Molnau calls deficit an 'opportunity'

By FRITZ BUSCH

Journal Staff Writer

SLEEPY EYE -- Minnesota Lt. Gov. Carol Molnau of rural Lafayette called Minnesota's $4.5 billion budget deficit an opportunity to look at the state's true responsibility.

Speaking at the Brown County Republican Convention Saturday morning at the Orchid Inn, Molnau (R), said the state's largest-ever deficit is a chance to consider needs and priorities more so than when the state was awash in money.

Molnau hailed Gov. Tim Pawlenty's proposal of tax-free zones for Greater Minnesota. The JOBZ (Job Opportunity Building Zones) would require local government agreements and require certain economic criteria.

Ten tax-free zones as big as 5,000 acres each and five agricultural processing facility zones would be created by House File 3. Affected businesses would not pay income, property and some sales taxes for 12 years. Molnau said the plan could attract a tractor plant to Jackson.

Molnau -- also the Minnesota Transportation Commissioner -- said the plan to take $1.2 billion in bonds out of the Trunk Highway Fund would speed up highway projects including U.S. Highway 14 improvements and Metro bottleneck reduction projects without raising taxes.

Another $550 million on bonds now earmarked for items other than highways could help build roads instead of funding overhead and administration, according to Molnau.

State employee meetings turned up cost-saving ideas like replacing .57 sheet folders with .07 manila folders, would save thousands of dollars. Other cost-saving measures are reducing the Minnesota Motor Pool's 240 cars to 40 "for people that don't really need them," would save $42 million per year, Molnau said.

She admitted her cost-cutting work has upset some people.

"It's been said that I've got asphalt in my veins and a concrete heart. My opponents have said that if they ever need a heart transplant, they want mine because it's never been used," Molnau said.

Gerald Woodley was re-elected County Convention Chairman and Jason Buetow was named deputy chairman. Jane Peichel was named secretary/treasurer. Other committee members are Parliamentarian Wayne Novotny, Sergeant at Arms Wayne Pelzel, Teller Steve Commerford, Greg Bartz and Nathan Clevenger (rules), Betty Heymanns and Jacque Fuller (credentials), Jim Lamecker, Gary Krueger and Johann Vogl (nominations) and Woodley, Buetow and Peichel (constitution).