On Thursday, March 6, Minnesota Management and Budget (MMB) released its annual February revenue forecast, providing information and an outlook for the state’s financial picture. The latest forecast shows a $456 million surplus at the end of fiscal year 2027, $160 million less than was projected in November’s forecast. The February forecast also shows an increased deficit of $5.995 billion in the 2028 – 2029 fiscal years which is a $852 million increase from November’s forecast. The forecast numbers do not account for any new spending, meaning that new spending bills passed this legislative session will further increase the deficit down the line. 

“Minnesota’s latest budget forecast reveals an even deeper financial crisis,” Senator Gary Dahms (R – Redwood Falls) said. “Reckless Democrat spending, along with widespread waste, fraud, and abuse in state agencies, has led to a staggering deficit. As we work on the next state budget, we must hold the government accountable and put Minnesotans first.” 

The February forecast will serve as a guide for the Minnesota Legislature in creating the upcoming two-year budget before the constitutionally mandated session deadline on May 19, 2025. Click here to read the full MMB November Budget and Economic Forecast. 

“We as legislators need to focus on the pocketbooks of Minnesota’s families and citizens,” concluded Senator Dahms. “It’s time to rein in spending so Minnesotans can better afford food, housing, education, and other important necessities.”