by INFORUM
Some fear tax bill will be end of local aid
March 28, 2011 at 7:00 pm in INFORUM
ST. PAUL Democratic lawmakers fear a bill the House passed Monday night is the beginning of the end of state aid sent to local governments.
With Republicans providing most of the votes, representatives approved the bill 73-59 lowering state aid and also cutting income taxes. Republicans rejected attempts to restore local government aid payments.
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Those numbers do not sound as if they can over ride a veto if the governor decides to veto.
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Why is cutting taxes always in the republicans answer to money shortages that negatively impact those that can least afford it? Negatively impact essential services such as schools, health services, even infrastructure maintenance? Even raiding retirement funds of people who have worked 40 to 50 years so they suddenly don’t have what they thought they would have for retirement!
When are enough people going to wake up to the fact that republicans are in it for themselves and business and not the people?
Republicans got up into this financial mess, they have no intentions of helping getting up out.
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It is time LGA ends. There are many cities that do not receive LGA. Others opt to reduce their property taxes and use LGA for everyday budget items. This is a mistake. Local costs should be born by local taxes. On this the Republicans have it right.
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The problem is for rural areas of Minnesota. They rely on such aid to provide services that are otherwise not feasible given the low population density.
It’s kind of ironic how rural areas tend to be more conservative, yet conservative law makers are doing the most damage to them.
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Yeah right- First “cut taxes” (we’ll pause so everyone in St. Paul can pat themselves on the back), then tell rural folks to “increase sales taxes” to cover the shortage. Instead of generating more tax revenue, citizens start shopping more in neighboring towns (maybe in a neighboring state) and they end up with LESS of a tax base then they had prior to increasing the sales tax. I’ll close by pausing so the folks in St. Paul can give themselves another congratulatory pat for “lowering taxes”.
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Andrew (sorry- my “reply” comment was not towards your comment- which I agree with- meant it towards the overall article)
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People live in these areas because the taxes are low but expect people in other areas to pay taxes for their benefit. If you want police or fire protection, you pay for it. If you want paved streets or your snow plowed, you pay for it. Or, you create sales taxes or other means to pay for it. That way you get exactly the level of service that you want and can afford, nothing more, nothing less, and you can dictate what you want with no strings attached.
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I’m so glad that Rep. Linda Runbeck could find so many cuts for other districts while raising the LGA for her own. There is not even the smallest, teensiest bit of hypocrisy or stupidity in that action.
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Republicans have no problem with taxes. They just prefer regressive taxes. They want to do away with graduated income tax and property tax (which promote the distribution of taxation according to one’s ability) and instead prefer things such as sales taxes which heavily burden low income people whose income is strongly tied into such necessities as food and shelter. It’s a shame. I am very well to do and am happy to pay a higher tax rate on earnings beyond what my neighbors make. Honestly, it’s pretty selfish. They end up better off and I reap the rewards even more. Less poverty and greater overall health of those with whom I interact helps keep me safer and healthier. And at the end of the day, I still have more money that I can choose to spend or invest as I please.
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MN has 3 brackets for income tax rates. The GOP proposal was to reduce the rates on the two lowest brackets and leave the rate the same on the highest income bracket. It seems like they voted for a more progressive (not regressive) income tax. So you will continue to pay that higher rate.
Yes, if some of this revenue ends up being replaced by a sales or property tax, that will tend to be more regressive. Don’t know if this is a change to a more progressive or a more regressive tax situation.
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Why is it democrats always think the way to “help†the poor is to take money away from the rich? Answer: they really know it doesn’t help the poor, but it does help them get elected. It is painfully obvious the groups of people who get the most government assistance stay poor. Look at the Indian population on reservations. No group in America gets more help and has more government agencies assigned to “help†(meaning give handouts) than Indians..and what is the result? Has it helped them as a whole? What some of you fail to realize is it’s freedom and independence from the government which helps foster an individual’s drive to succeed on their own. Will all find this drive, surely not, but it is not yours or my job to subsidize others lack of initiative. Look up the Lumbee Indians a tribe in NC which gets no government handouts.
Members of the Lumbee tribe from Robeson County, NC, own their own homes. They succeed in business. Lumbee tribe members include real estate developer Jim Thomas, who used to own the Sacramento Kings. Lumbee Jack Lowery helped start the Cracker Barrel Restaurants. Lumbees started the first Indian owned bank, which now has 12 branches.
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If Republicans had good ideas and got something accomplished when they were in power, they wouldn’t keep getting replaced by Democrats (and vice versa). Those Republicans that you voted in November are the same turds that you voted out a few years prior. Just a fresh coat of paint on the turd. Still a turd, though. So next election- it’s back to Democrats. God help us!!!
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Scooter, good job attacking Republicans/Democrats and avoiding the actual question and issues! Here’s a medal!
Just because the upper class can afford to give up more, why should they? They are the ones who took risks, put in their time, and deserve to enjoy the fruits of their labor. Raven is right on – why work for things you can get for free through government programs? Where I work there are people who flat out REFUSE to take full time positions (and we have them available!!) or put in over time because they will ‘go over their hours’ and become ineligible for housing assistance, WIC, etc. In fact I offered a MANAGER job to an employee who refused it because she would lose her benefits. Maybe my supreme disgust is what drives me to work hard and take only what I deserve. If that means a big bonus, I get it because I’m the one willing to reach for it. The rest can be damned!!!!!!!!!!!!
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Mr. Raven66, didn’t the recent study in MN prove just the opposite, that middle and lower income people are subsidizing the rich? Didn’t the survey show that the top 10% paid on average 10% of their wages in state taxes and the lower 90% paid in 12%? Likely that means some in the middle income levels paid even more than 12%. Perhaps it would be better if middle income families just paid in 100% of their incomes to the state and be done with it.
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Raven and Drew will deny it because it isn’t the truth. (ie. it didn’t run on Fox News- therefore it is a “liberal lie”).
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Sorry Scooter, I don’t watch any cable news channels at all. I make my decisions and form my opinions based on what I see in my own life, personal experiences, and the stupid mistakes I see other people do, which I then learn from.
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Man if libs would learn anything about economics you would know that the wealthier people invest their money in tax defered options. They may be paying less now but will still pay the taxes when they use these funds.
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