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Mat-Su Borough staff outline fuel excise tax proposal as long‑term pay‑as‑you‑go option for roads
Summary
Borough administration presented a proposed fuel excise tax as a mechanism to raise pay‑as‑you‑go revenue for road and school capital needs and to avoid increased long‑term debt; public commenters expressed mixed reactions including calls for property tax relief and protections against new taxes.
The Matanuska‑Susitna Borough manager presented a draft fuel excise tax proposal at the June 17 assembly meeting, framing it as a pay‑as‑you‑go funding option for future capital needs and a way to avoid increasing long‑term debt.
Manager Sam Brown told the assembly the borough is in “a very good financial position” but faces rising long‑term debt pressures if state participation in school and road packages continues to fall to zero. He said the excise tax would be dedicated to capital improvements, would not apply to aviation, marine or home‑heating fuels, and would capture revenue from non‑residents who use borough roads.
“To look 10 years out,” Brown said, the borough modeled $330 million in road packages and $250 million in school packages and found…
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