You’ve likely heard by now the state budget forecast was released on Thursday and it wasn’t good. With a state deficit looming, there are many questions that need to be answered. This past week my colleagues and I were joined by several county commissioners from across the state for a press conference to sound the alarm over Governor Walz’s budget proposal. His proposal was concerning for everyone as it pushes $456 million in costs onto our local counties which would result in property tax increases for Minnesotans. Now, with the forecast released, we know there will be increases than expected. This article from my newsletter will cover some of the high-level details surrounding the forecast, but I strongly encourage you to continue your research on the subject so you fully understand the magnitude of the reckless spending that’s occurred over the last two years.
$6 Billion Deficit
Minnesota is facing a looming $6 billion budget deficit, and we’ve already seen $10 billion in new taxes and fees since 2023. The rising costs of goods and services due to inflation and poor state fiscal policies have already had a major impact on family budgets. While the governor claims to be finding “savings,” the county shifts within the governor’s budget proposal are a Trojan horse for property tax increases which will further damage Minnesotans’ bottom line.
Counties have shared they’re estimating a 9% increase in property tax levies because of the proposed costs being shifted onto counties. Now, with the nearly $1 billion more than originally expected in February, it will likely be more. Why? Because the forecast numbers do not account for any new spending, meaning that new spending bills passed this legislative session will further increase the deficit down the line.
This is unacceptable.
After two years of one-party control, our counties are saddled with expensive state mandates and now the governor is asking our local governments to carry the burden of balancing the budget in Saint Paul. If his proposal is enacted, Minnesotans can expect property taxes to double by 2033. Under Democrat administrations, Minnesota’s government budget has nearly doubled from a $39 billion general fund budget in 2014 to $71 billion in 2024. These figures reflect only the expenditures appropriated by the legislature, yet the supplemental all funds budget for FY26-27 totaled $131 billion. Democrats have also raised taxes by $10 billion, making life more expensive for Minnesotans. The state now has some of the highest individual taxes and the 46th worst state and local tax burden in the nation. Again, this is unacceptable.
After half a billion dollars have been lost to waste, fraud, and abuse in our state, there are clearly many areas in the budget where we can find cost savings. Instead of asking local governments and taxpayers to bear that burden, the legislature needs to look at our budget and identify where we can curb our spending, cap the growth of our government, and provide relief for Minnesota families. I will continue to advocate for District 28 residents and all Minnesotans to ensure that your tax dollars are used as intended or returned to you.
You can find the MN Management and Budget (MMB) report here.
You can watch the release that was televised on Thursday here.
MNDOT Report on Northstar
The Minnesota Department of Transportation released a report on the Northstar Commuter rail line showing the “analysis and evaluation of options for development of transit and rail service improvements in the corridor between the Minnesota Cities of St. Paul, Minneapolis, Coon Rapids, St. Cloud and Moorhead, and Fargo, North Dakota.
This report details another stark example of Minnesota tax dollars being wasted on an expensive, bureaucratic boondoggle. As our state is facing a $5 billion budget deficit, we should be prioritizing the allocation of our resources to balance the budget, not throw more money at a failing project that is inflexible and heavily subsidized by taxpayers.
The report documents the trend in declining ridership since the COVID-19 pandemic. In its first year, 2017, Northstar recorded approximately 790,000 rides, but by 2020, ridership had plummeted to around 150,000, and by 2024, it had declined further to fewer than 100,000.
The report also showed that infrastructure costs for a full rail line extension to Fargo could reach almost $3 billion, while using buses would cost less than $200 million. The cost to subsidize rail tickets could be as high as $187 million per year, compared to $72 million for bus service.
This light rail project is just one more example of how hard-earned tax payer dollars are not being respected and continue to be wasted by projects that cannot support the need for the funding.
The full report can be found here.
Continuing the War on Fentanyl
This week, I presented Senate File 319 in an attempt to hold accountable those responsible who continue to attribute to fentanyl deaths in Minnesota. Fentanyl is so powerful that just a tiny amount can be lethal. Drug dealers cut it into other substances to boost profits, and the people taking those drugs have no idea what they’re getting. This bill is going to help us crack down on those criminals.
Michelle Hein, Chair of Fentanyl Free Communities Foundation and the mother of Tyler Hein, who passed away at age 23 after consuming one pill made to look like prescription medication but instead was 100% fentanyl, gave a powerful testimony in support of the bill: “Tyler’s life was stolen, and our family is forever broken. This is a deceitful and deadly drug. Thousands of Minnesotans have died from fentanyl overdose and poisoning. Let’s not lose any more of our loved ones to this fatal drug.”
I was also joined by the Executive Director of the Minnesota Chiefs of Police Association (MCPA), Jeff Potts. He spoke on behalf of the MCPA and the Minnesota Sheriff’s Association in support of the bill.
The Minnesota County Attorneys Association has voiced strong support for SF 319, pointing to tragic cases where fentanyl-laced drugs have led to fatal overdoses, including those of multiple young Minnesotans. “Our communities in Minnesota are facing a dangerous and damaging upsurge of substance abuse that threatens the public safety of thousands of Minnesotans,” said Robert Small, Executive Director of the Minnesota County Attorneys Association, in a letter of support.
I appreciate the support of our community members, law enforcement professionals, and county attorneys in doing what we can to put an end to the proliferation of this horrific drug in our communities. If you or a loved one is struggling with opioid addiction, please call 211. Minnesota 211 operates an exhaustive statewide database of health and human services that are available for free to people in need. This statewide hotline provides referrals to substance abuse treatment programs and support services in every area. Calls to 211 are strictly confidential and always free.
Visitors Have Arrived!
One of the best parts of my job is to meet constituents and share the awesome experience they have when they come to visit the Capitol Complex, especially students who are eager to learn. If you are able to make your way to St. Paul and would like to tour the Capitol, tours start every hour and—it’s free! I’d love to meet you after your tour and share your experience while you’re here. I hope to see you soon!
Contact Me
Please don’t ever hesitate to contact me! I truly believe keeping in touch with constituents helps me be a better legislator. You can contact me directly through email at sen.mark.koran@mnsenate.gov or by calling 651-296-5419. My legislative assistant, Melissa Field, is also a great source for information. She can be reached at melissa.field@mnsenate.gov or by calling 651-296-6200. Take care and I look forward to seeing you in the community soon!
