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State Representative Pam Myhra

217 State Office BuildingState Office Building
100 Rev. Dr. Martin Luther King Jr. Blvd.
651-296-4212

For more information contact: House GOP Communications 651-296-5520

Posted: Jan 25 2013 10:43AM
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LEGISLATIVE UPDATE

Legislative Update from Rep. Pam Myhra (January 24, 2013)


Dear Neighbor,

 

This last Tuesday Governor Dayton unveiled his budget proposal for the 2014-2015 fiscal year calling for $3.7 billion in new taxes and $37.9 billion in state spending. I am very concerned with both his tax increases and spending priorities.

 

The Governor's proposed $3.7 billion in new taxes, the largest tax increase ever put forward by a Minnesota governor, are certain to stifle economic growth and job creation. The largest share of the tax increases, $2.7 billion, are projected to come from sales and use taxes. These taxes are regressive in nature and will hit families hard. Under the governor's plan, sales tax will be charged on car repairs, haircuts, over-the-counter drugs, clothes over $100, online purchases, digital downloads, and much more. Additionally, the governor's tax increases will make it even more costly to do business in Minnesota by adding sales tax on business-to-business transactions like accounting, advertising, and legal services. I believe the cumulative impact of the governor's tax increases will drive our job creators to relocate in neighboring states, like Wisconsin and North Dakota, which have more competitive business climates.

 

Also, I am very disappointed the governor's budget makes no allowance for the final payment of the school shift until 2017. By the way, the receipt of better than projected current state revenues have allowed us to significantly reduce the amount of funds owed to the schools from the $1.7 billion borrowed by the 2009/10 legislature (a 70/30 shift) to $1.1 billion (a 82/18 shift).

 

Currently, joint House and Senate hearings are being held to gain a deeper understanding of the details in the governor's proposed budget. I will keep you updated as I learn more through these legislative hearings and as bills start to make their way through the committee process.

 

You have my commitment to do all I can to hold down taxes and use our limited state resources in the wisest and most efficient manner, while working to improve the job market here in Minnesota.

 

Please feel free to contact me with your comments or concerns.

 

 

Sincerely yours,

 

 

Pam

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