Dear Neighbor, We finished a special session in the House well before the 7 a.m. Tuesday deadline, completed all the budget work and addressed other key unfinished issues. Some of the biggest victories of the special session include eliminating free health insurance (MNCare) for adult illegal immigrants, making the largest spending cut in state history and stopping nearly $9 billion in new taxes that Democrats fought until the bitter end to do. These results only happened because House Republicans restored balance and sanity after two years of a Democrat Trifecta. It was especially important to get a handle on our state budget after Democrats spent the entire $18 billion surplus, increased state spending by nearly 40 percent, added new programs all over the state budget and raised taxes by $10 billion in the last biennium – causing us to face a $6 billion shortfall in the tails. Republicans are cleaning up the mess Democrats left when they had one-party control. House Republicans delivered by dramatically cutting spending in this budget, wiping out nearly half of the Democrats’ future deficit. Facing strong opposition from House and Senate Democrats and the Governor, House Republicans stayed strong and united and delivered the largest reduction to government spending in state history with $2 billion in budget cuts and, overall, $5 billion LESS spending than the previous budget. Here is a snapshot of bills the House approved during the special session: Ending taxpayer-funded insurance for those here illegally (SSHF1) One of House Republicans six pillars for the 2025 legislative session was making sure that Minnesotans’ tax dollars benefit Minnesotans. We delivered on this priority by making adults who are in our country illegally ineligible for MinnesotaCare. Since the expansion of MinnesotaCare to include people here illegally took effect just five months ago, enrollment has already exceeded 20,000 people – nearly four times the Walz Administration’s first-year projection of 5,500. The original cost estimate, $196 million over four years, was based on that 5,500-enrollee figure. And, unlike MinnesotaCare recipients who are citizens, people here illegally receive zero federal reimbursement, leaving Minnesota taxpayers to cover 100 percent of the cost. Minnesota citizens' MinnesotaCare cost are covered with 90% federal dollars. This program is poised to blow a hole in the state budget and be yet another attraction for those here illegally to move into Minnesota, which according to Rep. Finke’s (D) floor speech yesterday was the Democrats’ plan all along. Even progressive states like California and Illinois have recognized the unsustainable cost and are backing off. Compared to the status quo, the passage of this bill saves Minnesota taxpayers an estimated $56.9 million in FY2026-2027 and $91.6 million in FY2028-2029. I voted yes on this bill. Health/Children and Families (SSHF2) House Republicans scored big wins for rural hospitals and ambulance services in this bill. We increased Medicaid reimbursement rates for hospitals, a major boost for facilities struggling to keep their doors open, particularly in Greater Minnesota. We also delivered over $30 million in new EMS funding, the most robust support for emergency medical services and ambulances in years. Whether it’s a rural volunteer ambulance service or a metro paramedic unit, this investment ensures faster response times and stronger care in emergencies across the state. We also successfully repealed both the funding and implementation authority for the government-run health insurance “public option” passed by Democrats in 2023. This move saves taxpayers $21 million and stopped a deeply flawed proposal that, if it were to fully become law, would drive up costs, reduce access, and threaten private insurance choices. Because this omnibus bill still funds taxpayer-funded abortion as mandated by the Minnesota Supreme Court Doe v Gomez ruling in 1995, I voted no on this bill. Human Services (SSHF3) This bill cuts $1.2 billion in state spending from Human Services. Also, at the insistence of House Republicans, the bill rejects cost shifts to counties for services. We also successfully demanded provisions that will root out areas of potential fraud that have been running rampant in the Department of Human Services. In addition, we created checks on fraudulent services provided by DHS. Autism providers are now required to be licensed, and Housing Stabilization service providers will have to undergo background studies and complete compliance training before submitting an enrollment application. Finally, we secured an additional $95 million in nursing home funding and rejected most nursing home cuts. I voted yes on this bill. Commerce (SSHF4) Some of the biggest victories in this bill are Democrat measures House Republicans successfully opposed. We rejected all controversial DFL bills, including: new health insurance mandates; state-run, low-income car insurance; the grocery price fairness act; banning pet stores from selling cats and dogs; the consumer protection restitution account; and reductions/changes in Minnesota’s mandatory auto insurance requirements. We also denied any new or increased grants to nonprofits in this bill. The bill also addresses a problem created by Democrats in 2023, when they required all keys manufactured and sold in Minnesota after this July 1 to have no more than .009 percent lead. This short window for compliance was poised to cause serious logistical problems, but the bill relaxes the effective date to July 1, 2028. I voted yes on this bill. K-12 Education (SSHF5) In this bill, House Republican reaffirmed our commitment to academic achievement. We protected the Governor's cut to non-public pupil aid and spared charter schools from major cuts – primarily impacting funding for nurses and transportation. We also combatted fraud by providing stricter guidelines at MDE for grants, enshrined the “Science of Reading” in our statute, and prevented special background check mandates for homeschool parents to teach their own children. Furthermore, we prevented new Democrat language mandating the inclusion of an agenda-driven sex education in state health standards. We could not stop the Governor’s demand for a $20 million increase to his agency, while cutting $421 million to the schools in the tails, a special education cut of $350 million and other school funding cut by $71 million, with NO mandate relief. Democrats demanded the unfunded mandates that they imposed on schools stay. Because of this, I voted NO on this bill. Higher Education (SSHF6) I worked to craft this bill as Chair of the House Higher Education Finance and Policy Committee. At my insistence, this bill eliminates a $239 million