The bill proposes an amendment to AS 29.45.110, allowing municipalities in Alaska to adopt an ordinance that limits the increase of assessed property values for housing. Specifically, the ordinance can restrict the assessor from raising the assessed value by a percentage between three and ten percent compared to the previous year's value. The bill ensures that the full and true value of properties assessed under this ordinance will be equal to the assessed value, and it prohibits the state from penalizing municipalities for implementing such ordinances.

Additionally, the ordinance must include certain stipulations: it must apply only to properties occupied as housing, allow for increases in assessed value if the property is improved or ownership is transferred, and mandate that the assessed value be updated every ten years to reflect the estimated market price under prevailing conditions. This legislation aims to provide municipalities with more control over property tax assessments, particularly for residential properties, while ensuring that property values are periodically adjusted to reflect market conditions.

Statutes affected:
SB0259A, AM SB 259, introduced 02/23/2026: 29.45.110
SB0259B, AM CSSB 259(CRA), introduced 04/13/2026: 29.45.110