Friends,
Hello from the Capitol! This week was filled with long days and nights on the House floor as the House debated and approved multiple omnibus bills covering various policy areas.
House Passes Tax Bill
On Monday, the House passed bipartisan tax legislation to simplify Minnesota’s tax code to allow filers to fully benefit from federal tax reform and provide additional tax relief to middle-class Minnesotans. This bill delivers significant tax relief for middle-class families by reducing the second tier income tax rate. This historic tax reduction would be Minnesota’s first income tax rate cut in nearly 20 years, and would result in over 2.1 million Minnesota filers seeing a tax reduction. I was proud to vote in favor of this bill which will allow Minnesotans to keep more of their hard-earned money.
Some specific changes in the bill include cutting the second tier income tax rate from 7.05% to 6.75% by tax year 2020; lowering taxes for people at all income levels by increasing the standard deduction to $14,000; protecting families by preserving a state personal and dependent exemption of $4,150; and encouraging affordable homeownership by allowing a state-itemized deduction of up to $30,000 in property taxes.
Budget Adjustment Bills
In addition to the tax bill, the House passed a number of other supplemental budget bills this week. The bills focus on the priorities of Minnesotans by investing more in our transportation infrastructure, addressing rising health care costs, and advancing Met Council reforms.
Highlights of the bills passed this week include:
- Providing $385 million for transportation needs this year, using surplus funds leveraged with trunk highway bonds to repair and improve our roads and bridges
- Implementing Met Council reforms that would add elected officials to the Council and stagger their terms, as well as eliminate the Transportation Advisory Board
- Reinstating the 7 percent cut to the Disability Waiver Rate System to prevent a wage reduction for those that care for our disabled community
- Addressing vulnerable adult abuse and neglect, strengthening the tools the state can use against perpetrators of abuse and holding state agencies accountable for their shortcomings on maltreatment investigations
- Cutting the MNsure tax on health plans to help lower health care costs for Minnesotans
- Combatting the opioid epidemic
- Funding three new veterans homes in Minnesota with excess Stadium Reserve Funds
- Implementing reforms to reduce potential fraud and waste in our public health care system
- Requiring state agencies to spend 3.5 percent of their IT budget to support state cybersecurity
- Closing loopholes regarding the operation of a snowmobile or ATV for those who have been convicted of a DWI
- Strengthening and closing loopholes in Minnesota law surrounding criminal sexual conduct
There are a lot of important provisions that will benefit Minnesota’s taxpayers and families in these bills. I will share additional news as we head into the final few weeks of session and work to find compromise with Governor Dayton and the Senate on these issues.
At the Capitol
Sandie Birdsall of Burnsville and Debbie Nelson of Lakeville during Water Action Day at the Capitol.
Joining fellow legislators for the National Day of Prayer event at the Capitol.
Contact Me
In the final weeks of the legislative session, please feel free to contact me with any questions, thoughts, or concerns that you might have on any of the issues or bills that will be coming before me for a vote on the House floor. I appreciate the input I receive from constituents and would love to hear from you. I can be reached via email at 651-296-5387 or rep.roz.peterson@house.mn.
Have a great weekend.
Sincerely,
