Minnesota State CapWatch
Power Sharing Agreement Reached; Full House of Representatives Convenes for the First Time
On Wednesday, February 5th, legislative leaders in the Minnesota House of Representatives announced a revised power sharing agreement for the 2025-26 biennium that ended the more than three-week stalemate and brought all 133 members of the House of Representative to the chamber for the first time in 2025. Democrats had been boycotting the legislative session, and in doing so, denying the Republicans the quorum needed to conduct business after a judge ruled that then Rep.-elect Curtis Johnson (DFL-Roseville) did not meet residency requirements and vacated his election. The judge’s ruling, combined with Republican threats not to seat Rep. Brad Tabke (DFL-Shakopee) following voting irregularities in the district, had thrown the previously negotiated 67-67 power sharing agreement into disarray.
The final agreement will see Republican Rep. Lisa Demuth (R-Cold Spring) become the first Black woman to serve as Speaker of the Minnesota House of Representatives. Along with the speakership, the House Republican Caucus and its current 67-66 majority will have control of all committees pending the upcoming special election in House District 40B. Most Capitol insiders believe Democrats will retain that seat and the House of Representatives will likely return to a 67-67 tie in mid-March. If that occurs, the negotiated agreement will result in a power sharing agreement with each committee having two co-chairs and equal committee membership for each caucus.
The deal negotiated by Speaker Demuth and “Speaker Emeritus” Rep. Melissa Hortman (DFL-Brooklyn Park) also calls for the creation of a new Fraud Prevention and State Agency Oversight Committee. Republicans will have a 5-3 majority on the committee and maintain that regardless of the special election results.
Gov. Walz Schedules House District 40 Special Election
Just hours before the House of Representatives announced their agreement, Gov. Tim Walz officially called the special election for House District 40B. The special election is set for Tuesday, March 11, 2025 with a special primary election, should one be necessary, on February 25, 2025. Last month the Minnesota Supreme Court ruled that Gov. Walz acted prematurely when he had previously set the special election for January 28, 2025. The district has a long history of electing Democrats with Curtis Johnson winning by 30% this past November.
Important Dates to Remember
March 6, 2025 Updated Budget Forecast Released
March 11, 2025 HD 40B Special Election
March 29, 2025 Eid break Begins
April 1, 2025 Legislature Resumes
April 11, 2025 Easter/Passover Break Begins
April 21, 2025 Legislature Resumes at 12:00 PM
May 19, 2025 Constitutional Deadline to adjourn legislative session
Federal CapWatch
House Budget Markup Delay
Speaker Mike Johnson had planned for the House Budget Committee to mark up a budget resolution this week. However, delays persist as GOP leaders work to finalize a broad reconciliation framework. The House’s proposal is expected to include border security measures, increased military spending, and extended tax cuts. Meanwhile, the Senate is moving forward with its own budget resolution markup this week, which would instruct authorizing committees to draft a reconciliation bill addressing border security, defense, and energy production. The Senate framework assumes $342 billion in spending over four years, with significant allocations for the border, military, and Coast Guard.
DNI Nomination Vote
The Senate is set to vote today on a procedural motion for the confirmation of Tulsi Gabbard as Director of National Intelligence. If the cloture motion passes, a final vote could take place as soon as Tuesday. Gabbard faced bipartisan scrutiny during her Senate Intelligence Committee hearing, particularly regarding her past support for Edward Snowden and her 2017 meeting with then-Syrian leader Bashar Assad. Additional confirmations that could move forward this week include nominees for Health and Human Services, Commerce, Agriculture, and the Small Business Administration.
Environmental Regulatory Authority in Question
A recent court ruling, and executive order have put the Council on Environmental Quality’s regulatory powers in jeopardy. The CEQ, established in 1970, coordinates environmental reviews and permitting for major infrastructure projects. However, a federal judge in North Dakota vacated a 2024 Biden administration rule, arguing that the CEQ lacks explicit congressional authorization to issue enforceable regulations. A similar ruling by the D.C. Circuit Court last year raised further doubts. Additionally, the Trump administration has issued an executive order rescinding a 1977 directive that granted the CEQ regulatory authority and has ordered the agency to propose rescinding its NEPA regulations within 30 days.
