Republicans credit Minnesota’s turnaround 329-million-dollar state budget surplus to tax cuts on the state and federal level — but Democrats say, not so fast. Senate Republican Majority Leader Paul Gazelka says, “Tax cuts are working, and I really don’t care whether you think they’re from the federal government or the state house. The fact is we did ’em in both places and they are actually having an impact.” But Governor Mark Dayton warns, after a “temporary boost” to the economy from the federal government’s “massive tax cut and spending increase,” the economy is forecast to slow down — so when setting the state budget, “Not setting the stage for another fiscal cliff down the road has to be on everybody’s priority [list].”
House Speaker Kurt Daudt responds if Dayton wants restraint on reducing taxes, “I would expect the same prudence on the governor’s spending.”