ST. PAUL – State Representative Greg Davids (R-Preston) said Minnesota's February state budget forecast shows a positive balance of $3.7 billion for the remainder of the current fiscal year but projects a $1.5 billion deficit for the next budget cycle.
“It’s good news that Minnesotans are filling our state’s treasury,” Davids said. “But it’s clear that the Democrats’ unrestrained spending last session is now rearing its ugly head, as a significant budget deficit will be facing lawmakers in the next budget cycle.”
Davids said Republicans have been warning since last session – when Minnesota had an unprecedented mammoth surplus – that irresponsible and unaffordable spending increases approved by the Democrats would come back to hurt Minnesotans. Because of this, Davids said the majority party must use caution this year, as if it prioritizes even more permanent spending increases, the projected deficit for the next budget cycle will only increase.
“The Democrats spent a nearly $20 billion budget surplus last year, then raised taxes by another $10 billion and spent that, and created a budget that increased state spending by 40%,” Davids said. “Think of where Minnesota, and Minnesotans, could be right now had they not squandered all of this money. Their decisions were reckless, and that’s why budget trouble is on the horizon.”