Minnesota Lawmakers Finalize $66B Budget Deal

Minnesota lawmakers convened a special session to finalize a $66 billion two-year state budget and prevent a government shutdown after weeks of stalled negotiations and missed deadlines. The closely divided Legislature—a tied House and a one-seat Democratic majority in the Senate—made consensus difficult. A key compromise was ending state-funded health coverage for undocumented adults, which faced internal DFL opposition but was necessary for bipartisan support. The session, set to conclude by Tuesday morning, focuses on outstanding budget and policy bills, with all sides conceding to significant cuts and reforms. About 30,000 state workers were set to receive layoff notices if no budget was reached by July 1. Governor Tim Walz and legislative leaders said the agreement, though difficult, reflects bipartisan cooperation to maintain essential services and address future fiscal challenges.