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The legislature adjourned on Monday night without completing most of its key budget bills, despite an agreement announced last week by Gov. Tim Walz and legislative leaders on global budget targets. While a few omnibus budget and policy bills have passed, the legislature will need to come back for a special session to finish passing the rest of the $66 billion two-year budget this week. The governor is the only one who can call the legislature back for a special session — and he has said he will not do so until the legislature reaches agreement on the remaining budget bills.
Legislative leaders have agreed to a plan where working groups will form to find agreement on the unfinished bills. They are expected to hold public, in-person meetings starting Tuesday (today); they must finish their work by 5 p.m. on Wednesday, May 21. However, the special session will happen after that deadline.
So far, six major budget bills have passed both chambers and are headed to Gov. Walz’s desk to be signed into law: state government finance and elections, veterans and military affairs, housing, agriculture, legacy funding, and public safety. Notably, the public safety bill included a last-minute proposal to close the Stillwater prison, a move that received criticism from both sides of the aisle for being negotiated behind closed doors without input. Another significant change redirected $77 million from the Duluth-to-Twin Cities Northern Lights Express toward extended unemployment benefits for hourly school workers.
Several of the most consequential budget bills remain unfinished — including those for education, health and human services, taxes, and transportation. Deep divisions remain within and between the two parties. One major sticking point is the proposal to end MinnesotaCare health coverage for undocumented adults — a top Republican priority that has received fierce pushback from progressive Democrats. Democratic leaders have suggested it may be taken out of the health bill and voted on separately. There’s also growing tension around potential cuts to private school aid. Senate Democrats argue it wasn’t part of the global budget agreement, while House Republicans are adamant that they won’t accept any reductions. Additionally, Republicans also want to revisit the paid leave and earned safe and sick time laws for proposed changes. Democrats have argued that is not part of the leadership agreement.
The divided House, which is evenly split, requires bipartisan cooperation on every vote. In the Senate, where Democrats hold a slim majority, Majority Leader Erin Murphy must secure every member’s support to pass any bill. Bipartisan compromise remains a major roadblock in getting anything passed; however, legislative leaders have expressed hope that they can wrap up the budget by Memorial Day.
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