Win Gruening: Juneau Assembly members shift priorities in wish list to Legislature

By WIN GRUENING

Jan. 23, 2026

As the City and Borough of Juneau (CBJ) Assembly grapples with balancing the FY 26/FY27 municipal budgets, the public is beginning to see some welcome shifts in priorities. Adjustments in the priority of some recent project requests submitted to the Alaska Legislature for state funding seem to indicate a realization that needs are more important than wants.

Since the Juneau’s Legislative Capital Priority List passes through advisory and Assembly bodies, scored by all elected members and discussed at the Finance Committee, it reflects their consensus on the relative importance of a particular project.

In looking at similar lists over the previous two budget cycles and comparing it with the draft FY2027 list, there are two areas worth mentioning: (1) new or higher-ranked projects on the current list and (2) projects no longer on the list or that have moved  down significantly in ranking.

It shouldn’t be a surprise that the #1 ranked item over the last two years is Glacial Outburst Flood Response, Mitigation & Preparedness ($25 million). Also, it isn’t surprising that #2 and #3 were Juneau-Douglas North Crossing ($3 million) and Mendenhall Wastewater Treatment Plant Upgrades ($6.3 million), respectively.

All three of those capital priorities are important and clearly fall within the core functions of municipal government.

However, rankings below those three tell a story.

The #4 item on the list is a Transfer Station for Solid Waste ($14.8 million). This is a brand-new item and replaces Telephone Hill Redevelopment (which was a top five item the past two years and has now been relegated to #10). It should be noted that a previous Assembly legislative request regarding solid waste was confined to a composting facility, which received a $2.5 million Federal grant in 2023 and is no longer on the list.

The refocused emphasis on solid waste is extremely critical since the privately-owned landfill is projected to reach capacity in as soon as 10 years.

The other new item on the list debuting at #7 is Gold Creek Flood Control Rehabilitation ($12-$15 million). According to CBJ, the Gold Creek Flume (a 2,080 ft flood control channel)  constructed in the 1950’s by the US Army Corps of Engineers (USACE), has exceeded the design life for concrete structures of its kind. The structural integrity of the flume is rapidly deteriorating, with significant scouring and erosion, exposed rebar, and evidence of failing channel walls, including the wall adjacent to the Federal Building.

The request explains that “without these repairs, the Juneau Federal Building and the surrounding support services are at risk of flooding and bank collapse due to the increased volume and frequency of high-velocity rain events.”

The two additions above effectively knocked two previously higher-ranked projects down the list. The Lemon Creek Multimodal Path moved from #9 to #12 and the State Office Building Parking Garage redevelopment from #7 to #13.

Rounding out the top ten projects were requests for Pederson Hill Development ($1 million), JSD Security and Safety Upgrades ($2 million), Bartlett Hospital Emergency Department Renovation($2 million), and Statter Harbor Breakwater ($5 million).

Significantly, while the rest of the remaining 11 projects on the list more or less maintained their relative position, the Capital Civic Center has slid from #11 in FY25 to #20 in FY27. This also mirrors a reduction in funding for the CCC project locally as $5 million was reallocated earlier this year from cruise ship passenger fees. An additional $2 million from the CCC project has been recommended for reallocation to plug the growing funding gap for the Assembly’s new city hall project.

So, while the change in priorities for state funding is welcome, it also needs to be reflected in a commensurate shift in local funding. Moving funds from one expensive and controversial project to another one doesn’t accomplish that.

However, according to CBJ Mayor Beth Weldon, the city’s budget deliberations have a long way to go, and Assembly members are asking tough questions.

Hopefully, that will eventually translate into a realignment of priorities at the local level that clearly favors needs over wants.

Win Gruening retired as senior vice president in charge of business banking for Key Bank for the State of Alaska in 2012. He was born and raised in Juneau and graduated from the US Air Force Academy in 1970. After serving as a pilot in the US Air Force flying in the Pacific and Vietnam, Win began his banking career with Rainier Bank in Seattle and moved home  to Juneau in 1980. Win has been involved extensively in various local and statewide organizations such as United Way, Junior Achievement, and the Alaska Committee.

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