Alaska’s subsidies support the dominant oil and gas, mining, and fishing industries. The state has spent heavily on infrastructure development for major projects, including a road built for a mining operation owned by a Teck Resources subsidiary in the northwestern part of the state. Many of those deals are structured as public-private partnerships. Alaska has 6 megadeals and has accrued $1.2 billion in subsidies.  

Alaska does not have state sales or personal income taxes, but it does tax property and oil and gas production. Consequently, it offers various credits against those taxes. The state also provides loans and grants to commercial fishing companies. The state repealed its film production incentive in 2015.  

Various agencies administer economic development subsidies. The Alaska Department of Commerce, Community, and Economic Development manages business loans and grants; the Department of Revenue and the Alaska Department of Natural Resources administer tax breaks. The Alaska Industrial Development and Export Authority (AIDEA), the state development agency structured as a public-private corporation, finances large development and infrastructure projects.  

It is unclear how much Alaska spends in total on its economic development programs. Neither the state nor its cities or school districts report lost revenues under GASB 77. The state also does not have a “traditional” tax expenditure report that would easily provide access to those costs. 

Still, our 2022 Financial Transparency report found that Alaska has improved its recipient-level transparency. AIDEA publishes “project sheets” with information on major deals and DOR discloses which companies benefit from the Oil and Gas Tax Credits. However, there is still a lot of room for improvement as many of the grants, loans, and tax breaks still do disclose basic information such as the names of companies that received them and their value.  

Alaska’s Legislative Finance Division reviews tax subsidies every six years, organizing the evaluation by administrating agencies, the Pew Charitable Trust reports. 

Our database tracking corporate misconduct, Violation Tracker, scours 450 federal, state and local agencies in compiling resolved civil and criminal cases against companies. See the list of state agencies from which we collect information in Alaska.

Last updated November 2023.

For more information, contact Kasia Tarczynska at [email protected].