Minnesota’s new Republican majority in the House have swiftly passed a huge budget bill that cuts $1 billion in spending. Tom Scheck at MPR says that the bill makes permanent some of T-Paw’s one time cuts that were previously approved by the legislature. CBS Local reports that the cuts include aid to local governments which could lead to another property tax hike, smaller rent credits, and supply cuts to prisoners.
For some perspective, the MN budget runs on 2-year cycles with the 2010-2011 budget being a combined ~$30b; this year’s portion of the two year budget is around $15b-17b. With the current total deficit at ~$6b, the one billion dollars in cuts from this first House bill are just 16% of what will have to be let go to bring budget under the limit.