LIKE FOOD BRINGS US TOGETHER.

>> ERIC: WE STARTED THE HOUR WITH CONGRESSIONAL POLITICS.

SO LET'S END OUR TIME TOGETHER WITH LEGISLATIVE POLITICS.

HERE TO HELP US DO THAT, THIS WEEK'S VERSION OF THE POLITICAL PANEL.

REPUBLICANS UP FIRST.

FRITZ KNAAK IS A FORMER STATE SENATOR, LONGTIME REPUBLICAN, WHO IS NOW AN ATTORNEY IN PRIVATE PRACTICE.

ANNETTE MEEKS, A FORMER CONGRESSIONAL STAFFER AND LT.

GOVERNOR CANDIDATE WHO NOW HEADS THE FREEDOM FOUNDATION OF MINNESOTA.

DEMOCRATS ON THE COUCH TONIGHT.

JEFF HAYDEN IS A FORMER STATE SENATOR, NOW LOBBYIST.

KARLA BIGHAM IS ALSO A FORMER LAWMAKER.

SHE SERVED IN BOTH THE HOUSE AND THE SENATE.

I'M INTERESTED IN THE 40B RESULT.

THE SPECIAL ELECTION THAT THE DEMOCRATS WON HANDILY.

DO YOU THINK THAT'S A PRECURSOR OF WHAT WE MIGHT SEE IN THE MIDTERM, BECAUSE HE WON HANDILY, WAS A HUGE TURNOUT FOR A SPECIAL ELECTION.

>> YEAH.

>> Eric: IS THIS THE CANARY IN THE COAL INE?

>> WELL, IT CERTAINLY COULD BE.

I MEAN, THERE WAS A LOT OF ORGANIZING, A LOT OF DOOR KNOCKING, 70% OF THE CANDIDATE.

I ALSO THINK THAT EVEN IN THE FIRST, YOU KNOW, MONTH PEOPLE HAVE ALREADY SAW WHAT THE TRUMP ADMINISTRATION CAN DO AND I THINK THAT THEY'RE ANXIOUS TO GET OUT AND VOTE.

>> Eric: SENATOR?

>> IN A WORD, NO.

WHAT YOU HAD IS AN INCREDIBLY IMPORTANT SEAT WITH A LOT OF RESOURCES AND A LOT OF MONEY AND A LOT OF PEOPLE THAT WERE INTERESTED IN AN OUTCOME THAT WOULD KEEP THE DEMOCRATS AT THE VERY LEAST AT HALFSIES AND PROBABLY ALMOST DESPERATELY WERE HOPING THE REPUBLICANS DIDN'T WIN THAT SEAT.

VERY WELL FUNDED, VERY WELL ORGANIZED.

IT'S A HARBINGER OF NOTHING OTHER THAN THE FACT THAT THERE'S TOO MUCH MONEY IN POLITICS RIGHT NOW.

>> Cathy: SO NOW IT'S 67-67 IN THE HOUSE.

AND I'M WONDERING, HOW DID YOU THINK THE REPUBLICANS USED THEIR TIME IN POWER?

IN THE HOUSE.

>> I THOUGHT THEY DID A REALLY GOOD JOB, ACTUALLY, OF BRINGING SOME OF HE KEY ISSUES THAT NEED TO BE DISCUSSED, THINGS THAT HAVE HAPPENED THAT WERE FORCED DOWN THE THROATS OF PEOPLE THAT WE HEARD ABOUT AT THE DOORS IN 2024 THAT PEOPLE ARE VERY UNHAPPY ABOUT.

AND THEY HAD AN OPPORTUNITY TO HIGHLIGHT THE REPUBLICAN POSITION ON THAT VERSUS WHAT THE DFL DID FOR THE LAST TWO YEARS.

>> Cathy: AND OF COURSE THE DFLers TOOK SOME UNCOMFORTABLE VOTES.

THAT WAS BY DESIGN.

>> AND ALSO PASSED SOME VERY UNCOMFORTABLE LEGISLATION THAT WE'RE ALL NOW LIVING UNDER FOR THE NEXT TWO YEARS UNTIL WE HAVE THE 2026 ELECTION AND REPUBLICANS HAVE GAVELS IN EVERY COMMITTEE.

