As rebate checks arrive, so do concerns

Published 12:00 am Wednesday, August 18, 1999

The checks are not in the mail.

Wednesday, August 18, 1999

The checks are not in the mail.

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They are in the hands of Minnesota taxpayers and more are coming.

Nearly two million Minnesota Sales Tax Rebate checks, totaling about $1.3 billion, have begun arriving in taxpayers’ mailboxes this week and will continue to do so for the next several days.

"Back in January of this year, I proposed a rebated based on sales tax," said Gov. Jesse Ventura. "Today, I’m pleased to announce that the Sales Tax Rebate is a reality, a reality that people will be happy to see arriving in their mailboxes."

At $1.3 billion, the Sales Tax Rebate is the largest state tax rebate in the nation’s history, according to the Minnesota Department of Revenue.

Minnesota residents who lived in the state at least part of the year during 1997 and non-residents who made purchases and paid consumer sales tax qualify for the rebate.

"Essentially, if you filed your 1997 tax return and paid even $1 of taxes or if you claimed your property-tax rebate on 1997 M-1 Form, you are eligible for this rebate," said Matt Smith, Minnesota Department of Revenue Commissioner.

The department of revenue continues to remind taxpayers to watch their mailboxes closely this month. "The checks won’t look like the standard refund checks we issue," Smith said. "So we’re asking people to look at their mail carefully and above all, don’t throw anything away from the department of revenue."

Upside has downside

But, sales tax rebate euphoria, a booming economy and the lowest unemployment rate since World War II won’t last forever.

There will someday be a morning after the sales tax rebate elation and some sobering challenges remain.

At least, that’s what State Senator Pat Piper (DFL-Austin) is warning. She sees a "downside" to the state’s current high spirits.

"There is a severe labor shortage and major decisions must be made on how we can best support future generations and prepare them for the new world of work."

The Center for Policy Alternatives recently released a study that brings new light to the issue of the work force and, Piper said, the role women play in keeping the nation and state moving.

Nationally, 59 percent of women age 16 and over are in the paid labor force and the number is growing.

In contrast, 75 percent of men over 16 are in the work force and that gap is narrowing.

Sixty-three percent of the women 16 and over in the work force have children under six years of age. If the number of children under 17 is added, the number grows to 78 percent.

"Interestingly, Minnesota has the highest number of women in the labor force, almost 70 percent, with West Virginia the lowest at 46 percent."

Nationally, more than half of all women are in the labor force and in many cases are still expected to run the home and raise the children, according to Piper.

"This creates particular burdens in both the work place and the home," she said. "How unfortunate that we failed to put a price tag on the work of the women in the home nor valued women’s contribution to the family, the community, church and society."

According to Piper, the Center for Policy Alternatives also reported women still earn less than men, three dollars to every four dollars earned by men, and are less likely to have health or retirement benefits.

Piper found one piece of "good news" in the survey and that was women-owned businesses are fast-growing and women now account for one-third of all business owners.

Piper also warned "Minnesota must be watching" in the current economic boom period.

"We need to anticipate the changes the future holds for us, but often we can only read the economic projections for a few years," she said. "That’s why anticipatory budgeting decisions an investments in future needs are a challenge."

"It is difficult to convince others that wise investments now in our littlest children with a comprehensive learning system that is linked to the work world of today, not the agrarian system of the past, will make for a better future and is a wise, wise investment," she said.

Also at stake is the welfare of the state’s aging population. According to Piper, helping the "littlest children" now can have intergenerational benefits later.

"The state is changing," Piper said, "and for those of us over 60 who will need many resources because of our longevity, we must assure that those who will be tomorrow’s earners are well prepared, committed and eager to do good things for the growing number of Minnesota’s retirees."