ST. PAUL – State officials issued a new economic forecast for Minnesota Thursday, with a looming $1.5 billion shortfall through 2027 overshadowing a $3.715 billion surplus for the current biennium.
State Rep. Bernie Perryman, R-St. Augusta, said the forecast figures clearly indicate a more balanced approach is needed in St. Paul.
“The state had a record surplus last year, and the Legislature should have put as many of those dollars as possible back in the pockets of taxpayers,” Perryman said. “Instead, the one-party control spent the $17.5 billion surplus and even took $10 billion more from taxpayers in order to send state spending skyrocketing by 40 percent. And Minnesota businesses are still on the hook for an unnecessary $15 million tax hit because the majority has refused to correct a simple mistake it made in last year’s tax bill.
“This approach is reckless and unaffordable, and it clearly is not working. We need more balance in St. Paul to better respect the hardworking taxpayers in our state and pave the way to a more prosperous future. It’s time to start honoring promises the majority party made to fully eliminate the tax on Social Security, deliver the $2,000 rebate checks and completely fix the errors they made in last year’s tax bill.”
The state is fully funded for the current two-year cycle, meaning no additional state spending is necessary this session. The new bottom line will guide legislators through supplemental fiscal considerations the rest of the 2024 session.
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