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State Representative Kim Norton
100 Rev. Dr. Martin Luther King Jr. Blvd.
651-296-9249
For more information contact: Matt Swenson 651-297-8406
Press/News Releases
STATE FACES $1.2 BILLION BUDGET DEFICIT IN 2010
ST. PAUL, MN - The Minnesota Department of Management and Budget (MMB) announced today that the ongoing economic recession is responsible for another $1.2 billion hole in the state budget - a deficit that must be resolved in the upcoming 2010 Legislative Session. This new revenue shortfall brings the state’s total two-year deficit to a record $7.6 billion, and an additional $5.4 billion shortfall is projected for FY 2012-2013, making this the worst state budget crisis in Minnesota history.
“State Economist Stinson made it clear we are not out of the woods yet," said Rep. Kim Norton (DFL - Rochester). “The path to Minnesota’s economic recovery will be long and it will be difficult. But with nearly a quarter of a million Minnesotans out of work, and more losing their jobs every day, our highest priority must remain putting this economy back on track as quickly as possible.”
Stinson projected the state won’t see job growth again until March of 2010, and that normal employment growth won’t return to normal levels until 2015 - demonstrating just how difficult Minnesota’s recovery will be. Rep. Norton the state legislature should do all it can to put Minnesotans back to work, and make certain the problem does not worsen.
“Rochester has remained relatively strong throughout this recession,” said Rep. Norton. “At 5.8 percent, our unemployment rate is well below the state average of 7.6 percent. But that is no consolation to the more than 3,300 families in our community facing the hardship of unemployment in these difficult times. For the sake of those families, and for the future of our state and community, I will continue doing everything in my power to spur economic growth and connect people with jobs.”
According to Stinson, efforts made at the state and federal levels helped keep the current recession from becoming a depression. In fact, those efforts have recently showed signs of improving Minnesota’s economy. The Federal Recovery Act in coordination with state bonding dollars spent on shovel-ready projects have put thousands of Minnesotans to work in this difficult economy.
“One of the Legislature’s main priorities this session will be passing a significant, targeted bonding bill capable of putting more Minnesotans to work,” Norton said. “But clearly our overarching task will be addressing the short- and long-term deficits that now threaten our state’s nation-leading standard of living. Quick fixes won’t cut it. We need to look to the future.”
Rep. Norton stressed the importance of honest, responsible solutions saying, “Minnesota has never before faced a budget crisis of this magnitude. With hundreds of thousands jobless and the resources of the state stretched to the breaking point, the manner in which we address these challenges will do more than determine how quickly we emerge from this recession - it will determine the course of our future and our quality of life for years to come.”
News Items
- Rep. Norton Selected as Vice Chair of House Health and Human Services Finance Committee - (Posted: 2012-12-14 00:00:00)
- It’s Time for Legislature to Get Back to Basics, Balance the Budget Honestly - (Posted: 2012-12-11 00:00:00)
- Second Saturday Coffee Meeting Date Changed to December 9 - (Posted: 2012-12-03 00:00:00)
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