A
weekly
message
from
your
Senator
Dear
Constituents
and
Friends,
We
are
short
of
two
weeks
remaining
in
the
2017
legislative
session
and
time
for
reaching
compromise
on
a
state
budget
for
the
biennium
is
running
out.
Below
I
outline
the
latest
on
taxes,
education,
the
environment,
and
healthcare.
I
am
hopeful
we
will
reach
agreement
on
a
sensible
tax
bill
that
balances
relief
to
Minnesotans
and
business
owners.
I
am
also
optimistic
on
funding
for
education
and
healthcare
priorities.
I
look
forward
to
finishing
our
work
on
time
by
the
adjournment
date
of
May
22nd.
Please
continue
to
send
me
your
thoughts,
questions,
and
concerns.
Sincerely,
Melisa
The
Tax
Conference
Committee
met
for
about
seven
total
hours
during
the
past
two
weeks
to
discuss
policy
not
items
that
impacted
the
state’s
budget
and
did
not
accept
public
testimony
on
items
included
in
the
bills.
Still,
the
committee
approved
$1.13
billion
of
spending
in
about
an
hour
on
Monday
evening,
including
several
provisions
Governor
Dayton
has
promised
to
veto.
While
there
are
ideas
in
this
bill
that
I
support,
the
irresponsible
spending
and
inclusion
of
controversial
policy
makes
it
difficult
to
see
this
proposal
as
an
honest
attempt
to
negotiate
a
final
budget
agreement.
Spending
$1.13
billion
on
tax
changes
leaves
a
fraction
of
the
state’s
$1.5
billion
surplus
for
other
priorities,
such
as
education
or
transportation.
It
also
burdens
future
state
budgets
by
committing
at
least
$1.45
billion
in
ongoing
spending
to
tax
cuts
that
most
average
Minnesotans
will
never
see.
- Social
Security
spending:
$8,250
tax
subtraction
($6,500
single
filers)
for
seniors
earning
between
$32,000-$115,000/year.
Cost:
$265
million
- Nearly
half
of
current
Social
Security
recipients
do
not
pay
taxes
on
their
benefits.
This
change
benefits
seniors
earning
up
to
$115,000
a
year
but
does
nothing
for
the
thousands
of
seniors
struggling
to
stay
in
their
homes
and
pay
their
bills.
- For
$265
million,
we
should
be
able
to
help all of
our
senior
citizens,
not
just
the
ones
who
are
already
financially
stable.
- Doubled
down
on
vouchers:
Against
the
Governor’s
recommendations,
the
bill
includes
$35
million/year
for
controversial
scholarship
tax
credits
and
allows
tuition
to
be
used
as
an
eligible
expense
to
claim
the
K-12
credit
(this
has
previously
been
ruled
unconstitutional).
- Estate
tax:
Full
federal
conformity
beginning
this
tax
year,
which
costs
$161.7
million
this
biennium.
- About
1,000
estates
in
Minnesota
are
subject
to
the
estate
tax.
Once
again,
1,000
of
the
wealthiest
estates
will
receive
more
than
$160
million
in
tax
benefits
at
the
expense
of
middle-class
families.
- Student
loan
debt
tax
credit
and
529
college
savings
plan
contributions:
About
$80
million
for
credits
and
subtractions
related
to
these
purposes.
These
provisions
were
crafted
by
the
Senate
DFL
last
session.
- Statewide
business
property
tax: Freezes
levy
at
2018
levels
and
exempts
the
first
$150,000
of
value.
This
cost
expands
dramatically
in
the
future.
Cost:
$125.98
million.
- Virtually
nothing
for
property
tax
relief,
aside
from
the
School
Building
Bond
Tax
Credit
for
farmers.
Only
$6
million
one-time
for
Local
Government
Aid
and
County
Program
Aid,
each.
- At
least
621
cities
actually
lose
LGA
funding
in
2019
and
the
County
Aid
is
not
enough
to
prevent
more
counties
from
losing
aid.
This
will
cause
property
tax
increases.
- Tobacco
tax
indexing
repealed: Removing
the
annual
inflation
on
the
cigarette
and
tobacco
taxes
costs
the
state
about
$30
million
by
2020-2021.
