>> ERIC: WE JUST HEARD FROM GOVERNOR WALZ, AND NOW LEGISLATIVE LEADERS GET THEIR TURN.

SENATORS UP FIRST TONIGHT.

SENATOR MARK JOHNSON IS THE REPUBLICAN SENATE LEADER.

HE HAILS FROM EAST GRAND FORKS.

ERIN MURPHY IS THE DFL SENATE LEADER.

SHE REPRESENTS ST. PAUL.

MELISSA HORTMAN IS THE DFL SPEAKER DESIGNATE.

SHE CALLS BROOKLYN PARK HOME.

AND LISA DEMUTH IS THE REPUBLICAN SPEAKER DESIGNATE, FROM COLD SPRING.

I HOPE THOSE TITLES ARE OKAY.

>> YOU GOT TO PICK SOMETHING.

>> Eric: YEAH, GOT TO DO SOMETHING.

YOUR THOUGHTS ON WHAT THE GOVERNOR SAID?

WHAT DO YOU WANT TO DO AS HE LOYAL OPPOSITION?

>> VERY INTERESTING TO HEAR WHAT THE GOVERNOR SAID.

WE KNOW HE TALKED ABOUT HIS BUDGET A LITTLE BIT.

WHICH, OBVIOUSLY, IT DOES SOUND VERY REPUBLICAN, STOPPING FRAUD.

WE SAY NO NEW TAXES.

NO TAX INCREASES.

HE SEES THAT A LITTLE DIFFERENT.

DEPENDING ON HOW YOU LOOK AT IT.

WE CAN REDUCE SALES AX, MINIMALLY, BUT THEN WHEN WE PUT MORE TAXES IN OTHER PLACES, THAT'S A TAX INCREASE.

THERE'S OTHER THINGS, BUT AS FAR AS THAT 40B ELECTION, THE SUPREME COURT BREAKING NEWS DECISION SAYING THAT HE WAS PREMATURE IN HIS CALLING FOR THE SPECIAL ELECTION AND THAT'S THE SPECIAL ELECTION WHERE THE DEMOCRAT DIDN'T LIVE IN HIS DISTRICT, SO RIGHT NOW WE KNOW OUR DEMOCRAT COLLEAGUES HAVE 66 MEMBERS IN THEIR CAUCUS.

WE HAVE 67.

>> ON CONTRAIR, I THINK THE MINNESOTA SUPREME COURT RULED THIS EVENING THAT THERE ARE 67 MEMBERS IN BOTH CAUCUSES.

THAT CURTIS JOHNSON WAS NOT ABLE TO RESIGN.

I THINK WHAT THEY RULED, HE'S STILL A MEMBER-ELECT.

SO WE HAVE RETURNED TO A TIE.

>> Eric: OKAY.

NEU.

>> Cathy: SO WHEN DO YOU PLAN ON SHOWING UP TO WORK, BY THE WAY?

>> WE FIRST NEED A RULING FROM THE MINNESOTA SUPREME COURT ON WHEN IS REAL SESSION AND WHEN IS FAKE SESSION.

SO WHEN SECRETARY SIMON CONVENED THE HOUSE TO ORDER ON JANUARY 14th, HE CALLED THE ROLL, HE DETERMINED THERE WAS NOT A QUORUM, HE ADJOURNED THE SESSION CLOSED.

WE BELIEVE THAT SESSION WAS DONE THEN.

THE REPUBLICANS BELIEVE THAT SESSION CONTINUED.

WE THINK WHAT THEY DID WAS UNCONSTITUTIONAL AND VIOLATED MINNESOTA LAW.

SO, WHEN THE MINNESOTA SUPREME COURT TELLS US WHETHER WE'RE IN REAL OR FAKE SESSION, WE'LL MAKE A DETERMINATION OF WHEN WE'LL GO BACK.

>> Eric: FOR YEARS, SENATOR JOHNSON, THE SENATE HAS BEEN KNOWN AS KIND OF THE MORE LEVEL-HEADED BODY.

>> THE UPPER BODY, YES.

>> OH, COME ON!

>> Eric: AGAINST THE MORE RAMBUNCTIOUS HOUSE.

