(Breaking news makes me skip to today, but we'll backtrack if needed for more details later.)

At about 10am this morning, on Day 14 of the shutdown of Minnesota state government, Governor Dayton sent a letter to GOP leaders saying he was accepting their last offer from before the shutdown ... with conditions.  The conditions included some state bonds for capital projects and a laundry list of policy provisions within the Republican budget that Democrat Dayton would not want.  After three hours of talks between the Speaker, Kurt Zellers, Senate Majority Leader Amy Koch, and Governor Dayton, a framework has been agreed to.  "It was about making sure that we get a deal that we can all be disappointed in, but a deal that is done," said Zellers.  "A budget that was balanced, a state that was back to work."

From Rush Limbaugh trumpeting that Dayton "caves" to the tweets of many DFL legislators and swift condemnation of the deal by the unions, it appears to most a victory for Republicans.  The two DFL legislators I spoke to today were both very upset with their party's governor.  An initial proposal for $4.1 billion in new taxes from Dayton lays in dust.  Spending rises a little more than inflation, but when you include all funds (states often have highway funds and other funds that add to their general spending) the growth is under 4%.  

Beyond consternation from his allies, the overriding question of the day is, Why?  Why would the governor, who had argued for a hard shutdown of state government, double back to an offer he had before the shutdown?  That's hard to say.  There were three things I point to:

  1. Shutting down is hard to do.  The news of the day yesterday was that, because Miller/Coors had not properly paid for its licenses to sell brands in the state (cost $30/year), all the beer would have to be taken off the shelf.  (I thought this guy couldn't move that fast.)  A larger issue was that $20 "buyer cards" for liquor stores had not been mailed before June 30, and that neighborhood stores would therefore start to not carry liquor to sell.  Meanwhile, many other things that Dayton had wanted shut down were being reopened under a judge's orders.  The list of things that were determined "critical" by the judge ended up covering over 90% of government.  The only thing really shut down was employment of state workers, almost 22,000 of them.  
  2. Dayton tour turns south.  After sticking to the governor's residence or Capitol office for ten days, the Governor decided to try seeing people around the state, to make a case against the GOP.  I attended the first one he gave.  It was full of those same workers, along with parents of children with special education needs who were unhappy with the GOP K-12 budget.  I was there.  I thought the first 45 minutes was a good presentation of their case for higher special education funding.  But then they permitted audience questions, and the problems with the shutdown came up.  My read of the governor at that moment was that he was aggrieved.  He was here Tuesday, went to southern Minnesota yesterday, where a tea party greeting probably was uncomfortable for him.  His tour was supposed to continue in the state today and tomorrow, but he has now ended it.  Did the sights and sounds convince him it was time to end?  
  3. Compromising against yourself.  The offer the governor received on June 30 was the last one he got.  In a Diary I have yet to finish, I would have told you that the offer he accepted today was one that replied to the only time he had made an offer that didn't have new taxes in it.  He then reversed course and put taxes back on the table, not even 10 hours after he removed them.  Will any of us know what he was thinking that day?  I don't know.  What I know is that from that moment on, he started to walk back from the precipice he pushed the state over by shutting down state government.  Offers came to use tobacco taxes rather than income taxes.  Then a general "I need more revenue, and it should be taxes, but I'll leave which taxes up to you."  Rather than respond with counteroffers, Koch and Zellers let the quiet do the talking.  This may have lead the governor back to the June 30 offer.

It was an odd day for me.  I had been asked to appear on statewide public radio with other GOP freshmen to discuss the budget and our philosophies.  ("Really, Mr. Professor?  Bet that made you giddy!" -- Ed.)  Governor Dayton offered the new plan while I was driving to St. Paul in a hard rain listening instead to Ricochet.  While I'm looking for parking, I finally check my cellphone.  Run in to the studio and find out the plan's changed.  Of course since Gov. Dayton had accepted an offer we had already discussed a couple weeks ago, it wasn't that hard to do.  But there are some damn fine notes sitting in my car if anyone wants a philosophy guest.

There's much work to be done; some of those policies that Dayton wants dismissed matter deeply to many GOP members, and maybe a few will make it in to final bills.  One of the most tedious and magical things I see in the Legislature is the Revisor's Office and their ability to take little more than my scribbles on a Post-It and make bills and amendments.  They will be up all weekend making perhaps 1000 pages of legislation for us to see ... and yes, I'll read it. I'll hold back final judgment until I see the details, but most likely this will be done by this time next week ... I think.  There have been so many twists and turns, who knows if there might be another.  Stay tuned.

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dogsbody
Joined
Sep '10
dogsbody

It sounds very promising, and it's great getting an inside look like this.  Thanks.

Duane Oyen
Joined
May '10
Duane Oyen

I'm counting on you, King. And tell Joyce P. that I'm looking over her shoulder....


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