Minnesota Government Shuts Down Over Budget Stalemate

[InTheLight]

July 1 (Bloomberg) -- Minnesota's government shut down today, idling thousands of state workers, after Democratic Governor Mark Dayton and Republican legislative leaders failed to resolve a budget stalemate at the start of the new fiscal year.

Dayton said Republicans refused to accept his proposal to raise taxes to close a $5 billion deficit, and he wouldn't approve a budget balanced solely by cutting spending. The two sides are $1.4 billion apart, he said.

Dayton, a first-term governor, proposed raising income taxes for individuals with $150,000 in annual taxable income, and couples earning $250,000, to generate $1.8 billion more for services, according to a May 16 letter to lawmakers. The proposal would raise taxes on 1.9 percent of Minnesotans, the letter said.

Republicans oppose tax increases and said the budget could be balanced with $3.6 billion in spending cuts, Jodi Boyne, a spokeswoman for the House Republican Caucus, said in an interview.

"We are making promises to our kids and our grandkids on spending that we are not going to be able to pay for," Kurt Zellers, the Republican House speaker, said during a press conference last night after the two sides met throughout the day, as they had every day for the past week.

Read more: http://www.sfgate.com/cgi-bin/artic...-75L91U9RCV7A0N6686OE1ML8PS.DTL#ixzz1QrkBfKFu

 

[preachinjesus]

I'm all for shutting down governments. That means non-essential people aren't around.

It also means they stop spending our money like a trust fund kid at a college kegger.

Shut 'em all down. The only things we need are police, fire, utilities, and defense.

 

[Robert Snow]

I'm all for shutting down governments. That means non-essential people aren't around.

It also means they stop spending our money like a trust fund kid at a college kegger.

Shut 'em all down. The only things we need are police, fire, utilities, and defense.

Who will take care of the infrastructure? Who will maintain the roads, bridges and do the other things required?

 

[Havensdad]

Who will take care of the infrastructure? Who will maintain the roads, bridges and do the other things required?

Robert,

I don't know how it is where you live. But where I am, the government is constantly "repairing" roads that aren't broken, building bridges and overpasses that are not needed, and generally trying to spend every dollar they can.

A 1 year hiatus would be nice.

 

[rbell]

Who will take care of the infrastructure? Who will maintain the roads, bridges and do the other things required?

Maybe they'll learn the difference between basic infrastructure upkeep, and giving out free cellphones to deadbeats, or spending $100K for a "dog park," among other fiscal atrocities...

 

[Robert Snow]

Maybe they'll learn the difference between basic infrastructure upkeep, and giving out free cellphones to deadbeats, or spending $100K for a "dog park," among other fiscal atrocities...

Great idea! Let's let all the roads fall apart to teach that evil government a lesson. Brilliant!

It's no secret that many conservatives have a hatred for the Federal Government. What is surprising however is how so many of them will bring harm on their own selves to satisfy this hatred.

 

[revmwc]

Great idea! Let's let all the roads fall apart to teach that evil government a lesson. Brilliant!

It's no secret that many conservatives have a hatred for the Federal Government. What is surprising however is how so many of them will bring harm on their own selves to satisfy this hatred.

Too bad the Governor wanted to ensure the people would have no jobs and no money. Great move on his part when cutting spending would have kept the state solvent, Democrats liberals at work TAX TAX and more TAX to bring hardship on ALL the people, taxes trickle down just like Tax cuts do. Raise the rich folks taxes and the poor suffer because less money is flowing into the GDP. The less the rich have to spend the worse the economy gets. The Great Depression is proof that when the rich spend less the economy get's worse and stays worse.

Great job Mr. Governor in ensuring the poor would suffer. Hopefully the folks of MN take notice and vote you out or maybe they can find a way to get you out so someone who knows what he is doing will get into the office.

 

[Max Fenster]

It will be interesting to see who the people of Minnesota find guilty of this fiasco. Polls should be out in next few days.

 

[preachinjesus]

Who will take care of the infrastructure? Who will maintain the roads, bridges and do the other things required?

