In response to a $1.5 billion surplus, Senator Warren Limmer (R-Maple Grove) said, “We have fully funded state government, the rainy-day accounts are full, and Minnesota’s economic outlook is stable. We have a few urgent priorities to address, but most of the surplus should go back to taxpayers in the form of significant, broad tax relief. Smart, responsible budgeting has put Minnesota’s finances on solid ground.”
The office of Minnesota Management and Budget (MMB) on Thursday released their annual February economic forecast. The report, which details the state’s budget picture, projected a surplus of $1.513 billion for the 2020-21 budget cycle, an increase of $181 million from the November forecast. The general fund budget reserve remains at $2.359 billion.
The Senate majority already announced a plan to return the vast majority of the budget surplus to taxpayers. The plan calls for reducing the lowest income tax rate, eliminating Social Security income taxes, expanding tax credits for families with young students, and relief for farmers and mom-and-pop businesses. You can read about the “Get your billion back, Minnesota” tax plan here.
Forecast documents