During Governor Tim Pawlenty’s administration, Minnesota Republicans backed a “health impact fee” which was in fact a cigarette tax. Now that a Democrat is in the Governor’s seat, Republicans are calling a the same type of increase a tax and are rejecting it as a solution to Minnesota’s budget crisis.
The state government has mostly been shutdown since July 1st since Republican legislative leaders cannot reach a compromise budget agreement with Governor Mark Dayton.
Dayton offered a $1 a pack cigarette tax increase as an alternative to his proposal to place a temporary 2% income tax on Minnesota millionaires.
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