Governor Mike Dunleavy introduced legislation to end commercial fish tax revenue that is shared among fishing communities, such as the cities within the Kenai Peninsula Borough.

Under the proposal, about $28 million would stay in the state’s general fund in fiscal year 2020 instead of being shared with communities.

Kenai City Manager Paul Ostrander: “The City of Kenai receives revenues on the landings between the municipal boundaries every year. It varies depending on the catch and the price, it’s rolling average over the previous two seasons. The City of Kenai gets anywhere from $150,000-$220,000 a year.”

The Kenai Peninsula Borough and the cities within the borough benefit from the shared fisheries tax. In fiscal year 2018, communities throughout the state received about $29 million.

Ostrander: “Those revenues are going to need to be made up through some other type of tax, or in a modification of services. Those funds go directly into our general fund which provides funds for our police, fire, streets, all the services that we provide to our residents.”

The proposed budget still needs to go through the Legislature.