"The Alaska economy is blessed by people with an entrepreneurial spirit," Governor Palin said. "By investing in their businesses, small firm owners make a major contribution to our economy. I am pleased this law will decrease the burden for those who are helping grow our economy."
Business license fees had been $25 for many years until the previous administration pushed for an increase to $100. Governor Palin had wanted to return the fee to $25 but a compromise was reached with the legislature and the new fee will be $50. The law does not take effect until the sale of 2010 licenses begins October 1, 2009.
Governor Palin also signed HB 147 into law. HB 147, sponsored by House Speaker John Harris, will allow Alaska's travel industry to continue to receive state funds by changing the present state statute that requires 50 percent of state general funds to be matched by 50 percent of funding from private industry. The law will allow the 50 percent match to be cut to 30 percent for a three-year period, after which the percentage returns to the original level.