aircraft in Anchorage are facing a 100% increase

http://alaskadispatch.com/blogs/bus...-aircraft-registration-tax-anger-local-pilots


Plans to double Anchorage aircraft registration tax anger local pilots
Rob Stapleton | Oct 23, 2010
aircraftrowpanc-rob-stapleton
Rob Stapleton photos
Owners of over 1000 aircraft in the Anchorage area are facing a 100 percent increase in a registration tax that the Municipality of Anchorage want to increase with an omnibus amendment to the Anchorage Assembly.

Owners of over 1000 aircraft in the Anchorage area are facing a 100 percent increase in a registration tax that the Municipality of Anchorage want to increase with an omnibus amendment to the Anchorage Assembly.

Aircraft owners in Anchorage are once again under attack, this time by a proposed registration tax increase by the Municipality of Anchorage.

"We as aircraft owners are under siege once again with a proposed 100 percent tax increase that is discriminatory against the aviation community," said Dick Lochner, secretary of the Birchwood Airport Association, to the 100-member association Wednesday night.

Currently all aircraft owners with an address within the municipality are charged $75 dollars per engine, per aircraft.

The new tax on single engine aircraft, gliders, and hot air balloons will go up to $150 each. Aircraft with two or more engines pay $125 now, but if the amendment passes a fee of $225 per aircraft, commercial or non-commercial, per year will be levied.

The proposed Omnibus amendment (A.O. 2010-81, Section 14, 12.08.060) will be introduced to the Anchorage Assembly on Oct. 26.

"Every aircraft owner on this field should storm city hall," said Lochner. "And I urge you all to write letters, send faxes and e-mails to Mayor Dan Sullivan protesting this egregious increase. And remind him that he is not living up to what he has printed right under his picture on the muni website."

Lochner is referring to the slogan under the mayor's image on the municipal website: "Mayor Dan Sullivan will continue his focus on improving public safety, holding the line on taxes and ensuring that Anchorage is a great city to live, work and play."

"Hells bells, this is not holding the line on taxes," said Lochner. "And why aren't they taxing four wheelers, snow machines, personal watercraft and boats with the tax? It's just downright discriminatory."

Birchwood Airport has over 400 aircraft hangared and tied down. It is owned and operated by the State of Alaska Department of Transportation.
dicklochner-rob-stapleton
Dick Lochner, secretary of the Birchwood Airport Association, gives examples of how to comment on the upcoming amendment to increase an aircraft registration fee 100 percent to members of the association at a membership meeting on Oct. 20 in Chugiak.
"We get virtually no services from the municipality at this airport other than a bill in the mail," said Rod Elg. "This is just a legal form of robbery."



Merrill Field has 877 aircraft, Lake Hood has 1000, Birchwood has 400 and there are hundreds more airplanes on lakes in garages, warehouses and backyards about to get some new attention.

According to Dan Moore, treasurer for the Municipality of Anchorage, the amendments were suggested after a budget review by the Office of Management and Budget that suggested different revenue generators.

The reason for targeting aircraft explains Moore, is that they are easier to track.

"Due to Federal Aviation Administration regulations that require every aircraft to have a valid active address and a home base airport, airplane registration with the Municipality is possible," Moore said." The other types of personal property are far too difficult to track and it takes too much manpower and time to verify their details and ownership."

One of the other main reasons that OMB suggested the increase in what the MOA is calling a registration fee is because it has not been raised since 1995 when a flat fee per aircraft was charged. Previously aircraft were taxed based on an appraised value of the aircraft and charged much more, according to Moore.

Aircraft owners at the meeting see this as yet another attack by government on general aviation.

"First it's the TSA, then the price of fuel, then the EPA avgas issue now it's a frickin' tax on our airplanes whether they are airworthy or not," said Lars Gleitsmann, the government affairs liaison for Anchorage chapter of the Experimental Aircraft Association.

Every N-numbered aircraft registered to an Anchorage resident, whether flying or not, will be forced to pay the registration tax, according to Moore.

Another pilot owner who wished not to be identified lamented the tax as well.

"I have a 1945 Dodge truck that is worth more than my 1948 Aeronca Sedan and it's not getting taxed anywhere close to this."

But aircraft owners will get a chance to voice their opinion about the increased registration fee next month.

"The amendments will be introduced on Oct.26 and there will be public testimony on the omnibus proposals starting Nov. 9," said Moore. "There will be several opportunities for public input in Nov. before this is passed."

Lochner and his group have vowed to contact every aircraft owner in the municipality and ask them to flood the assembly chambers during public testimony on the amendments.

"We will storm city hall if we have to make our point, we can stop this but we will have to keep on the Mayor," added Wes Erb, president of the Birchwood Airport Association.

Rob Stapleton can be reached at robstapleton(at)alaska.net This e-mail address is being protected from spambots. You need JavaScript enabled to view it .

Re: aircraft in the Anchorage area are facing a 100 percent

edit....


or am I reading that wrong?

Reading it wrong....

Current is $75/engine
New will be a $150 for singles
and $225 for Multi

So a 100% increase for Singles and $100 Increase for Multi-engine. Thats how I read it.

