They identified at least $600 million in wasteful spending
Senate Republicans held a press conference today to highlight at least $600 million in wasteful or unnecessary spending identified in the state budget. Republican leaders emphasized that these funds could be better used to support essential services and reduce the financial burden on Minnesota families.
“Governor Walz has proposed painful cuts to disability care and special education to balance the budget, but we are taking a different approach to put Minnesotans first,” said Senate Republican Leader Mark Johnson (R-East Grand Forks). “We’ve identified hundreds of millions of dollars being poured into projects and programs that don’t serve the best interests of Minnesotans. By ending the train boondoggles, freeing up existing health care funds, prioritizing Minnesotans, and implementing good government measures, we can cut spending – without shifting the costs onto counties or schools, who will in turn, shift that burden onto property taxpayers.”
Identifying waste for immediate savings
Republicans pointed to several key areas where spending reductions could immediately save taxpayers money, beginning with transportation – especially commuter and light rail projects, that would cut almost $250 million in waste.
The first proposal was to undo an earmark of $21 million to fund a public option health care plan that has yet to be passed.
Then Sen. John Jasinski (R-Faribault) highlighted several transportation projects that are costing million in subsidies for very few riders or on ideas that won’t work.
“Transportation is one of the best and easiest areas we can make smarter choices with taxpayer dollars, ” Jasinski said. “Projects like Northstar and Southwest Light Rail have proven to be expensive failures, and we run the same risks with new train projects like Northern Lights Express. We have wasted even more on unworkable redesigns for I-94 between Minneapolis and St. Paul. By cutting waste in these projects alone, we can save Minnesotans nearly $250 million. That is real money that’s much better spent on critical services that people actually want and need.”
Cut the waste in transportation:
- NLX Passenger Rail – $194.5 million dedicated to the Northern Lights Express rail line, which has faced ongoing questions about feasibility and ridership.
- Reconnect Rondo – $500,000 remaining from the original $6.2 million appropriation for this neighborhood reconnect project.
- Blue Line Extension – $30 million for a light rail extension project that continues to face delays and cost overruns.
- NorthStar Rail Cancellation – $22 million per biennium that could be saved by ending the underperforming commuter rail line.
Jasinski also shared a letter to Gov. Walz and Transportation Commissioner Nancy Dauenberger asking them to pause spending on the Northern Lights and provide a detailed accounting of what has been spent on the project so far.
Next on the list of wasteful spending were expensive benefits that provide undocumented non-citizens with free health care, college, and even some tax credits, to the tune of up to $378 million.
“With Minnesota facing a $6 billion deficit, we must act now to protect taxpayers and prioritize essential services,” Senator Jordan Rasmusson (R-Fergus Falls) said. “Yet, Democrats continue to put non-citizens ahead of hardworking Minnesotans. Every dollar spent on benefits for those here illegally is a dollar taken away from schools, health care, and other critical services for Minnesota families. We should not incentivize individuals who actively break our immigration laws to come to Minnesota to get taxpayer-funded benefits. It is time to ensure our taxpayer dollars go to Minnesotans first.”
Cut the waste on non-citizens:
- MNCare for Undocumented Non-Citizens – $220 million in taxpayer dollars allocated to expand MinnesotaCare coverage for undocumented non-citizens.
- North Star Promise for Non-Citizens – $86,000 for tuition assistance to undocumented students under the NorthStar Promise program.
- Tax Credits for Non-Citizens (ITIN)* – $158 million in tax credits for individuals without a Social Security Number.
Responsible Reforms to Prevent Wasteful Spending
In addition to highlighting wasteful spending, Senate Republicans also introduced a series of good government proposals designed to prevent future budget mismanagement and ensure greater accountability in state spending. The group believes $600 million is just the beginning of available savings by cutting waste.
“Our government should be transparent, accountable, and efficient,” said Senator Rich Draheim (R-Madison Lake). “These bills put Minnesotans first by ensuring taxpayer dollars are spent responsibly, conflicts of interest are eliminated, and wasteful spending is stopped. Minnesotans deserve a government that works for them—not for special interests or personal gain.”
Cut the waste with good government reforms:
- Financial Disclosure by Legislators – Requires legislators to disclose any financial ties to entities seeking state funding; prohibits legislative staff from being paid by organizations receiving state funding.
- Restrictions on Grants to Nonprofits with Highly Compensated Officers – Prevents state grants from going to nonprofits where officers or employees receive excessive compensation.
- Vacant State Office Space Report – Mandates regular reporting on unused state office space to improve efficiency and reduce costs.
- Sunsets for Commissions and Working Groups – Requires commissions and working groups to sunset after two years unless reauthorized by the legislature.
- Zero-Based Budgeting – Implements a zero-based budgeting process every 10 years to ensure all state spending is justified and evaluated for necessity and effectiveness.
Republicans underscored that reducing wasteful spending will allow the state to avoid drastic cuts to essential services and restore integrity to the budget.
“These common-sense reforms will bring greater transparency and accountability to state government,” said Johnson. “We’re not just cutting waste—we’re putting mechanisms in place to stop it before it starts. We don’t have a revenue problem—we have a spending problem,” Johnson added. “By eliminating waste and focusing on priorities, we can put Minnesotans first and build a stronger future for our state.”
*Not all ITIN filers are non-citizens here illegally. An inquiry to find the difference between legal non-citizen filers and illegal non-citizen filers was not available by the time of the press conference. See the federal guidelines on ITIN for additional information.