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(ST. PAUL) – State finance officials today provided a revised budget deficit forecast for Minnesota’s next fiscal biennium. At a Capitol news conference, the state finance commissioner and state economist projected that Minnesota now faces a $5 billion deficit in the 2012-13 budget, down from the $6.2 billion projection released late last year.
State Representative Carly Melin (DFL-Hibbing) reacted to the news. “While I am pleased that President Obama and Governor Dayton’s prudent policies have led to a better economic outlook, we still face a huge deficit. I remain concerned about the cuts Minnesotans face."
Governor Mark Dayton immediately revised his proposed budget, reducing cuts to health care, rural transit, fire safety training and job growth programs. “I applaud the Governor for his commitment to providing health care access for our seniors and our low-income neighbors,” said Melin.
Rep. Melin encouraged the Republican majority to release their budget solution. “It will be interesting to see how the all-cuts budget solution the GOP has promised impacts the Northland. Rural Minnesotans cannot afford Republican property tax increases. By pledging not to seek any new revenue, including taxes or fees, the proposed cuts will be very harmful to our area.”
“Job growth and economic development are key to growing Minnesota’s economy,” said Rep. Melin. Noting that the Republican majority has pledged to cut jobs, Melin noted that “Minnesota’s economy is slowly recovering as noted in today’s improved forecast. We cannot afford to adopt the ineffective policies of the past.”
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