Hello from St. Paul,
With the Easter holiday nearly upon us, state lawmakers have just a few weeks to set a new state budget before the 2025 legislative session is required to adjourn. I am disappointed that many Democrats at the State Capitol can’t realize Minnesota has a spending problem.
Minnesota is likely to face a record budget deficit in the coming years, and this state is in that position because we spend too much, not because we don’t tax our residents enough.
Last session, the budget set by a Democrat legislative majority and Governor Walz included spending Minnesota’s $18 billion surplus, raising taxes by more than $10 billion, and growing state government spending by 40%. Two years later, Minnesota is now facing a projected $6 billion budget deficit for the state’s next budget cycle.
The Minnesota House’s budget framework is the only one that would not raise taxes to solve this budget crisis. The Minnesota Senate seeks in the ballpark of $700 million in tax increases, while Governor Walz has proposed raising sales taxes.
Raising taxes does not address Minnesota’s spending problems. Projected spending is significantly outpacing expected revenue collections. We should right-size our spending and balance the budget as our Constitution requires. It won’t be fun, but difficult decisions now need to be made after last session’s ridiculous spending spree.
The Minnesota House and Senate will each pass their budget bills in the coming weeks and then begin working on compromise proposals that can be approved by both legislative bodies.
BUTTERFIELD PROJECT HEARD IN CAPITAL INVESTMENT
This week, Butterfield city officials joined me at a Minnesota House Capital Investment hearing.
The plan would allocate $16 million in bonding proceeds to help the City rehabilitate its wastewater treatment facility and reconstruct failing streets.
The proposal was held over for possible inclusion in a comprehensive capital investment plan that could be unveiled later this session.
Have a good weekend,
Marj