Greetings, Senate District 2!
In addition to sharing some exciting news from the week, I take a closer look at what the recently released November economic forecast means for Minnesotans and the upcoming session.
Minnesota PUC denies request to delay Line 3 construction
This past Monday, the Minnesota Pollution Control agency granted Enbridge the final permit needed for construction to begin in Minnesota on the Line 3 Replacement project. The construction stormwater permits were the last of many state and federal approvals that the project needed, having proven time and time again over a period of six years that the pipeline can be built in a safe and environmentally responsible way.
Today, the Minnesota Public Utilities Commission (MPUC) denied two Motions to Stay the Line 3 Replacement construction that is starting. If these motions had been successful, they would have further delayed a project set to bring huge economic growth to Northern Minnesota at a time when small businesses and communities need this economic boost the most. The MPUC’s decision to deny these motions confirms what was already known, that the Line 3 project has proven through many reviews to far exceed all environmental and safety standards.
We look forward to the opportunities and job growth Line 3 will bring Minnesota as construction gets underway!
Government should tighten its belt to close budget deficit
The office of Minnesota Management and Budget (MMB) on Tuesday released its annual November economic forecast. That report found a surplus of $636 million for the current 2020-21 budget cycle, and a $1.27 billion deficit for years 2022 and 2023. This is a sharp turnaround from the May forecast, which projected a deficit of almost $5 billion.
A couple of important notes to remember when looking at these numbers:
- Part of the current $636 million surplus comes from cutting payments to school districts where students aren’t enrolled in school because of COVID-19 restrictions and mandates, leaving school districts severely underfunded because of the last-minute dip in enrollment.
- The $1.27 billion deficit assumes that the legislature spends the entirety of the current surplus. If we don’t spend any of it, the deficit will be cut in half.
First, it is good news that the forecast is improving, but there are still many, many families and workers who are barely surviving this pandemic. Our improved economic forecast should not make us lose sight of the people who are still in a tough spot because of the governor’s executive orders.
So, what comes next?
The first priority is to provide targeted emergency relief to those who have been impacted by the governor’s latest round of restrictions. Senate Republicans will soon unveil a plan that helps businesses stay afloat and keeps employees on the payroll. But we have to be careful so that help is targeted to those who need it most.
Next session’s biggest non-COVID task will be balancing the budget. To do this, government must look inward. Every agency should find 5% savings within its own budget right off the bat. Then we can dig into each budget area and make the tough decisions about what we must prioritize in hard times.
One thing I won’t do is vote to raise taxes. It does not make sense to me that we would be providing urgent relief to help small businesses and workers through this pandemic, only to turn around and raise their taxes in a few months. Those folks deserve a break. Minnesotans are tightening their belts to get through this; government must do the same.
Sincerely,