>> I WOULD AGREE WITH THAT, YES.

>> Eric: AND IT SOUNDS LIKE YOU ASSUMED THAT POSITION HERE THIS WEEK WITH PEACE IN THE VALLEY.

>> THAT'S TRUE.

AND I THINK PART OF THAT, THOUGH, IS WE HAD A PASSING OF SENATOR DZIEDZIC.

AND, SO, REALLY, WHAT HER LEGACY IS TO THE SENATE, IT GAVE THAT OPPORTUNITY TO COME TOGETHER AND DO THIS POWER-SHARING AGREEMENT, WHICH HOPEFULLY WE'LL BE ABLE TO HONOR HERE GOING FORWARD.

IT'S REALLY BEEN A GIFT TO US.

SEE REPUBLICAN CHAIRS AND DEMOCRAT CHAIRS WORKING TOGETHER OVER THIS LAST WEEK.

>> Eric: HOW LONG LASTING IS THIS CALMNESS?

>> I HOPE IT EXTENDS THE DURATION OF THE SESSION, THE DURATION OF THE OF OF THE -- OF THE BIENNIUM GOING FORWARD.

I'VE SEEN THIS KIND OF COMEDY IN BOTH THE HOUSE AND SENATE.

HOUSE TRAINED, PROUDLY, HOUSE TRAINED.

BUT I WAS SPEAKING WITH LEADER JOHNSON EARLIER TODAY AND WITH SENATOR RASMUSSON, I THINK OUR MEMBERS HAVE REALLY APPRECIATED THIS WEEK AND THE ABILITY TO WORK TOGETHER AND TO FOCUS ON PUBLIC POLICY.

AND EVERY COMMITTEE IS WORKING A LITTLE DIFFERENTLY, BUT THEY'VE GOTTEN TO WORK.

AND I THINK THAT ONCE THERE'S A SPECIAL ELECTION AND THE TIE IS BROKEN IN THE SENATE, THIS APPROACH THAT WE HAVE INSTILLED, I THINK, WILL LAST BEYOND.

>> Eric: ONE OF THE KEY PLAYERS IN THE DRAMA NOW IS BRAD TABKE, WHO IS -- HAS WON BY 14 VOTES, WAS IT, WITH 20 VOTES THAT WERE OUTSTANDING.

AND HE'S WON ON ELECTION NIGHT.

HE'S WON ON THE RECOUNT.

AND HE'S WON ON ADVISORY OPINION BY A JUDGE.

AND YOU TALKED ABOUT EXPELLING HIM.

WHEN IS ENOUGH ENOUGH?

HASN'T HE ON THREE TIMES?

>> WE KNOW IT IS UP TO THE HOUSE TO ACTUALLY MAKE THE DETERMINATIONS OF THE ELIGIBILITY OF THE MEMBERSHIP.

WHAT WE'RE FOCUSED ON RIGHT NOW IS THE FACT THAT DEMOCRATS WILL NOT SHOW UP FOR WORK BECAUSE THEY ONLY HAVE 66 MEMBERS THAT CAN BE SEATED RIGHT NOW.

WITH THAT OPEN SEAT IN ROSEVILLE, NOW IT'S GOING TO BE QUITE LATE BEFORE THE GOVERNOR ACTUALLY CAN CALL THAT ELECTION.

WE PASSED A RESOLUTION WEDNESDAY THAT WOULD ALLOW THE GOVERNOR TO CALL THAT IMMEDIATELY.

WE'RE NOT DOING ANYTHING ON THE ROSEVILLE CASE.

SO IF DEMOCRATS WANT TO SHOW UP FOR WORK AND WE CAN MOVE FORWARD, WE KNOW THAT QUORUM OF 133 MEMBERS, WHICH IS ALL THE ELECTION CERTIFICATES THAT ARE ELIGIBLE RIGHT NOW, A QUORUM IS 67.

THAT'S WHY WE ORGANIZED ON TUESDAY ON THE -- 'M THE SPEAKER OF THE HOUSE AND WE'LL MOVE FORWARD.

