Republican budget led to $1.5 billion surplus; Minnesota well-positioned to fund priorities without raising taxes
ST. PAUL, MN – New budget estimates released by Minnesota Management and Budget show the last Republican budget led to a $1.5 billion budget surplus heading in to the 2020-21 biennium. The state’s rainy day fund will receive a $491 million infusion, bringing it to a record high of over $2 billion. Minnesota also has a significant structural surplus moving forward through the 2022-23 biennium.
In the last biennial budget, Republicans passed the largest tax relief package in nearly two decades, benefiting seniors, college graduates, small businesses, and farmers. Republicans will consider more tax relief in light of the significant budget surplus.
In response to the forecast, Rep. Nels Pierson (R-Stewartville) released the following statement.
“Thursday's budget forecast demonstrates that tax cuts and responsible state budgets have helped create a strong and thriving Minnesota economy,” said Rep. Pierson. “As we enter 2019 with a surplus of this size, there is no need to raise taxes and impose new financial burdens on families. The taxpayers of Minnesota have helped our state become financially sound, and with this surplus we have the opportunity to allow them to keep more of their hard-earned paychecks while also making targeted investments in needed areas.”
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