3/21 Floor Session HF1777 (Skoe) Omnibus Tax Bill A44 Amendment (Skoe) This would lower the

e threshold for the estate tax from $5,000,000 to $2,000,000. In other words, the bill had started taxing estates once they were over $5,000,000 and the amendment would lower that to $2,000,000. This would particularly affect large landowners and MN family businesses. This amendment would result in an additional $44,000,000 in tax collection on Minnesota estates. In the wake of $1.2 billion in over-taxation this session, the DFL majority decided they would like to give back $44 million less than they originally planned. I voted No The amendment passed 33-30 A38 Amendment (Ortman) This would apply federal conformity on the marriage penalty retroactive to tax year 2013. This would give MN families a tax savings of over $70 million. It uses money the DFL is attempting to put into additional reserve. I voted Yes The amendment failed 30-34 A30 Amendment (Nelson) This would apply the up front sales tax exemption for capital equipment according to the enactment date in current law (August 2014). The current bill put together by the DFL delays this exemption over a year to (July 2015) at the expense of MN businesses and farmers so they can spend more in this biennium. It would use the money that was allocated to increase the state reserve to provide $64 million in tax relief. I voted Yes The amendment failed 30-34 A50 Amendment (Gazelka) This would exempt military pensions from income tax. This would result in $24 million dollar tax reduction for military pension recipients. I supported this amendment although it picks winners in the tax code. There is no sound tax policy justification that would allow one class of citizens to earn tax-free retirement. We should remain committed to reducing overall tax burdens for ALL citizens. By creating more tax winners, we create less advocates for comprehensive tax reform by eliminating their stake in a just and equitable tax code for all. Ultimately, I decided that reducing the net tax burden and reducing the

states ability to spend more money over and above the billions in spending increases already brought on by the DFL budget was worth supporting. I voted Yes The amendment failed 28-35 A36 Amendment (Benson) This would use the money dedicated to reserves to provide a tax reduction by eliminating the farm equipment repair tax retroactive to the beginning of fiscal year 2013. This would provide about $57 million in tax relief. I voted Yes The amendment failed 28-36 A35 Amendment (Nienow) This would eliminate the $90 million Senate Office Building from last years tax bill. Sen. Latz brought a point of order under Rule 7.4 that the bill violates Senate rules. President Pappas ruled the amendment in violation of the rules. This is a dramatically expansive interpretation of the rule. This ruling goes so far that you can essentially not repeal any element of existing statute with that has an appropriation with a purpose. In my opinion, a blatantly partisan ruling. The ruling was appealed to the body. A Yes vote upholds the ruling of the President and a No vote would overturn the ruling. I voted No on the ruling of the President The ruling of the President was upheld 37-26 A41 Amendment (Ortman) This would repeal the estate tax altogether. This would result in tax savings to Minnesotans of $141 million in 2015. I voted Yes The amendment failed 26-37 A39 Amendment (Nienow) This would require that school board members seeking to enact levy increases granted that authority in the bill would have to stand for election first. This amendment failed on a voice vote. I voted Yes A48 Amendment (Dahms) This would require the supplemental county aid given to select counties in the bill would go to every county that have federally recognized

American Indian tribes in the same manner and in similar proportion to the counties receiving aid in the bill. This does not increase the appropriation in the bill but rather divides the current spending amongst all qualifying counties, not just those that are named in the bill. This bill is a simple matter of equitable public policy, if the program is good for Beltrami County and others, all other counties with the same qualifications should receive a share of the aid. The amendment failed on a voice vote. I voted Yes A51 Amendment (Nienow) This would eliminate the provision within the bill that gives the executive branch the ability to automatically set a target reserve amount. This bill removes legislative authority to appropriate and direct state funds. This is a give-away of legislative authority to the executive branch as well as a mechanism that claims revenue that most often should be returned to MN taxpayers. I voted Yes The amendment failed 25-38 HF1777 Final Passage This bill results in a net tax reduction of $426 million. While the bill includes some items that are not good policy, namely the expanded levy authority for local school districts and an autopilot increase in the reserve fund that eliminates legislative authority to some degree. In the end, the choice is between current law, and this bill. Current law will level a half a billion dollars in taxes against Minnesotans that this bill removes. An imperfect reduction in taxes is better than the status quo of higher rates for families and businesses. It is worth noting that this reduction represents only 1/5th of the total tax raised by Democrats last session. We should do more. I voted Yes The bill passed 58-5