Neighbors,
We had another busy week in St. Paul as the Governor released his budget on Tuesday and the Senate Majority released Minnesota’s Priorities late last week. I continue to take lots of meetings, albeit virtually, and have been tackling big issues both in my committees and outside of it. I’m here to solve problems and have dropped several bills to do that.
Thank you,
Rich
Minnesota Priorities
Senate Republicans released their 2021 Minnesota Priorities late last week. “Over the last four years, Senate Republicans have fully-funded state government without raising taxes— in fact, we cut taxes for middle-income earners for the first time in 20 years,” Gazelka said. “We have improved healthcare access and affordability for every Minnesotan across the state while putting a stop to the waste and fraud that maligns our health and human services. We have increased funding for students and protected our elderly from abuse. But, between COVID-19 and a $1.3 billion budget deficit, we have our work cut out for us this year.”
“So, in 2021, Senate Republicans will work to safely reopen schools and businesses to recover our economy. We will keep life affordable by balancing the budget- without raising taxes. That means no new gas tax, no new income tax, no new sales tax. And we are going to ask government to tighten its belt as well. We will support families with choices for their kids’ education and homeownership in their communities. Working together, we will advance Minnesota out of the covid shutdowns and restore a full and abundant life for everyone,” Gazelka concluded.
RECOVERING FROM COVID-19
Re-opening Minnesota
Businesses across the state have made incredible sacrifices to open safely. Senate File 1 says that businesses with safety plans already in place may open up with no restrictions from outside forces. Governor Walz should not have the power to open and close small businesses at his will, it should be only be exercised temporarily when a business is a proven source of spread. Our bill is a tool to peel back the restrictions unilaterally placed on Minnesotans and hopefully bring our state back to the booming economy it was before the pandemic struck.
Reopening schools
Gov. Walz’s executive orders closing schools have been among his most questioned of the outbreak. There is overwhelming evidence that the danger of keeping schools closed far outpaces the risk of bringing students back into classrooms. Senate Republicans will protect a student’s right to a great education at all times by removing any governor’s authority to close schools or alter school schedules via executive order. The decision on how and when to reopen should not be made from the governor’s office. It should come from local school boards and community leaders. They are the ones who know what is best for their students.
Protecting seniors from Covid-19
Minnesota seniors have been left without answers for nearly ten months. They have been left cooped up in their homes and care facilities waiting for direction and guidance. Now that a vaccine is available, the focus needs to be on getting the vaccine to our seniors, if they want it, as quickly as possible.
Supporting small businesses
Senate Republicans and the Jobs Committee have three main goals: 1) Passing a balanced budget that helps Minnesota work towards economic recovery, 2) Focusing on reducing unemployment, and 3) Addressing the economic crisis and health care crisis together. Passing a balanced budget will be the key to economic recovery, and getting people back to work. Part of this will include re-examining our unemployment insurance system, as well as the taxes and fees our businesses have been paying. Amidst it all, we need to make sure our citizens are safe, while trusting our businesses to safely stay open. People have invested their life savings into their businesses, and the grants we’ve provided just aren’t enough. We’re going to focus on how we can flatten the curve on economic issues, AND the health care crises. We cannot and should not wait until the pandemic is behind us to fix the problems—we need to tackle these issues now.
Reforming emergency powers
Our government is built on the concept of the balance of power between our three branches of government, but as we’ve seen with the use of the peacetime emergency by Governor Walz and his executive branch, the Governor has exerted nearly total control over Minnesota and our policies regarding COVID-19 without the oversight of the legislature. While Senate Republicans respect the idea of maintaining emergency powers to react to immediate threats, there becomes a point in time where it affords the executive too much power to circumnavigate our democratic process and destroy any sense of transparency and accountability Minnesota had in place. This legislation helps us define that window, making it clear that after 30 days, it’s time to start cooperating with the legislature on commonsense solutions that we all agree will make Minnesota a better and safer place.
KEEPING LIFE AFFORDABLE
Balancing the budget without raising taxes
The number one job this session is to balance the two-year budget. Senate Republicans will balance the budget without raising taxes, just like last time. That means no new gas tax, no new income tax, no new sales tax. The $1.3 billion shortfall can be resolved with budget cuts and by using our budget reserve fund.
Tightening the government’s belt
The number one task of the session is closing the state’s budget deficit without raising taxes. Senate Republicans will require each state agency to find 5% savings within their budgets to help accomplish this goal. With families across Minnesota facing incredible financial hardship or, in many cases, on the verge of losing everything due to Covid restrictions, it is perfectly reasonable to ask state government to tighten its belt. Minnesotans cannot afford a tax hike, and it’s unconscionable to ask them to pay more after the sacrifices they have already made over the past year.
Protecting Minnesotans from expensive California car rules
Governor Walz and the Minnesota Pollution Control Agency are pushing forward with their attempt to implement California emissions standards on Minnesotans without any legislative input. This doesn’t just mean more expensive cars for all Minnesotans, but threatens people’s livelihoods. These standards will impact construction trucks, tractors, and even electric coops diesel generators, hurting our economy while having a destructive impact across Minnesota communities with little to no environmental gain.
