On Thursday, Minnesota Management and Budget (MMB) released its annual November budget forecast, showing an estimated budget surplus of  $1.332 billion for the 2020-2021 biennium. The forecast, which is updated twice each year to reflect the state’s revenues and expenditures, will be used to guide the consideration of a supplemental budget during the upcoming legislative session.

“I’m proud to see Republican-led reform has paid off by providing the state a $1.332 billion surplus. As a result of fiscal restraint, and investment in you, the Senate has taken charge and showed we can improve the quality of life for Minnesotans without unnecessary tax increases,” said Senator Jeff Howe (R-Rockville). “Despite the proven success, we face challenges in the upcoming session including the Governor’s persistent gas tax and a bevy of taxes and fees being proposed by members of the House. It is my hope that we can avoid these burdens and instead reach a compromise to use our available surplus dollars to tackle real issues we collectively face, such as health care, education, roads, and bridges, and protecting your family’s bottom line.”

In accordance with Minnesota law, the forecasted surplus accounts for an automatic transfer to the state’s budget reserve, which is now fully funded at $2.359 billion. The legislative session is scheduled to convene on February 11, 2020.