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Legislative News and Views - Rep. Duane Quam (R)

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News from Rep. Quam (5-6-16)

Friday, May 6, 2016

Hello from the State Capitol,

This week a bill was heard in the House Ways and Means Committee that reduce the premium withhold tax for insurance plans purchased through MNsure, cutting the tax from 3 percent to 1.75. This measure is expected to save Minnesota families and small businesses at least $15 million on health insurance premiums over the next two years.

When MNsure was created, Minnesotans were told that the premium tax would not reach the maximum 3.5 percent. However, within a year of its creation, the MNsure board voted to raise the tax to 3.5 percent, and has since discussed ways to increase the tax beyond the 3.5 percent rate or extend the tax to plans sold off the MNsure exchange.

MNsure continues to fail Minnesotans and I remain committed to working to reduce the burden it has placed on so many Minnesota families and small businesses.

In other news, the Senate released its bonding bill this week. In total, the Senate plan calls for $1.5 billion in bonding.

If it were to become law, the Senate’s proposal would be the largest bonding bill in state history. While bonding serves a valid purpose, funding public building projects, such a large bill would be irresponsible as the state already spends $750 million a year to pay off bonds from year’s past.

I would expect a much more modest bill to pass this year but prefer to settle spending of existing resources on roads and bridges and tax relief before turning to borrowing priorities.

House Image

Peyton Thein, a junior at Pine Island High School, was in St. Paul this week as part of the high school page program

Staying in Touch

As always, if you have any questions regarding these bills or any other matter relating to state government, please do not hesitate to contact me.

I can be reached by phone at 651-296-9236 or via email at

Thank you and have a wonderful weekend,