CapWatch:
March 4, 2024

Minnesota Update

Committee Work Continues

Last week the legislature remained busy with committee work, hearing bills, and progressing towards the March 22nd committee deadline, despite taking a mid-week break so members could return to their district for precinct caucuses on Tuesday evening and to attend the service for the three fallen Burnsville first responders Wednesday morning. When the legislature resumed committee hearings at 2pm on Wednesday, committees immediately got back to work considering multiple high-profile pieces of legislation.  Most notably, the House Public Safety Committee heard two proposals related to gun storage and the reporting of lost or stolen firearms.

February Forecast Released

On Thursday, February 29, 2024, a day later than originally anticipated, the Minnesota Department of Management and Budget (MMB) released the February budget forecast showing an improved economic outlook since the November forecast. The February forecast shows a projected surplus of $3.715 billion to end the FY 2024-25 biennium, an increase of $1.324 billion compared to the November forecast.

There remains a concern with the overall structural integrity of the budget. The MMB continues to forecast a deficit in the next biennium as spending is projected to exceed revenue through FY 2027. Gov. Tim Walz will produce a supplemental budget in the coming weeks, but he urged caution going forward and said his administration remains focused on new program implementation and infrastructure.

Firearm Bills Heard in the House

Last Thursday the House held a joint Children and Families Finance and Policy and Public Safety Finance and Policy Committee hearing to discuss further action on firearms legislation. The topic of the hearing was gun violence and the impact on children.  H.F. 4300, sponsored by Rep. Jamie Becker-Finn (DFL-Roseville), would expand existing laws on firearm storage to specify that a person must either store a firearm unloaded and equipped with a locking device or store the firearm in a storage unit. This bill was passed by the Public Safety Finance and Policy Committee and was re-referred to the Ways and Means Committee.

An additional bill, H.F. 601, sponsored by Rep. Kaohly Vang Her (DFL-St. Paul), would require lost and stolen firearms to be reported promptly to law enforcement.  The proposal was passed by the Public Safety Finance and Policy Committee and was also re-referred to the Ways and Means Committee. H.F. 601 was also heard last session but ultimately wasn’t passed by the House.

Environmental Trust Fund Bill Passed to House Floor

The Environmental and Natural Resources Trust Fund (ENRTF) was established by a constitutional amendment in 1988 “for the public purpose of protection, conservation, preservation, and enhancement of the state’s air, water, land, fish, wildlife, and other natural resources.” The money in the fund is generated by the Minnesota State Lottery, and since 1991, the ENRTF has provided about $700 million to over 1,700 projects around the state. H.F. 3377, the 2024 ENRTF bill, sponsored by Rep. Rick Hansen (DFL-South St. Paul), was passed out of committee and sent to the House floor last week.  It would fund $79.6 million in projects recommended by the Legislature-Citizen Commission on Minnesota Resources (LLCMR). If passed, more than a quarter of the proposed funds would be allocated to land acquisition, habitat, and recreation. Other initiatives funded are related to environmental education, invasive species, natural resource data and information, and water resources.

Important Dates to Remember  

March 22, 2024                             First and Second Deadline

March 27, 2024 at 5pm                Easter Recess Begins

April 2, 2024 at 12pm                  Easter Recess Ends

April 9, 2024 at 5pm                    Eid Recess Begins

April 11, 2024 at 12pm                Eid Recess Ends

April 19, 2024                               Third Deadline

April 22, 2024                               Passover Recess Begins

April 24, 2024 at 12pm                Passover Recess Ends

May 20, 2024                                Deadline to Adjourn Legislative Session

Federal Update

Full-year Funding Bill Could Pass This Week

Lawmakers released a massive package of full-year fiscal 2024 spending bills over the weekend that both chambers are expected to take up this week. The House could vote as early as Wednesday afternoon on the $467.5 billion, six-bill appropriations package under suspension of the rules, which has become commonplace for spending bills in the face of GOP opposition, including on the Rules Committee. The package includes the Agriculture, Commerce-Justice-Science, Energy-Water, Interior-Environment, Military Construction-VA and Transportation-HUD measures The deadline for enacting the package is Friday — pushed off a week by the latest stopgap — since funding for agencies under four of the bills runs out after that day.

