00                            SENATE BILL NO. 172                                                                         
01 "An Act increasing the residential property tax exemption."                                                             
02 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA:                                                                
03    * Section 1. AS 29.45.050(a) is amended to read:                                                                   
04 (a)  A municipality may exclude or exempt or partially exempt residential                                               
05 property from taxation by ordinance ratified by the voters at an election. An exclusion                                 
06 or exemption authorized by this subsection may be applied with respect to taxes levied                                  
07 in a service area to fund the special services. An exclusion or exemption authorized by                                 
08 this subsection may not exceed the assessed value of $75,000 [$50,000] for any one                                  
09 residence except that a municipality may, by ordinance, annually adjust the                                         
10 municipality's [THEIR] voter-authorized exemption by the amount calculated by the                                   
11 State Assessor to reflect the increase, if any, in the annual average cost of living, using                             
12 the United States [U.S.] Department of Labor Consumer Price Index for Urban                                     
13       Alaska [CPI-U FOR ANCHORAGE].