Newman: It’s Appalling the Democrats Block Minnesotans From Getting Tax Relief, Prove They Are Unable To Compromise To Improve Lives Of Minnesotans

The 2022 Session ended without the passage of major bills providing tax relief, support for public safety and law enforcement, investments in student-first education proposals, and resources to stabilize our struggling long-term care facilities.  

Senate Transportation Committee Chairman Scott Newman (R-Hutchinson) issued the following statement:

“Minnesotans should be furious by the outcome of this session. House Democrats and Governor Walz turned their back on Minnesotans, on good-paying jobs, on the trades unions, on once-in-a-lifetime funding for roads and bridges because of their slavish desire to appease their Education Minnesota allies.

“It’s shameful, pathetic, and embarrassing. The session crashed and burned because of their loyalty to an interest group over their loyalty to the people they represent.

“Dedicating 100% of the existing revenue from the sale of auto parts to roads and bridges would have been a windfall for our transportation system. It would have secured us literally billions in federal funding that we could have used to build a world-class transportation system. 

“So who loses? 

“Minnesotans who want less stressful, easier commutes. 

“Small cities and townships, which would have received permanent, dedicated funding for their road and bridge needs for the first time ever. 

“Working middle-class folks, who will miss out on the thousands of good-paying jobs that would have been created – jobs that will be even more critical with out-of-control inflation, gas prices skyrocketing, and a possible recession in the not-too-distant future.

“Make no mistake about it: Gov. Walz and House Democrats killed important jobs, billions for road and bridge infrastructure, and everything transportation-related this session. And they did it because they wanted to keep their political allies happy.”

BACKGROUND

Throughout negotiations, Senate Republicans provided offers that met the terms of the leadership agreement released on May 16, 2022. They were within the budget agreement set, dropped controversial policy items, and were released to the public for review. 

In return, Democrats frequently sent offers that were over the agreed-upon budget target or introduced new, controversial policy items. In the last 48 hours available to pass bills, the Governor interfered with the Senate-House agreement on State Government, effectively killing the bill.  

Senate Republicans rolled out a strong agenda early in the session that focused on public safety, affording life, and empowering parents. The “Right Track” agenda would have put more cops on the streets and retained law enforcement officers. It included the Biggest Tax Cut Ever! by cutting the lowest income tax rate nearly in half and fully repealing the tax on Social Security benefits. Finally, the Parent’s Bill of Rights and funding for literacy would have brought more transparency and accountability in schools, while reversing the state’s declining literacy rates with proven, scientific methods of instruction. The session largely stayed focused on those three issues, but the challenges nursing homes and long-term care centers reached a crisis that could not be ignored. The Senate Republican nursing home rescue package would have provided much needed funding for staff, recruitment, and training. 

House Democrats have repeatedly blown through deadlines this session, notably passing a bill to refill and pay back a federal loan to the Unemployment Insurance (UI) Trust Fund the day the tax payments were due for thousands of businesses. The delay on UI caused many businesses to overpay their taxes, an especially unfair burden when businesses are still recovering from COVID closures and facing record inflation costs.  

Democrats also delayed renewal of the highly successful reinsurance program until the day before the federal government required passage to approve a waiver for the program. Not passing reinsurance would have led to increased health care costs for people, farmers, and small businesses in the individual insurance market. 

Governor Tim Walz is the only person who can call a special session.

However, the session still saw several bipartisan success stories. In addition to UI and frontline worker bonus checks, and the reinsurance extension, the legislature passed bills to modernize liquor and increased the growler limit. A budget bill for veterans’ included funding for three vets’ homes and bonuses for veterans in the War on Terror. The final day of session included a significant Agriculture, Broadband, and Drought relief bill to assist farmers and greater Minnesotans, and major investments in mental health and competency restoration to help students and individuals in crisis get the help they need.