Property Taxes Used for Mental Health Services

[Augie91]

Lord knows, especially this past year, mental health services are VERY important to a community.  I recently found out that here in Iowa property taxes are used to fund mental health services.  Many are debating that property taxes should be be spent on property maintenance and improvement and support. That other tax sources like sales and or income taxes should support mental health.  Makes sense to me.  What's everbody else think?  Folks outside Iowa, how does your state fund mental health services?

https://brownfieldagnews.com/news/iowa-f...-services/

"Hill says property taxes should pay for property services, while people taxes—sales and income taxes—should pay for people services. Hill says that would help address the growing disparity in property taxes across Iowa."

[Trub Lou]

I don't have a fundamental problem with it, other than the inevitable overspending and inefficiency. Traditionally, property taxes have gone to fund the local school system, which I still think should be a higher priority use of the money.

That said, it benefits nobody to have crazy people running around, so using property taxes to fund drug prevention, prisons, or mental health services all seem like equal legitimate secondary purposes.

[Augie91]

The Governor supports the idea of increasing the sales tax by 1 cent to cover the costs.  Not really sure if raising tax dollars through a sales tax versus a property tax is better or not.  Some are arguing that she is just trying to implement a regressive tax and decrease a progressive tax.  Hopefully a few other folks will chime in on how their states pay for mental health costs.  I'm curious if Iowa is handling it like others or not.

[Trub Lou]

It seems wrong to me to refer to sales tax as "regressive."

[dj in kc]

When it takes a greater percentage of income from low earners I would say it is.  If there is an exemption up to a certain income I'm better with it.  Kansas taxes food purchases at the same rate at everything else - stupid IMO.  Missouri, if I want to go a couple miles to shop, barely taxes food - a little over 1% IIRC

[Trub Lou]

In ohio and iowa, grocery purchases of food are not taxed. So it's not a regressive tax. And for other items, the tax is proportional to the price so people buying more expensive things pay a higher tax.

[Mexas Joe]

Property taxes are by nature unfair.

We need a consumption and or per occupant tax.

[Augie91]

Would that be akin to a flat tax? I've always liked the sounds of a flat tax. I never liked the progressive tax. Charging a person higher tax rates just cause they made more money always seemed unfair to me.

[Augie91]

Sounds like the govs tax modification was put on hold again...there are lots of good items in the budget though like funding to bring Iowa's broadband coverage out of the dark ages!!

"Also on hold for another year or two, Reynolds’ aides said, is Reynolds’ tax-swap plan that would have cut income and property tax burdens and boosted the state sales tax to fund environmental, mental health and other needs."

"The bulk of the new money would go toward a three-year, $450 million plan that would expand accessibility to affordable broadband — “the biggest build-out in the country.”

https://www.google.com/amp/s/www.thegaze...te=amphtml