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Legislative Update from Rep. Patti Anderson

Wednesday, March 12, 2025

Legislative Update

Friends and Neighbors,

I hope you’re all doing well! As we move through the legislative session, I want to keep you updated on the important work happening at the Capitol. With Minnesota now facing a $6 billion deficit, we need to make tough but necessary decisions to get our budget back on track.

I’ll also touch on the recent special election in Roseville, which has tied the House at 67-67, changing how committees operate and requiring bipartisan cooperation moving forward.

A Billion-Dollar Train We Can’t Afford

Minnesota’s budget situation has shifted dramatically in just one year. After Democrats spent the state’s record-breaking $18 billion surplus, we are now facing a $6 billion deficit—and tough decisions must be made to bring fiscal responsibility back to our state. That’s why I have introduced HF 1167, a bill to eliminate the proposed Northern Lights Express (NLX) passenger rail project between the Twin Cities and Duluth. This project is an expensive, unrealistic, and unnecessary use of taxpayer dollars, and we cannot afford to move forward with it.

The Northern Lights Express was given $194.7 million in state funds set aside in 2023, with the assumption that federal funds would cover 80% of the project’s cost. In December, the Federal Railroad Administration (FRA) awarded just $500,000 to begin a study phase. But here’s the reality:

  • The estimated cost of the project is nearly $600 million, and given our experience with rail projects, we know the final price tag will be much higher.
  • Even if federal funding materialized, Minnesota taxpayers would still be on the hook for a massive portion of the cost.
  • The state would be responsible for at least $7 million per year in operating subsidies, assuming the outdated 2011 ridership estimate of 700,000 annual riders holds up—which is highly unlikely.
  • MnDOT’s recent study on passenger rail to Fargo projected ridership between 130,000 and 600,000 annually—and Fargo/Moorhead has nearly twice the population of Duluth/Superior. That tells us the 700,000 ridership estimate for NLX is completely unrealistic.

The NLX would provide a slower trip than driving, with a one-way ticket price of $30-$35 per rider. Meanwhile, a current shuttle service already exists between Minneapolis-St. Paul Airport and Duluth, running more than four times daily for $49 per trip.

Securing an 80% federal match is also a requirement for this project to continue. However, last week, U.S. Secretary of Transportation, Sean Duffy, issued a new directive that all grant funding must be based on sound economic principles, with clear cost-benefit justifications. That means projects must prove they are financially viable before receiving funding—something the NLX cannot do.

Even if the federal government granted funding, we would still need state dollars to cover inevitable cost overruns and ongoing subsidies. With our $6 billion deficit, every dollar must be carefully spent. A train that won’t break even and won’t attract the ridership it needs should not be our priority.

The bill passed through the Transportation Committee on Monday. You can watch some of my comments here (ends at 1:31:22) or the full committee hearing here.

The House is Now Tied: What That Means

With the Roseville special election now decided, the Minnesota House is officially tied at 67-67. While this doesn’t significantly change the vote threshold (we still need one Democrat to pass a bill), it does impact the committee process:

  • All committees—except for the Fraud and Oversight Committee—will now have equal membership between Republicans and Democrats.
  • Committee chairs will alternate control every other day, shifting which party leads the discussion.
  • Bipartisan cooperation is now required for bills to advance, meaning much of the legislative battle will play out in committees before reaching the House floor.

This tie brings about the need for more bipartisan efforts, which overall isn’t necessarily a bad thing. However, it will lead to more contentious committee hearings and could potentially make budget talks more difficult. Rest assured, we’re committed to continuing the work you put us here to do and passing common-sense legislation aimed at helping Minnesotans.

Even with this new dynamic, I will continue fighting for fiscal responsibility, common-sense spending, and smarter infrastructure investments. We can’t afford to repeat the mistakes of the past year. Eliminating the Northern Lights Express is one way to help get our budget back on track, but we will have to continue to look for ways to save on costs as we move forward to avoid a major deficit in 2028.

Please Contact Me

Please continue to reach out if I can be of any assistance to you. You can reach me by phone at 651-296-3018 or by email at rep.patti.anderson@house.mn.gov.

Have a great weekend! 

Anderson signature

 

Patti