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ST. PAUL, MN – State lawmakers acted early this session to address Minnesota’s $994 million budget shortfall. By a vote of 80 to 51, the House passed legislation (HF1671) Monday resolving 1/3 of the deficit through carefully targeted cuts to 10 specific budget areas. The bill is the first of three budget measures to come before the House this session.
“The ongoing recession has caused major budget problems for states all across the country – and Minnesota is no exception," said state Rep. Denise Dittrich (DFL – Champlin) who voted in favor of the bill this week. “With limited resources to meet the basic needs of our state, we have to make difficult decisions this session – that means making more cuts to programs and services.”
“No one said this job would be easy, and by no means do I expect it to be,” said state Rep. Jerry Newton (DFL – Coon Rapids). “Minnesotans elected us to lead in good times and bad – and that’s exactly what we’re doing.”
State lawmakers sought agreement with Governor Pawlenty on most budget items considered this week. Both budget plans protect programs Minnesota veterans.
“In these extraordinary times, we have to work together to address the serious fiscal problems facing our state,” said Rep. Dittrich. “I’m glad that so early in session we have already found agreement on so many areas of the budget. Making early progress on aids to local governments in particular will allow cities and counties to plan ahead.”
HF1671 cuts at exactly the same levels in 2010 as the Governor has proposed for local cities, including Champlin ($8,481), Coon Rapids ($37,564), and Andover ($38,073). But the House cuts cities far less in 2011 than the Governor.
The House and Governor also differ on cuts to county governments. In fact county cuts proposed under Governor Pawlenty’s budget proposal would be far deeper than the plan passed by House legislators this week. Under the Governor’s plan Anoka County would lose $64.3 million compared to the House plan which cuts just $26.9 million. Hennepin County would lose $30.9 million under the Governor’s budget and only $12.9 million according to HF1671.
“Property taxes under this Governor have gone up more than $3 billion,” said Rep. Newton, a former Coon Rapids council member. “Reasonable budget reductions for local governments need to be made considering the state’s fiscal circumstances. But deeper cuts to county governments will only make the problem worse.”
Most members of the Minnesota House of Representatives agreed. When an amendment was offered on the House floor bringing the Governor’s LGA cuts up for a vote, 119 members from both parties voted it down.