- Several
restrictions
on
local
governments,
including
a
prohibition
on
local
bag
fees
or
taxes.
- The
bill
commits
$1.45
billion
of
spending
in
2020-2021.
This
bill
hardly
begins
to
scratch
the
surface
of
the
needs
of
our
transportation
system.
Republicans,
DFLers,
and
the
Governor
all
agree
we
need
$600
million
per
year
for
the
next
10
years
to
maintain
our
current
roads
and
make
strategic
expansions,
and
$400
million
per
year
just
to
maintain
and
modernize
our
current
assets.
This
proposal
falls
far
short
about
$639
million
dollars
short
for
the
biennium
of
what
is
needed
just
to
maintain
and
modernize
our
current
roads
and
bridges.
This
low
amount
leaves
many
Minnesotans
and
businesses
in
no
better
shape
than
they
are
in
today.
This
proposal
makes
transit
cuts
that
would
hurt
many
Minnesotans.
The
budget
proposal
continues
to
neglect
transit
funding
across
Minnesota.
Without
additional
funding,
transit
options
for
students
and
the
elderly
will
be
reduced
by
10%
leaving
many
Minnesotans
without
a
way
to
get
to
work,
school,
or
medical
appointments.
This
flies
in
the
face
of
the
efforts
of
many
area
chambers
of
commerce
who
have
been
advocating
to
increase
funding
for
transit
since
the
original
proposals
were
introduced.
Many
components
of
the
proposal
are
aimed
at
stopping
the
expansion
of
LRT
in
the
Metro,
going
so
far
as
to
limit
the
ability
to
raise
local
revenue
and
the
ability
to
spend
it
on
what
their
constituents
want.
The
bill
specifically
cuts
operations
support
for
future
LRT
lines;
prohibits
cities,
counties,
and
MnDOT
or
the
Met
Council
from
investing
in
light
rail
without
legislative
approval;
and
eliminates
local
Metro
authorities’
ability
to
impose
more
than
a
¼
cent
transportation
tax
without
a
referendum,
unlike
other
Minnesota
counties.
Despite
several
objections,
LRT
is
one
of
the
most
efficient
forms
of
transit
and
has
been
the
impetus
for
billions
of
dollars
of
investment
along
the
lines.
If
we
do
not
build
the
LRT
line
the
over
$900
million
in
federal
funding
will
go
to
another
region,
and
they
will
get
these
construction
jobs
added
to
their
local
economies.
This
bill
shifts
money
away
from
other
priorities
in
order
to
fix
our
failing
infrastructure.
The
bill
moves
money
away
from
children’s
schools,
the
elderly,
and
public
safety
in
order
to
fund
Minnesota’s
roads
and
bridges.
The
bill
takes
$372
million
from
the
general
fund
in
this
biennium,
and
$566
million
in
the
next.
This
leaves
Minnesota’s
roads
and
bridges
vulnerable
to
budgetary
conditions,
meaning
in
the
next
budget
crunch
the
legislature
can
raid
these
funds
to
make
up
for
a
future
shortfall.
The
transportation
proposal
has
new
language
that
reforms
Met
Council
governance.
This
proposal
was
never
vetted
on
the
Senate
or
House
floor,
but
it
somehow
appeared
in
the
bill
without
public
input.
The
Met
Council
reform
proposal
increases
the
size
of
the
Met
Council,
changes
the
definition
of
the
area
under
the
council’s
authority,
and
includes
locally
elected
officials
as
Met
Council
officials.
This
bill
is
highly
controversial
and
creates
many
conflicts
of
interest
as
many
of
the
new
members
would
have
two
incompatible
positions,
the
regulator
and
the
regulated.
This
bill
added
a
new
step
and
dissolves
the
Counties
Transit
Improvement
Board
(CTIB),
rather
than
allowing
the
local
governments
in
the
board
to
make
the
decision
themselves.
This
controversial
provision
that
takes
away
local
control
was
never
even
heard
in
a
single
committee
in
the
House
or
Senate,
which
leaves
the
public
and
local
stakeholders
completely
out
of
this
decision.
This
provision
would
eliminate
CTIB,
the
existing
quarter
cent
sales
tax
in
five
metro
counties,
and
then
would
restrict
the
former
CTIB
counties
from
using
new
local
transportation
revenues
for
a
fixed
guideway
projects
not
already
in
operation.
