The Office of Management and Budget (MMB) released its February revenue forecast earlier today, providing an updated outlook for Minnesota’s financial future. According to the report, the state has a $1.513 billion surplus for the remainder of the 2020-21 budget cycle –$181 million larger than what was projected in the November forecast. Looking ahead, the forecast projects stable, but slower economic growth with fewer collections continuing into 2022-23.

“Every extra dollar taken by the government is a burden to Minnesota families,” said Senator Rich Draheim (R-Madison Lake). “Today’s budget forecast demonstrates the positive impact that tax relief has had on this state, but it also illustrates the importance of limiting the government’s role outside of fulfilling its core responsibilities. Rather than engage in reckless supplemental spending, this surplus should be given back to Minnesotans. That is why we are prioritizing significant tax reform this year to ensure that more money stays in the pockets of Minnesota families.”

Last week, Senate Republicans announced a multifaceted plan to return Minnesota’s budget surplus to taxpayers. The Senate Republican tax plan emphasizes putting money back in the pockets of families and individuals, particularly middle-income and low-income earners, so they have more security, freedom, and flexibility to chase their dreams. This is the marquee piece of Senate Republicans’ Vision 2020 Agenda, which was unveiled in January.