During the 2019 session, Legislators completed work on a nearly $50 billion state budget, continuing to increase the size of government at an unsustainable pace. Even after all that new spending, the state is still projected to collect nearly $1.5 billion more in taxes than expected just eleven months ago.
Minnesota is already one of the highest taxed states in the nation. With the state budget already funded, and with “rainy day” reserves at historic levels, now is the time to start to relieve that burden and give the surplus back to the Minnesota families and businesses that earned it.
It’s true that government coffers are in good shape – but that’s mostly in spite of decisions in St. Paul, not because of them. In fact, the state economist credits the 2017 federal tax cut as a key driver of the economic success that ultimately led to this one-time budget “surplus”. The state can build on that success and set the state on a path toward long-term economic vitality by reducing taxes and limiting new spending.
Minnesotans understand that more spending does not necessarily bring better results. The historic nostalgia that Minnesotans know they “get what they pay for” rings hollower with every scandalous headline and every legislative auditor’s report detailing hundreds of millions in Department of Human Services waste, wrongful payments and outright fraud.