ST. PAUL – State Rep. Eric Lucero, R-Dayton, issued the following response to Minnesota Management & Budget (MMB) announcing Friday the updated economic forecast now projects a $1.6 billion state surplus for the 2022-23 budget cycle, a sharp turnaround from the $1.3 billion shortfall projected in December for the same period:
“When a multi-billion dollar budget deficit was expected, Gov. Walz proposed a massive tax increase on the backs of hardworking Minnesotans while at the very same time forcing businesses closed, creating thousands of job losses,” Lucero said. “With a large budget surplus now projected, Gov. Walz’s proposed tax increases are an even greater insult. Government certainly does not need to confiscate any more money from Minnesota taxpayers.”
MMB said the turnaround is due, in large part, to an improved U.S. economic outlook that is bolstered by large federal actions that have emerged since November and were not incorporated in earlier projections. The projected surplus also is related to a higher revenue forecast, lower state spending, and an increased surplus for the current fiscal year.
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