Today the state released the February budget forecast, showing Democrat tax increases lead to a $3.7 billion surplus in 2025 and a $1.5 billion structural deficit beginning in 2026. The new surplus forecast does not account for any new spending, meaning that new spending bills passed in 2024 will further increase the deficit.

Senator Eric Pratt (R-Prior Lake) released the following statement in response:

“Today’s forecast confirms what we’ve feared all along – out of control spending will lead Minnesota down an unsustainable path. Democrats have decided to operate with a ‘spend now, think later’ mentality, and it’s clear that it will eventually culminate in a crippling deficit that Minnesota families will have to pay for. Minnesota Democrats spent the entirety of our previous $17.5 billion surplus and did so in tandem with $10 billion in tax hikes. Today’s news shows that those new tax increases weren’t enough to avoid a deficit.  

Senate Republicans have put forward a ‘Repair Minnesota’ agenda that focuses specifically on this point. We need to address the issues facing our state sooner rather than later, so we can repair the budget and get our state’s finances in order before it’s too late.”