Options Now to Annex Now

Options Now to Annex Now

Contributed by Ken McCarty

How are you in problem solving and “thinking outside the box”? Years ago, my grandfather advised me to always think of at least 5 solution options for every problem.  Such advice has served me well as a father, business owner, community leader, legislator, and just living life.

In 1989 I submitted a permit to personally lead a raft trip down the Colorado River through the Grand Canyon. The priority was to take some special friends, so they needed advanced warning to take a month off from work to do the trip. In 1999 my permit was granted, and my friends were informed of the launch date. One dear friend informed me he did not have the $1,600 to do the trip. I wanted him to go but I did not have the funds to pay his portion, so taking my grandfather’s advice we came up with many options and ran with a crazy idea to solve the challenge. The local military base had a closed bid auction on ammo cans, which I submitted a bid of $.36 per can and won 1,200 cans. We drove all over to army surplus stores, sporting shops, and such which by the end of the week had secured $3,000.  So, my friend and another had the opportunity to raft the Grand Canyon, which we had a great trip.

How does my story reflect on you and Mat-Su?  Currently Mat-Su is exploring revenue sources to solve financial demands to operate the borough, attend to needs, and enhance economic growth. Discussions have ranged from gas taxes, property tax increases, borough wide sales tax, and resource development. The Assembly appears to be option thinking, which is good.

Another options to explore is the annexation of Chugiak / Eagle River into Mat-Su. Let’s explore the option and possible fiscal benefits of this idea. The residents of Chugiak / Eagle River (CER) pays out a tax base to Anchorage. CER already pays for and would continue to pay for their own multiple Service Areas to be more self-contained (e.g. roads, parks, fire, and upon annexation, police). These services would not be paid for with taxes from the residents of the Mat-Su Borough.

If an annexation to Mat-Su were to occur it would generate around $41 million annually in revenue for Mat-Su. About $15 million would be to general operations and about $26 million toward school operations. This past year the Mat-Su Assembly was looking for $5 million for road maintenance improvement with the suggestion of revenue collected through fuel tax. The idea was denied by the people. Recently, Mat-Su received a one-time grant of $7 million for the Pt. MacKenzie infrastructure. Many have expressed excitement of new funds. What if such funds were available more on an annual basis? 

Port Pt. MacKinzie is at an amazing location for import and export of good for Mat-Su and Alaska. Resource development exportation is more feasible at Port Pt. Mac. It has a greater footprint of space to avail much more than the Port of Anchorage, which brags of serving 80% of Alaska imports. The economic growth and stability of infrastructure attainability through Port Pt. MacKenzie will boost manufacturing, retail stores, service stores, general business, increase employment, and improve of the family pocketbooks of Mat-Su. 

What do you perceive are benefits to you through the Annex Now idea? How would annexation with realigned funds to Mat-Su improve the infrastructure, employment, roads, schools, and State political voice for Mat-Su?

In 2024 the Annex Now concept began to emerge when inquiry was made with Mat-Su people regarding the idea of annexation of CER to Mat-Su. The grassroots group of Annex Now prepared a 540-page proposal to the Alaska Local Boundary Commission, which a technical review was conducted between May and July 2025. The response back is favorable with request to clarify some details and “what is the opinion of Mat-Su regarding annexation?” Good questions. What are your thoughts?

If you want to pursue option thinking to explore other funding sources like Annex Now than it is imperative that you contact your Mat-Su Assembly members as well as send a message to Annex Now (Annexnow2Mat-Su.com).