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Bill would allow mental-health sales tax revenue to fund new construction of treatment facilities
Summary
Senate Bill 5696 would permit revenue from the local mental-health and chemical-dependency sales-and-use tax to be used for new construction of facilities that provide treatment and related services. County and local officials testified in support, saying the change will clarify existing practice and unlock projects in their communities.
House Finance reviewed Senate Bill 5696 on March 18. The bill clarifies permissible uses of revenue from the local mental-health and chemical-dependency sales-and-use tax by explicitly allowing funds to be used for new construction of facilities necessary to provide, operate or deliver treatment programs and services.
Committee staff explained the existing local-option tax: counties and certain cities may impose a mental-health and chemical-dependency sales-and-use tax of up to 0.1%…
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