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This week the office of Minnesota Management and Budget released its economic forecast for the state. Here is a brief recap:
The current deficit sits at 5.1 billion, down from the projected 6.2 billion.
With a smaller deficit, now is the time to create business friendly environment
The 8.8% revenue growth is dwarfed by the 29% spending growth
This increase highlights that spending to revenue ratio is a startling 3 to 1. This means that the state, left without reform, will live far outside its means
Extreme spending growth clearly proves that now is the time to exercise fiscal responsibility and set clear goals as to how the state should spend money
This past Friday I had the pleasure of meeting with the Lake Elmo Fire Chief Greg Malmquist. We discussed the legislative concerns that they are having. I also had an informative visit to a REM Minnesota home in Bayport. REM Minnesota has been providing service options for people with disabilities since 1967. I had a tour of the home and productive discussion regarding their funding and their legislative concerns. As I continue to work here at the Capitol, I am constantly reminded of how vitally important it is to care for the most vulnerable in our community.
The Minnesota House voted on Thursday on Governor Dayton’s tax increases. Republicans want to keep revenue in the economy, not government. We believe Minnesotans and business should keep more of their hard-earned dollars. People, not government, know how to best spend their money. Governor Mark Dayton said he wouldn’t vote for his own budget; and it appears the DFL Minority agrees. Republicans will put a serious budget on the table by March 25 that lives within the state’s means and protects hard-working Minnesotans from tax increases.
I will be hosting the first of many “Coffee with Kathy” sessions starting March 4th from 1:00pm to 3:00pm at Gorman’s Restaurant. Please contact Melissa Hackenmueller at 651-296-9471 to schedule a time to meet. I hope to see you there!
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