Free Republic
Browse · Search
GOP Club
Topics · Post Article

Skip to comments.

DFL DROPS TAX HIKE BOMB, TARGETS MIDDLE CLASS

Posted on 03/19/2002 6:27:34 PM PST by ATOMIC_PUNK

DFL DROPS TAX HIKE BOMB,
TARGETS MIDDLE CLASS

- Senate Democratic "double whammy" would increase welfare, raise taxes -

(St. Paul) - On Monday, Democrats in the Minnesota Senate unveiled a plan to scrap all of the income tax reductions undertaken in recent years, raising personal income taxes on working Minnesotans by almost $2 billion. Combined with the Senate DFL's plan to raise the gas tax, this raises the total of their tax hike proposals for the next three years to $5 billion. The tax hike not only is intended to address the budget deficit, but also to undo the welfare reform of the 1990's by eliminating the five year time limit for welfare recipients.

"This is a doubly whammy for Minnesotans," said House Speaker Steve Sviggum (R- Kenyon). "Not only is the Senate DFL trying to force a $2 billion income tax hike on working people during a time of economic slowdown, but they want to gut welfare reform by keeping recipients on the welfare rolls forever. This is more than just balancing the budget on the backs of working families, it's keeping the less fortunate into a system of false hope and broken promises."

The Senate DFL tax plan increases personal income tax rates across the board, impacting the middle class more than other brackets, and taking nearly $2 billion more out of Minnesotans' pockets. In addition, tax reciprocity with Wisconsin would be eliminated, providing another hit to people who work across the border. Cigarette taxes would also be raised by 29 cents per pack under the Senate plan.

"We were all a little bit surprised to see the Democrats not pushing for taxes earlier in the session," said House Majority Leader Tim Pawlenty (R-Eagan). "Now we know they were waiting till the last days of session to drop the bomb. Their plan is outrageous and most of the tax increases fall on middle income taxpayers."

House Republicans unveiled a "phase two" budget plan that would balance the budget without raising taxes or cutting critical funding for schools and nursing homes.

"From the very beginning, we have said it would be unconscionable to raise taxes on Minnesotans during a time of recession," added Sviggum. "There is no question that the economic news of late is improving, but what the DFL is proposing to do is to simply stomp out any steam our economy is gaining. Higher taxes are out of the question."

Hidden in the DFL tax bill is also a provision to eliminate the five year limit on welfare benefits, which was the cornerstone of the federal welfare reform of the late 1990's.

HOUSE DFL & "PLANLESS PUGH" SEEK TO RAID ROAD MONEY, FORCE SICK TAX HIKE TO PROTECT WELFARE PROGRAMS
- Only caucus not to offer budget balancing plan is again "fan in the stands" -

St. Paul - As the House of Representatives began debate on a series of five bills that comprise the House Republican plan to balance the budget for fiscal years 2002-2003, House Democrats were defeated in their efforts to raid money for roads and force an increase in the state’s "sick tax" to fund welfare programs. Similar to the first phase of the budget debate, Minority Leader Tom Pugh (DFL-South St. Paul) and House Democrats are the only caucus in the Legislature not to offer a detailed plan to balance the state budget.

"I can understand that House Democrats are afraid to put forth their own plan to balance the budget for fear of taking a stand on raising taxes or cutting spending," said House Speaker Steve Sviggum (R-Kenyon). "But their efforts to evade detection on the issues was shot down today when Minnesotans got a first-hand view of an endless stream of amendments that would have done everything from raiding road money to driving up the ‘sick tax’ that consumers pay on healthcare."

During debate on the Health and Human Services Omnibus bill, fifteen amendments were offered to protect a laundry list of welfare programs House leaders described as "the Cadillac of American welfare programs." In the House budget plan, no taxes are raised and more than $60 million in spending reductions are made in the area of health and human services.

"It took the DFL thirty years to build Minnesota’s welfare state," said House Majority Leader Tim Pawlenty (R-Eagan). "Sadly, they will do almost anything , including raising taxes and cutting road funding to avoid welfare reform and reductions."

One DFL amendment defeated today took money from the Health Care Access Fund (HCAF), which funds MinnesotaCare. HCAF is funded by a statewide 1.5 percent tax on all healthcare services. Already slated to go broke in a few years, the DFL action would have necessitated an increase in the tax on healthcare services to sustain HCAF and fund their additional spending.

Earlier this year, top Democrats in the Minnesota Senate sought to gut the welfare reform of the late 1990's by eliminating the five year limit on welfare benefits that was signed into law by Democratic President Bill Clinton in 1996.


TOPICS: Minnesota; State and Local
KEYWORDS: taxes; wefare

1 posted on 03/19/2002 6:27:34 PM PST by ATOMIC_PUNK
[ Post Reply | Private Reply | View Replies]

To: ATOMIC_PUNK
Great election year ploy. Almost certain to get Ventura reelected.
2 posted on 03/19/2002 6:37:04 PM PST by VA Advogado
[ Post Reply | Private Reply | To 1 | View Replies]

To: VA Advogado
Almost certain to get Ventura reelected.

Be still my beating heart. < /sarcasm>

3 posted on 03/19/2002 6:43:56 PM PST by Valin
[ Post Reply | Private Reply | To 2 | View Replies]

To: Valin
Well Jesse is crapping up the place isnt he? This is just the most incredibly stupid ploy I've even seen the DFL pull. They'll reelect Jesse and likely get Wellstone booted in the process. How ignorant.
4 posted on 03/19/2002 6:47:57 PM PST by VA Advogado
[ Post Reply | Private Reply | To 3 | View Replies]

To: VA Advogado
Are you sure gov. bobblehead is going to run?
5 posted on 03/19/2002 7:19:16 PM PST by Valin
[ Post Reply | Private Reply | To 4 | View Replies]

To: Valin
Most of "The Body's" moves lately have indicated that he won't seek another term. That means he probably will. I only hope the word gets out to the voters about this DemocRat plan. Brian Sullivan is our answer for gov!
6 posted on 03/19/2002 7:32:55 PM PST by Fireone
[ Post Reply | Private Reply | To 5 | View Replies]

To: ATOMIC_PUNK
How about telling us what DFL stands for.
7 posted on 03/20/2002 7:31:54 AM PST by TheErnFormerlyKnownAsBig
[ Post Reply | Private Reply | To 1 | View Replies]

To: big ern
DFL stands for Democratic Farm Labor Party. Doesn't that sound nice and commie?
8 posted on 03/20/2002 2:07:08 PM PST by timydnuc
[ Post Reply | Private Reply | To 7 | View Replies]

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
GOP Club
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson