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Minnesota Legislature

Legislative News and Views - Rep. Greg Davids (R)

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Thursday, March 03, 2016


ST. PAUL – The updated state budget numbers are in, and they remain positive according to State Representative Greg Davids (R-Preston).


Minnesota's economic experts recently found that our state is projected to see a nearly $900 million surplus for the 2016-17 budget cycle, but this total is down from a $1.2 billion forecast that was estimated in November.


"While it's somewhat disappointing to see the projected number decline by $300 million in the past three months, we need to recognize that any surplus exists because taxpayers are contributing too much to state government," Davids said. "Our focus for 2016 should be to provide the middle class with tax relief.


According to the Minnesota Management and Budget report, “the sales tax shows the largest dollar amount decrease for FY 2016-17 from the prior estimate, $311 million (2.8 percent). This change reflects lower than expected sales tax receipts so far in FY 2016, the base for this forecast, and weaker projected taxable sales growth in calendar year 2016 and the first half of 2017.”


"State government is fully funded for the next two years," Davids said. "Our liberal friends need to resist the temptation to spend away this surplus this session and join House Republicans in looking for ways to ease the tax burdens of hardworking Minnesotans."