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Legislative News and Views - Rep. Dan Fabian (R)

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State of the State Update

Wednesday, July 30, 2014

Dear Neighbors,

Gov. Dayton gave his annual State of the State address this week. I was pleased to be joined by guests Keith Schwartzwald (husband to Susan Marvin of Warroad) and Nick Wilson of Greenbush (U of M student).

Keith Schwartzwald

Nick Wilson

While I was glad the governor noted some of the positives about the economy in his speech, I kept thinking about Paul Harvey’s famous line: “And now, the rest of the story…”

Since 2011, when the governor and I both stepped into office, the state has seen quite a turnaround. We balanced a $5 billion deficit that year without raising taxes. It was a bipartisan effort, and we saw positive results. Job and business growth went up and the budget got healthier.

However, in 2013, one-party DFL control of state government grew spending by $3 billion and taxes by over $2 billion. We have yet to see the results of this historic, unrestrained taxing and spending, but the governor was quick to correlate the most recent budget with positive economic news.

The fact of the matter is: only time will tell how the historic increases passed last year will impact our future, but it is hard for me to believe that growing taxes and spending by 10% compared to economic growth of around 2% is sound economics. That’s not the way our families budget!

The governor also touted his work to create MNsure, Minnesota’s extension of Obamacare. What he didn’t mention were the 280,000 Minnesotans forced off their insurance plans because of federal health care expansion. Or, how premiums are on the rise for so many families, and how several people are still struggling to purchase insurance on the glitch-ridden MNsure website.

Prior to the address, small business owners from all around the state spoke to us in earnest about how burdensome new taxes, regulations, and the mandated minimum wage increase are hurting their businesses and their employees. These folks are just trying to make an honest living, but government keeps getting in the way, making it more difficult and expensive to provide goods and services to the people of Minnesota.

I was particularly moved by a woman from northern Minnesota who owns a small town grocery store. She talked at length about the obstacles that the state of Minnesota has put in place—and continues to put place—that make it more and more difficult to keep her doors open and her employees working.

I’m also concerned that the governor hinted at the “need” to spend even more. Right now, the state is spending over $39 BILLION every two years. Much of this money is funneled into Minneapolis and St. Paul, because their legislators see their projects as “needs” (like cash bail outs for light rail trains, or funding metro schools at $14,000 per pupil versus rural schools at $10,000 per student). It’s time to prioritize our spending and determine our needs, not our wants.

 

LOCAL HIGH SCHOOLS LISTED AS BEST IN STATE!

Congratulations to students, teachers, staff, and parents in Badger, Greenbush/Middle River, Hallock (Kittson County Central), and Karlstad (Tri-County) for their work in having their high schools listed as some of the best in the state!

Read more from U.S. News and World Report here.

 

MINNESOTA’S BUSINESS TAX CLIMATE FOURTH WORST IN NATION

Recently the Tax Foundation released information that Minnesota’s tax climate is worsening. According to the organization’s State Business Tax Climate Index, our state checks in at 47 out of 50, down two spots from last year owing to the DFL’s tax increases. Only California, New Jersey, and New York ranked lower.

 

OBAMACARE TO COST SCHOOLS $200M

The Minnesota Management and Budget (MMB) office recently unveiled statistics that show Obamacare compliance will cost Minnesota school districts at least $207 million over the next three years.

The increased school expenses come from a number of factors, including rising health care costs, penalties, and covering part-time staff. This is money that would have otherwise been used to support teachers in the classroom.

 

LAKE BRONSON LAND FOR SALE

The public sale of 12 parcels of state land in Lake Bronson State Park is one step closer to becoming reality. Another hurdle was cleared this week when the House Ways and Means committee passed the omnibus Lands Bill containing a provision for the sale of residential lots in the park’s Lakeside Division.

It was a team effort that made the land sale a possibility. Kittson County commissioners, legislative leaders, and I worked with the Department of Natural Resources to put the land back on local property tax rolls and ensure sale proceeds go toward park purposes.

 

FOLLOW ME ON FACEBOOK!

To stay up-to-date on what’s happening at your State Capitol, feel free to “like” my Facebook page: www.facebook.com/RepDanFabian.

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My door is always open to the needs and priorities of our area. Please feel free to let me know if I can be of assistance to you and your family. I am here to serve you!

Dan

**Encourage your neighbors and friends to sign up for my email updates at www.house.mn/01A