By the time I get around to paying my airplane tax bills i usually pay enough in fines to make the fee double. If I pay them on time there won't be any change for me. The City of Anchorage is in financial trouble. If this tax helps solve the problem I'm happy to pay it. I wish they'd just spread it to all citizens and forget the "sin" and "luxury" taxes. I use fewer city services than the average Wal Mart shopper. Maybe there should be a Wal Mart tax?

Stewart

I'm sure other boroughs and municipalities will follow.

Jerry

I already pay $150 tax on my cub. I am registered and live in the valley and pay $75 out here. I have a lease at international being it's inside the city of Anchorage they also tax me $75. Pisses me off I get no services from the mun.i I land and lease a tie down on state property but yet they can tax me. I contacted the Muni to tell them I already pay a tax in the community I live they could care less was smugly told to contact my rep. Of course I have no rep with-in the Muni, they knew that.

Cub_Driver

Contact the ombudsmans office and file a complaint. They where helpful getting part of the late fee's i was charged when my first aircraft tax bill i received (and the first time I was aware there was such a thing) came with a late fee already on it.

Tax

Just one more reason(in a long list) of why I wouldn't live in ANC.....

Yah, last Wednesday my wife and I ate a great dinner at Sullivan's before going to Mama Mia at the PAC. Gotta love those signature "Knockout" martinis. On Saturday it was Orso, a good bottle of Brunello, and a couple of hours of watching Kathy Mattea perform. Dan Tyminski and Cheryl Wheeler are playing a show in a couple of days. Ruthie Foster next week. Life in Anchorage has its advantages.

SB

Taxes

Yeah, well you do have some good cub parts stores...I think ANC ended up with too many of the west-coast-liberal- tax and spend types...

Keep voting for liberals and progressives folks. They need you tax money for new "programs." There are a lot of people in AK that are far more deserving of your money than you.

How many airplanes does AK need? Next the do-gooders will driving you out via taxation to keep AK GREEN!

People that don't exercise their right to vote deserve everything thing they get-----which is generally liberals and higher taxes.

mike mcs repair said:

According to Dan Moore, treasurer for the Municipality of Anchorage, the amendments were suggested after a budget review by the Office of Management and Budget that suggested different revenue generators.

The reason for targeting aircraft explains Moore, is that they are easier to track.

"Due to Federal Aviation Administration regulations that require every aircraft to have a valid active address and a home base airport, airplane registration with the Municipality is possible," Moore said." The other types of personal property are far too difficult to track and it takes too much manpower and time to verify their details and ownership."

One of the other main reasons that OMB suggested the increase in what the MOA is calling a registration fee is because it has not been raised since 1995 when a flat fee per aircraft was charged. Previously aircraft were taxed based on an appraised value of the aircraft and charged much more, according to Moore.

Click to expand...

The part that really frosts me is "because it is easier" That is always a good reason to do something, just ask your kids!!

Are not the personal property taxes usually in the parts of the state with fairly strong "red" local goverments (Nome, Kenai...)?

In this economy every municipality is hurting. Our hanger leases just went up and will double in the next 3 years. What frosts my butt is the fact that they have their airport board meeting behind closed doors and they are not announced. Violates the federal Sunshine Law.

mghallen said:

Are not the personal property taxes usually in the parts of the state with fairly strong "red" local goverments (Nome, Kenai...)?

Click to expand...

Question: Are you are saying, :roll: the best places to live are the "red" areas?

No or yes, well maybe.

meeting is tonight/now.. item 9f3 on agenda it looks like...

http://publicdocs.muni.org/sirepub/pubmtgframe.aspx?meetid=359&doctype=agenda

watch live online too..

http://publicdocs.muni.org/sirepub/pubmtgframe.aspx?meetid=359&doctype=agenda

then click "view event"

http://www.adn.com/2010/11/09/1545671/mayor-withdraws-proposal-to-raise.html

Mayor withdraws proposal to raise airplane registration fees

Anchorage Daily News

Published: November 9th, 2010 06:33 PM
Last Modified: November 9th, 2010 06:33 PM

Mayor Dan Sullivan has withdrawn a proposal to increase annual registration fees for small aircraft, saying his administration needs to work on the issue further.

The plan was to double municipal fees for registering planes, from $75 to $150 for single-engine craft and from $125 to $250 for twin-engine planes.

That increase would have raised $210,000 more for the 2011 city budget.

But Sullivan said at tonight's Assembly meeting that city treasurer Dan Moore had raised an issue that needs to be addressed before the fees are raised. The problem is that the city applies different taxes and fees to different types of property, such as boats and aircraft, Sullivan said.

The mayor said he wants to meet with aircraft owners and others to re-do the proposal.

We had a good grass roots effort to stop this sillyness. I sent an email to the decision makers, explaining my experience with 4 mayoral administrations as a commissioner on the Municipal Aviation Advisory Commission. This whole deal keeps cropping up: tax the rich plane owners. That is the last thing the MOA should do.

Good job by all those that stood up, and took the time to email the assembly, Mayor and other MOA officials.

