Legislative Update
Greetings,
I hope this newsletter finds you well. I will share more later in the newsletter, but we are on the road today for our the last leg of our final bonding tour of the season. I have a commitment in district this afternoon so I can't stay for the whole day, but it has been a great experience and I am thankful to everyone involved for making these trips possible.
A Big Thank You from a Veteran’s Perspective
Wow! What a Veterans Day Celebration! Thank you to all of you for supporting our Veterans! I started my Tuesday morning by visiting many veterans at HyVee in Owatonna for breakfast! In addition, it was great to see so many family members accompany their veteran for breakfast too. What a great turnout!
Next, I attended a fantastic Veterans Day event at Hartley Elementary School in Waseca. The kids and staff did a great job and sang so many great, patriotic songs. I sincerely appreciated their talent and efforts!
Then, we enjoyed a fantastic program and lunch at the Waseca American Legion. Everyone who supported the program, cooked, and served lunch did a wonderful job! I sincerely felt their appreciation for each veteran who attended. Thank you!
Next, I had the opportunity, along with a few other members of the American Legion Honor Guard, to visit several of our fellow veterans at the Lakeshore Rehabilitation Center in Waseca. They sponsored a great program for our veterans residing in their facility and I am sincerely grateful for the opportunity to visit them on Veterans Day.
Of course, the day did not end there. I zipped back over to Owatonna to share dinner with my fellow veterans sponsored by the Owatonna Elks Lodge #1395. During their program, I learned about the many great programs the Elks sponsor for our veterans and how they have assisted veterans since World War I. Thank you!
These are just a small sampling of the many fantastic programs for veterans in our area. Without our sponsoring individuals, private organizations, and businesses they could not exist. Thank you for your leadership to step forward and offer so many opportunities to recognize our veterans. As a veteran, it is our honor to service our great nation and each veteran I know would absolutely serve again, if the opportunity presented itself. Thank You!
Personal Note: Sorry…no photos this week. Please forgive me as I enjoyed all the moments I could with my fellow veterans and I failed to take any photos. I will try to do better next year.
Capital Investment (Bonding) Committee Tours
As I am writing this, it is Thursday night and the end of day two of our latest and final Capital Investment committee tour for 2025. This week we are visiting many projects up in the seven-county metropolitan area. Thus, I thought I would share some Capital Investment (Bonding) committee basics. There are several different types of State of Minnesota bonding options:
- General Obligation (GO) bonds – Most bonding bills are primarily GO bonds. This is a type of State debt issued to finance State and Local government-owned capital projects approved by the legislature for procuring land, buildings, and infrastructure. These projects are funded by annual debt service payments and are considered a safe investment for investors, since these bonds are backed by the full faith and credit of the State of Minnesota. Passing a GO Bonding bill typically occurs only on even years and requires a 3/5ths (81 votes in the MN House) majority to pass.
- Appropriations Bonds – These bonds are not backed by the full faith and credit of the State of Minnesota. Thus, they have a higher interest rate as the purchaser of the bond is taking more risk, if the bond is not repaid. This type of bond is used for projects like the Minnesota Vikings Stadium where the State of Minnesota does not own the property or the project.
- Cash – Occasionally, there are cash bonding bills that are passed which fund projects prevented from the Minnesota Constitution from being funded by General Obligation (GO) bonds. Examples include: Non-profit directed projects, non-state or non-local government backed projects. Other examples include funding equipment for state or local projects that cannot be bonded. In 2018, $25M in cash was issued for school safety equipment.
- Trunk Highway Bonds – These are bonds for State of Minnesota highways and do not require a 3/5ths majority vote to pass the MN House and the MN Senate. These bonds can be authorized in the Transportation omnibus finance bill as well as the Capital Investment omnibus bill.
In summary, our committee works with each legislative member (MN House and Senate) on both sides of the aisle to prioritize available funding for capital investment projects which provide the greatest benefit for all Minnesotans. It is my honor to serve on this committee.
Coffee with Tom
Please feel free to join me for Coffee with Tom at the Owatonna Chamber of Commerce on Friday, December 5th at the Owatonna Chamber of Commerce from 12:00pm-1:00pm.
Our next meeting in Waseca will be on Friday, November 14th at the Waseca Chamber of Commerce from 12:00pm-1:00pm.
Thank you for your support and feedback!
|
