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Special Session - 4th Edition
Governor Tim Walz called Minnesota lawmakers into a special session last Friday, the fourth special session since the legislature adjourned the regular session in May.
For the fourth time this year, Republican legislators attempted to end the Governor’s COVID-19 emergency powers. The resolution ending the peacetime emergency passed the Senate 36-31, but the motion to suspend the rules and take up the resolution in the House of Representatives failed after an approximately three-hour floor debate, 67-64.
While the House adjourned the special session sine die following their debate of emergency powers, the Senate proceeded to take up the confirmation of multiple of Governor Walz’s cabinet members. This was following last month’s surprise move by Senate Republicans to reject the confirmation of then-Commissioner of Labor and Industry, Nancy Lippink. After significant debate, the Senate again rejected a Walz appointee, this time ousting Department of Commerce Commissioner Steve Kelley on a 31-33 vote as former DFL-leader Sen. Tom Bakk (DFL-Cook) and fellow Iron Range legislator Sen. David Tomassoni (DFL-Chisholm) voted with Republicans to reject the confirmation while Sen. Dave Senjem, (R-Rochester) voted to confirm Commissioner Kelley.
The Senate did take up and confirm two other gubernatorial appointments; specifically, Public Utilities Commissioner Joe Sullivan and Bureau of Mediation Services Commissioner Janet Johnson. Sullivan and Johnson join a shortlist of confirmed appointees with only five of Walz’s political appointments confirmed in the first 20 months of his term.
It is likely the legislature will be called back for a record fifth special session in October as the Governor’s emergency authority expires again in thirty days and the legislature must be in session for him to extend the authority.
Bonding and Taxes???
Remaining incomplete on the legislature’s to-do list is a bonding and tax bill. Leadership from both chambers have indicated support for passing robust public works and tax packages in late September but it remains unknown how election year politics could impact the passage of both bills. During Sen. Paul Gazelka’s (R-Nisswa) closing comments of Friday’s Special Session, he indicated that the Legislature is working toward a target date of September 21, 2020, for a Special Session to address these two important issues. Currently, conversations are occurring in the House, as tax and bonding bills must originate in the House. Both parties appear to be looking at bonding and tax relief as an important way to stimulate the state’s economy amid the slowdown caused by the COVID-19 pandemic.
August Monthly Revenue Review- Better Than Projected
Minnesota Management and Budget (“MMB”) announced the state’s net general fund revenues totaled $1.571 billion in August, $202 million (14.8 percent) more than projected in the May Interim Budget Projection. For fiscal year 2021 (since 7/1/20), year to date receipts are now $2.903 billion, $380 million (15.1 percent) more than projected. MMB is scheduled to release a full budget forecast in late November.
For a copy of the memo click here.
Please reach out to any of the Larkin Hoffman Government Relations team members with any questions.
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Larkin Hoffman provides counsel to a wide variety of organizations, from small businesses and nonprofits to Fortune 500 companies, in many areas of practice including corporate and governance matters, litigation, real estate, government relations, labor and employment, intellectual property, information technology, franchising and taxation. The firm also serves the needs of individuals in many areas including trusts and estates, personal injury and family law.
This newsletter is provided as a service to our clients and firm associates. While the information provided in this newsletter is believed to be accurate, it is general in nature and should not be construed as legal advice.
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