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Legislative News and Views - Rep. Duane Quam (R)

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Legislative Update from Rep. Duane Quam

Friday, February 28, 2025

Legislative Update

Friends and Neighbors,

The past week at the Capitol has been a busy one, filled with meaningful conversations with constituents, industry leaders, and advocacy groups dedicated to improving our communities. I have been working hard to ensure that the voices of southern Minnesota are heard and reflected in our legislation. Whether it's supporting our students, strengthening our workforce, or ensuring that taxpayer dollars are used responsibly, I am committed to crafting policies that make a real difference.

This week, I had the pleasure of meeting with several groups, including FFA students from Hayfield and Kasson-Mantorville, Tim Benz with MINNDEPENDENT, AFSCME Local 1092, MN Plant-Based Kids, and a constituent advocating during Electricians Day on the Hill. I also spoke with members of the Society of Respiratory Care, the Association of Minnesota Counties, Second Harvest Heartland, Housing First MN, and pediatricians who are working to improve child healthcare access. These meetings are invaluable in shaping the policies that best serve our communities, and I am grateful for the opportunity to listen and learn.

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The SAVI Bill Passes the House

One of the biggest highlights of the legislative session so far is the passage of the State Agency Value Initiative (SAVI) bill, a key measure to improve efficiency and responsible money management in state government. Originally passed with bipartisan support in 2011, the SAVI program was highly effective in encouraging agencies to identify and implement cost-saving measures. However, the program was allowed to expire, and since then, we've seen significant government waste and unchecked spending.

This bill reestablishes the SAVI program, allowing state agencies to retain 50% of any unspent operational funds at the end of a biennium—provided those savings result from innovation, efficiency improvements, or creative cost reductions. These funds can then be reinvested into the agency to further improve efficiency, rather than disappearing into a bureaucratic void. To ensure accountability, a peer review panel made up of agency employees and managers will oversee proposals for how the savings are spent.

The goal is simple: reward agencies for responsible financial stewardship while ensuring taxpayer dollars are used wisely. This bill does not allow savings to be used for new ongoing obligations but instead focuses on reinvesting in projects that improve government operations without increasing the burden on taxpayers.

Importantly, before an agency can spend any retained savings, they must post a public notice for transparency, and the Legislative Advisory Commission must have an opportunity to review the proposal. This ensures oversight while giving state employees the ability to contribute ideas that improve efficiency.

With the state now facing a $5.1 billion deficit, which is expected to grow when the next forecast is announced soon, restoring fiscal responsibility is more important than ever. This bill would have helped prevent the reckless financial mismanagement of the past two years, during which the entire $18 billion surplus was spent, taxes were raised by $10 billion, and government expanded by 40%. Without careful safeguards like SAVI, our schools, rural emergency services, and core state programs suffered—despite historic levels of spending.

By reviving this program, we are taking a crucial step toward better governance, smarter spending, and real accountability in how Minnesota manages taxpayer dollars. I am proud that the first bill to pass the House in the 2025 session was one that prioritizes fiscal responsibility.

Mismanagement of State Funds Hurting Schools

The lack of financial safeguards over the last two years has had real and painful consequences. Despite record-high spending on public education, much of the money went toward unfunded mandates that actually ended up costing schools more than they helped. Schools are now burdened with additional expenses, like having to pay unemployment for non-teaching staff during the summer—employees who knowingly signed up for nine-month positions. Instead of relieving financial pressure, these policies have pushed schools deeper into crisis.

Now, despite promises of "fully funding" schools, the governor is proposing cuts to special education funding and teacher Q-compensation pay in response to the state’s newly projected $5.1 billion deficit. Schools that were already struggling under unfunded mandates are now being forced to brace for more financial shortfalls. This is why responsible budgeting matters. Without it, the programs and services that people rely on the most are the first to suffer.

Congratulations to the Dodge County Girls Hockey Team!

On a brighter note, I want to extend a huge congratulations to the Dodge County Girls Hockey Team for winning the state tournament last weekend! Their hard work, determination, and teamwork have made our entire community proud. This victory is a testament to their dedication, perseverance, and love for the game. They have inspired so many young athletes in our area, and I could not be prouder of their incredible achievements. Senator Nelson and I are working on getting them to the Capitol so they can be publicly recognized on the House floor for their incredible hard work and success.

Go Dodge County!

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Photo from the Minnesota State High School League

Please Stay in Touch 

Please continue to stay in touch to share your thoughts or concerns. My phone number is 651-296-9236 or you can email me at rep.duane.quam@house.mn.

Have a great weekend!

Rep. Quam Signature

Duane