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Deep federal spending cuts won't hurt Minnesota as much as other states

MN capitol
Courtesy of MN House Public Information Services
Because Minnesota receives so little federal funding, the direct impact of the sequester here would be limited.

Potential sequester impact on Minnesota

Minnesota is well below the national average in most areas subject to scheduled
Minnesota is well below the national average in most areas subject to scheduled deep spending cuts.
Rep. Erik Paulsen
MinnPost/Devin Henry
Rep. Erik Paulsen
Bachmann state of the union
REUTERS/Jason Reed
Rep. Michele Bachmann was unimpressed with the president's attempt to blame Congress for the sequester.

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Comments (9)

Move over, Mr. Franken

Al Franken made a reputation (and some money) as a stand-up comedian, and his “Lies, and the Lying Liars…” remains one of my favorite political critiques (it’s still, sadly, very much on-point and conceptually accurate, even if times have changed some since it was published). So, Al has something of a deserved reputation for making jokes, or at least he did before he became a U.S. Senator.

Little that I’ve heard or read from him, however, can match the humor of this line in Devin’s piece:

“…Republicans criticized what they consider a lack of cooperation from the White House.”

The ridiculousness of that line says more about the current edition of the Republican Party than half a dozen books – or stand-up routines. We are truly in an Orwellian world when the people who have, purposely, and with malice aforethought, blocked virtually every policy initiative that has come from the administration since 2008 are complaining about a “lack of cooperation” from the White House. Of COURSE they’re not ready to pitch any ideas of their own. They don’t appear to have any.

Apparently the Rebublican Congressman from Minnesota

Perhaps they should refresh their memory of Article 1. If there is a deficit it would appear that the House is either not raising enough revenue (section 7) and (section 9) they hold the purse strings and are responsible for both the deficit and spending.

Federal Spending Return to Minnesota What is Beneficial

Headlines suggesting deep federal cut do not hurt Mn as much as others are a mixed story--lets think about the facts and how the Mn workforce and segment of the federal defense spending has evolved over the past 10-15 years. Whether some readers view defense as not an important segment of the Mn economy -- I will suggest a different view from workforce capability, manufacturing skills and base, and as a feeder resource for other industries in Mn and the upper midwest. Since the early 90's Mn defense industry has evolved from a significant shaper of US defense capability to a blip on the overall capability. Many companies not only down sized but moved taking both high tech, program managers, and manufacturing jobs to other locations. This work in all skill levels was significant and was built on the Mn tradition of high quality education at all levels. There are examples and examples of individuals who began careers in one of the defense companies who moved on to the med tech industry and others-- the experience of working and managing in the defense program environment is recognized across the US as a education in itself that can be applied elsewhere. So bottom line is when we say low federal cut impact lets think about how and why some the solid companies left Minnesota -- the skills,resources, and jobs would now be welcomed.

Dave Broden

Oh yeah...wanna bet?

Sorry to turn on the light, but Minnesota is not an island although some may think as much (and many others think and act as if this were so).

Ah, the tune comes to mind...

"I am he as you are he
as you are me
and we are all together...
koo koo kachoo...
I am the walrus"
(Probably before your time. The Beatles)

My message is this:

So goeth one state, any state, then goeth another, so will goeth them and weep.

The republicans are the minions of the moguls and monopolies and they have their collective eyes are taking down government. They want the whole tamale "privitized". The only thing the republicans want to "fix" is minds of the masses into believing oppression and indenture is a good way of life. I know better, because I have lived better.

Money is illusory and it is merely paper or bank credits and there can be no circumstance or condition under which there is not enough.

Defense Cuts

MN does have a lot of companies that sell a lot of products to the DOD but do not consider themselves defense contractors that will be hurt by defense cutbacks. General Mills and Nash Finch are big food suppliers to the DOD. 3M provides a variety of products to the DOD including products for aircraft and ground troops. Delta acquired NWA wide body aircraft that are certified for military airlift. Even though Honeywell corporate left MN they still have DOD manufacturing in Minneapolis. There are also a number of smaller manufacturers like MN Wire that do DOD work as well. I think the DOD business is more than people think but not as significant as states like VA that will be hard hit by DOD cutbacks

Defense Busiiness Yes but The Impact Players are Different

The first commentary that I wrote above remains valid as does the comment by Mr. Frenkel. I was a technial director and program manager of key systems for 38 years at Honeywell and ATK-- I participated in both the significant growth and the downsize of the defense businesses in Minnesota and saw how certain effect shifted the focus in Mn. Mr.Frenkel is correct that DOD food support from Mn is significant and there are many companeis who supply items for the DOD -- these however althoough a key component of the Mn economy do not have the overal impact of some of the others who left. Toda i have am the owner of a small business aerospace and defense consultiing firm and have approx 15-20 fomer subject matter experts who could be full time employees but now are valued consultants. The Mn Wire team leading the Mn Defense Alliance is working effectively to keep and bring new innovative contract to the state and utilize the manpower resources that the state uniquely has available.Many of these personnel are leveraging their experience in commerical businesses as well.Thus the expanded commercialization of the capability. Federal dollar return can benefit in many ways.

Dave Broden

Big govt

Ok if corporate defense interests make money. What a disgrace!

A Cry for Help

Although they are incapable of recognizing what they're doing, I believe this sequester is the equivalent of a "cry for help" crisis that so many of us who work with or know seriously dysfunctional people are familiar with, crises that occur right before they go into treatment (again).

The reality is, that the same Republicans who are SO desperate to cut federal spending, who are the most deeply-devoted "true believers" in small government live in states whose economies are MOST dependent on federal spending.

They are (perhaps unconsciously) hoping and praying that President Obama, the Democrats, and the few less dysfunctional, moderate Republicans who still exist will find a way to stop these draconian cuts from happening; with solutions which will leave the general public largely untouched.

Then they can go back to trying to pin the label "tax and spend liberals" on the Democrats,...

a label which, by the way, doesn't work very well anymore because the average American has come to the conclusion that we NEED a fair bit of new taxing and new spending if our country is going to return to functioning in better ways and return to more prosperous times for everyone not in the top 1%.

Our "conservative" Republican friends are trying to have it both ways, (keep the massive numbers of federal taxpayer dollars flowing to their own states while howling about "big overnment"),...

but I suspect their dysfunctions are going to trip them up this time: not just causing them to stumble, as they have in the past (without changing in any way the path they were walking), but causing them to fall flat on their faces into the political "Dead Marshes" if not right off the political cliff into oblivion,...

which is where, the depths of their own souls, the know they belong:

They will fight so hard to prevent any solution to the sequester, and work so hard to blame this all on Obama and the Democrats when it is clear to the general public that it is the "conservative" Republicans who are responsible for the mess that follows,...

that it will become clear to all but the MOST dysfunctional of their supporters (even in their carefully-gerrymandered "safe" districts) that the collapse of the economy and massive job losses in the red states are the DIRECT result of actions taken and obstructions caused by those "conservative" "small government" Republicans,...

and that, in reality, the "small government" snake oil that the "Republican"/Frank Luntz/Grover Norquist/Koch bros./"club for growth" medicine show has been selling them by the barrel means economic devastation for the red states (far more than the blue),...

and means an economic hangover and headache that will take them years to recover from.


The Sequester is very much like the BRAC program that took so long to implement to help the DOD save billions in unneeded military facilities. In DC there is another saying that every decision is a political decision. Politicians are very in tune to the next election. Congress continues to give the Pentagon programs they don't want to keep constituents happy. While MN certainly isn't a major defense state a PBS study estimated there is about a Billion dollars of defense dollars spent in MN.