Omnibus Budget Bills
As for action at the Capitol this week, budget bills have begun making their way to the floor in the House. Housing, Legacy, State Government Finance, and Transportation omnibus packages all were brought to the floor.
This point of the session involves long floor sessions with lots of debate and amendments.
While budget bills are now coming to the House floor for the first time, we undoubtedly will see them again as there are significant differences between what is traveling through the Democrat House and Republican Senate.
With a May 17 date for the Legislature to adjourn, there is enough time to bridge gaps and reach common ground, but we need willing partners to do so.
Some of the bills we heard on the House Floor this week are summarized below:
Legacy Bill – appropriates the revenue raised by the sales tax from the 2008 Clean Water, Land, and Legacy Amendment to “enhance, restore, and protect” MN’s water, outdoors, parks, and arts.
Pro – I support the $256M for the biennium that goes to the Clean Water Fund and will be allocated to restore water quality in lakes, rivers and streams and to protect our groundwater and drinking water sources.
Con – Problematic provisions in placing restrictions on the Soil and Water Conservation Districts funding and not enough money allocated to meet their project needs.
Housing Omnibus
Pro – $6M for the Challenge Program grants for workforce housing across MN and $2M additional funding for Manufactured Home Park infrastructure grants.
Con – The bill ads many additional mandates and doesn’t do anything to impact our housing shortages and rising costs. Additionally, the bill failed to include a 90 day off-ramp of the eviction moratorium put in place during the pandemic. A similar bill already passed the senate with bi-partisan votes. I have heard from many, many housing providers – residents in our communities who own small properties – about their inability to collect rents from tenants who have in fact received housing support funds. This situation will further exacerbate our housing shortages.
Research shows that with all the assistance and work done between renters and housing providers, Minnesota is not facing an eviction wave. Here’s additional information on rental assistance: https://www.renthelpmn.org/
This website has information for both renters and landlords as MHFA prepares to release the $295 million in rent/utility assistance from the federal bill. As a reminder to date, with the $100 million from the CARES Act and other state funding, we have provided over $400 million in rent support over the last year.
Transportation Omnibus – At a time when Minnesota has a $4 billion surplus, this bill contains a gas and light rail tax hike as well as tab fee and other increases totaling $1.6 billion in increases over four years.
Pro – Increase funding to small cities and township roads from the auto parts sales tax. Also, there is some money and provisions to improve access to driver’s license testing, which has been a major and growing problem across our state.
Con – These tax increases will hit Minnesotans of all income levels at a time when many are still struggling and will make Minnesota a more expensive place to live and drive. We do not need to raise taxes to take care of one of our most basic functions of government. While the state government is flush with funds, we should be investing that money in the core functions of government.
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