Dear Neighbors:

This Friday, April 20 marks the final committee deadline of the session, meaning most bills must have made it through the committee process by the end of the day. There is just over one month remaining in the legislative session before the constitutionally-mandated adjournment date of May 21. While bills are still rapidly moving through the committee process, the Senate did pass a few bills off the Senate floor this week.

• SF 2484 – Honoring fallen Wayzata officer Bill Mathews by making U.S. Highway 12 a memorial highway.
• HF 2764 – Technical changes relating to the domestication and conversion of corporations, nonprofit corporations, limited liability companies, limited partnerships, and partnerships.This bill is one I authored that brings our corporate statutes into line with modern practice.
• HF 3157 – Creates new criminal penalties for individuals found guilty of misrepresenting their pet as a service animal.
• SF 3466 – Allows motorcycle permit holders to travel freely on interstate highways.
• SF 3596 – Makes a change to the existing biodiesel blending mandate to allow for a ramp-up period to reach seasonal mandates.
• HF 3158 – Requires one hour of continuing education on Minnesota state law and rules for mortgage loan officers.

What’s left on the agenda?

Expect proposals related to tax conformity, capital investment, curbing the opioid epidemic, childcare availability, elder abuse, and more to be released over the next week. With one month remaining in session, we are optimistic we will be able to adjourn the session with these issues taken care of in a timely manner.

Childcare is an issue that remains a priority for me. With the news of additional funds coming from the federal government for childcare, there should be a prioritization of those funds to deal with some of the barriers facing providers, including continuing education, licensing discrepancies, and business plan development. We also continue to have conversations on some of the undue requirements for childcare providers, the inconsistent enforcement of those requirements, and the great need for variances – all significant issues facing our rural communities and exacerbating the childcare shortage we’re seeing today in Greater Minnesota.

Caring for People

Last week, my Senate Republican colleagues and I outlined a series of initiatives designed to improve Minnesotans’ access to mental health services. It is time we faced this crisis head on to ensure Minnesotans have access to life-saving care and don’t end up in already-overcrowded jails and emergency rooms. The proposal, which is included in various omnibus bills, includes:

• $30 million for emergency mental health crisis centers across the state.
• Funding for permanent supportive housing for those who need longer treatment or extended monitoring.
• Grants to support students’ mental health needs via telemedicine.
• Funding for mental health support for farm families and business operators.
• Funding for school counselors, nurses, social workers, psychologists, and alcohol/chemical dependency counselors.

Supplemental budgets

Every odd numbered year, the legislature is responsible for passing a two-year state budget. In even numbered years, like 2018, the legislature is tasked with making sure the state’s finances and budget remains on track, supplementing the previously-passed budget if necessary. This year, supplemental budget bills are finishing up in the committee process and will be taken up by the full Senate over the next month. Here’s a look at where things stand:

Transportation

The supplemental transportation budget spends an additional $15.02 million out of the general fund in FY2019, with nearly all that spending dedicated to fixing the failed Minnesota Licensing and Vehicle Registration System (MNLARS). The bill allocating this money also requires MN.IT to update the legislature on a quarterly basis as to their progress made on fixing this broken system. Additional money will come out of dedicated transportation-related funds to cover more MNLARS needs, as well as reimbursements for the deputy registrars negatively affected by the state’s failed system. Additional provisions in the transportation supplemental budget include enhancing the penalty for driving slower than the flow of traffic in the left lane, prohibitions on where light rail lines can be constructed, and equity of funding between rural and metro areas in the Corridors of Commerce program.

Human Services

The supplemental human services budget contains an additional $25 million in general fund spending in FY2019 and $14.5 million in FY2020-2021. The budget includes $5 million for school-linked telemedicine mental health grants, as well as funding for child welfare training, funding to cover the 7% federal rate cut for providers/Disability Waiver Rate System (DWRS), and more.

Environment and Natural Resources

There will be no new general fund spending in the environment and natural resources budget area, but there is a small amount of additional spending coming from dedicated environment revenue accounts.

Jobs and Economic Growth

There is $15 million in new spending, largely for the Border-to-Border Broadband Grant Program to enhance internet speed and connectivity in Greater Minnesota.

Judiciary and Public Safety

There is $7 million in new general fund spending, with the bulk of that spending going to the Department of Corrections for prisoner health insurance contracts that were not funded going forward in last year’s omnibus spending bill because the contracts had not yet been negotiated.

Energy and Utilities

There is no new general fund spending in this area. However, the bill does include provisions that spend from the dedicated Renewable Development Account for an energy storage study.

State Government

There is no new general fund spending in the state government budget area. There are several notable reform provisions, however, including collective bargaining reform, a statewide voter registration system upgrade, and a significant reorganization of the state’s information technology agency known as MN.IT.

Higher Education

There is no new spending in higher education; however, the bill does reallocate $1 million in unexpended funds from the Minnesota State Two-Year Public College Program. This funding will go toward the state grant program, an agricultural educator loan forgiveness program, student loan debt counseling, and other areas.

Agriculture

There is no new general fund spending, but there are several notable provisions. These provisions include an increase in mental health support for farm families and ag business operators, a decrease on the fee for native grass seeds, and a measure prohibiting the Department of Agriculture from adopting any water protection rules that limit nitrogen fertilizer which has not been passed by the legislature. This is in response to a proposal floated by the Dayton Administration increasing the regulation of nitrogen fertilizer.

Education

In the supplemental budget for the K-12 education area, there is $19.8 million in new general fund spending for FY2019, with an additional $10.9 million in FY2020-2021. This new general fund spending was used for Safe Schools Aid that goes to public schools and can assist in needed areas like secure facility upgrades and other safety measures. The bill also includes notable policy provisions including increasing the frequency of school employee criminal background checks to every three years (instead of solely upon hiring or licensure), requiring ballots for referendums on school bonding projects to include a reference to the specific facility plan(s) under question, and prohibiting school employees from using school resources to advocate for/against ballot questions and/or the election of officials.

These supplemental budgets will be considered by the Senate Finance Committee over the next several days and will come up for consideration by the full Senate shortly thereafter. It is important to note that, while these bills continue to be discussed, changes will likely be made. I will keep you updated.