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Dayton Speaks To Local Group As Tax Bill Advances

ST. PAUL, Minn. (AP) -- Gov. Mark Dayton speaks to a supportive audience of local government officials Thursday as a tax bill cutting state payments to cities and counties advances at the Capitol.

The Democratic governor is the keynote speaker at a conference of cities, school districts, counties and townships in St. Paul.

Dayton's proposed budget would block cuts to local government aid, which he says will head off future property tax increases.

A Senate GOP tax bill would cut tax aids and credits to cities and counties by $640 million. That bill gets a fuller discussion in the Senate Taxes Committee Thursday. Sen. Julianne Ortman says local governments are doing without that money already.

Dayton and majority Republicans in the Legislature are far apart on how to bridge a $5 billion budget gap.

(© Copyright 2011 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)

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