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Dear Friends and Neighbors,
I hope you are having a nice spring and looking forward to a good summer, although, with the current high temps, it feels like summer is already here. I’m personally thankful to see the 2012 legislative session come to an end; getting home and working in the fields never felt so good.
Looking back on the 2012 legislative session, there were both ups and downs. I personally had hoped for a few more ups and a few less downs. My goal from the onset was to focus on jobs and growing our economy.
The "Ups"
Our economy is growing, albeit slowly, thanks largely to the efforts of President Obama by focusing on American manufacturing and exporting American goods. Many Minnesota high-tech manufacturing companies are seeing their business grow to levels beyond what they were prior to the Great Recession. In addition, Minnesota’s agricultural economy continues to show strength – whether it is for homegrown renewable fuels or grain exports sent around the world.
In the last week of the legislative session the House DFL minority passed (60 DFL votes for and zero against compared to 39 GOP votes for and 32 against) a $496 million statewide bonding bill that Governor Dayton has signed into law. I had pushed for a robust bonding bill to repair our aging infrastructure and provide work for thousands of unemployed construction workers, contractors, engineers, architects and others.
Funding for construction and repairs of local roads and bridges, wastewater systems, flood hazard mitigation, buildings on college campuses, the Rural Finance Authority and Greater Minnesota business development grants will benefit our region. While I wish the bonding bill had been larger and more projects could take advantage of record low interest rates and discounted building costs for materials and labor, this is still a very good deal for the taxpayers of Minnesota.
I was also glad that the Legislature increased funding to help veterans identify benefits for which they are eligible, especially those related to post-traumatic stress disorder.
The "Downs"
There were two major disappointments of the session – the failure to restore the Homestead Credit and the inability to find a way to pay back the $2.4 billion owed by the state to our K-12 schools in a responsible and complete fashion.
I co-authored a bill to restore the Homestead Credit but the GOP majority refused to even hear the bill. The elimination of the Homestead Credit was a major reason property taxes went up $370 million around the state this year with rural Minnesota picking up 64% of the tab. An average homeowner in rural Minnesota saw their property tax increases go up EIGHT times higher than someone in the metro area and rural businesses saw their property tax increases go up THREE times higher than the metro area. Farm land property taxes went up 11% on the average. We must restore the Homestead Credit next session.
The Legislature must also develop a plan to provide the needed resources to help schools attain the highest academic achievement levels for students. The state must find a way to pay back the money it owes to schools that was borrowed to end the government shutdown last year. Repaying the schools is going to require new revenue. Consequently, the sooner the Republicans acknowledge that some taxes are going to need to be raised; the sooner we can start repaying our children.
The “Future”
As another session ends, I am confident and optimistic that by working together we can protect and enhance our rural way of life for our senior citizens, families, farmers, small businesses and future generations.
Thank you so much for contacting me during the year. It is an honor to be serving you in St. Paul. Please contact me in the future with any concerns or if I can ever be of any help.
I wish you all a wonderful and joyful summer.
Best regards,
Andrew Falk