State Representative
Rich Stanek

543 State Office Building, 100 Constitution Ave., St. Paul, MN 55155 (651) 296- 5502


For Immediate ReleaseFor more information contact:
March 14, 2002Shannon Robinson (651-296- 5989)
NEWS RELEASE
K-12 STILL OFF THE TABLE AS PHASE TWO BUDGET PLAN PROGRESSES

ST. PAUL State Representative Rich Stanek (R-Maple Grove), along with leaders of the Republican House of Representatives, unveiled a second phase plan for balancing the state's budget earlier this week. Just as in the bipartisan budget agreement passed last month, funding was protected for local schools across Minnesota.

"In this time of budget fixes and program cuts, K-12 education funding is one area that is definitely off limits," said Rep. Stanek. "By cutting funding to classrooms, the children of this state would be forced to bear the consequences of a state government that has increased spending and bloated its bureaucracy for years. It wouldn't be right and it wouldn't be fair."

Late last month, Minnesota's budget deficit was projected to be nearly $440 million larger than earlier expected, making a second fix necessary. The plan uses $325 million from the state's tobacco reserves, approximately $100 million in spending reductions, and $31.7 million from other one-time special revenue accounts. The plan does not increase taxes and nursing homes are also kept safe.

While the House has made it clear that maintaining K-12 education funding is a high priority, Rep. Stanek explained that the Governor does not agree. "I am especially concerned with the Governor's proposed cuts to K-12 education, and his plan to require school districts to pay sales tax on taxable purchases," said Stanek. "Public schools are funded with tax dollars, why would we tax our tax dollars? It makes no sense."

According to Stanek, many local schools are struggling to balance their own district budgets and creating an additional sales tax on K-12 education is not a sensible solution to solve the state's budget deficit. "The Department of Finance has calculated that this tax alone would cost school districts across the state almost $120 million over the next 3 years a financial burden we will not allow our schools to bear," stated Stanek.

Instead of cutting local schools, the House Republican phase two budget plan cuts more than $10 million from the legislative budget, reducing state spending by more than $100 million with $61.6 million reduced in Health and Human Services, and $3 million in Economic Development.

Rep. Stanek said the plan is being handled as several bills, which have made their way through committees and will be debated on the House floor this week. If passed, the phase two plan will eliminate the entire budget deficit for 2002-2003. Stanek added that a later "phase three" plan would significantly address the 2004-2005 deficit.

"Our commitment to education is evident when you look at the State General Fund Formula Increases for Osseo schools since we took the majority in 1999," explained Stanek. "In 1999, Osseo schools saw a 5.1% increase in their state general fund formula increases, with a 4.6% increase in 2000-2001. This legislative session will be no different. We will continue to protect the quality of K-12 education for Minnesota kids."

If you would like to contact Rep. Stanek on this issue, he can be reached 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. If you would like periodic e-mail updates on the legislative session, visit Rep. Stanek's official House website at www.house.mn/33B and click on "Email Updates."

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