State commission approves establishment of a new borough government in northern Southeast Alaska.

Updated: 19 seconds ago Published: 20 seconds ago

In a recent significant decision, a five-member state commission approved plans to create a new local government centered on Hoonah, Southeast Alaska. This approval paves the way for a local election on the proposed Xunaa Borough. If passed, Hoonah will dissolve as a town and reincorporate as a city-borough with governance over the northern Southeast Alaska area, including portions of Glacier Bay National Park.

This marks the creation of Alaska’s 20th borough and the first since Petersburg’s city-borough establishment in 2013. The Local Boundary Commission consented to the proposal in a closely contested 3-2 vote after extensive discussions. Advocates like Commissioner John Harrington emphasized the measure aligns with state interests.

Within 30 days, a report from commission staff will finalize recommendations leading to an election. The proposal is likely to receive voter support, largely because it excludes neighboring communities that opposed the borough’s formation. Resistance from these communities led commission staff to initially recommend against Hoonah’s proposal.

Funding for the borough will rely on a local sales tax benefiting largely from tourism, particularly the cruise ship dock at Icy Strait Point. Ultimately, a unanimous recommendation was made that the new borough negotiate inclusion terms with excluded communities if it is established.

Originally published by the Alaska Beacon.