Alaska2026Passed Legislature

HB275

HB 275: Changing the State Spending Limit

Last scannedSep 10, 2026, 12:32 AM

In one sentence

This bill changes how much Alaska can increase its yearly budget by lowering the spending cap to one percent and removing adjustments for population growth or inflation.

Changes the law so that annual state spending increases cannot be more than one percent over the previous year's amount.
Removes the rule that allowed adding extra money based on changes in state population or rising prices (inflation).
Excludes specific funds from this limit, including the permanent fund, budget reserve fund, bond payments, nonstate trust accounts, and mental health trust accounts.
Sets a start date of July 1, 2027, for these new spending rules to begin.

The Alaska state legislature when it creates the annual budget.
State agencies that receive funding from the general treasury subject to this limit.

The bill does not explain what happens if a program needs more than the allowed increase due to emergencies or new laws.
It does not provide data on whether current spending is already above or below this new limit.

Plain language

Appropriation: Money officially set aside or approved for a specific government purpose in the budget.
General Fund: The main account where most state tax money is kept and from which general spending comes, including balances carried forward from previous years.

Official record

Validated

APPROPRIATION LIMIT An Act relating to an appropriation limit; and providing for an effective date.

Official activity