My Vote on HF 4537
I've gotten several questions about why I voted no on HF 4537, the workers compensation bill for first responders.
Let me start by saying in no way does my vote diminish the value I place on the heroic work being done by all of our front-line workers. Every day our doctors, nurses, police officers, firefighters, paramedics, and so many more are risking their lives to care for the sick and protect our communities, my daughter among them.
While the bill ensures that those workers will be covered by workers compensation, it took no steps to fund it. Some estimates project the added cost at $500 million or more, as stated during debate on the House floor by Majority Leader Winkler. If these projections become reality and we don't have a way to pay for it, it will put the workers compensation fund at risk of bankruptcy for all workers — not just those on the front lines of the COVID crisis. I also worry about obligating all employers, including businesses and local governments, with this action which could cause a significant increase in workers' compensation insurance premiums. The League of Minnesota Cities opposed the bill as written for the same reason.
Minnesota will be facing a major budget deficit in the coming budget cycle. Our economy relies primarily on sales taxes and income taxes for most of its revenue; with so many people out of work not paying income tax, and so many sectors of our economy closed and not collecting sales taxes, it's likely our projected budget surplus is gone, and with it our budget reserve and more. The governor is so concerned, he ordered an immediate fiscal forecast, which is normally done only in November and February.
We are going to have to make difficult choices about state spending. Adding potentially $500 million in workers comp costs is a promise we're making that we may not have the money to fulfill down the road. We need to figure out a funding mechanism for this bill that ensures we can keep the promises to our front line workers, and all who rely on workers compensation. With a solid, fair, funding source, I would strongly support this bill.
Over the coming days I will be working with my colleagues and monitoring efforts underway to find a way to make sure our workers compensation fund remains solvent for all the workers who are going to need it during this crisis and beyond. I will continue to support our front-line workers and the critical work they are doing to keep our communities safe and caring for the sick, the elderly, and others.
If you have any questions about my vote, I hope you'll contact me directly.
Stay healthy,
Marion
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