MN GOP Running Again on Taxes? Yes, Please!

Minnesota Republicans think they have found a golden issue to run on in 2024. In the 2022 elections, campaigning on interfering with women’s healthcare decisions, blocking gun protections, banning books, censoring teachers, and championing insurrectionists didn’t go that great for them. Therefore, Republicans have settled on an old reliable “bread and butter” issue — fighting to cut taxes for the wealthiest individuals and corporations.

Bam! Take that, big-taxing progressives. Here come the trickle-down “Reagan Republicans.”

The problem is that this isn’t 1984, and most Americans do not want the wealthiest and corporations to have lower taxes. According to a March 2023 Pew survey, a jaw-dropping 83% of Americans are bothered — 61% “a lot,” 22% “somewhat” — that “some corporations don’t pay their fair share of taxes.” A nearly identical number are bothered that “some wealthy people don’t pay their fair share.” Only 17% agree with Republicans on that issue.

Looking at these numbers, you would be hard-pressed to find a worse issue for Republicans to emphasize during the 2024 elections. DFLer activists should consider contributing to Republicans who are paying to put their “shame on the DFL for taxing the wealthy and corporations” messages in front of voters. That messaging does Republicans much more harm than good.

If only Minnesota DFLers had a way to show the swing voters who will decide close races how they are fighting to ensure that wealthy people pay their fair share of taxes to support state infrastructure and services.

Enter the Institute on Taxation and Economic Policy (ITEP). The national think tank recently found that Minnesota currently has the #1 most equitable state and local tax system, thanks to changes made by DFLers.

How does Minnesota have a more equitable system than other states? The breakdown for Minnesota by the Minnesota Budget Project shows that Minnesota’s highly progressive state income tax offsets out highly regressive sales and excise (e.g. alcohol, tobacco, gasoline) taxes. 

You may recall, that in 2020 GOP gubernatorial candidate Scott Jensen and his followers ran on eliminating that state income tax. That 2020 election didn’t go particularly well for Johson and his party.

Based on the polling and Jensen’s shellacking, shouldn’t Minnesota’s tax fairness ranking be something that DFLers tout to the 83% who agree with them? Shouldn’t they “go on offense” on this issue?

Is Minnesota Really A “Big Spending” State?

This past winter and spring, the DFL-controlled state House, Senate, and Executive branch produced much more for ordinary families than Republicans ever did when they were in power.  It’s not close.

As a result, things are getting heady for Walz and DFL legislators. To cite just one example of the national acclaim they’re getting, Washington Post columnist E.J. Dionne recently lavished praise on the Minnesota DFL’s 2023 legislative tour de force with a sloppy wet kiss of a column.

“The avalanche of progressive legislation that the state’s two-vote Democratic majority in the Minnesota House and one-vote advantage in the state Senate have enacted this year is a wonder to behold.

It’s no wonder former president Barack Obama tweeted recently: ‘If you need a reminder that elections have consequences, check out what’s happening in Minnesota.’

Democrats in the state are known as the Democratic-Farmer-Labor Party from their merger with a third party in the 1940s. True to the name, the party’s agenda combined social concerns such as abortion rights with what Long called “bread-and-butter, populist things that sell everywhere in the state.”

Well, E.J., thanks to the rural-urban division that the Minnesota Republican Party relentlessly promotes on the campaign trail, the DFL achievements don’t actually sell well “everywhere” in the state.  According to an early May 2023 KSTP-TV/Survey USA poll, Walz still has much lower approval ratings in rural parts of the state (51% in the southern region, 42% in the western region, and 46% in the northeastern region) than he has in the Twin Cities seven-county metropolitan area (60% approval).

Still, Governor Walz’s 2023 performance is selling relatively well statewide. He has the approval of 54% of Minnesotans, compared to the disapproval of 41%. In a purple state that Trump only lost by 1.5 points in 2016, Walz’s 13-point net positive approval rating is impressive. Progressivism is selling pretty well in this purple state.

However, the political debate is just heating up. We can expect Republicans campaigning in 2026 to focus on the unpopular, vague notion of “government spending increases,” rather than the DFL’s specific policy changes.  After all, polls show that individual DFL-enacted achievements are popular. For instance, 80% of Americans support paid family and medical leave, 80% of Americans support more child care assistance for families, 76% of Minnesotans support universal background checks for gun purchases, and 69% of Americans support more school funding, to name just a few of the many popular policies that DFLers passed during the 2023 session. Therefore, Republicans will focus on how much more the DFL-controlled state government is spending, not the DFL’s signature policy achievements.

It is true that the state budget is increasing under DFLers in 2024. But is state government spending really that high?

According to usgovernmentspending.com, state spending in Minnesota in 2024 will be 10.15% of the state’s GDP, making it a middling 25th among the 50 states. Yawn.

So, sure, our Republican-controlled “race-to-the-bottom” neighbors in Iowa (9.87% of GDP), Wisconsin (9.64% of GDP), North Dakota (9.08% of GDP), and South Dakota (8.12% of GDP) are spending less than in Minnesota. No surprise there.

But state spending in Minnesota is nothing like what is happening annually in the top ten states of New Mexico (17.64%), Alaska (16.96%), West Virginia (16.42%), Vermont (16.12%), Hawaii (15.88%), Kentucky (15.18), Oregon (15.14%), Mississippi (14.94%), Louisiana (13.78%), and Maine (13.51%).

Despite Minnesota Republicans’ red-faced hyperbole about the DFL’s “out of control spending,” in a national context Minnesota is, meh, just average.