Sitka voters will decide Feb. 2 on a summer sales tax increase for child care

Sitka voters will decide Feb. 2 whether to add half a cent on the dollar to the city's summer sales tax to pay for child care. To vote, residents must be registered by Sunday, Jan. 3, the City and Borough of Sitka said in a reminder Friday.

If voters approve, the sales tax from April through September would rise from 6% to 6.5% starting April 1, 2027. A $10 summer purchase would carry 5 cents more in tax, and a $100 purchase 50 cents more, according to a city FAQ. The 5% winter rate wouldn't change.

City staff estimate the increase would raise about $1.19 million a year, more than the Assembly's $1 million goal, according to a ballot proposition memo.

The Assembly has spent months studying child care. Licensed programs serve about 204 children, while about 485 children up to age 9 may need regular care outside the home, according to a report the Assembly commissioned. Center-based infant care costs $24,413 a year, about a quarter of the area's median household income.

The money would go to grants for local child care providers, training for child care workers and scholarships to help families pay tuition. An outside organization chosen through a competitive process would run the program. After administrative costs, the sponsors suggested a rough split: 60% to providers, 20% to recruiting and keeping staff, 15% to family scholarships and 5% to a career training pathway.

The tax would end March 31, 2037, unless voters renew it. Long-term rentals wouldn't be affected, and the summer point already set aside for school buildings wouldn't change.

The Assembly voted 6-1 on Oct. 27 to advance the measure and gave it final approval Nov. 10. It was sponsored by Mayor Kevin Mosher and Assembly members Thor Christianson and Katie Riley.

Christianson said a good share of the summer tax wouldn't be paid by Sitka residents. Riley called it "a regressive tax" but said she'd vote yes because something has to be done and the community should weigh in.

Assembly member Darrell Windsor voted no. "I'm having a hard time with this tax increase," he said at the Oct. 27 meeting. He said he'd rather see a 4% winter rate and a 7% summer rate, with more of the money coming from tourists.

Of the seven people who spoke before that first vote, three backed the tax and one opposed it. The other three said they wanted help with child care but doubted this tax would deliver it.

Residents with an Alaska driver's license or state ID can check their registration and register online through the state Division of Elections. Others need a paper form. Anyone can also register in person at City Hall or the Sitka Public Library. Registration isn't official until the division approves it, and an acknowledgment should arrive within two to four weeks, the division says.