IS A PRODUCTION OF TWIN CITIES PBS FOR THE STATIONS OF MINNESOTA PUBLIC TELEVISION ASSOCIATION.

>> IT'S DONE.

[ Cheers ] >> Mary: HISTORIC BILL SIGNINGS CONTINUE AS THE SESSION MOVES INTO THE BUDGET PHASE.

WE'LL HAVE KEY PLAYERS ON WHO HAVE TO BALANCE THE BOOKS.

THAT'S COMING UP ON "ALMANAC: AT THE CAPITOL."

♪♪ >> "ALMANAC: AT THE CAPITOL" IS MADE POSSIBLE BY MEMBERS OF THIS PUBLIC TELEVISION STATION.

SUPPORT IS ALSO PROVIDED BY... MANITOBA HYDRO: PROVIDING CLEAN, RENEWABLE ENERGY TO MINNESOTA UTILITIES FOR MORE THAN 50 YEARS.

MANITOBAHYDROPOWER.COM.

FLINT HILLS RESOURCES: A LEADING PRODUCER OF THE FUELS MINNESOTANS RELY ON EVERY DAY.

DAV OF MINNESOTA: KEEPING OUR PROMISE TO MINNESOTA'S VETERANS.

MINNESOTA LOTTERY: PLAYING OUR PART BY GENERATING FUNDS FOR MINNESOTA.

IF YOU'RE GAME, JUST SAY I'M IN.

GREAT RIVER ENERGY: PROVIDING WHOLESALE POWER TO 28 MINNESOTA ELECTRIC COOPERATIVES.

AND THE SHAKOPEE MDEWAKANTON SIOUX COMMUNITY: A SOVEREIGN TRIBAL NATION IN SCOTT COUNTY.

MORE AT SHAKOPEEDAKOTA.ORG.

>> Mary: WELCOME TO "ALMANAC: AT THE CAPITOL."

I'M MARY LAHAMMER, COMING TO YOU LIVE FROM THE HOUSE GALLERY.

ON TONIGHT'S SHOW, WE'LL TALK MONEY.

SENATE FINANCE COMMITTEE LEADERS ARE HERE TO TALK ABOUT THE HISTORIC BUDGET OU SURPLUS, THE BUDGET COMMISSIONER WILL TALK ABOUT THAT SAME LARGE SURPLUS AND THE WORK AHEAD.

WE'LL MEET ANOTHER FIRST-TERM 'LAWMAKER WHO DEFEATED A POWERFUL INCUMBENT IN HER DISTRICT.

BUT, FIRST, THE BIGGEST BILL SIGNING SO FAR AND A BONDING BILL ALREADY MOVING.

LET'S TAKE A LOOK.

>> IT'S DONE!

[ Cheers ] >> Mary: ANOTHER HISTORIC BILL SIGNING, THE BIGGEST GATHERING YET, BROUGHT TO YOU BY ALL DFL CONTROL MAKES DRIVER'S LICENSE FOR ALL A REALITY AFTER DECADES OF WORK.

>> FOR THOSE WHO THINK THEY'RE MOVING TOO FAST, IT TOOK 20 YEARS TO GET TO HERE.

[ Cheers ] 20 YEARS!

THERE IS NO MOVING TOO FAST ON DRIVER'S LICENSES FOR ALL.

>> OVER 80,000 MINNESOTANS, BECAUSE THEY ARE MINNESOTANS, YOU ARE MINNESOTANS, DESERVE AND HAVE WAITED FOR FOR TOO LONG, BUT THAT CHANGES TODAY.

[ Cheers ] TODAY IS JUST THE BEGINNING.

>> THIS VICTORY IS ABOUT TENS OF THOUSANDS OF PEOPLE AROUND OUR STATE WHO HAVE NEVER GIVEN UP.

>> WE FIGHT FOR THE DOCUMENTATION OF ALL OF OUR IMMIGRANTS.

>> I JUST WANT TO SAY TO THE PEOPLE WHO HAVE NOT BEEN HEARD THAT WE HEAR YOU AND WE SEE YOU.

>> SO WHEN I SEE THIS, THIS IS A MOMENT OF POSSIBILITY.

>> THIS IS THE LARGEST BILL SIGNING THAT WE HAVE DONE.

AND IF YOU LOOK WHO'S WITH US, MULTIRACIAL, MULTIDENOMINATIONAL, REPRESENTATIVES FROM THE FAITH COMMUNITY, REPRESENTATIVES FROM THE LABOR COMMUNITY, REPRESENTATIVES FROM THE BUSINESS COMMUNITY, DEMOCRATS, REPUBLICANS.

STANDING ON AN ISSUE THAT MAKES MINNESOTA BETTER.

>> THE CLERK WILL TAKE THE ROLL ON THE BILL AS AMENDED.

>> Mary: THE HOUSE BUILT A BIPARTISAN SUPERMAJORITY TO PASS A BONDING BILL FOR STATE CONSTRUCTION PROJECTS.

>> IT'S BEEN ALMOST THREE YEARS SINCE OCTOBER 2020 THAT WE ACTUALLY HAVE A BONDING BILL FOR THE ENTIRE STATE.

AND IT IS TIME FOR US TO START ADDRESSING SOME OF THE CRITICAL ACCESS INFRASTRUCTURE THAT WE HAVE WITH REGARDS TO OUR STATE SYSTEM, THE LEAKING ROOFS, WE HAVE HEARD ABOUT SOME OF THE ISSUES OVER AT THE UNIVERSITY OF MINNESOTA, MAKING SURE THAT WE ADDRESS SOME OF THE HOUSING ISSUES THAT WE HAVE WITH OUR PUBLIC HOUSING.

