ST. PAUL, Minn. - Republican state lawmakers in Minnesota Monday refused Democratic-Farmer-Labor Governor Mark Dayton's proposed budget compromise, sticking to an all-cuts approach to close the state's deficit. Proposed cuts to higher education currently amount to 14 percent, resulting in the lowest funding level in over a decade.
Joshua Winters, executive director of the Minnesota Public Interest Research Group (MPIRG), says tuition has doubled at many of the state's public colleges in the past decade, and is already out of reach for many young people.
"It becomes less and less, frankly, a public education, and more and more an education that's only affordable for those with the means. As a result, many qualified high school graduates are going to have a much more difficult decision when they look forward, in deciding whether they can afford to get a higher education."
He adds that an educated workforce is vital to the state's economic future. MPIRG is a student-directed advocacy group, and Winters says college students across Minnesota are calling on lawmakers to take a more balanced budget approach that includes revenue options - an approach he hopes will slow the trend of rising tuition.
Winters thinks part of the problem is that there are some inter-generational gaps between lawmakers' own experiences with higher education, and the realities that face students today.
"If you look back 30 or 40 years, people were graduating with higher education degrees and very little debt. You could work a summer job essentially and have enough to pay for your college education. Now, that's just not true; the average debt is now $20,000."
At the University of Minnesota-Morris, 77 percent of the school's graduates face their first major career search saddled with over $25,000 in student loan debt.
After completing his sophomore year at Morris, Lucas Felts is already $15,000 in the hole. He says he and his fellow students are really struggling to find a work-school balance.
"When the University says that we're only allowed to work 10 hours a week, if you do a work-study program, they're making it clear that we should be focusing on our education, but students are having to take out full-time jobs while in school because they don't want that debt load."
Felts is a little nervous about his prospects, so he's taken on a second major.
"I would much rather just get one degree and have a lighter work load, but because of the job market and my need to pay off debt, I've had to add an economics major to be more marketable."
While he has considered pursuing a master's or law degree once he graduates, Felts is resigning himself to the idea that he will likely need to work first to pay off his debt.
State-by-state data on student loan debt is at www.projectonstudentdebt.org
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The Indiana Chamber of Commerce outlined six key priorities for lawmakers ahead of the legislative session in January.
Rather than releasing detailed policy positions, the Chamber emphasized broad focus areas, including workforce, education, economic growth, infrastructure, quality of place and community health.
Phil GiaQuinta, D-Fort Wayne, House Minority Leader, responded to the Chamber's priorities, highlighting the need to address child care as a factor in economic development.
"We talk about economic development with things that impact economic development here in the state. Child care is really one of those," GiaQuinta contended.
The organization stressed the critical role of affordable child care in workforce development, citing a report estimating Indiana loses $4.2 billion annually, including $1.7 billion in tax revenue due to child care challenges. High costs force some parents out of the workforce, straining the state's economy.
Statehouse leaders acknowledged the issue but differ on solutions. Democrats argued child care deserves more state investment, while Republican leaders believe the private sector should play a larger role.
Todd Huston, R-Fishers, Speaker of the House, said businesses should not expect the state to solve their child care problems entirely.
"They've done a lot of different things to try to support families and young families. We will continue to do that," Huston stated. "But I think we also have to set a level of expectations that we're not going to; the state's not going to be funding all universal pre-K."
The Chamber plans to release detailed policy proposals in January, aiming to guide lawmakers toward strategies to strengthen Indiana's economy and workforce.
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North Dakota is no stranger to public pension debates. States face pressure to keep retirement systems well-funded and new data show most Americans place great value on such benefits for both government and private-sector workers.
According to the National Institute on Retirement Security, 86% of Americans believe all workers, not just those employed by state and local governments, should have a pension. There are similar approval levels when asked how important public pensions are in recruiting teachers and public safety workers.
Dan Doonan, executive director of the institute, suggested it is not too surprising to see the results.
"Pensions, along with other benefits, are part of creating that culture of careers and not jobs," Doonan explained.
Starting in January, North Dakota will close its main public pension plan for new hires, who will instead be offered a 401(k)-style benefit. The move followed debate over whether it was the right way to address a $1.9 billion unfunded liability. Backers argued it protects benefits for existing workers and taxpayers but skeptics contended it makes it harder to attract workers to the public sector.
Doonan noted the survey results overlap with the idea maintaining an experienced public-sector workforce is a good thing for community members and not just the employee and employer.
"In general, when public services are done well, they're often invisible, right?" Doonan emphasized. "We want good roads, we want safe communities, and I think Americans understand the role of having career public servants in terms of delivering those outcomes."
The Bureau of Labor Statistics said state and local governments employ about 20 million workers, which represents about 13% of the U.S. workforce.
Disclosure: The National Public Pension Coalition contributes to our fund for reporting on Budget Policy and Priorities, Livable Wages/Working Families, and Social Justice. If you would like to help support news in the public interest,
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As Nebraskans anticipate the upcoming holiday season, some might also be looking ahead to the 2025 tax season, which will include a new tax credit for family caregivers, including those looking after military veterans.
Starting in 2025, a new state law provides eligible family caregivers up to $2,000 in tax credits for out-of-pocket expenses. The cap increases to $3,000 if the family member receiving care has dementia or is a veteran.
Jina Ragland, associate state director of advocacy and outreach for AARP Nebraska, said those who served have access to care benefits through the Department of Veterans Affairs but added it sometimes is not enough.
"Because some of their service-related illnesses or injuries, they extend beyond what they're able to afford, or maybe what the coverage is through the VA," Ragland explained.
She pointed out it puts more pressure on loved ones assisting them on a daily basis. During National Veterans and Military Families Month, supporters of the new law hope more families will see if they are eligible. Ragland noted while it helps reduce the financial strain, greater awareness of resources is also needed, to help all family caregivers avoid burnout.
Ragland emphasized one example is providing caregivers information about where to turn for guidance when a loved one is first discharged from a hospital. She argued entities at all levels need to maintain progress, because their outreach shows a demand for solutions.
"Over 90% of Nebraskans say that they want to age in place with the lowest level of care," Ragland reported. "In order to do that, oftentimes we have to rely on family caregivers."
There are no age restrictions to qualify for the tax credit. As for eligibility factors, the law includes an income limit of $50,000 dollars for individuals and $100,000 for married couples.
Disclosure: AARP Nebraska contributes to our fund for reporting on Budget Policy and Priorities, Consumer Issues, Health Issues, and Senior Issues. If you would like to help support news in the public interest,
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