February 28, 2014
St. Paul, Minnesota – The 2014 legislative session began at a fast pace Tuesday, with State Representative Patti Fritz working to build on the progress made during 2013 session.
It was a packed week- on Tuesday, the House unanimously passed an additional $20 million for heating assistance for low-income Minnesota home owners; Thursday, the House tax committee approved over $500 million in middle class tax cuts and sales tax repeals; and Friday, the state’s revised budget forecast was released showing that Minnesota’s budget surplus had grown $408 million to $1.23 billion.
“We are doing the right things as a state,” said Fritz. “We have a balanced budget, our economy is getting better, and we’ve made good investments in our schools and kids. We have made progress, but we still have more work to do to grow our Greater Minnesota economy.”
Last session, the legislature was facing a $627 million deficit and $800 million in debt to Minnesota schools. Now all of the money borrowed from schools has been paid back and the state has a projected $1.23 billion budget surplus. Minnesota also gained nearly 45,000 jobs in 2013 and has fully regained the jobs lost during the Great Recession.
The House worked with urgency on the first day of session. The House rules were suspended to pass emergency legislation increasing funding for the state’s Low-Income Home Energy Assistance Program (LIHEAP). The bill would appropriate $20 million from the state’s General Fund for fiscal year 2014 and any unspent funds as of June 30, 2014 would return to the General Fund. Cold weather combined with Minnesota’s propane shortage led to skyrocketing prices and increased applications for energy assistance. Without additional funding, the program will run out of money in March. After Senate passage, the bill was the first bill this session signed into law by Governor Dayton this morning.
“The propane crisis was an emergency for many folks in our area,” said Fritz. “But I am glad we were able to work together to take immediate action on this so that the fund doesn’t run out of money while it’s still sub-zero outside. It started us on the right foot, working together for everyone.”
On Thursday, the House tax committee expeditiously passed approximately $500 million in tax cuts, in anticipation of a positive budget forecast on Friday morning. The package of tax changes includes federal conformity measures. Nearly one million Minnesotans would receive a tax cut through conformity, including over 650,000 married tax filers by removing the “Marriage Penalty” from Minnesota’s tax code. Business-to-business sales taxes on machinery repair and warehousing would also be repealed as part of the measure.
Rep. Fritz spoke to the necessity of supporting working families through middle class tax relief.
“Now that we have a healthy budget surplus I am hopeful we can pass tax conformity and repeal some of these business taxes,” said Fritz. “This is an issue we should be able to work together on to get done. Every little bit counts, and pretty soon an extra $120 here, and $300 dollars there, and $60 dollars there on your tax return all add up to significant savings for families who are still struggling.”
As session continues, the bonding bill will also be of special concern to Rep. Fritz. A few things she would like to see in the final package are her bills to fund $2 million in asset preservation projects at the Minnesota State Academies for the Deaf and Blind, and $10.6 million to replace Frechette Hall. This year there is also a good chance her bonding proposal to help Faribault complete work on local state trails will be in the final version of the bill.
“The next few weeks will be very busy. I’m also working on several bills to help lift the wages of underpaid in-home nurses, and provide better care at nursing homes and care facilities,” said Fritz. “I hope we can see movement of some of these issues, because improved care will save the state money in the long run, even if it means a little more now.”
Rep. Fritz encourages constituents to contact her with any questions, comments, concerns, or ideas on any legislative topic. Rep. Fritz can be reached by phone at 651-296-4929 or by email at rep.patti.fritz@house.mn