Rep. John Persell
NEWS RELEASE
Minnesota House of Representatives
FOR IMMEDIATE RELEASE
CONTACT:
Matt Privratsky
(651) 296-6800
December 5, 2013
Minnesota Pays Back Schools – In Full
Economic Forecast reveals strengthening economy, budget surplus,
and full repayment of school IOU’s
St. Paul, Minnesota — Today Minnesota Management and Budget announced that the budget forecast shows a projected budget surplus of $1.08 billion for fiscal years 2014-15. The first $246 million of the surplus will be used to completely re-pay the billions that have been borrowed from schools by previous legislatures. After paying back these shifts, the balance is $825 million.
“Seeing our schools paid back is great news for Minnesota,” said State Representative John Persell (DFL – Bemidji). “It means we can move forward knowing our schools across the state have been repaid in full. We still need to wait to see our final numbers come February, but at the very least our schools will be made whole.”
The forecast reveals that Minnesota’s economy continues to strengthen. Minnesota’s unemployment rate is down to 4.8 percent and in August, the state finished recovering all the jobs lost during the recession. During the first three quarters of 2013, businesses announced 112 expansion projects statewide. Those expansion projects will create an estimated 5,600 new jobs in Minnesota over the next two years.
Today’s progress builds on the momentum started with the passage of the budget this session. The legislature made historic investments in jobs, all day kindergarten, higher education, and passed a fair and honest budget.
The next economic forecast will be in late February 2014. The 2014 Legislative Session begins on February 25. Rep. Roger Erickson (DFL – Baudette) said the focus of the next session will be to build on this momentum to grow a stronger middle class.
“This really puts us in a good position to move forward and tackle other issues this upcoming session,” said Erickson. “We know we want to find a way to repeal the farm equipment repair tax as well as the warehousing tax. Now we know that our budget has put us in a position to do just that when we come back to the Capitol this February.”
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