This bill aims to modify various aspects of state and local government financing, particularly focusing on individual income tax rates and adjustments related to the federal Supplemental Nutrition Assistance Program (SNAP). Key changes include an increase in county program aid to help offset costs associated with SNAP changes, adjustments to school district revenue based on these changes, and a requirement for the commissioner of management and budget to estimate certain costs. The bill amends several sections of Minnesota Statutes, including adjustments to income tax brackets for individuals, estates, and trusts, with specific increases in the income thresholds for tax rates.

Notable amendments include the adjustment of income tax brackets, where the first bracket for married individuals filing jointly is increased from $38,770 to $48,700, and similar increases for other categories of taxpayers. Additionally, the bill introduces a new requirement for the Department of Education to calculate a statewide compensatory SNAP adjustment factor starting in fiscal year 2027, which will impact compensatory education revenue. The bill also mandates that by June 30, 2026, the commissioner of management and budget must certify an estimate of the costs to counties related to changes in SNAP work requirements, which will influence future aid distributions.

Statutes affected:
Introduction: 290.06, 477A.03