New laws in Minnesota push countless businesses to the edge of collapse.

The Struggles of Small Business Owners in Minnesota

The Washington Examiner recently visited Minnesota to investigate the ⁤state’s Democratic-Farmer-Labor ‌Party‍ and their progressive agenda. What we ‌discovered ⁢was a Republican Party in distress, frustrated small business owners,⁣ and a lack of cooperation from Democrats. In this series, ⁤we ​delve​ into the broken promises made by lawmakers, the Republican efforts ⁢to⁣ mitigate the damage, and the‍ unintended consequences of ⁣certain bills, including one that could devastate small businesses.

A Small Business Owner’s‌ Dilemma

Meet Jerrilynn Sweeney, the owner of Innovated Building ⁢Concepts, a commercial⁢ siding‍ business in Burnsville, ⁤Minnesota.⁤ For the past ​eight years, Sweeney has made ⁢it a tradition to provide lunch for her employees every Wednesday. This practice fosters ‍camaraderie and strengthens the bond between⁢ office workers and those in the‌ field.

“We all sit in one room‌ and⁣ eat,” Sweeney told the Washington Examiner. “Everybody​ knows everybody’s kids. We can⁤ laugh, we can joke, but‍ when it comes down to ‘We’re in a load of [trouble], we’ve got ⁤to⁣ get this done,’ they all ​stand up and help one another.”

However, the atmosphere‍ has changed ​drastically in recent⁤ times.

Like ​many other small business owners ⁢in Minnesota,⁢ Sweeney is bracing herself for the impact​ of⁣ new laws passed​ by the⁢ Democratic-controlled legislature. These laws‌ specifically target businesses like hers, ⁣burdening them with exorbitant expenses‌ and a web of regulations ‍that may ‍force some⁤ to shut ⁤down permanently.

Minnesota experienced a⁢ wave of rejection towards Republican ‌candidates during the midterms. The Democratic-Farmer-Labor​ Party now holds significant⁤ control in the state, with four out of eight U.S. House⁤ seats, both U.S. Senate seats, the state legislature, and all other statewide​ offices under their⁤ command. They have swiftly implemented one of the most ‌progressive agendas in the country, often disregarding the concerns of ‌those⁣ affected by their regulations.

One of the laws signed by Governor Tim ⁤Walz is⁤ the ⁢creation of a state-run ​program that⁤ allows workers to take extended leave‌ with ⁣partial pay ‌for various reasons, such as having a child, dealing with a serious medical issue, or experiencing domestic abuse. While the​ law won’t take effect until 2026, it is unlikely to undergo significant changes ⁣even⁣ if Republicans gain a majority in the next House elections.

“You start⁣ thinking ⁣about this‌ stuff, and you think, ‘Holy s***, they’re‍ going to​ put us all out of business,” Sweeney said. “I’ve worked my ass off ​for this company.”

Innovated Building Concepts, which employs ‌less than 20 people, has been operating since 1987. Sweeney and her husband,⁢ Pat, purchased the business in 2011. Their portfolio includes notable projects like a Crayola installation, the ​US Bank Stadium parking ramp, LL Bean⁤ at ​the‌ Mall of ‌America, Dave & Buster’s, and the Killebrew pedestrian bridge.

“When we ​first started, we didn’t ‌take paychecks. It was 2016 before we actually took a​ full salary,” she said, recalling a time when she worked 50 consecutive ‍days. Despite their dedication and hard work, the​ future of their business‍ remains uncertain.

Mike Flynn, another small business owner in⁢ southeastern‌ Minnesota, shares ​Sweeney’s concerns. Flynn ⁤owns a small ranch, has an interest in the Whitewater Travel Plaza and​ Restaurant, and works as a dentist.⁤ He believes that the​ new laws in Minnesota ⁢are ⁣the‍ most aggressive and extensive in the country, exacerbating the existing labor⁢ shortage and⁢ making it‌ difficult for small businesses ⁤to​ find and‍ replace employees on a temporary basis.

John Reynolds, the state director for ‌the National Federation of Independent Businesses, which represents⁢ over 10,000 small business owners in Minnesota, expressed their feeling of betrayal ⁤by elected officials. Small business owners had hoped for relief after navigating​ the challenges of the pandemic, inflation, and supply chain shortages. However, they were met with disappointment.

“The idea that they turned their backs on us really captures ​how ​most small business owners feel here,” Reynolds said. “We had the biggest​ surplus by far the state has ever had, and [small business owners] feel ​like that’s the product of their hard work. Being the economic ⁤backbone of a lot of ​parts of the state, I think they thought, ‘Hey, this is going to‍ be a time when we ⁢get some relief.'”

Democratic⁤ lawmakers, on the other hand, have touted their accomplishments and⁢ attempted to rebrand themselves as allies of‌ small businesses. However,⁢ small⁣ business owners remain skeptical.

“It’s a really⁣ puzzling conclusion from the session,” Reynolds said. “The taxes are just part‌ of the story. Minnesota is‌ a really expensive place to live and an ⁤expensive place ‍to ​do business… You name it, we tax‍ it.”

Minnesota was recently ranked as the most ‌expensive state for⁤ new entrepreneurs, with the highest corporate⁢ income tax rate in the country at ⁤9.8%. The state ⁢also faces high labor costs.

For ​Sweeney,​ the future of her company is uncertain ⁤and disheartening.

“We’re small. We can’t absorb that kind of money,” she ‍said.⁤ “Almost everything they passed​ is going ​to hurt small businesses.⁢ You shouldn’t be allowed to run ​for ​legislator unless you’ve run a⁢ small⁢ business yourself so you know what a real budget is⁢ and what it takes. What you take away from us, you take away from the next person and the ⁢next.”

The ⁣Washington ⁣Examiner reached ‌out to Democratic leadership in the state and Governor Walz’s office ⁢for comment but⁣ did not​ receive a‍ response.

Stay ⁤tuned for Part Two of the Washington Examiner’s Minnesota series, where we explore the state of the Republican Party ​as it fights to regain power.

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