Doepke Wants Compromise Without Tax Hike

State Representative Connie Doepke isn’t a betting woman.

So when asked early Tuesday how long she thought the state shutdown would last, Doepke, a Republican who represents District 33B, was unwilling to place a wager.

“I honestly have no idea,” she said. “We’re doing everything we can to work with the governor right now. I—and everyone, I think—certainly wants to end the shutdown.”

Doepke spent the Fourth of July weekend out in her district, which covers most of the communities around Lake Minnetonka, and said the overwhelming majority of conversations she’s had with constituents in recent days have been with people vehemently opposed to any tax increase—a centerpiece of Governor Dayton’s budget.

“Mostly, people are saying that they want me to stick it out,” Doepke said. “This is a fiscally conservative district with lots of small business owners who are telling me they are only interested in a compromise that does not raise taxes.”

While some “old money” would be impacted, Doepke said well over 50 percent—and closer to two-thirds—of those who would be affected by the governor’s proposed tax increases on the wealthy are small-business owners.

“What they are saying is ‘we are the ones providing the jobs; we are the economic engine,” she said. “These are bright, involved and informed people. They know what’s going on here and think we’ve been reasonable in compromising to give the governor what he wants in most areas.”

Citing areas such as public safety and education, Doepke said the GOP caucus has “matched” the governor on most spending bills.

“To say there hasn’t been compromise just isn’t true,” she said. “I’m happy with the compromises we’ve given so far.”

As it has since negotiations began, the lone roadblock to a budget deal remains taxes. Doepke contends that the “Fourth Tax Tier” the governor wants to create would be the second-highest in the country at a time when 35 other states are reducing taxes or keeping them flat. That, she said, doesn’t wash with the residents in her district.

Stopping just short of saying the governor is waging class warfare on the wealthy residents of the state and in her district, Doepke openly questioned whether the first-term governor understood the broad-stroked ramifications of his fiscal policies. She challenged him to take a hard look at the ramifications his proposals would have on high-earners and the state's private businesses.

“I don’t really know if he’s engaging in class warfare, but he’s from this district,” she said. “He grew up with these folks. People here remember him from when he was young. He went to school in Long Lake. He’s got a passion, but the reality of what he’s trying to do has significant consequences.”

Doepke predicted it would be difficult for the governor to both keep his campaign promise to increase revenue through higher taxes on the wealthy while still avoiding a lengthy shutdown.

“This is going to be a tough one for him. He ran on taxing what he calls the rich," she said. “The governor is responsible for calling us back into session and for calling the shutdown,” she said. “As far as how long it will last, I have no idea. We’re on call.”