Two weeks into the state government shutdown – the longest in history – Governor Dayton and Republican legislative leadership struck a deal outlining a framework for a budget agreement. Governor Dayton announced in a speech yesterday that he was willing to accept the Republican’s June 30 budget offer, with some conditions, in order to get the government working again. Dayton said he was “willing to agree to something I do not agree with” to end the shutdown. Dayton, Speaker Kurt Zellers & Senate Majority Leader Amy Koch emerged from a 3 hour meeting to announce they had agreed to a framework based on that budget offer.
Agreement Closes $1.4 Billion Gap with Funding Shifts, Tobacco Bonds
The framework includes a $2.1 billion in savings from a shift in school aid payments and $700 million in one-time revenue from the issuance of tobacco bonds, but no tax increases. Dayton’s additional conditions were a $500 million bonding bill, removal of some controversial policy provisions the GOP proposed earlier in negotiations and removal of a proposed 15% state workforce cut. This agreement closes the remaining $1.4 billion difference between the two sides. Click Here to view Dayton’s letter to Zellers and Koch outlining the proposal.
Many details still need to be worked out on the budget deal. Finance Chairs and Commissioners will join the discussions starting today with Health and Human Services. No date is set for the special session yet, but Dayton said the shutdown will be over in a matter of days. Meetings are expected to occur around the clock for the next few days to hammer out the remaining details.




