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State Representative Phyllis Kahn
100 Rev. Dr. Martin Luther King Jr. Blvd.
651-296-4257
For more information contact: Ted Modrich 651-296-5809
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MIDDLE-CLASS WORKERS NOT AMONG GOP PRIORITIES
State Government Finance Bill cuts nearly 5,000 jobs and books unsubstantiated savings
ST. PAUL — House Republicans planned a vote early Thursday morning on their conference committee report of the State Government Omnibus Bill. The bill would cut nearly 5,000 state workers, cut agency funding by up to 20 percent, force agencies to cut another $100 million without legislative direction, and books $170 million in revenue that isn’t verified by non-partisan analysis.
State Representative Phyllis Kahn (DFL – Minneapolis), the DFL lead on the State Government Finance Committee, says this bill is a perfect example of the Republican majority’s flawed priorities.
“In order to protect the richest 2 percent of Minnesotans from paying their fair share, the GOP is cutting 5,000 jobs and making our government less effective, efficient, and responsive to the people of Minnesota," Rep. Kahn said. “The Republicans simply have the wrong priorities, and our state and its people will suffer for it.”
The State Government Finance Conference Committee Report would make direct cuts to state agencies ranging from 5-20 percent, with a required 15 percent reduction in the state workforce by 2015. A recent study from the Economic Policy Institute stated that for every 100 public sector jobs cut, 30 private sector jobs are lost.
“On top of the 5,000 middle-class, public sector jobs this bill would cut, the Republicans are also targeting nearly 1,500 private sector employees for job losses,” Rep. Kahn said. “Every job loss, public or private sector, hurts our economy. It’s money that won’t be spent in local small businesses, restaurants or shopping malls. This bill, along with the rest of the Republican budget, will destroy our fragile economic recovery.”
In addition, the bill requires the Commissioner of Minnesota Management and Budget to make another $94.8 million in cuts during the next biennium to state agencies. State agency commissioners have testified against the bill, with the Commissioner of Revenue in particular stating that these cuts would reduce customer service for Minnesota taxpayers, cause significant delays in processing tax returns and refunds, and close a number of offices around the state.
Finally, the bill claims $168 million in revenue gained from tax fraud prevention and a federal debt offset program. The revenue estimates for those provisions have not been verified by the Department of Revenue.
“The Republicans still can’t manage to do their job,” Rep. Kahn added. “The bill contains savings that can’t be guaranteed, and requires an unelected official to determine millions of dollars of cuts. It’s irresponsible, reckless, and serves as a continued example of misplaced priorities.
“Republicans aren’t on the side of middle-class, working Minnesotans. This bill deserves an immediate veto.”
News Items
- House Approves Final Omnibus Legacy Bill - (Posted: May 20 2013 4:53PM)
- Rep. Kahn Votes to Freeze Tuition, Enact Minnesota DREAM Act - (Posted: May 18 2013 3:09PM)
- House Approves Omnibus Legacy Bill - (Posted: May 10 2013 7:09PM)
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