>> WE ALL BELIEVE THAT MINNESOTANS DESERVE SAFE AND STRONG AND INCLUSIVE COMMUNITIES, AND WE, AS THE CHAIR HAS SAID, ARE OVERDUE IN UPDATING SOME OF OUR INFRASTRUCTURE.

>> Mary: BUT THE SENATE COULD STALL THE BILL.

>> THAT BILL IS GOING TO BE DEAD ON ARRIVAL BECAUSE WE BELIEVE THAT WE NEED TO SEE SOME TAX CUTS TIED TO THAT.

>> HOW CAN WE IN GOOD CONSCIENCE GO BACK TO THE TAXPAYERS OF MINNESOTA AND SAY, OH, YEAH, WE HAVE THIS HISTORIC SURPLUS, ALMOST $18 BILLION, BUT WE'RE GOING TO PUT ALMOST $2 BILLION ON A CREDIT CARD AND NOT GIVE YOU A PENNY OF YOUR HARD-EARNED DOLLARS BACK.

>> WHEN WE HAVE HISTORIC SURPLUSES IN THIS STATE, TRULY IT IS TIME TO BRING SOME TAX RELIEF TO THE PEOPLE OF MINNESOTA.

♪♪ >> Mary: ALL RIGHT.

WE HAVE LOTS TO TALK ABOUT WITH THE SENATE INANCE COMMITTEE LEADERS.

WE HAVE THE REPUBLICAN LEAD, SENATOR ERIC PRATT AND THE DEMOCRATIC COMMITTEE CHAIR, SENATOR JOHN MARTY.

WELL, FIRST OF ALL, SENATOR PRATT, YOUR CAUCUS MADE SOME NEWS.

I MEAN, HATE TO BE FRANK, BUT THIS IS THE THING YOU GUYS MATTER ON THE MOST AND THE ONLY BILL THEY REALLY NEED YOUR VOTES ON.

AND IT'S EALLY TRUE, SENATE REPUBLICANS WILL NOT PUT UP THE VOTES FOR A BONDING BILL AT THIS POINT BECAUSE OF TAXES?

>> WELL, WE BELIEVE A ONDING BILL IS IMPORTANT.

BUT WE ALSO BELIEVE TAX RELIEF IS IMPORTANT.

SITTING ON A HISTORIC SURPLUS THAT CAME FROM TAXPAYERS WHO PAID IN MORE THAN THE STATE WAS ABLE TO SPEND, AND THE ONE I HEAR ABOUT THE MOST IS REALLY THE SOCIAL SECURITY AX CUT, AND I THINK THAT'S ONE THAT WE REALLY NEED TO START PUSHING FORWARD.

SENATE REPUBLICANS HAVE ACTUALLY BEEN TRYING TO MOVE THAT BILL FORWARD EVEN FASTER.

BUT, LIKE SENATOR HOUSLEY SAID -- >> Mary: LET'S TAKE THAT ONE.

LET'S TAKE SOCIAL SECURITY.

YOUR CAUCUS IS A LITTLE CONFLICTED ON IT.

YOU HAVE A HANDFUL OF FRESHMAN DEMOCRATS WHO ARE MODERATES AND SAID THEY WANT THE FULL REPEAL LIKE REPUBLICANS.

SO, HAVE YOU GUYS WORKED THAT OUT INTERNALLY YET?

>> THAT'S ALL BEING WORKED OUT.

I'M NOT ON THE TAX COMMITTEE.

WE'RE THE FINANCE SIDE.

>> Mary: WE'LL GET TO THAT SIDE.

>> I UNDERSTAND.

BUT, TO ME, THE ONE THING, IN TERMS OF HELPING SENIORS, THE ONE THING THAT I THINK WOULD BE MOST VALUABLE OF ALL IS MAKING SURE WE HAVE THE CAREGIVERS, THE CAREGIVERS WHO SERVE SENIORS IN NURSING HOMES AND PEOPLE WITH DISABILITIES, WE HAVE A LOT OF THEM MAKING 13, 15 -- 14, 15 BUCKS AN HOUR, MAKE FAR MORE AT McDONALD'S AND THE PROGRAMS, FACILITIES CAN'T FIND PEOPLE.

>> Mary: IT'S BEEN CALLED A CRISIS IN LONG-TERM CARE.

>> WE HAVE TO ADDRESS THOSE NEEDS.

>> Mary: WHAT ARE YOU DOING ABOUT THAT?

>> WE'RE WORKING ON THE BUDGET RIGHT NOW.

THAT'S OUR TOPIC TONIGHT.

>> Mary: GIVE US A PEEK, THOUGH.

>> WE'RE STILL IN THE MIDDLE OF THAT.

WE DO THE OVERALL BUDGET, THE COMMITTEES ARE WORKING ON THEIR SPECIFIC TARGETS.

>> Mary: YUP.

>> BUT THE BOTTOM LINE IS, THESE FOLKS, WE'RE GOING TO NEED TO PUT MONEY IN.

THAT WOULD BE BILLIONS OF DOLLARS TO BRING THOSE WAGES UP TO A FAIR LEVEL.

AND TO ME, WHEN WE TALK ABOUT SURPLUS, SURPLUS IS WHAT'S EXTRA.

AND WHEN WE HAVE PEOPLE WHO ARE HOMELESS, AND WE HAVE ALL THESE NEEDS IN EDUCATION, IN HEALTHCARE, PUBLIC SAFETY, WE GOT A LOT OF NEEDS OUT THERE.

