Negotiations collapse over deal to return part of Minnesota's $10B surplus to taxpayers
ST. PAUL, Minn. -- Gov. Tim Walz told reporters Thursday that talks between lawmakers to salvage a deal to return part of the state's $10 billion surplus to Minnesota taxpayers have collapsed, all but ending the possibility of a special session.
At an afternoon news conference alongside DFL House Speaker Melissa Hortman, the governor expressed disappointment in the outcome, putting blame squarely on Senate Republicans.
"It feels like we were negotiating with ourselves over these last few weeks," the governor said. "I don't think that serves Minnesota well."
At the heart of the deal, brokered days before the end of the regular legislative session, was a a $4 billion tax cut proposal, which would have been the largest in state history.
The deal also included $1 billion for education investments, another $1 billion for health care and human services, and $450 million for public safety.
In a statement, Senate Majority Leader Jeremy Miller said that Democrats weren't willing to pass the deal without billions more in spending.
"Simply put, Gov. Walz and the House Democrats have different spending priorities than Minnesotans," he said. "After four months of session and four more weeks of discussions, the differences could not be resolved."
Miller said that while Senate Republicans continued to meet with Democrats to see if there was a path forward, the sides were "millions apart" on key budget areas, such as public safety and health care spending.
