Feb 25, 2009 10:51 pm US/Central
Reality Check: MN Pays More Than We Get Back
(WCCO)
Gov. Tim Pawlenty has announced 60 transportation projects around Minnesota that will get funding from the federal stimulus package. The governor, who opposed the bill, is now appearing to be a cheerleader for the money.
Even though he says the stimulus package is too big, has too much wasteful spending and won't create jobs -- why is he accepting it?
"Minnesota is a major net contributor to federal government," said Pawlenty. "For every dollar we send in, we only get about 72 or 73 cents out. So we're a subsidizer of the federal government. "
What the governor says is TRUE.
For every dollar
Minnesota taxpayers send to Washington, D.C., the state gets back only 72 cents in federal aid. That ranks
46th in the nation, one of the country's worst.
But, ironically, it's because Minnesota's doing so well.
The FACT is...
States with higher incomes pay higher federal income taxes. And Minnesota's median household income is among the
highest in the country at $59,583.
The REALITY:
States with lower family incomes get
more in federal aid. New Mexico is at the
top of the list. For every tax dollar paid in, the Land of Enchantment receives $2.03. The number two recipient of federal aid is Mississippi with $2.02 for every $1 paid, and number three is Alaska with $1.84.
And that doesn't even count the pork barrel spending.
Here's what you NEED TO KNOW.
Despite a presidential campaign focusing on
wasteful spending, Alaska ranks number one in the nation in per capita projects with $555.54 of pork per person. Minnesota ranks 26th, which is about $38.45 per person, and John McCain's Arizona is dead last, at $14.17 per resident.
That's Reality Check.
To check the resources for this Reality Check click on the links below.
Northeast-Midwest Guide To Federal Formula Grant Programs (PDF)
Federal Taxing and Spending Benefit Some States, Leave Others Paying Bill
2-Year Average Median Household Income By State (XLS)
2005 State Ranking of Per Capita Spending, Per-Capita Tax
Federal Aid To States For Fiscal Year 2007 (PDF)
Citizens Against Government Waste: Pig Book
(© MMIX, CBS Broadcasting Inc. All Rights Reserved.)
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