From 2020 to 2021, Anchorage had a net outmigration of 2,801, the continuation of an eight-year trend of declining population. Some of this outmigration is the result of a housing shortage, causing people to move to the Mat-Su. A lot of this drop in population is people leaving the state at least in part to a weak economy. This impacts Alaskans who stay.
Alternatively, places that are growing tend to grow faster in the future. Prosperous places attract people looking for jobs and to start businesses. They bring with them additional resources and opportunities which mean more revenues for things like public safety, education and healthcare with lower tax rates. As cities offer more amenities, more people and more businesses are attracted to the area in a virtuous cycle.
These investments are long-lived and often paid for using bonds. Bonds allow the city to borrow money upfront and pay for larger projects over a longer period of time. Since 2016, the average annual total of all bond issues on the ballot has been $50 million. This is while state support for capital investments and revenue sharing is declining. Bond rates are currently low for municipal debt, meaning that the city faces a low cost of making investments in our future economic growth.
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