But Gunther said he thinks there would be negative consequences to boosting the tax rate — from 7.85 percent to 9 percent — on high earners.

“Do you know anybody making minimum wage who’s ever started a factory or hired someone?” he asked, saying high taxes can drive job-creators to other states. “I think they’re going to choose to go someplace else.”

Morrow counters that the Republican alternative the past four years was to force $2 billion in property tax increases on all Minnesotans regardless of their income. Couples with incomes of over $400,000 a year — after deductions — are more able to withstand a tax increase than retired people, farmers and other lower income homeowners, according to Morrow.

“This brings tax fairness and proper investment in Minnesota’s future,” he said, referring to budget increases for schools and health care coverage for kids. “... We’re investing in Minnesota’s future with this package.”

Details of the budget will be worked out in coming weeks. A final negotiated budget that Pawlenty is willing to sign must be completed by May 21 if lawmakers and the governor are going to finish the session by the constitutional deadline.