dollar State Grant Program projected deficit through $35 million in spending cuts and policy changes. We stopped policies put in place by Democrats that caused the massive deficit which equaled one entire years worth of grants. The projected deficit was eliminated and turned into a $20 million dollar surplus. We eliminated $3.6 million in grants for Mayo Clinic – an institution with $23.3 billion in assets – from the Higher Education budget. We also cut $2 million in funding for cannabis dual training grants, fully funded a scholarship program for kids leaving the foster care system, and prevented “professional students” by stopping students who earn a B.A. with North Star Promise money from taking more classes beyond their degree. My greatest disappointment was the democrats refusal to do two things: eliminate those here illegally from North Star Promise (free college), and fulfill our constitutional responsibility to elect four new Regents to the University of Minnesota. I voted yes for this bill. Energy (SSHF7) This bill holds the line on both spending and policy, which is a necessary course correction following two years of unaffordable and unreliable energy policy under the former trifecta. There is no new funding for pet energy projects and we prevented further action on unrealistic climate goals. Even though this was essentially a lights-on bill, I was disappointed that we could not roll back any of the Democrats terrible and expensive energy policy and actually extended the sunset on Solar Energy Incentive Program until January 1, 2038. Because of this, I voted NO on this bill. Environment and Natural Resources (SSHF8) House Republicans stopped dubious new spending in this bill. This includes no funding for “Lawns to Legumes” and preventing the creation of a “Lawn to Lunches” program that would have paid people to plant food for personal consumption. In other words, taxpayer-funded gardens. Meanwhile, the bill also allows state and local trail maintenance/repair projects and AIS management activities to be eligible for a new grant program (which is funded with lottery proceeds and amounts to approximately $56 million for FY 26-27). Notably, grant dollars in this bill cannot be used for new trail construction or scientific research, and money cannot be awarded to the U of M, state agencies, or for-profit businesses. This bill also contained a hunter-friendly provision that eliminates shotgun-only zones in Minnesota, something hunters have asked for for over a decade. I voted yes on this bill. Taxes (SSHF9) After the former Democrat trifecta increased taxes by $10 billion in the last biennium, House Republicans defeated proposals to further raise taxes on Minnesota families. We prevented the creation of a fifth-tier income tax bracket ($8 billion), and defeated the governor’s sales tax increase ($400 million). I was disappointed that the property tax exclusion for disabled veterans was eliminated in the final bill, and that the new tax on all cannabis (including on THC drinks) that has just rolled out was increased from 10% to 15%. I was also concerned that the sales tax exemption on electricity for data centers was eliminated which will affect that industry's interest in establishing in Minnesota. For these reasons, I voted no on this bill. Revisor’s Bill (SSHF10) The revisor’s office works with members and other legislative staff to draft a bill to correct errors in bills and legislative enactments from this session. I voted yes for this bill. Transportation (SSHF14) This bill exempts road construction materials and propane from retail delivery taxes, provides additional funding for deputy registrars, blocks expansion of the electric bike rebate program and demands analysis on the Blue Line light-rail extension to determine the difference in cost for an alternative bus rapid transit line. Meanwhile, cuts to the state patrol were prevented in this bill. I was very concerned about the Governor’s top priority, to take money out of the HUTD fund that is only allowed to be used for highways, to build a new headquarters for the State Troopers. This sets a terrible precedence and therefore, I voted no. Workforce and Labor (SSHF15) We stopped new tax increases on families in this bill and cut $63 million in spending over the next four years. A Republican statewide teacher apprenticeship program is included and we also reduced the maximum payroll tax for a new paid leave program created by Democrats in the last biennium. Cannabis grants are reduced from $12 million to $4 million, and we also stopped penalty increases for worker misclassification. I was disappointed that we could not get democrats to move to make significant fixes to Paid Family Leave and Safe and Sick Time which will hurt small businesses and I voted no on this bill. Data Centers (SSHF16) The House passed a bill which protects Minnesota’s standing as a top location for high-tech investments, bringing thousands of good paying jobs to our state. Through the bill, large-scale data centers will pay an annual fee (up to $5 million) based on their peak electricity demand. These funds will go to support low-income energy programs across the state. I voted yes on this bill. Capital Investment (SSHF17/SSHF18) Two Capital Investment bills approved by the House allocates $720 million in total – primarily through $699.776 million in general obligation bonds – to fund critical infrastructure projects like water systems, roads, and bridges. The second bill was a $10 million cash bill. The first bill was a clean infrastructure bill and I voted yes on this bill. I voted no on the second cash bill. Into the Interim While there is more work to do in getting our state back on track after the reckless spending, unnecessary tax increases and extreme policies enacted by Democrats in full control of the Capitol, it is clear House Republicans have restored balance. Not only did we put an end to the radical agenda, but we also actually made progress in crucial areas such as cutting state spending and protecting taxpayers. We are only getting started and, even though the House has adjourned, my work will continue. This is especially true as the House’s Fraud Prevention and State Agency Oversight Policy Committee continues meeting during the interim months. Watch for more news as developments occur and, as always, I welcome your input. Please Contact MeAs always, if you need assistance on an issue pertaining to state government or have concerns or ideas about legislation, my office is available to you. You can e-mail at rep.marion.rarick@house.mn.gov or call my office at 651-296-5063. You can also write a letter to me. My office address at the 2nd Floor Centennial Office Building, 658 Cedar Street, St. Paul, MN 55155.  |