Notice I said utilities in my above post.

Over a longer term situation there might be concern for this but the issue isn't real for now.

Actually. imho, most of our roads, bridges, and infrastructure is in pretty good shape. We don't need the endless toying or fixing them. Right now the best thing for Minnesota, for the US, is a government shut down. We've got a bloated and bloviated system that needs refining.

It isn't about "hatred for government" it is about belief that government is best when government is least.

About half the agencies and personnel in any government aren't needed. Times like this, where we can shut it down for awhile, are good things.

 

[InTheLight]

I'm all for shutting down governments. That means non-essential people aren't around.

It also means they stop spending our money like a trust fund kid at a college kegger.

Shut 'em all down. The only things we need are police, fire, utilities, and defense.

So you'd be in favor of shutting down food safety inspectors, water quality inspectors, customs agents, illegal drug enforcement and interdiction, immigration services, air traffic control, prison systems, drug quality regulations, emergency disaster responders, the US patent office, etc. etc.

 

[InTheLight]

taxes trickle down just like Tax cuts do. Raise the rich folks taxes and the poor suffer because less money is flowing into the GDP.

Care to elaborate on this? I've never heard this economic theory and I want to learn more.

 

[preachinjesus]

So you'd be in favor of shutting down food safety inspectors, water quality inspectors, customs agents, illegal drug enforcement and interdiction, immigration services, air traffic control, prison systems, drug quality regulations, emergency disaster responders, the US patent office, etc. etc.

Notice again, in re-reading my post, what I've made provision for...the non-essential personnel are, well, not essential for running of the state or government.

 

[InTheLight]

Notice again, in re-reading my post, what I've made provision for...the non-essential personnel are, well, not essential for running of the state or government.

Could you answer my question, please?


So you'd be in favor of shutting down food safety inspectors, water quality inspectors, customs agents, illegal drug enforcement and interdiction, immigration services, air traffic control, prison systems, drug quality regulations, emergency disaster responders, the US patent office, etc. etc.?

 

[revmwc]

Care to elaborate on this? I've never heard this economic theory and I want to learn more.

According to History the Great Depression lasted longer in the USA than else where for 3 reasons.
1. The rich had money but weren't spending it.
2. The Tariff act of 1930 raised tarrifs on goods and taxes on those goods
3. The Fed failed to react to the situation

We see today the Administration and the Dem congress were talking of tax hicks for the rich and middle class and
1. Less money is being spent by the wealthy
2. Taxes being raised in 2007 to 2008
3. The Fed kept interest rates lower
number 3 helped keep us from going into a depression but number 1 and 2 drove us deeper into recession and the threat of higher taxes on the rich continues to curtail spending

 

[freeatlast]

July 1 (Bloomberg) -- Minnesota's government shut down today, idling thousands of state workers, after Democratic Governor Mark Dayton and Republican legislative leaders failed to resolve a budget stalemate at the start of the new fiscal year.

Dayton said Republicans refused to accept his proposal to raise taxes to close a $5 billion deficit, and he wouldn't approve a budget balanced solely by cutting spending. The two sides are $1.4 billion apart, he said.

Dayton, a first-term governor, proposed raising income taxes for individuals with $150,000 in annual taxable income, and couples earning $250,000, to generate $1.8 billion more for services, according to a May 16 letter to lawmakers. The proposal would raise taxes on 1.9 percent of Minnesotans, the letter said.

Republicans oppose tax increases and said the budget could be balanced with $3.6 billion in spending cuts, Jodi Boyne, a spokeswoman for the House Republican Caucus, said in an interview.

"We are making promises to our kids and our grandkids on spending that we are not going to be able to pay for," Kurt Zellers, the Republican House speaker, said during a press conference last night after the two sides met throughout the day, as they had every day for the past week.

