2002-04-24 CC Packet (2) - Laserfiche WebLink

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-------------- J r...- of Mm.-DIG CiIm ClUes "...,...oting ...,.,n.,.". ities lie tin Number 12 April 10, 2002 Paltry progress at Legislature Budget, bonding, and baHpark bog billmakers Gary Carlson Over the weekend, House and Senate leadenhip made little progress to end the 2002 legislative session. On Monday, the only major conference committee to meet was the transpor- tation finance panel. The budget reconciliation conference conunittee canceled its meeting as did the stadium conference committee. and the bonding conference committee has not reconvened since its first meeting nearly three weeks ago. Although most of the major bills are now in conference conunittees. the differences between the House and Senate positions on the budget deficit and on transportation funding are significant. The final resolution of those differences could take a week, or perhaps a month. In addition, the Legislature must resolve other major issues, including the bonding bill, an anti-terrorism bill, a stadium bill, and a state employee contract that must be ratified. The budget conference committee met fOr the first time last Thursday, but after 2 Mi hours of discussion, the members only had a more complete understanding of the vast differences between the House and Senate positions. The committee met again on Friday to take public testimony for nearly a full day on the House and Senate proposals. Pemaps the best indication nf the rift between the House and Senate was captured in a volley between the two chairs. 'In response to a question from Sen. Doug Johnson (DFL- Tower), Rep. Kevin Goodno (R-Moorhead) indicated he hoped the committee wonld complete its work by Christmas. He must have been referring to a special session given that the state's Constitution requires the regular session to end by May 20. The House budget reconciliation conference committee members are Rep. Kevin Goodno (R-Moothead), Rep. Ron Abrams (R-Minnetonka), Rep. Phil Krinkie (R -Shoreview), Rep.Alice Seagren (R-Bloomington), and Rep.Tom Pugh (DFL-South St. Paul). The Senate members are Sen. DougJohnson (DFL-Tower),Sen. Larry Pugemiller (DFL-Minneapolis), Sell. Len Price (DFL- Woodbury), Sen. Linda Berglin (DFL-Minneapolis), and Sen. Dick Day (R-Owatouna). House IIudpt proposal The House proposal utilizes funds in the tobacco endowment by effectively transferring more than $300 million in funds to me state's general fund. The plan also makes further cuts in broad state spending categories, including health and human service cuts, enviromnent and natural resources cuts, family and early childhood spending reductions, and additional cuts in state govermnent operations. Senate IIudget proposal The Senate proposal refinances with bonds $245 million in transportation projects that were originally funded with cash in the 2000 omnibus trans- portation bill In addition, the bill delays certain K-12 education payments to school districts, which saves the state general fund more than $300 mil- lion in immediate costs. The remain- der of the state's cash flow account is tapped, and the remainder of the workers' compensation special fund reserve is used to cover the shortfall. Unlike the House, the Senate plan would increase a number of taxes; most notably, tobacco and cigarette taxes. The Senate would also restore some of the cuts for the current biennium that were enacted in Phase I, and would restore the inflationary increase assumptions for K-12 expenditures fur the 2004-05 biennium. The budget conference committee is scheduled to meet at 2 p.rn. today to continue consideration of public testimony. The bonding and stadium conference committees do not have meetings schednled. We may be here 'til May. ..