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Legislative News and Views - Rep. Jeff Backer (R)

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Legislative Update from St. Paul

Friday, March 3, 2017

Greetings from the Capitol,

This week I had the privilege of meeting with students from both the University of Minnesota Morris and the University of Minnesota Crookston.

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Budget Surplus:

The Office of Minnesota Management and Budget (MMB) released the February economic forecast Tuesday, revealing a larger budget surplus than forecasted last fall. For the 2018-2019 budget years, Minnesota is projected to have a $1.65 billion surplus, an increase of about $250 million. Additionally, a $2.124 billion surplus has been projected for the 2020-2021 biennium.

The increase in the surplus mostly comes from greater-than-expected revenue from individual income taxes, the general sales tax, and the corporate franchise tax. MMB budget documents state that an improved U.S. economic outlook and positive numbers for key economic data points such as personal income growth, employment, and consumer spending have contributed to the additional surplus revenue.

There is no doubt that the taxpayers of Minnesota are owed money; clearly, they have been paying in too much. Crafting a responsible budget for the next two years that includes meaningful tax relief is important.

Buffers Update:

As I have said previously, the buffer legislation passed last session is not ready for primetime. There are many discrepancies within the language of the law that still need to be reexamined. For example, the qualifications for what is classified as a body of water is not clear and needs to be reworked; a “one size fits all” approach is not practical. Additionally, the Minnesota Board of Water and Soil Resources’ (BWSR) authority needs to be reined in; counties have to have the ability to be able to work with landowners to find common sense solutions. 

Local Road Wetland Replacement:

Last week, the House passed a bill (House File 434) that allocates $5 million to BWSR to create wetland bank service areas that are given as credits to local road authorities to offset “no net loss” requirements for any road projects that impact wetlands. This funding allows BWSR to cover its obligations by purchasing credits from private wetland banks, so locally planned road construction projects can continue on-time when construction season begins later this spring.

There was an urgency to get this bill moving forward as quickly as possible, or critical county and township road projects would be on hold when construction season begins.

Staying in Touch:

Please be sure to contact me if you have any questions, comments, or concerns regarding any issue related to state government. I can be reached by phone at either 651-296-4929, 701-361-1909, or via email at rep.jeff.backer@house.mn.

Have a great weekend,

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