SAINT PAUL, Minn. — Minnesota lawmakers have passed a new two-year state budget after difficult negotiations, including a contentious vote to eliminate health insurance coverage for undocumented immigrants. The budget also includes a $700 million bonding bill for infrastructure projects, the first since 2023. Lawmakers also passed a new jobs and labor workforce bill that extends unemployment benefits for laid-off Iron Range miners and funds the upcoming World Hockey Juniors tournament in St. Paul.
DFL Speaker Emerita Melissa Hortman spoke about her difficult decision to vote against her party on the health insurance provision.
“What I worry about is the people who will lose their health insurance. I know people will be hurt by that vote. I did what leaders do and I got the job done for the people of Minnesota.”
Republican House Speaker Lisa Demuth defended the move, citing the need to protect Minnesota taxpayers.
“We knew that was going to be a hard decision but when we looked at it, and made the decisions that we needed to, also including a compromise of keeping undocumented children on until age 18, we knew it was going to be hard but we were able to get that work done.”
Both leaders claimed victory following the budget’s passage.
Demuth said, “We made a lot of great strides both looking at that structural deficit, reducing that, and making sure Minnesota families don’t have the pressure of additional taxes on them this year.”
Hortman added, “I think there’s a lot for Minnesotans to be pleased about in these bills. Significant increases in education funding and really responsible and tough choices to prepare for the future challenges for this state.”
Additionally, lawmakers passed a workforce bill during a special session, which the House approved 96-37 and the Senate 40-27. The bill funds key departments including the Department of Employment and Economic Development and extends unemployment benefits by 26 weeks for 630 miners from the Iron Range. It also allocates $5 million for the World Hockey Juniors tournament scheduled in St. Paul this December.
Governor Tim Walz has announced he will sign the budget and will not veto the measure.