This
would
fly
in
the
face
of
local
control
and
allowing
local
communities
to
choose
how
their
local
tax
dollars
are
spent.
The
E-12
education
funding
and
policy
agreement
proposed
by
the
House
and
Senate
majorities
went
through
conference
committee
this
week.
The
$300
million
budget
target
lacks
the
necessary
funding
to
increase
by
2%
the
basic
education
formula,
cuts
voluntary
free
pre-kindergarten
funding,
and
closes
the
Perpich
Center
for
Arts
Education.
Even
though
the
Senate’s
E-12
education
chair
strongly
supported
a
larger
budget
proposal
to
fund
schools
over
the
next
two
years,
the
hopes
of
it
being
realized
fell
short,
providing
about
$100
million
less
for
the
per
student
funding
formula
than
the
Governor.
The
basic
formula
provides
the
bulk
of
the
funding
districts
use
to
provide
classroom
programs
for
students.
This
proposal
provides
about
$30
less
per
student
than
the
Governor
recommended
in
January.
The
bill
also
cuts
the
Governor’s
signature
voluntary
pre-K
program,
although
the
program
has
provided
pre-k
opportunities
for
more
than
3,300
students
since
the
appropriation
passed
in
2016.
If
more
funding
had
been
available,
6,800
four-year-old
children
across
Minnesota
would
have
had
the
opportunity
to
attend
pre-k
programs.
The
Perpich
Center
for
Arts
Education
would
also
close
in
2018
if
this
bill
were
to
become
law.
Instead,
the
majority
would
plan
on
funding
arts
education
outreach
programs
through
the
Department
of
Education.
The
Perpich
Center
was
supported
by
former
Gov.
Rudy
Perpich.
The
school
has
served
art
students
from
all
parts
of
Minnesota
and
provides
residence
options
for
those
who
live
outside
the
metro
area.
(Delete-All
Amendment)
The
Environment
and
Natural
Resources
Conference
Committee
agreement
released
this
week
makes
substantial
cuts
in
environment
and
natural
resources
budgets
and
includes
many
controversial
policy
changes
that
environmental
advocates
say
will
push
the
state
significantly
backward
in
its
ability
to
protect
air,
land,
and
water.
Some
of
these
provisions
include:
- EQB
Changes
the
makeup
of
the
state’s
Environmental
Quality
Board
and
eliminates
responsibilities,
removing
jurisdiction
to
consider
and
investigate
environmental
issues
of
community
interest.
- Environmental
Review
Allows
project
proposers
to
draft
Environmental
Impact
State
(EIS)
date,
which
critics
have
called
“putting
the
fox
in
charge
of
the
hen
house.”
- Buffers
Imposes
a
two-year
delay
for
buffer
implementation
and
imposes
other
limitations.
Governor
Dayton
has
said
he
will
veto
legislation
that
includes
a
roll-back
of
his
buffer
initiative.
- Clean
Air
Act
Settlement
Directs
that
the
Clean
Air
Act
settlement
money
be
deposited
into
a
state
account
and
cannot
be
spent
until
it
is
appropriated
by
law.
- Agency
Rules
Imposes
new
rulemaking
requirements
that
critics
say
will
create
redundancy,
bog
down
decision-making,
taken
the
science
out
of
agency
work,
and
hobble
the
Minnesota
Pollution
Control
Agency
and
the
Department
of
Natural
Resources
from
being
able
to
carry
out
their
duties.
- Merchant
Bags
Prohibits
local
governments
from
banning
or
placing
fees
on
plastic
bags.
Opponents
say
this
pre-emption
erodes
local
control
and
overrides
the
will
of
citizens.
- Lead
Shot
Rules
Prevents
the
DNR
from
adopting
rules
that
further
restrict
the
use
of
lead
shot.
Lead-shot
foes
argue
that
steel
shot
is
readily
available,
performs
similarly,
costs
the
same
or
less,
and
is
non-toxic
to
birds
and
wildlife
that
ingest
it.
This
week
the
Health
and
Human
Services
Conference
Committee
approved
a
budget
agreement
for
the
Departments
of
Human
Services
and
Health.
