31-05-2025
Beer shortages, dirty parks: What happens without a Minnesota budget deal?
The Brief
Minnesota is now one month away from its first government shutdown since 2011.
For 20 days that July, the state laid off 19,000 workers. State parks and rest areas didn't get cleaned. Horse tracks couldn't operate because the Minnesota Racing Commission was closed. And liquor stores, restaurants, and bars started to run out of beer because the DPS employees who renewed alcohol licenses were laid off.
Leaders are optimistic they'll avoid a shutdown in 2025. They're expecting a special session as soon as next week. But some high hurdles still need to be jumped for that to happen.
ST. PAUL, Minn. (FOX 9) - There was no obvious movement on Friday towards a complete budget deal at the Minnesota Capitol, but legislative leaders say they're confident a special session should come next week.
They have one month to avoid the first government shutdown since 2011.
What's shaking?
A few privately arranged agreements popped up on the legislature's website Friday, leaving just three omnibus budget bills to sew up.
But there are still some big hurdles to jump and legislators who were at the Capitol for the last shutdown are hearing some echoes of 2011.
Like a semi overturned in the Lowry Hill tunnel blocking traffic, cutting MN Care insurance for undocumented adults while keeping it for kids could block the road to a budget."If that is to pass, it's going to have to pass separately," said Senate Majority Leader Erin Murphy (DFL-St. Paul).
"That has not been a part of the discussion in the rooms," said her House counterpart, Speaker Lisa Demuth (R-Cold Spring).
Maybe we have
For now, the blockage doesn't seem as immovable as it was in 2011 when a GOP majority in the House and Senate couldn't convince DFL Gov. Mark Dayton to sign off on a budget.
Then-Senate Majority Leader Amy Koch says this year sometimes feels the same, but she sees differences.
"They have more like pots of trouble where we had like the one big thing," Koch said.
Parks, horses, beer
During a 20-day government shutdown in 2011, the state had to lay off 19,000 state workers, forcing closures at state parks and rest areas, and stressing out a lot of people.
"I didn't know if it was going to last two hours, two days, two months, two weeks," state worker Brice Wickstrom told FOX 9 after the 2011 shutdown ended on July 21.
Horse tracks couldn't operate because the state racing commission was shut down, so Canterbury Park lost nearly $3 million.
That won't happen this year because a new law allows the commission to continue working with outside funding.
But a beer shortage could once again ail liquor stores, bars and restaurants.
"They're just disgusted," Minnesota Licensed Beverage Association rep Tony Chesak told FOX 9 about those businesses in 2011. "They're upset to the point where they're just trying to stay in business."State employees responsible for renewing alcohol licenses could be out during a shutdown.
Koch believes that was a major motivating factor convincing Gov. Dayton to agree to Republican terms and end the shutdown.
She hoped it would be a political winner.
"We're going to run on this budget," she told FOX 9 in 2011. "We're going to talk about closing $5 billion forecast deficit without raising taxes. That's a big thing."
The GOP lost both the House and the Senate in the next election, but budget forecasts have stayed sunnier.
"Since then, we've never had a deficit," Koch said Friday.
Until now, that is.
The latest forecast predicted nearly a $6 billion deficit by 2029, which is one of many reasons this year's negotiations have been so difficult.
