'Alarming warning': Top Minnesota lawmaker warns of businesses leaving due to Walz's 'socialist agenda'

A GOP congressman in northeast Minnesota is criticizing Governor Tim Walz's economic policies and COVID response, stating that they have had a "devastating" impact on most Minnesotans.

"According to GOP Rep. Pete Stauber, who represents Minnesota's 8th Congressional District, many businesses have either left or not expanded in the state due to Governor Walz's leadership. In fact, hundreds of millions of private investment are leaving Minnesota under his watch."

"Walz has supported the highest income tax rate in the nation at 10%, added a $10 billion tax on hardworking Minnesotans, and increased government spending by almost 50%. Despite this, there has been very little growth in the private sector. In contrast, neighboring states such as North Dakota, South Dakota, Iowa, and Wisconsin are growing their private sector jobs three and four times more than Walz."

In October 2023, the Tax Foundation published its State Business Tax Climate Index for 2024, ranking Minnesota 44th in the country for its tax climate for businesses.

In January, a study by the Institute on Taxation and Economic Policy revealed that Minnesota's tax system is the most progressive among all states, except for the District of Columbia.

According to Stauber, speaking with Kristi Noem in South Dakota, she believes that one of the best things to happen to South Dakota was Walz becoming governor in Minnesota. They are simply leaving our state.

The Minnesota Chamber of Commerce released a 2023 report on business retention and expansion in Minnesota, stating that despite an overall increase in activity since 2021, the state continues to rank below average in the Midwest for new and expansion projects. Specifically, Minnesota ranked 10th out of 12 states in the region in total projects from 2018 to 2022, and 10th in projects per capita in 2022.

"According to fDi Markets data, Minnesota-based companies are expanding in other states at a faster rate than out-of-state companies are expanding in Minnesota. Since 2020, Minnesota has had a net investment deficit of 54 projects, 2,500 jobs, and $6.6 billion in capital expenditures."

Minnesota's corporate and financial sector experienced growth at a faster rate over the past decade, according to the report.

"Minnesota is a hub for corporate headquarters and industry-leading businesses, and its professional and technical talent pool extends beyond just corporate headquarters, making it a conducive environment for companies in financial and professional/technical services."

Gov. Walz led Minnesota back with strong leadership, competent management, and smart policies after Donald Trump devastated the nation's economy.

"CNBC ranked Minnesota the top state in the country for business outside of the south due to its favorable business environment. From now until November 5, Trump will need to defend his record of instability and anti-growth policies against Team Harris-Walz's vision to promote business growth, create jobs, and reduce costs for the American people."

Several Minnesota residents who spoke to Planet Chronicle Digital disagreed with CNBC's ranking of Minnesota as the sixth-best state for business earlier this year.

Matthew A., a Minnesota farmer who raises corn and soybeans with his family, recently told Planet Chronicle Digital that they jest about being mini Californians.

"If given the chance, many of us would join South Dakota. The policies he has implemented have harmed small businesses. My friends have lost their small businesses due to these policies. It's devastating our small towns and hindering rural growth."

According to the Cato Institute's analysis of IRS migration data, the state is losing approximately ten households earning more than $200,000 for every six that it gains, resulting in the fifth worst ratio among the states.

To attract more investment and retain skilled workers, Minnesota needs to improve its business tax climate by adopting a leaner government and reducing individual and corporate tax rates.

Planet Chronicle Digital reported that Walz has been leading a "socialist crusade in Minnesota" and that voters should expect him to continue doing the same at the national level, just like Kamala Harris' running mate.

"Both as a senator from California and as the governor of Minnesota, you have witnessed Tim Walz enact numerous devastating policies and legislation that have not positively impacted the majority of Minnesotans."

Last week, on FOX Business, former White House Council of Economic Advisers Chairman Kevin Hassett stated that Walz's economic policy approach is "disturbing" and he is "absolutely a tax-and-spend liberal."

Planet Chronicle Digital's Aubrie Spady contributed to this report