Minnesota will see a higher-than-expected surplus for this current budget, but is expected to see a deficit in the future due to spending outpacing revenues, according to state budget experts.
Minnesota Management and Budget released its latest forecast on Thursday , showing a projected surplus of $2.45 billion for the current two-year budget period. The Legislature approved that spending plan funding state government and its services in June during a special session.
Lawmakers framed that budget with an eye towards a previously predicted nearly $6 billion budget deficit in future years and the final deal included spending reductions to shrink that projection to $1.1 billion.
But this most recent forecast shows that the future deficit has grown to $2.9 billion.
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