Alliance of Concerned Taxpayers, Inc. v. Kenai Peninsula Borough

OPINION

FABE, Justice.

I. INTRODUCTION

This case concerns the validity of two 2005 Kenai Peninsula Borough (Borough) ordinances: one enacted by the Borough Assembly and the second enacted by voter initiative. The Borough Assembly enacted an ordinance in June 2005 that increased the sales tax rate from two percent to three percent. Then in an October 2005 election, Borough voters passed an initiative that required prior voter approval for all Borough capital projects with a total cost of more than one million dollars.

The Alliance for Concerned Taxpayers (ACT) challenged the sales tax increase and…