Dear Neighbor,
Hello from the Capitol, where we are now nearing the end of Week 3 in the 2014 legislative session. Here is a look at some developing issues:
Gov. Mark Dayton has issued a supplemental budget to update his recommendations. This takes into account new information learned in our state’s latest economic forecast, which projected a $1.23 billion surplus for the current biennium. A press release issued by the governor includes adjusting taxes by $616 million, putting $455 more in reserves and spending the remaining $162 million on various projects. We asked the House majority leader when the Legislature will receive the governor’s updated budget proposal in bill form, but no timeline was provided.
Bills pertaining to a propane supply shortage in Minnesota continue to be discussed at the Capitol. We passed emergency assistance relief on Day 1 of the session in order to provide some immediate relief. (Click here for a brief video clip of me speaking on the House floor about this subject.) Now, our attention is focused more on how to protect ourselves from future shortages and to mitigate the impacts if and when they occur. I have authored a couple of bills pertaining to this and will let you know how things progress.
Lastly, a meeting pertaining to MNsure took place this week as we approach the March 31 deadline for enrollment to avoid penalties for not having health insurance. Enrollment has fallen far short of projections since the program started in October. We recently received updated data which shows 33,680 enrollments are “in process” for commercial plans (individual and small business) as of March 8. This is just 19 percent of MNsure's lowest original estimate of 177,125 commercial plan enrollments by March 31.
Continued low numbers could jeopardize the program’s sustainability and lead to increased premiums and a higher burden on Minnesota taxpayers. There already is a projected MNsure shortfall of $5 million for next year, but officials say remaining start-up funds from the federal government will be enough to cover the gap for now and they won’t be seeking additional money from the Legislature.
We will have to keep an eye on these numbers and see if there is a spike in enrollment near the deadline. I'll pass along more as this issue unfolds.
Sincerely,
Paul