2015 Budget Making Session Will Benefit from Projected Budget Surplus
ST. PAUL, MINN – The state’s policy makers will be returning to the Capitol in 2015 to a projected surplus of $1.037 billion, according to Minnesota’s State Economist, Laura Kalambokidis. Sen. David Tomassoni (DFL-Chisholm) sees the good news as a sign of our ever-strengthening economy and a sign our balanced and fair budget balancing strategy of the last biennium has been good for Minnesota.
“Minnesotans have been through a lot in the past few years, but this news is a sign things continue to improve. This is now the second budget surplus in a row and I think that means the DFL-led Senate, House and Governor’s office have been calling the right shots over the past two years. This surplus makes the job of budgeting for the next biennium easier yet it is always a challenge to deal with new and different issues,” Tomassoni said.
The Minnesota Management and Budget Office (MMB) reports the surplus came from a combination of higher than expected revenues and lower spending. The savings came primarily from lower Medical Assistance spending which helped add significantly to the budget forecast. According to forecast data, 25 percent more adults without kids enrolled in Medical Assistance while fewer families with children and elderly and disabled people enrolled.
“It’s important to remember this report is a projection of the current trends in our economy, and that the $1 billion figure can be a little misleading,” Tomassoni cautions. “We won’t know the official budget number until the February forecast, and we must take into consideration inflation on current budget commitments when we are working on crafting the upcoming 2016-17 budget.”
For more information on the November Forecast or any other legislative concerns, Sen. Tomassoni can be reached at Sen.David.Tomassoni@senate.mn or by calling his office at (651) 296-8017