Capitol View for October 21

Hello, and happy Friday.

MPR’s Brian Bakst has a profile of the Republican nominee for governor Scott Jensen: Jensen cultivated a maverick reputation in his one and only term in the Minnesota Senate. He often vented about how the Capitol operated. He sometimes kept allies and adversaries guessing about where he’d come down. It’s a contrast to his campaign for governor where he’s taken orthodox GOP stances favoring big tax cuts, a voucher-style education plan and a crackdown on crime. He built up his political standing by taking views on COVID-19 that were contrary to the prevailing medical community sentiment. Jensen has also floated dramatic changes, such as eliminating the personal income tax, only to reel them back in under criticism or frame them later as merely discussion starters. He acknowledges being hemmed in by an environment that favors political caution. “This is why so many of our ideas and our campaigns become so pedestrian,” Jensen said almost dejectedly this week. “There's just no win in putting a big idea out there.”

That last comment came after Tuesday night’s debate in Rochester where Jensen backed away from previous statements that a higher sales tax could fill the gap if the individual income tax went away.John Croman at KARE followed up: Jensen says his previous remarks about raising the sales tax weren't an actual plan of action, that he was simply brainstorming about ways to make the state more business friendly. Democrats are trying to hold Jensen to things he has said on the record about sales tax hikes. He maintains it's not really a firm plan but instead an effort to spark at a larger conversation. "Often times it becomes this, 'Well, Jensen, you said this, and we're gonna hold you to that,' and that's the bottom line," Jensen told reporters in Rochester.

Jensen on Thursday released what he called an “Iron Range prosperity plan.”The Bemidji Pioneer reports: The Jensen campaign called for supporting copper-nickel mining in northern Minnesota, a controversial practice that could bring many high-paying jobs to the region but threaten to pollute its water resources. Other policies included supporting the timber industry and ending what he called regulatory “micromanagement” of forests. “I want the people of northern Minnesota to understand that I am 100% in their corner on making sure that their way of life and families are protected,” Jensen said in a statement on the plan. “You cannot have a bigger contrast with Tim Walz and myself than on the issue of promoting and protecting our jobs, especially mining. Tim Walz wants to regulate the profession to death, and I want to let miners mine.” Jensen made an appearance in the Iron Range cities of Virginia and Eveleth on Thursday along with U.S. Rep. Pete Stauber, a Republican from Hermantown representing the 8th Congressional District, to promote mining. Jensen's plan also includes tax incentives for economically struggling areas and proposed trade training programs.

Supporters of a state tax credit for renovating historic buildings are worried that it wasn’t extended by the Legislature and will go away altogether, taking some big planned projects with it.MPR’s Dan Kraker reports: DFL State Rep. Cheryl Youakim of Hopkins, sponsored a bill last session to extend the credit. "There is a cost anytime that you do a tax credit, and anytime you do a tax cut. That costs cash, and there's a lot of needs out there,” said Youakim. “And sometimes this one doesn't always float to the top." Still, Youakim said the credit has bipartisan support. It was included in the tax bill legislators negotiated last session. But the deal died in the fight over other spending bills. GOP State Sen. Carla Nelson of Rochester, who chairs the Senate tax committee, said she's hopeful the Legislature will extend the credit next year and also eliminate its sunset clause. She calls it "a gem" for the state. "This is something that should not at all be controversial. It has not been controversial. It works. And it works across the state," Nelson said.

Minnesota’s employment outlook remained somewhat static last month. More workers were hired, but the jobless rate ticked up. September’s figures showed a 2 percent seasonally adjusted unemployment rate, which was a tenth of a point higher than the month before. Meanwhile, the Department of Employment and Economic Development says 4,200 jobs were added to payrolls. Agency Commissioner Steve Grove says the foundation remains solid even as employers and their workers navigate challenges. “It’s a bumpy year,” Grove said. “And we’re not claiming victory because there’s one bounce up in jobs compared with other months.” Nursing home and residential care facilities gained workers for the first time since March 2020 and manufacturing was up too. But the mining and logging sector suffered slight contraction year-over-year. Ninety percent of jobs shed during the early months of the COVID-19 pandemic have returned.