Minnesota House of Representatives


State Representative Ben Lien

241 State Office BuildingState Office Building
100 Rev. Dr. Martin Luther King Jr. Blvd.

For more information contact: DJ Danielson 651-296-8879

Posted: 2017-12-05
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Legislative Update

Legislative Update - December 5, 2017

Greetings from Moorhead,

Minnesota Management and Budget released the state’s November budget forecast today. The forecast projects a budget deficit of $188 million for the remainder of the current biennium, and a negative balance of $586 million for the 2020-2021 biennium. Some of the reasons for the shortfalls include slower than expected growth in the U.S. economy and new policies enacted by the Legislature during the 2017 session. In looking into this further, tax collections were lower than what was previously projected (due to slower wage growth), and spending was higher than what was previously projected (driven in large part by increased K-12 Special Education expenditures by school districts). Although this is not good news, the situation is not completely dire. Minnesota has a budget reserve of $1.9 billion, and the state’s economy continues to grow (all be it, slower than anticipated). We will also have the 2018 legislative session to act accordingly and make adjustments. For more information, please go to https://mn.gov/mmb/forecast/forecast/ and https://mn.gov/mmb/budget/currentbud/currbudestfore/.

Thank you for the Opportunity to Serve,


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