♪♪ >> CATHY: THIS WAS A BANNER WEEK AT THE LEGISLATURE AS BUDGET TARGETS WERE SET, AND FRIDAY WAS A BIG COMMITTEE DEADLINE DAY.

THERE'S A LITTLE MORE THAN SIX WEEKS LEFT IN SESSION, AND ALL EYES WILL BE ON THE HOUSE, WHERE A TIE HAS LED TO POWER SHARING WITH COMMITTEE CO-CHAIRS.

THE HOUSE WORKFORCE, LABOR, AND ECONOMIC DEVELOPMENT COMMITTEE HAD SOME TENSION THIS WEEK OVER UNEMPLOYMENT BENEFITS FOR MINERS ON THE IRON RANGE.

REPUBLICAN CO-CHAIR DAVE BAKER JOINS US.

HE HAILS FROM WILLMAR, MINNESOTA.

HERE, TOO, IS D.F.L.

CO-CHAIR DAVE PINTO FROM ST. PAUL.

REPRESENTATIVE BAKER, CHAIR BAKER, LET'S TALK ABOUT THE DIFFERENCES THAT BUBBLED UP HERE THIS WEEK WITH THE UNEMPLOYMENT INSURANCE FOR THE RANGERS?

>> A WEEK AND A HALF AGO WE RECEIVED SOME REALLY HARD NEWS WHERE THERE'S GOING TO BE A LOT OF MAJOR LAYOFFS.

IT REALLY KIND OFEN GAUGES THE TEAM DOWN THERE WHEN YOU'VE GOT A MAJOR LAYOFF LIKE THAT, WE'VE GOT TO FIGURE OUT HOW TO MOVE QUICKLY.

UNEMPLOYMENT INSURANCE IS REALLY IMPORTANT.

THE PART THAT GOT HEATED IS HOW DO WE DEAL WITH THE PERMITTING AND THE FUTURE OF THE RANGE.

AND I THINK WE'RE TRYING TO WORK THROUGH THOSE REALLY CHALLENGING ITEMS, THE CHALLENGES CONVERSATIONS ABOUT, INSTEAD OF JUST GIVING THEM THE UNEMPLOYMENT, WHICH IS A SHORT-TERM HELP, HOW DO WE LOOK AT THE RANGE IN THE NEXT SEVERAL YEARS, BECAUSE WE'VE GOT TO FIGURE UT HOW TO GET TO THOSE BEAUTY MINERALS THAT ARE UP THERE IN THE RANGE AND HOW DO WE DO IT SAFELY?

BUT THAT WAS WHERE THE BIG ISSUE WAS REALLY TRYING TO GET THROUGH A LOT OF UNION MEMBERS THERE.

AND AGAIN, THERE WAS A VERY INTERESTING CONVERSATION DURING THE WEEK.

>> Cathy: AND WHAT YOU DID YOU TAKE AWAY FROM THE LITTLE TENSION THERE?

>> YEAH, I MEAN, SO THERE ABSOLUTELY IS AGREEMENT ON EXTENDING THOSE UNEMPLOYMENT INSURANCE BENEFITS AND I'M GLAD TO SAY THAT THAT DID ACTUALLY HAPPEN.

IT HAPPENED ON THURSDAY.

REPRESENTATIVE PETE JOHNSTON WHO'S A FIRST TERMER FROM DULUTH LED THE CHARGE ON THAT.

THE PRIOR DAY, UNFORTUNATELY, THAT PIECE HAD BEEN PUT TOGETHER BY THE REPUBLICAN -- MY REPUBLICAN COLLEAGUES.

TO BRING IN THOSE -- THIS ISSUE ABOUT LONGER TERM KIND OF OVERTURNING SOME COURT DECISIONS AND THOSE ULTIMATELY HAVE ENVIRONMENTAL IMPLICATIONS.

WE WANTED TO MAKE SURE THEY WOULD GET REVIEWED BY THE ENVIRONMENTAL COMMITTEE.

THAT WASN'T GOING TO HAPPEN.

THE PLAN WAS TO TRY TO GO AROUND THAT.

AND THAT WASN'T ACCEPTABLE TO US.

SO WE STOPPED THAT, AND THEN THE NEXT DAY ON THURSDAY WE VOTED OUT THE EXTENSION OF THOSE U.I.

