Kiffmeyer: Addressing Minnesota’s budget surplus, unemployment insurance, and health care worker shortage

Friends and neighbors,

With the 2022 legislative session set to begin at the end of January, a key topic my colleagues and I in the legislature will discuss is our state’s budget surplus. 

Minnesota’s state budget is projected to have a $7.7 billion surplus for the fiscal 2022-23 biennium with an additional $1.15 billion in federal funds. This surplus was a result of higher than anticipated increase in tax collections, including a 10% increase in individual income tax collections. In addition, our state’s reserve and cash flow accounts are topped out at $2.65 billion and $350 million, respectively. Also, revenues for both November and December of 2021 were equal to $833 million more than forecast surplus of $7.7 billion in the November 2021 Forecast. 

While our government budgets may be strong, the average Minnesotan is currently facing economic uncertainty due to growing inflation. To address this, I will continue to work this session to block unnecessary spending and provide additional tax relief to support employees, employers, and families. Especially now, our small businesses need the economic support needed to grow and provide jobs with competitive pay. It’s critical to get government spending back under control and keep more hard-earned money in the pockets of Minnesotans.

We will also be working this session to fix Minnesota’s unemployment insurance. As a result of our state borrowing from the federal government to finance our unemployment program throughout the pandemic, Minnesota now owes more than $1.2 billion. Those loans started off as interest-free, but this is no longer the case. To ensure this interest does not grow any further, it is fiscally responsible for Minnesota to pay off its debts. I believe that using our state’s budget surplus is one way we should consider doing so.

My perspective on the recent U.S. Supreme Court’s decision to block a vaccine mandate for businesses but allow it to stand for certain medical facilities. It is imperative to preserve and protect our constitutional rights, and this is reflected in the Supreme Court’s decision to halt the vaccine mandate on businesses.

However, I do hold serious concerns on the Supreme Court’s decision to uphold the vaccine mandate on health care workers at facilities that receive funding from Medicare or Medicaid, which “accounts for about 10.4 million workers at 76,000 health care facilities.” 

Healthcare workers should not lose their rights. In addition, our nation and state are already experiencing a drastic shortage in health care workers and this decision can only lead to additional decreases in workers.

This concern is echoed by Dr. Jay Bhattacharya, a professor at the Stanford University School of Medicine. Bhattacharya shared that, “It’s already the case that there’s a reduction in staff hospital beds—tens of thousands—and that’s because they’ve lost so many workers in hospitals. [Health care workers] left because they didn’t trust the vaccine.”

Furthermore, with a recent statewide survey by the Long-Term Care Imperative showing Minnesota care facilities are estimated at being 23,000 staffers short, we cannot afford to lose any more workers. Minnesota’s health care worker shortage is another critical topic to be addressed this upcoming legislative session. Recently, California decided to allow asymptomatic (but vaccinated) nurses to return to work. 

Contact me

As always, if you have questions or concerns on our state budget or any legislative topic, feel free to contact me any time. You can call me at 651-296-5655 or send me an email at sen.mary.kiffmeyer@senate.mn. It is a privilege to serve as your state senator.

Sincerely,

Mary