Dayton Says He Won’t Sign Tax Cuts Without Critical Spending

ST. PAUL, Minn. (AP) - Gov. Mark Dayton says he won't sign a package of nearly $260 million in tax cuts unless lawmakers send him state government spending increases he deems critical.

Legislative leaders agreed to a deal on a tax bill Friday that would offer property tax cuts to farmers and businesses and a tax credit to college graduates with student loan debt. That allows lawmakers to pivot to extra state budget spending.

Dayton says the tax package is close to the mark but needs lawmakers to meet his other priorities too. The Democratic governor has asked for some urgent funding for state prisons and mental health facilities. He also calls his request for a $25 million preschool program "non-negotiable."

The Legislature has until Monday to finalize plans for a $900 million budget surplus.