BENEFITS.

AND THEN THE OTHER PROVISIONS WERE REFERRED TO THE ENVIRONMENT COMMITTEE WHERE THEY CAN BE CONSIDERED Y THE FOLKS WITH EXPERTISE.

>> Eric: ONE OF THE CONTROVERSIAL ISSUES I THINK IS BEFORE YOUR COMMITTEE IS THE PAID FAMILY LEAVE.

AND I KNOW YOU'VE BEEN LOOKING FOR A DELAY MAYBE TO 2026.

IT'S NOT READY FOR PRIME TIME YET?

>> IN MY OPINION, WE'VE GOT SOME THINGS TO WORK ON.

I THINK AGAIN IT WAS A VERY HYPER-PARTISAN BILL, VERY LARGE MANDATE THAT PASSED THE LAST TWO YEARS.

AGAIN, WE'RE NOT LOOKING TO REPEAL IT AT THIS POINT.

A DELAY IS THE BEST WE CAN DO, REPRESENTATIVE PINTO AND I ARE REALLY WORKING ON IF THERE'S ANY CHANCES WE LOOK AT RECOGNITION FOR MALL BUSINESSES TO WHAT REALLY IS THIS GOING TO IMPACT JOBS AND VACANCIES AND SCHOOLS AND OTHER THINGS.

SO WE'VE GOT TO GET SERIOUS.

>> Eric: IS THE PAYROLL TAX GETTING A LITTLE ONEROUS?

IT'S MORE EXPENSIVE NOW THAN ADVERTISED.

>> THERE WAS -- THERE NEEDED TO BE AN ADJUSTMENT IN THE RATE.

BUT LET'S REMEMBER, THIS IS A POLICY THAT WAS PASSED BY MAJORITY OF LEGISLATURE, SIGNED BY THE GOVERNOR.

GOING TO TAKE EFFECT, BECOME LAW ON JANUARY 1, 2026.

AND MINNESOTA'S BEEN WAITING FOR YEARS, FOR DECADES FOR THIS TO HAPPEN.

AND SO WE'RE REALLY VERY, VERYING YEAR TO HAVE THIS GET STARTED.

>> Cathy: THIS IS GOING TO BE A HUGE UNDERTAKING, THOUGH.

AND IS IT WISE MAYBE TO WORK TO TRY TO WORK SOME OF THIS OUT?

>> YEAH, SO THIS IS A BIG UNDERTAKING.

WE'VE HAD A COUPLE OF YEARS TO GET READY EVEN SINCE IT PASSED.

MANY YEARS BEFORE THEN.

AND THE THING ABOUT WAITING IS, THOSE ARE MINNESOTANS WHO GOING TO BE HAVING A BABY, GOING TO BE GETTING SICK.

WE WANT TO MAKE SURE THAT THEY HAVE TIME TO TAKE CARE OF THOSE NEEDS AND THAT'S WHAT THIS DOES.

IT'S A SOCIAL INSURANCE PROGRAM.

WE WANT TO MAKE SURE IT'S AVAILABLE.

EXPWRE THERE IS A REPUBLICANTIVE IN THE SENATE, SENATOR COLEMAN.

>> THERE IS.

>> Eric: AND MUST IN THE HOUSE TOO?

>> NOTHING IN THE HOUSE, BUT SENATOR FRANCAIX HAS SOMETHING HE DROPPED THIS YEAR.

WE'VE GOT SOME OPTIONS.

AGAIN, WE THINK THESE BENEFITS ARE VERY WORTHY FOR SOME OF THE SMALLER FAMILIES.

IT'S JUST A REROBUST PROGRAM THAT HAS TO BE PAID, SO THIS IS A VERY LARGE PAYROLL TAX COMING THAT WE NEED TO FIND THE RIGHT MIX FOR.

>> Eric: IN YOUR DAY JOB, YOU ARE IN THE HOSPITALITY INDUSTRY.

AREN'T WE GOING TO NEED IMMIGRATION TO KIND OF DO JOBS.

I SUPPOSE THAT AT YOUR PLACES -- >> SURE, E HAVE A NUMBER OF IMMIGRATION FOLKS.

>> Eric: HOW DOES THAT DOVE-TAIL WITH THE WORKFORCE STRATEGY OF THE STATE?