The
irresponsible
budget
agreement,
put
together
behind
closed
doors
then
approved
in
three
hours
with
no
public
testimony,
is
based
on
over
$500
million
in
fake
savings
that
cannot
be
proven
and
shifts
and
gimmicks.
The
agreement
removes
access
to
affordable
health
insurance
by
eliminating
MinnesotaCare
and
makes
the
assumption
that
health
care
costs
won’t
increase.
Key
provisions
of
the
agreement
include:
- Eliminates
MinnesotaCare:
The
agreement
eliminates
MNsure
and
transitions
the
state
to
a
federal
exchange.
Moving
to
a
federal
exchange
would
cost
Minnesota
taxpayers
millions
of
dollars,
eliminate
MinnesotaCare,
and
give
all
control
to
the
federal
government
- HMO
Conversions
to
for-profit:
Today
our
HMOs
are
sitting
on
reserves
of
taxpayer
dollars,
funds
they
are
tasked
with
carefully
managing
under
the
state
law
that
prohibits
for-profit
insurance
companies
from
selling
insurance
in
Minnesota.
But
this
bill
allows
for-profit
insurance
companies
to
join
Minnesota’s
health
insurance
marketplace.
This
change
will
allow
nonprofit
HMOs
to
keep
our
taxpayer
dollars
if
they
decide
to
convert
to
for-profit
HMOs.
That
money
should
be
returned
to
us,
not
quietly
transferred
to
a
for-profit
insurance
company.
There
was
a
bipartisan
solution
worked
out
that
would
have
created
a
process
for
non-profits
to
become
for-profits
and
protected
our
taxpayer
dollars,
but
that
provision
has
been
replaced
by
language
that
benefits
insurance
company
CEOs
and
shareholders.
(SF
800)
The
House
majority
released
their
bonding
proposal
this
week.
The
bill
would
appropriate
$600
million
in
General
Obligations
(GO)
bonds
to
fund
the
repair
and
replacement
of
government
assets
across
the
state.
The
House
bill
falls
extremely
short
of
what
the
Senate
majority
and
Governor
Dayton
have
released
in
their
bonding
proposals.
The
House
author
acknowledges
the
release
of
the
bill
is
just
part
of
the
process
and
will
grow
as
it
moves
through
the
legislative
process.
A
large
portion
of
the
GO
bonds
are
used
to
maintain
the
state’s
current
buildings
so
our
assets’
lifespans
are
maximized
and
we
get
the
most
value
for
the
dollars
Minnesotans
have
invested.
Important
users
of
these
dollars
are
our
higher
education
institutions
which
have
buildings
across
the
state
that
need
to
be
maintained
and
improved
when
necessary.
While
a
substantial
portion
of
the
money
allocated
to
our
higher
education
institutions
is
for
repair,
we
also
need
to
ensure
that
they
have
the
assets
needed
to
attract,
train,
and
retain
Minnesotans
to
fuel
our
economy.
A
residual
impact
of
maintaining
and
investing
in
the
state’s
assets
and
infrastructure
is
people
across
the
state
are
employed
to
do
this
important
work.
Private
contractors
will
bid
on
the
repair
and
replacement
of
the
state’s
assets
which
will
result
in
additional
employment
opportunities
for
Minnesotans.
(HF
892)
Two
bills
aimed
at
limiting
access
to
abortions
in
Minnesota
were
on
the
Senate
floor
this
week.
Both
bills
have
previously
been
determined
as
unconstitutional.
Governor
Dayton
has
vetoed
similar
legislation
in
the
past
and
has
indicted
he
will
veto
the
legislation
again
if
it
reaches
his
desk.
With
just
a
few
weeks
left
of
the
2017
Legislative
Session,
the
legislature
should
be
focused
on
finishing
their
work
to
balance
the
state’s
budget,
not
wasting
time
on
divisive
social
issues
that
have
been
ruled
unconstitutional
and
are
likely
to
be
vetoed.
These
bills
are
just
another
example
of
wasteful
politically-motivated
attempts
at
restricting
women’s
access
to
abortion
and
are
designed
to
shut
out
low-income
women,
shut
down
abortion
providers,
and
endanger
the
lives
of
health
care
workers
and
women.
