Interim NewsDear Friends and Neighbors, With snow starting to fall and the Christmas season upon us, it’s the perfect time for a check-in from the Capitol. So grab a cozy blanket, pour yourself a warm cup of hot chocolate, and settle in for a festive new edition of "What’s Up at the Capitol"—bringing you the latest news, updates, and a little holiday cheer along the way! Minnesota Budget Forecast: The Numbers Are InLast week, Minnesota’s Office of Management and Budget released its November forecast—and let’s just say it’s not exactly the holiday surprise we were hoping for. While things look stable for the current budget cycle (no emergency cuts this year!), the next one is a completely different story. We’re now staring down a nearly $3 billion deficit in 2028–29. And here’s the kicker: this didn’t happen out of nowhere. If Governor Walz and the previous Democrat-led legislature hadn’t burned through an $18 billion surplus and grown state government by almost 40%, we simply wouldn’t be in this mess. Minnesotans understand basic math—if you don’t spend every dime in the bank and you keep growth to something reasonable (you know, single digits!), you won’t end up with a massive deficit down the road. Common sense budgeting isn’t complicated. But apparently, it’s become a rare commodity in St. Paul. What’s Behind the Deficit?Despite $10 billion in new taxes, spending is still outpacing revenue. By 2028–29, Minnesota is projected to spend $5.4 billion more than we take in. Much of the growth in costs—including social services, education mandates, and property taxes—can be traced directly back to the Democrat-led trifecta. And the fraud? The scandals we’ve all seen unfold just this year aren’t minor bookkeeping errors. They are a major contributor to the long-term instability we’re seeing in the budget today. What House GOP Leaders Are SayingSpeaker Lisa Demuth and Caucus Leader Harry Niska responded to the forecast, calling out overspending and fraud: “With this forecast, the negative effects of massive overspending and overregulation by one-party Democrat control. 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."
Their message is simple: Minnesota has both a spending problem and a fraud problem—and House Republicans are working diligently to fix both. Where We Go From HereLast session’s spending reductions helped, but clearly, they didn’t stretch far enough. This forecast is another loud, flashing warning sign that we need to rein in state government spending and stop pretending tax hikes are a long-term solution. Minnesotans are generous, responsible people. We deserve a government that acts the same way—one that protects our dollars, prioritizes what truly matters, and never forgets who’s paying the bills. I’ll continue pushing next session to reduce state expenses, root out fraud, and protect Minnesota taxpayers from being stuck with the tab for irresponsible budgeting. December in ActionDecember has kicked off at full speed! I’ve been out and about meeting so many fantastic people from our district, hearing your thoughts, and talking through concerns for the upcoming 2026 session. I’m energized and ready to get to work for you! Here’s a little peek at what I’ve been up to lately... Minnesota Chamber of Commerce Women's Luncheon Last Friday was an energizing reminder of why public service matters. I was honored to join fellow House colleagues—Rep. Dawn Gillman, Rep. Bernie Perryman, and Rep. Natalie Zeleznikar—at the Minnesota Chamber of Commerce’s Women’s Luncheon. Together, we shared candid conversations about what inspired each of us to serve in the Legislature and how we can be stronger advocates for the small businesses that keep our communities thriving. It was an afternoon full of insight, collaboration, and inspiration. Business Innovation with Schwickert’s Tecta America HVAC This week, Congressman Brad Finstad and I had the opportunity to visit Schwickert’s Tecta America HVAC—an outstanding small business right here in District 18A. Meeting with their hardworking team was a powerful reminder of the real, day-to-day challenges Minnesota employers are facing. We had an honest conversation about what lies ahead as we look toward the 2026 session, including rising property taxes, the increasing cost of living, and the pressure these issues put on local businesses and families alike. Minnesota needs real tax reform, meaningful refunds, and responsible spending reductions—because our state must be affordable again for the people who live and work here. Spotlight on Agriculture: GreenSeam Forum  I also had the opportunity to attend the GreenSeam Forum at the Mayo Clinic in Mankato—and it was a fantastic event! I wasn’t on the mic this time, but I enjoyed cheering on my colleagues as they dove into some big topics, including our looming $3 billion deficit and the work underway to address it head-on. We also explored fresh ideas to keep Minnesota’s agricultural community strong—from cutting-edge technology to smarter budgeting that helps our farmers keep doing what they do best. It was truly inspiring to see so much passion and innovation focused on growing and sustaining our farms and rural economy.  From the Capitol to Your Home: Happy HolidaysAs always, thank you for staying plugged in and paying attention—especially as new twists and turns continue to unfold here at the Capitol. I’ll keep doing my best to cut through the noise and keep you informed. With the holidays fast approaching (and the unmistakable arrival of winter right alongside them), please stay safe on the roads—whether you’re heading to work, dashing off to a holiday party, or just braving the cold to see friends. Our community shines because of the strong, caring culture we’ve built together right here in Southern Minnesota. Serving you in St. Paul is an honor I never take for granted. I’m grateful every day for the chance to amplify your voices, advocate for your concerns, and keep our district moving forward! As always, please don’t hesitate to reach out—my door, phone, and inbox are always open to you: (651) 296-8634 or rep.erica.schwartz@house.mn.gov. Stay warm, stay safe, and happy holidays! Sincerely, Representative Erica Schwartz
Minnesota House of Representatives, District 18A |