Rest Response to Senate Republican Tax Target Release
ST. PAUL, Minn – State Senator Ann H. Rest, DFL-New Hope, has released the following statement in response to Senate Republicans releasing a $900 million tax bill target. Sen. Rest serves at the Ranking Member on the Senate Tax Committee.
“In the last 24 hours, the Minnesota Senate, under Republican leadership has spent $600 million on reinsurance and $900 million in a proposed tax bill. Minnesota only has a $1.6 billion surplus, meaning before Republicans have announced their budget targets for higher education, E12 schools, transportation, and health and human services, they have spent $1.5 billion of the surplus.”
“DFL Senators agree with the focus on the middle class, however the approach Republicans are taking, by just lowering the tax rate, will not just help the middle class, it will help millionaires too. I disagree that rate reduction is the most effective way to support our middle class with a tax cut. I support Gov. Dayton’s proposals to increase the dependent care and working families credits as more targeted ways to support working families.”
“I am concerned with the lack of details shared today, it is cavalier to not share this tax proposal’s impact on the future. Minnesotans deserve to know how much this year’s $900 million tax cut proposal will cost the state in 2020 and beyond. In previous years Republicans have pushed cuts into the future, where they balloon into enormous, irresponsible costs.”
“I expect local governments throughout Minnesota are very disappointed. Last year under DFL leadership, the Senate worked to pass a bill with robust Local Government Aid levels, today, Republicans didn’t even mention LGA in their press conference. LGA is a critical property tax-relief tool that helps communities throughout Minnesota maintain and update their infrastructure. I am committed to increasing LGA because it is so important to maintaining the quality of life in our small and large communities, and I am shocked it was not prioritized by Republicans.”
“I would ask that Republicans focus a social security tax reduction toward the retired middle class, rather than wealthy seniors. In no time at all social security tax reductions become very costly, I hope the Republicans’ plan will be cognizant of this risk and not jeopardize the long-term stability of our state’s fiscal outlook in an attempt to score political points.”
“I agree with the focus on our Minnesota farmers, which is why I am supportive of Gov. Dayton’s initiative to reduce the property tax bills for farmers facing significant school levies.”