Legislative Update- March 7, 2025

Dear Neighbors,

This week a new state economic forecast confirmed that there is a decrease of the surplus, which includes the uncertainty of a federal funding freeze. With President Trumps’s off and on again tariffs, pausing of grants, and threats to cut Medicare, inflation is up and the growth on domestic products (GDP) is down.

Last November, the state budget forecast showed a $3.7 billion surplus over the current budget cycle, a $616 million positive balance in the upcoming biennium, and our highest budget reserve fund ever–all due to responsible DFL governance. But as of today, Minnesota’s projected positive balance has shrunk to $456 million. 

Instead of bringing down prices as they promised on the campaign trail, President Trump and Republicans in Congress are on the verge of enacting a sweeping tax cut for corporations and the top 1% of earners, and they’re going to pay for it by slashing Medicare which is the largest portion of the federal investments in health care for children, families, seniors, and people with disabilities. We receive $128 billion dollars from the federal government; that is 1/3 of our state budget. If even one fourth of those cuts happen, it could blow a huge hole in our state budget.

This latest budget forecast means that the Legislature must be laser-focused on working together to set a balanced state budget by the time session ends on May 20.

As your state representative, I’m committed to fighting for an economy where everyone in Hopkins, St. Louis Park, and Edina can get ahead. I will continue to oppose bills to place barriers to healthcare access, cut education funding, and repeal policies that help Minnesotans thrive like Paid Family and Medical Leave.

Despite the devastating, proposed cuts at the federal level, we did receive some good news in Minnesota reflecting our commitment to deliver reliable investments into our state’s schools. In the 2023-2024 biennium, DFLers delivered an education budget that updates Minnesota’s general education formula to be indexed to inflation. In previous years, Minnesota schools have needed to wait until the legislature passes the biennial budget to know whether or not the education funding formula would be increased. The Minnesota Department of Education recently shared with Minnesota school districts, due to indexing, the new increase to the per-pupil formula allowance taking effect for the 2025-2026 will translate to a new investment of $7,481 per student which is a $200 per pupil increase.

You can read my press release for more details here.

Floor Action 

On Monday, the Minnesota House debated House File 12, a Republican-sponsored bill that would exclude our transgender athletes from playing sports in our schools. This is in direct conflict with our Minnesota Human Rights Act, as well as the Minnesota State High School League's policy that has been in place for the last ten years with no issues. I spoke on the House Floor about the dangerous path this bill would take us on if passed. History has shown us that once you start excluding a group of people just because of who they are, it doesn’t end there, and it never ends well. You can view my floor remarks here. House Democrats were unanimous in their opposition to the bill, which did not receive enough votes to pass the Minnesota House.

On Thursday, we voted down HF 13, a ‘Shoot First’ bill which would remove Minnesota’s duty to retreat, allowing Minnesotans to use deadly force when they feel any level of threat in our public spaces. When this policy has been put in place in other states, it has been shown to lead to even more gun violence victims and more loss of life. Minnesota continues to make progress on reducing gun violence. The bill failed to reach the 68 votes needed to pass on a party line vote. I was glad we were able to pass two bipartisan bills to address sex trafficking in Minnesota and will continue to work across the aisle with my colleagues on setting our state budget for the next two years.

Committee Work

Committees are starting to get busy as the GOP continues to move their agenda through committees without hearing many of our bills.

On Monday in the Ways & Means Committee, we heard a Rep. Baker (R) bill to delay the implementation of Paid Family & Medical Leave (PFML). This program is on track to be implemented in 2026 and to delay it would cost Minnesotans money and valuable time.

On Tuesday in Taxes we heard change market value exclusions on home day care properties and a tax credit for remodeling underutilized buildings which Hopkins Mayor Patrick Hanlon testified in support of. I am excited to have my first bill up this session in the Tax committee next week to provide non-profit daycares a break on property taxes. In Education Finance, we heard a bill to expand non-public pupil aid to counselors to K-6 students. Current law allows for counselors in non-public schools in grades 7-12.

Wednesday in the Taxes Committee, we heard a variety of interesting proposals including one that provides a $9 billion dollar tax cut to benefit those in our higher tax brackets. We also finished our discussion around tax exemptions for data center purchases.

On Thursday, the Tax committee heard bills to increase funding for Soil and Water Conversation Districts, tax exemptions on particular properties, and a bill to provide a tax credit for sustainable aviation fuel. We finished up the week of hearings in Education Finance with an informational hearing on two bills that would allow school districts to ignore any of the initaitives we put into place to help our schools and students, including how they are able to allocate funds within the school district.

Constituent Visits and Events 

Saturday, Jacques and I attended the Hopkins Education Foundation Gala. It was fun to spend time with friends while supporting the Hopkins School District. We also got to see the new mascot costumes for the Hopkins Royals.

This week was very busy at the Capitol with multiple groups of constituents and organizations visiting to advocate for a variety of legislative policy. A group of developers and contractors met with me to talk discuss the 'Homes for All' bills.

A big thank you to Rep. Julie Greene for organizing a group of students to come to the Capitol and learn about it’s inner workings. They met with legislators, a lobbyist, our House Chief Clerk Patrick Murphy, took a tour of the Capitol, and sat in on the House Education Finance Committee.

Community Education is a very important part of our public schools. I had the opportunity to meet with a group of community education leaders to discuss some of the challenges they are facing with programs across the state and how legislators can help.

I had a chance to meet with an amazing group of U of M pharmacy students, as well as two practicing pharmacists. We discussed the barriers to patient care and the need for increased reimbursements for our pharmacies all over the state.

As the Lead on the House Education Finance Committee, I frequently meet with school districts across Minnesota. I had a great conversation this week with members of the South Saint Paul school district: Superintendent Brian Zambreno; School Board Chair Kim Humann; School Board Member Paul Cummings; Representative Rick Hansen and Mary Frances Clardy. They were asking for additional Compensatory Aid so they can help their students thrive.

The Full-Service Community Schools model is an incredible program providing state funds for districts to develop public private partnerships so they can provide wrap around services to our students and families in our public schools. Thank you to Craig Sweet for the visit to talk about the increased funding needs for full-service community schools to expand across Minnesota.

Constituents David Homans with the Citizens Climate Lobby and Karin Cotter with the Center for Energy and Environment met with me during the Clean Energy Business Day. Thank you for all you are doing to make sure we leave the planet a little better for the next generation.

Some of Minnesota's finest from the Minnesota Association of Professional Employees met with me on Thursday. These are the folks that work in every one of our state agencies in areas from cybersecurity, public safety, healthcare, and more. Thank you for your service to our state!

It was great to see Hopkins Councilmembers Heidi Garrido and Brian Hunke who were visiting the Capitol with the League of Minnesota Cities.

I also had visits from our incredible school social workers, the Minnesota Catholic Conference, and the PACER Center. It is wonderful to see the Capitol full of folks who want to have their voices heard. As we continue our work to produce a balanced two year state budget, we will continue to hear from groups from all over the state.

Keep in Touch

Please continue to contact me anytime with feedback, questions, or concerns at rep.cheryl.youakim@house.mn.gov or by phone at 651-296-9889. 

Enjoy the milder weather this weekend!

Cheryl Youakim
State Representative