Hello from the State Capitol,
State lawmakers now have a new item on their to-do list this session: determining what to do with a $1.6 billion surplus.
The positive economic news was revealed by state economists on February 26, and the total was much higher than what was previously estimated.
Considering the previous forecast showed a massive budget deficit, I think everyone is pleased the economy is turning around despite the fact that some businesses are still operating at limited capacity.
In November, the projected budget forecast was much worse, predicting a nearly $1.3 billion budget deficit for the upcoming budget cycle.
The nearly $3 billion turnaround is due in part to fiscal actions taken by the federal government that were not taken into account during the November forecast, better than expected revenue collections, and lowered state spending.
The report found that improvements to the economic outlook have not been spread equally as unemployment continues to disproportionately impact lower-wage workers.
With this news, any tax increase proposal being brought forward by Governor Walz or the House majority should be taken off the table. Too many Minnesotans continue to struggle financially due to the pandemic, and with this surplus news, state government clearly has more than enough of your money to fund its programs.
OUT AND ABOUT…
This is School Bus Driver Appreciation Week. I’d like to thank and recognize all the drivers, aids, schedulers, dispatchers, cleaners and mechanics who safely get our children to and from school. In past years I’d go to the Hastings Bus Company to greet the drivers before they left for their routes but with COVID restrictions that wasn’t possible. I was able to be there to thank some of them as they finished their morning runs though. These dedicated workers should be commended for constantly adapting and adjusting to the ever-changing school schedules the past year.
For the last four weeks I have joined a bipartisan, bicameral weekly discussion on our state’s infrastructure with engineers and other professionals from around the state, including Hastings Director of Public Works, Nick Egger. It was nice to see a familiar face for those early morning sessions. Nick does a great job representing the Hastings residents’ interests.
I hope some of you had the opportunity to tune into the Mental Health Online Webinar series this week hosted by the United Way of Hastings. I was asked to speak briefly to the group during the Friday session and to talk about how mental health issues can affect any family, including my own. Thank you to Mari Mellick and Jane Neumiller-Bustad from UWH and all who participated in the webinars.
Have a good weekend,
Tony