What’s the Plan?

The democrats at our state Capitol have no idea what they are going to do about the budget deficit. In an act of desperation, all they have come up with so far is to await the Messiah's (Obama's) inauguration to see what they can squeeze out of a federal economic stimulus package to the states. Aside from that, playing the blame game is a carry over from last session where Carol Molnau was dismissed from her job as the head of Transportation. The new scape goat is Commissioner Dan McElroy of the Department of Employment and Economic Development.

I think the democrats should be reminded that a true leader should except all blame and pass on all credit. Remember that they have been in control of the House for two years and close to my whole life time in the Senate. Yet they continue to pass the buck.

In the Governors State of the State Address, he points out that we must reduce taxes on businesses to create job growth and tax revenues to reduce the deficit. Obama plans on reducing federal taxes on businesses for the very same reason. European countries did this a decade or so ago when their tax laws were repressive and businesses were relocating. Despite all of this, Pogemiller and Kelliher continue their partisan bashing of the governor despite what their Messiah even plans for us minions of the state.

Below is from today's Session Daily-Business-Minnesota House of Representatives. You can subscribe to the Session Daily Email Updates here, http://www.house.leg.state.mn.us/list/join.asp?listname=sessiondaily

At a hearing on the state's economic outlook, the chairman of a House division questioned why the Department of Employment and Economic Development has no comprehensive, statewide economic development plan.

"DEED doesn't have a plan. Has it ever had a plan? Does it ever plan to have a plan?" asked Rep. Tim Mahoney (DFL-St. Paul), chairman of the House Bioscience and Workforce Development Policy and Oversight Division.

DEED Commissioner Dan McElroy responded that Minnesota has a diverse business climate with many different regional economies, and said it makes more sense to pursue "regional strategies" within the state rather than a single overarching plan.

The two spoke at a hearing on how recent national economic trends have impacted the state's business activity. No action was taken.

McElroy and Commerce Department Commissioner Glenn Wilson testified that the state's credit markets have tightened in response to the recent housing market crash and the ensuing Wall Street bailout, causing an economic slowdown. Mahoney suggested the state should have a unifying plan to promote an economic recovery.

McElroy countered that the department's programs had been developed over a long period of time, and that many were designed to meet specific needs. He said changing or consolidating programs might not be advisable.

"It is a big and complex state, so having a lot of programs, we do our best to make them fit the needs where we can," he said.

Meanwhile, Rep. Steve Gottwalt (R-St. Cloud), the division's lead Republican, suggested that any economic recovery plan should include some kind of tax relief to businesses.