Last week, Minnesota Management and Budget (MMB) released its annual November budget forecast, which shows a projected budget surplus of $1.332 billion for the 2020-2021 biennium. The forecast, which is updated twice each year to reflect the state’s revenues and expenditures, will be used to guide the consideration of a supplemental budget during the upcoming legislative session.

“The budget forecast is encouraging, but it should be taken with a grain of salt. This latest budget forecast shows our economy is performing well, but it also shows the State of Minnesota is collecting too much from its taxpayers,” said Senator Jerry Relph (R-St. Cloud). “The surplus isn’t an excuse to raise taxes, it’s an opportunity to invest in Minnesotans across the state through middle income tax cuts, lower vehicle tab fees, and additional relief for farmers and small businesses.”

In accordance with Minnesota law, the forecasted surplus accounts for an automatic transfer to the state’s budget reserve, which is now fully funded at $2.359 billion. The legislative session is scheduled to convene on February 11, 2020.

“I optimistic about the upcoming legislative session. It will be an opportunity for us to come together and continue the good work done last year,” said Senator Relph.

Senator Jerry Relph represents St. Cloud, Waite Park, St. Augusta, Haven Township, Minden Township, and St. Joseph Township in the Minnesota Senate.