Wednesday, January 19, 2011

Budget proposals put forward by Republican leaders, Governor disagrees

Yesterday at the Capitol

Republican legislative leadership announced an early action budget bill yesterday morning that proposes $1 billion in cuts. House Ways and Means Chair, Rep. Mary Liz Holberg, R-Lakeville, said this is phase one of the budget adjustment. Leadership plans to pass legislation prior to Feb. 10 in order for the deficit to be reduced in the Feburary forecast. Holberg indicated the bill will be passed out of Ways and Means by early next week.

Senate Finance Chair Sen. Claire Robling, R-Jordan, said SF 60 enacts the reductions made in last year's budget balancing bill, and said this is the first step in the budget process. The bill would make more than $840 million in one-time spending cuts permanent. These include $584 million in cuts to tax aids and credits; $185 million to higher education; and $72 million to various health and human services programs. She said the bill also asks for Minnesota Management and Budget to identify $200 million in savings that could be achieved by capturing unspent funds in agencies’ budgets.

For the Minnesota State Colleges and Universities system, the reduction in the bill to the system's FY2011 budget is $50 million, which makes Gov. Pawlenty's unallotment permanent. This brings the current annual state funding level of $605.5 million (which is slightly below the FY 2002 funding level) to $582 million. The House Higher Education Policy and Finance committee will be taking up the higher education appropriation reduction bill, HF 126, Thursday at 12:30 p.m.

When asked if leadership discussed the plan with the governor, House Speaker Kurt Zellers, R-Maple Grove, said they did inform Gov. Dayton last week about the budget plan. However, in response to the bill, Dayton released the following statement, "I will not agree to piecemeal cuts and partial solutions eliminating the $6.2 billion deficit in the next biennium. I will propose a reasonable, balanced and complete budget solution on February 15th, and I ask the legislature to do the same thereafter, with citizen participation through hearings and very careful consideration of the effects of their decisions on people’s lives."

Today at the Capitol
Wednesday, January 19

8:15 AM
House State Government Finance
Room: 200 State Office Building
Chairs: Rep. Morrie Lanning
Agenda: Overview of State Labor Negotiating Process and Contracts
Testifying:
Greg Hubinger, Director of Legislative Coordinating Commission
Barb Holmes, Assistant Commissioner & State Labor Negotiator for Minnesota Management and Budget (MMB)

10:00 AM
House Republican Press Conference
Agenda: Representative Keith Downey (R-Edina) presents his proposal to restructure the state workforce, including an early retirement option

10:15 AM
House Government Operations and Elections
Room: 5 State Office Building
Chair: Rep. Joyce Peppin
*Note: Change in Agenda
Agenda: HF4 (Downey) State workforce reduction required, and early retirement program created.
HF52 (Peppin) City, county, and town zoning control and ordinance variances provided.
Presentation from the Minnesota Campaign Finance Board

10:30 AM
Senate Jobs and Economic Growth
Room: 107 Capitol
Chair: Sen. Geoff Michel
Agenda: Overview from MN Department of Labor/Introduction of Commissioner Ken Peterson
S.F. 1-Michel: Introduction and discussion of property tax provision of SF 1.

2:30 PM
House Capital Investment
Room: 10 State Office Building
Chair: Rep. Larry Howes
Agenda: Introductions
Committee guidelines
Gay Grieter, Capital Budget Coordinator for Minnesota Management & Budget
Meeting Documents: Capital Budget Process

Minnesota Debt Management


3:00 PM
Senate Education Committee
Room: 15 Capitol
Chair: Sen. Gen Olson
Agenda: Teach for America - Testimony by Daniel Sellers, Executive Director of Teach For America, Twin Cities

3:00 PM
Senate Higher Education Policy and Finance
Room: 107 Capitol
Chair: Sen. Michelle Fischbach
Agenda: Overview presentation from the University of Minnesota

Looking Ahead

Thursday, January 20

8:15 AM
House Education Reform
Room: Basement State Office Building
Chair: Rep. Sondra Erickson
Agenda: Increasing Educational Acheivement, Emphasizing and Supporting Teacher Effectiveness
Peter Hutchinson, Bush Foundation, President
Susan Heegaard, Bush Foundation, Vice President, Educational Achievement

8:15 AM
House State Government Finance
Room: 200 State Office Building
Chair: Rep. Morrie Lanning
Agenda: HF127 (McNamara) State employee salary and wage freeze instituted.
HF125 (Gunther) Executive and legislative branch agency appropriation reductions made

8:30 AM
Senate Finance
Room: 123 Capitol
Chair: Sen. Claire A. Robling
Agenda: Continuation of budget overview presentation by Senate Counsel, Research, and Fiscal Analysis Staff

8:30 AM
Senate Taxes
Room: 15 Capitol
Chair: Sen. Julianne E. Ortman
Agenda: SFXXX Federal conformity bill related to income tax treatment of dependent health care coverage for adult children 26 and under.
Overview on Tax Aids and Credits

10:15 AM
House Government Operations and Election
Room: 5 State Office Building
Chair: Rep. Joyce Peppin
Agenda: Presentation of state labor negotiating process and contracts
Barb Holmes, assistant commissioner and state labor negotiator for Minnesota Management and Budget (MMB)
Greg Hubinger, director of Legislative Coordinating Commission

11:00 AM
Senate in Session

12:30 PM
House Higher Education Policy and Finance Committee
Room: Basement Hearing Room, State Office Building
Chair: Rep. Bud Nornes
Agenda: University of Minnesota overview
HFXXXX (Nornes): Makes appropriation adjustments to higher education.

1:00 PM
Senate Agriculture and Rural Economies
Room: 107 Capitol
Chair: Sen. Doug Magnus
Agenda: Updates and trends in Minnesota Livestock Industries
Summary of the Department of Agriculture Livestock Investment Grant Program

Monday, January 24

3:00 PM
Senate Higher Education Policy and Finance
Room: 107 Capitol
Chair: Sen. Michelle Fischbach
Agenda: Overview presentation from Minnesota State Colleges and Universities

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