Greetings from the Floor,
The Governor introduced his budget on Tuesday, and I like the direction he proposes for Minnesota. The focus seems to be on investments for the state, largely through education, economic development and property tax relief. I also appreciate his commitment to getting our state budget on a more stable structural basis. He does not propose any budgeting gimmicks and has a real concern that we take care of the deficit now instead of passing it on from biennium to biennium. Here are some details:
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$640 million in education funding (early childhood, K-12 and higher education)
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$86.5 million in economic development to create jobs and leverage $1.475 billion in private investments
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$1.4 billion in direct property tax relief for homeowners
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$120 million to decrease state business property taxes by 3.6%
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New revenue
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A 4th income tax bracket on taxable income above $150,000 for single filers and $250,000 for joint filers
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Expanded sales taxes
As I said, I do like the overall direction of the budget with regards to investments and a more stable structural basis, and I commend Gov. Dayton for putting together a package that focuses on priorities many of us emphasized in our campaigns. But I do have my concerns -- first and foremost being the expansion of sales taxes -- and I have been vocal about new sales taxes having a negative impact on our district. However, I think the most important idea to take away from this budget is that it is the starting point and not the ending point. This is the first word in a conversation that will continue throughout the legislative session. The committees will start to hear state department testimony over the next couple of weeks regarding the budget, and the February forecast will also give us a better idea of where we are at.
As always, I appreciate hearing from you. What about this budget is good for us in District 4A? What is not? Please let me know your thoughts and concerns as we move through this process.
Thank you for the opportunity to serve,
Ben