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Legislative News and Views - Rep. Rena Moran (DFL)

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Legislative Update: House Budget Moves Minnesota Forward

Tuesday, May 7, 2013

Dear neighbors,

As we enter the final days of this year’s legislative session, I want to give you a quick summary of the major components of the comprehensive budget passed by the House of Representatives.

It’s a plan designed to give all Minnesotans greater economic security, make sure every learner receives a high-quality education, and help our economy thrive for years to come.

Education:

The House budget provides free all-day Kindergarten, invests $50 million in early learning childhood scholarships, and increases the basic funding formula for K-12 schools by over $315 million, or $209 per pupil. It also fulfills our promise to pay back the school shift in full.

In addition, our budget replaces the GRAD exam with career and college readiness entrance exams that students would begin taking in middle school. These exams would provide parents and kids with important diagnostics to empower them with early planning for their career goals and success in learning. This is a more effective, fairer way to use tests and it will create more opportunities for children of color to graduate.

The investments and reforms are designed to eliminate the achievement gap, reach a 100 percent high school graduation rate, 100 percent literacy by third grade, and 100 percent career and college readiness by graduation.

I recently participated as a panelist in a town hall forum at the Minneapolis Urban League that focused on improving education in Minnesota. The town hall was broadcast live on KFAI radio’s “Conversations with Al McFarlane.” I’m grateful that Al invited me to discuss such an important issue at his event. You can click here to listen to audio of the entire town hall.

Health and Human Services (HHS):

Some of the bills I’ve highlighted in previous legislative updates were included in the HHS component of the House budget.

I’m also proud to report that I was appointed to serve on the HHS conference committee, which will iron out the differences between the House and Senate versions of the bill.

As a conference committee member, I will be a strong advocate for the Homeless Youth Act, the Family Assets for Independence in Minnesota program (FAIM), reinstating the amount of absent days that a child care provider may be reimbursed back to 25 days, and legislation to prevent human trafficking.

Jobs:

The House budget includes $46 million in additional investments over the next biennium for programs like the Minnesota Investment Fund (MIF), which provides low interest loans for businesses thinking of setting up shop in Minnesota and for in-state businesses thinking about expanding their operations.

According to the Department of Employment and Economic Development (DEED), MIF leverages up to $33 in private investment for every $1 it awards.

Our budget also includes a largest small business tax cut in Minnesota history by reducing the rate employers pay on unemployment insurance taxes. The $346 million tax cut will save the average employer about $150 per employee. Those savings will help improve businesses’ bottom line so they can expand and pay better wages. 

In addition to these initiatives to create jobs, the House of Representatives passed a long-overdue increase to Minnesota’s minimum wage, which is currently set at $6.50.

The bill will raise the minimum wage for large employers to $8.00 in 2013, $9.00 in 2014 and $9.50 in 2015 and raise the minimum wage for small employers to $7.00 in 2013, $8.00 in 2014 and $8.50 in 2015. The minimum wage will automatically adjust to inflation starting in 2016, and will be capped at 2.5%.

Taxes:

In order to pay for the investments in priorities like education and jobs, the House budget asks the richest Minnesotans to pay their fair share of taxes. The majority of Minnesotans support this policy and it was a major issue that was frequently discussed in the 2012 campaign.

Funding for Frogtown Farm:

In 1988, Minnesota voters approved a constitutional amendment that created the Environmental Trust Fund. The revenue for the fund comes from the Minnesota State Lottery proceeds. The Legislative-Citizen Commission on Minnesota Resources (LCCMR) is a panel of 17 elected state officials and citizens who make funding recommendations to the legislature for the Environment Trust Fund. This year’s recommendations include $1.5 million in funding for the Frogtown Farm.

Wanting to hear from you:

As always, please send me your comments and feedback about our work at the state capitol. You can reach me by phone at (651) 296-5158, by email rep.rena.moran@house.mn, by postal mail at 413 State Office Building, 100 Rev. Dr. Martin Luther King Jr. Blvd., St. Paul, MN 55155.

You can also follow me on Twitter at @RenaforRep to get the latest news and updates from the capitol.

Together we are stronger!

Sincerely,


Rena Moran
State Representative, District 65A