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Tim Pugmire
St. Paul, Minn.

Dems try for Mall of America, investor tax credits

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Democrats in the Minnesota House are proposing a package of tax changes that they say will grow thousands of new jobs across the state.

The proposal outlined Friday would provide tax breaks for investments in small companies and historic buildings, and more flexibility in local tax incentives for development projects. There's also a provision to jump start the proposed Mall of America expansion.

DFL Rep. Ann Lenczewski of Bloomington, chair of the House tax committee, says $10 million from an existing real estate investment trust program would pay for the fast-track proposal.

"This is not fantasy legislation where everybody puts in what they'd love if there were unlimited resources," Lenczewski said. "This is what we believe that the governor, the speaker and the Senate majority leader can get behind in the caucuses to get things done for Minnesota early."

DFL House Speaker Margaret Anderson Kelliher says the jobs agenda will also include a bonding bill and a package of economic development initiatives.

"I believe that these three bills together represent putting thousands of Minnesotans back to work again," Kelliher said.

House Republican Minority Leader Kurt Zellers gave the plan a lukewarm review. Zellers said he hopes DFL leaders have finally decided to stop burdening small businesses with more taxes.