Municipal League drops call for tax
FAIRBANKS - The Alaska Municipal League has dropped its call for the state to consider an income tax as a way to solve its fiscal problems. Instead, the group is calling for development of additional sources of revenue.
"It's the beginning of a new administration," said Kevin Ritchie, the league's executive director. "Let's let them set the tone for a discussion."
The municipal league adopted its position on a state fiscal plan at a meeting in Valdez on Friday. The group did not specify a revenue source, but frowns on the option of a statewide sales tax, Ritchie said.
Last year, the 142-member municipal league called for the state to consider an income tax. Ritchie said the league changed its position because it wants Gov.-elect Frank Murkowski to make the first move. The league's position that sales taxes should stay local is essentially unchanged.