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Explore Minnesota Tourism Appropriations

1/18/2023

 
Last week, the House introduced HF232, which puts in place additional funding for Explore Minnesota Tourism (EMT). The bill has 3 components, which include: 
  • $215,000 in fiscal year 2024 and $215,000 in fiscal year 2025 for EMT to build administrative capacity to support in the areas of brand strategy, communications and industry relations. This would be from the general fund.  
  • $10M in fiscal year 2024 to EMT for a tourism industry recovery grant program. The grant program must provide money to organizations, tribal governments and communities to excel the recovery of the state’s tourism industry. This is a onetime appropriation from the general fund. 
  • $250,000 in fiscal year 2024 to EMT for a grant to the Grand Portage Band to focus on tourism to Grand Portage. This is a onetime appropriation from the general fund. 

​Read HF232

WIN - Federal Tax Conformity

1/18/2023

 

Last week, Liz Rammer and Board Chair Cathy Bovard attended Governor Walz’s signing of HF31, ensuring state taxes conform with federal tax exclusions on 46 provisions, including EIDL Loan Advances, Restaurant Revitalization Fund grants and Shuttered Venue Grants. This has been long advocated for by Hospitality Minnesota and was approved in the 2022 legislative session but was not signed into law due to other larger bills that were attached did not get passed. Having this be the first bill to get signed is a great way to start the legislative session – with a win from on our legislative agenda for many of our members!  

Read HF31

Watch Kare11 Coverage
 (See Liz at 1:27)

​Watch KSTP Coverage and Full Press Conference
 (See Liz at 23:30)

Carbon Monoxide Alarms in Hotels, Lodges, Resorts

1/18/2023

 
The Senate and House have introduced SF225/HF406, which establish carbon monoxide alarm requirements modifications for hotels and lodging houses. This would a result in a change to “provide and install one approved and operational carbon monoxide alarm in each room lawfully used for sleeping” and “replace any required carbon monoxide alarm that has been stolen, removed, found missing or rendered inoperable” before a new occupancy. We are closely monitoring the legislation and checking in with members, as it has not yet been scheduled for a hearing. 
 
Please reach out to HM Director of Government Relations, Jill Sims, if you’d like to share feedback of how this would impact your business.  
 Read SF225/HF406 

Reach out to Jill regarding Carbon Monoxide Alarms

Governor's Budget

1/18/2023

 
​This week, Governor Walz has begun to roll out components of his budget, which will be fully available by Tuesday, January 24. The announcement thus far has been focused on education and children. We will provide more updates next week as we have a full picture of the Governors proposed budget for 2024-2025. 

Paid Family and Medical Leave

1/18/2023

 
This week, the Senate began the hearing process for Paid Family and Medical Leave, SF2/HF2. Today, Senate Jobs and Economic Development committee heard the bill, and tomorrow Senate Labor will hear the bill. HM is closely monitoring the bill as a one size fits all mandate is challenging for small businesses. HM is weighing in appropriately and working in coalitions to give feedback on the legislation. 

Key components of the Paid Family and Medical Leave legislation, as drafted: 
  • Establishment of a state-administered paid leave insurance program. 
  • Payroll tax of 0.7%. 
  • Employer will pay a yearly premium on employees taxable wages. Employer may deduct up to 50% of premium for employees wage. 
  • Beginning on January 1, 2026 premiums may increase or decrease annual percentage rates based on the formula set by the state.  
  • Funds partial wage replacement benefits for 12 weeks of paid parental and family leave; and 12 weeks of paid medical leave.  
  • Employees could miss up to 24 weeks of work, plus potentially add Earned Safe and Sick Time or Family Medical Leave Act.  
  • Effective January 1, 2024.  
Read SF2/HF2 

Read Senate Counsel Research Summary

Read HM Written Testimony for SF2

Tax Conformity Unanimously Passes Legislature, Signed into Law

1/13/2023

 
After a whirlwind week of legislative action, we’ve achieved a big win! Our association has been advocating for federal tax conformity to ensure that pandemic relief funds would not be taxable. The legislation takes effect immediately, just in time for the tax prep season.
 
We were honored to be invited to witness the bill signing, and be asked to make some brief comments. You can find the moment that Governor Walz thanks Hospitality Minnesota, Liz Rammer/CEO; and Cathy Bovard/Board Chair at 1:02 in KSTP's coverage. Liz takes the podium at 23:30 to make brief remarks and answer questions.
 
