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State Representative Kurt Zellers

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Posted: 2008-05-02 00:00:00
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NEWS COLUMN

IT’S TIME TO DO SOMETHING ABOUT JOBS IN MINNESOTA!


By Kurt Zellers
State Representative

Minnesota is known as the land of 10,000 lakes. But if the DFL (Democrat Farm Labor) dominated Legislature has its way, it will soon become the land of 10,000 jobs and that’s it. Their shortsighted vision regarding job creation will continue to force businesses to leave for states that actually encourage growth and expansion.

The latest example happened, when Delta Airlines announced it was going to merge with Twin Cities-based Northwest Airlines. Losing Northwest could cost Minnesota 13,000 jobs.

What was the Democrat-led legislature’s response? Nothing.

And why would Delta want to move to Minnesota? Georgia, where Delta is currently headquartered, has a six percent corporate tax, while Minnesota has a 9.8% corporate tax.

House Republicans immediately suggested that we enact policies that would lessen corporate tax burdens and provide incentives to lure Delta’s headquarters to town. I introduced a bill, House File 4208, that would start to reduce our corporate income tax rate and give our state a better chance to compete for more, NEW jobs that are going to our neighboring states.

Our idea was basically mocked by Democrat leaders, who then didn’t bother coming up with their own plan. We all don’t have to agree on how we create jobs, but I think most Minnesotans would expect them to offer a plan of their own and not just criticize ours.

So it begs the question: Does the DFL have a plan to create jobs in this state?

If you analyzed some of the legislation they have championed this year, you would likely conclude that they don’t care if companies come or go, because they want to remove all corporate incentives that entice and keep job providers in Minnesota.

In one example just last week, the Democrat dominated House passed a bill called the “Paint Stewardship Program” to add $.50 tax to a can of paint. It’s already tough enough to sell a house in the current market; but now if you want re-paint it and give yourself a little bit better chance – Democrats want to tax the paint you use. Minnesotans all over our state are taxed enough and have said, numerous times – STOP!

By threatening funding for the Minnesota Investment Fund – the only statewide tool we have that assists with economic development projects – we stand to lose 18 projects and nearly 1,500 new jobs across the state this year alone.

By threatening our Job Opportunity Building Zones (JOBZ) – the most significant economic development tool rural Minnesota has to entice companies to expand or relocate – we are inviting our rural companies to move to neighboring states. Just in case you think this is just ‘crying wolf’, I will note that Wisconsin has 48 total incentive programs to attract new business, while Iowa has 31 and North Dakota has 22. Minnesota has thirteen.

Now is the time to step up and bring job providers back to our state. But instead of enticing Delta officials to relocate here, we let them walk. And instead of enhancing current incentive programs that encourage other corporations to move here, Democrat leaders cut the program and spend the money to fund more welfare give-away’s. Instead of taking one step forward, they are moving our state two steps back and that’s not what Minnesota’s economy needs right now.

The Democrat dominated legislature is in crisis mode. In twelve months, it blew through a $2 billion surplus and spent us into a $935 million deficit. They have proposed a series of tax increases that would help eliminate this shortfall, yet have done nothing to improve the one area that could permanently improve Minnesota’s economic condition: creating new jobs.

The DFL has approved a bonding bill and called it a “jobs” bill, but that’s not going to cut it. Those are one-time projects, not permanent jobs. It’s time for legislative leaders to stop blaming Governor Pawlenty for not getting things done and start working with him – particularly on bringing new, high paying jobs to Minnesota’s economy.

Delta is already flying out of town. Without some sort of legislative action, it won’t be long before other companies begin to line up on the runway.

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