Mondale-Carlson Group Weighs in on Minnesota Shutdown

MINNEAPOLIS (AP) - A commission convened by former Vice President Walter Mondale and former Gov. Arne Carlson says Minnesota should raise cigarette, alcohol and income taxes to end a week-old government shutdown.

The report released Thursday says a $5 billion deficit could be erased by cutting $3.6 billion in projected spending and raising $1.4 billion in taxes.

Tax recommendations include a temporary, across-the-board income tax increase of 4 percent, a cigarette tax hike of $1.29 per pack, higher alcohol taxes and a human services surcharge.

The panel was picked by Mondale, a Democrat, and Carlson, a Republican, to help break the stalemate between Democratic Gov. Mark Dayton and Republican lawmakers.

Republicans are opposed to higher taxes. Dayton has pushed a plan he says would spare all but the highest earners from tax increases.