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.

“Today’s budget forecast shows Minnesota is in good fiscal shape, but it also means the state has collected too much revenue,” said Senator Eichorn (R-Grand Rapids). “Rather than rush to spend it extravagantly on supplemental programs, we should ensure that our government lives within its means. With the surplus, the legislature should prioritize helping families, emphasizing tax relief, and putting money back in Minnesotan’s hands so that they succeed on their own.”

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.