House GOP Leaders Respond to Budget Forecast - Minnesota House Republicans

ST. PAUL – Following the release of a budget forecast showing an increased deficit looming in 2028-29 due to unchecked fraud, massive spending by Democrats in 2023-24, and slow economic growth hampered by billions of new taxes on Minnesotans passed under one-party Democrat control, Speaker Lisa Demuth and Floor Leader Harry Niska responded with calls to stop fraud and rein in spending.

“With this forecast, we’re still seeing the negative effects of massive overspending and overregulation by one-party Democrat control,” said Demuth. “Without House Republicans fighting for spending cuts last session, the deficit would have been much worse. We did a great job cutting state spending this year, but the forecast shows there’s more work to be done. We’ve seen scandal after scandal of fraud in our social services programs on this administration’s watch. The bottom line is that we have both a spending problem and a fraud problem, and we will be addressing those going forward.”

The overall forecast reveals the state’s spending is outpacing revenue, despite of $10 billion in new taxes passed by Democrats in 2023 and 2024. According to Minnesota Management and Budget, the budget for fiscal year 2026-2027 includes a $2.465 billion surplus, even while spending outpaces revenues. Looking to 2028-2029, the deficit balloons to $5.4 billion. Only by not spending any of the surplus would the 2029 deficit projection reduce to $2.960 billion.

“Instead of doing what leaders are supposed to do, take responsibility and lead, Democrats are embarrassing themselves by deflecting blame to Donald Trump in an effort to distract Minnesotans from their own failed record,” added Niska. “The mental gymnastics it takes to jump from their mismanagement and reckless budgeting to the same tired blame-Trump strategy is an insult to Minnesotans’ intelligence. Minnesotans deserve leaders who will face reality, take accountability, and fix the mess, not politicians who do nothing but blame others for their own mistakes.”

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