Dayton’s Big Idea? It’s been a long t...

Dayton’s Big Idea? It’s been a long time since a Minnesota governor went ‘Big’

Posted in the Minneapolis Forum

Awful Truth

Minneapolis, MN

#1 Feb 13, 2013
Dayton’s Big Idea? It’s been a long time since a Minnesota governor went ‘Big’

By Doug Grow | 02/06/13

In recent years, Minnesota has had a governor with big personal ambitions and a governor with a big ego.

But a Big Idea?

No matter your position on Gov. Mark Dayton’s budget/tax proposal, there’s no denying it’s Big.

“This idea is at least as big as Wendy Anderson’s Minnesota Miracle in 1971,” said Roger Moe, a DFLer who was in the Senate for more than three decades, 22 of those years as the Senate’s majority leader, meaning he worked in close relationship with a long line of governors.

“These are fundamental tax policy changes he’s talking about,” he said.

Dayton to make his case Wednesday

Dayton gets the chance to make his case to skeptical legislators and Minnesota citizens Wednesday night in his 7 p.m. State of the State address.

Former Republican Gov. Arne Carlson, who is among the doubters, takes a different view of Dayton’s Big Idea.

He believes “planning and prudence” should be the Big Ideas of governance.

Dayton’s idea may be Big, but Carlson doesn’t believe it’s well thought out. He’s not sure that the Dayton idea, which would create a fourth income tax tier and broaden the sales tax base at the same time the rate is lowered, meets either of those criteria.

In terms of planning, Carlson doesn’t think that Dayton has created “constituencies” ready for his ideas.

Former Gov. Arne Carlson rejects plan

In terms of prudence, Carlson is not ready to accept the idea that Minnesota government needs $2 billion more, which is the amount of increased revenue projected in the Dayton proposal.(Initially, half of that $2 billion would be used to pay down the state budget deficit, and most of the rest would go to increased aid to all levels of public education.)

Although Anderson’s legacy is the Minnesota Miracle (which involved lowering property taxes and raising income taxes to create statewide equity in school funding), Carlson believes Anderson’s Best Idea was the creation of a committee that was to study periodically the effectiveness of state government.

“In Minnesota, we tend to follow our Scandinavian heritage,” Carlson said.“We’re liberal on the social issues but prudent when it comes to spending money. But Democrats are as uncomfortable with the word ‘prudence’ as most Republicans are with the word ‘tax.’”

Minnesotans, he believes, have to be sold very deliberately on why they should be spending more.

Dayton has argued that he has done the due diligence needed to advance his Big Idea. Cuts were made, virtually across state government, in the last legislative session, and his revenue commissioner, Myron Frans, spent more than a year on the road listening to constituencies.

The messages Frans says he heard: Get a grip on property taxes, bring stability to state government finances and fund education.

The proposed fourth-tier income tax increase follows through on the “tax the rich” theme that propelled Dayton into office. The proposed changes in the sales tax, he says, will bring stability to future state budgets.

More at
Seattle Slew have at it

Minneapolis, MN

#2 Feb 13, 2013
People have no extra $$$.

To take another BILLION from a flat economey when it's going to be "invested" in education. Education system that is failing. Why waste good money on a failed system?

Senator Wager has a lot of pull as the main representative of the union.

Saint Paul, MN

#3 Feb 13, 2013
Do tax increases kill jobs? Minn. soon to find out
By PATRICK CONDON | Associated Press – 2 hrs 16 mins ago...

MINNEAPOLIS (AP)— Dik Bolger is a lifelong Minnesota Democrat, a gray-bearded baby boomer with a braid down his back whose Minneapolis printing company's plant displays work by local artists and sculptors. He backed Mark Dayton for governor, but his take on the Democratic chief executive's plan for new business taxes could be the voice-over for a Republican campaign commercial.

"We're screwed," Bolger said, if the tax goes through. His 79-year-old company competes nationwide and overseas for work with major brands like Chanel. "If you're bidding for a $100,000 job on a national basis and tax expenses push you a couple of percent higher, then I'm not competitive."

For generations, Minnesotans lived out the progressive argument that high taxes and high services were what gave the state its fabled quality of life. But the patience of business owners is being tried more than ever, as Dayton and the Democrats who now control the Capitol mull a menu of tax increases that would primarily hit company ledgers — just as most states are going the opposite way.

Dayton has proposed tax changes he says would make the system fairer and also bring in $2 billion in new revenue. Much of the gain would come from a state sales tax on "business-to-business " purchases like legal, accounting, banking and printing costs. Few states tax such services. He would also boost Minnesota's personal income tax rates from eighth to fourth highest in the nation, behind only Hawaii, California and Oregon.

Hey Dik, elections have consequences.
Amused Slew

Kent, WA

#5 Feb 13, 2013
Seattle Slew have at it wrote:
People have no extra $$$.
To take another BILLION from a flat economey when it's going to be "invested" in education. Education system that is failing. Why waste good money on a failed system?
Senator Wager has a lot of pull as the main representative of the union.
Only a teabagger/moron would comment on the ECONOMY and misspell ECONOMY.... PERFECT IRONY ~!~!

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