The Republican no-new-revenue budget will cost Blue Earth and Nicollet counties 500 jobs and $28 million in wages for every year it is in effect.
Those figures equate to the 15 percent cut in state employment Republicans passed in their budget that Gov. Mark Dayton has vetoed.
There will be even more severe consequences in outstate Minnesota and Republican districts if the Republican majority in the Minnesota Legislature continues its intransigence on meeting the legal requirement to balance the state’s budget.
Schools, city, county and even hospital budgets would be disabled while a few folks keep an extra 2 percent of their income over a quarter of a million dollars. Property taxes on businesses and homeowners will rise. That cost of doing business will not only impact jobs, but also create an uncompetitive tax structure in outstate Minnesota.
The stakes for outstate Minnesota have never been higher.
Republican spin should be dismissed. Republicans have ignored Dayton’s significant compromise proposal. They didn’t present a balanced budget. Responsibility for balancing the budget comes with creating one Dayton will sign.
It’s troubling Republicans have known this for some time and continue to waste taxpayer time and money catering to party demands and shirking the people’s needs.
The Republican leadership continues to misconstrue their election, saying they were elected to a no-new-taxes-or-revenue platform. But that’s not true if one considers facts instead of rhetoric. Two statewide candidates for governor, Dayton and Independent Tom Horner, proposed revenue increases to balance the budget. Together they got 56 percent of the vote.
A recent Star Tribune poll showed 63 percent of residents want a balanced budget, using both cuts and revenues. Only 27 percent would balance the budget through cuts alone.
Dayton’s proposal, to tax the upper 2 percent of income earners in Minnesota, would impact very few small, rural outstate areas, where incomes are lower than metro areas.
And Republicans aren’t even honest when they say they will not accept new taxes or revenue. They’ve proposed a new 10 percent sales tax for sports memorabilia to fund the Vikings stadium. How do they reconcile the rhetoric and reality? They can’t, and they’re losing credibility fast.
Dayton isn’t proposing a lot of new programs. He really isn’t proposing “new” spending.
He’s simply funding the programs that have been put in place with bipartisan support from Legislatures of the past. The spending he proposed, about an 8 percent increase over two years, isn’t new. It’s old spending that has grown because more people are eligible for health care and employment services and other benefits that kick in as a hedge against a down economy.
If we completed a spreadsheet for outstate Republicans, we would find that the losses to their constituencies of their no-new-revenues budget would far outweigh any tax that might be imposed on single people making more than $150,000 a year or married couples earning $250,000 or more. (We should note that extra tax isn’t on the full amount of income, only that amount of earnings over the thresholds.)
About a dozen chambers of commerce, from Worthington to Duluth, know the impact the Republican budget will have on their communities. They recently voiced their support for a balanced approach and keeping property taxes low, and opposed the all-cuts GOP budget.
Unfortunately, the Minnesota Chamber of Commerce continues to support the all-cuts budget of Republicans. Outstate members of the chamber should consider that position next time they’re asked to renew their membership or join with the Minnesota Chamber on other projects.
Republican leadership may have its so-called principles, however flawed, and maybe that keeps the big donor money flowing. But now is the time for outstate Republicans to lead, or their constituents will be on the bankrupt end of the spreadsheet.
Editorials
Our View: Republican budget cuts hurt outstate
- Editorials
-
-
Our View: State cost estimates need shoring up
New laws are often controversial, and the cost of legislation can be hard to pin down to everyone’s satisfaction — especially when not everyone agrees with the methods used to arrive at the figures.
-
Latest editorial cartoons Feb. 22-23, 2012
A sampling of editorial cartoons from around the U.S.A.
-
Our View: Study on wages, jobs not worth the time
While we can appreciate the desire to study the differences between public sector and private sectors wages and salaries by House Republican legislative leaders, we can’t help but think this is another study to nowhere.
-
Our View: Highway 14 must be a priority
Why it matters
There is no doubt Highway 14 needs to be rebuilt; the state needs to make it a priority. -
Latest editorial cartoons Feb. 20-21, 2012
A sampling of editorial cartoons from around the U.S.A.
-
Our View: Making a positive rivalry
Why it matters
Rivalry can be ugly or beneficial; this new tactic to make the most of competition helps a worthy cause. -
Our View: Civic Center deserves state funds
Why it matters
The project is a testament to how partnerships can work and an equity issue for Mankato. -
Our View: Journalist left his mark
-
Our View: Dayton strikes positive tone
Gov. Mark Dayton offered a state of the state message that set a positive tone for the upcoming Legislative session and gave due credit to Republicans and Democrats that have made the state, as Garrison Keillor would say, “above average.”
-
Our View: Obama budget falls short of strategic
The good news of President Obama’s proposed 2013 budget: It increases spending only 0.2 percent. The bad news: There is no reform for long-term fiscal problems like Medicare.
- More Editorials Headlines
-