Read more: http://www.sfgate.com/cgi-bin/artic...-75L91U9RCV7A0N6686OE1ML8PS.DTL#ixzz1QrkBfKFu

We the people are so dumb! First off any time there is a deficit no legislator, including governor, or the president should receive a dime in pay or benefits until the system is back in the black with no debt at all.. The politicians use this kind of thing to raise taxes and increase spending putting all the burden on the people for their irresponsible and many times corrupt actions. In other words business as usual. If the people had any backbone they would start recall elections for these irresponsible leaders voting them out and vote in those who would put a stop to the irresponsibility and petty politics even if it is the average citizen who is voted in.

 

[InTheLight]

According to History the Great Depression lasted longer in the USA than else where for 3 reasons.
1. The rich had money but weren't spending it.
2. The Tariff act of 1930 raised tarrifs on goods and taxes on those goods
3. The Fed failed to react to the situation

We see today the Administration and the Dem congress were talking of tax hicks for the rich and middle class and
1. Less money is being spent by the wealthy
2. Taxes being raised in 2007 to 2008
3. The Fed kept interest rates lower
number 3 helped keep us from going into a depression but number 1 and 2 drove us deeper into recession and the threat of higher taxes on the rich continues to curtail spending

The tariff acts of 1930 affected less than 5% of all goods imported to the United States. I don't see how that would cause the rich to spend less. In any event, I don't see the connection between the rich spending money and the poor being helped out by this.

What taxes were raised on the wealthy in 2007 and 2008? Certainly not income taxes, capital gains taxes or estate taxes. So which ones?

I'm more interested in your assertion that taxes trickle down and that poor people are harmed by taxes on the rich.

 

[Salty]

It will be interesting to see who the people of Minnesota find guilty of this fiasco. Polls should be out in next few days.

Max, From a fellow New Yorker, glad to see you on Bap Board. (have you been to the Welcome Forum to introduce yourself?)

...It's no secret that many conservatives have a hatred for the Federal Government. ...

Conservatives do NOT hate the federal govt. What we hate is the excessive spending of non-constitutional budget lines. eg welfare, studies on the 3 eye bugger, education, and many other pork items
Note: The Fed has no business in education. that responsibility belongs to the State or Commonwealth

We the people are so dumb! First off any time there is a deficit no legislator, including governor, or the president should receive a dime in pay or benefits until the system is back in the black with no debt at all..

On the surface, that sounds good - but suppose there are 11 congressman - 5 want to raise taxes to spend on more pork projects. But the other six vote down the budget because they don't want to waste your money.
So you want to penalize 6 men are trying to do the right thing?
Also, I realize many Congressman are millionaires - some are not- and if they do not get their paycheck they cannot pay their bills.

Could you answer my question, please?
So you'd be in favor of shutting down food safety inspectors, water quality inspectors, customs agents, illegal drug enforcement and interdiction, immigration services, air traffic control, prison systems, drug quality regulations, emergency disaster responders, the US patent office, etc. etc.?

Its interesting you only named essential services. Why not list non-essentials, or would that weaken your cause?

 

[InTheLight]

Originally Posted by InTheLight
Could you answer my question, please?
So you'd be in favor of shutting down food safety inspectors, water quality inspectors, customs agents, illegal drug enforcement and interdiction, immigration services, air traffic control, prison systems, drug quality regulations, emergency disaster responders, the US patent office, etc. etc.?

Its interesting you only named essential services. Why not list non-essentials, or would that weaken your cause?

Because preachinjesus said: "Shut 'em all down. The only things we need are police, fire, utilities, and defense."

 

[Salty]

Because preachinjesus said: "Shut 'em all down. The only things we need are police, fire, utilities, and defense."

So are you in favor of shutting down non-essential services on a permanent basis?

 

[freeatlast]

On the surface, that sounds good - but suppose there are 11 congressman - 5 want to raise taxes to spend on more pork projects. But the other six vote down the budget because they don't want to waste your money.
So you want to penalize 6 men are trying to do the right thing?
Also, I realize many Congressman are millionaires - some are not- and if they do not get their paycheck they cannot pay their bills.

Recalls have to be done on individual bases.