President Donald Trump’s policies are impacting state lawmakers at the Capitol this session, with DFLers worried about the potential loss of federal funds and Republicans bringing forth bills that mirror the president’s priorities.

Meanwhile, a group opposing Trump’s moves had planned a protest at the Capitol as part of a national movement. Another protest is planned for Tuesday.

In other words, the president’s presence is being felt in the seat of Minnesota’s government.

Minnesota leaders are worried about the loss of billions of dollars in aid used to run public schools, health programs, agriculture inspections and more.

As the Trump team digs through federal spending, his designated funding cutter is Elon Musk, who has alleged rampant fraud and kickbacks, sometimes without presenting concrete evidence.

Anti-fraud initiatives

A new state-level committee focused fraud began its work in the Minnesota House last week. Minnesota has had more than its share of fraud problems in recent years. Republicans have control of the newly created committee and will keep it no matter what happens in a March 11 special election that could bring the House back to a party tie.

While the GOP has stressed the waste, fraud and abuse issue the most, it’s one area where there could be bipartisan work this year.

Sen. Heather Gustafson, DFL-Vadnais Heights, and Sen. Michael Kreun, R-Blaine, jointly presented their bill last week calling for an Office of Inspector General to work outside the purview of the executive branch. A similar version is moving in the House.

Some lawmakers, however, have voiced concerns about it overlapping in duty with the Office of Legislative Auditor. Still, proposals introduced by members of both parties and Gov. Tim Walz should leave room for negotiation on some changes.

Federal appropriations

While Republicans have not spoken much about Trump in committees, Democrats regularly bring him and his policies up.

His name was evoked many times during a DFL Senate priorities press conference last week where they said Democrats will fight against rollbacks on the federal level that they think will hurt Minnesotans.

Minnesota gets more than $20 billion per year in federal appropriations, some of it direct to people but others routed through agencies. Not all of it is at risk, but there is uncertainty about what could be cut. Lawmakers must set a new budget this year and might have to plan for the contingency of lost aid.

Sen. Erin P. Murphy, DFL-St. Paul. (Courtesy of the Minnesota Senate)

“A chaos agenda that is coming from D.C. could serve as a wrecking ball to the stability of our state’s budget and to family budgets across the state of Minnesota,” Senate Majority Leader Erin Murphy, DFL-St. Paul, said last week.

Taxes, transgender issues

And the changes to the federal tax code that Trump wants also could spill down. A Republican-sponsored bill would institute a no-tax-on-tips policy in Minnesota similar to what Trump campaigned on and is pledging to enact.

Minnesota wouldn’t be required to adopt it if the federal government does. Revenue officials say they’re not sure how it may work.

“There’s a lot of ways to define that,” Paul Marquart, revenue commissioner, told MPR News about the concept. “The concept looks good. But when you try to get the details of what’s the tip and what’s the actual wage or salary, that could be a problem to administer.”

Rep. Peggy Scott, R-Andover. (Courtesy of the candidate)

Rep. Peggy Scott, R-Andover, has introduced legislation that would bar transgender girls from girls sports. The Minnesota State High School League has suggested it might not abide by a Trump executive order to do just that; a federal investigation into the MSHSL was initiated last week.

“Our end goal is for all women and girls to be protected and valued by Minnesota law. This bill is a significant step forward,” said Renee Carlson, of the conservative legal firm True North Legal.

Immigration

There also was a contentious moment last week when Republicans on the House Higher Education and Finance Committee advanced a bill to prohibit individuals without proper immigration documentation from receiving state-funded benefits.

The immigrants the bill covers would be ineligible for MinnesotaCare and the North Star Promise scholarship.

“Following the last election and looking at our budget outlook in Minnesota, it’s important for us to look at the programs that are provided and see that in state policy today, currently there are many people here in our state today illegally receiving public benefits,” said bill sponsor Rep. Isaac Schultz, R-Elmdale Township.

He estimated $86,000 from the scholarship program would not have gone out to those immigrants if the restriction had been in place.

Rep. Maria Isa Perez-Vega, DFL-St. Paul, called rhetoric at the hearing discriminatory.

“What’s happening in what we just heard in higher ed is taking away the dreams of the Dreamers that are now the parents of born citizens,” she said. “It’s very, very troubling and very disappointing to see that this is the legislation that is coming forth in these committees.”

That bill moved forward on a party-line vote. It heads to a health committee and could be headed to a floor vote in the coming weeks.

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