>> Eric: IS THE LOOK OF THE SECRET SWEARING-IN AND GETTING PAID BUT NOT SHOWING UP AT THE CAPITOL, IT'S KIND OF A BAD LOOK, ISN'T IT?

>> YOU HAVE TO ASK YOURSELF WHAT LENGTHS WILL YOU GO TO TO STAND UP FOR YOUR PRINCIPLES.

AND IS THE PRINCIPLE OF FREE AND FAIR ELECTIONS A PRINCIPLE THAT'S WORTH STANDING UP FOR?

AND I THINK IN MINNESOTA HISTORY, WE HAVE NEVER HAD A MAJORITY PARTY SAY, WE'RE GOING TO JUST KICK OUT PEOPLE ON THE OTHER SIDE BECAUSE WE LIKE TO HAVE A SPECIAL ELECTION.

WE DON'T CARE THAT THE PERSON WON.

WE'RE JUST GOING TO DO A DO-OVER BECAUSE WE WANT A CHANCE TO WIN THAT SEAT.

THAT'S A PRINCIPLE THAT'S WORTH TAKING SOME HEAT IN THE PUBLIC FOR.

DENIAL OF QUORUM IS NOT SOMETHING THAT LEGISLATIVE CAUCUSES LIKE TO DO, BUT IT IS SOMETHING THAT THEY DO WHEN THEY THINK THE RINCIPLES ARE STRONG ENOUGH THAT THEY'RE STANDING UP OR AND THAT'S WHAT WE'RE STANDING UP FOR.

>> Cathy: SENATORS, WE'RE GOING TO GET YOU IN IN JUST A SECOND.

BUT I DO NEED TO ASK REPRESENTATIVE DEMUTH, I KNOW YOU WERE TALKING ABOUT NOT SEATING REPRESENTATIVE TABKE.

AND THAT WOULD SET A PRECEDENT.

I'M WONDERING, DO SOME MEMBERS OF YOUR CAUCUS THINK, YOU KNOW, IF IT COULD HAPPEN TO TABKE NOW, IT COULD HAPPEN TO ONE OF US LATER?

DOES THAT GIVE YOU PAUSE?

>> IT REALLY TAKES A LOOK AT, EVEN THOUGH THERE WAS THAT COURT CASE, GAIN, THE HOUSE IS ABLE TO DETERMINE THEIR OWN ELIGIBILITY.

HE DID WIN WITH 14 VOTES.

BUT 20 BALLOTS WERE DESTROYED.

WE WERE TALKING, BEFORE THAT COURT CASE CAME OUT, OF THE ABILITY FOR US TO CONSIDER THAT INFORMATION.

THERE IS NO GUARANTEE THAT WE ARE ABSOLUTELY GOING TO UNSEAT HIM.

IT'S SOMETHING THAT WE ARE VERY MUCH CONSIDERING.

BUT THERE IS NO DETERMINATION, BUT, AGAIN, DEMOCRATS HAVE SKIPPED FOUR DAYS OF WORK, GETTING PAID BY THE TAXPAYERS, AND, YET, THEY ONLY HAVE 66 MEMBERS.

THEY DO NOT HAVE A TIE UNTIL THE SPECIAL ELECTION IN ROSEVILLE, WHICH, AS THE GOVERNOR SAID, COULD BE IN MARCH AND IT MAKES ME WONDER, ARE DEMOCRATS GOING TO STAY OUT OF WORK UNTIL MARCH NOW THAT YOU'RE WAITING FOR THE POWER GRAB?

>> WELL, ONE THING I THINK THAT LEADER DEMUTH HAS BEEN VERY CLEAR ABOUT ON OTHER MEDIA OUTLETS, CONSERVATIVE MEDIA OUTLETS, THAT THEY ARE GETTING RID OF BRAD TABKE, NO MATTER WHAT THE COURT SAID.

SO THEY DON'T CARE THAT HE WON ON ELECTION NIGHT, HE WON THE RECOUNT, THAT HE WON IN COURT.

AND I THINK THE GOVERNOR SAID IT REALLY WELL.

THAT IN A SOCIETY, WE HAVE TO ABIDE BY THE RULE OF LAW.

AND WHEN THE COURTS MAKE A DECISION, WE HAVE TO RESPECT THAT.

