The office of Minnesota Management and Budget (MMB) on Thursday released their annual February economic forecast. The report, which details the state’s budget picture, projected a surplus of $1.513 billion for the 2020-21 budget cycle, an increase of $181 million from the November forecast. The general fund budget reserve remains at $2.359 billion.
“As I have said time and time again, we are going to return this surplus to Minnesota taxpayers in the form of significant relief,” said Senator Roger Chamberlain (R-Lino Lakes). “There are so many families desperate for a little bit of relief — for a little extra money for car repairs; for childcare costs that are a little easier to manage; for mortgage payments that are a little less stressful. This forecast shows we have the resources to make it happen.”
Senate Republicans have already announced a plan to return the vast majority of the budget surplus to taxpayers. The plan calls for reducing the lowest income tax rate, eliminating Social Security income taxes, expanding tax credits for families with young students, and providing relief for farmers and mom-and-pop businesses. You can read about the “Get your billion back, Minnesota” tax plan here.
Forecast documents