As the 89th Iowa General Assembly has now ended, one of the final actions for lawmakers that was made were changes to the taxing system.

House District 20 Representative Ray Sorensen says the major impacts that were made included shifting mental health funding from property taxes to the state’s general fund and removing triggers that were put in place in 2018 for tax cuts. However, he explains that due to these changes, the state will eventually stop paying for the backfill in the property tax shortfall for commercial properties for counties and cities.

“But we’re careful to do this in a responsible manner. The phase out won’t begin until (fiscal year) 2023 and it will take place over a period of 5-8 years, depending on that city’s or county’s growth.”

Sorensen voted in favor of all of the taxing changes, including shifting mental health funding to the state’s general fund.

“What this means for taxpayers is the elimination of mental health levy on property taxes, specifically. We’re the only state in the country that funds mental health through property taxes.”

Sorensen adds, the House was able to implement some safeguards into the tax changes for additional oversight to make sure the changes are done smoothly.