Friends and neighbors:
With just four weeks remaining in the 2026 legislative session, lawmakers are entering the final stretch. The session must conclude by midnight on Monday, May 18, as required by the Minnesota Constitution. Following the third deadline on Friday, April 17, committees have completed action on major appropriations and finance bills, and attention will now shift to debate on the Senate floor.
As we approach adjournment, I am hopeful we can deliver meaningful financial relief and improve affordability for Minnesota families.
Under Governor Walz, state spending has increased significantly, depleting the entire $18 billion surplus. Even after roughly $10 billion in new taxes, Minnesota continues to face projected deficits.
Minnesotans should not be asked to shoulder the burden of ongoing fiscal imbalance. Senate Republicans recently held a Tax Day press conference highlighting how tax increases and continued spending growth have contributed to higher costs and reduced affordability.
Minnesota has fallen to 44th in the Tax Foundation’s State Tax Competitiveness Index. At the same time, data from the National Association of State Budget Officers and the U.S. Census Bureau shows state spending has increased by 48%, while population growth has been just 6%.
Tax policy pressures are not limited to the state level. Federal tax changes are resulting in larger refunds for many Americans, along with expanded deductions and relief for some workers. In addition, 25% of filers have seen higher take-home pay through these deductions.
Affordability concerns extend beyond income taxes.
Last session, county leaders warned that state budget decisions would put pressure on local levies. That warning is now becoming reality. Unfunded mandates, increased regulation, and rising state spending are squeezing local budgets and driving property taxes higher. This session, Democrats are proposing a new state-level property tax which would further add to that burden.
Living in Minnesota is taxing. Minnesotans deserve affordability, not a government that grows more expensive every year.
Sincerely,
Senator Gary Dahms (R – Redwood Falls)