Dear Neighbor,
Here's wishing you and yours a good Memorial Day weekend. Please take time to pay tribute to the the people of our military who have made the ultimate sacrifice for us and our country.
The dust is starting to settle after the 2016 legislative session recently concluded and there are many good provisions that received final approval from the Legislature.
Most notably is a tax-relief package of more than $800 million over the next three years awaiting Gov. Mark Dayton's approval. The bill includes more than half a billion in permanent tax breaks for middle-class Minnesotans. Here are some top-line numbers:
- $91 million in agriculture property tax relief for Minnesota farmers
- $110 million in tax relief for college graduates paying off student loans through a refundable tax credit up to $1,000, the first of its kind in the country.
- $49 million in tax relief for families who contribute to 529 Plans to save for their children's college costs.
- $146 million in property tax relief for every small business in the state by exempting the first $100,000 of commercial-industrial property.
- $150 million in tax relief for working families by expanding the working family tax credit
- $32 million to reduce the cost of childcare; by expanding the childcare tax credit, families could earn a tax credit up to $960.
- $13 million in tax relief for veterans by raising the income eligibility threshold, and increasing the total credit from $750 to $1,000.
That $13 million in tax relief for veterans is just one of the many provisions we passed this year to help those who have served. State income taxes will no longer apply to veterans pension benefits, a major victory for those who have sacrificed so much. There also is an extension of the 100-percent property tax exclusion for the spouses of disabled veterans.
We also passed legislation to protect veterans who are the subject of hearings. The change stipulates local governments shall absorb costs for a hearing when they issue a veteran a notice of discharge. This issue arose when a veteran was reinstated after a hearing and the government employer sued the veteran for the cost of the hearing. Both parties still would be responsible for their own attorney fees, but veterans should not be held liable for hearing fees. The change also stipulates veterans are not responsible for attorney fees if they prevail.
The Hometown Heroes Act which passed is related to public safety officers (police, fire, paramedic). My bill modifies “killed in the line of duty” with the definition found in the federal statute for purposes of awarding benefits to the survivors of public safety officers who are killed in the line of duty.
We did more for veterans this session than can be recalled in any other year and I authored or co-authored many of the successful proposals.
Some other notable successes from the area include legislation to help resolve water and economic development problems caused by a trout stream in Cold Spring. There also is $200,000 for combating invasive aquatic species at Lake Koronis.
And we received approval on legislation I authored to resolve a Q Comp funding issue impacting the Rocori school district. Rocori was told by the Minnesota Department of Education it would receive state funding for this voluntary program, but then the state failed to follow through on that commitment. The bill we passed appropriates a total of $240,000 to be split between Rocori and Buffalo, which had a similar experience.
Another bill I helped lead to passage will save school districts money by eliminating special elections and the associated costs by allowing districts to fill board vacancies by appointments when less than two years remains on the term.
I would be remiss if I did not mention some business that went unfinished this session: a bonding and transportation bill. The House on Sunday night passed a package which contained $727 million for roads and bridges, and $842 million overall for transportation-related projects The Senate then added a light-rail train provision to the bill just after the House had adjourned – effectively killing the bill. This last-minute gamesmanship put the brakes on many important projects, including $60 million for improvements on the dangerous stretch of Highway 23 between Paynesville and New London.
It is disappointing the Senate failed to abide by the compromise that had been reached and put light rail ahead of roads and bridges. The House majority continues urging the governor to call a one-day special session so we can fix the Senate's mistake. I will update you if/when details emerge on that subject.
Thank you to area citizens for their continued correspondence this legislative session and I welcome your feedback as we move through the interim. Have a nice weekend as we honor our true American heroes.
Good luck,
Jeff