Overall, programs funded by the six bills would see a $1.5 billion increase over fiscal 2023, or 0.3 percent. The Energy-Water and Transportation-HUD measures would get small increases, while the Agriculture bill is flat and the other three bills would see slight reductions. The parties are “still in the midst of serious negotiations” on a second batch of spending bills due March 22, House Republican aides said. That tranche would include the Defense, Financial Services, Legislative Branch, Homeland Security, Labor-HHS-Education and State-Foreign Operations measures.

Here’s What to Watch for on Super Tuesday

Tomorrow brings Super Tuesday with the stakes high in House and Senate races alike. California Democratic Reps. Barbara Lee, Katie Porter and Adam B. Schiff are competing for the late Sen. Dianne Feinstein’s former seat, with at least one of the three set to be eliminated under the state’s primary rules. Other House lawmakers up against primary challengers could glimpse the beginning of the end if they don’t bring in enough votes.

Alabama: Come Tuesday night either Republican Rep. Jerry Carl or Rep. Barry Moore’s House career could be at an end, after redistricting pushed them into a faceoff for the 1st District. The state adopted a new congressional map last year at the direction of the Supreme Court. Now Democrats are likely to pick up a seat in the 2nd District, where there are crowded primaries.

Arkansas: Rep. Steve Womack is the only member of the state’s all-GOP delegation facing a primary challenge on Tuesday after he was one of several Republicans not to support Ohio Rep. Jim Jordan’s bid for speaker on the House floor in October. Womack, a seven-term Republican, faces a challenge from the right by state Sen. Clint Penzo, who has labeled him “Washington Womack”.

California: From the farming communities of the Central Valley to the beaches of Orange County, California is home to a number of competitive House races whose outcomes could determine which party controls the chamber. And despite its deep blue leanings, the Golden State has emerged as a House battleground where politicians from both parties are hitting familiar themes.

North Carolina: Between redistricting and retirements, North Carolina is set to have at least five new members of Congress next year. Because of how the congressional map is drawn, those new members are likely to be Republicans. Democratic Reps. Kathy Manning, Wiley Nickel and Jeff Jackson all decided not to run for reelection. Their redrawn districts are now rated Likely Republican.

Texas: Texas has the nation’s second-largest congressional delegation, though only a fraction of its primaries this year are competitive. The Lone Star State does have a marquee Senate primary, as Democrats Colin Allred — a former NFL player and civil rights lawyer serving his third term in the House — and state Sen. Roland Gutierrez vie for the right to take on Republican Sen. Ted Cruz in November.

On The Radar: Biden’s State of the Union Comes Amid Spending Crunch

President Joe Biden’s State of the Union on Thursday will serve as a precursor to the fiscal 2025 budget request to Congress on March 11, even as lawmakers struggle to wrap up all twelve full-year funding bills for fiscal 2024. The White House said Friday that lowering health care costs, protecting democracy and safeguarding reproductive rights are among the topics Biden will focus on. Press Secretary Karine Jean-Pierre said the president also plans to dig into how his administration will implement key legislative wins on infrastructure, domestic semiconductor manufacturing and the clean energy, health and tax measure. Biden could also see a repeat of the rowdy back-and-forth that marked last year’s address with Republicans erupting in protests and boos. Sen. Katie Britt, R-Ala., is set to deliver the GOP response to Biden’s address.

Palestinian Aid

As the humanitarian crisis worsens in the Gaza Strip and Israel seeks to eliminate the Palestinian militant group Hamas from the territory, members of Congress are working to shape legislation that could determine whether the U.S. provides financial aid to the only agency deemed in a position to give significant relief to Palestinian civilians, in and out of Gaza.