Budget Reserve Recommendation.

To adequately manage the underlying risks in Minnesota’s general fund tax revenue system, Minnesota Management and Budget (MMB), in accordance with Minnesota Statutes section 16A.152 subd.8, recommends a budget reserve target of 4.8 percent¹ of the current biennium’s general fund non-dedicated revenues, or a $2.392 billion budget reserve for the 2022-23 biennium. ²At the end of the 2021 regular and special legislative session, Minnesota’s projected FY 2022-23 budget reserve was $1.786 billion.

¹ Rounded to the nearest tenth of a percent.
² Based on end of 2021 regular and special legislative sessions General Fund Balance Analysis.

Read Complete Budget Reserve Report (including table data)