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State Representative Jeanne Poppe
100 Rev. Dr. Martin Luther King Jr. Blvd.
651-296-4193
For more information contact: Sandy Connolly 651-296-8877
NEWS COLUMN
Let's consider the cost of government
From time to time, it is good to ask the question: just what is the cost of government in our state? What are we really paying for the public services that we receive, and what are we getting in return?
In broad terms, the "Price of Government" is a measure of the cost of all general government services statewide. It answers the question, how much do Minnesotans pay to state and local governments in total. The answer is framed as a percentage of personal income.
This is a comprehensive total that includes nearly all revenues generated by state and local units of government as well as public school districts. All state taxes, property taxes, special assessments, fees and charges are included. Federal taxes are not included.
Recent figures show that despite what we might expect, the cost of government is actually going down. In 1993, state and local revenues as a percentage of personal income were at 17.3%. Since then, the number has steadily dropped, down to 15.9 % in 1999 and estimated to be at 15.3% by 2009.
This calendar year, the price of government is estimated to be at 16 %. In other words, for every dollar of Minnesota taxpayer personal income, 16 cents will be paid to state, county, township and school districts for services during that year.
Minnesota is no longer in the top 10 in the country in income tax. In fact, when all taxes and fees are considered, we fall in the middle of state rankings.
With this decrease in the cost of government, the next question is, are we satisfied with our public services?
Our expenditures for education in Minnesota increased just 1.2 % from 2001 to 2002, far below the national average of 4.9 %. On top of that, for the first time ever, $185 million was cut from funding for education in '03 and '04. Minnesota dropped to 23rd among the 50 states in terms of money spent to educate each student.
The high price of getting a college education is becoming prohibitive for many students. We have seen four consecutive years of double digit tuition increases at MnSCU campuses, with the potential of two more years of the same.
Since 2001, the number of uninsured in Minnesota has risen by 30%. If the Governor's budget passes, 70,000 will have lost their health care coverage under this administration alone. We are also facing a record number of hospital and nursing homes closures, especially in Greater Minnesota.
Some estimates indicate that our parents and grandparents spent nearly 22% of their personal income for overall investment in Minnesota. The evidence is clear that their investment paid off. Our state has long been recognized as a leader in providing our children with a high quality education. Our health care system has been praised and we have been a leader in the creation of new jobs. For the past 15 years Minnesota ranked in the top four, when not right at the top, on the list of most desirable states to live in, considering factors such as health, low crime, education, employment rates and life style. (www.statestats.com)
These rankings are slipping. While we have been doing a good job on holding the line on taxes and spending, we also have to ask ourselves, at what cost? Are we taking the very foundation of what makes our state great for granted? Our grandparents created a good life for us. We want to carry on that tradition and secure a strong future for our children. A future where we adequately fund education, affordable health care is available for all and a robust job market supports a high quality of life. To do this, we may need to re-examine our priorities and take action accordingly.
Please feel free to call or write if you have ideas or concerns you want to share about state or local issues. I can be reached by phone at 1-888-682-3180 or 1-651-296-4193, by mail at 231 State Office Building, 100 Martin Luther King Blvd., St. Paul, MN 55155 or via e-mail at the above address. If you are interested in receiving my e-newsletter, please email me at rep.jeanne.poppe@house.mn and your name will be added to our list.
News Items
- POPPE SELECTED AS AGRICULTURE POLICY COMMITTEE CHAIR - (Posted: 2012-11-16 00:00:00)
- Rep. Jeanne Poppe Encourages High School Juniors to Apply for Minnesota House of Representatives Page Program - Application Deadline is November 19th - (Posted: 2012-11-12 00:00:00)
- HORMEL INSTITUTE EXPANSION SIGNED INTO LAW - 2012 legislative session adjourns sine die - (Posted: 2012-05-11 00:00:00)
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