WHEN THE VOTERS MAKE A DECISION, WE HAVE TO RESPECT THAT.

>> Eric: BUT IT'S NOT UP TO THE REPUBLICANS TO BAIL THE DEMOCRATS OUT BECAUSE THEY HAD AN LLEGAL CANDIDATE.

YOU WOULDN'T EXPECT THAT.

>> ABSOLUTELY.

NO, I DON'T EXPECT THAT AT ALL, WHICH IS WHY WE HAVE PUT A PROPOSED AGREEMENT N THE TABLE THAT WOULD HAVE THE REPUBLICANS RUN THE MINNESOTA HOUSE AS THOUGH THEY WERE A MAJORITY, EVEN THOUGH THEY DON'T HAVE 68 VOTES, UNTIL THE SPECIAL ELECTION IS RESOLVED.

>> Eric: NICOLE MITCH SELL A DFL SENATOR FROM WOODBURY, AND HER BURGLARY TRIAL NOW HAS BEEN DELAYED UNTIL AFTER THE SESSION.

>> RIGHT.

>> Eric: AND IT'S A 34-33, SO HER VOTE IS VITAL, OBVIOUSLY.

>> IT IS.

>> Eric: WHAT'S YOUR REACTION TO HAVING THE THING DELAYED UNTIL AFTER THE SESSION?

>> AND, SO, WE'RE GOING TO BE LOOKING AT THAT HERE GOING FORWARD IN THE NEXT COUPLE OF WEEKS.

THAT'S SOMETHING THAT WE WISH WE WOULD HAVE TAKEN CARE OF LAST YEAR AND HAD SOME COOPERATION ON THAT.

THIS WILL BE ANOTHER DISCUSSION WE'LL HAVE WITHIN OUR CAUCUS.

WE BELIEVE THAT SHE SHOULD RESIGN, OPEN UP THAT SEAT AND GIVE THE OPPORTUNITY FOR A SPECIAL ELECTION THERE.

SO THAT BY THE END OF SESSION, THERE'S CLARITY WITHIN THE VOTING -- WITHIN HE SENATOR GROUP THERE THAT WE CAN HAVE, WHETHER IT'S 34 VOTES OR WHATEVER THAT LOOKS LIKE AT THE END, THAT WE KNOW THAT NOT A CHARGED FELLON IS VOTING ON THOSE ISSUES.

FELL ON.

FELON.

SO WE'RE HOPING WE CAN GET SOME COOPERATION ON THAT.

>> Cathy: SENATOR MITCHELL IS A BUR IN YOUR SADDLE ON THIS.

SO WHAT WAS YOUR RESPONSE TO THIS?

>> SO SENATOR MITCHELL IS ELECTED TO REPRESENT THE PEOPLE OF WOODBURY.

SHE IS ENTITLED TO DUE ROCESS HEADING INTO A TRIAL WITH A JURY OF HER PEERS.

HER COURT CASE IS NOT A MATTER FOR THE SENATE.

SHE'S A MEMBER OF THE SENATE TO REPRESENT THE PEOPLE THERE.

THE SENATE HAS NEVER TAKEN ACTION TO EXPEL A MEMBER WHO IS FACING A CRIMINAL CHARGE, AND SHE'S ACCUSED AND NOT CONVICTED, THE SENATE'S NEVER TAKEN ACTION TO EXPEL AHEAD OF A COURT.

THAT HASN'T CHANGED.

NONE OF THE CONDITIONS HAVE CHANGED.

AND WHILE I KNEE THERE IS INTEREST ON THE PART OF SOME OF MY COLLEAGUES TO TALK ABOUT THAT IN THE LEGISLATURE, I GROW MORE AND MORE CONCERNED THAT THE ACTIONS ON THE PART OF MEMBERS OF HE SENATE WILL MAKE IT HARDER FOR HER TO GET A FAIR TRIAL AND MORE IMPORTANTLY, WE HAVE IMPORTANT WORK TO DO FOR THE PEOPLE OF MINNESOTA TO BALANCE THE BUDGET, WHICH IS JOB NUMBER ONE, WHICH IS WHY LEADER JOHNSON AND I TOOK THE EXTRAORDINARY EFFORT, AND I KNOW IT IS HISTORIC AND A FOOTNOTE RIGHT NOW, THE EXTRAORDINARY EFFORT TO REACH A POWER-SHARING AGREEMENT SO THAT WE COULD BEGIN THE WORK FOR THE PEOPLE OF MINNESOTA, WE'RE COMMITTED TO THAT.

