Dear Friends and Neighbors,
Here is an update from the Capitol.
Tax Omnibus Bill Unveiled
Earlier this week, House Republicans unveiled their tax bill which will provide $2 billion in tax relief to middle class families, veterans, seniors and job creators across the state.
As the Chair of the Veterans Committee and as a long-time advocate of exempting military pension from income tax, I am thrilled that this bill provides relief to Minnesota veterans. In total, the legislation earmarks $51.6 million to exclude up to $20,000 of veterans pensions as taxable income. This provision, if signed into law, will attract more veterans and their families to our state. They will buy homes here, get jobs here and bring their income to our state, benefitting and strengthening our economy.
Additionally, the Omnibus Tax Bill will also benefit middle class families in our community, offering a half billion dollars in relief through a new state version of the personal or dependent exemption on tax returns. There is also $47 million for additional K-12 expenses, $20.3 million for early childhood education expenses, and $35 million to expand the dependent care credit to help cover daycare expenses. Plus, for families saving for college or future long-term care costs, there are new tax credits for you as well.
Finally, for our local businesses, there is $453.3 million to phase-out the statewide general property tax which will lower prices for consumers and increase wages for employees. And to encourage entrepreneurs and start-up businesses, we've expanded the research and development tax credit and the Minnesota Angel Investment tax credit.
Offering families tax relief and spurring economic growth will be great for our state! The Tax Omnibus Bill is expected to be debated and passed off of the House Floor sometime next week.
State Government Finance Omnibus Bill
Today, the House will be debating and passing the State Government Finance Omnibus Bill which also prioritizes our veterans.
First, it increases funding for veteran health care, giving money directly to those who work with our vets and ensuring we can keep much-needed veterans homes across our state open.
Additionally, the bill prioritizes veterans by streamlining the certification process for veteran-owned small businesses. By allowing the state to approve and grant this certification instead of the federal government, it will simplify and speed up the process, ensuring these business owners receive the benefits they are already entitled to under Minnesota state law.
I am pleased that the State Government Finance Omnibus Bill prioritizes our veterans, a group that has sacrificed much for the American people and our freedoms!
HF 315
On Thursday in the Transportation Committee, a hearing was held on a bill I co-author, HF 315. The bill would provide funding to Anoka County to improve and repair the bridge and interchange on Interstate 35 and Highway 97 between Forest Lake and Columbus.
Our roads and bridges continue to be a top legislative priority!
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As always, thank you for the honor and privilege of being your state representative. If I can ever be of assistance to you or your family on a matter of state government, please don't hesitate to contact me.
Sincerely,
Bob