Senior citizens who receive mandatory property tax exemptions may be presented the option to “pick, click, give” back to Haines this fiscal year, an idea proposed by assembly member Tom Morphet.

Morphet, who chairs the borough’s finance committee that met on Tuesday to discuss the option, suggested a letter be included in tax bills that go to seniors to point out the amount of their exemption and request voluntary donations back to the general fund.

The state of Alaska has mandated the senior citizen tax exemption since 1972 for low income seniors, and eventually disabled veterans, to be reimbursed fully back to the community. The eligibility was eventually expanded to include all seniors at a total assessed property value of up to $150,000 annually, but the Legislature cut reimbursement back to municipalities in 1997.

In 2018, the total senior and veteran mandate exemption in Haines cost the community $343,726, according to finance director Jila Stuart.

Committee member Brenda Josephson said she agreed with the sentiment, but doesn’t want to make an onerous task for the staff that isn’t cost effective to the borough.

“I do like the idea of sensitizing the seniors when they’re applying, so I think we can make one generic letter at the time that they’re applying for it,” she said. Committee member Stephanie Scott agreed.

Morphet argued that the logic of putting it in the bill is so people can see the exact amount they’re being exempted, but Stuart said it may be difficult to include in the same letter as the tax bills, which are sent from a printer in Missouri. Josephson suggested giving a rough estimate of last year’s mill rate times the exemption cap of $150,000.

The committee decided the best option was to include the proposed letter at the time of application, formatted like a pick-click-give donation option for Permanent Fund Dividends. There would be options asking senior citizens if they’d like to donate some or all of their exemption back to the Haines Borough.

The committee directed the staff to research potential wording for the notification.

Morphet said he doesn’t expect people will give back their entire exemption, as people don’t typically give away their whole PFD. “It’s a way to appeal to people’s better nature and I think it might have some effect,” he said.

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