The Ketchikan Gateway Borough Assembly will vote Monday on a first reading of an ordinance extending the boroughwide tobacco tax. If adopted by the assembly, the ordinance will not take effect unless it’s ratified by voters in October.
Proceeds from the tobacco tax are dedicated to local schools. So far, the tax has generated about $1 million in revenue.
The current tobacco tax expires in 2021. If the proposed extension is approved by the assembly and ratified by voters, the tax will remain in place indefinitely unless it’s amended or repealed through an ordinance.
If approved on Monday, the ordinance to extend the borough’s tobacco tax will come back to the assembly for a public hearing and second vote.
Also Monday, the assembly will consider a motion accepting a petition to form a new service area in the borough. Residents of the proposed Old Dairy Road Service Area hope to exercise road powers to maintain and improve roads serving all properties that access South Tongass Highway from Old Dairy Road.
Thirteen parcels are currently included in the proposed service area. The petition calls for a 3.4-mill levy to pay for about $10,000 worth of anticipated road services.
If the assembly accepts the petition, a public hearing will be held at the South Tongass Volunteer Fire Department on July 29. The next step would be an ordinance for the assembly to consider. The final step would be a vote for residents of the proposed service area, included on the October ballot.
Monday’s assembly meeting starts at 5:30 p.m. in borough assembly chambers at the White Cliff building. Public comment will be heard at the start of the meeting.
