Tobacco tax increase could give Anchorage $5 mil per year

The Anchorage Assembly heard some new information about the proposed tobacco tax increase Tuesday night.

Assembly Chair Dick Traini said he's introducing a different version of the proposal that would split where the money from the tax increase would go.

Under his new plan, half of the money raised by the increase would go toward property tax relief. A quarter of the money would go to the Anchorage Fire Department budget and a quarter of the money would go to the police budget.

Under his old ordinance all money from the tax increase would go to property tax relief.

The mayor's office says the increase in tobacco tax in Anchorage would raise more than $5 million each year.

Traini says while you might find that tobacco companies hire lobbyists in Juneau, it's not every day you find one at the local level.

“RJ Reynolds and Phillip Morris have hired lobbyists. The names are there at the clerk’s office. You can pull it up. We must be getting somebody’s attention,” said Traini.

The Assembly listened to about an hour’s worth of public testimony and then closed the hearing.

The Assembly will make their final decision on the ordinance at its next meeting.