Greetings from the Floor,
Bills passed off the House floor this week were:
HF476: repeals the exception for boat insurance policies that family members are not covered
HF861: MNLARS deficiency funding provided
-this amount is $25.7 million to continue work to improve MNLARS, with $3.47 million going to DVS for increased customer service capacity and $10 million for deputy registrars
I introduced two bills this week, HF1828 and HF1862. HF1828 is a bonding request for $39 million to advance flood mitigation work in Moorhead. The dollars would be used to continue homeowner buyouts along Moorhead’s existing levy system, and provide flood protection for neighborhoods in Oakport. The funding would also be considered as part of Minnesota’s contribution for the diversion project.
HF1862 would appropriate $400,000 over the biennium for Tax Counseling for the Elderly and Volunteer Income Tax Assistance tax preparation sites. The bill would also allow the sites to provide financial and budget counseling to clients.
Governor Walz released his Capital Investment proposal this week in the amount of $1.27 billion. Specific items in the proposal include:
- $300 million for the University of Minnesota and Minnesota State systems ($150 million each)
- $20 million for Department of Corrections asset preservation
- $200 million to fund the Local Road Improvement Program and Local Bridge Improvement Program ($100 million each)
- $67 million for water infrastructure improvements through the Public Facilities Authority
- $150 million for affordable housing
Two local initiatives are $7.3 million for a new resource recovery facility in Clay County and $52 million for a grade separation on 11th Street in Moorhead.
The February budget forecast came out on Thursday. The forecast projected a $1 billion surplus for the Fiscal Year 2020-2021 biennium. This is good and bad news. The good news is that we continue to operate with surplus dollars, and don’t have to look at budget cuts. The bad news is that the budget surplus is lower than what was projected in the November forecast, which was at $1.5 billion. The reason for the lower surplus is reduced tax collections because of a slowdown in the economy. The economic slowdown was projected in November as a $456 million surplus was forecast for the 2022-2023 biennium. Again, good news that the state is not expected to operate in deficit, but expectations are that economic growth will slow over the next couple of years.
Thank You for the Opportunity to Serve,
Ben