Differences Between Republicans
and Liberal Democrats on
Taxes
Republicans believe that all of us benefit economically from the spending done by individual earners. Every proposed government spending project should be severely judged as to whether its purpose can justify taking hard-earned money from hard-working citizens.
Wrong: Over 40% of the $250 million earmarked by Congressman James Oberstar (D-MN; 8th) [senior Democrat on the Transportation and Infrastructure Committee] for Minnesota from the 2005 Transportation bill went to bike trails, transit, and other non-road related spending. There was even $25 million appropriation for a "non-motorized" transportation pilot program in the Twin Cities. (2)
Right: While Minnesotans were still in shock and grieving over the 35W bridge collapse, Congressman Oberstar demanded that the federal taxes on gasoline be immediately raised. Republicans suggest that the congressman stop directing millions of dollars to his pet projects and instead use that money to maintain our transportation infrastructure.
Wrong: Integration Revenue Program – $115.3 million (Session Laws 2005 (1st Special Session), Chapter 5, Article 2, Section 84, Subdivision 4.) These are grants to school districts for integration-related activities and represent another example of a government program that rewards failure. A 2005 report by the Legislative Auditor found that racial concentration has increased in many of the districts that receive this revenue. The program creates a disincentive to integrate—the more integrated a district becomes, the less money it receives. In this way, the program promotes racial segregation. The auditor’s report noted the vague guidelines of the program and the lack of measurable outcomes for program evaluation. Some districts use the money to boost their general budgets, including purchasing books and computers. There’s no accountability for how this money is spent. (2. p14)
Right: This program shows how easily the legislature can create simultaneously expensive and harmful programs, and why Republican oversight is needed to prevent such boondoggles.
Wrong: During the 2007 Legislative Session a transportation bill was passed that would have increased taxes and fees by up to $5 billion; including a 7.5 cent gas tax increase, a new Metro-wide sales tax, increases in tab fees, and a host of locally  imposed taxes that could pass without voter approval. The tax increase could have cost a Minnesota family of 4 about $500 a year. (2)
Right: Republican Governor Pawlenty prevented this massive tax increase that would have harmed both the economy and Minnesota family budgets by vetoing the bill. He was backed by a veto-sustaining Republican House caucus.
Wrong: Rep. Steve Simon (D-St. Louis Park) wants to give cash bonuses to illegal aliens. The bill would create a tax credit for English classes, citizenship classes, and application fees. If an alien’s tax bill is lower than the cost of these expenses, the bill would give the balance of the credit to the alien in cash. (House File 747) (1)
Right: Taxes paid by hard-working Minnesota citizens should not be given away to those who scoff at our laws.
Wrong: The City of St. Paul took out huge state loans to build the Xcel Energy Center and the adjoining RiverCentre convention complex. Now, the city wants to spend money on other things, instead of making its promised payments on the bonds. Rep. Alice Hausman (D-St. Paul) wants the Legislature to forgive the rest of the $65 million owed to the state on the Xcel arena and the $43 million owed to the state on the convention center. (House Files 859 and 860) (1)
Right: By means of this proposal Democrats would give $108 million dollars to St. Paul to spend on projects not reviewed and not under control of the legislature. Republicans believe that state funds should be allocated pursuant to open and transparent review processes. Democrats should not be allowed to use the ploy of debt forgiveness to subvert the normal legislative review of funding proposals.
Wrong: Rep. Frank Hornstein (D-Minneapolis) would give you a tax credit for buying an “alternative fuel” car. If you don’t owe any Minnesota income taxes, the state will pay you 10% as a cash refund. (House File 1002) (1)
Right: Since the bill has no limit on the 10% credit, the refund, the price of the car, or how long you own it, you could buy a $40,000 car for $40 million, sell the car back to the dealer for $38 million, and keep $2 million. What a country! (1)
Wrong: Rep. Jim Davnie (D-Minneapolis) wants $5 million to give grants to local governments to build windmills and put gardens on the roofs of government buildings. (House File 1874) (1)
Right: Rep. Davnie should be asked to show how this significant sum of taxpayer's money is not being wasted.
Wrong: Rep. Steve Simon (D-St. Louis Park) wants to set up a program of seven different grants to godparents, stepfamilies, cousins, aunts, uncles, siblings, grandparents, and de facto guardians who take care of related children who are not with their parents. (House File 2143) (1)
Right: Given the track record of broken families caused by previous welfare programs that had the effect of supporting teenage parenthood and spouse abandonment, we should be very wary of injecting state money and rules into what should be extended family matters.
Wrong: Rep. Frank Hornstein (D-Minneapolis) wants to increase the surcharge on everyone’s retail electricity bills to pay for solar panels for selected people. If you qualified for low-income heating assistance, you don’t have to pay the surcharge. (House File 2384) (1)
Right: Rep. Hornstein wants to raise our taxes to fund the solar power industry which, Republicans believe, should be left to prove itself in the marketplace without being given unjustified subsidies.
Wrong: Rep. Melissa Hortman (D-Brooklyn Park) wants working taxpayers to provide $200,000 to pay off the loans of law students. (House File 1974) (1)
Right: This proposal shows once again that there is seemingly no limit to the amount of other people's money Democrats are willing to transfer to their friends.
Wrong: Rep. Carlos Mariani (D-St. Paul) wants to take a half-million from the poor taxpayers to pay for legislators to think about how to get more money to the poor taxpayers. The money would fund a “Legislative Commission to End Poverty in Minnesota by 2020.” (House File 1616) (1)
Right: This commission is not needed. For decades, Democrats have told us they already know how to end poverty: higher taxes and more government programs. Republicans will continue to promote the idea that economic opportunity and lower taxes allow individuals to climb out of poverty.
Sources:
1.   MN House Republicans, Marty Seifert's office, 2007.
2. "Test your Minnesota Transportation I.Q." from the Taxpayers League of Minnesota; 8/21/07
Senate District 60 GOP  •  P. O. Box 3687  •  Minneapolis, MN 55403
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