Legislative Update: Balancing our Budget and Putting Minnesotans Back to Work

The Minnesota Legislature is taking our annual spring recess this week, giving lawmakers an opportunity to meet with constituents back in their districts to get feedback about the big challenges facing our state.

I held a town hall meeting in Shoreview last night with my colleague Rep. Barb Yarusso. We had a great time talking with constituents, answering questions, and listening to your views about issues like creating jobs, investing in education, supporting small businesses, and balancing our budget in a way that is honest and fair. 

Although the Legislature is in recess, I will still be at the Capitol every day working on your behalf.

Putting Minnesotans back to work:

Last week, the Jobs and Economic Development Committee discussed a bipartisan bill I authored that aims to boost Minnesota manufacturing jobs.

My bill attacks an ongoing difficulty among manufacturing employers to fill job openings due to a lack of skilled workers. A recent study by the Minnesota Department of Employment and Economic Development (DEED) found that out of 1,500 job vacancies in Minnesota, a lack of skills among applicants was responsible for difficulty in one third of those cases.

HF 1391, the Job-Based Education and Apprenticeship Program (JEAP), invests nearly $1 million to develop an apprenticeship program that would equip workers with the skills necessary to secure job openings in the manufacturing industry.  

The program directs the Minnesota State Colleges and Universities system (MnSCU) and the Minnesota Department of Labor and Industry (DOLI) to partner with eligible employers to identify training needs. Instruction would take place at Alexandria Technical and Community College, Century College, Hennepin Technical College, and Central Lakes College.

Representatives from the Minnesota Chamber of Commerce, MnSCU, DOLI, and Century College attended the committee hearing to testify in support of the legislation. I’m proud of how we brought together such as diverse set of interests to find common ground on getting Minnesotans back to work.

Balancing our budget without gimmicks and investing in education:

Last Wednesday, the House DFL Majority released a budget framework that puts Minnesota on sound fiscal footing and moves our state forward.

It reflects our focus on creating jobs, balancing Minnesota’s budget without any gimmicks, and making investments that grow the middle class, like making sure our children receive a great education and providing property tax relief to homeowners and businesses.

The proposed budget includes three main components:

1) Closing Minnesota’s $627 million deficit.

2) Fully paying back the remaining balance of over $800 million in funding borrowed from Minnesota schools.

3) Investing an additional $1 billion in priorities to strengthen Minnesota’s economic future, including $700 million for early childhood education through post-secondary, $250 million in property tax relief, and $46 million in job creation.

The budget framework is paid for using new revenue, spending cuts, and reforms. Specifically, a temporary income tax surcharge on Minnesotans who earn more than $500,000 per year would pay back the school shift. The surcharge would end once schools are fully repaid, which would occur in two years or sooner.

Additional revenue for investments to spark economic growth would come from asking the richest Minnesotans to pay their fair share in taxes – an idea that polling shows the majority of Minnesotans support.

By making serious investments in education, all the way from early childhood to K-12 to our public colleges and universities, we’ll provide our kids with the knowledge and skills necessary to compete for jobs in an increasingly global economy.

Most importantly, our budget will not take an all-cuts or gimmick-filled approach that voters rejected last fall.

Making sure all Minnesotans have a place to call home:

I was recently interviewed for a story about ending homelessness that will appear on Twin Cities Public Television’s Almanac at the Capitol tonight (Wednesday, March 27) at 7:00pm.

Click here for a full list of broadcast times and channels to watch the interview.

I am the chief author of a bill (HF 1194) that invests $95 million over the next two years in the Minnesota Housing Finance Agency (MHFA), which is responsible for financing and advancing affordable housing for low and moderate income households, helping communities recover from the foreclosure crisis, and preventing and ending homelessness.

That amount of funding is $25 million higher than current levels. While some may favor delaying this investment until Minnesota’s fiscal house is on more stable footing, I believe it simply cannot wait—because providing our fellow Minnesotans with a place to call home is not only morally right, it’s fiscally responsible. In fact, ending homelessness is a key ingredient to getting our fiscal house in order.

A recent study conducted by the Amherst H. Wilder Foundation found that a growing number of Minnesotans do not have a place to call home.

The study, conducted every three years, found that homelessness in our state is six percent higher than in 2009. Over 10,000 Minnesotans, including roughly 3,500 children, rely on support from emergency shelters, battered women’s shelters, and transitional housing programs to survive every day.

By not solving this problem right away and allowing it to persist, we risk living in a state with generational poverty, crime, and educational achievement gaps. The investment required to prevent and end homeless will save Minnesota taxpayers in the long run. The cost of inaction is far greater than tackling this problem today.

If we want to expand the middle class and increase educational achievement, we need to end homelessness. You can learn more about my bill and the lack of affordable housing options in Minnesota by watching my interview on Wednesday.

Your feedback matters:

As your voice at our State Capitol, my most important job is to listen to your comments, ideas, and feedback.

Please feel free to contact me by phone at (651) 296-7153, by email at rep.jason.isaacson@house.mn, or by postal mail at 545 State Office Building, 100 Rev. Dr. Martin Luther King Jr. Blvd., St. Paul, MN 55155.