MINNEAPOLIS (KFGO) – With Minnesota’s $17.6 billion surplus, many advocates are making their case for where some of those funds should go.
Using part of the surplus to lower business taxes is not top-of-list for the Minnesota Business Partnership, which represents larger corporations in the state.
Executive Director Charlie Weaver believes everyone can find a way to give some of the money back, but said education, infrastructure, and housing – particularly in rural Minnesota – are also important.
“Places like Polaris, Marvin Windows, Hormel, Mayo Clinic, or all these great companies outstate [have] a big struggle to recruit talent,” Weaver said. “Part of the problem is there’s no housing and there’s no daycare.”
Weaver said one of their members is moving to North Dakota not only because of taxes but also Minnesota’s regulatory environment.
“We’ll take a year to get a permit, whereas Iowa can turn it around in 30 days,” Weaver said. “That’s a significant factor, as businesses consider whether they’re going to grow and build here versus other states, and the taxes just add on to that (problem).”
Conservative think-tank, Center for the American Experiment conducted a survey and found 27 percent of respondents believe permanent tax cuts is where the surplus should go.
President John Hinderaker said 23 percent responded the surplus should go to fully fund public schools, and 19 percent want one-time tax rebates.
Governor Walz has proposed one-time tax rebate checks. Hinderaker said Walz is talking about nowhere near the $12 billion surplus dollars that the state currently has in the bank.
Democrats argue there must be a balance between tax relief and investments to move Minnesota forward.