>> WE NEED MORE OF THEM, BECAUSE WE ARE SHORT PEOPLE.

I THINK, AGAIN, WE'VE GOT A LOT OF GREAT EMPLOYERS THAT KNOW HOW TO AY THEIR EMPLOYEES VERY WELL.

WHERE I'M REALLY HAVING STRUGGLE WITH WHAT HAPPENED LAST COUPLE OF YEARS IS I DON'T WANT THE STATE OF MINNESOTA TO TELL ME HOW TO DO MY BENEFIT SET FOR MY EMPLOYEES.

I CARE DEEPLY FOR MY EMPLOYEES AND I CAN'T RUN MY BUSINESS WITHOUT THEM.

SO I JUST -- I DON'T WANT THE STATE GETTING INVOLVED.

IN THAT DEEP LEVEL OF POLICY WHEN I KNOW WHAT I THINK BETTER FOR MY EMPLOYEES IN THE STATE OF MINNESOTA.

>> Cathy: COMMENT?

>> WELL, I MEAN, IT'S NOT ONLY ARE THESE BENEFITS SO IMPORTANT FOR EMPLOYEE EASE, IT SHOULDN'T MATTER WHO YOU'RE WORKING FOR THAT YOU SHOULD BE ABLE TO HAVE TIME WITH YOUR FAMILY.

BUT FOR THOSE EMPLOYERS WHO WANT TO PROVIDE THESE BENEFITS, RIGHT NOW, THEY'RE AT A COMPETITIVE DISADVANTAGE WITH THE BIG EMPLOYERS.

THEY OFTEN ACCOUNTS AFFORD TO DO THAT.

THAT'S WHY THIS INSURANCE PROGRAM GIVES THE SMALLER EMPLOYERS THE OPPORTUNITY TO COMPETE FOR TALENT, MAKE SURE THAT WE HAVE THE BENEFITS.

>> Cathy: SAY, WE HAVE A UNIQUE POWER-SHARING AGREEMENT OBVIOUSLY IN THE HOUSE.

IS IT HARDER, EASIER?

OR JUST DIFFERENT?

CHAIR BAKER?

>> YOU KNOW, THIS IS THE FIRST TIME FOR BOTH OF US BEING IN A SHARED POWER.

IT IS A CHALLENGE.

IT SOUNDS GREAT ON THE RECORD.

LET'S GET THINGS DONE.

THIS IS WHAT THE VOTERS WANTED.

BUT WHEN DAVE AND I SIT DOWN AND WE DID THIS A LOT TODAY.

WE ARE TRYING TO GET THROUGH A BUDGET PROCESS.

BUT FOR ME, IT'S REALLY IMPORTANT TO TALK ABOUT THESE POLICY THINGS THAT WE TALKED ABOUT.

WE ALL WANT TO GET A BUDGET PASSED BUT FOR ME IT'S A BUDGET PLUS SOME OTHER POLICY THAT I DIDN'T GET A CHANCE TO BE AT THE TABLE WITH HE LAST TWO YEARS.

>> Eric: SO POLICY MIGHT BE THE WAY FORWARD.

>> THE THING IS, THE JOB OF THIS SESSION HAS GOT TO BE ENACTING A STATE BUDGET AND IT'S COMPLICATED ENOUGH TO DO THAT IN A TIE SITUATION.

WE'VE BEEN HAVING A LOT OF CONVERSATION ABOUT A LOT OF THINGS.

BY THE CONSTITUTIONALLY MANDATED DEADLINE.

>> Cathy: WOULD YOU SAY BOTH OF YOU ARE SEEING EYE TO EYE GENERALLY SPEAKING?

>> WE AREN'T THERE YET.

I THINK WE HAVE A LOT OF MUTUAL RESPECT FOR EACH OTHER.

IT'S TRYING TO MAKE SURE THAT THE POLICY OVER THE LAST COUPLE F YEARS HAS CHANGED SO MUCH.

I AM FIGHTING LIKE MAD TO MAKE SURE THAT OUR VOICES ARE FINALLY HEARD AND I THINK WE'LL TRY TO MAKE THAT EFFORT.

>> Eric: WILLMAR AND ST. PAUL, LINK ARMS.

>> LET'S DO IT.

>> ONE MINNESOTA!