SO I THINK WE GOT TO BALANCE, HAVE A GOOD BALANCED APPROACH FOR MINNESOTANS.

>> Mary: THAT SOUNDS BIPARTISAN.

SENATE REPUBLICANS LAST YEAR IN A BUDGET DEAL WERE WEIGHING IN FOR LONG-TERM CARE.

THAT WAS SOMETHING THEY DEMANDED.

>> WE ACTUALLY SUPPORT SPENDING ON LONG-TERM CARE.

I SERVE ON THE BOARD OF A LOCAL LONG-TERM CARE FACILITY.

AND WE'RE HAVING A HARD TIME PAYING OUR NURSES BECAUSE OF REIMBURSEMENT RATES ARE SO BAD.

WE'VE GOT HOMES THAT ARE HAVING A HARD TIME FINDING PCAs.

THAT DOES GET BIPARTISAN SUPPORT.

BUT WE HAVE A $17.5 BILLION SURPLUS, AND THERE'S REALLY ENOUGH MONEY TO DO BOTH.

AND WE CAN DO THE TAX CUTS AND THE BONDING BILL.

IT'S NOT AN EITHER/OR.

WE SHOULD BE DOING BOTH AND WE SHOULD BE DOING BOTH EARLY AND NOW.

>> YOU KNOW, JUST TO PUT THIS IN PERSPECTIVE.

WHEN WE'RE TALKING ABOUT 17 OR $18 BILLION SURPLUS.

FIRST OF ALL, 11, 12 BILLION OF IT IS ONE-TIME MONEY.

A LOT OF THAT, BECAUSE OF FEDERAL MONDAY, SO ON, DURING COVID.

BUT THE ONGOING MONEY, ABOUT $6.3 BILLION, IF YOU GO BACK TO THE BUDGET THAT THE SENATE REPUBLICANS, THE HOUSE DEMOCRATS PASSED TWO YEARS AGO, YOU INFLATION ADJUST IS OF FROM THEN UNTIL NOW, IF WE WANT TO KEEP THAT LEVEL OF SERVICE, BECAUSE THAT'S WHAT THE SCHOOLS NEED, THAT'S WHAT HEALTHCARE NEEDS, EVERYTHING ELSE, WE KEEP THAT LEVEL OF SERVICE, THAT TAKES $5.2 BILLION OF THE $6.3 BILLION.

THAT'S GOING BACK.

IF WE WANT TO KEEP THE SAME LEVEL OF SERVICE, THAT MEANS WE'VE GOT ABOUT $1 BILLION ONGOING MONEY, AND ANY OF THOSE TAX CUTS THAT ARE PERMANENT ARE ONGOING.

>> Mary: OKAY.

WHAT ABOUT, THEN, THE REBATE?

WE WON'T CALL THEM WALZ CHECKS.

I KNOW YOU DON'T WANT TO CALL THEM THAT.

BUT BENEFITS ONE-TIME MONEY, DON'T REBATE CHECKS MAKE SENSE IF IT'S ONE-TIME MONEY?

>> ABSOLUTELY.

LOOK, LAST YEAR WE WERE OPPOSED TO REBATE CHECKS BECAUSE WE DIDN'T WANT TO COLLECT THE MONEY.

WE WANTED TO KEEP IT IN MINNESOTANS' FAMILY HANDS AS LONG AS WE COULD.

BUT NOW WE'VE COLLECTED IT AND WE SHOULD BE DOING SOME REBATE CHECKS BACK TO HARDWORKING FAMILIES.

THEY'RE STRUGGLING WITH THE ONGOING INFLATIONARY PRESSURES OF GROCERIES AND GAS AND HOUSING IS GOING UP TREMENDOUSLY.

SO, WE DO THINK THAT REBATE CHECKS ARE PROBABLY A GOOD WAY TO GO NOW.

WE WOULD HAVE PREFERRED NOT TO COLLECT THE MONEY AT FIRST.

BUT NOW THAT WE'VE GOT IT, WE OUGHT TO GIVE SOME OF IT BACK.

>> Mary: YOU WERE AROUND FOR JESSE CHECKS.

THE PUBLIC LIKES IT.

IS IT A GOOD IDEA W OR NOT?

>> I HAPPEN TO BE THE ONE SENATE VOTE AGAINST THE JESSE CHECKS.

AND IT WAS BECAUSE OF THE SAME THING.

I WARNED THAT WE WERE GOING TO HAVE BUDGET DEFICITS AHEAD BECAUSE WE WERE SPENDING ALL THIS MONEY.

THE BIGGEST TAX CUT IN STATE HISTORY.

REMEMBER THE VOTE ON IT.

AND I OPPOSED IT BECAUSE IT SEEMS TO ME IF WE HAVE NEEDS IN OUR SCHOOLS, NEEDS IN HEALTHCARE, NEEDS IN TRANSPORTATION, PUBLIC SAFETY, WE OUGHT TO ADDRESS THOSE THINGS BEFORE WE GOT -- SAY, THIS IS EXTRA.

>> Mary: WE HAVEN'T HIT SCHOOLS YET, THEY'RE THE BIGGEST CHUNK.

>> THEY'RE LIKELY GETTING THE BIGGEST CHUNK.

THAT'S TRUE IN THE GOVERNOR'S BUDGET.

I THINK THAT'S TRUE IN THE LEGISLATIVE BODIES, I THINK BOTH BODIES HAVE A HIGH PRIORITY FOR SCHOOLS.

