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Minnesota Republican Governor Tim Pawlenty faced a problem with his state's budget. Like every other state, revenues were declining while demand for more government serivces was growing. Pawlenty was faced with a legislature dominated by enough democrats in the Sentate to override a veto and almost enough in the House.

Things started as expected. Democrats offered a huge budget with tax increases to fund it. Included were such items as $1.2 million for TV and film producers. Pawlenty vetoed it, stating three principles -- "number one, we must have [because of the constitution] and should have a balanced budget, number two, the state government needs to live within its means, just like everybody else. Number three, we shouldn't raise taxes in the worst recession in 60 years."

And Minnesota already has one of the highest tax burdens in the nation.

The Democrats kept sending more and more spending bills but the vetos held because of Republican solidarity with the Governor. With the legislative session winding down, Democrats figured the Governor would have to negotiate with them. But, instead, he decided to "unallot" (take away) monies from programs that were not funded.

Under Pawlenty's program, Minnesota will actually experience a reduction in the size of government and not just a reduction in its rate of growth. It will be a modest cut, about 3%, but a cut nonetheless.

Everyone will be watching.

Source.