Beruflich Dokumente
Kultur Dokumente
www.mn2020.org
During most of the 1990s and into 2001, the economy was booming and the state had large surpluses.
4/25/2013
Response:
Temporary tax rebates (Jesse checks) Permanent income tax reductions Buy down of general education levy State takeover of general education property tax State takeover of operating transit costs
Along came the 2001 recession and the subsequent jobless recovery, followed by the Great Recession. The party was over.
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Measuring the Problem Examine general fund revenue adjusted for: Inflation Population growth
Things arent so bad if we ignore inflation and population growth
General Fund Current Resources
Nominal Dollars Billions
$45
$40
$35
$30
$25
$20
$15
200001
200203
200405
200607
200809
201011
201213
201415
201617
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but a meaningful comparison over time requires that both be taken into account.
General Fund Current Resources
Average Annual Amount in Constant FY 2013 Dollars Per Capita
$3,900 $3,800 $3,700 $3,600 $3,500 $3,400 $3,300 $3,200 $3,100 $3,000 $2,900
200001
200203
200405
200607
200809
201011
201213
201415
201617
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Response:
Shifts and gimmicks Spending reductions
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Spending Reductions
Adjusted Annual General Fund Spending in Constant FY 2012-13 Dollars Per Capita: FY 2002-03 to FY 2016-17
$4,200 $4,000
$3,800
$3,600
$3,400
$3,200
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Dayton Budget
15.0% 14.5% 14.0% CY 90/FY 91 CY 91/FY 92 CY 92/FY 93 CY 93/FY 94 CY 94/FY 95 CY 95/FY 96 CY 96/FY 97 CY 97/FY 98 CY 98/FY 99 CY 99/FY 00 CY 00/FY 01 CY 01/FY 02 CY 02/FY 03 CY 03/FY 04 CY 04/FY 05 CY 05/FY 06 CY 06/FY 07 CY 07/FY 08 CY 08/FY 09 CY 09/FY 10 CY 10/FY 11 CY 11/FY 12 CY 12/FY 13 CY 13/FY 14 CY 14/FY 15 CY 15/FY 16 CY 16/FY 17
Current Law
Over the next four years, the Price of Government under the original Dayton budget will average 15.5%, slightly less than over the previous four years (15.7%). be slightly less than the average during the Pawlenty years. be much less than the average during the 1990s.
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Daytons revised budget will recapture only a portion of Minnesotas revenue loss.
General Fund Current Resources: Current Law vs. Gov.s Revised
Average Annual Amount in Constant FY 2013 Dollars Per Capita $3,900 $3,800 $3,700 $3,600 $3,500 $3,400 $3,300 $3,200 $3,100 $3,000 $2,900 200001 200203 200405 200607 200809 201011 201213 201415 201617
Current Law
By FY 2016-17, real per capita general fund revenue under the revised Dayton budget will be 3.8% higher than in FY 2012-13 (less than 1.0% growth annually). recapture less than 30% of the revenue loss since FY 2006-07. still be at the lowest level in 20 years, excluding post-Great Recession biennia.
4/25/2013
Daytons revised budget will restore only a portion of Minnesotas spending decline.
Adjusted Annual General Fund Spending in Constant FY 2012-13 Dollars Per Capita: FY 2002-03 to FY 2016-17
$4,200
$4,000
$3,800
$3,600
$3,200
Current Law
BOTTOM LINE
Minnesota can afford a modest revenue increase in the 2013 budget.
4/25/2013
To view MN 2020s recent spending report, Crumbling Fiscal Foundation, go to: http://tinyurl.com/alf23k8 To view MN 2020s general fund revenue analysis, go to: http://tinyurl.com/bkaems6
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