Clock Strikes Midnight: Minnesota State Government Shuts Down

The state of Minnesota has officially shut down.

After weeks of intense negotiations, capped by closed-door sessions through Thursday’s waning minutes, Gov. Mark Dayton and Republican lawmakers failed to agree on an operating budget for the coming biennium.

“I deeply regret that after two days of intense negotiations we have failed to reach an agreement,” Dayton said during a 10:30 p.m. press conference in his office.

Dayton continued: “I offered a plan to raise the taxes of only those Minnesotans who make more than $1 million per year. That is less than 0.3 percent of the state population. Despite many hours of negotiations, the Republican caucus remains adamantly opposed to new taxes.”

It left many folks in Northfield and Rice County wondering what's next.

Northfield will see three road projects delayed, including the schedule July 5 repaving of Hwy. 246 from Hwy. 3 to Nerstrand. Liquor licenses can't be approved. About 80 percent of Northfield Transit is funded through state and federal payments, so the program would need to find funding elsewhere or adjustments would need to made to service, according to City Administrator Tim Madigan.

Lynne Young, Northfield's library and recreation services director, said operations will continue as normal for both the and the pool. If the shutdown lasts long term, she said funding could become an issue because the money it receives from the Southeastern Libraries Cooperating is funneled through the state.

Northfield Public Schools is also expected to be in OK shape for at least two months, but would need to look at other funding sources—like tapping into a line of credit.

Rice County Administrator Gary Weiers said he and his staff are still figuring the immediate ramifications of a shutdown, but said some social services and health programs will be impacted. Weiers also said county payments will be delayed.

Because information has come slowly from the state, Weiers said his staff will spend the balance of Friday figuring out the details and will have a more firm grasp Tuesday.

Earlier in the week, Dayton said a deal would have to be done by Wednesday in order to draft and pass the necessary legislation. But Thursday, the governor continued meeting with GOP leaders on-and-off trying to put an agreement in place.

At around 10 p.m. Thursday, Dayton rejected a two-page temporary funding deal from the GOP leadership that would keep the Minnesota government operational for an additional 10 days.

"There are a lot of people on the steps of the Capitol right now asking us to not shut down the government. This document is their answer,” Koch said referring to the lights-on bill.

When asked his response to the 10-day temporary funding bill, Dayton’s answer was frank and clear.

“I think it’s a publicity stunt,” he replied.

The day’s events smacked of the political posturing that has become characteristic of these budget negotiations.

There appeared a glimmer of hope early Thursday evening. But around 8:30 p.m., Rep. Tony Cornish (R-District 24B) reported to his seat in the Minnesota House saying he had received a message from the GOP leadership to do so.

“There is always time for a deal,” Cornish told reporters as he walked into the House.

The gesture was called “grandstanding,” “theatrics” and “mock Legislature” by Democratic minority leaders Sen. Tom Bakk and Rep. Paul Thissen.

Bakk took the podium at 9 p.m. and pleaded with his GOP counterparts to return to the negotiating table instead of sitting in the Legislature.

“We are running out of time,” he said.

Bakk’s statement proved prophetic.

Fiscal year 2012-13 began at 12:01 a.m. Friday and, without a budget in place, the state of Minnesota was unable to fund its myriad services or pay salaries to its almost 33,000 state employees—22,000 of which left their offices Thursday without a job to return to.

It's not a moment that failed to sink in with Northfielders. Nonprofit leaders shared concern for both the state and its workers, but also the rest of Minnesota's residents who are immediately impacted.

“We’re hoping it doesn’t last long,” she Amy Merritt, executive director of the Northfield Union of Youth. “It affects so many people. It’s hard.”

Owing to a June 29 ruling by Ramsey County District Court Judge Kathleen Gearin, state correctional facilities, nursing homes, public safety, and payment of medical services are all considered “core functions” of government and will continue operating. Everything else is no longer functional until a budget deal is reached.

The heart of the impasse has always been the $1.8 billion difference between Gov. Dayton’s operating budget and the budget proposed by the GOP. Central to the issue is the method for closing Minnesota’s $5 billion budget gap.

While both Gov. Dayton and the GOP leadership have committed themselves to working further toward an agreement, no date has been set for the next round of negotiations.

Other state shutdown-related posts on Northfield Patch:

July 1:

July 1:

July 1:

July 1:

June 30:

June 29:

June 28: Blog:

June 27:

June 25:

June 24:

June 22: Blog:

June 17:

June 15:

June 14:

June 14: Blog:

June 3:

May 11:

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