House DFL says Trump’s policies will create dire problems for household and state budgets alike

Saint Paul, Minn. – Today, a new economic forecast confirmed that Donald Trump’s policies are already moving Minnesota’s economy and state budget in the wrong direction. With Republicans in Congress on the verge of slashing Medicaid to pay for a sweeping tax cut for corporations and billionaires, Donald Trump is putting Minnesota on a path to fiscal disaster. While Republicans fight to preserve the status quo where corporations and billionaires unfairly rig the economy to benefit themselves, House DFLers are fighting for an economy where everyone can get ahead. 

Minnesota House Speaker Emerita Melissa Hortman released the following statement: 

“Minnesota is already starting to see the negative impacts of Donald Trump’s chaos, cruelty, and incompetence, with inflation, tariffs, and uncertainty taking their toll on our economy and state budget. And the worst is yet to come. Instead of bringing down prices like they promised on the campaign trail, Donald Trump and Republicans in Congress are working to enact trillions in tax cuts for corporations and the wealthy, and they’re going to pay for it through reckless cuts to education and health care for children, families, seniors, and people with disabilities. 

“Thanks to responsible DFL budgeting, the November forecast showed a $3.7 billion surplus in the current biennium, and today’s forecast shows a $456 million positive balance in the upcoming budget cycle. The state continues to have our highest budget reserve fund ever. But when the federal government walks away from its obligations, the state has to step in, and we simply won’t have the resources to keep up. This will have dire consequences for the people of Minnesota and our state budget. 

“While Republicans fight to preserve the status quo where corporations and billionaires rig the economy to accumulate more power and wealth, House DFLers are fighting for a future where everyone can get ahead.” 

House DFL Floor Leader Jamie Long released the following statement: 

“Donald Trump is creating economic chaos, and working families are experiencing the harm, including costs that continue to rise with no end in sight. The Trump/Musk administration is pushing sweeping cuts to Medicaid, reckless tariffs, and a wrecking ball to key public services, all of which will lead to consequences for our state budget and will do real harm to Minnesotans. While Donald Trump and his Republican allies push massive tax cuts for massive corporations and the wealthiest among us, Democrats will continue creating opportunities for working families to succeed and prosper.”

House Ways and Means Committee Lead Zack Stephenson released the following statement: 

“After years of responsible DFL budgeting, Minnesota entered 2025 in a strong financial position. Since then, federal policies, along with the chaotic economic shifts caused by figures like Elon Musk, have ramped up inflation and slowed down growth. In my role as the DFL Lead on the Ways and Means Committee, I remain committed to protecting important policies like Paid Family and Medical Leave that give hardworking people more economic security.”