Letters to the Editor - budget deficit at historic level - Forecast shows state’s budget deficit at historic level

    Our state is mired in the longest and deepest recession since World War II. Minnesota has already lost 75,000 jobs in the past year-46,000 from the Twin Cities alone-and could lose 50,000 more before the economy recovers.

    Unsurprisingly, these enormous job losses have had a crippling impact on the state's budget. In November, economists predicted the state would face a historic $4.8 billion shortfall in the coming biennium. Three months later, that total has grown by 33 percent, up to $6.4 billion.

    There is one bright spot: the federal stimulus package will provide $1.8 billion to help balance our budget. However, we must remember that this is a one-time infusion of cash and does nothing to alleviate the long-term instability in the state's finances.

    The challenge before us is to pass a budget that reflects our shared priorities, like quality schools and healthy citizens, while responsibly balancing the state's ledger. This will be a painful process. It's clear the state can no longer afford to do everything it once could. Everyone will need to be part of the solution and all options need to be on the table. This problem is too big for us to think we can repair it without at least looking at every single area of the state's budget for new ideas. 

Linda Higgins

Senator, District 58