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Legislative News and Views - Rep. Greg Davids (R)

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REP. DAVIDS: SESSION ENDS WITH $9.7 BILLION IN TAX INCREASES IMPLEMENTED

Wednesday, May 24, 2023

ST. PAUL – State Representative Greg Davids (R-Preston) said the 2023 legislative session will be remembered as a year when Democrats that controlled state government spent a $17.5 billion state budget surplus and raised taxes on Minnesotans by $9.7 billion.

 

“Thanks to their insatiable appetite to spend and take your money, legislative Democrats and Governor Walz have now put us on the road of fiscal irresponsibility,” Davids said.

 

As a result of their decisions, Davids said state spending will grow by a whopping 40% from this budget cycle to the next – spending $72 billion on state government programs.

 

Davids said some of the tax increases you’ll be paying include a new payroll tax that hits every employer and worker in the state, the cost for a gallon of gas will rise as it is now tied to the rate of inflation, a 50-cent delivery tax is implemented on your deliveries over $100 that do not include  groceries, prepared food, baby products, and feminine hygiene products, and license tab fees and motor vehicle sales taxes will also jump.

 

Davids said the taxes bill also brought about another egregious policy into law, as Democrats have moved forward with their plan to change e-pull tabs and e-bingo as we know them, which he said will devastate charitable gaming proceeds that are distributed locally. 

 

Electronic pull tabs have been an unexpected boon for bars, the youth sports associations, VFW’s, and other establishments that offer them according to Davids. In 2022 alone they generated almost $2 billion in revenue.

 

Davids noted that House and Senate Democrats and Governor Walz agreed to eliminate the “open all” feature that has been in use in electronic pull-tab games for years, and force players to “open one line at a time.” This maneuver will not only slow play, but dramatically slow sales, and significantly reduce the amount of money that is collected and allocated to local charities and organizations.  

 

“It’s truly unfortunate that Democrats couldn’t leave a good thing alone,” Davids said. “Electronic pulltabs have been great for our American Legions and VFW’s, as they return the charitable proceeds to local organizations need. Now that revenue is going to decline dramatically thanks to this unnecessary action by Democrats and Governor Walz.”