Dear Neighbor,
Only two full weeks remain in the 2016 legislative session before we adjourn May 23. Deadlines have a way of spurring action, so more tangible results should be coming as we get closer to that date.
Last week's supplemental omnibus bills are now in the conference committee phase as legislators work to iron out differences between respective House and Senate proposals. Priority issues such as transportation, tax relief and bonding continue to take shape, although there have been no key breakthroughs reported as we seek an end-of-session agreement.
One key achievement this week pertains to debt-service legislation I authored which caps state payments on borrowing at a fixed percentage of the state's General Fund revenue. That bill received a hearing in the House's final committee stop – Ways and Means – and remains in the process and viable for passage.
Here is a news release I issued earlier this session when the bill was introduced. The crux of it is Minnesota's payments on debt have nearly doubled in the last handful of years. This growth trajectory is unsustainable and my bill aims to bring discipline to state borrowing.
Minnesota now spends $1.5 billion each biennium paying off our debts on previously approved capital investment projects. Meantime, the governor and the Senate each have proposed borrowing in the same neighborhood of $1.5 billion this year.
In other words, the governor and the Senate look to borrow roughly the same amount as the debt payments we are making. Those who have credit cards understand this is a recipe for disaster, a prime reason the House is proposing a more disciplined bonding package that sticks to infrastructure priorities.
Look for more as these issues develop in St. Paul and, as always, I welcome your continued input. Have a good weekend and happy Mother's Day. I hope our moms are able to spend some extra time with family and friends this weekend.
Sincerely,
Bob