $400,000 recurring cut after Mayor Beth Weldon initially proposed a $700,000 one-time reduction. Assembly members who supported the larger cut cited community budget survey results showing 62 percent of respondents prioritized tourism marketing for reduction. Finance Committee Chair Wall opposed the amendment, saying the cut would harm Juneau's independent traveler market and reduce future hotel bed tax revenue.

The Finance Committee is working to close a projected $8 million operating deficit for fiscal year 2027. The budget package moves to the full Assembly for public hearing and final action June 8. The Assembly must approve a final budget by June 15 under the city's budget calendar.