College officials hail governor’s tuition aid and tax break for soldiers

By Susan Larson | The Daily Journal

Published Tuesday, January 9, 2007

With the return of local soldiers, Fergus Falls educators are expecting to see them on its college campus and are hailing Gov. Tim Pawlenty’s multi-million dollar plan for tuition assistance and tax breaks.

“We’re expecting an influx of veterans here,” Robert Anderson, dean of student services at Minnesota State Community and Technical College, Fergus Falls, said. “A large group of students are going to return in the near future. We’ve been working with the state on helping them reintegrate into society and setting up space for a vet’s office on campus to help with that process. I’m glad to see there’s money allocated for that.”

Pawlenty unveiled a $75 million plan Monday to help the military, including a state GI bill that would give tax relief and tuition aid to thousands of veterans and troops. He also wants to eliminate state income taxes on military pay and pensions. Approximately $1.5 million would extend reintegration programs for veterans, which was good news to a local college administrator.

Legislators in both parties expect the measure will pass.

“No matter what your opinion is of the war, I think we all agree the ones who are doing the dirty work are the ones we have to remember,” Dist. 10 Sen. Dan Skogen, DFL-Hewitt, said. It certainly sounds good. I’ve always been one who thinks we should never leave our military behind. The governor is going in the right direction. ”

“It’s a great idea,” Dist. 10A Rep. Bud Nornes, R-Fergus Falls, said. “We can’t do enough for our soldiers, so I anticipate it will have some good bipartisan support. I expect a good portion of the proposal to make it through the session. It’s going to be hard for any legislator to speak against this. It’s going to come down to the final price tag and financing. We can fund it now, but the ongoing cost has to be considered. I don’t think that will be a problem.”

The proposal also includes:

• The Minnesota GI bill would offer $30 million worth of tuition assistance to veterans and the children and spouses of fallen soldiers and disabled veterans over the next two years.

• It would cover up to $10,000 worth of tuition over five years at any Minnesota college, university or technical school. The aid would kick in after federal aid and scholarships and other benefits were used up. As many as 7,000 veterans and 600 spouses and children could apply.

Minnesota National Guard troops already get full tuition reimbursement from the state, but veterans of other branches of the military sometimes run out of federal GI bill aid before they finish their studies. The proposal would help cover about $45,000 worth of schooling, roughly the cost of tuition, fees, room and board at the state’s universities and colleges.

• The proposal would gradually do away with income taxes on military income, costing the state $16.5 million over the next two-year budget period. When it was fully phased in after the first four years, the tax exemptions would cost the state about $49 million every two years.

About 13,000 Minnesota National Guard members, 7,000 reservists, 14,000 retired veterans and a small number of active-duty military members would be excused from paying state income taxes on their military pay, pensions and retirement payments.

• $2 million would go to the State Soldiers Assistance Program, which helps needy veterans.

• Preference would be given to veterans’ businesses for state contracts.

• $4 million would be used for outreach to homeless and American Indian veterans.

• $3.5 million would help maintain state armories.

• $8 million would go towards repairs at state veterans homes.

Military aid will be one of his top priorities this year, Pawlenty said, and he can’t imagine any lawmaker voting against it. Two Democrats, Sen. Jim Vickerman of Tracy and Rep. Larry Haws of St. Cloud, will sponsor the package in the Legislature.

“Regardless of how people feel about the war everybody supports the members of the military and the veterans,” Pawlenty said. “I would be very surprised if anyone in the Legislature of either party voted against this package because of their views about the war.”

The Associate Press contributed to this article.