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Minnesota Shutdown 2011: Budget Dispute Takes Toll On State Workers, Local Residents

Minnesota Shutdown 2011

First Posted: 07/02/11 02:10 AM ET Updated: 08/31/11 06:12 AM ET

The post and live blog below are a collaboration between Patch and HuffPost reporters.

Minnesota is encountering its second government shutdown in six years after Governor Mark Dayton (D) and state lawmakers failed to reach an agreement in negotiations to close the state's $5 billion budget gap late on Thursday night.

Richfield Patch reports:

...Dayton told MPR News on Friday that budget negotiations between himself and GOP lawmakers need a “breather.”

The governor said he is willing to listen to proposals and even meet with Republican leaders over the weekend but if no offers were made he would “reach out” to them sometime on Tuesday.

The governor met with DFL leaders around 9 a.m. [CST] Friday but details of the talks are being kept strictly confidential. According to KSTP-TV, Dayton has been in his office all day working on a compromise deal.

The situation unfolding is already taking a toll on public workers and residents across the state.

Reuters reports:

Parts of the government had already begun to shut down on Thursday ahead of the midnight budget deadline, including some websites and dozens of highway rest stops on one of the biggest travel days of the year.

The budget impasse means that some 23,000 of the roughly 36,000 Minnesota state employees will be furloughed and state parks and campgrounds closed ahead of what is usually their busiest stretch of the year for the July 4 holiday.

Reading services for the blind are being suspended due to the shutdown, the AP reports. According to St.LouisPark Patch:

The state shutdown will have a very real impact on the St. Louis Park Emergency Program’s food shelf, especially if the shutdown drags on.

Roughly 26 percent of the nonprofit food shelf’s regular food supply comes free of charge from a federal program that supplies USDA commodity items to states for distribution, said Kate Burggraff, who is the food shelf manager. With the shutdown in effect, that food won’t come STEP’s way, meaning the food shelf could see its average monthly food expense of between $5,000 and $6,000 double in July, which is generally a busy month to begin with.

Dayton and Republican lawmakers signaled on Friday they had no intention of holding discussions to resolve the ongoing budget dispute over the July 4 holiday weekend.

Below, a live blog of the latest developments to unfold in Minnesota.

live blog

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Rep. Kurt Bills writes today on Rosemount Patch:

"A true budget solution not only balances our bottom line today, but it puts us on track for sustainability. The state budget package we passed this week gets us pointed in the right direction."

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Patch's Jeff Roberts reports:

“Welcome back. We missed you,” was the first thing Department of Natural Resources (DNR) Commissioner Tom Landwehr said before announcing that the opening of Minnesota state parks, forests and facilities is ahead of schedule. Originally scheduled to open at 8 a.m. Friday morning, Landwehr reported that as of 11 a.m. Thursday morning, 11 state parks are fully open, with an additional 15 parks partially open.

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Apple Valley Patch's Allison Wickler reports:

School administrators for District 196 will be meeting today to learn more about the state budget’s impact on local education. "I would say it’s certainly going to have an impact on schools," said Tony Taschner, communications director for Rosemount-Apple Valley-Eagan public school district.

The state government opened for business Thursday, a day after Gov. Mark Dayton signed into law budget bills that will affect everything from schools to health care in terms of state operations. Taschner said Thursday that a delay in school funding is "just further... delaying the problem."

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The AP reports:

Minnesota state workers returning to their offices after a three-week government shutdown will soon have to start processing a host of policy changes included in a pile of budget bills passed by the Legislature and signed by Gov. Mark Dayton.

One major change in the education budget bill is a new method of evaluating public school teachers that more closely ties their job status to student performance. The new system won't be fully in place until 2014.

Supporters say it's aimed as much at rewarding good teachers as disciplining bad ones. But the chief Senate sponsor says it should give local districts more latitude to get teachers out of classrooms if they consistently fail to improve student performance.

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Minnesota Public radio reports:

After three weeks of a government shutdown during which more than 20,000 state workers sat at home laid off, and state parks, rest stops and countless other operations sat idle, many Minnesotans are angry the people they elected to balance the state budget failed to do so.