>> Cathy: LET ME ASK YOU ABOUT THE WORK, THE BUDGET, ACTUALLY, THAT'S YOUR MAIN FOCUS, SUPPOSED TO BE, ANYWAY.

AND I'M WONDERING, WITH EVERYTHING GOING ON WITH LAWSUITS AND RANCOR AND CHAOS, DO YOU THINK YOU CAN GET A BUDGET DONE, REALLY?

>> I REALLY DO.

I BELIEVE THAT REPRESENTATIVE HORTMAN AND I WILL WORK TOGETHER.

AND WHEN THEY RETURN, OR IF THEY RETURN TO AN ACTUAL TIE AND CHOOSE TO COME TO WORK, I LOOK FORWARD TO CONTINUING WORKING ON THE POWER SHARING.

RIGHT NOW, WE ARE NOT TIED, SO THAT DOESN'T EXIST.

AND WE NEED THOSE CONVERSATIONS TO GO FORWARD.

THAT HAS TO TAKE PLACE SO WE CAN DO THE BUDGET, WE NEED THEM TO ACTUALLY COME TO WORK AND ACKNOWLEDGE THE WORK THAT HAS BEEN DONE.

SO, YES, WE WILL GET THAT DONE.

I BELIEVE WE WILL ACTUALLY END THE SESSION ON TIME, AND WE KNEW IT WAS GOING TO BE BUMPY, BUT I THINK MINNESOTANS EXPECT US TO DO THAT.

RIGHT NOW MINNESOTANS AND TAXPAYERS ARE PAYING FOR 66 MEMBERS OF A CAUCUS THAT AREN'T EVEN SHOWING UP TO WORK.

MINNESOTANS ARE SAYING, GO BACK TO WORK.

BE ADULTS IN THE ROOM.

BE THE LEADERS WE'VE ELECTED YOU TO BE AND DO THE WORK.

THAT'S WHY I BELIEVE WE CAN GET THAT WORK DONE.

>> IT'S NOT JUST ABOUT THE FOUR OF US.

IT'S ABOUT ALL OF THE MEMBERS OF THE LEGISLATURE.

AND WHAT YOU'RE SEEING IN THE SENATE, AND I THINK YOU WILL SEE SOON IN THE HOUSE, IS THAT MEMBERS WANT TO WORK TOGETHER.

YOU KNOW, CERTAINLY WHEN WE HAD OUR AGREEMENT ON THE COMMITTEE STRUCTURE AND WE APPOINTED THOSE CO-CHAIRS, THEY PICKED UP THE PHONE RIGHT AWAY AND GOT TO WORK.

AND THEY'RE STILL HAVING THOSE CONVERSATIONS.

SO AT THE END OF THE DAY, PUTTING A BUDGET TOGETHER DOESN'T DEPEND UPON THE CONVERSATIONS JUST AMONGST THESE FOUR PEOPLE.

PUTTING A BUDGET TOGETHER DEPENDS ON THE WORK OF ALL 201 LEGISLATORS.

AND I THINK MOST OF THEM ARE ANXIOUS TO PUT ALL THIS RANCOR BEHIND US AND GET THE SESSION REALLY UNDERWAY.

>> Eric: SENATOR JOHNSON, WHAT'S YOUR THOUGHTS ON THE GOVERNOR'S APPROACH TO COMBATTING FRAUD IN HE PUBLIC MONEY PROGRAMS?

>> WHAT'S INTERESTING IS THAT WE SAW A LOT OF RED FLAGS ON SOME OF THE ISSUES GOING FORWARD BACK IN 2018.

HOPING TO TAKE A LOT OF ACTION FROM THAT.