>> Mary: QUICK LAST WORD ON SCHOOLS AND FUNDING?

>> AS A FORMER SCHOOL BOARD MEMBER, I THINK WE OUGHT TO BE FUNDING OUR SCHOOLS.

THE PROBLEM WE HAVE IS THAT WE'RE SPENDING MONEY AND TRYING TO TELL THE SCHOOLS HOW TO OPERATE.

HOW TO SPEND THE MONEY.

WHEN WE SHOULD BE ALLOWING OUR LOCALLY ELECTED OFFICIALS TO MEET THE NEEDS THEY HAVE.

>> Mary: WE'RE OUT OF TIME.

THANKS, YOU SENATORS.

APPRECIATE IT.

GOOD PREVIEW OF WHAT'S AHEAD.

>> THANK YOU.

♪♪ >> Mary: AS YOU'VE HEARD TONIGHT, NEW BUDGET FORECASTS WILL FRAME THE REST OF THE SESSION AND HERE TO TALK BOUT THAT MORE, BUDGET OMMISSIONER SHOWTIME SCHOWALTER.

[ Laughter ] >> WOW.

>> Mary: YEAH, THERE YOU GO.

WELL, THIS IS STILL HUGE, STILL HISTORIC.

I MEAN, INFLATION GOES BACK INTO THE FORECAST AND YOU STILL PRETTY MUCH HOLD ONTO THE SAME HISTORIC $17.5 BILLION.

DID YOU EXPECT THAT?

>> NOT REALLY.

YOU KNOW, BUT I DIDN'T EXPECT MUCH CHANGE EITHER.

YOU KNOW, THE BOTTOM LINE IS, THE ECONOMY'S DOING WELL N MINNESOTA, YOU KNOW, THERE WASN'T A BIG SURPRISE.

IF YOU REMEMBER, WHEN WE DID THE FEBRUARY FORECAST LAST YEAR, YOU KNOW, RUSSIA HAD JUST INVADED UKRAINE, LIKE THAT WEEK.

WE KNEW THERE WERE A LOT OF THINGS THAT WERE UP IN THE AIR.

NOTHING NEARLY THAT BIG, HANK GOODNESS, HAS HAPPENED SINCE NOVEMBER.

SO WE'RE EXPECTING SOME STABILITY.

>> Mary: LET'S TALK ABOUT THE UNCERTAINTY, THOUGH, BECAUSE THERE'S ALWAYS RISK AND I LIKE TO EEK OUT ON THE RISK FACTORS.

LET'S TAKE D.C., BECAUSE THAT'S TOP OF MIND, WHAT'S GOING ON.

THAT REALLY CAN TRICKLE DOWN TO THE STATE ECONOMY AND THE IMPASSE THERE, RIGHT?

>> YEAH, YOU KNOW, YOU'RE TALKING ABOUT THE DEBT CEILING LIMIT.

YOU KNOW, IF THE FEDERAL GOVERNMENT JUST DOES N UNFORCED ERROR OF EPIC PROPORTIONS, WELL, YEAH, EVERYTHING'S OUT THE WINDOW BECAUSE THAT'S GOING TO HAVE IMPACTS ON THE ECONOMY AND THE CAPITAL MARKETS AND EVERYTHING LIKE THAT.

I DON'T THINK THEY'RE GOING TO DO THAT.

WE ALWAYS FIND SOME WAY TO GET THE WORK DONE.

OUT OF D.C. AND I TRUST THAT THEY'RE GOING TO DO THAT AGAIN.

>> Mary: WHAT ABOUT THE HOUSING MARKET?

I DEFINITELY SAW THAT AS ANOTHER RED FLAG FOR YOU, INTEREST RATES PROBABLY CONTINUING TO CLIMB.

WE ALREADY DON'T HAVE ENOUGH HOUSING STOCK IN THIS STATE, SO HOW DOES THIS PLAY UNIQUELY IN MINNESOTA?

>> WELL, IT PLAYS BECAUSE WE HAVE A BIG BUDGET SURPLUS.

AND, SO, YOU KNOW, A NUMBER OF THE GOVERNOR'S INVESTMENTS, A NUMBER OF THE LEGISLATIVE INITIATIVES ARE TO PUT MORE MONEY INTO HOUSING.

SO, WHILE INTEREST RATES ARE STARTING TO COME BACK DOWN, THEY'RE BEHAVING JUST, I THINK, AS THE FEDERAL RESERVE WOULD HOPE.

YOU KNOW, IT'S STILL MORE EXPENSIVE THAN IT WAS A FEW YEARS AGO.

WE STILL HAVE HOUSING SHORTAGES.

SO IT REALLY CREATES AN OPPORTUNITY.

>> Mary: BUT IT SLOWED HOME CONSTRUCTION AND HOME BUYING, CORRECT?

>> CORRECT.

>> Mary: THAT REALLY AFFECTS THE STATE ECONOMY POTENTIALLY IN.

>> IT DOES.

IN MINNESOTA, THE BIGGEST ISSUE IS WORKERS AND MAKING SURE THAT WE HAVE ENOUGH PEOPLE TO FUEL THE BUSINESSES AND OPPORTUNITIES THAT ARE ALREADY HERE BECAUSE WE'RE SEEING CONTINUED GROWTH, WE'RE PROJECTING CONTINUED GROWTH IN MINNESOTA, BUT IT'S NOT AS ROBUST AS IT WAS A NUMBER OF YEARS BACK.