The
first
bill
would
prohibit
state
funding
for
abortions
except
in
cases
to
save
the
life
of
a
woman
or
in
cases
of
rape
or
incest.
State
law
in
Minnesota
already
prohibits
the
use
of
state
funding
for
abortions
except
in
cases
of
rape
or
incest,
for
health
or
therapeutic
reasons,
and
when
a
woman’s
life
is
in
danger.
The
bill
discriminates
against
women
based
on
the
type
of
insurance
they
have
and
challenges
current
state
law
that
ensures
women
have
access
to
reproductive
health
care
regardless
of
their
financial
situation.
Additionally,
based
on
a
1995
Minnesota
Supreme
Court
decision,
Doe
v.
Gomez,
the
bill
is
unconstitutional.
In
that
case,
the
court
established
a
broad
right
to
privacy
and
required
the
state
to
pay
for
therapeutic
abortion.
Similar
legislation
has
been
ruled
unconstitutional
in
other
states
and
has
cost
millions
of
dollars
in
legal
fees. Last
year,
Wisconsin
paid
$1.6
million
in
challengers’
legal
fees
when
a
district
court
ruled
the
law
was
an
undue
burden
on
women
seeking
abortion.
The
second
bill
would
subject
abortion
clinics
to
the
licensure
standards
of
the
Outpatient
Surgical
Center
Act,
which
essentially
classifies
them
as
small
hospitals
and
is
designed
to
shut
down
abortion
providers
in
Minnesota.
The
evidence
of
unsafe
practices
within
these
clinics
to
warrant
this
type
of
heightened
licensure
is
not
present
in
the
clinics
that
operate
in
Minnesota.
The
most
recent
report
on
induced
abortions
from
the
Minnesota
Department
of
Health
showed
a
complication
rate
of
less
than
.01%.
A
similar
law
in
Texas
was
ruled
unconstitutional
in
the
2016
U.S.
Supreme
Court
case
Whole
Woman’s
Health
v.
Hellerstedt.
The
court’s
5-3
decision
ruled
that
anti-abortion
restrictions
must
be
examined
for
the
burdens
they
impose
on
women,
not
just
their
purported
benefits.
There
are
much
more
important
issues
the
legislature
should
be
working
in
the
last
few
weeks
of
the
session
rather
than
divisive
social
agenda
bills.
At
the
start
of
session,
it
was
mentioned
in
the
legislature
that
the
majority
not
intend
to
focus
on
social
agenda
legislation.
These
divisive
abortion
bills
have
already
received
more
public
hearing
time
than
any
legislation
aimed
at
fixing
the
crisis
Minnesota
is
facing
in
the
health
insurance
market.
It’s
time
for
the
divisive
social
issues
to
take
a
back
seat
to
the
legislature
getting
their
work
done
and
done
on
time.
(SF
704, SF
702)
Many
senators,
alongside
the
Minnesota
League
of
Women
Voters
and
a
former
chair
of
the
Minnesota
Campaign
Finance
and
Public
Disclosure
Board,
raised
serious
concerns
at
a
press
conference
this
week
about
the
proposal
to
eliminate
Minnesota’s
long-standing
campaign
finance
reforms,
including
the
public
subsidy.
The
reforms
in
question
were
enacted
40
years
ago
in
response
to
the
Watergate
scandal.
In
2016,
virtually
all
candidates
for
legislature
and
constitutional
offices
agreed
to
abide
by
the
spending
limits
in
exchange
for
partial
public
funding.
Some
members
have
pointed
out
that
repeal
of
these
reforms
will
undermine
Minnesota’s
history
of
free
and
fair
elections.
The
campaign
finance
reforms
are
scheduled
for
repeal
in
the
Omnibus
State
Government
Budget
Bill.
Senators
argue
that
spending
limits
keep
our
campaigns
sane
and
allow
for
an
even
playing
field
that
allows
newcomers
and
the
ordinary
citizen
to
run
for
office.
They
also
argue
that
without
these
limits,
campaign
spending
will
increase
sharply,
candidates
who
reject
special
interest
money
will
have
little
chance
of
winning,
and
our
political
system
will
become
even
more
beholden
to
the
interests
of
the
wealthy
donors. |