WE HAVEN'T HAD MUCH RESPONSE FROM THE GOVERNOR'S OFFICE, UNTIL ALMOST $500 ILLION HAS BEEN WIIED IN FRAUD.

SO NOW THAT HE'S COMING, AFTER ALL THAT'S HAPPENED, SIX YEARS, $500 MILLION, IT SEEMED A LITTLE TOO LATE TO BE DOING THIS, BUT, HEY, WE ARE RIGHT THERE, WE'RE GOING TO BE WORKING ON THAT THROUGH THIS BUDGET CYCLE, HOPING THAT WE CAN FIND WAYS OF MUTUAL AGREEMENT TO CURTAIL THE WASTE, FRAUD AND ABUSE WITHIN OUR STATE GOVERNMENT.

>> Cathy: SAY, I'M WONDERING, TOO, ABOUT THE BUDGET HERE IN TERMS OF REINING IN SOME OF THE EXPECTED GROWTH IN SPENDING, RIGHT?

AND WHEN YOU LOOKED AT WHAT THE GOVERNOR HAD IN HIS VARIOUS BUDGET DOCUMENTS, DID IT LOOK TO YOU THAT THE LARGEST STATE BUDGET WAS PASSED A COUPLE YEARS AGO, THAT MAYBE POSSIBLY THE DFL, YOU WERE OVER YOUR SKIS A LITTLE BIT WHEN IT CAME TO SOME OF THE SPENDING?

>> I THINK THAT'S NOT REALLY THE ISSUE.

THE PROBLEM IS, IN THE OUTYEARS, BEYOND THE YEARS THAT WE BUDGETED FOR, GROWTH IN PARTS OF OUR BUDGET THAT WE'VE KNOWN ARE COMING FOR 30 YEARS, THE SILVER TSUNAMI.

SO WHEN YOU LOOK AT THE EXPENSES THAT AN AGING POPULATION BRINGS, WE'VE KNOWN THERE'S A LOT LESS YOUNG PEOPLE THAN OLDER PEOPLE, YOU KNOW US GRAY HAIRS ARE BECOMING IN THE VAST MAJORITY.

AND WE'RE EXPENSIVE TO TAKE CARE OF.

SO, THOSE ARE KIND OF GROWTH ISSUES THAT ARE VERY DIFFICULT TO WRESTLE WITH.

CERTAINLY WE DON'T WANT TO CUT THE COST OF LONG-TERM CARE.

THERE ARE PEOPLE WHO NEED LONG-TERM CARE, BUT WE HAVE TO ACCEPT THE REALITY THAT THOSE COSTS ARE INCREASING REATLY.

>> Eric: SALES TAX, GOVERNOR'S SALES TAX PROPOSAL, $600 MILLION TO PROFESSIONAL SERVICES AND A 7-CENT DECREASE -- >> .075%.

>> Eric: DEAD, ALIVE?

>> THAT IS DEAD.

THAT DOESN'T MAKE ANY SENSE AT ALL.

WE ALSO KNOW IN HIS BUDGET PROPOSAL, THAT'S ALL IT IS RIGHT NOW, HE'S CUTTING FUNDING TO SCHOOLS AND HE'S CUTTING LONG-TERM CARE FUNDING.

THAT SHOULD NEVER HAPPEN IN THE STATE OF MINNESOTA.

WHEN YOU REALIZE THAT WE'VE RAISED OUR STATE BUDGET AND ADDED 6,000 NEW F TEs TO THE GOVERNMENT ALONE, THERE'S OTHER PLACES THAT WE CAN FIND SAVINGS AND THAT WE'RE LOOKING FORWARD TO.

FTEs.

WE'VE INVITED THE AGENCIES, WE'RE DOING ALL OF OUR AGENCY OVERVIEWS RIGHT NOW IN COMMITTEE.

APPARENTLY THE AGENCIES AVE BEEN TOLD NOT TO SHOW UP.

>> Eric: WE HAVE FAILED TO SOLVE ANOTHER ONE ON "ALMANAC."

WE TRIED.

WE'RE CLOSE.

>> MAYBE NEXT TIME.

>> Cathy: WE WISH YOU ALL WELL.

>> Eric: GOOD LUCK WITH