>> Mary: LET'S TALK LABOR SHORTAGE BECAUSE THAT'S THE THING THAT HAS BEEN THIS UNDERLYING WEAKNESS IN OUR ECONOMY, IN THIS COLD, NORTHERN STATE THAT KEEPS GROWING BUT NOT FAST ENOUGH.

TALK TO ME, BRING US BEHIND CLOSED DOORS A LITTLE BIT BECAUSE THE GOVERNOR SAYS THE BIG PICTURE OF HIS BUDGET IS REALLY TO ATTRACT PEOPLE TO THIS STATE.

BUT PRACTICALLY, NOT POLICY, BUT NUMBERSWISE, WHAT MAKES PEOPLE MOVE HERE, HOW DO WE ACTUALLY GET THEM TO MOVE HERE AND WORK HERE?

>> PART OF IT IS JUST RESPECT.

YOU KNOW, HOW DO WE HAVE A SOCIETY, HOW DO WE HAVE BENEFITS, HOW DO WE HAVE A WORKFORCE THAT MAKES URE THAT PEOPLE CAN COME HERE AND SUPPORT THEIR FAMILIES.

CAN LIVE LIFE AND MAKE SURE THAT THEY CAN DEAL WITH THEIR WORK LIFE, THEIR PRIVATE LIFE AND MAKE IT ALL WORK.

THE GOVERNOR'S GOT A NUMBER OF INITIATIVES, WHETHER IT'S PAID FAMILY MEDICAL LEAVE, WHETHER IT'S INVESTMENTS IN HOUSING, THERE'S ALL KINDS OF THINGS THAT WE CAN DO TO WELCOME PEOPLE HERE THAT OTHER STATES AREN'T DOING RIGHT NOW AND WILL MAKE MINNESOTA A GREAT PLACE TO WORK.

BUT ON TOP OF THAT, WE'VE JUST GOT A GREAT WORKFORCE.

SO THE OTHER THING WE CAN DO, AND THIS IS PROBABLY THE CENTERPIECE OF HIS ENTIRE BUDGET, IS TO HELP PARENTS, HOW DO WE HELP FAMILIES, WORKING FAMILIES, WHO MAY HAVE TO HELP THE KID AT HOME, MAY HAVE CHILD CARE PROBLEMS, MAY NOT BE ABLE TO GET THEIR KID INTO CHILD CARE.

THERE'S A LOT OF THINGS THAT WE CAN DO TO HELP THAT FAMILY BE LESS STRESSED AND HELP THEM GET JOBS.

>> Mary: LET'S TALK ABOUT THE BUDGET ASPECT OF BOTH OF THOSE.

LET'S GO TO PAID FAMILY LEAVE, THAT'S A BIG TICKET, TALK ABOUT OW THAT IMPACTS THE FORECAST AND THE STATE BUDGET GOING ORWARD.

>> WELL, IT DOESN'T IMPACT THE FORECAST BECAUSE IT'S NOT IN LAW.

>> Mary: RIGHT.

>> IT'S A HUGE ISSUE FOR LEGISLATORS.

OF WE'RE LOOKING FORWARD TO THAT DEBATE AND MOVING THAT FORWARD.

>> Mary: BUT IT COULD CHEW UP A LOT OF THAT PROJECTED SURPLUS OR A GOOD CHUNK OF IT.

>> IT COULD CHEW UP SOME OF IT.

BUT IN TERMS OF THE THE $17.5 BILLION SURPLUS, YOU KNOW, IT IS A RELATIVELY MINOR ACTOR COMPARED TO WHERE MOST OF OUR MONEY GOES, WHICH IS SCHOOLS, HEALTHCARE, FOR ELDERLY, FOR POOR INDIVIDUALS, KIDS.

YOU KNOW, THAT'S WHERE THE LION'S SHARE OF OUR BUDGET GOES AND WILL CONTINUE TO GO.

PAID FAMILY MEDICAL LEAVE IS REALLY PAID FOR MAYBE SOME FROM SOME SEED MONEY FROM THE STATE BUT ULTIMATELY IT'S PAID BY EMPLOYERS AND ULTIMATELY JUST SORT OF LIKE ALMOST LIKE A WORKERS COMP PROGRAM.

>> Mary: SO BUDGETWISE, YOU SEE IT AS SEED MONEY AND IT'S A ONE-TIME USE OF THAT KIND OF ONE-TIME SURPLUS MONEY?

>> YEAH.

THAT'S EXACTLY HOW WE PROPOSED IT.

AND HOW I EXPECT IT WILL WORK.

>> Mary: AND YOU MENTIONED CHILD CARE, AND THIS MAYBE FALLS IN DEPARTMENT OF REVENUE, CHILD CARE CREDITS.

BUT THE TWO OF YOU WORK TOGETHER.

EXPLAIN HOW WE CAN HELP, BECAUSE, AGAIN, THAT'S ANOTHER CRISIS AREA, WE MENTIONED LONG-TERM CARE EARLIER BUT CHILD CARE IS A STATEWIDE CRISIS.

>> IT IS.

CHILD CARE IS A STATEWIDE CRISIS AND, YOU KNOW, THE COST OF RAISING KIDS, PARTICULARLY KIDS WHO ARE IN POVERTY, YOU KNOW, WE JUST SEE LONG-TERM IMPACTS OF THAT.

AND, YOU KNOW, WE SHOULD LEARN FROM THE LAST COUPLE OF YEARS, AND ONE OF THE THINGS WE LEARNED IS, YOU KNOW, IF A FAMILY IS IN POVERTY, GETTING A LITTLE BIT OF MONEY HELPS A LOT.

