Making progress for Minnesotans

Posted on 25. Mar, 2010 by Guest Column in Bills, State Legislature

There’s not much better than a string of 50 and 60-degree days to mark the start to spring. With the worst of a long winter behind us, the warm weather is welcome, even to the hardiest of Minnesotans.

Spring has also brought welcome news about our state’s economy. In January, for the first time since 2005, we added jobs to our economy in nearly every sector. We also learned the state budget shortfall improved slightly, dropping from $1.2 billion to $994 million. While still a significant sum, every little bit helps, especially since forecasts show a deficit of several billion dollars in the next biennium.

To keep the positive momentum going, I have been working with fellow legislators on a jobs-focused agenda that aims to address many of the serious economic challenges facing Minnesota. In an unusually fast-paced session, we have already passed legislation that will put thousands of Minnesotans back to work improving infrastructure, reinstate basic health care for 85,000 poor Minnesotans, help create a better small business climate and make Minnesota’s election system even better.

With work complete on so many of our major agenda items our attention is focused even more on addressing the state’s budget shortfall. Although our short-term budget outlook has improved slightly, a daunting deficit of more than $5 billion is looming on the horizon. The work we do this year is extremely important in laying the groundwork for Minnesota’s return to financial stability.

We have already resolved one-third of this year’s deficit by trimming more than $300 million from various state government agencies. This bill is the first of three budget measures that will come before the House this session. Coming on the heels of $3 billion in budget reductions last year, these decisions were not easy to make. However, making these reductions now is part of setting responsible priorities that don’t push our problems down the road.

Excluded from the first round of budget balancing bills are the areas of Health and Human Services and K-12 Education. Federal health care legislation signed into law by President Obama this week contains significant federal funding for both Medicare and Medicaid reimbursements – funding which stands to help offset some of our budget challenges. We are currently trying to determine just how that funding will impact our total budget picture before making final decisions about health care cuts.

We are also making decisions about how to protect schools from budget cuts that could harm students and disrupt our efforts at long-term recovery. A well-educated and highly-skilled workforce has been a key component of Minnesota’s economic success. Our state’s strong commitment to early childhood, K-12 and higher education has fueled previous Minnesota recoveries, and keeping that commitment will lay the foundation for this recovery. We must protect the single thing economists, business leaders, parents and policy-makers know is the best investment we can make in our future.

I’m very pleased with the work we’ve accomplished so far, most of which has been on a bipartisan basis. The same sort of cooperation that has carried us through the first months of the legislative session will be needed in the weeks ahead and in the years to come. Budget shortfalls loom even as our economy begins to recover. An aging population will pose greater challenges to our health care system than ever before. Our school kids will need to compete with kids from across the nation and around the globe. We must remember the decisions made now will set the course not only for the next few years, but for decades.

As always, the most important input I receive comes directly from you. While much has been accomplished, there is still plenty of time for you to weigh in with your ideas about setting priorities and protecting the things we value at a price we can afford. Please contact me via email at rep.kate.knuth@house.mn or by calling 651-296-0141. I always appreciate hearing from you.

Tags: HD50B, Highlight, Kate Knuth