St. Paul – The Minnesota Department of Management and Budget announced that state government is facing a projected $1.273 billion deficit for the next biennial budget. Rep. Steve Drazkowski (Republican-Mazeppa) made the following statement:
“Once again, we see more evidence of Governor Walz’s failed leadership. His policy of repeatedly shutting down our state is undoubtedly harmful and ill-advised. Today’s projections prove as much. Before this pandemic started, our state maintained a budget surplus of roughly $1.5 billion. Now, our budget surplus has shrunk to $641 million, and we are staring down a $1.273 billion deficit over the next two fiscal years.
My concern is for the people of Minnesota. Families and businesses across our state have been absolutely crushed by this pandemic and the Governor’s dreadful economic shutdowns. The loss of state revenue we see today is a direct result of shutting down business. If Governor Walz had supported businesses, then we would not have this problem. Instead of allowing individuals to make a living, government has only added to their burdens.
With the 2021 legislative session on the horizon, I fear that Governor Walz will be calling for tax increases to address this deficit. To ask Minnesotans to pay for a disaster they did not cause is wrong. Moreover, such an idea would be nothing more than a deeply flawed economic theory. You cannot rebuild a ruined economy by taking even more money from it. Such taxes would only cause greater economic turmoil. We will bring this budget into balance, but not at the expense of the taxpayer.”
The complete economic forecast will be published on Thursday, December 3rd.