IN FACT, IT HELPS THEM GET OUT OF POVERTY.

WE SAW CHILDHOOD POVERTY RATES GO DOWN SIGNIFICANTLY WHEN THE FEDERAL GOVERNMENT STARTED GIVING THOSE FAMILIES MONEY.

AND THE STATE CAN DO THAT TOO.

THE GOVERNOR'S PROPOSAL REDUCES CHILD POVERTY BY 25%.

THAT'S A BIG MOVE AND IT ARE REALLY HELP KIDS LONG TERM.

>> ary: LET'S TALK REBATE CHECKS, PEOPLE LIKE IT, PEOPLE WANT IT.

I GET ASKED ABOUT IT ALL THE TIME.

YOU MUST TOO.

EXPLAIN HOW THAT IMPACTS THE BUDGET.

>> SO, IT IS A BIG ONE-TIME TAX REDUCTION.

THE GOVERNOR PROPOSED THE BIGGEST TAX REDUCTION IN AGGREGATE THAT WE'VE EVER SEEN.

AND A BIG PIECE OF THAT WAS THAT ONE-TIME TAX CUT TAX REBATE TO INDIVIDUALS BEING ONE TIME, IT HELPS USE SOME OF THAT ONE-TIME MONEY THAT WE'VE GOT IN THE SURPLUS, HELPS GET IT INTO PEOPLE'S POCKETS, REALLY HELPS PEOPLE JUST PAY THE BILLS BECAUSE WE ALL KNOW, YOU KNOW, WHETHER IT'S CURRENT BILLS, YOUR RENT CHECK, WHATEVER IT IS, YOU KNOW, A LITTLE BIT GOES A LONG WAY.

AND THIS IS REALLY THE GOVERNOR'S PLAN.

>> Mary: WHAT ABOUT THE INCOME LIMITS, I'VE HEARD 75K, PEOPLE DON'T THINK THEY'RE RICH WHO MAKE 75 AND UP.

>> NO, THAT'S RIGHT.

BOTTOM LINE IS WE'RE TRYING TO FIND WHAT'S THE RIGHT AY, WHAT'S THE BEST WAY TO GET THAT MONEY, MAKE SURE IT'S MEANINGFUL, MAKE SURE WE GET AS MANY PEOPLE COVERED AS POSSIBLE AND WE HAVE A NUMBER OF DIFFERENT PROPOSALS, INCLUDING THE CHILD CARE TAX CREDITS, THE DEPENDENT CARE CREDITS, THE REBATE, ALL OF THESE THINGS GO TOGETHER.

>> Mary: AWESOME.

THANK YOU SO MUCH FOR DETAILING WHAT CAN BE VERY DIFFICULT, THE BUDGET NUMBERS.

- APPRECIATE YOUR TIME, COMMISSIONER.

>> YOU BET.

THANK YOU.

>> Mary: YEAH.

ALL RIGHT.

THIS WEEK'S FIRST-TERM LAWMAKER DIDN'T PLAN TO RUN FOR OFFICE BUT SHE'S PUTTING HER PROFESSIONAL BACKGROUND TO GOOD USE, LIKE MANY FRESHMEN IN THE SENATE, SHE IS A VICE COMMITTEE CHAIR, LET'S TAKE A LOOK.

SENATOR, FIRST TELL US WHY DID YOU WANT TO RUN FOR OFFICE TO BEGIN WITH?

>> THERE ARE A LOT PEOPLE WHO RUN FOR OFFICE AND THEY SORT OF PREPARE FOR THAT, THEY PLAN FOR THAT, THEY'RE ALREADY IN THOSE CIRCLES AND THERE IS NOTHING WRONG WITH THAT, BUT THAT WAS NOT ME.

I LOOKED AROUND MY COMMUNITY AND WE SAW LEADERS THAT WERE NOT DOING THEIR JOB THAT HAD SOME PRETTY PROBLEMATIC BEHAVIOR THAT WERE MAKING SOME POOR CHOICES, AND, QUITE FRANKLY, MOST IMPORTANTLY, WERE NOT IN TOUCH WITH THE FAMILIES IN OUR COMMUNITY AT ALL.

>> Mary: LET ME JUMP IN, IF I COULD, BECAUSE THIS WAS A VERY DIFFICULT RACE.

>> YEAH.

>> Mary: THIS WAS SENATOR ROGER CHAMBERLAIN, INCUMBENT, POWERFUL CHAIR, YOU KNOW, LEADERSHIP.

THIS WAS FORMIDABLE.

>> IT WAS, IT WAS HARD.

WE WERE THE UNDERDOGS.

WE KNEW THAT.

WE KNEW WE HAD AN UPHILL BATTLE.

BUT WE WERE ADAMANT ABOUT KNOCKING ON MORE DOORS THAN ANYBODY ELSE.

WE KEPT OUR MESSAGE VERY LOCAL AND THINGS THAT OUR COMMUNITY ACTUALLY CARED ABOUT INSTEAD OF DIVISIVE NATIONAL SSUES.

>> Mary: KNOW LOOKING AT YOUR WEBPAGE, WHEN I STARTED SCANNING DOWN THE ISSUES, I NOT -- HOUGHT, BOY, YOU CAN'T TELL IF YOU'RE A DEMOCRAT OR A REPUBLICAN, JUST BASED ON ISSUES AND THE STANCES.

IS THAT ON PURPOSE, IS THAT WHERE YOU ARE, IS THAT WHAT YOU NEEDED TO WIN THE DISTRICT?