>> THEY WASTED THEIR TIME THAT THEY HAD BECAUSE, YOU KNOW, THEY DIDN'T DO ANYTHING RELATED TO THE ECONOMY THAT THEY SAID THAT THAT'S WHAT THE WHOLE ELECTION WAS ABOUT.

THEY WASTED THEIR TIME ON BILLS THAT WERE NEVER OING TO PASS.

AND WHAT I'M HEARING AND WHAT I THINK THE COUNTRY'S DEMONSTRATING RIGHT NOW, WHETHER IT'S HE TURNOUT IN SPECIAL ELECTIONS, WHICH THEY'RE OVERPERFORMING HARRIS AND THE REPUBLICANS RE UNDERPERFORMING TRUMP ACROSS THE COUNTRY WHERE THERE HAVE BEEN SPECIAL ELECTIONS, IT IS ABOUT THE ECONOMY, AND IT'S ABOUT WHAT TRUMP AND MUSK ARE DOING TO WORKING FAMILIES, TO VETERANS, TO OUR SCHOOLS WITH THE LACK OF DIGNITY AND THE CHAOS THAT THESE CUTS AND POLICIES THAT ARE -- THEY'RE IMPLEMENTING.

>> Eric: WE HAVE A SITUATION WHERE THERE'S ABOUT A $6 BILLION SHORT -- PROJECTED SHORTFALL DOWN THE ROAD, '28 AND '29.

I WROTE DOWN SOME OF THE STUFF THAT HAS BEEN DONE IN THE PAST.

THEY COULD TEMPORARILY STOP COUNTING INFLATION IN THE BUDGET.

THEY COULD DO SOME SHIFTS.

>> DON'T TELL BIT COIN THAT.

[ Laughter ] >> Eric: SOME ACCOUNTING SHIFTS OR GIMMICKS, THEY'LL SAY, WE'LL SAVE MOST OF THE HEAVY LIFTING OR THE 2026 SESSION.

IT SEEMS TO ME THERE'S A LOT OF WAYS TO SKIN THE CAT IF THEY WANT TO DO IT.

>> YEAH, I THINK ONE OF THE THINGS WE KNOW IN THE STATE BUDGET, IT'S EDUCATION AND THEN HEALTH AND HUMAN SERVICES REALLY BEING DRIVEN BY ELDERLY SERVICES AND THEN PEOPLE WITH DISABILITIES.

SO I THINK THAT'S REALLY WHERE THEY HAVE TO FOCUS.

THEY CAN DO THOSE SHIFTS AND GIMMICKS TO GET THEMSELVES OUT, BUT IF THEY REALLY WANT TO FIX THIS, THEN THEY HAVE TO FIGURE OUT, LIKE, HOW DO THEY DO THAT AND REALLY GET, LIKE, DEEPLY IN THAT BUDGET TO FIGURE OUT, LIKE, WHAT ARE THE THINGS THAT THEY NEED TO DO.

INCLUDING, AS A DEMOCRAT, TO SAY, THE FRAUD, WASTE AND ABUSE.

I'M GOING TO JUMP ON THAT BEFORE YOU GUYS DO.

BUT I DON'T THINK THAT THAT IS THE ABSOLUTE DRIVER.

I THINK THAT THAT IS A PROBLEM.

BUT I ALSO THINK THAT THEY HAVE TO FIGURE OUT THAT BUDGET.

>> WELL, YOU KNOW, TO TOUCH A LITTLE BIT ON WHAT KARLA WAS SAYING, BECAUSE IT RELATES TO THIS, YOU'RE GOING TO SEE A LOT OF EFFORT TO BLAME REPUBLICANS IN ONE WAY OR ANOTHER FOR THE OUTCOME.

IF THERE'S ONE THING IN MY EXPERIENCE, YOU DON'T SEE TOO MUCH, THIS IS VERY PARTISAN, BUT YOU DON'T SEE VERY MUCH IS, YOU KNOW, DEMOCRATS TAKING RESPONSIBILITY FOR BAD OUTCOMES.

