state budget forecast

Minnesota's projected budget deficit has shrunk to $627 million, which is down more than 40 percent from the last estimate. State lawmakers have just less than three months to figure out how to fix it.

Minnesota's budget picture sharpens Wednesday with a new economic forecast, but there's a big caveat. The forecast from state finance officials may be outdated by the end of the month, depending on what happens in Washington.

Minnesota's lead budget official says a new prediction of a small surplus reflects state economic conditions that are "steady and consistent."

Minnesota lawmakers and Gov. Mark Dayton find out Wednesday whether the state checkbook will hold on to a small positive balance or drops back into deficit.