>> NO, IT WASN'T LIKE A POLITICAL MOVE.

I THINK IT'S JUST, AGAIN BE, I'M A REPRESENTATIVE OF MY DISTRICT.

A LOT OF PEOPLE DON'T REALLY CARE IF A GOOD IDEA COMES FROM A REPUBLICAN OR A DEMOCRAT.

THEY JUST WANT PEOPLE WHO WILL GET THE WORK DONE.

AND I LIKE TO SAY THAT MY WORK IS HONEST, RIGHT?

I AM WHO I REPRESENT.

A LOT OF THE PEOPLE IN MY DISTRICT ARE STRUGGLING RIGHT NOW.

>> Mary: LET'S TALK EDUCATION, FIRST AND FOREMOST, THIS IS OMETHING NEAR AND DEAR TO YOU.

>> I'M A PUBLIC HIGH SCHOOL HISTORY TEACHER.

AND I CAN TELL YOU FIRSTHAND WHAT SOME OF THOSE STRUGGLES ARE IN OUR CLASSROOMS.

CLASS SIZES ARE TOO BIG.

WE DON'T HAVE ENOUGH SCHOOL COUNSELORS.

WE ARE HAVING TROUBLE RECRUITING AND RETAINING TEACHERS.

WE NEED MORE MENTAL HEALTH RESOURCES.

WE NEED TO FULLY FUND SPECIAL EDUCATION.

THESE ARE THINGS THAT WE CANNOT KEEP KICKING DOWN THE ROAD.

AND JUST IGNORING.

I'M HONORED TO BE CHOSEN AS VICE CHAIR OF THE EDUCATION FINANCE COMMITTEE.

I PLAN TO TAKE THAT REAL-WORLD EXPERIENCE NTO THE CLASSROOM BECAUSE I KNOW EXACTLY WHAT STUDENTS AND TEACHERS AND PARENTS AND SCHOOLS ARE STRUGGLING WITH RIGHT NOW.

>> Mary: FOR THE FIRST TIME EVER, THIS IS HISTORY, THE MAJORITY OF THE NEW MAJORITY ARE WOMEN.

AND A LOT OF THEM ARE SUBURBAN WOMEN, JUST LIKE YOU, AND YOUR RACE BASICALLY HELPED WIN CONTROL OF THE CHAMBER FOR DEMOCRATS.

THAT'S A LOT OF HEAVY HISTORY ON YOU.

>> YEAH, IT'S GOOD.

I MEAN, I THINK THE FIRST THING WHEN PEOPLE TALK ABOUT MORE WOMEN BEING ELECTED AND SUBURBAN WOMEN REALLY BEING DECISIVE WITH THIS ELECTION, THE FIRST THING THEY'RE GOING TO POINT TO IS THE DOBBS DECISION.

AND THAT'S CORRECT.

RIGHT?

I'M A MOM OF FOUR DAUGHTERS.

THAT WAS SOMETHING THAT AS PRETTY EARTH SHATTERING IN OUR HOUSE WHEN IT CAME DOWN.

AND IT'S QUITE SIMPLY JUST AN ACT OF GOVERNMENT OVERREACH.

IT'S TAKING AWAY THE FREEDOM OF US TO DECIDE WHAT HAPPENS WITH OUR BODIES.

>> Mary: YOU REALLY STAKED OUT SOME TERRITORY EARLY, SAYING, SOCIAL SECURITY TAX, FULL REPEAL, I CAMPAIGNED ON IT.

DEMOCRATS AND REPUBLICANS COME TOGETHER ON THIS, RIGHT?

>> WELL, I HEARD THIS A LOT ON THE DOORS, AND IT WAS POPULAR WITH PEOPLE ACROSS THE POLITICAL SPECTRUM.

IT WAS SOMETHING THAT MY COMMUNITY NEEDS, ESPECIALLY SENIOR CITIZENS WHO ARE ON A FIXED INCOME.

WE'RE GOING TO PUSH FOR A CHANGE IN THE SOCIAL SECURITY TAX POLICY.

THAT IS FOR SURE.

THERE WILL BE SOME PROGRESS AND WE'RE GOING TO PUSH FOR THAT CHANGE.

BUT I DO WANT TO WORK WITH EVERYBODY.

WE'VE GOT O OFFER SOME RELIEF FROM RISING COSTS, DEFINITE THINKING ABOUT THE SENIOR CITIZENS IN MY COMMUNITY WHO ARE ON THOSE FIXED INCOMES AND ARE LOOKING FOR US TO MAKE SOME CHANGES THERE.

BECAUSE THAT IS A BIG DEAL TO ME.

>> ary: SO YOU RAN AS A MODERATE.

YOU'RE ALREADY STAKING OUT MODERATE TERRITORY.

HOW DO YOU THINK YOU'RE GOING TO SURVIVE AND THRIVE, MAYBE BREAKING WITH YOUR CAUCUS, BEING A MODERATE IN A PLACE THAT, YOU KNOW, TENDS TO PULL PEOPLE TO THE EDGES?

>> I THINK THE PEOPLE IN THE MEDIA REALLY LOVE TO TALK ABOUT THE IDEA THAT WE'RE GOING TO HAVE ALL THESE INTERNAL STRUGGLES.

WHEN, QUITE FRANKLY, WE HAVE A LOT OF SHARED VALUES THAT GO JUST BEYOND THE DFL CAUCUS.

