Gov. Dayton revised his budget plan in what he says is a compromise with GOP legislative leaders. Dayton still wants to increase income taxes on Minnesota’s top earners but he’s lowering the number of people who will be impacted by the rate.
Dayton now wants his proposed income tax rate to apply to married couples with an annual taxable income of $250,000 a year and single filers with a annual taxable income of $150,000.
Dayton also said he would agreed to $1.8 billion in spending cuts. He also said he would agree to increase the state’s per pupil spending by $50 in FY ’12 and $50 in FY ’13.
“My compromise represents a balanced approach to a balanced budget,” Dayton said in a letter to GOP leaders. I am confident we can resolve our remaining differences in time for you to meet your Constitutional deadline of May 23rd for adjournment.”
GOP legislative leaders met with Dayton earlier this morning but didn’t specifically address Dayton’s proposal. House Speaker Kurt Zellers and Majority Leader Amy Koch repeated their opposition to any tax increases to erase the state’s $5 billion budget deficit.
Update: Here’s his letter: