February 18, 2009: Legislative Report #21

State Funded Entaglements

On Tuesday 2/17/09 10:30 AM in room 10 state office building the House Tax Committee held the final meeting to evaluate the governor’s budget proposals.Over the decades, the legislature has developed many supportive programs. Cross over, interdependency, multiple usages, of state funded services, programs, facilities or resources complicate any attempt at reducing state funding. Any cut or reduction on a funded program now essentially affects multiple other city, county, state and national government programs. 

An example of entwined state programs is the Minnesota Forestry Preservation Program. In this program, the state pays an annual per acre fee to private participants on several million acres. In exchange for the fee, the private landowners keep the property a managed forest. Over the last decade, the state payment program has increased from three million dollars to eleven million dollars in 2010. The governor’s budget proposes to reduce funding the forestry preservation program by 75%.  

Four large business landowners control some 800,000 of forest acres in the program. Over the years, the four companies have changed ownership several times, resulting in disinterested national corporations or international landowners. Because of the international economic environment, the large landowners are looking to withdraw from the forestry program, sell off the land for a variety of reasons.

One such company is in negotiations with Minnesota to sell their property to the state. The state is looking to use over $60,000,000.00 of the new illegal 2008 Constitutional Amendment tax increase, and purchase the companies property in the Forestry program. A move to purchase the land will result in annual increased cost to Minnesota managing the property, currently done by the property owner.

At the meeting on Tuesday 2/17/09, both Democrat and Republican members stated this forestry program must maintain funding. The universal argument at the committee meeting became, over time, other county and state funded programs like hunting, fishing, camping, snowmobile, and other recreational activities started using the property with an expectation of eternal right to access the property. Now, to many groups demand accesses to this property for legislative leaders to lead and cutback the program. If not this program then which one, if not now then when.

Entangling alliances are pervasive throughout state government. Minnesota has no choice but to balance the budget. Minnesota must reduce every state expense, even at the convenience of some pleasurable tax funded activity up north.

Our founding fathers made clear the intent of our constitution, by limiting the eternal efforts of government to entangle into the affairs or her citizens lives. The example given above is reflective of complexities created, and unintended consequences resulting when government exceeds constitutional authority.