Senate outlines $100 million property-tax refund proposal and presses for funding for HCMC, rural hospitals

Sen. Grant Hasheld (who identified himself as the state senator from the Arrowhead Region) told reporters the Senate tax committee has a concrete plan "that will provide a $100,000,000 in direct property tax refunds to Minnesotans this year," saying applications would open in August with refunds issued in September or October. He framed the proposal as targeted relief to help homeowners, renters, seniors and farmers offset rising levies and costs.

Hasheld and other DFL senators said the Senate's approach is "real" and practical compared with what they described as phony or budget-weak proposals from the House GOP. He cited a Saint Louis County estimate that the county could see $16,000,000 in levy increases tied to federal changes and warned of pressure on rural hospitals and services.

Majority Leader Erin Murphy said the Senate's offer includes attention to HCMC and other rural providers, as well as emergency medical services, and that she is pursuing a deal that addresses those needs. Reporters asked whether HCMC and rural hospital funding were being negotiated together; Murphy said the issue is broader than a single facility and that the Senate came prepared to make an offer that covers HCMC and rural providers.

Why it matters: The proposal, if enacted, would deliver a one-time, targeted refund intended to reach households across the state while the Senate and House negotiate a broader budget package. Rural counties and hospitals have cited the risk of rising levies and service disruptions; senators framed the refund and related hospital funding as mitigation for federal-driven costs.

The press conference did not produce a formal vote or enacted legislation; senators said the package is under negotiation and that the House must act for a final agreement to be reached.