governor dayton formally proposed a state budget on february 15, calling for $37 billion in state spending, necessitating cuts of about 10 percent to most state agencies. because the state was projected to take in only about $32 billion in taxes, the rest of the budget shortfall was covered by increases to income and property taxes for wealthier minnesotans, as he had promised during his campaign. meanwhile, republican legislators, led by house speaker kurt zellers and senate majority leader amy koch, demanded the budget be kept below $32 billion.