Dear Neighbor,
Minnesota Management & Budget announced revenues for April, May and June were $235 million more than previously forecast.
It was good to recently hear that state revenue exceeded expectations for the last three months of the fiscal year after a few months of disappointing reports.
But there is another side to that taxpayer coin. Of that $235 million, $181 million came from individual income taxes. A reason for that could be people were holding tight on paying their tax bill until near the Aug. 15 deadline after getting dinged by the tax increases that hit them in 2013. That was the year our taxes were raised by around $2 billion. Also, reports indicate refunds paid back to taxpayers were less than projected.
One thing to keep an eye on is that corporate taxes were $53 million less than projected. Why is this the case? Is this a natural swing? Are companies adjusting their operations in response to the tax increases? We will find out.
I also want to pass along a few local notes:
First, $20 million is being spent statewide to improve broadband service in Greater Minnesota. I supported this initiative, but wanted it to go directly to unserved areas instead of both unserved and underserved. Some of us – even within just a few miles of St. Cloud – remain in a black hole of service and still will not have broadband access, while other parts of the state that already have access will have theirs sped up. How many others are there like us? Please contact me if this is an issue you face. I’d truly like to know the local extent of this issue.
There is good news to report regarding two local road projects. I was at a recent meeting where Minnesota Dept. of Transportation Commissioner Charlie Zelle confirmed an environmental study will take place on two narrow sections of Highway 23, paving the way to open up those bottlenecks. The section west of Paynesville will be examined in 2014 and the piece between Paynesville and Richmond will be studied in 2015. If money is available – and “if” is the key word – work could start as soon as 2018.
Meantime, I also learned MNDOT has responded to a dangerous dip on Highway 23 near Becker Lake. Temporary repair work was conducted last week and the agency is collecting data to determine what is causing the road to sink so it can implement a long-term plan.
On another note, the Manhattan Institute reports insurance premiums increased an average of 47 percent in Minnesota this year when compared with prices from before Minnesota’s version of Obamacare – MNsure – was launched.
This increase pertains to people who do not get health insurance through their employers, Medicaid or Medicare. Click this link to check county by county. It shows a 40-year-old in Stearns County is paying 61 percent more, while that same person is paying 84 percent more in Meeker. Reports indicate females in Goodhue County are paying an average of 200 percent more this year – the largest increase for women in the country.
Today, I attended a VA mental health and homeless summit in St. Cloud in order to help assist with the care for veterans as we try to improve the situations of them and their families.
It has been great to see all the local folks at local parades and other summertime events. The personal feedback I continue to receive is very much appreciated. Please remain in touch and I will respond to you directly, but House rules indicate that now, since we are 60 days removed from the end of the 2014 session, these email updates I routinely send will be on hiatus until after the November election.
Good luck,
Jeff