State Revenue Solutions Conversation Series

Posted on 08/09/21

Alaska Marine Highway

AARP and Alaska Municipal League are pulling together toward Alaska’s future, where Alaskans of all generations can stay in Alaska. Together we know that the State’s budget shortfall must be addressed; new revenues are needed to continue to provide the state infrastructure and services that Alaskans need to allow them to remain in their communities as they age.  

Our state is facing budget challenges and will need to make important decisions about how we can best address these challenges to continue providing health and financial security and economic opportunities to Alaskans of all ages.

For many years, Alaska used its oil revenues to balance the state budget and fund state services and programs. At the same time, the state used Permanent Fund earnings to issue dividend checks to all Alaska residents. As oil revenues declined, the state reduced spending on services and programs and used the state savings account to help balance its budget. Now, our savings account is nearly depleted, and the state is using Permanent Fund earnings to help pay for services and issue dividend checks to residents. Without enough oil revenue or state savings to draw from, Alaska is considering additional cuts and new ways to raise revenue to help balance the state budget, maintain state programs and services, and continue issuing Permanent Fund Dividend checks.

When AARP surveyed members on state fiscal solutions this year, there was agreement -regardless of geography or party affiliation - in opposition to continued state cuts and in support of revenue solutions.

Our research shows that older Alaskans are keenly aware of the state fiscal challenges and are willing to do their part to ensure a sustainable Alaska for future generations. The message to legislators from the strongest voting group in Alaska - older Alaskans – is simple: support revenue solutions over cuts to state services or cuts to the PFD.

Key findings in this survey of AARP Alaska members are:

  • Cuts to state spending on funding for local governments, public safety, education, transportation, health services for children and low-income families, and home care services for seniors are opposed by more than 70% of AARP members. A majority "strongly oppose" these cuts.
  • Increasing taxes on oil and gas companies is the preferred way to balance the state budget by a wide margin. And, the majority of AARP members (51%) “strongly support” this tax increase.
  • A state graduated income tax is supported by a wide margin overall, with nearly three out of five in support.
  • Two-thirds of AARP members initially support a state sales tax but only 43% support a sales tax after learning about the burden on some local communities who already have local sales taxes.
  • Capping PFD checks to help balance the state budget and maintain state services is also supported.

Click here to access the survey report, the full methodology, and topline findings. 

Join AML and AARP in this conversation series with legislators to explore revenue options for a sustainable Alaska for all. 

Thursday, August 26, 2021, Noon to 1 PM, State Revenue Solutions Conversation Series Co-Hosted by AARP and AML Part 1; Alaska’s Fiscal Crisis and Revenue Solutions
Join AML and AARP to hear overview presentations on Alaska’s Fiscal Crisis and potential Revenue Solutions from experts in the field to kick off our State Revenue Solutions Series. Watch it here.

Thursday, September 2, 2021, Noon to 1 PM, State Revenue Solutions Conversation Series Co-Hosted by AARP and AML Part 2; Oil Taxes
Join AML and AARP in a conversation with legislators to explore oil taxes for fiscal planning toward a sustainable Alaska.  Watch it here.

Thursday, September 9, 2021, Noon to 1 PM, State Revenue Solutions Conversation Series Co-Hosted by AARP and AML Part 3; Other Taxes & Solutions Join AML and AARP in a conversation with legislators to explore other taxes and solutions for fiscal planning toward a sustainable Alaska. In this discussion, we'll be joined by Senator Jesse Kiehl and Representative Bart LeBon.  Watch it here.

Thursday, September 16, 2021, Noon to 1 PM, State Revenue Solutions Conversation Series Co-Hosted by AARP and AML Part 4; Sales Taxes
Join AML and AARP in a conversation with Senator Micciche and Representative Spohnholz to explore sales taxes for fiscal planning toward a sustainable Alaska. Watch it here.

Thursday, September 23, 2021, Noon to 1 PM, State Revenue Solutions Conversation Series Co-Hosted by AARP and AML Part 5; Income Taxes Join AML and AARP in a conversation with Senator Von Imhof and Representative Wool to explore income taxes for fiscal planning toward a sustainable Alaska. Watch it here.

This story is provided by AARP Alaska. Visit the AARP Alaska page for more news, events, and programs affecting retirement, health care, and more.

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