Watch KSTP's Coverage of Yesterday's Signing

Read Liz's Statement on the Passage

Legislative Outlook - What's to Come

1/13/2023

 
We don’t expect the action to slow up. Legislators will not be at the Capitol on Monday in recognition of Martin Luther King Jr. Day, but here’s quick rundown of what we’re watching at the Capitol next week:
​

  • Broadband Development – Tuesday, the Office of Broadband Development will present to the Agriculture Finance and Policy committee. In the 2022 legislative session, $60.7M of federal ARPA funds and $25M were directed to be used for broadband programs. Grant applications for 2023 are open and due by March 2. 
    • More information can be found here
​
  • Carbon Monoxide Alarms – This past week, SF225 was introduced which requires that all hotels and lodging houses must have an approved and operational carbon monoxide alarm installed in each room lawfully used for sleeping purposes. We are working to assess if the bill will move ahead with a committee hearing.
    • Read the bill here
​
  • Drivers Licenses for All – Tuesday, House Ways and Means will take up HF4, signaling Drivers Licenses for All could quickly move to the House floor for a vote next week. Wednesday, Senate Transportation will continue last week’s hearing by walking through the bill, gathering additional testimony, fielding questions and a vote.
    • Read the bill here
​
  • Earned Sick and Safe Time – Tuesday, House Labor and Industry Finance and Policy and Senate Labor will hear HF19/SF34 regarding earned sick and safe time. Pending Tuesday’s hearing, House State and Local Government Finance and Policy is expected to take it up on Thursday. As written, the bill would apply to any employee, including temporary or part-time employees, who perform at least 80 hours in a year for their employer in Minnesota. Employees would accrue a minimum of one hour of earned safe and sick time for every 30 hours worked, with a maximum of 48 hours of sick and safe time in a year. Employers would be able to adopt a more generous policy should they choose.
    • Read the bill here
​
  • Paid Family and Medical Leave – Wednesday, Senate Jobs and Economic Development will hear SF2/HF2 establishing paid family and medical leave program. The bill allows for up to 12 weeks of benefit to care for a family member with serious health condition, for qualifying exigency, for safety leave, or for bonding and up to 12 weeks of benefits for an applicant’s own pregnancy or serious health condition. Similar to UI, each employer would pay a yearly premium on employee taxable wages. Employers would be allowed to deduct up to 50 percent of the premiums paid by the employer from the employee wages (employee charge back). The initial annual percentage rates of premiums will be set for 2025. Starting January 1, 2026 the Commissioner would set annual percentage rates of premiums based on a formula – which may increase or decrease.
    • Read the bill here
    • Read the bill summary by Senate Research here

Cannabis

1/12/2023

 
​On Monday, the House introduced their cannabis legalization bill, HF100, as well as the House Research Summary describing various provisions the bill would allow if signed into law. In order to best advocate for our industry, HM staff is coordinating conversations with other state associations across the country that have gone through similar legislation to guide our advocacy. To formalize our association's position on the issue, HM staff will conduct outreach to members to gather input on cannabis legalization. Watch for details.
 
For those unfamiliar with the details of what cannabis legalization could entail for Minnesota, the HM staff suggests reading the latest Star Tribune article discussing what impact legalization would have on the state. 

Drivers License for All

1/12/2023

 
This week, Drivers Licenses for All (HF4/SF27) has received multiple hearings in the House and Senate. HM Director of Government Relations Jill Sims testified in support of HF4/SF27 in House Transportation on Tuesday and in support of HF4/SF27 in the Senate yesterday.

To date, 18 states across the country have enacted laws in which immigrants are able to obtain driving credentials, which provides for safer and more reliable transportation to and from work. As we await comprehensive immigration reform at the federal level, the reform at the state level will bring forward a practical solution what will benefit all of Minnesota.

