Dayton Devotes Budget Surplus to Preschool, Savings

ST. PAUL, Minn. (AP) -- Minnesota Gov. Mark Dayton wants to put much of a
growing budget surplus toward expanding a new preschool program.

Gov. Mark Dayton released his retooled budget proposal Friday that capitalizes
on a surplus that's grown since previous estimates of $1.4 billion. State budget
officials now project the Legislature has a $1.65 billion budget to work with.

The Democratic governor wants to use $175 million to expand the preschool
program launched last year. Dayton calls it a top priority.

But the biggest dollar amount wouldn't be spent at all. Dayton wants to set
aside $200 million to cover unforeseen costs passed down by the federal
government.

Dayton's proposal sets off a budgetary tug-of-war with Republicans who control
the Legislature. GOP lawmakers have signaled they'll push for much bigger tax
breaks.