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You are here: Home / News / In dramatic turnaround, state budget now has $641M surplus

In dramatic turnaround, state budget now has $641M surplus

December 1, 2020 By Bill Werner

A dramatic turnaround in Minnesota’s state budget picture, with the latest forecast just released predicting a 641-million-dollar surplus, although a 1.3-billion-dollar shortfall persists in the 2022-23 biennium. The significant surplus compares to a 2.4-billion-dollar deficit in the last forecast in early May, which was four billion dollars to the negative from previous predictions due to the economic effects of COVID. This new positive number gives lawmakers and the governor a preliminary snapshot for when they set the new two-year state budget beginning in January, but also immediate information on how much money is available for a state assistance package lawmakers are working on for restaurants and bars closed by COVID. The governor says it’s possible the legislature could act on it as soon as this week.

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