2024-04-26                     Senate Journal                      Page 2323
SB 265                                                                                                                        
SENATE BILL NO. 265 BY THE SENATE RULES COMMITTEE                                                                               
BY REQUEST OF THE GOVERNOR, entitled:                                                                                           
                                                                                                                                
              "An Act relating to tax exemptions for agriculture                                                               
             and timber business; and providing for an effective                                                               
          date."                                                                                                                
                                                                                                                                
was read the first time and referred to the Community and Regional                                                              
Affairs and Finance Committees.                                                                                                 
                                                                                                                                
The following fiscal information was published today:                                                                           
 Fiscal Note No. 1, indeterminate, Department of Revenue                                                                        
                                                                                                                                
                                                                                                                                

2024-04-26                     Senate Journal                      Page 2324
Governor's transmittal letter dated April 25:                                                                                   
                                                                                                                                
Dear President Stevens:                                                                                                         
                                                                                                                                
Under the authority of Article III, Section 18 of the Alaska                                                                    
Constitution, I am transmitting a bill designed to reduce the burden of                                                         
income, property, and sales tax on the agriculture and timber industries                                                        
in the State. Under the terms of the bill, certain agriculture and timber                                                       
businesses would be exempt from state and local income, property,                                                               
and sales taxes for a period of 10 years.                                                                                       
                                                                                                                                
Alaska has a vested interest in ensuring a robust agricultural and                                                              
timber economy. To support that economy, this bill would exempt                                                                 
agriculture and timber businesses that produce at least $25,000 per                                                             
year in agriculture or timber products from local property tax                                                                  
assessments, city and borough sales taxes, and state corporate income                                                           
tax for 10 years. The implementation of this tax exemption will                                                                 
promote the growth of new and existing businesses in the State.                                                                 
                                                                                                                                
I urge your prompt and favorable action on this measure.                                                                        
                                                                                                                                
Sincerely,                                                                                                                      
/s/                                                                                                                             
Mike Dunleavy                                                                                                                   
Governor