In This Edition:
- Budget Forecast
- MNLARS
- Around the Community
- Happy Holidays!
Dear Friends and Neighbors,
Here is an update with the latest news from the Capitol and around the community.
Budget Forecast
Earlier this month, Minnesota Management and Budget released their November forecast which shows an updated picture of state revenues and spending for the 2018-2019 biennium. The forecast, which will be updated again in February, shows a projected $188 million deficit due to a number of factors including lower-than-expected revenues based on assumptions about federal legislation, the U.S. GDP, and wage growth.
The good news coming from this report is our economy is extremely strong with unemployment at its lowest level in nearly two decades and wages increasing for families.
When digging deeper into the report, there are a few other key indicators to note about the health of our state’s finances. First, the forecast reflected $178 million in state spending on the federal Children’s Health Insurance Program (CHIP), which would be almost completely backfilled once the program is renewed at the federal level. It also makes assumptions about legislative action at the federal level including no tax reform bill being enacted when it appears that the U.S. House and Senate are close to finalizing and passing comprehensive tax reform before the end of the year.
The next forecast, which will be released at the end of February or early March, will be the one lawmakers use as an indicator for the financial health of our state and for any budget or spending legislation passed next year. While the current report is largely a mixed bag with some already obsolete information, overall I think our economy is strong and that a number of initiatives passed last session including comprehensive, middle-class tax relief puts our state in excellent shape.
MNLARS
This summer, our state switched over to a new MNLARS (Minnesota Licensing and Registration System) program. It took eight years to develop, cost nearly $100 million, and has been a headache for thousands of Minnesotans ever since its launch.
The House has held hearings, been gathering public testimony and looking at ways to address this seriously dysfunctional program since this summer. What we’ve recently learned is that there are still over 350,000 titles in backlog because of technical issues, car dealers are so backed up with title delays many cannot get plates to their customers, and deputy registrars are blowing through overtime budgets trying to fix problems at the expense of taxpayers.
If you’ve had problems with what should be a simple task like renewing your tabs or receiving a specialty plate, please don’t hesitate to contact my office. I will work to try and help you resolve the issue. I would also encourage you to share your experience with the Minnesota House on this comment page, and we will relay your problems to Driver and Vehicle Services.
Around the Community
Receiving the Early Education Champion of the Year Award from Close Gaps by 5
Visiting Carver Elementary School with Sen. Pratt, Sen. Kent and Rep. Ward. Carver is beating the odds and making great gains to close the achievement gap for its diverse student population. The school received the Minnesota Business Partnership award for the second year in a row—well done!
Citizenship Day on November 28, 2017, for Nadia! So Proud of my mentee, Nadia, who I met and mentored through the local STRIVE program at EPHS and with the EP Rotary. Pictured here with us are District Court Judge William Fisher who administered the oath, and Beth Kreusch, another mentor and fellow Rotarian.
Happy Holidays!
As we near the end of 2017, I wanted to take this opportunity to wish you all a Happy Holidays. If you celebrate Christmas, Hanukkah, or just enjoy this time of year, I hope you have a wonderful holiday season, spending time with loved ones, enjoying great food and taking part in cherished traditions. Also, if you’re traveling over the next couple weeks, I wish you a safe journey.
From my family to yours, Merry Christmas and Happy New Year!
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While the legislature is out of session, as always I hope you will continue to contact me with your questions, comments and suggestions. I am here to serve you!
Sincerely,
Jenifer Loon