SB259 • 2026

PROPERTY TAX ASSESSMENT INCREASES

An Act relating to an optional municipal limit to increases of the full and true value of property owned and occupied as a permanent place of abode by a resident.

Taxes

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor: SENATOR BJORKMAN
Last action: 2026-05-04
Official status: (S) FIN
Effective date: Not listed

Plain English Breakdown

Checked against official source text during the last sync.

Property Tax Limit for Homeowners

This act allows cities to set rules that limit how much the value of a person's home can go up each year when calculating property taxes.

What This Bill Does

Allows cities to make rules about not raising the assessed value of homes more than 10% in one year.
Requires cities to keep the full and true market value every ten years, even if they limit yearly increases.
Prevents the state from punishing a city for setting these limits on property tax assessments.

Who It Names or Affects

Homeowners who live in their homes permanently
Cities that choose to set limits on property tax increases

Terms To Know

Assessed value: The official value of a home used for calculating property taxes.
Full and true market value: The actual worth of a home based on what it would sell for in the current real estate market.

Limits and Unknowns

It does not say how much money this will cost or save.
This act only applies to cities that choose to make rules about property tax limits.

Bill History

2026-05-04 Text
(S) Heard & Held
2026-05-04 Text
(S) FINANCE at 09:00 AM SENATE FINANCE 532
2026-04-28 2387
(S) REFERRED TO FINANCE
2026-04-28 2387
(S) FIN REFERRAL ADDED AFTER L&C
2026-04-28 2387
(S) FN2: INDETERMINATE(CED)
2026-04-28 2387
(S) AM: DUNBAR, YUNDT
2026-04-28 2387
(S) NR: MERRICK, GRAY-JACKSON
2026-04-28 2387
(S) DP: BJORKMAN
2026-04-28 2387
(S) L&C RPT CS 1DP 2NR 2AM NEW TITLE
2026-04-27 Text
(S) Moved CSSB 259(L&C) Out of Committee
2026-04-27 Text
(S) LABOR & COMMERCE at 01:30 PM BELTZ 105 (TSBldg)
2026-04-20 Text
(S) Heard & Held
2026-04-20 Text
(S) LABOR & COMMERCE at 01:30 PM BELTZ 105 (TSBldg)
2026-04-15 Text
(S) Heard & Held -- Please Note Time Change --
2026-04-15 Text
(S) LABOR & COMMERCE at 01:30 PM BELTZ 105 (TSBldg)
2026-04-13 2218
(S) FN1: ZERO(CED)
2026-04-13 2218
(S) DP: DUNBAR
2026-04-13 2218
(S) NR: MERRICK, GRAY-JACKSON, YUNDT
2026-04-13 2218
(S) CRA RPT CS 3NR 1DP NEW TITLE
2026-04-10 2199
(S) L&C WAIVED PUBLIC HEARING NOTICE,RULE 23
2026-04-09 Text
(S) Moved CSSB 259(CRA) Out of Committee
2026-04-09 Text
(S) COMMUNITY & REGIONAL AFFAIRS at 01:30 PM BELTZ 105 (TSBldg)
2026-03-17 Text
(S) Heard & Held
2026-03-17 Text
(S) COMMUNITY & REGIONAL AFFAIRS at 01:30 PM BELTZ 105 (TSBldg)
2026-03-03 Text
(S) Heard & Held
2026-03-03 Text
(S) COMMUNITY & REGIONAL AFFAIRS at 01:30 PM BELTZ 105 (TSBldg)
2026-02-23 1754
(S) CRA, L&C
2026-02-23 1754
(S) READ THE FIRST TIME - REFERRALS

Official Summary Text

PROPERTY TAX ASSESSMENT INCREASES
An Act relating to an optional municipal limit to increases of the full and true value of property owned and occupied as a permanent place of abode by a resident.

Current Bill Text

Read the full stored bill text

SB0259C -1- CSSB 259(L&C)
New Text Underlined [DELETED TEXT BRACKETED]

34-LS1249\S

CS FOR SENATE BILL NO. 259(L&C)

IN THE LEGISLATURE OF THE STATE OF ALASKA

THIRTY-FOURTH LEGISLATURE - SECOND SESSION

BY THE SENATE LABOR AND COMMERCE COMMITTEE

Offered: 4/28/26
Referred: Rules

Sponsor(s): SENATOR BJORKMAN
A BILL

FOR AN ACT ENTITLED

"An Act relating to an optional municipal limit to increases of the full and true value of 1
property." 2
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 3
* Section 1. AS 29.45.110 is amended by adding a new subsection to read: 4
(f) A municipality may, by ordinance, prohibit the assessor from increasing 5
the assessed value of property over the previous year's assessed value by a percentage 6
amount. The percentage amount may not be less than three percent nor more than 10 7
percent. Notwithstanding (a) of this section or standards adopted by the department 8
under (e) of this section, the full and true value of property assessed under an 9
ordinance adopted under this subsection is equal to the assessed value. The state may 10
not penalize a municipality for adopting an ordinance under this subsection. An 11
ordinance adopted under this subsection 12
(1) may include other requirements to administer and enforce the 13
ordinance; 14
34-LS1249\S
CSSB 259(L&C) -2- SB0259C
New Text Underlined [DELETED TEXT BRACKETED]

(2) must allow the assessor to increase the assessed value of the 1
property if the property is improved or ownership of the property is transferred to the 2
estimated price that the property would bring in an open market and under prevailing 3
market conditions in a sale between a willing seller and a willing buyer both 4
conversant with the property and with prevailing general price levels; and 5
(3) must require the assessor to increase the assessed value of the 6
property every 10 years to the estimated price that the property would bring in an open 7
market and under prevailing market conditions in a sale between a willing seller and a 8
willing buyer both conversant with the property and with prevailing general price 9
levels. 10