This is a small battle won, the war still lurks

Someone already probably noted this, but AOPA sent me an email to go publically gnash my teeth, sing tragic sagas and generally whine about how hard my poor life might be if they did such a thing. I'm glad they did, because I wouldn't have noticed otherwise.

I can't because I'm deployed to a remote location. Otherwise, I might inquire of where the heck they were having that parlay, because I might just arrive in their chambers with a few of those comments and opinions. Lucky them.

It really pisses me off.

I have no problem paying my fair share of taxes. Since I own property here, I already pay more than my share. I should get a fracking break on my goofy little paper airplane tax just for that simple reason. No one pays sales taxes here (Yes, tourists, I'm talking to YOU), billions of commuters pay no taxes here at all, no one pays income taxes, and no one gives a rats . . . belly-button. (As long as it doesn't cost them anything). Hence, we the few, the proud, the broke property or business owners bend to the oars.
(all due respect to my jarhead friends).

The muni is in trouble because the local government has neither the spine nor the ability to do what is politically inconvenient, but right. We are hamstrung with constraints that prevent generating funds that the state is increasingly reluctant or unable to provide. We have a tax cap. This is a simple case of poor planning, the tyranny of the masses, a super-majority requirement to change anything and it's caught up with us. Instead, we have "Lets increase licensing fees", "Lets increase building permit costs", "Lets float a bond". (which will raise my taxes - thank you verrry, verrrrry much.)

Blasphemy it may be, but it's time for a damned sales tax. Everybody pays, instead of just me and my neighbors.

Now, if you'll excuse me, I just barfed in my mouth a bit, and need to go wash it out with a bit of single-malt.

Carry on.

moneyburner said:

Someone already probably noted this, but AOPA sent me an email to go publically gnash my teeth, sing tragic sagas and generally whine about how hard my poor life might be if they did such a thing. I'm glad they did, because I wouldn't have noticed otherwise.

I can't because I'm deployed to a remote location. Otherwise, I might inquire of where the heck they were having that parlay, because I might just arrive in their chambers with a few of those comments and opinions. Lucky them.

It really pisses me off.

I have no problem paying my fair share of taxes. Since I own property here, I already pay more than my share. I should get a fracking break on my goofy little paper airplane tax just for that simple reason. No one pays sales taxes here (Yes, tourists, I'm talking to YOU), billions of commuters pay no taxes here at all, no one pays income taxes, and no one gives a rats . . . belly-button. (As long as it doesn't cost them anything). Hence, we the few, the proud, the broke property or business owners bend to the oars.
(all due respect to my jarhead friends).

The muni is in trouble because the local government has neither the spine nor the ability to do what is politically inconvenient, but right. We are hamstrung with constraints that prevent generating funds that the state is increasingly reluctant or unable to provide. We have a tax cap. This is a simple case of poor planning, the tyranny of the masses, a super-majority requirement to change anything and it's caught up with us. Instead, we have "Lets increase licensing fees", "Lets increase building permit costs", "Lets float a bond". (which will raise my taxes - thank you verrry, verrrrry much.)

Blasphemy it may be, but it's time for a damned sales tax. Everybody pays, instead of just me and my neighbors.

Now, if you'll excuse me, I just barfed in my mouth a bit, and need to go wash it out with a bit of single-malt.

Carry on.

Click to expand...

I don't agree.

Having lived in Anchorage / Chugiak since 1965, it has never made sense to me how the city continually runs short of money.

This city has grown hand over fist in the last thirty years with a MUCH larger property tax base (residential and commercial).

The biggest problem is TOO much city employment for the size of city. I've been inside city offices as a supplier and can tell it's a situation of the work being stretched to fit the day (i.e. two people for every job).

I also have a close friend who works for the Muni. and the stories he tells of the waste would make your toes curl.

No, they don't need anymore money. They need to cut back like EVERYONE else.

I would support a sales (consumption) tax IF they got rid of property tax completely. Taxing a persons property is not what America was built on. You basically never own anything the government can't take away.

Crash

Got to the assembly meeting a bit late. Yeah, they did table it for for further scrutiny. Like said above, battle won, war looming.

On a side note, Traini, while commenting on the proposed cigarette tax increase, said, "I have four grandkids that are half native, I support the tax increase to keep them from smoking." Really? That's what we are dealing with in Anch.

Increased Tax

This morning's paper says the Mayor, Dan Sullivan, has withdrawn the proposal to increase registration fees for aircraft.There is some unresolved problem according to the treasurer, but it sounds like they intend to raise the tax at some point soon.

Really the article was about that specific, "The problem is that the city applies different taxes and fees to different types of property...." With no explanation why that is the problem.

Sales Tax Then we will still have debt, if not more. The infrastructure ( personel, buildings equipment ,vehicles and pensions ) needed to collect and insure the taxes are properly paid WILL be more than the income. Simple Business, we as individuals don't write checks without money in the bank, hoping for an increase for next year. Then at the end of the Fiscal Budget do the mad dash to spend the balance before we lose it or heaven forbid, Won't get an increase for the New years Budget. Unless we are the federal, State or City Government. So a $210,000 income for the city's coffers will pay for How many city employees Maybe 3, SORRY the numbers don't work!