Dear neighbors,
The February economic forecast is coming out at the end of next week, which will give insight into our state's projected $1 billion surplus. Once the forecast is released we will have a better idea of our state’s financial outlook and will be able to make informed decisions as we work to pass a balanced budget for the next two years.
I recently introduced a bill that would take inflation into consideration when trying to estimate expenditures in state government. The bill requires Minnesota Management and Budget (MMB) to determine inflation. Currently, our estimated surplus of $1 billion is expected to be mostly absorbed by inflation. This legislation would make our state’s financial outlook much more realistic by including inflation in costs. The real cost of state government should include inflation so that we can make better financial decisions and work to be fiscally prudent.
I look forward to hearing from you!
Sincerely,
Paul Rosenthal
State Representative