THERE ARE A LOT OF PEOPLE WHO DON'T DEFINE THEMSELVES AS REPUBLICAN OR DEMOCRAT, BUT VOTED FOR US BECAUSE THEY SHARE OUR VALUES.

SO WE ARE GOING TO WORK TOGETHER.

WE'RE GOING TO COME TOGETHER AND WE'RE GOING TO GET A LOT DONE.

I ALSO HEARD THAT A LOT ON THE DOORS, TOO.

WHICH I THINK IS REALLY IMPORTANT TO GET THAT MESSAGE ACROSS.

MOST PEOPLE JUST WANTED LEADERS WHO WOULD GET THEIR JOB DONE.

STOP FIGHTING.

LEARN TO COMPROMISE.

EVEN IF IT'S WITH SOMEBODY ON THE OTHER SIDE.

AND JUST GET THE WORK DONE.

SO MUCH WORK WENT LEFT UNDONE IN THE LAST SESSION BECAUSE PEOPLE COULDN'T COME TOGETHER.

>> Mary: YEAH, HAVE YOU THOUGHT ABOUT THAT HARD PART, THOUGH, WHEN RUBBER HITS THE ROAD, YOU HAVE A GREEN BUTTON, RED BUTTON, YOU LIKE SOME IDEAS, NOT SOME IDEAS, AND NO BILL IS PERFECT, AND HOW HARD THAT ULTIMATE VOTE IS GOING TO BE?

>> I NEVER THOUGHT THIS WOULD BE AN EASY JOB.

AND I THINK, YOU KNOW, ESPECIALLY WHEN YOU'RE IN THE SENATE AND YOU HAVE A MAJORITY, AND WE DIDN'T JUST WIN WITH MINNEAPOLIS AND St. PAUL SENATE DISTRICTS, WE BRANCHED OUT, WE WON IN -- WE WON AN IRON RANGE SEAT, WE'RE IN MOORHEAD, SOME OF THE OUTLYING SUBURBS, RIGHT, O THAT'S GOING TO BRING IN LOTS OF NEW IDEAS, LOTS OF NEW PERSPECTIVES.

I CAN ONLY SPEAK FOR MYSELF, WHEN I'M THINKING ABOUT POLICY, WHEN I'M LOOKING AT THINGS, WHEN I'M LOOKING AT BILLS, I'M THINKING ABOUT FOLKS IN LINO LAKES, WHITE BEAR LAKE, VADNAIS HEIGHTS, YOU KNOW, THOSE ARE THE FIRST PEOPLE THAT COME TO MIND BECAUSE THEY'RE THE PEOPLE THAT GAVE ME THE JOB.

>> POLITICS HAS NEVER BEEN SOMETHING THAT I GREW UP THINKING, LIKE, OH, I WOULD LOVE TO DO THAT.

AT ALL, ACTUALLY.

WHEN WE STARTED OUR RESTAURANT, I HAD GONE TO A FEW COUNCIL MEETINGS, CITY COUNCIL MEETINGS HERE IN LAKESHORE AND JUST TO LEARN LIQUOR LICENSING AND ALL OF THAT KIND OF STUFF.

AND AS I WAS SITTING THERE, I REALIZED, YOU KNOW WHAT, THERE ARE NO WOMEN ON THIS COUNCIL.

THERE ARE NO MOTHERS ON THIS COUNCIL.

AND THERE WERE NO RESTAURANT OWNERS.

AND WE HAVE FIVE RESTAURANTS IN OUR LITTLE CITY HERE.

SO I JUST FELT THAT MAYBE THERE WAS A NEED FOR THAT PERSPECTIVE.

>> Mary: IN YOUR CAUCUS, THERE'S A NUMBER OF WOMEN, YOU KNOW, THE MAJORITY OF THE NEW SENATE MAJORITY ARE WOMEN.

THERE ARE A LOT OF WOMEN COMING TO THE CAPITOL.

>> I THINK THAT'S FANTASTIC.

WOMEN AND MEN.

I THINK WE BOTH HAVE JUST DIFFERENT UNIQUE PERSPECTIVES.

♪♪ >> Mary: THAT'S OUR SHOW FOR TONIGHT.

WE'LL BE BACK IN NEXT WEEK WITH MORE CONTEXT FROM THE STATE CAPITOL.

IN THE MEANTIME, HEAD TO YOU ARE 0 WEBSITE TPT.ORG/AATC.

THERE YOU CAN INTERACT WITH US ON ALL OF OUR SOCIAL MEDIA PLATFORMS, FACEBOOK, TWITTER, AND MUCH MORE.

AGAIN, ALL AT TPT.ORG/AATC.

AND WHEN THE LEGISLATURE IS IN SESSION, YOU CAN FOLLOW HOUSE, SENATE, FLOOR ACTION, COMMITTEE HEARINGS, PRESS CONFERENCES, BILL SIGNINGS AND MUCH MORE ON THE PBS STATION YOU'RE WATCHING RIGHT NOW.

AND ON THE PBS STATION YOU'RE WATCHING, FRIDAY NIGHT ON "ALMANAC," ERIC AND CATHY WILL COVER THE CHALLENGES OVER THE NEW SUICIDE AND CRISIS LIFELINE, I WILL TAKE A LOOK AT CHANGES PROPOSED FOR THE STATE OFFICE BUILDING RIGHT NEXT TO THE CAPITOL HERE HOUSES HOUSE MEMBERS.

IT'S CONTROVERSIAL.

WE'LL EXPLORE BOTH SIDES AND GOVERNORS PAWLENTY AND DAYTON TESTIFYING TOGETHER.

GOOD NIGHT.

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