This week our state hit a new record. We have a budget surplus of $7.7 billion – that’s $7.7 billion of your hard-earned tax dollars just sitting in the “Bank of Over-Priced, High-Tax State Government.”
A surplus of this magnitude shows us that Minnesota is on an unsustainable path. We are setting the next generation up for failure if government continues to tax our families and businesses at such rates, and we continue spending at the same level. My good friend, former Representative Matt Dean, always asks, “Do you want to work for the government, or do you want the government to work for you?” At our current pace, it is clear that Minnesotans are working for the government.
This needs to change. We must cut taxes and reduce our spending. Why does our state have a $7.7 billion surplus when families are paying higher prices for gas, groceries, and heating bills? Inflation surged in November, hitting a 39-year high last month of 6.8%. This is the fastest rate since 1982. For perspective, if you get 26 paychecks a year, 6.8% inflation means that almost two of those are gone.
We are also facing an impending crisis for our small businesses. The Unemployment Insurance Trust Fund has a $1 billion deficit that businesses, through no fault of their own, will be forced to repay – a 15% or higher tax increase! Democrats in the Senate came out and said that employers should just pay their fair share and cover the state’s debt. It is incredible that the other side thinks that it is fair for businesses to pay for government’s debts while employers are still trying to rebuild after a year of shutdowns amidst continued uncertainty, inflation, and supply chain crisis.
Minnesota has a $7.7 billion surplus, not to mention over $1 billion in COVID relief funds that we still must spend. There is no reason to raise taxes on businesses to repay the Unemployment Insurance Trust Fund. We need to use these available funds to replenish the UI Trust Fund.
I will always fight for every Minnesotan’s pocketbook to make sure that government is a responsible steward of people’s hard-earned tax dollars. We need to once again allow freedom and liberty to prosper in this state. That starts by putting Minnesotans first, and government second. It’s time to lower taxes – such as on social security – and cut spending so people in this state can truly thrive.