MINNEAPOLIS — With key elements of his plan facing obstacles during his last session at the Minnesota Capitol, Governor Tim Walz shifted his perspective on achievement, emphasizing the importance of compromise in the most evenly split Legislature in the state's history.
During the last days of the session, Walz told reporters that the budget agreement he reached with legislative leaders was "some of the best legislative work" of his time in office, despite not including his highest priority proposals regarding guns, taxes, and economic assistance from Operation Metro Surge.
With a balanced House and a closely contested DFL-controlled Senate, Walz set aside his more politically driven objectives and focused on infrastructure, preventing fraud, and addressing a struggling healthcare system.
The change marked a larger adjustment for Walz following years of complete DFL control, during which Democratic majorities and a significant budget surplus enabled him to achieve some of the most progressive accomplishments of his tenure with minimal Republican involvement.
During his last two years in office, Walz had to engage in bipartisan negotiations with a Republican House speaker and give in to certain demands to tackle an approaching budget shortfall.
It's his eighth year—the legacy year—and you have the most closely contested Legislature in the state's history," said former DFL political strategist Todd Rapp. "I believe he wants to establish one area of legacy where government can keep working together, even as people observe, for instance, the federal government. According to every poll, confidence in the national government is at an all-time low.
Walz's practical approach at the conclusion of the session emerges ashe evaluates his political futurepast the Capitol. The two-term governor gained national attention as the Democratic Party's vice presidential candidate in 2024 and has recently established a political action committee focused on recruiting and electing Democrats in rural regions and small communities.
Walz occasionally returned to the more progressive stance that characterized his three-year tenure during his last legislative session. He was initially firm that Republicans vote on measures to prohibit assault-style weapons and high-capacity magazines after the mass shooting at Annunciation Catholic Church and School. He also aimed to introduce a new tax on social media companies to support workforce development in artificial intelligence, among other initiatives.
However, Republicans strongly opposed any new gun regulations anddemonstrated no fear of the outgoing governor. Members of Walz's own party set aside some of his other proposals, including a reduction and expansion of the state-wide sales tax.
While those priorities remained unaddressed, Walz increasingly emphasized fiscal discipline as his primary focus.
When DFL and GOP lawmakers submitted their proposals, Walz stated that he and his team consistently questioned: How will you fund it?
My responsibility is to pass this on to the next governor," Walz stated, "to hand over a state that is in strong financial condition.
Teddy Tschann, a top advisor to Walz, stated that the focus allowed the governor to safeguard key investments from 2023, including a child tax credit and free school meals.
"He is proud of his achievements and the financial status we are leaving the state in," Tschann stated.
During the last weeks of the session, Walz and legislative leaders focused on a list of common goals. They reached a deal just in time, which includes support for the financially struggling HCMC, some limited property tax relief, and a bonding bill to finance local public infrastructure projects.
Walz gave up some ground on the higher vehicle registration taxes that he and Democrats enacted in 2023, agreeing to lower the fee for a year. This marked a win for Republicans, who a year prior had convinced Walz to repeal part of another 2023 law that offered state health coverage to undocumented adults.
"The work we will complete in the coming days truly emphasizes to Minnesotans how much better they are with a Republican voice in the Minnesota state government," said House GOP Floor Leader Harry Niska.
Although DFL legislative leaders mostly supported the deal to conclude this year's session, they expressed disappointment that no additional steps would be taken on gun-related measures.
Senate Majority Leader Erin Murphy, representing the DFL from St. Paul, expressed dissatisfaction with the manner in which the agreement was finalized. Walz and legislative leaders engaged in several weeks of private discussions. The Senate leader stated that these conversations should have been conducted openly and involved committee chairs who possess specialized knowledge on each subject.
"I believe this process is flawed," Murphy stated, noting that behind-the-scenes discussions became more frequent during the Walz administration.
Throughout the years under the Walz administration, this has become something they have gotten used to.
However, Walz showed pride in the deal that the closely split Legislature achieved. It also involved substantial funding to combat the fraud that has affected state social services programs and overshadowed his last year in office. Lawmakers were working quickly to approve the proposals outlined in the final agreement on Saturday, before their May 18 adjournment.
Walz and his advisors have consistently pointed out that, throughout his time in office, Minnesota has steered clear of the government shutdowns and political standoffs that have occurred in Washington.
Against the backdrop of a highly chaotic and dysfunctional federal government that runs massive trillion-dollar deficits and experiences shutdowns," Walz stated, "this group of bipartisan lawmakers gathered politely... and passionately discussed their positions, ultimately reaching agreements.
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(Nathaniel Minor from The Minnesota Star Tribune contributed to this story.)
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