May 18, 2009: Legislative Report #64
The Last Bills of Session
In my small mind and perhaps yours also, the $6,400,000,000.00 state budget shortfall should be the priority of our elected state leaders this year. Apparently, some elected leaders thought otherwise as they introduced 13 bills in the last 2 days of session, bringing the final tally for the year to 2,407 bills.
Of the last 13 bills introduced for 2009, only one addresses the budget shortfall. In the final days of session, the Democrats reacted to the Governor's proactive strategy to avoid passing tax increases. Bill HF 2395, introduced to counter the Governor's strategy, attempts to repeal ***Minnesota Statutes 2008, section 16A.152, subdivision 4, the unallotments authority of the Governor to balance the budget.
As I predicted months ago in previous postings, the legislature could not possibly handle the massive load of proposed legislation introduced this session. Just the sheer volume of 2,407 bills prohibited properly addressing any bills that would impact Minnesota citizens. Additionally, the legislators had the budget shortages competing for time and concentration.
The last hour of the House session proved my point exactly. Contentions ran high as the Democratic majority pushed several bills through without debate or time for proper review by legislators. One bill, over 200 pages, filled with $1,500,000,000.00 of tax increases, passed while House rules and etiquette descended into anarchy.
*Minnesota Statutes 2008, section 16A.152, subdivision 4. Reduction.
(a) If the commissioner determines that probable receipts for the general fund will be less than anticipated, and that the amount available for the remainder of the biennium will be less than needed, the commissioner shall, with the approval of the governor, and after consulting the Legislative Advisory Commission, reduce the amount in the budget reserve account as needed to balance expenditures with revenue.
(b) An additional deficit shall, with the approval of the governor, and after consulting the legislative advisory commission, be made up by reducing unexpended allotments of any prior appropriation or transfer. Notwithstanding any other law to the contrary, the commissioner is empowered to defer or suspend prior statutorily created obligations which would prevent effecting such reductions.
(c) If the commissioner determines that probable receipts for any other fund, appropriation, or item will be less than anticipated, and that the amount available for the remainder of the term of the appropriation or for any allotment period will be less than needed, the commissioner shall notify the agency concerned and then reduce the amount allotted or to be allotted so as to prevent a deficit.
(d) In reducing allotments, the commissioner may consider other sources of revenue available to recipients of state appropriations and may apply allotment reductions based on all sources of revenue available.
(e) In like manner, the commissioner shall reduce allotments to an agency by the amount of any saving that can be made over previous spending plans through a reduction in prices or other cause.