Dear Neighbor,
Greetings from St. Paul, where the process of setting a new two-year state budget is starting to pick up steam now that the governor and majorities in both the House and Senate all have come forward with their proposals.
Look for a closer comparison as details from the House and Senate plans emerge, but House Democrats confirmed this week they are following the governor’s proposal to raise the gas tax by 20 cents per gallon while also bringing back a tax that will make health care more expensive for everyone. The Senate proposal includes zero increases to taxes and fees.
I have been working most closely with the agriculture portion of the budget and am hoping to get some legislation through to help our financially challenged dairy farmers. The governor’s plan does not include this assistance, but it’s something that needs to be done because our farmers are experiencing tough times and dairy producers have been hit especially hard.
A U of M report issued this week shows that, after adjusting for inflation, Minnesota farmers in 2018 earned the lowest median farm income in at least 23 years (likely even longer, but 23 years is as far back as their consistent records go). The report also indicates the number of participating dairy farms decreased by 15 percent in 2018. I hope some type of assistance can be negotiated into the finished product as we set a new state budget.
On a separate but related note, area farmers listened to Theresia Gillie speak last Friday at the Pope County Corn & Soybean Growers meeting (pictured above). She currently serves as a county commissioner and board member of MN Soybean Growers Association. Theresia lost her husband to suicide two years ago and continues to run their farm in Kittson County. Her advice to farm families was powerful.
On the floor this week, the House provided final approval for a bill which directs $10 million to the Minnesota Disaster Contingency Account, a fund which allows relief to be provided without having to call the Legislature to St. Paul for a special session. Previous disasters had left the fund empty heading into a time where flooding could cause damage and the storm season is just around the corner. This contingency account only works if there is funding in it, so I am pleased we sent this bill to the governor for his approval. Even if Minnesota is spared from widespread flooding this spring, the funding will remain in the account and leave us better prepared to deal with any other disasters which may occur in the future.
Finally, House Republicans this week unveiled a comprehensive proposal to crack down on fraud in Minnesota’s public programs, with an emphasis on the Child Care Assistance Program. This is in response to a report from the nonpartisan legislative auditor that found fraud within CCAP to be widespread and pervasive.
The proposal increases consequences for committing fraud, enhances provider controls to improve program integrity on the front end, gives investigators and prosecutors additional tools to find and prosecute fraud, makes reforms to eligibility across CCAP and other public programs, and improves oversight by making the Office of Inspector General an independent entity as recommended by the Legislative Auditor.
Look for more news soon, including an update of bills I’m authoring – including three with local ties that remain in the mix to be included in this session’s tax bill.
Sincerely,
Paul