Dear Friends and Neighbors,
I hope you all enjoyed another snowy week and stayed safe on the roads! Even though it makes for long commutes, I have to say, I am enjoying this crazy Minnesota winter! Although it is cold outside, things are starting to heat up at the Capitol. We have been working on many bills in committee and had our first substantive floor votes this week. As always, I am amazed by all I am learning - it is like graduate school every day!
The snowy Minnesota State Capitol
Gov. Walz Budget - The Price is Wrong
The big news this week was the release of Gov. Tim Walz' budget - which proposed a massive $3 billion in tax increases for 2020-2021. That includes $1.2 billion in general fund tax increases, $947 million in increased revenue from reinstating the provider tax, and $907 million in new transportation taxes. That number grows to $4.68 billion in 2022-2023.
The governor is proposing a massive 70% increase (20 cents per gallon) in the gas tax that would take Minnesota from #28 in the nation all the way up to #4, along with increases to tab fees, the Motor Vehicle Sales tax, and a Metro Area sales tax increase for transit.
With a $1.5 billion budget surplus, we should be looking at tax relief for Minnesotan families, not saddling them with more than $4 billion in tax increases as Governor Walz has proposed. The 70 percent gas tax increase is particularly egregious; this increase will give Minnesota the 4th highest gas tax rate in the country.
Governor Walz's plan also fails to extend reinsurance in the individual healthcare market, which could cause premium rates to skyrocket once again by 50% or more. Instead of continuing reinsurance to stabilize the market, the governor has proposed a 20% premium subsidy only for those who do not receive federal tax credits under the Affordable Care Act. The 20% rebate would cost about $106 million, but would only impact about half the market. This is twice as expensive in 2020 as just continuing the reinsurance, which would only cost approximately $54 million. The Governor's proposal would do nothing to prevent rates from skyrocketing, and would very likely mean that the state would pay twice as much to cover half as many people, while Minnesotans ultimately pay higher premiums on the individual market.
Eliminate Tax on Social Security
In 2017, the legislature approved the beginnings of Social Security tax relief and started phasing out the income tax on Minnesotans’ Social Security checks. Starting last year, I’m happy to say that nearly 284,000 senior citizen tax filers received tax reductions, and 72,000 of those no longer pay state income tax on their Social Security benefits. This year I’m supporting a bill that would continue our progress on this subject and completely eliminate taxation on Social Security benefits for ALL senior citizens.
Last week, the bill was debated in the Minnesota House Taxes Committee Thursday and held over for possible inclusion in a comprehensive tax bill that will be unveiled in the coming weeks. Most of our seniors have spent a lifetime paying in taxes and they deserve this break on this limited income. Minnesota is one of just a handful of states that still tax these benefits. The legislature took a step towards addressing this issue last biennium and now we need to finish the job.
Things to Know
I heard many heartbreaking stories this fall of families who were struggling to afford their insulin. Ultimately, it will take significant policy change at the federal level to fully address this crisis. In the meantime, I learned that the three largest insulin manufacturers have launched programs to provide emergency relief to patients who cannot afford their insulin:
You can find out more about these programs at each company's website:
I hope this helps many families until a broader solution to the high cost of drugs is found!
Go Red For Women
Heart disease is the #1 killer of women. The American Heart Association's Go Red for Women movement to take charge of their heart health and get a FREE heart health screening at a local minute clinic any Thursday in February. I am already signed up for my screening later in the month and I encourage you to do the same! Click here for more information and to find the clinic nearest to you.
Photos of the Week
Rep. Robbins with constituents, including the Athletic Trainer for the Minnesota Lynx
Rep. Robbins with two constituents this week
Rep. Robbins (right) and Rep. Demuth (middle) during a committee hearing this week
Please Contact Me
Many of you have already been in touch to discuss your thoughts on the issues that matter most to you. Thank you for sharing your ideas! Please continue to contact me to discuss any legislation put before the House or any other matters to which I can be of assistance. You can set up a time to visit me at the Capitol by calling me at 651-296-7806 or by email at rep.kristin.robbins@house.mn. My office is located on the second floor of the State Office Building in room 225.
Thank you for giving me the opportunity to serve! Have a great weekend!
Kristin