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Speaker of the House
Steve Sviggum

463 State Office Building, 100 Constitution Ave., St. Paul, MN 55155 (651) 296- 2273


For Immediate Release
January 28, 1999
VENTURA BUDGET LACKS REAL PERMANENT TAX CUT
Republicans praise education initiatives, will push for larger income tax cut.

(St. Paul, MN) Speaker of the House Steve Sviggum reacted to Governor Ventura's budget proposal today saying it doesn't go far enough to permanently reduce the tax burden on Minnesota families.

"The Governor has done a great job putting this budget together in a timely fashion, but it just doesn't leave enough money for a permanent tax cut," said Sviggum. "The election of 1998 sent a signal that Minnesotans are ready for a large permanent income tax cut and House Republicans are prepared to deliver on our campaign promises."

Ventura's plan contains only a modest reduction in the lower income tax bracket coupled with the elimination of the marriage penalty and a reduction in motor vehicle registration taxes. House Republicans have also endorsed eliminating the marriage penalty, but Sviggum is concerned that cutting only the lower rate by two-tenths of one percent will not change Minnesota's status as the 2nd highest taxed state in the nation.

Speaker Sviggum also raised concerns about how rural Minnesota and especially farmers are treated under the Ventura plan. "The Governor appears to be ignoring one of the most important segments of our state's economy during a period of tough economic times for farmers. Republicans will not only direct almost $80 million of rebate money to farmers, we will also make a larger commitment to their long term stability."

Republicans praised the governor's initiatives in the area of K-12 funding, including increased funding for class size reduction and an increase in the K-12 funding formula. "Our House Inspection Report includes strong initiatives in improving education and we are pleased to see that Governor Ventura supports our plans," said Sviggum.

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