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State Representative Tim Kelly

335 State Office BuildingState Office Building
100 Rev. Dr. Martin Luther King Jr. Blvd.
651-296-8635

For more information contact: Jason Wenisch 651-296-2317

Posted: 2009-03-25 00:00:00
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NEWS COLUMN

LET THE DEFICIT ELIMINATION BEGIN


With only several weeks left in the 2009 Legislative Session, the Minnesota House Democrat majority has finally offered a budget solution that would solve our state’s projected $6.3 billion budget deficit for this biennium, and the $5 billion deficit that’s projected for the next two-year budget cycle.

House Democrats would balance the budget in part by raising yet-to-be-determined taxes by $4.4 billion over the next four years and by making deep cuts in nearly every state program other than K-12 education. They also plan to balance the budget by making a $1.77 billion education funding shift, which is almost $500 million larger than what Governor Pawlenty proposed.

Though neither House nor Senate Democrats have explained which taxes they will increase to gain $4 billion or more in their separate proposals, inevitably we are about to watch a budget showdown between the legislative Democrats and Governor Pawlenty.

You’ll recall Pawlenty has promised to veto any budget bill that raises state taxes, and both of the House and Senate Democrat proposals contain significant tax hikes. Stay tuned.

Personally, I can find provisions in all three budget proposals that I like and dislike, but I’m most troubled by the tax increase proposals. We are facing a period of economic uncertainty, and Minnesota's unemployment rate just hit 8.1 percent. To me, raising taxes on Minnesotans by $4.4 billion would only eliminate more jobs and increase the number of headaches our families and business owners are dealing with in these trying times.

That said, I remain hopeful that all parties from both legislative bodies can now work together with the Governor’s Office and find common ground.

I’d also like to hear your budget thoughts. Feel free to contact me at any time by email at rep.tim.kelly@house.mn, or by phone at 651-296-8635 to share your thoughts on how lawmakers should eliminate our budget deficit.

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