Your state should set min wage at that. Every high school kid working at that Starbucks needs to be able to support himself. Of course the downside of this is that that 3 dollar coffee goes to 4.50 and everyone else will find their check that was not raised now has less buying power.
Your state should be allowed to set it at whatever they want. Your state should also be allowed to do away with min wage if they see fit. It would be an interesting case study if two neighboring states decided to do this. It's been fascinating watching Indiana vs Illinois vs Ohio. Funny thing, our favorite mayor in Chicago has been watching too and is talking austerity. I bet he never would have been elected had he campaigned on that.
Every state sets their own minimum wage as does the fed for the US overall..state minimum wage ALWAYS supercede fed when the benefit to the employee is greater.