Restoring accountability in our government
State government agencies must never forget they serve the people of Minnesota. A key Senate Republican priority for this legislative session is holding the Department of Health and the Department of Human Services accountable. This year the legislature must set a budget and we cannot afford any more waste, fraud, and abuse from these agencies. Over the past few years, we have achieved some meaningful reform despite pushback from bureaucrats but a lot more must be done. These agencies must be reformed to better serve the interests of Minnesotans.
SUPPORTING MINNESOTA FAMILIES
Helping disadvantaged students get a great education
Minnesota has long prided itself on having one of the best education systems in the country. But that system is not working for many Minnesotans — especially low-income families and families of color. As of 2019 barely more than 50% of students met math standards and 58% met reading standards. That’s a failure. We have a moral duty to do better. Senate Republicans will create opportunity scholarships for disadvantaged students to help them access a better education. It has overwhelming support in minority communities. Parents want choice and self-determination, and every student deserves an equal opportunity to succeed.
Housing and homeownership
Community starts at home. Housing dictates family budgets, education opportunities, job markets, and much more. Over the next biennium, Senate Republicans will look to open up Minnesota’s housing market in a multitude of ways, including introducing reforms that reduce construction costs and decrease regulations currently limiting market-rate housing in an effort to make homes affordable for more Minnesotans.
Delivering new veterans’ homes for Minnesota’s at-risk veterans
The Veterans and Military Affairs Finance Committee have several large priorities this year: tackling veteran homelessness, suicides, and pressuring the federal government to complete our three new veterans homes in Minnesota. These new veteran homes are great for Minnesota, and we’ve done our part to make sure they’re prepared to open and house as many veterans as possible. Senate Republicans will help as much as we can, but we need to put pressure on the federal government to uphold their end of the bargain.
Response to Governor’s Budget
On Tuesday, Gov. Walz announced his proposed two-year budget. The budget includes $52.4 billion in spending and calls for $1.64 billion in new taxes on Minnesotans
I released the following statement in response to the Governor’s budget announcement:
“Over the past several years, Senate Republicans have prioritized investing in Minnesotans. We cut taxes on the middle class and focused on reforms that gave economic power and freedom back to you, knowing that your hard work is what truly drives Minnesota,” said Sen. Draheim.
“This past year, Minnesota has been through a lot. From COVID to prolonged economic lockdowns, Minnesota has demanded a lot of its hardworking residents. Rather than provide relief, Governor Walz’s proposed budget asks families to give more to allow the government to grow. Instead of another decade of uncontrolled growth, state government must take a hard look in the mirror and make choices that eliminate wasteful spending while empowering Minnesotans to succeed.”
Helping Businesses through COVID-19
The Senate on Monday unanimously passed bipartisan legislation chief-authored by Senator Eric Pratt (R-Prior Lake) that would hold employers harmless to unemployment insurance experience ratings due to COVID-19 closures and shutdowns. Record unemployment in 2020 as a result of COVID-19 and the Governor’s Executive Orders, would have dramatically increased the amount businesses would need to pay into the Unemployment Insurance Program.
“This bill is going to help our businesses and employers afford to hire back employees,” said Senator Pratt. “So many employers had to lay off their employees because of the pandemic, and normally, they’d be forced to pay a higher premium if they have to draw from the insurance pool. We want to make sure our employers aren’t penalized for things outside of their control.”
An end-of-2020 sunset on language that stated unemployment benefits paid as a result of the COVID-19 pandemic would not be used in computing the future Experience Rating of unemployment insurance taxpaying employers led to this legislation. These ratings are typically calculated based on taxable wages and benefits paid by the employer over the previous 48-month period.
To make sure the Experience Ratings paid as a result of COVID-19 are not factored into the calculations, the Unemployment Insurance (UI) Program needs to examine each individual charge and determine whether or not it is related to COVID-19. This bill will ensure that employer’s experience ratings are held harmless by carrying their 2020 experience rating forward into 2021, it will give the UI Program the time it needs to remove benefit charges relating to COVID-19, and it caps the taxable wage base for UI at $35,000 for 2021. Also included is language that ensures COVID-19-related UI benefits will never be used to compute employer Experience Ratings now or in the future.
“It’s critical that our employers be held harmless for COVID-related layoffs,” Senator Pratt added. “DEED will hold all employers’ rates flat for 2021, and taxable income will be held flat for 2020. Our businesses have been suffering for nearly a year, and this is a move in the right direction towards economic recovery.”
Contacts
I’ve heard from many of you but wanted to make sure you have contact information for myself and other elected officials in the State:
State Senator Rich Draheim
651-296-5558
Sen.Rich.Draheim@senate.mn
Governor Tim Walz
651-201-3400
https://mn.gov/governor/contact/
US Rep. Jim Hagedorn
202-225-2472
https://hagedorn.house.gov/contact
US Rep. Angie Craig
202-225-2271
https://craig.house.gov/zip-code-lookup?form=/contact/email-me
US Sen. Amy Klobuchar
202-224-3244
https://www.klobuchar.senate.gov/public/index.cfm/email-amy
US Sen. Tina Smith
202-224-5641
https://www.smith.senate.gov/share-your-opinion
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