Again, Minnesota lawmakers plugged a budget gap with short-term fixes. Rather than making structural changes in the way the state spends and collects money, more payments to schools will be deferred and future tobacco-settlement proceeds will now be tapped for cash.

As a likely consequence, the state's budget problems will return, and that fact hasn't been lost on voters who may remember the gridlock that dominated St. Paul on their next trip to the polls.

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Burnsville Patch's Clare Kennedy reports:

A group of Republican lawmakers today announced a plan that would effectively end state government shutdowns. Under the proposal, if a budget agreement isn’t reached by the end of the legislative session, funding for state services would continue at previous levels.

However, at least one of their colleagues believes a repeat of the 2011 shutdown is not in the cards. Burnsville Rep. Pam Myhra said all involved learned a lesson, albeit the hard way. "One thing I've heard is that the negotiation process (over the last few days) was a positive experience, with a good discussion and lots of give and take.

I think the shutdown was a shame -- unfortunate and unnecessary," Myhra said. "But hopefully this has been a good learning experience that will encourage us to work it out earlier, rather than to push it out and try to make a statement. I don't think it would happen again. It's been very painful for a lot of people."

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Richfield Patch's Caitlin Burgess reports:

"The bottom line is the governor agreed to accept a Republican budget plan by accepting this idea of borrowing money to balance the budget," Thissen said. "After Republican legislators were given seven options to do it in a permanent and more responsible way, he agreed. That’s why DFL legislators were told to leave the room. We didn’t have any part in the final negotiation of bills."

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The AP reports:

Minnesota's government is reopening for business after a nearly three-week shutdown closed state parks, laid off some 22,000 public workers and demonstrated the wide reach of state agencies.

Most state employees were told to start reporting to work at 7 a.m. Thursday, a day after Gov. Mark Dayton signed a budget deal that ended the nation's longest state government shutdown in a decade. It also cost Minnesota millions in lost revenue.

Not all services will resume quickly, and the work backload is expected to be large, but the recalled workers will restart a slew of services from the lottery to enabling licensing for drivers and anglers.

Even horseracing enthusiasts will have their fun back because the shutdown, in one of many examples of the government's reach, forced Canterbury Park horse track to close after state gambling regulators were laid off. It cost horse owners and jockeys more than $1 million in purses and put about 1,000 people out of work.

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Burnsville Patch's Clare Kennedy reports:

Rep. Pam Myhra (R-Burnsville) was working on five hours of sleep when she spoke with Burnsville Patch. "I don't think any of us —the governor included— think we got everything we wanted," Myhra said. "I'm not worried about [backlash]. I'm not in it to be re-elected. I'm here to stand on principle. My goal to have sensible state spending and protect families from tax increases. I want to champion those principles. I will let the election take care of itself."

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Northfield Patch's Zac Farber reports:

Rep. Kelby Woodard who represents Northfield said "My constituents are ready for the government shutdown. I am as well."

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Eagan Patch's Zac Farber reports:

Sen. Ted Daley, who represents Eagan, said the state could avoid future faceoffs like this and plans to introduce legislation that would prevent a government shutdown again. A shutdown was "certainly not anything that anybody wanted," Daley said.

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Hopkins Patch's James Warden reports:

Rep. Steve Simon (DFL-District 44A) and Sen. Ron Latz (DFL-District 44) are glad the shutdown is in the past but unhappy with the way the final budget relies so heavily on cuts and borrowing.

“This is regrettable because there were better ways to do this fiscally,” Latz said. “The reduction is two-thirds cuts and one-third borrowing, and to me, this is like paying your bills with a very high interest credit card.”

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Minnetonka Patch's Katelynn Metz reports:

Although the ink is now dry on the state’s budget and the government shutdown has officially ended, implications of the shutdown may be far from over for the city of Minnetonka—and its budget.

The reason: the Minnesota Department of Transportation (MnDOT) stopped work on the Highway 169/Bren Road interchange project during the shutdown. City officials said the decision was avoidable, and warned it could be expensive. And now, Minnetonka is considering taking legal action against MnDOT.

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Oakdale Patch reports:

Rep. Nora Slawik said many of the 12 bills that passed the Minnesota Legislature Tuesday were hastily written and Democrats were excluded from helping write them.

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Roseville Patch's Zac Farber reports that Reps. Bev Scalze and Mindy Greling both expressed disappointment in the final outcome of the government shutdown.

