New Minnesota Senate committee braces for federal budget blowback

Minnesota senators are forming a first of its kind committee to plan for the local cost of federal budget cuts as the impacts of President Trump’s budget and other economic decisions are slowly coming into focus.

Budget buffer

Unprecedented undertaking:

Democrats made the announcement Tuesday, but they say they’re willing to look at potential positives as well as expected negatives from the budget.

And the Select Committee on Federal Impacts will include five DFLers and four Republicans.

An unprecedented committee for a political era Minnesota Democrats believe is also unprecedented.

"I can't recall a time when we were working with a Congress that was so unwilling to partner with us and instead put into law things that for the next decade or so will cause real damage to Minnesota families," said Senate Majority Leader Erin Murphy (DFL-St. Paul).

What they'll do

Make sure they know:

Senate DFL leaders say their new committee is designed to figure out exactly how Trump administration decisions will hit the state and how to absorb them.

They know about $500 million in frozen or canceled federal contracts, a Chinese boycott on American soybeans because of tariffs that could cost farmers up to $600 million this year, and $1 billion in Medicaid cuts over the next decade.

But some of the impacts are still to be determined.

"We want to hear from farmers about the insurance premiums that are going up on the individual market, we expect by large numbers," said the committee's chair, Sen. Lindsey Port (DFL-Burnsville). "We want to hear from cities and counties. We want to hear from hospitals that are at risk of closing to really understand what these impacts are for Minnesotans' lives."

Making plans

Not so special:

They aren’t planning for a special session, and they know some of the administration’s financial moves are popular — "no tax on tips", for example.

And most Americans can expect an income tax cut when they file next year.

But Sen. Port says there will be damage, and they need to get to work on bills to patch it up quickly next February.

"We don't feel like Minnesotans can wait," she said. "They're already feeling the impacts, so that's why we're getting started right now."

Public contributions

What to expect:

Sen. Port plans to hold meetings once a week until February, starting Sept. 18 at the Capitol.

They’ll offer a virtual option for public testimony, but they’ll also take the hearings on the road.

So they’ll alternate weeks — one week at the Capitol and the next week somewhere else, especially outside of the Twin Cities metro.

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