The municipality of Juneau, location of Alaska's state capital, covers a larger area than two other entire US states combined.

This statement is true. The municipality of Juneau covers a total area of 3,255 sq mi. The combined areas of Rhode Island (1,214 sq mi) and Delaware (1,982 sq mi) is 3,196 sq mi. Note that this total area covers both land and water.

The City and Borough of Juneau, commonly known as Juneau, is the capital city of Alaska. It is a unified municipality located on the Gastineau Channel in the Alaskan panhandle, and it is the second largest city in the United States by area. Juneau has been the capital of Alaska since 1906, when the government of what was then the District of Alaska was moved from Sitka as dictated by the U.S. Congress in 1900.

Juneau is rather unusual among U.S. capitals (except Honolulu, Hawaii) in that there are no roads connecting the city to the rest of Alaska or to the rest of North America (although ferry service is available for cars). The absence of a road network is due to the extremely rugged terrain surrounding the city. This in turn makes Juneau a de facto island city in terms of transportation, since all goods coming in and out must go by plane or boat, in spite of the city being located on the Alaskan mainland.