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The Legislature finished the sixth week of the session spending long days in floor sessions, working through high profile bills including the supplemental budget omnibus bill, an increase in the minimum wage, the Women's Economic Security Act, and the second omnibus tax bill. The legislature will be on Easter/Passover break today through Tuesday April 21. During their break next week, we will send out a mid-session report detailing key legislative action.
Supplemental Budget Omnibus Bill
On Tuesday, the Senate passed the omnibus supplemental budget on a party line vote of 37-27. HF3172, authored by Senator Richard Cohen (DFL-St. Paul), allocates a total of $209 million in additional spending on transportation, health and human services, veterans' services, environmental programs, corrections, E-12 education and higher education. The Senate and House will head to a conference committee to work out the differences.
The conference committee consists of five senators and five representatives. The Senators include Charles Wiger (DFL-Maplewood), Richard Cohen (DFL-St. Paul), David Tomassoni (DFL-Chisholm), Terri Bonoff (DFL-Minnetonka), and Tony Lourey (DFL-Kerrick). The Representatives are Lyndon Carlson (DFL-Crystal), Tom Huntley (DFL-Duluth), Tim Mahoney (DFL-St. Paul), Paul Marquart (DFL-Dilworth) and Jean Wagenius (DFL-Minneapolis).
Minimum Wage Increase
The Senate and the House voted for final passage of the minimum wage bill and quickly sent it to Governor Dayton. It will be signed into law on Monday afternoon. HF2109 mandates that large employers pay a minimum wage of $8.00 per hour by August 2014, $9.00 per hour by August 2015, and $9.50 per hour by August 2016.
Small employers with less than $500,000 in gross sales must pay $6.50 per hour in August 2014, $7.25 per hour in August 2015, and $7.75 per hour in August 2016. The bill also includes a $7.75 minimum wage for large employers during a 90-day training period for 18- and 19-year olds and all16- and 17-year olds.
Over the past year, the two sides could not work out an agreement regarding tying future minimum wage increases to inflation. This week a compromise was reached on this issue. Starting in 2018, wages will increase annually on January 1. The amount will be based on the "implicit price deflator," a statistical tool that measures inflation. The increases are capped at 2.5 percent and the commissioner of the Department of Labor and Industry can suspend indexing for one year if the economy takes a downturn.
Women's Economic Security Act
After three hours of debate, the House passed the Women's Economic Security Act on a vote of 100-26. HF2536, authored by Representative Carly Melin (DFL-Hibbing), provides increases in unpaid leave from 6 to 12 weeks and expands family leave and reasonable accommodations for pregnant and nursing employees. The bill also increases the enforcement of equal pay laws for state contractors, allows victims of domestic violence to qualify for unemployment, and enacts a study of a state retirement savings plan for women who do not have an employer-provided option. The bill is now headed to the Senate where it is sponsored by Senate President Sandy Pappas (DFL-St. Paul).
Second Omnibus Tax Bill
On Friday the Senate passed the second omnibus tax bill of the session on a vote of 57-6. HF3167, authored by Senator Rod Skoe (DFL-Clearbrook), includes several property tax levy provisions and specific sales tax exemptions. The bill also adopts federal tax policies, various tax increment financing provisions for municipalities, and "unsession" provisions which eliminate redundant or unnecessary laws and regulations currently in law.
The bill now heads to a conference committee consisting of five members from each legislative body. The five senators are Rod Skoe (DFL-Clearbrook), Ann Rest (DFL-New Hope), Kari Dziedzic (DFL-Minneapolis), Lyle Koenen (DFL-Clara City), and Paul Gazelka (R-Baxter). The five representatives are Ann Lenczewski (DFL-Bloomington), Jim Davnie (DFL- Minneapolis), Greg Davids (R-Preston), Paul Torkelson (R-Hanska) and Linda Slocum (DFL-Richfield).
Social Media Updates
The government relations team at Faegre Baker Daniels has launched a Twitter account to provide live updates and information of news and events happening at the Capitol. Make sure to follow us at @FaegreBD_MNGov to receive our tweets.