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Sen. Scott Dibble, who represents Southwest Minneapolis, said Tuesday the new budget deal that ends the state government shutdown was the product of extremist views held Republicans in the state legislature.

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MInnetonka Patch's Katelynn Metz reports:

Sen. Terri Bonoff (DFL-Minnetonka) told Patch that the budget solution doesn’t solve the real problem: a swollen budget with few long-term fixes. “The gap that we have fixed has been fixed with one time money…with a Band-Aid and we’ll bleed more next year,” she said. “We still don’t have revenue that’s in line with our projected expenditures…This is a solution that is not fiscally responsible.”

Rep. John Benson (DFL-Minnetonka) said he was "disappointed" with the final budget. "We’re now stealing $2.3 billion total from our school children -- with no way to pay it back. We’re borrowing $700 million from future revenue that isn’t guaranteed -- putting more debt on our children," he said. "We’re almost literally mortgaging the future of our state. This is the height of fiscal irresponsibility and our state will be paying for it for decades to come."

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Rosemount Patch's Jennifer Pfeffer reports:

Leprechaun Days is only a few short days away. This 10-day long celebration begins on Friday and runs through Sunday, July 31. However, that is a little too soon for vendors participating in the festival.

Due to the state government shutdown, vendors are unable to obtain the required electrical permits from the state and, instead, must purchase them through the city. On Tuesday, the City Council voted to decrease the permit fee for vendors from the usual $55 to match the state fee of $35 for this year only.

Read more here.

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Rep. Keith Downey of Edina said Tuesday that while he's not 100 percent happy with the outcome of the special session budget deals, he felt the legislature was finally coming together on an acceptable compromise.

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Maple Grove Patch reports that an upbeat Maple Grove Sen. Warren Limmer said Tuesday he's glad to get the budget bills passed to get Minnesota state workers back on the job.

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Rosemount Patch's Jeff Roberts reports:

Gov. Mark Dayton just signed into law all 12 budget bills passed in the middle of the night Wednesday by the Minnesota House and Senate. Dayton’s signatures ended the shutdown of Minnesota government—at 20 days, it was the longest continuous shutdown of any state government in United States history.

In the end, Dayton kept his promise that he wouldn’t sign any of the bills until all 12 had passed through both houses of the legislature

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The AP reports:

After signing the budget, Dayton said he was "not entirely happy" with it.

"It's not what I wanted, but it's the best option that was available and would be for any time," he said. Dayton said the budget "gets Minnesota back to work."

Details were still emerging Wednesday about how quickly state operations would restart.

A day earlier, Tina Smith, Dayton's chief of staff, told reporters that state employees would get 24-hour notice before reporting back to their jobs.

Jim Schowalter, the state's budget commissioner, added that it will take longer to restart some state agencies than others since some have continued partial operations during the shutdown. He predicted it would take weeks for agencies to work through paperwork backlogs, clean up parks and other sites and return to normal operations.

"There is a backload of work," Schowalter said. "There is a backload of issues that are going to have to be addressed."

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The AP reports:

In less than 12 hours, lawmakers passed nine budget bills that together fund all major state operations. Individually, many of the bills stretched to hundreds of pages, leaving legislative Democrats to complain they were voting based on little knowledge of what was contained within. ..

During floor debate, Republicans tweaked Democrats for voting against the only available option to end the shutdown. A vote against the budget bills "is a vote to continue the shutdown," said House Majority Leader Matt Dean, R-Dellwood.

In addition to the nine budget bills, lawmakers approved a pension bill and legislation allocating dedicated sales tax money to outdoors and cultural programs. They approved a $498 million construction bonding projects bill that includes $51 million for a new physics building at the University of Minnesota, $42 million for a new science and engineering laboratory at St. Cloud State University, $50 million for flood control projects around the state, and $56 million for transportation projects with more than half to local bridge replacement and repairs.

While Democrats bemoaned the spending bills as not generous enough, some conservative Republicans had resisted to committing their support after months in which they insisted no new revenue was needed in the next state budget. But in the end, House Republicans held together on all the budget bills while Senate Republicans suffered only a few defections on a handful of the bills.

