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State Representative John Persell
100 Rev. Dr. Martin Luther King Jr. Blvd.
651-296-5516
For more information contact: Jessica Nyman 651-296-8877
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Jobs Bill Irresponsibly Cuts Opportunities for Economic Growth
St. Paul, Minnesota— Today, the Republican-led Minnesota House of Representatives passed a bill that will cut 52% from the jobs and economic development budget. Cuts in the Jobs and Economic budget bill will result in devastating blows to workforce development and business innovation necessary for job creation
“Republicans said they’re top priority was jobs, jobs, jobs, yet they’re cutting the very services needed to create and sustain jobs. Doesn’t seem to make a whole lot of sense if you ask me," said State Representative John Persell.
As a result of cutting the Jobs and Economic Development budget by 52%, funding would be slashed for programs that support business innovation and workforce development which in turn spur job creation. Programs like the Trade Office, which help Minnesota-based businesses compete in the global economy, and the Job Skills Partnership, used to train workers when a company wants to expand or employ new technology, would see significant cuts, stifling its ability to help businesses create more jobs.
“Tough decisions have got to be made to balance the budget, but they should not be at the expense of putting paychecks in the pockets of hard working folks,” said Persell.
Of chief concern to many minority lawmakers is the raiding of the Doug Johnson fund included in the bill. The Doug Johnson fund was set up to support the diversifying of industries in the Iron Range as a result of the depletion of mining resources. The fund is supported in part by the taconite production tax which is paid by mining companies in lieu of property taxes. The bill would take $60 million from this fund and use it for statewide purposes, instead of using towards services essential to the stabilization and future growth of the Iron Range community. A $60 million cut would result in a 95% cut in the amount of money available for economic development on the Iron Range.
“Using funds dedicated to the economic development of local economies to balance the budget is not a real solution and it sets a dangerous precedent,” said Persell. “Raiding the Doug Johnson fund is just wrong. Plain and simple.”
News Items
- Minnesota House Adjourns On Time, Completes Session Balanced Budget, Investments in Education, Property Tax Relief, and Job Creation - (Posted: May 20 2013 12:00AM)
- Minnesota House Passes Education Budget Making Historic Investments in Minnesota students, future - (Posted: May 18 2013 12:00AM)
- House approves HHS budget that saves $50 million through reforms - (Posted: May 17 2013 12:00AM)
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