2025 Ballot Proposition

BALLOT PROPOSITION

“Shall the Haines Borough increase the sales tax rate seasonally from 5.5% to 7% in the townsite and from 4% to 5% areawide from April 1 through September 30, with the additional revenue supporting the school as well as the services provided in the townsite service area, and reduce the sales tax to 4.5% in the townsite and 3% areawide from October 1 through March 31 while also exempting groceries from sales tax during those months?”

A note about each fund that receives sales tax revenue:

• AREAWIDE GENERAL FUND (Fund 01)

  • in the 2026 budget, the school accounts for roughly half of the general fund expenditures
  • also used to support general community needs including utilities and building maintenance, essential infrastructure, and community facilities like the Chilkat Center, Library, Museum, Pool, Parks, and School
     

• TOWNSITE SERVICE AREA (Fund 02)

  • funds the police force, the public works department, and animal control
     

• MEDICAL SERVICE AREA (Fund 20)

  • used mostly to fund the ambulance
     

• ECONOMIC DEVELOPMENT AND TOURISM PROMOTION (Fund 23)

  • used for promoting tourism and developing Haines' economy. Covers funding for state and federal lobbyists, HEDC, advertising, and events like the Freeride world tour
     

• CAPITAL IMPROVEMENT PROJECTS (Fund 50)

  • just like it sounds - used for capital improvement projects. Rather than maintenance, this fund is reserved for larger-scale improvements, upgrades, or replacements to existing borough properties or assets. 

CURRENT 5.5% SALES TAX ALLOCATION:

• 1.0% to the areawide general fund;

• 1.5% to the townsite service area;

• 0.5% for medical service areas;

• 1.0% for economic development and tourism promotion;

• 1.5% for capital improvement projects.

PROPOSED CHANGES:

4.5% sales tax between October 1 and March 31 each year, allocated as follows:

• 0.0% to the areawide general fund (increases to 2% in summer, results in net gain to general fund),

• 1.5% to the townsite service area,

• 0.5% for medical service areas,

• 1.0% for economic development and tourism promotion,

• 1.5% for capital improvement projects, and

• Exempt groceries during this period; and

7% sales tax between April 1 and September 30 each year, allocated as follows:

• 2% to the areawide general fund (includes school, results in net gain to general fund),

• 2% to the townsite service area,

• 0.5% for medical service areas,

• 1.0% for economic development and tourism promotion, and

• 1.5% for capital improvement projects.