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Governor Dayton Vetoes Republican Tax Bill, Urges Minnesota Legislature to Put Kids First with Emergency School Aid

5/17/2018 12:47:59 PM

The Republican Tax Bill would have spent $136 million in the first year alone, including tax cuts and protections for multinational corporations and the wealthiest Minnesotans

Governor Dayton will not sign a Tax Bill until the Legislature passes Emergency School Aid to help schools across Minnesota avoid teacher layoffs, larger class sizes, and program cuts

At least 26 school districts in the Twin Cities and 33 school districts in Greater Minnesota face immediate budget deficits 

ST. PAUL, MN – Joined by students and teachers at Bruce Vento Elementary School, Governor Mark Dayton today vetoed the Republican Tax Bill (H.F. 4385/S.F. 3982), making clear that he will not sign a Tax Bill until the Minnesota Legislature passes Emergency School Aid that would help schools avoid layoffs and program cuts. The Republican Tax Bill vetoed by Governor Dayton would have spent $136 million in the first year alone, and protected multinational corporations from paying nearly $200 million in state taxes on profits they have sheltered overseas. Corporate tax benefits and protections in the legislation would have unsustainably grown to more than $280 million in this biennium and $482 million in the next biennium.

Meanwhile, despite the State’s $329 million budget surplus, and hundreds of millions of dollars in tax giveaways to multinational corporations and the wealthiest Minnesotans, Republican Legislative Leaders have said there is not enough money to provide one-time Emergency School Aid for schoolchildren across Minnesota. In the final days of the 2018 Legislative Session, Governor Dayton is strongly urging Republican lawmakers to reconsider. 

“Last Monday, I said that I would not begin negotiating or sign a tax bill until there is an agreement to fund Emergency School Aid. Instead of working to find common ground, Legislative Leaders have come up with excuse after excuse to ignore this emergency facing Minnesota schools,” wrote Governor Dayton in his veto letter to the Legislature. “I am vetoing this bill because of its misguided priorities for corporations and the wealthy over the education of our children. Yet, I remain hopeful that we can come to an agreement in the final days of the Session to fund Emergency School Aid and provide tax cuts that better serve our Minnesota families.”

Right now, at least 26 school districts in the Twin Cities Metropolitan Area and 33 school districts in Greater Minnesota are facing immediate budget deficits. Without action from the Minnesota Legislature, those deficits could result in hundreds of teachers and support staff being laid off, along with significant cuts to school programs, in the coming year.

Eliminating these expensive tax protections for multinational corporations that shelter money overseas would more than fully fund the $137.9 million in Emergency School Aid that Governor Dayton has proposed, and is so urgently-needed. It would help school districts across Minnesota avoid laying off teachers, increasing class sizes, and eliminating programs for students.

At Least 59 School Districts Face Budget Deficits or Cuts Next Year

School districts across Minnesota are struggling to address immediate budget deficits. According to surveys from the Association of Metropolitan School Districts and the Minnesota Rural Education Association, at least 59 Minnesota school districts have deficits that could result in staff and program cuts in the coming school year. More information about which school districts are facing deficits is included below, with new information verified by the Minnesota Department of Education. These districts alone have budget deficits totaling $127.3 million for next year. 

School District

Budget Deficit









Battle Lake












Cannon Falls


Columbia Heights






East Carver City


Eden Valley-Watkins




Elk River




Forest Lake




Grand Rapids


Heron Lake-Okabena








Inver Grove Heights


Lake City


Lake Superior


Maple Lake
























Rosemount-Apple Valley-Eagan








South Saint Paul


St. Cloud


St. Francis Area


St. Louis Park


St. Paul




United South Central


Willow River





$127.3 Million


About Governor Dayton’s Emergency School Aid Proposal

Governor Dayton’s Emergency School Aid proposal would increase school funding by 2 percent, resulting in $124.1 million in new one-time aid to school districts in fiscal year 2019, and $13.8 million in fiscal year 2020 (formula aid goes out to districts on a 90/10 basis – 90 percent in first fiscal year and 10 percent in the following). This new funding amounts to an additional $126 for every student in Minnesota. More information about Governor Dayton’s proposal is below.

·         Open Letter to the People of Minnesota – To read Governor Dayton’s letter to the people of Minnesota, asking them to urge their legislators to support Emergency School Aid this session, CLICK HERE

·         Governor Dayton’s Emergency School Aid Proposal – To learn more about Governor Dayton’s proposed Emergency School Aid, CLICK HERE 

·         Look Up How Your School District Would Benefit – To see how local school districts across Minnesota would benefit from Governor Dayton’s Emergency School Aid proposal, CLICK HERE.

·         Governor Dayton’s Proposed Investments in Education – To learn more about all of Governor Dayton’s proposed investments in education, CLICK HERE.

·         More Information about the Republican Tax Bill – To learn more about how the Republican Tax Bill put corporate profits ahead of the needs of our kids, CLICK HERE. 

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