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State Senator Julianne E. Ortman

District 47
119 State Office Bldg.
100 Rev. Dr. Martin Luther King Jr. Blvd.
St. Paul, MN 55155-1206
Telephone (651) 296-4837
Minnesota Senate

Republican Caucus
155 State Office Bldg.
100 Rev. Dr. Martin Luther King Jr. Blvd.
St. Paul, MN 55155-1206
Telephone (651) 296-1930
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Date:May 4, 2012
Contact Name:Peter Winiecki
Contact Phone:651-297-8077
For Immediate Release


St. Paul – Hours after the Minnesota Senate passed the jobs and tax relief conference committee report, Governor Dayton announced his veto of the bill. The measure offered $51.7 million in immediate tax relief and for $200 million over the next three years. During the legislative process, lawmakers focused their efforts in stimulating economic development activity, job creation and homeowner tax relief. Furthermore, legislative leaders took the Governor’s priorities and concerns into consideration in the development of the final conference committee report.

“The Governor has burned what may be the last bridge to working with legislators at the Capitol this year. This bill was crafted within the parameters that the Governor set in negotiations and the conferees responded to his concerns by reducing spending tails and eliminating renters credit reductions. We also included a Dayton priority of $2 million for the Minnesota Investment Fund and $6 million for a tax credit for hiring veterans. We made substantial concessions on this proposal in order to get the Governor’s signature,” said Deputy Majority Leader Julianne Ortman (R-Chanhassen), chair of the Senate Tax Committee and chief author of the bill.

An important provision in the bill freezes business property taxes and eliminates the automatic inflator, which under current law, increases with inflation every year. The compromised bill called for the state’s levy amount to be frozen at $817 million. Without the freeze, the statewide levy would escalate to over $1billion for business property taxpayers by 2022. The bill also included a phased-in, upfront sales tax exemption for capital equipment purchases which would been effective in July 2012 and was designed to encourage immediate investments and orders, and would be expected to generate a surge in business activity in the state. Governor Dayton also vetoed important provisions for homeowner tax relief and incentives for construction and economic development for dozens of cities throughout the state.

“This veto of the tax relief and jobs bill by Governor Dayton was extremely disappointing. It was a political decision not a decision based upon the future best interests of Minnesota,” said Majority Leader David Senjem (R-Rochester). “This bill was passed with bipartisan votes in both the House and Senate and it addressed concerns raised by the Governor. Sadly, the Governor chose to kill more real jobs than the bonding bill and the stadium bill will contribute to Minnesota’s economy.”