Moving Minnesota's Public Debate Forward

Fiscal Policy

Responsible, progressive fiscal policy creates state and community prosperity.

Frozen State Aid is Declining State Aid

Despite the most far reaching revisions to the city Local Government Aid (LGA) formula in two decades, lawmakers left out one major piece when they signed the deal in 2013: an annual adjustment to make sure LGA keeps pace with inflation and population growth over time. The 2013 reform included an $80 million increase in LGA funding beginning in 2014. This represents a 19 percent increase above the prior year level and was sufficient to replace just over half of the nominal cut in LGA since 2002 (but less than…

Reducing Income Inequality Doesn’t End with Minimum Wage Campaign

On Monday, progressive state policymakers and fair wage supporters were in a celebratory mood, as Governor Dayton signed into law the first Minnesota minimum wage increase in nine years. Under that law, the hourly minimum wage will be gradually increased to $9.50 ($7.75 for small employers) by 2016 and indexed for growth in the cost of living beginning in 2018. While the new minimum wage law is a big win, more needs to be done to reverse the tide of growing income inequality. As the minimum wage increase was debated…