On Thursday, Minnesota Management and Budget (MMB) released its annual November budget forecast, showing an estimated budget surplus of  $1.332 billion for the 2020-2021 biennium. The forecast, which is updated twice each year to reflect the state’s revenues and expenditures, will be used to guide the consideration of a supplemental budget during the upcoming legislative session.

“Our bipartisan budget appears to be serving Minnesotans well and it is encouraging to see a surplus and a fully-funded budget reserve. However, it is also a sign that the state is collecting too much from its taxpayers. Minnesota is among the highest-taxed states in the nation; we have an opportunity to provide real relief for our taxpayers,” said Senator Karin Housley (R-St. Marys Point). “There is absolutely no reason to raise taxes or try to leverage additional fees. Instead, I am optimistic my colleagues will agree that we have a chance to make responsible investments in our state and its taxpayers.”

In accordance with Minnesota law, the forecasted surplus accounts for an automatic transfer to the state’s budget reserve, which is now fully funded at $2.359 billion. The legislative session is scheduled to convene on February 11, 2020.

“During the upcoming legislative session in February, we will explore ways to bring relief to hardworking Minnesotans, whether it’s in the form of a middle-income tax cut, continuing the phase-out of the income tax on Social Security benefits, long-term road and bridge enhancements, or something else. Minnesotans are expecting us to deliver,” said Senator Housley.

Senator Karin Housley represents Forest Lake, Stillwater, and the surrounding St. Croix Valley in the Minnesota Senate. She serves as chair of the Senate Family Care and Aging Committee and is an assistant majority leader.