| For Immediate Release | For more information contact: |
| January 16, 2002 | Shannon Robinson (651-296- 5989) |
ST. PAUL Governor Ventura's plan to balance the state budget and eliminate the current deficit comes with too many tax increases, according to Rep. Rich Stanek (Maple Grove).
"Although the Governor deserves credit for putting together a detailed proposal early in the process and not waiting, there are some serious faults with his plan," said Rep. Stanek. "There were some things in his proposals we can agree with, but some major ones we cannot, particularly the $1.4 billion tax hike."
The Ventura plan to balance the state budget included numerous tax increases, including a five- cent increase in the gas tax with little new money going for road construction, making schools pay state sales tax, and extending the sales tax to a variety of items including newspapers, a significant increase in the cigarette tax, automobile repairs, legal services, and institutional meals.
"I and my colleagues in the House believe we can balance the '02-'03 budget without raising taxes and without cutting funds for local school classrooms and nursing homes by using reserves and cutting spending," stated Rep. Stanek.
As Chair of the House Judiciary Finance Committee, Rep. Stanek announced that his committee already has a hearing scheduled to start looking at areas where spending cuts can be made before the 2002 session starts. Many of the House budget committees have also planned pre-session hearings in response to the Governor's plan.
"Our caucus plans to take quick action when dealing with the budget deficit for '02-'03. That is our immediate concern,"explained Rep. Stanek. "When that is taken care of, we can focus on the '04-'05 deficit. But it will be important to have the February forecast when dealing with the structural deficit, since that is three and a half years out."
Rep. Stanek also encouraged his constituents to contact him if they have questions or concerns about the budget deficit. He can be reached by mail at 543 State Office Building, St. Paul, MN, 55155; by phone at 651-296-5502; or by e-mail at rep.rich.stanek@house.leg.state.mn.us. The House also has a website at www.mnbalancedbudget.com for people to use to make their suggestions.
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