On Thursday, March 6, Minnesota Management and Budget (MMB) released its annual February revenue forecast, providing information and an outlook for the state’s financial picture. The latest forecast shows a smaller $456 million surplus at the end of 2026 and a larger $6 billion deficit by 2029. The forecast numbers do not account for any new spending, meaning any additional spending bills passed this legislative session will further increase the deficit down the line.
“Minnesota Democrats wrecked our state budget,” Senator Torrey Westrom (R–Alexandria) said. “They used their ‘trifecta’ control to deplete the entire $18 billion surplus and raise taxes and fees by $10 billion over the past two years. Now, we face a looming $6 billion deficit. During the recent election, Minnesotans sent a clear message: end the extreme spending. Government needs to stop treating taxpayers as bottomless piggy banks. My Republican colleagues and I are committed to passing a balanced budget that puts Minnesotans first!”
Under the control of the Democrat trifecta, Minnesota’s state government grew by nearly 40%. At the same time, taxes and fees were increased by $10 billion, making life more expensive for Minnesotans. The state now has some of the highest individual taxes and the 46th worst state and local tax burden in the nation.
The February forecast will serve as a guide for the Minnesota Legislature in creating the upcoming two-year budget before the constitutionally mandated session deadline on May 19, 2025. Click here to read the full MMB November Budget and Economic Forecast.