Minnesota Deficit Forecast

Minnesota State budget deficit adjusted for inflation will be $6.889 Billion for 2012-2013. The current deficit was adjusted slightly lower only because the federal government is shoveling more money to the State.

The State has broken its social contract with cities. The state has tremendous powers over how cities can raise revenue and how money is spent. The power the state has taken was in exchange for financial support of cities. The financial support is gone yet the power grab remains.

This information is in line with what we have been planning for and should be a clear sign to anyone that all the cuts in spending the City has done and the ones to come are absolutely needed.