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The Star Tribune reports:

The special session concluded just before 3:45 a.m. Wednesday after a marathon of votes on nine budget bills and a $500 million bonding bill. There was little fanfare when the deal was done and lawmakers had erased a projected $5 billion deficit largely through one-time borrowing.

The dormant gears of Minnesota’s government will not start moving until Dayton signs the bills on Wednesday morning.

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Fridley Patch's Jeff Roberts reports:

11:15 p.m. [CST] Tuesday: It took less than an hour’s work for Minnesota lawmakers, who reconvened this afternoon, to pass five bills, the first of several that Gov. Mark Dayton is expected to sign.

The House and Senate took their seats in the Legislature at around 3 p.m., opened the special session, observed a moment of silence for the late Sen. Linda Scheid (R-Brooklyn Park) and then recessed for more than three hours.

When they reconvened at around 7 p.m., they got to work. Within an hour, the Senate had passed six bills; the House had passed five. The Legislature then went into recess again; lawmakers were back at their desks later in the evening.

Click here to read more on the bills and the votes that went down.

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Richfield Patch's Caitlin Burgess reports:

Now that legislators are working to end the state shutdown during a special session Tuesday, the Minnesota Historical Society announced it will reopen all 26 of its historical sites and museums throughout the state Saturday.

Including Fort Snelling, where Rachel Gonzales and Adam Hanneman were supposed to get married July 16. Unfortunately, this news comes a little too late for the newlyweds, who found an alternate location to continue with the Saturday wedding.

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Mendota Heights Patch's Danielle Cabot reports:

Mendota Heights-area legislators said during today's recess that they aren’t thrilled with the source of revenue being used to balance the budget and end the state shutdown, and they’re not too happy with how the process has worked to the exclusion of the public and most legislators.

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St. Michael Patch's Jeff Roberts reports:

Once Gov. Mark Dayton received the final seven bills, he will sign the package into law and the shutdown will come to an end. Money could start flowing to state agencies as soon as late Wednesday.

"We're confident [the shutdown will come to an end], yes," said Senate Majority Leader Amy Koch, who represents St. Michael. . "We've been busy caucusing and our membership is on the same page. There's mixed emotion. We were really excited about the bills we (had) passed in May. But there are still reforms in this package. We're excited to see the effect of those reforms."

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The AP reports:

An end to Minnesota's nearly three-week-long state government shutdown came into view on Tuesday, when Gov. Mark Dayton called the Legislature into a special session to vote on a budget deal.

The 19-day government stoppage has sullied Minnesota's good-government reputation, while disrupting lives and businesses around the state.

It will be over only after both chambers of the Republican-controlled Legislature approve nine budget bills and Dayton, a Democrat, signs them into law. Legislative leaders and Dayton agreed before the votes began to limit the scope of the special session and lawmakers' ability to tinker with the bills in an effort to keep the budget pact from unraveling once 200 legislators get involved.

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St. Michael Patch's Mike Schoemer reports:

Rep. Joe McDonald (R-Delano) of District 19B–which includes St. Michael-Albertville–said he has some "concerns with some of the provisions of the final budget agreement, but is glad to see "progress." He said he hasn't read enough of the framework to give his full opinion on the negotiated agreements.

Click here to read more.

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The post and live blog below are a collaboration between Patch and HuffPost reporters. Minnesota is encountering its second government shutdown in six years after Governor Mark Dayton (D) and state...
The post and live blog below are a collaboration between Patch and HuffPost reporters. Minnesota is encountering its second government shutdown in six years after Governor Mark Dayton (D) and state...
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03:37 PM on 07/12/2011
Ann Rand was a wacko fascist
03:35 PM on 07/12/2011
Why has there been absolutely no discussion about recalling the republican legislators for nonfeasance. The only real duty of the legislature is to pass a budget.
04:57 PM on 07/07/2011
Republicans need to learn that their blustering and bullying is noticed and that words count. If they point a gun and state they are willing to shoot ... then -- they got what they were holding the State up for. Republicans got what they wanted. Now they can shoulder the blame and figure out how to fix it. The governor is right on target. Sure wish the President would do the same.
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Coyote50
"Taxes are the price we pay for civilization."
09:06 AM on 07/06/2011
Here's what T-Pawlenty did to Minnesota:

We were in a deficit position from 2003 on – long BEFORE the recession because of his budgets.

