Let's be honest, responsible as we balance state budget
Minnesotans are known for their common-sense, their willingness to do their part, and their passion for the things that have made our state great – excellence in education, healthy living and a robust job market. As the DFL members of the House worked to create our plan to resolve a $6.4 billion deficit, these are the priorities and values that guided us. We also didn’t forget that thousands of Minnesotans are hurting. We are in the throes of the deepest recession since WWII, unemployment is at its highest level since 1983, and thousands of Minnesotans are losing their health insurance and their homes. Any plan to address our economic crisis must take these facts into consideration, first and foremost. Last week the House DFL Caucus released our budget framework. We started by considering only cuts to resolve the deficit, but saw that approach would close hospitals, nursing homes, one or two state prisons, and decimate public education. We could not move forward with a plan that would cause so much long-lasting harm. The framework we arrived at is not that different from the Governor’s. They both include cuts, delayed payments to schools, and new revenue. His new revenue comes in the form of over $600 million in property tax increases, a 20-year loan against future state revenues that our children and grandchildren will have to pay off, and over $900 million from the Health Care Access Fund – which provides low-cost health care to working Minnesotans. While the specific details of our revenue are in the process of being worked out, we are committed to an honest budget that solves our problems today instead of pushing them off unto future generations. Our revenue increases will be progressive and fair, and we will lay a solid foundation for the future so we can get off the deficit roller coaster. We identified education as a top priority. During times of economic downturn, the best thing we can do is provide opportunities to help Minnesotans get back on their feet. By investing in education, we will prepare our young people for jobs, strengthen our economy and help regain a competitive edge. We propose moderate cuts to every other area of the state budget, with cuts to state government leading the way. Our cuts to the Health and Human Services budget are below those proposed by the Governor, we protect public safety, anduse job retention and creation as a benchmark. We are also strategically positioned to utilize every dollar of the federal recovery package available to us. The budget crisis provides us with an opportunity to reform the way we do business. Whether it’s to make our tax system fairer, enhance school funding equity or expand access to health care, we would be wise to spend a little today if it means getting a better return tomorrow. For example, a responsible use of the federal recovery dollars would be to not only create jobs, but to support serious reform measures that will provide savings in the future. A responsible approach is the right approach. Balancing this budget responsibly means setting priorities and solving problems. We’re asking Minnesotans to share in both the sacrifice and the rewards, and we will work hard not to increase the burden on those who can least afford it. Finally, we believe our budget plan will begin to restore long-term stability, ending six years of recurring budget deficits. Above all, we must work to protect the Minnesota way of life. Our parents and grandparents understood the value of investing in Minnesota; the evidence is clear that paid off. We want to carry on this tradition and secure a strong future for our children; a future where we adequately fund education, affordable health care is available for all and good jobs are plentiful.
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