Legislative session may signal new era for Minnesota

The largest signal was the passage, early in the session, of a transportation bill to fund roads, bridges and transit. For the first time in 20 years, lawmakers raised the gasoline tax, increasing it by a modest 5 cents. Combined with other funding, the plan constitutes a $6.7 billion investment over the next 10 years.

When Governor Tim Pawlenty vetoed the measure, six House Republicans joined with DFLers to override and pass the bill. Pawlenty was further rebuked a few days later when the Senate rejected the confirmation of Lieutenant Governor Carol Molnau as transportation commissioner. Molnau, who had been serving as acting commissioner, came under fire for the I-35W bridge collapse and other problems under her watch.

In another bipartisan effort, legislators approved bonding bills to fund infrastructure projects around the state. The House and Senate were working to reconcile differences in the bills before final passage and another likely confrontation with Pawlenty.

Heartened by a New Year\’s special election victory that gave them a veto-proof "supermajority" in the Senate, DFL legislators seem to be flexing their muscles, while Pawlenty appears disengaged amid national speculation that he will be named to the Republican presidential ticket.

The biggest hurdle facing lawmakers may be the nearly $1 billion shortfall in the current state budget caused by the worsening recession and downturn in tax revenue. The governor proposes to address the gap almost entirely by using reserves, cutting programs and raiding the fund that provides health care access to uninsured Minnesotans.

Union leaders urged lawmakers to reject much of Pawlenty\’s plan and consider alternatives.

"Previous tax and service cuts have caused real pain for real people and have damaged our state\’s economy," Minnesota AFL-CIO Secretary-Treasurer Steve Hunter said. "We need to invest in Minnesota\’s future — not strangle it. It\’s time to raise revenues. We need to raise them fairly and we need to raise them now."
Pawlenty\’s cuts to health and human services could be devastating. At a Senate hearing, speakers from mothers of children with severe disabilities to the president-elect of the Minnesota Medical Association and even former Republican Governor Arne Carlson testified against the cuts.

"Whenever there\’s a budget crisis, it\’s the prevention side that gets cut," Carlson said. He called on lawmakers to "take a sensible approach" to developing a long-term budget.

"This nonsense of Band-Aids and Band-Aids and prayer does not work," he said.

Pawlenty proposes to cut higher education by 4 percent but leave funding intact for K-12 schools. However, that may not be enough, as a new report compiled by Education Minnesota indicated 46 school districts face a combined budget shortfall of at least $113 million heading into the next school year.

Education Minnesota President Tom Dooher urged lawmakers to raise the K-12 appropriation to reduce the shortfalls and ward off cuts to staff and programs.

"State funding simply has not kept up with inflation and the growing demands on the K-12 education system," Dooher said.

The governor\’s budget includes no money for long-term care facilities – meaning no wage increases for thousands of those workers who are already dealing with low pay and understaffing.

Debate over the budget is likely to continue until the end of the session, which under state law must adjourn by May 19.

Maintaining vital services and funding infrastructure projects are seen as critical to helping Minnesotans weather the economic downturn. In addition, lawmakers are working on proposals to provide assistance to homeowners hit by mortgage foreclosures and laidoff workers whose unemployment benefits are set to expire.

Minimum wage workers would see their pay rise to $7.90 an hour by July 2009 under legislation passed by the Senate last year and awaiting action on the House floor.

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