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Minnesota Proposals

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STAFS’ first goal is to make options for moving Minnesota forward out of the current fiscal crisis widely available to policy makers and the public. The situation we're in raises the question: How can Minnesota get out of this mess?

Through whatever combination of four approaches is politically acceptable: cut, tax, grow and redesign. Cut means cutting spending. Tax means raising taxes. Grow means letting economic growth increase tax revenues faster than spending is increasing. Redesign means changing the way government works, so that Minnesotans get more value from the public spending dollar. Redesign appears to be essential.
Fiscal Cell Matrix
Redesign of how its governments operate and provide public services appears necessary if Minnesota is to have a bright future. Understanding Minnesota’s Big Picture is essential to understanding whether options for change are sensible or not.

Crucially important to fiscally efficient redesign of Minnesota government is major change in Minnesota’s property tax and local aids system, which exhibits four problems so serious that Minnesotans should demand property tax and local aids system change.

Specific Minnesota Proposals

The first options for moving Minnesota forward being made available are those developed by STAFS’ founder, John P. James. STAFS intends to make solutions proposed by others available as well, and to take people’s comments on proposed solutions into account in posting revisions to this website. Contact Us with your proposed solutions, or comments on solutions posted here.

Four overlapping proposals (collectively the “James Proposals”) developed by James are below. James Proposal Post-Unallotment Rejection was developed in May 2010 after the Minnesota Supreme Court rejected Governor Pawlenty's use of unallotment to balance the FY 2010-11 budget. James Proposal Light was developed on request in late January 2010 to provide policy makers with a way to get the most future leverage out of fairly simple changes. James Proposal Medium was submitted to the governor and legislative leaders in mid-January 2010 to provide a framework for ending the fiscal crisis without need for judicial resolution of the controversy over the governor’s unallotments made in June 2009. James Proposal Jumbo was submitted to the governor and legislative leaders in December 2008, and then in revised form in March 2009 as a result of further design work. Labeled “Change Minnesota,” it includes most, but not literally all, of the proposals in Light and Medium, and more.

James Proposal Post

The James Proposal Post-Unallotment Rejection lays out a process that could be used to solve the deficit problem for FY 2010-11, mitigate it for FY 2012-13 and avoid the constitutional crisis that may occur if the governor and legislature cannot reach a compromise. The other three proposals remain relevant.

James Proposal Light

The James Proposal Light is a relatively simple option for attacking the budget crisis while simultaneously focusing Minnesotans on deciding what they want, and are willing to pay, for their local governments. The Governor and legislators could pass much of the James Proposal Light without admitting that it really is time to do things differently, and place the entire blame on the fiscal crisis. If asked to propose one thing that could be done in 2010 for positive impact on both the fiscal crisis and Minnesota’s future, James Proposal Light would fill the bill.

James Proposal Medium

Click the link below to view a more robust approach to Minnesota’s future that would accomplish all that James Proposal Light does, and more – James Proposal Medium. This was sent to Governor Pawlenty and legislative leaders in January 2010.

James Proposal Jumbo

Last year’s Change Minnesota proposal includes most, but not all, of the options in James Proposal Medium, and goes into much more detail. If the legislature took advantage of all these change options, and supplemented them with reforms that are mentioned but not detailed in the proposal, it could substantially redesign Minnesota’s state-local government relationship, improve Minnesota’s competitiveness as a business location, and create positive incentives for treatment of the environment, as Minnesota voters made clear they want in passing a constitutional amendment to increase the sales tax for environmental uses and support of the arts. This is James Proposal Jumbo. Click the links below for more details.