April 22, 2024 1:05 am
Matanuska-Susitna Borough eliminates the need for business licenses

Matanuska-Susitna Borough Assembly recently voted unanimously to repeal the business license requirement for businesses operating within the borough. This change will take effect immediately, starting this week. The license was first introduced in 1995 and required a $100 fee with renewal every two years. However, businesses that paid for a license before the repeal will not receive a refund.

Despite this change, state and city requirements for business licenses still apply. Businesses in Alaska must have a state-issued license with an annual fee of $50, while businesses in Mat-Su cities like Palmer, Wasilla, and Houston are required to carry a city-issued license for $25 per year.

Over 10,000 entities currently hold borough business licenses. However, data from these registrations has not been used for economic development purposes for at least 20 years and is primarily used as a business tax. The repeal is expected to result in a loss of about $541,000 in annual income from license fees.

Borough officials hope to offset this loss by reallocating business license staff to focus on securing new federal funding sources through grant applications. They believe that eliminating this requirement will benefit businesses and streamline the process of operating in the Matanuska-Susitna Borough.

The proposal to repeal the business license requirement was sponsored by Mayor Edna DeVries and assembly members Dee McKee and Rob Yundt. They believe that eliminating this requirement will create a more business-friendly environment in the Matanuska-Susitna Borough and help attract new businesses to the area.

In conclusion, the Matanuska-Susitna Borough Assembly has unanimously voted to repeal the business license requirement for businesses operating within the borough. This change will take effect immediately starting this week, and over 10,000 entities currently hold borough business licenses. However, state and city requirements for business licenses still apply, and data from these registrations has not been used for economic development purposes for at least 20 years. Despite this change, borough officials hope to offset the loss by reallocating business license staff to focus on securing new federal funding sources through grant applications.

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