Greetings from the Capitol!
Here are a few updates as we wrap up Week 2 of the 2013 legislative session.
ECONOMIC FORECAST
The main task of this legislative session is to establish the state budget for the next two years. Minnesota Management & Budget will issue an updated economic forecast Feb. 28. That is a significant piece of the puzzle in drafting our state budget for the next two years.
The last three forecasts have shown a combined $2.5 billion in surplus revenue, so let’s hope that trend continues. A recent supplemental report from MMB indicated revenue was $114 million more in November and December than previously forecast. This increasing revenue and Minnesota’s shrinking unemployment rate (now 5.5 percent) indicate our state is headed in the right direction.
We also will receive Gov. Mark Dayton’s proposed budget on Jan. 22. The governor does not have the authority to set spending – that is the Legislature’s job – but he will provide his recommendations for consideration during the budget process.
HEALTHCARE/INSURANCE
I serve on two committees pertaining to health and human services and much of our time this week has been dedicated to discussing issues pertaining to national health care reform (Obamacare) and insurance. The federal Affordable Care Act and a proposal called the Minnesota Insurance Marketplace Act are at the forefront.
There are more questions than answers from the federal government right now as we examine the nuances of each. I will be sure to update you as we move forward as these issues remain a major focus of the committees I serve.
SQUARING UP K-12 FUNDING
As I noted in my last email update, we have fully repaid the K-12 funding which was delayed as part of the 2011 budget compromise. We also have repaid approximately half of the delayed K-12 funding enacted under the previous Democrat majority.
The first House bill introduced this session by the new Democrat majority is very similar to one we passed in the Legislature last year, only to have the governor veto it. The one key difference is last year’s bill (H.F. 2083) identified surplus revenue from reserve accounts to pay back delayed funding. This year’s bill fails to identify a source for this money.
I am proud of the progress we have made in this area, but a balance still remains. I am eagerly awaiting the Democrats to bring a bill to the floor for a vote so we can get it to the Governor for his action.
As always, I welcome your input on these and other issues. Your thoughts and ideas help me continue doing my best to represent the people of District 57A.
Have a good weekend,
Tara