Moody’s downgraded us from our AAA rating and we now pay higher interest.
Pawlenty used accounting tricks to so-called "balance" the budget: "borrowed" $1B designated for healthcare - $1.4 B from K-12 education - $400M from low-income families health fund - delayed $152M in sales and corporate refunds - $2.3 B in stimulus funds (after criticizing the stimulus).

Our propery taxes went up $700M in the 8 years before T-paw -then went up $2.5B during T-paw’s 8 years!

Left us with $5B deficit.

Sound familiar? This is what the Republicans do. Trash the economy, whether state or federal, and then the Dems have to come in and fix it - like Pres Clinton did. Then the Republicans come in and trash it again. I hope Gov Dayton continues to hold out for taxes on the wealthy.
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HUFFPOST PUNDIT
cybersense
07:34 PM on 07/05/2011
There seems to be some misunderstanding and some purposely misleading comments on this thread. 

Having those who are making a million or more a year in taxes (while keeping those special other tax breaks) is a small pitch in effort and in no way is it meant to cover the whole deficit. As of right now, as well as a few days ago, the standoff of what is left of negotiations is about 1.8 million. Carlito  and a few others keep using the larger figure, without understanding, or some actually trying to mislead saying it is something different.
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HUFFPOST PUNDIT
cybersense
10:11 PM on 07/05/2011
million s/b billion.
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HUFFPOST SUPER USER
vobox3343
Each day is a new day - make the most of it
11:48 AM on 07/05/2011
How much more suffering would the Republicans care to inflict on the masses? They continually act like they left us a surplus and Obama blew it. They have history to remind them of what happened when the Congress of the 30's took up huge deficit cutting measures during economic collapse, but choose to ignore it; and so do their followers. What kind of aliens are these?
11:33 AM on 07/05/2011
Pay attention America. When you consider voting for Gov. Tim Pawlenty to be the next President of the USA, remember he has one very well-honed asset: a large right foot that knows how to kick a ball down the road. Minnesotans got tricked into voting for Mr. Big Foot. Don't make the same mistake.
08:49 PM on 07/05/2011
No one is considering voting for T.Paw.
11:13 AM on 07/05/2011
I just read in the Bible... 1st Timothy 3:10b...that if any would not work, either should he eat... The government should not provide welfare to the people unless they qualify for disablities.. I actually know tons of people who CHOOSE not to get a job because they love getting free money from the government. People choose to live in Minnesota because it is the easiest state in USA to get welfare in. Yes, they are true needy people who cannot work and yes the government should care for them.. but there are soo many that CAN get a job but CHOOSE not to. My argument is that whoever gives out welfare should double check to see if that person qualifies for it or not. The government shutdown would not be as affected if everyone did not depend on welfare if they really did not need it.
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HUFFPOST SUPER USER
vobox3343
Each day is a new day - make the most of it
11:51 AM on 07/05/2011
What parts of the Bible that would pertain to you did you simply gloss over?
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HUFFPOST SUPER USER
fredisfred
02:37 PM on 07/05/2011
Yadda yadda yadda. Jesus also told his disciples to give all their money to the poor and needy. But I guess you conveniently ignore that bit.
11:19 PM on 07/05/2011
No I did not. There are truly poor needy people who needs welfare. All I meant was that I see people taking advantage of the welfare. I see people who CAN get a job get free money from our taxes that we are paying. That is what is upsetting to me. And Jesus did not say..."Give money to those who are lazy and do not deserve it."
11:10 AM on 07/05/2011
Fact of the matter is Dayton wants to impose a new tax law that will negatively affect 7700 residents of Minnesota and doesn't balance the budget. If that were for anything other than confiscating money from the rich everyone would be crying foul. If this was something that affected 7700 people of a certain race or religious sect it would be unconstitutional. We can't compromise and live together if we all live by a different set of standards based off our success and economic standing. That only creates jealousy and division.
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GeorgieGirl9
Liberty, In God We Trust, and E Pluribus Unum
11:19 AM on 07/05/2011
Well said.
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HUFFPOST SUPER USER
fredisfred
02:40 PM on 07/05/2011
Guess you enjoy paying more taxes than your rich buddies, eh?

