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State Representative Paul Anderson

255 State Office BuildingState Office Building
100 Rev. Dr. Martin Luther King Jr. Blvd.
651-296-4317

For more information contact: House GOP Communications 651-296-5520

Posted: 2010-01-13 00:00:00
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GUEST COLUMN

Preparing for potential budget


Notes From the Capitol

By State Rep. Paul Anderson

The House Agriculture and Veterans’ Affairs Committee met on Wednesday, Jan. 13 to discuss possible cuts to state programs. Minnesota is facing a $1.2 billion shortfall in the current biennium, which is only a little more than six months old. As a possible starting point, the Office of Management and Budget is requesting that all state departments plan on cutting their budgets by 3 percent, while grants could see a decrease of 6 percent.

One of the first programs to feel the impact of this action is the Livestock Investment Grant Program, whose checks were scheduled to be mailed out this week. The technical term for this action is “withholding,” where 6 percent of funding will be held back pending action by the Legislature in addressing the budget shortfall. Checks relating to the Ethanol Producer Payment Program will also be subject to this withholding, with their next quarterly payments to reflect the 6 per cent reduction.

Agriculture Commissioner Gene Hugoson addressed the committee and commented that he expects to meet with them “quite a few times in the coming year as we try to solve these (budget) problems.” Hugoson added that one of the top priorities of his department is to maintain the high level of food safety that we enjoy in Minnesota.

Dr. Bill Hartmann, executive director of the Board of Animal Health, also addressed the committee and reported that no more cases of Bovine TB have been reported in the cattle herds of northwestern Minnesota in the past year. He did say, however, that one infected whitetail deer was found last fall. Dr. Hartmann also told the committee that the disease has been reported in South Dakota, with the positive testing of one cow that’s part of a fairly large herd in the southeastern part of the state, near the Nebraska border. He added, “So far, we have no restrictions in place regarding animals from South Dakota, but we are continuing to monitor the situation.”

A press release from a group known as Minnesota LECET, or Laborers—Employers Cooperation and Education Trust, predicts that construction spending in Minnesota this year will be up by $1.5 billion over last year. However, when comparing that level of spending to the years 2005 through ’07, it still represents a decline of 20 percent. The bright spot appears to be in highway construction, where a continuation of federal stimulus funding, the dedicated motor vehicle sales tax money, and the gas tax increase will all combine to make 2010 a record year for road construction, according to MnDOT.

In its latest newsletter, the Minnesota Chamber of Commerce listed three items that it sees as crucial to business expansion in the state. They are holding the line on taxes, electricity rates that are becoming less competitive in many parts of the state, and the environmental permitting process that continues to be lengthy and costly for too many Minnesota businesses.

We are finally getting a taste of January thaw, one we very much deserve. Get out and enjoy our beautiful Minnesota countryside. Thanks for the privilege of serving this great district.

—30—

Rep. Anderson encourages constituents to contact his office with input regarding any state legislative issue. He can be reached on the web at www.house.mn/13A and via email at rep.paul.anderson@house.mn. To contact Anderson by phone, call (651) 296-4317. Mail can be sent to Rep. Paul Anderson, 239 State Office Building, 100 Rev. Dr. Martin Luther King Jr. Blvd., St. Paul, Minnesota 55155.

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