Impact of partial federal shutdown
Impact of the partial federal shutdown on Minnesota was addressed during a press conference by Gov. Tim Walz (pictured speaking in the photo on the right) and budget chief Myron Frans Tuesday morning at the Capitol. Three-fourths of the federal budget has been passed.
Effects on state government vary and impact Minnesota to an estimated tens of millions of dollars, according to Frans, commissioner of Minnesota Management and Budget (MMB). State agencies have programs funded by the federal government. Right now, reimbursements are late. Minnesota is funding these programs without a guarantee of reimbursement.
Positions for approximately three thousand state employees are partially funded by the federal budget. Right now, they hope there is no need to issue the 21- to 30-day layoff notices required by state labor agreements. However, Commissioner Frans (pictured speaking in the photo on the left) indicates they will need to assess how to fund the federal programs. Right now, the state is spending tens of millions of dollars maintaining these programs.
Approximately 10 percent of the IRS will be working. The IRS must begin the filing season for Revenue to start the filings in Minnesota.
Supplemental Nutrition Assistance Program is funded through February. MMB is analyzing programs to be able to advise the governor on funding of programs as they move forward. Minnesota will continue to cover funding for these federal programs until Feb 15, according to Frans.