The redistricting maps that were drawn by a panel of judges last winter significantly altered the area immediately southwest of Duluth. Eight-term incumbent Rep. Bill Hilty, DFL-Finlayson, was carved out of the new district that contained a lot of his old turf and he opted not to seek re-election.

Property taxes will once again be a politically volatile issue at the Capitol. That was readily apparent at a committee hearing Wednesday evening on a proposal to phase out the state’s business property tax over a dozen years.

The boards of advocacy associations from a variety of policy areas have issued their priority wish lists in time for the start of the 2012 legislative session. Many of the issues of significance for groups ranging from business to labor are rooted in last year’s session.

Rep. Larry Howes helped broker the end of a three-week government shutdown and Rep. John Kriesel took political risks and emerged as an important new presence at the Capitol.

Amid last summer’s gridlock over how to close a $5 billion deficit and stave off a government shutdown, Republicans at one point presented Gov. Mark Dayton with what they called “an effort to compromise and find common ground.”

Positive budget news has been in short supply at the Capitol in recent years. So it’s no surprise that Republicans and DFLers alike greeted with relief the surprise announcement that the state is projected to have an $876 million surplus in the current two-year budget cycle.

Levy increases when coupled with the end of a homestead tax credit will increase taxes by an about 4.7 percent, or $379 million, the department said.

Steve Drazkowski likely winced a bit when the results of the state’s school referendums rolled in last Wednesday. The Republican House member from Mazeppa made a big splash late this summer when he spoke out against a slew of referendums in his legislative district.

As local elected officials prepare their 2012 budgets, they’re feeling the aftermath of a property tax law change by state lawmakers. In order to save about $500 million toward solving a $5 billion state budget deficit, lawmakers killed off the market value homestead credit (MVHC), which had been a product of 2001 property tax reform legislation passed during Gov. Jesse Ventura’s administration.

When Senate Majority Leader Larry Pogemiller (DFL-Minneapolis) appeared before the press on Monday to react to Gov. Tim Pawlenty's supplemental budget, one key point of emphasis was his vow to reduce the size of Pawlenty's proposed $250 million cut in aid to local units of government. On Thursday, Sen. Tom Bakk (DFL-Cook), whose Taxes Committee will be taking up the matter of local government aid, told PIM he's aiming for a package that limits those cuts to roughly $100 million.