Legislative update from Senator Andrew Lang – March 2, 2018

Dear District 17:

We’re off to a busy start in St. Paul. Here are some highlights from the first full week of session:

Budget surplus

Earlier this week, state officials released the annual February budget forecast. The forecast, which is used by legislators and other officials to make sure the state’s budget is on track, showed a $328 million surplus – about $500 million more than expected. Tax relief at both the state and federal level has led to economic growth, higher wages, and the lowest unemployment rate in more than 17 years. In other words, Minnesota’s economy is in great shape. My colleagues and I plan to build on the momentum of last year’s historically-productive session to deliver a tax bill that puts more of your own money back into your pockets.

“Advancing Minnesota” agenda

With the 2018 legislative session underway, my colleagues and I unveiled our “Advancing Minnesota” agenda for the session. Among other important issues, the main priorities of the Republican majority include tax conformity, infrastructure investments, improving school safety, fixing the state’s failed driver’s license system known as MNLARS, and other issues.

Federal tax reform has created a unique opportunity to further address Minnesota’s tax system, we plan focus on three things:

  • Protecting wages – the federal tax changes lower rates for 90% of Minnesotans, but exposes more income to state income taxes. Without legislative changes, Minnesota families and small businesses will overpay $459 million this biennium and $1.1 billion next biennium.
  • Simplicity – the federal tax changes make filing taxes simple for nine out of ten Minnesotans, but without legislative changes, Minnesotans will be filing their federal taxes on a postcard but hiring an accounting firm for their state taxes.
  • Growing the economy – the federal tax changes are already making an impact on the U.S. economy. Without legislative changes, Minnesota will fall behind other more tax-friendly states like Wisconsin, Iowa, and North and South Dakota.

Other initiatives for the 2018 session include removing burdensome regulations that are contributing to the decline in access to childcare in Greater Minnesota, funding mental health crisis centers to reduce the impact on jails and emergency rooms and getting people the treatment they need as soon as possible, battling back against the opioid epidemic, and making health care costs more transparent.

Finally, I expect a comprehensive bonding bill to pass this year, “bricks and mortar” legislation that will invest in Minnesota’s future. I’m brining forward several proposals for important projects in Greater MN, including:

  • Building a veterans home in Montevideo to house the growing number of aging veterans;
  • Completing road construction projects in Willmar, Appleton, and Maynard
  • Expanding Highway 23 to be four lanes on the entire route between Willmar and I-94

Legislation

I presented three pieces of legislation before committees this week. The first bill, SF2524, establishes a task force to look at charitable gambling in Minnesota – think pull tabs or bar bingo – and whether or not the taxes paid by the organizations are reasonable and fair. The second bill, SF2692, provides National Guard members with access to information relating to state-sponsored life insurance programs. The third, SF2685, eliminates some red-tape rules that have been imposed on child care providers. These bills will continue to move through the committee process.