In the early 1980s, Anchorage was expanding quickly, and downtown was the beating heart of the city’s business, government, and cultural life. Yet the growth created a serious challenge: a shortage of parking. Businesses worried about losing customers, and residents complained about the daily frustration of circling for a spot.
A First Attempt: The Failed Bond Vote
Mayor Tony Knowles, who took office in 1981, recognized that downtown’s future depended on modern parking infrastructure. His administration proposed a traditional approach—placing a general obligation bond before Anchorage voters to finance a new downtown parking garage.
But when the measure went to the ballot, the public turned it down. Taxpayers were cautious about assuming new debt obligations, even for a project that promised to strengthen downtown.
A New Solution: Creating the Anchorage Parking Authority
Rather than abandon the idea, Knowles looked for an alternative. If voters were unwilling to back the debt with property taxes, perhaps there was a way to let the parking system fund itself.
In 1984, his administration created the Anchorage Parking Authority (APA). The new agency had a mandate to professionally manage downtown parking and, crucially, the power to issue revenue bonds backed by parking fees. This meant garages could be financed without relying on general tax revenues or another public vote.
The 5th & B Parking Garage 
The first major project under this model was the 5th & B Parking Garage, strategically placed near the soon-to-open Performing Arts Center and within walking distance of government offices and retail businesses. The APA issued bonds secured by projected parking revenues, allowing construction to move forward.
When the garage opened in the mid-1980s, it represented more than just additional spaces for cars. It symbolized the success of a new financing model—one that enabled Anchorage to invest in critical infrastructure without direct taxpayer backing.
Pictured right: Construction of 5th & B Parking Garage and Sky Bridge connector to the 5th Avenue Mall.
A Lasting Legacy
Mayor Knowles’ leadership during this period reshaped Anchorage’s approach to urban growth. By turning a failed ballot measure into a long-term institutional solution, he laid the foundation for downtown development that was resilient, flexible, and financially sustainable.
The Anchorage Parking Authority—and its first major success, the 5th & B garage—remain enduring parts of the city’s downtown landscape, a testament to the idea that persistence and innovation can turn setbacks into lasting progress.
Learn more about the Anchorage Community Development Authority at
www.acda.net.
September 25, 2025 - Neighbors from across the Municipality park their lawn chairs for Neighborhood Flix Fest on top of the 5th & B parking garage as part of the MOA50 celebration.
Published by the Assembly Legislative Services Office
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