In This Edition:
- Fiscal Disparities Bill
- State of the State
- Teacher Conduct Bill
- Around the Capitol and Community
Dear Friends and Neighbors,
Here is an update with the latest news from the Capitol and around the community.
Fiscal Disparities Bill
This week, I introduced House File 3776, a bill that will make significant changes to the Fiscal Disparities Program, and help create a new fund dedicated to highway projects that reduce metro-area congestion and increase mobility for drivers.
The Fiscal Disparities Program was created in 1971, and mandates a portion of a community’s business property tax base must go into a pool for redistribution to other metropolitan communities depending on a number of complex factors. The simple take away is that there are winners and losers in this system, especially for suburbs like Eden Prairie that grew up after 1971 and have a strong business community and commercial property values. We are a significant “donor” community and our local property taxes are approximately 8% higher then they would be if the fiscal disparities program (FD) did not exist.
I have introduced several bills to reform or eliminate the FD program over the years, but little action has been taken on them because of the number of communities who receive a tax windfall from the program. This session I have taken a different approach, hoping that a vital shared purpose---reducing congestion on our metro roadways—would provide some momentum to make needed reforms. My bill would reform the program and focus on our shared needs in the metro, taking $50 million annually from the “pool” and putting that toward transportation bonds for a Corridors of Commerce type program in the metro area. The focus of that funding would be for projects that reduce and manage congestion on our roadways. This could help fund important local projects like the 35W/I-494 interchange, add new lanes to existing busy highways and more. With a “pool” of over $400 million currently and growing each year as property values increase, the annual impact of removing $50 million from the Fiscal Disparities pool annually will be reduced over time. Nearly half a billion dollars in congestion relief projects could be completed over the next 20 years just with this new program, and the funds could be partnered with other sources for even greater impact.
I think this is a commonsense change that will benefit all of us in the metro area, better serve taxpayers, and make needed reforms to the program.
State of the State
On Wednesday, Governor Dayton delivered his last State of the State Address to the Legislature. The state of our state is strong. Financially, we have surplus funds coming in ($329 million according to the February forecast) and $1.9 billion in budget reserves and our cash flow account. Thanks to meaningful tax relief passed at the state and federal levels in 2017 our economy continues to grow. We have also made new investments in our transportation infrastructure, and devoted more dollars (paired with reforms) for the education of our children to help ensure we are preparing a strong future workforce.
Of course, there is always more work to do to make our great state even better, and I am committed to working with my fellow legislators and Governor Dayton to pass important initiatives this session, including tax conformity that will benefit Minnesota taxpayers and bring greater tax fairness for individuals and families.
Teacher Conduct Bill
This week my Teacher Code of Conduct bill, House File 2795, continued to move forward, receiving a hearing in the Transportation Policy Committee. Its next stop is the Civil Law Committee. The bill codifies the teacher code of ethics rules into state statute and adds a clause making it clear that teachers are not allowed to engage in sexual relationships with students—even if that student is 18. It also prohibits the issuance of teaching licenses to those who have been convicted of a felony or gross misdemeanor involving a minor, names the new Professional Educator Licensing and Standards Board as a mandatory reporter, and requires periodic background checks of teachers.
The safety and well-being of Minnesota kids always comes first, and I am pleased the bill is continuing to move forward in the committee process.
Around the Capitol and Community
It was a busy week in Eden Prairie and at the Capitol! Many groups came to St. Paul to share their legislative priorities with their representatives. Thanks to the wonderful people from Eden Prairie who came to see me representing chiropractors, physicians, CPA’s, homebuilders and realtors, as well as those concerned for the needs of the homeless, persons with mental illness and other community concerns. It is always good to have a chance to meet and hear your ideas and concerns.
With Don Demers, Khani Sahebjam and Elizabeth Manning, all Eden Prairie engineers who were visiting for Engineers Day at the Capitol.
With members of Boy Scout Troop 342 at the pancake breakfast they hosted in Eden Prairie last Sunday. Great food and fantastic service. Thanks to the scouts, troop leaders and volunteers for a great community event!
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If you need assistance on a matter related to state government, or have questions, comments or suggestions about what is happening in the Legislature, please don’t hesitate to contact my office. I am here to serve you!
Sincerely,
Jenifer Loon