Gov Nixes Most of Legislative Session's Work

Thursday, May 24, 2018

It surprised many. It surprised us (and MinnPost) .Governor Dayton acted quickly to veto both the tax bill and the omnibus supplemental budget bill. He had two weeks to make the decision. He took two days. And, unlike in past years when vetoes put the Legislature and Governor into overtime negotiations, it appears he intends to make the decision stick and will not call a special session to resolve differences. The tax bill was important because it aligned state tax law with 2017 changes in federal tax law. Dayton didn't like the legislature's plan because, in his view, it went much further than achieving conformity and included significant tax reductions for corporations.  Dayton suggested this was money better spent on addressing school district funding shortfalls.  His objection to the omnibus bill is largely due to the many policy provisions that were added to this supplemental budget plan. Certainly a factor is the contentious relationship between the DFL Govenor and counterparts in the GOP-led legislature who tangled in court last year over differences about how a tax bill was passed.  Dayton felt lawmakers fell short in pulling his administration into negotiations to develop the bills passed by the legislature during the closing hours of the session. Lots of coverage.  Media coverage about the session fall out come from Brainerd, Fargo Moorhead, St. Cloud and also in the Star Tribune. You can also just plain listen to the Governor's press conference.  Legislative leaders have a different view. House and Senate leaders responded with press conferences following the Dayton announcement. Capitol insiders seem to agree this debate will run through the November election.  Only after that will the Governor consider a special session to at least address the tax conformity dilemma.

Bonding Bill Update - May 30, 2018:  Governor Dayton signed legsilation that includes $1.5 billion in capitol projects ($825 in bonding) (MPR).  Dayton expressed frustration with the bill; not enough spending on some activities and concerns about process.  He issued a line-item veto of one provision related to the Minnesota Pollution Control Agency.  Read the bill to see what got funding. 

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