This bill amends various sections of Alaska's statutes regarding the taxation of electric cooperatives and electricity generation and storage facilities. It establishes that electric cooperatives are exempt from state and local ad valorem, income, and excise taxes. Additionally, it modifies the provisions related to the telephone cooperative gross revenue tax, specifying that the proceeds, after deducting the costs of tax collection, will be refunded to local governments, while taxes collected on gross revenue from telephone cooperatives outside city or borough areas will be retained by the state. The bill also repeals certain existing provisions related to the electric cooperative tax.

Furthermore, the bill introduces new tax exemptions for electricity generation and storage facilities that commence operations on or after July 1, 2024. These facilities will not be subject to state and local ad valorem, income, and excise taxes if they are operated by a public utility or provide power exclusively to a public utility or to end users who were not receiving electric service from a public utility as of July 1, 2026. The bill is set to take effect on July 1, 2026.

Statutes affected:
HB0268A, AM HB 268, introduced 01/23/2026: 10.25.540, 10.25.570, 42.45.310, 43.98.100