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FAIRBANKS - The city of North Pole will take over the taxation of hotel rooms and alcohol from the Fairbanks North Star Borough.
Beginning March 1, the city will receive the funds from an 8 percent hotel room tax and a 5 percent alcohol tax.
City officials expect to raise about $160,000 yearly from the two taxes. The money, North Pole Mayor Doug Isaacson says, will help defray the cost of doing business.
The city's first major hotel, the 71-room Hotel North Pole, is set to open later this year.