| For Immediate Release | For More Information Contact: |
| January 10, 2002 | Dan Wolter (651) 296-0640 |
St. Paul, Minnesota Saying the state's $1.95 billion budget deficit is a big and challenging problem, House Republican leaders pledged quick action on balancing the budget. After receiving Governor Ventura's plan this morning, Speaker of the House Steve Sviggum (R-Kenyon) and House Majority Leader Tim Pawlenty (R-Eagan) immediately instructed House budget committees to schedule hearings as soon as possible. Eight key House committees have meetings set already and House leadership will be meeting with committee chairs tomorrow.
"We're going to work with the Governor and the Senate to shape a budget-balancing bill that reflects the priorities of Minnesotans," said Sviggum. "The House will take quick and early action on balancing the budget for this biennium. I commend Governor Ventura for getting the ball rolling early and putting forth a comprehensive plan. His plan has some things with which we can agree and some we cannot support - such as 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, a significant increase in the cigarette tax, making schools pay state sales tax, and extending the sales tax to a variety of items including newspapers, automobile repairs, legal services, and institutional meals.
"The message the Governor is sending is watch your wallet - the 'Jesse taxes' are coming," said Pawlenty. "Every time you read your morning newspaper, drive your kids to school, have your car repaired, or smoke a cigarette, you'll be paying more. We intend to be Minnesotans' last line of defense against this $1.4 billion tax hike."
Sviggum said the House will have the immediate goal of balancing the budget for the current biennium and that he believes it can be done without raising taxes and cutting funding for local classrooms and nursing homes. He noted that Ventura's plan did protect the critical nursing home reforms enacted in 2001. After the immediate deficit is dealt with, lawmakers would move on to solving the longer-term structural deficit.
"We have a constitutional responsibility to balance the budget for this biennium and believe that can be accomplished without increasing the burden on taxpayers or cutting their top priorities of local classrooms and nursing homes," added Sviggum. "Today, the Governor put everything on the table and we are prepared to act responsibly. But I would challenge citizens to not shrink from letting their voices be heard on what the Governor has proposed and how they think we should balance the state budget."
In order to get citizen input and ideas, House Republicans set up a website several weeks ago at www.mnbalancedbudget.com.
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