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Wisconsin Republican to Minnesota Business Owners: Come to the Land of Lower Taxes

In response to Gov. Mark Dayton's budget proposal, Rep. Erik Severson (R-Osceola) sent an open letter to Minnesota business owners on Tuesday encouraging them to relocate to Wisconsin, where their business will be welcomed with "open arms

Rep. Erik Severson (R-Osceola) is taking an interesting approach to business and politics.

Rather than reaching across the aisle, the Wisconsin Republican is reaching across the St. Croix River and telling Minnesota business owners that Wisconsin “welcomes your business with open arms and low taxes.”

In response to Gov. Dayton’s budget proposal, Severson is encouraging Minnesota businesses owners to relocate to Wisconsin.

“In the private sector, one of the most important rules for running a business is not spending more than you have. It’s a concept with which your governor, Mark Dayton, seems unfamiliar,” Severson write in an open letter sent to Minnesota business owners on Tuesday. “He does not seem to understand that high taxes drive businesses out—out of business and out of his state. Fortunately your neighbors to the east are ready to welcome your business with open arms and low taxes.”

Severson’s letter goes on to outline why he thinks Minnesota businesses could see more green—as a result of lower taxes—on the other side of the river.

“I believe it is important to outline the options for businesses in Minnesota by letting them know that here in Wisconsin we value job creators,” Severson said. “Governor Dayton’s budget proposal, especially his tax on business-to-business transactions, will put a stress on businesses and reveal that Wisconsin is a better place to do business.”

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Severson has been vocal about the different approaches being taken by Minnesota and Wisconsin to close their budget deficits.

Dayton’s proposal calls for a $2.1 billion sales tax increase in order to eliminate a $1.1 billion deficit, Severson writes. By contrast, Wisconsin turned a $3.6 billion deficit into a $484 million surplus in just two years without raising taxes.

“We are moving Wisconsin forward by promoting job growth through lower taxes on families and small businesses,” Severson said. “I would encourage all business owners, small and large, to take a close look at Governor Dayton’s proposal and decide if the cost of doing business in Minnesota is too high. If that’s the case, I am ready and willing to help businesses make the move across the river into Wisconsin.”

Click here to read Severson’s open letter to Minnesota business owners.

Frank McGruber February 07, 2013 at 07:48 PM
Except that Dayton's statement is based on a logical fallacy. Correlation != causation.
Vicki Strong February 07, 2013 at 09:56 PM
Kris: Your question about what makes a state conducive to business growth is a good one, and not always one that even economic developers can fully answer. But, here's one example of how growth can happen. Many states grow business by supporting industry clusters that naturally germinate on their own. Minnesota has for years been a formidable med-tech location. Much of it was the result of U of M and Mayo doctors who were pioneers in medical treatments (first open-heart surgery; external pacemaker; bone marrow, kidney and pancreas transplants) and the symbiosis that developed between them and manufacturing. For instance, a heart doctor knew Earl Bakken, presented him with a problem, and the pacemaker was developed. From that grew Medtronic, then came smaller electronics or clean room manufacturers to supply parts to Medtronic which needed to be located close by for product development and delivery. Before long, the state had a medical industry-trained workforce, many entrepreneurs who would launch their own companies, suppliers with the technological know-how to branch out into additional products, and a higher education system that developed home-grown talent through classwork and internships. Then came competitors like St. Jude and complementary businesses such as 3M's Life Sciences Sector, which was able to apply 3M's core competencies (such as tape and films) to the medical industry. Buy me coffee at Brix some morning and I'll explain more!
Kris Janisch February 07, 2013 at 09:57 PM
Thanks Vicki! Consider the next latte on me.
Susan February 08, 2013 at 02:00 AM
That's why I deleted my comment. After again reading what Vicki wrote here on Tuesday, I thought she would be better able to define and explain, being as my personal experience and business don't really qualify.
Jason Thomas February 10, 2013 at 05:24 PM
No reason to let a legislative injustice to the 2nd ammendment go to waste. If you dont know what I speak of I'll tell you. If some or most of those proposed gun control bill are passed in your state it will close some very profitable businesses that contribute to your state via taxes, employment, and sales taxes from things those employees buy. Why wouldn't Wisconsin want that revenue? We in Wisconsin up hold the Constitution. In turn why not reap the benifits?

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