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Budget for a Better Minnesota

March 14, 2013

A Fair and Responsible Budget that Invests in the Middle Class

ST. PAUL, MN – Governor Dayton released a revised budget plan today that responsibly resolves the state’s budget deficit and makes crucial investments in Minnesota’s future. The Governor’s proposal focuses on improving the lives of Minnesotans by making major investments in education, job creation, and a stronger middle class.

First, Governor Dayton’s budget makes $640 million of long-overdue investments in education. The Governor’s budget would provide access to high-quality early education for 10,000 young children, fund all-day Kindergarten for 46,000 kids, and increase school funding for every district in the state. His budget would also deliver the largest increase in direct student aid in 25 years, along with needed investments in the MnSCU system and the University of Minnesota to train our workforce for the jobs of the future.

The Governor’s budget also makes needed investments in job creation. Minnesotans need a strong economy we can depend on for good jobs, living wages, and a strong middle class. That is why Governor Dayton’s budget invests $86.5 million in proven economic development initiatives that will create thousands of jobs and leverage nearly $1.5 billion in additional private investment in Minnesota’s economy.

Governor Dayton’s budget plan would also provide property tax relief to Minnesota families and businesses. His budget would increase funding for the renter’s credit, fully-fund the homeowner’s property tax refund program, and increase aid to local governments by $120 million.

These new investments are made possible by asking the wealthiest 2 percent of Minnesotans to pay their fair share in taxes and closing unfair corporate tax loopholes enjoyed by just a handful of corporations.

According to the Department of Revenue’s most recent tax incidence study, most low- and middle-income earners in Minnesota pay about 20 percent more as a share of their income in state and local taxes than the wealthiest Minnesotans.  In order to address that disparity, honestly resolve our state’s budget deficit, and make long overdue investments in education and job creation, the governor’s budget asks the wealthiest 2 percent of Minnesotans to pay their fair share of income taxes.

Finally, the governor’s budget delivers on his commitment to a Better Government for a Better Minnesota – ensuring Minnesotans get better public services for a better price. His budget delivers $5.1 billion in cost savings and reductions over four years through reform and responsible fiscal management.

For more information about Governor Dayton’s Budget for a Better Minnesota, visit and follow the conversation on Twitter at #BetterMN.