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Minnesota Legislature Clears $66 Billion Budget in One-Day Special Session

A June 9 vote sealed a budget that balances reduced spending with fresh levies.

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Overview

  • Governor Tim Walz is expected to sign the $66 billion two-year budget passed on June 9, preventing a partial government shutdown slated for July 1.
  • The deal removes MinnesotaCare coverage for undocumented adults at the end of the year while preserving benefits for undocumented children.
  • Recreational cannabis sales tax will increase from 10 percent to 15 percent and electric vehicle registration surcharges are set to double under the new plan, with a per-kilowatt-hour charging fee slated for 2027.
  • New regulations require data centers to fund energy conservation projects and undergo water-use reviews to protect the state’s climate and water resources.
  • The package includes a $700 million bonding bill for roads, bridges and water systems and creates a Blue Ribbon Commission tasked with finding $250 million in special education savings.