Posted at: 03/12/2013 3:20 PM
Updated at: 03/12/2013 4:05 PM
Mayo Bill Pauses As Key Lawmaker Doubts Financing
ST. PAUL, MN (AP) - A key Minnesota lawmaker says a bill committing the state to aid in a massive Mayo Clinic expansion project needs a considerable makeover to get through her House committee.
House Tax Committee Chairwoman Ann Lenczewski says she's concerned that tax preferences Mayo is seeking could come at too steep a price. Bill sponsor Kim Norton of Rochester says she thinks tweaks will clear up the concerns.
Mayo wants a state commitment for more than $500 million in future bonding subsidies. In short, a portion of new income and sales tax revenues attributable to a multi-billion dollar expansion would be fed into public infrastructure upgrades.
Lenczewski argues a formula Mayo is relying on overstates the economic benefit. Her committee set the bill aside until next week.