Dear Neighbors,
School districts across Minnesota are set to receive a combined $30 million from the state to fund safety initiatives thanks to a provision that was included in last year’s education omnibus bill.
The supplemental aid must be used for expenditures as authorized under the Safe Schools Levy including a wide variety of facility and programming purposes such as police liaison services, counseling, school security, gang resistance education training and other crime prevention and safety measures for students and staff.
I was proud to support this year’s education bill that made important investments in the safety and wellbeing of students and staff at our schools. These dollars will allow school districts to invest in safety upgrades that make the most sense for their communities and help to ensure that students feel safe when they go to school.
The money comes from a one-time Safe Schools Supplemental Aid appropriation in the state’s new education budget. The $30 million will be provided to school districts and charter schools on a per-pupil basis and does not require schools to individually apply for the grants.
Farmers and Small Business owners losing thousands of dollars under new law
A provision in last year’s tax bill that was approved by House Democrats and signed into law by Governor Walz, is costing farmers thousands of dollars.
The problem centers on the failure to fully conform to Section 179 – accelerated depreciation – in the federal tax code. Under last session’s law, the Department of Revenue is directed to review Section 179 claims, adjust for new expensing limits, and review any gains or losses from the equipment they traded in.
For a farmer or business owner who traded in farm equipment or other machinery in 2018, and saw a financial gain on that equipment, the Department of Revenue will be sending a letter to them stating income taxes will now be owed on that gain immediately, while the higher expensing limits will only benefit them over time.
I plan to work on legislation this session that would fix this problem. Ideally, the bill would fully fund conformity to Section 179 and will also cancel any penalties and interest leveled by the revenue department on unpaid debts due to the Section 179 debacle.
This situation is simply unacceptable and our farmers deserve better. Countless farmers are already experiencing troubling financial situations. That’s why last year the legislature approved grants aimed at improving access to mental health services in rural Minnesota. Receiving a letter from the Department of Revenue notifying them that they may owe tens of thousands of dollars in additional taxes is not a good policy.
Staying in Touch
Please do not hesitate to contact me if you have any legislative questions, concerns, or ideas. I can be reached on my office number at 651-296-4929 or my cell phone at 701-361-1909. You can also reach via email at rep.jeff.backer@house.mn, or via U.S. Mail at 203 State Office Building, St. Paul, MN 55155.
Have a great day,
Jeff