Category Archives: Budget Process

Proposed constitutional amendment would lead to more bad budgets

Minnesota is still reeling from a contentious legislative session and a state government shutdown. Now some policymakers are advocating for a constitutional amendment that would permanently undermine our ability to arrive at common-sense solutions to balancing the state’s budget. The amendment would guarantee gridlock … Continue reading

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Short-term budget solutions are leading to credit rating problems for Minnesota

Minnesota and the U.S. government have suffered recent downgrades in their credit ratings. The negative news could worry investors and may eventually lead to higher borrowing costs for federal, state and local governments. However, it is important to take note of the reasoning behind the recent downgrades: credit … Continue reading

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Minnesota’s bond rating drops amid budget instability

On Thursday, Fitch Ratings downgraded Minnesota’s bond rating from AAA to AA+, impacting $5.7 billion in state general obligation bonds. The news comes at a critical time in state budget discussions and underscores the need for a long-term solution that … Continue reading

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Independent commission recommends revenue increases, spending cuts

On Thursday afternoon, an independent commission consisting of a mix of former legislators, former finance commissioners and business leaders announced a “Framework for a Budget Solution.” The ad-hoc commission’s specific recommendations include both revenue increases and spending reductions: $2.2 billion in unspecified permanent spending cuts, … Continue reading

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Court decides what goes, what stays in a state government shutdown

On Wednesday morning, Judge Kathleen Gearin issued her much-anticipated ruling on what government services should continue in the event no state budget is in place on July 1. As was expected, her ruling places very strict limits on what can be funded during … Continue reading

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Shutdown gets its day in court, but no ruling until next week

**Note: Judge Kathleen Gearin issued her order on June 29, 2011. For information on what’s included in that order, visit our more recent blog post.** The question of how the state would (or would not) function in the event of a government shutdown … Continue reading

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Remembering what’s at stake in the shadow of a shutdown

Since the legislative session ended without a budget in place, much attention has focused on the possibility of a state government shutdown and how it would be implemented. That is especially true today, when the 2nd District Court is holding a … Continue reading

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Court process begins for a potential government shutdown

There continues to be little progress towards a budget resolution, and key actions were taken this week to prepare for a government shutdown. Both Attorney General Lori Swanson and Governor Mark Dayton have filed petitions with the court that articulate which … Continue reading

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Special sessions come with some special rules

The 2011 Legislative Session ended Monday night without an agreement to solve the state’s $5.0 billion revenue shortfall and the legislature will not reconvene in regular session until January 24, 2012. That means there will need to be a special … Continue reading

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In the event of a state government shutdown…

**On June 29, 2011, Judge Kathleen Gearin issued an order regarding what government services will, and will not, be funded during a Minnesota state government shutdown. For information on what’s included in that order, visit our more recent blog post.** … Continue reading

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