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ani Q from the June 30th DAYTON SHUTDOWN SPEECH #1 The “GOP all-cuts budget” LIE The “Dayton Rory en eae A tod The “I Came So bY ae ot My Fault” dA “Our major difference remains the same. It is the difference between my balanced approach of significant spending cuts combined with income tax increases only on the very wealthiest Minnesotans, versus the Republicans’ “all-cuts" budget.” FACT: The Republican budget ($34.6B gross, $33.939 net) is not “all cuts.” Itrepresents a 6% increase in spending from FY 2010-11. “In recent days, | proposed to reduce state spending by an additional $1.6 billion, It brought my total amount of spending cuts to over $1.9 billion. Those cuts reduced my proposed budget to $35.7 billion, slightly lower than the $35.8 billion I offered as @ half-way compromise six weeks ago.” FACT: Never once did Republicans receive an offer with $1.9B in cuts. Governor only agreedto $390M in cuts, less than his budget proposal in January. “Republicans have offered only to forego their $200 million tax cut and add that amount of spending. While welcomed, 200 million is only a small step toward resolving a $5 billion deficit.” FACT: GOP offered $945M in new revenue, gave up tax cuts, and agreed. to spendnew revenue in areas of concern for the governor. The Governor at one time took his tax increases off the table, then reversed himself. “The ‘billion dollar revenue increase" they now claim to have offered consisted principally of two big loans. The first was from our schools; borrowing $700 million by delaying school aid payments. The second was borrowing from future tobacco settlement payments. This does not add revenue, it adds debt. And it’s what got us into this budget mess in the first place. FACT: Itis Governor Dayton who first proposed a$0-50 K-12 shift. The Republicans had concerns about the proposal but agreedto meet him. half-way (60-40 shift) in an effort to compromise. “Icannot accept a Minnesota where young people cannot afford the rising tuitions at the University of Minnesota or a MnSCU campus, so that millionaires do not have to pay one dollar more in taxes. I cannot accept a Minnesota where elderly widows are denied the at-home services that permit them to remain healthy and able to live in their own homes, or a Minnesota where local governments have to further slash their firefighters and police forces, or a Minnesota where special education is being cut, so that millionaires do not have to pay one dollar more in taxes. FACT: The GOP budget passed in May and vetoed by Gov. Dayton would have kept Minnesota open and operating and increased spending by 6 percent, but Dayton continues to say he wouldrather shut down state government than call lawmakers back for a special session or subject the state to Republicans’ ‘draconian’ ways.

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