Poor widdle millionaires, how dare someone expect them to pay their share of taxes.

Quick, somebody call the waaaaaaaaaahmbulance!
06:21 PM on 07/05/2011
No i just don't think people that don't pay into taxes should be getting checks in the mail while we shakedown anyone that has ever been successful. Until they start to look at peoples wealth rather than income your not getting money of the rich people anyway. Start taxing the millions of dollars trust fund babies have in the bank and you might start to see some of that money make its way into an active economy. Ask Mark Dayton, that's where his money is and why he doesn't have a problem taxing the income of the rich.
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exclintonsupporter
Love your enemy --- it messes with their heads!!!
10:57 AM on 07/05/2011
And Minnesota voters need to "tout" GOP shutdown in November 2012...this is the view of the entire party...they mean NO good for the average person...
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HUFFPOST SUPER USER
libwithaclue
GOPers taste like chicken and smell like......
10:46 AM on 07/05/2011
What a joke this boy is. "My state is being destroyed; isn't that nice. Vote for me." Pawlenty-of-Nothing.
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11:02 AM on 07/05/2011
Most progressives don't understand the crisis as none have ever demonstrated fiscal discipline
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HUFFPOST SUPER USER
libwithaclue
GOPers taste like chicken and smell like......
11:16 AM on 07/05/2011
You don't know what the f@ck your talking about. Make billionaires and multinationals pay their taxes and there is no fiscal crisis, n|tw|t. GOPers are destroying this country and must be stopped by any means necessary.
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HUFFPOST SUPER USER
vobox3343
Each day is a new day - make the most of it
12:02 PM on 07/05/2011
It is said that Liberals/Progressives tend to be more educated. Could be you fall for any and everything. Did y'all find Obama's birth certificate? How about weapons of mass destruction? When Bush and McCain said our economy was fundamentally sound, were you in total agreement. By the way, "A Mission was completed." This administration rid the world of the world's most hated and feared terrorist - Osama. Keep looking for Republican accomplishments; and who knows, by 2012 you might can come up with one. Did I mention laying off of teachers, nurses, police and firemen and making you pay more while the rich pay less are not seen as accomplishments to be proud of?
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dmsdzinr
Progression wit a twist of sarcasm.
10:36 AM on 07/05/2011
Since little Timmy is so into the shutdown, let us shutdown his run for the Presidency. He never had a chance to start with, after all.
03:27 AM on 07/05/2011
Bush drove the car into the ditch and then Obama, instead of getting a tow truck, pours gasoline on the car and sets it on fire.
08:23 AM on 07/05/2011
truth.
10:33 AM on 07/05/2011
bush and his fellow cronies drove it off the cliff not in the ditch
10:46 AM on 07/05/2011
The stimulus worked, it saved 3- 5 million jobs. Then the GOP blocked all attempts to further stimulate the economy as part of their cynical strategy to make Obama "fail" at a huge cost to the country. Remember, we came out of the Great Depression by deficit spending on the WWII war effort.
03:20 AM on 07/05/2011
Minnesota, New York, California....all blue states that made a mess out of their budget. It goes with the territory if you are a Democrat.
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Uhgg
Just another Neanderthal
10:46 AM on 07/05/2011
Na it is the conservatives fault for not wanting to overextend the credit and live beyond their means and give away services to people that do not contribute to the society
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HUFFPOST SUPER USER
Bella Lee
11:17 AM on 07/05/2011
We can look to the conservatives as being the ones who maxed the credit card and took taxpayer money to lay for bush's tax cuts for the rich. Americans are tired of paying taxes primarily to help out the rich. We the people support traditional America, the America that gives assistance to the poor, sick and elderly
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Razzer
When the moon is in the 7th house, and Zyra collid
09:29 PM on 07/05/2011
I'd love to have the blue states form their own nation. The blue states tend to contribute more to the Feds than they receive back. The red states, comparatively, are like little debtor nations: sucking at the teat of the Federal trough.

'Splain that.
09:49 PM on 07/04/2011
All parties should proceed with undue haste to balance the budget. This is the most compassionate across the boards ... for state employees, private sector, their families, the state's future, etc.

This is a basic law that we should all be operating on.