Dear Neighbor,
Greetings from the Capitol, where Valentine’s Day is right around the corner and I’m hoping our state can show taxpayers some love this year. More on that and some other recent notes are here in my latest newsletter from the House:
N.D. suing Minn.
Democrats were warned that their Blackout Bill would have consequences, but they ignored the red flags and rushed through their ill-conceived bill into state law anyway.
Now, the Bismarck, N.D. Tribune recently reported the North Dakota Industrial Commission unanimously decided to proceed with a lawsuit against Minnesota for overreaching with provisions in the Blackout Bill that will damage other states in the region that share a common power grid.
While the developing lawsuit is no surprise – and expected, frankly – one particular sentence in the Tribune article is especially worth noting. It reads:
“North Dakota Gov. Doug Burgum, who chairs the state’s Industrial Commission, said state leaders tried unsuccessfully to urge Minnesota to amend the bill so it would not affect North Dakota utility companies.”
The upshot is Minnesota taxpayers will be on the hook for an expensive legal bill PLUS skyrocketing energy costs brought on by Democrats refusing helpful input far and wide while passing the Blackout Bill.
Bill to end state Soc. Sec. tax
Minnesota is one of just 12 states that still tax social security benefits. With a $17.6 billion state budget surplus, and price increases in straining family budgets. The time is right for a full repeal.
I have co-authored legislation (H.F. 701) to fully repeal the state tax on Social Security, providing some breathing room for seniors – particularly those on fixed incomes.
It’s unconscionable for our state to unnecessarily tax our seniors, regardless of their means, in order to fund pet projects for the Democrats. It’s unfair to our seniors that we continue taxing money that already has been taxed once and it’s time for our state to stop.
A full Social Security tax repeal would benefit an estimated 473,000 people with an average tax savings of $1,276. In contrast, Gov. Tim Walz’s budget proposal doesn’t fully repeal the state Social Security tax, with only 43% of Minnesotans receiving some form of relief – on average, $278 per household.
Our state has a surplus of around $18 billion, a clear indication Minnesotans are over-taxed. Eliminating the tax on Social Security should be our top priority as we look to restore balance. If not now, when?
Minnesota’s tax structure is unfriendly to retirees. Reports indicate Minnesota loses vastly more domestic residents to other states than it gains. Business and personal finance publisher Kiplinger lists Minnesota among its “not tax-friendly” states for retirees, indicating, “The North Star State offers cold comfort on the tax front to retirees.”
Cold winters play a role in Minnesota’s migration patterns, which is even more reason for improving our state in areas we actually can control, such as the tax climate. Democrats keep saying the state can’t afford a full repeal of this tax, which is backward thinking on its own. On top of that, for every person who migrates from our state, we’re losing all their potential tax revenue, not just the state’s Social Security tax.
Democrats signaled they were all-in for a repeal of the Social Security tax last fall but now, more than a month in to the 2023 session, bills related to this subject have been relegated to the back burner in the House.
Home schooling mandates
House Democrats conducted a committee hearing for a proposal which specifically targets home schools with burdensome, unnecessary reporting requirements. The state of Minnesota is failing kids across the state, with 60 to 70 percent of students unable to read proficiently.
The House Democrats’ answer? Bog down home school students with more needless regulations and testing that will serve no purpose other than for the state to exert more iron-fisted mandates. I oppose this measure and will continue working against it.
This provision actually is part of the governor’s budget proposal related to education. It’s H.F. 1269 as introduced in the House by Democrats.
Until next time, please stay in touch and let me know how I can help.
Sincerely,
Chris