Walz, Legislative Leaders Reach $52 Billion Budget Deal

ST. PAUL, Minn. (AP) — The leaders of the Minnesota Legislature and Democratic Gov. Tim Walz have announced a $52 billion deal for the state’s next two-year budget Monday.

But lawmakers will have to finish the work during a special session next month.

And difficult negotiations still lie ahead on police accountability and some other issues that weren’t part of the agreement.

The agreement calls for a balanced budget without raising taxes, while fully exempting from state taxes federal Paycheck Protection Program loans to businesses and unemployment insurance benefits that were raised during the pandemic.

It also includes extra money for summer school to help students catch up.