Today the state released the February budget forecast, showing Democrat tax increases lead to a $3.7 billion surplus in 2025 and a $1.5 billion structural deficit beginning in 2026. The new surplus forecast does not account for any new spending, meaning that new spending bills passed in 2024 will further increase the deficit.

Senator Karin Housley (R-Stillwater) released the following statement in response:

“Today’s news confirms what we’ve been saying all along – Minnesota is barreling towards a deficit, and we need to focus on repairing the budget and getting our state’s finances in order.

Minnesota had a historic surplus last year, and it was disappointing to see it spent in record time, alongside $10 billion in tax increases. We’re now seeing the long-term effects of a session dedicated to over-spending. It’s time for us to get serious about reining in the spending and getting our budget in order. In a time of increased costs at every corner, Minnesota families deserve to know we are working to keep life affordable, and that means repairing the budget so they don’t have to worry about higher taxes in 2025 and beyond.”