Republican Scott Walker promised Monday that as governor he would immediately cut taxes for small businesses and eliminate a tax on health savings accounts, saying he could pay for it by reducing government waste.
In response, his Democratic challenger Tom Barrett said Walker has an abysmal record as Milwaukee County executive in creating jobs and would be no better as governor.
"He's continuing his pattern of saying anything to anyone to get elected," Barrett, the Milwaukee mayor, said in a telephone interview.
Barrett cited Walker's elimination of a county economic development office last year as evidence of a poor record on jobs creation. Walker has defended that, saying he moved functions of the closed office elsewhere. Walker last week announced the hiring of a new county economic development director.
Walker has promised to create 250,000 jobs as governor. Barrett has said he would aim to replace the 180,000 jobs lost during the recession.
Walker, in a phone interview Monday, said he would call a special legislative session on his first day in office and push his job creation plan. Both houses of the Legislature are currently controlled by Democrats, but Republicans are optimistic the November election will give them a majority in one or both.
Walker, a former state representative, said he believes whichever party is in control in January would want to work with him on helping Wisconsin's economy.
"Obviously it's easier if there's a Republican majority, no doubt about it," Walker said. "But I think in times of crisis, people demand leadership, they crave leadership."
Walker didn't have a price estimate for the biggest proposal he announced Monday — to cut taxes as much as 20 percent for businesses that employ 50 people or fewer. His other idea, eliminating the tax on Health Savings Accounts, would cost about $34 million over the next two years based on estimates done for a bill introduced last year to do it.
Walker said he would find the money to pay for his tax cuts in part through a reduction in government waste and abuse. He wants to create a commission to find $300 million in savings.
"We can't afford not to do it," Walker said of his tax cut proposals.
Walker has largely built his campaign around promises to cut taxes, including $1.8 billion in increases passed last year that primarily target large multistate corporations and couples earning more than $300,000 a year.
Barrett called Walker's tax cut promises irresponsible given that Wisconsin faces a projected $2.7 billion budget shortfall. He said Walker has proposed spending the $300 million he promised to find in government waste "every which way but Sunday."
Walker made his jobs announcement at a manufacturing company in Green Bay, a part of the state that will be key for either Walker or Barrett to carry in order to win on Nov. 2. Walker lost Brown County, where Green Bay is located, to Republican challenger Mark Neumann in last week's primary 57 percent to 40 percent. Barrett faced only token opposition.
