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State Representative Paul Anderson

225 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: 2010-05-18 00:00:00
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E-mail update

Breakthrough reached in budget negotiations


Neighbor-

The Legislature and Gov. Tim Pawlenty reached a budget agreement late Sunday night: We erased the state’s $3 billion deficit Monday without any new taxes or surcharges.

An agreement was not reached in time to meet the session’s deadline of midnight Sunday. But negotiations were coming to a head so Pawlenty called the Legislature back for a special session at 12:01 a.m. We worked through the night to wrap things up and the Legislature adjourned Monday as scheduled.

The bill will help us avoid a California-style bankruptcy and it reduces state spending. The downside is we didn't do enough to address the long-term budget problem looming; the latest budget forecast calls for a shortfall in the $5-8 billion range.”

The framework is a compromise between the two legislative bodies and the governor. The real sticking point centered on health care funding: The majority was proposing participating in federal legislation called early Medicaid enrollment. A deal was struck to stay out of that for now, with a provision included which allows our next governor the ability to opt into early enrollment. The final legislation also includes additional funding for rural hospitals.

A shift in K-12 education money also is included, along with some of the $2.7 million in funding reductions the governor made last year but were recently overturned by the Minnesota Supreme Court.

I am honored to represent you in St. Paul and look forward to seeing you at local functions throughout the summer. Please stay in touch!

Sincerely,
Paul

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