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Tuesday, 02 June 2026
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Written by John Hood
Do you or someone you know suffer from mental illness? I suspect most readers will say yes. According to the National Alliance on Mental Illness, behavioral-health disorders affect a fifth of adults and a sixth of school-aged children in North Carolina. One in 18 of us lives with a “severe mental illness,” defined as “a mental, behavioral, or emotional disorder that results in serious impairment and interferes with or limits one or more major life activities.”
My own family history is full of such cases, ranging from alcoholism and depression to schizophrenia and bipolar disorder. Several of my ancestors and relatives died as a result of their afflictions. Others were incarcerated or institutionalized.
Again, none of this sets me apart. Mental illness isn’t rare. It directly or indirectly touches millions of North Carolinians, and tens of millions of Americans.
One way our state is distinct from others, however, is that it is particularly challenging to seek treatment for such conditions here. A North Carolina Institute of Medicine study published in 2025 ranked us last in the nation for access to behavioral health. All but six of our 100 counties are considered “professional mental health shortage areas,” with nearly a quarter of counties lacking a single practicing psychiatrist and more than a quarter lacking a single practicing psychologist.
Although funding is always an issue, we don’t appear to be significantly out of alignment with our peers. According to an analysis published last year, per-capita public expenditures on mental health in North Carolina were higher than those of any of our neighbors, or of such large states as Ohio, Florida, Texas, and Illinois.
It’s a complicated picture, one so daunting to interpret that some policymakers may be tempted to throw up their hands in confusion. That would be unwise. In addition to the obvious human suffering, untreated mental illness has larger social consequences. It imperils public safety and lowers student achievement. It reduces labor-force participation and makes it hard for employers to fill key jobs. And despite North Carolina’s many attractive assets and amenities, it harms our ability to compete for households, businesses, investment, and talent.
Here’s a set of reforms state lawmakers and regulators can tackle right now: strike a better balance between provider access and training.
A massive, costly effort to train and deploy psychiatrists with M.D.s all across North Carolina would likely yield modest results and fail a cost-benefit test. Behavioral health encompasses a far broader spectrum of providers, including advanced-practice nurses, psychologists, social workers, marriage and family therapists, and peer and pastoral counselors. We should remove any barriers that unnecessarily limit their capacity to meet the behavioral-health needs of North Carolinians.
Seven states allow specially trained psychologists to prescribe medications to treat mental illness. This practice “is not only safe and evidence-based,” wrote researcher and licensed psychologist Jacqueline Marie Gallios in Regulation magazine, “but also a vital solution to America’s escalating mental health crisis.”
Other states allow nurse practitioners to operate independently, social workers and counselors to deliver a broader array of services, and peer counselors to obtain certification with less time and expense. Telehealth is another promising tool. North Carolina has taken some steps in these directions but should go further. Jarrett Dieterle, a Manhattan Institute fellow, noted that studies conducted before and after the COVID-19 pandemic found comparable results for behavioral-health treatment in the office vs. treatment by telehealth — but the latter is, naturally, less expensive and more accessible.
“Americans’ mental-health challenges are complex, nuanced, and multi-variated,” Dieterle wrote in National Affairs. No single reform, or even set of reforms, “cannot be expected to magically ‘fix’ the problem overnight. But policymakers are not powerless to respond, and neither are the rest of us.”
I agree. My argument isn’t merely that, given the stakes, we can’t afford to let the perfect be the enemy of the good. There is no such thing as perfection here. There are only differences in priorities. Let’s elevate access to the top.
Editor’s Note: John Hood is a John Locke Foundation board member. His books Mountain Folk, Forest Folk, and Water Folk combine epic fantasy with American history (FolkloreCycle.com).
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Tuesday, 26 May 2026
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Written by John Hood
By Monday, June 15, the academic year will be over for colleges, universities, and most grade schools. Family trips and summertime sojourns will commence. Tourist venues and recreational attractions will be bustling.
For the North Carolina General Assembly, however, the week of June 15 will be no vacation. If current plans come to fruition, lawmakers will vote that week on a new state budget as well as at least two constitutional amendments to appear on the fall ballot: one capping the growth of property taxes and the other capping the rate of personal income tax at 3.5%.
I suspect both amendments will pass the legislature and gain voter approval. Proponents believe their combined effect will be to constrain the growth of state and local expenditures over time by depriving big spenders of the handiest tools at their disposal. The amendments’ most vociferous opponents agree on the effect but think that consequence will harm North Carolina, not help it.
A third group — let’s call them skeptics rather than opponents — note that neither amendment affects sales taxes, excise taxes, and other forms of government revenue.
Might future senators, representatives, and county commissioners respond to the new constitutional constraints not with a renewed commitment to fiscal discipline but by expanding the base of the sales tax, hiking its rate, or approving new gambling enterprises?
According to the Tax Foundation, North Carolina derives about 29% of its state and local revenue from personal income taxes, about the same share from sales taxes, 22% from property taxes, 3% from corporate income, and the rest from excises and other levies. Compared to the nation as a whole, we rely more on income and sales tax and less on property tax than the average state.
As I’ve previously explained at (literally) book length, it might make sense for North Carolina to rely more on sales taxes if they were properly structured. Alas, they never will be.
A properly structured tax on retail sales wouldn’t distort the economy. It would tax services as well as goods, and in particular the medical, legal, and financial transactions that together comprise most of the service sector. On the other hand, it wouldn’t tax business-to-business transactions, which by definition aren’t retail sales — and the taxation of which creates artificial incentives for vertical and horizontal integration. The income tax base is too broad, yes, creating artificial disincentives against savings and investment. But the sales tax base is too narrow (as is the property tax base).
I understand the skeptics’ argument. But there’s another side to the story. As best I can determine, the presentation of the constitutional amendments made the budget deal between House and Senate possible. That deal is, in turn, both fiscally and politically advisable.
It is wise to modify the revenue triggers to ensure lawmakers can sustain their tax-reform momentum while also meeting high-priority needs in public safety, health care, and education. Incumbents are also loath to enter the fall campaign without a new state budget in place.
As lawmakers finalize the details of that budget, I hope they take one more factor into consideration: North Carolina is not adequately prepared for another natural or economic disaster. Could there be another recession, pandemic, or catastrophic hurricane in our future? Of course. It’s only a question of time.
According to the Pew Charitable Trusts, North Carolina has approximately 53 days' worth of state spending socked away in our rainy-day fund and unreserved credit balance. That places us below the national average. Tennessee (72 days), Georgia (147 days), and South Carolina (174 days) are much better prepared, as are Pennsylvania (79), Florida (125), Texas (129), and even the likes of California (84) and New York (198).
The General Assembly ought to make a larger rainy-day deposit than required by current statute. The ultimate goal should be to boost savings to at least to the national median of 92 days worth of spending.
Yep, there’s lots to get done by mid-June.
Editor’s note: John Hood is a John Locke Foundation board member. His books Mountain Folk, Forest Folk, and Water Folk combine epic fantasy with American history (FolkloreCycle.com).