
Peter Micciche
10:32 - 11:05
"We have the lowest mill rate of any other 4356 community at approximately 9 mills."
“We have the lowest mill rate of any other 4356 community at approximately 9 mills.”
There's a purpose for property taxes and there's a definition of subsidy. Property taxes is the sharing of municipal costs to every user that enjoys those services. And subsidy is when someone has to pay for someone else's decision. So our primary reason for being here today is to kind of discuss what we're facing. We have the lowest mill rate of any other 4356 community at approximately 9 mills.
Kenai Peninsula Borough Mayor Peter Micciche told the Alaska Senate Finance Committee Wednesday that the House version of the Alaska LNG tax bill provides a workable 70% property tax reduction, while the original 90% cut would have left local taxpayers subsidizing the project.

Legislative Finance Division analysis shows the alternative volumetric tax structure in Senate Bill 2001 would generate approximately $124 million annually when the full Alaska LNG project is operational, with Kenai Peninsula Borough receiving $55 million and North Slope Borough receiving $40 million based on capital expenditure weights.
