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On Tuesday, the Governor, DFL Speaker of the House, and DFL Senate Majority Leader reached an agreement on budget targets. In the first year of the biennium, the legislature must set the state budget for the next two fiscal years. The caucus leadership sets targets so committees can work to create a budget for their respective jurisdictions.
The agreement sets a $17.9 billion state budget increase in expenditures for the biennium. This is a 30% increase from the current $52 billion state budget. As a reminder, Minnesota currently has a $17.5 billion surplus. Under this plan, the DFL anticipates spending the entire surplus and then some. Of that $17.5 billion we have in surplus funds, only about $5 billion are recurring funds. In other words, $12.5 billion of the surplus is ?extra? money over and above current spending levels even after inflation. Only $5 billion is on-going money should there be no changes in tax policy.
You can read the full agreement below.
 This is reckless and unsustainable. We cannot increase state spending by 30% when we do not have even close to that much in reliable ongoing funding available. Much like the Met Council did with the Southwest Light Rail, we are seeing a plan that is obligating money we do not have and hoping that funding will materialize later. Democrats are putting Minnesota on a path to a budget deficit if they follow through with this agreement. Taxpayers expect government to be a good steward of their tax dollars. Instead of going on a spending spree, we should be balancing the budget appropriately, and giving back as much of the surplus as possible via permanent and meaningful tax relief. Increasing family budgets, not state budgets, is the best way to support Minnesotans during this time of economic uncertainty.
I hope by the end of session, we can curb this spending and provide much needed financial support by cutting at least social security taxes and giving back the surplus.
On another bad note, the House will be debating a bill tonight to make Minnesota a sanctuary state for ?gender-affirming care.? This is an extreme bill that has zero guardrails to protect our children and allows any adult to bring a child to Minnesota to start sexual transitioning into the opposite gender. This includes non-parents or one parent only where the other disagrees. I will be fighting for the rights of parents and standing up for our kids. You can watch the debate live starting at 3:30pm here. ?
Unfortunately, it?s getting very ugly in Saint Paul.
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