Gov. Walz responds to MN budget forecast, answers questions

Minnesota Gov. Tim Walz responds to the state budget and economic forecast, address questions and discussing the impact of inflation. Once flushed with a record-setting projected surplus of $17.5 billion in 2023, the latest projected budget by Minnesota?s Department of Minnesota Management and Budget (MMB) says the state?s Fiscal Year 2026-27 projected balance is now $456 million ? $160 million lower than estimates provided in December. The projected general fund shortfall for the 2028-29 budget cycle is now $5.995 billion, $852 million less than the most recent previous estimates, MMB says. The report also predicts that spending growth will outpace revenue in FY 2029.