House and Senate Name Committee Chairs

11/21/2022

 
On Friday, incoming Senate Majority Leader Kari Dziedzic (DFL, Minneapolis) announced the Senate committee chairs for the 2023-2024 biennium. They are:
  • Agriculture and Rural Development Committee | Chair: Sen. Aric Putnam | St. Cloud
  • Capital Investment Committee | Chair: Sen. Sandy Pappas | St. Paul
  • Commerce and Consumer Protection Committee | Chair: Sen. Matt Klein | Mendota Heights
  • Education Finance Committee | Chair: Sen. Mary Kunesh | New Brighton
  • Education Policy Committee | Chair: Sen. Steve Cwodzinski | Eden Prairie
  • Elections Committee | Chair: Sen. Jim Carlson | Eagan
  • Energy, Utilities, Environment and Climate Committee | Chair: Sen. Nick Frentz | North Mankato
  • Finance Committee | Chair: Sen. John Marty | Roseville
  • Health and Human Services Committee | Chair: Sen. Melissa Wiklund | Bloomington
  • Higher Education | Chair: Sen. Omar Fateh | Minneapolis
  • Housing Committee | Chair: Sen. Lindsey Port | Burnsville
  • Human Services Committee | Chair: Sen. John Hoffman | Champlin
  • Jobs and Economic Development Committee | Chair: Sen. Bobby Joe Champion  | Minneapolis
  • Judiciary and Public Safety Committee | Chair: Sen. Ron Latz | St. Louis Park
  • Labor Committee | Chair: Sen. Jennifer McEwen | Duluth
  • Legacy and Natural Resources Committee | Chair: Sen. Foung Hawj | St. Paul
  • Rules and Administration Committee | Chair: Sen. Kari Dziedzic | Minneapolis
  • State and Local Government and Veterans Committee | Chair: Sen. Erin Murphy | St. Paul
  • Taxes Committee; Chair: Sen. Ann Rest | New Hope
  • Transportation Committee; Chair: Senator Scott Dibble | Minneapolis
While over in the House,  Speaker Melissa Hortman (DFL, Brooklyn Park) and incoming House Majority Leader Jamie Long (DFL, Minneapolis) announced the House chairs. They are:
  • Agriculture Finance & Policy | Chair: Rep. Samantha Vang | DFL-Brooklyn Center)
  • Capital Investment | Chair: Rep. Fue Lee (DFL-Minneapolis)
  • Climate and Energy Finance & Policy | Chair: Rep. Patty Acomb (DFL-Minnetonka)
  • Commerce Finance & Policy | Chair: Rep. Zack Stephenson (DFL-Coon Rapids)
  • Children and Families Finance & Policy | Chair: Rep. Dave Pinto (DFL-St. Paul)
  • Economic Development Finance | Chair: ep. Hodan Hassan (DFL-Minneapolis)
  • Elections Finance & Policy | Chair: ep. Mike Freiberg (DFL-Golden Valley)
  • Environment and Natural Resources Finance & Policy | Chair: Rep. Rick Hansen (DFL-South St. Paul)
  • Ethics | Chair: Rep. Kelly Moller (DFL-Shoreview)
  • Health Finance & Policy | Chair: Rep. Tina Liebling (DFL-Rochester)
  • Higher Education Finance & Policy | Chair: Rep. Gene Pelowski (DFL-Winona)
  • Housing Finance & Policy | Chair: Rep. Michael Howard (DFL-Richfield)
  • Human Services Finance | Chair: Rep Mohamud Noor (DFL-Minneapolis)
  • Human Services Policy | Chair: Rep. Peter Fischer (DFL-Maplewood)
  • Judiciary Finance & Civil Law | Chair: Rep. Jamie Becker-Finn (DFL-Roseville)
  • Education Finance | Chair: Rep. Cheryl Youakim (DFL-Hopkins)
  • Education Policy | Chair: Rep. Laurie Pryor (DFL-Minnetonka)
  • Labor and Industry Finance & Policy | Chair: Rep. Mike Nelson (DFL-Brooklyn Park)
  • Legacy Finance | Chair: Rep. Leon Lillie (DFL-North St. Paul)
  • Public Safety Finance & Policy | Chair: Rep. Kelly Moller (DFL-Shoreview)
  • State and Local Government Finance & Policy: Rep. Ginny Klevorn (DFL-Plymouth)
  • Sustainable Infrastructure Policy | Chair: Rep. Erin Koegel (DFL-Spring Lake Park)
  • Taxes | Chair: Rep. Aisha Gomez (DFL-Minneapolis)
  • Property Tax Division | Chair: Rep. Dave Lislegard (DFL-Aurora)
  • Transportation Finance | Chair: Rep. Frank Hornstein (DFL-Minneapolis)
  • Veterans and Military Affairs Finance & Policy | Chair: Rep.-elect Jerry Newton (DFL-Coon Rapids)
  • Ways & Means | Chair: Rep. Liz Olson (DFL-Duluth)
  • Workforce Development Finance | Chair: Rep. Jay Xiong (DFL-St. Paul)

The 2023 legislative session begins on January 3.
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