Minnesota Republicans on Government Shutdown: Our Way or No Way

They Reject  Independent Recommendations Because They Do Not Get 100% of What They Want

The state of Minnesota elected a Democratic governor who pledged to bridge a budget deficit in part by increasing taxes on high income citizens and elected a Republican legislature who pledged to the cut the deficit by spending cuts only.  The predicted result happened, a failure to agree on a compromise and a shutdown of government operations when the fiscal year began July 1.

Former Senator and Vice President Walter Mondale and former Republican governor Arne Carlson convened an Independent Budget Commission who came up with this recommendation

Our recommended framework for a budget solution:

1. Cut state spending $3.6 billion from projections, which results in a biennial budget increase of 3% (or 1.5% increase per year);

2. Increase state revenues $1.4 billion as follows:

Human Services Surcharge $.25 billion

Tobacco tax increase of $1.29/pack (the Wisconsin current tax rate) $.33 billion

Alcohol tax inflation increase (from the last time the tax was increased in 1987)$.14 billion

A temporary 4% increase in income tax liabilities for everyone only during the biennium (Three calendar years.)

3. Longer term, the sales tax should be broadened and the rate lowered.

The Governor did not endorse the proposal because he wanted the tax increases to be born by the higher income groups,

but called on Republicans to accept one of his offers, adopt the independent panel's suggestions or propose a new deal.

  The Republican reaction

Even before the report was released, Republicans expressed skepticism. "If tax increases come out of that plan, that's not going to happen," Senate Majority Leader Amy Koch told the local TV program "Capitol Report."

The message from The Dismal Political Economist to Minnesotans,

“Your government shutdown is now squarely the result of Republican intransigence in the face of a bi-partisan recommendation by an Independent group.  You elected those people to the legislature, what did you expect you were getting?”

The message from The Dismal Political Economist to Democrats and Mr. Obama,

"Why exactly do you think you can negotiate a deal with Republicans?  What is it about 'we will not compromise or change or modify our position' that you do not understand?"

The Dismal Political Economist is not Western Union.  He does not expect Minnesotans or National Democrats to get these messages.