St. Paul, Minnesota — Minnesota House DFLers announced their framework for the state budget, which calls for a structurally balanced budget without gimmicks and includes investments in education, property tax relief, and job creation efforts. The budget targets act as a framework for committee work on the budget going forward.
The proposed budget would close the state’s $627 million deficit in the FY 14-15 budget cycle using new revenue, spending cuts and reforms and provides for structural balance in FY 16-17; fully pay back the $854 million IOU to Minnesota schools for the first time since 2007, utilizing a temporary income tax surcharge on only the very wealthiest Minnesotans; and invest $1 billion in priorities to strengthen Minnesota’s economic future, including $700 million for early childhood education through post-secondary education, $250 million in middle class property tax relief, and another $46 million in job creation.
In the last biennium, the legislature borrowed a record $2.4 billion from Minnesota schools. Under this budget framework, Minnesota schools would be fully paid back this budget cycle through a temporary income tax surcharge on Minnesotans who earn more than $500,000 per year (less than 1% of all Minnesotans). The surcharge would blink-off once Minnesota schools are paid off, which would occur in two years or sooner.
“I heard loud and clear from folks over the last year that they wanted an honestly balanced budget that paid back our schools, invested in education, property tax relief and job creation, while also making targeted cuts and finding reforms where possible,” said Rep. Mary Sawatzky (DFL – Willmar). “Investing in education will help us build the world-class workforce we need to grow our economy and attract businesses to our state over the long-term, while providing property tax relief will put more money into the pockets of hard-working middle-class Minnesota families.”
The budget targets also contain a $150 million cut to Health and Human Services, and a $20 million cut to Transportation.
“We were elected to make tough choices at the legislature and in addition to making necessary investments, Minnesotans expect us to find cuts and efficiencies as well,” said Rep. Sawatzky. “In Health and Human Services, we need to find cost savings and efficiencies to slow the growth in health care costs. These should be smart, targeted cuts that won’t hurt seniors or our most vulnerable, or cripple our already-struggling roads and bridges. I look forward to hearing from my constituents on what they think is the best way to move Minnesota forward.”
Rep. Sawatzky encourages constituents to contact her with any questions, comments, concerns, or ideas on any legislative topic. Rep. Sawatzky can be reached by phone at 651-296-6206 or by email at rep.mary.sawatzky@house.mn. Constituents can also visit Rep. Sawatzky’s AreaVoices blog, legislative page and sign up for email updates.