Van Binsbergen: State’s budget outlook is shaky after ‘poor management’ in St. Paul

ST. PAUL – The state issued updated economic data Thursday and Rep. Scott Van Binsbergen, R-Montevideo, said Minnesota’s outlook is shaky after massive increases in taxing and spending while rampant fraud continues bleeding taxpayers.

The new economic report from Minnesota Management and Budget indicates state’s immediate future is solvent, with a projected surplus of $2.5 billion in the current budget. But the forecast also reveals a significant structural imbalance, with a $3 billion shortfall in 2028-29. If the $2.5 billion surplus is spent, the future deficit balloons to $5.4 billion.

This, Van Binsbergen said, comes after Democrats in full control of the Capitol increased state spending by 40 percent, used up the state’s $18 billion surplus and raised taxes by $10 billion in the last biennium.

“We are looking at a weaker long-range economy in Minnesota, which is largely the result of poor management of our state in St. Paul – especially the governor.” Van Binsbergen said. “With full control of the Capitol, Democrats went on an unprecedented spending spree, raised taxes by historic amounts and blew our $18 billion surplus. All the while, they not only failed to get serious about cracking down on our state’s serious fraud problem, but also blocked efforts I support to do so.

“The forecast also projects falling job growth. There are reasons for that, starting with our state’s high taxes and costly policies – such as the new paid-leave program – that make us uncompetitive. Minnesota is creating fewer jobs at a time where we should be doing the exact opposite.”

A complete state budget was enacted for the 2026-27 biennium last spring. An updated February forecast will serve as the official framework for supplemental budget work in the 2026 session.

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