THEY HAD THE TRIFECTA.

THEY BURIED US IN THIS PERSPECTIVE DEBT, THEY PUT INTO PLACE KNOWING A DEBT THAT THEY KNEW WAS COMING.

PROSPECTIVE DEBT.

NOW THE GAME S IT'S ALWAYS BEEN THAT WAY, IT WAS THAT WAY WHEN WE WERE IN THERE, FOR NIGHT IMMEMORIAL, FIND A WAY TO LAME THE REPUBLICANS.

SO WHAT YOU HEARD HERE IS A NARRATIVE THAT SAYS, OH, WELL, IF REPUBLICANS WERE IN OFFICE, THEY WOULD HAVE DONE SOMETHING ABOUT THIS, THAT OR SOMETHING ELSE.

THE FACT OF THE MATTER IS, WHAT DEMOCRATS NEED TO DO IS TO FIND A WAY TO PIN THE BLAME ON THE REPUBLICANS.

>> AND I THINK THE OTHER THING THAT'S REALLY IRRESPONSIBLE WITH TWO MONTHS LEFT IN THE LEGISLATIVE SESSION IS FOR OUR GOVERNOR TO TAKE OFF, LEAVE THE STATE, AND LEAVE THE DEMOCRATS WITHOUT SOMEBODY TO HELP START THE NEGOTIATIONS ON THIS PROCESS.

>> Eric: I'M SO GLAD YOU BROUGHT THIS UP BECAUSE HE'S NOW THE ROAD WARRIOR.

TIM WALZ.

IOWA, NEBRASKA, MONTANA.

PODCAST WITH NEWSOME, A BOOK, MAYBE, IN THE OFFING.

>> BUDGET STUFF DOESN'T HAPPEN T STUFF DOESN'T HAPPEN UNTIL MAY, ERIC.

[ OVERLAPPING CONVERSATION ] SO TARGETS AREN'T EVEN IN COMMITTEES.

BUT I WILL SAY, RELATED TO GETTING DOWN TO FIXING THE DEFICIT, IT'S GOING TO CAUSE SOME HURT.

I WOULD SAY, LET'S ALSO NOT PUSH IT ON TO COUNTIES.

YOU KNOW, AS A COUNTY COMMISSIONER, THAT'S GOING TO HURT.

>> Eric: SURE.

>> THAT'S GOING TO LEAD TO PROPERTY TAX INCREASES.

SO I WOULD PLEAD WITH MY FORMER COLLEAGUES, DON'T DO THAT EITHER.

BUT LET'S ALSO NOT EXACERBATE THE ISSUE WITH THESE RECKLESS CUTS THAT ARE COMING FROM THE FEDERAL GOVERNMENT.

YOU KNOW, IT'S A $30 MILLION CUT WITH MEDICAID CUTS TO WASHINGTON COUNTY ALONE.

THOSE WILL HURT AS WELL.

>> Cathy: DO YOU THINK, GIVEN THE RANCOR THAT WE'VE SEEN, AND NOW A 67-67 TIED HOUSE, THAT THEY'LL BE ABLE TO MAKE DECENT DECISIONS WHEN IT COMES TO A BUDGET TO FIX SOME OF THESE ISSUES?

IS IT EASIER TO KICK THE CAN DOWN THE ROAD?

>> IN A SPRAING WAY, I DO THINK -- STRANGE WAY, I DO THINK THAT THE REPUBLICANS GOT THEIR STUFF OUT, THEY GOT EVERYTHING THEY NEEDED, THEY MESSAGED BOTHERINGS, GUNS, ALL THE THINGS THEY DON'T LIKE.

AND I HAPPEN TO, LIKE, I MET WITH SPEAKER DEMUTH THIS WEEK ON ANOTHER MATTER, AND JUST IN THE SIDE TALK, I THINK SHE AND SPEAKER EMERITUS HORTMAN, HOWEVER THEY'RE ORGANIZING, ARE GOING TO REALLY START TO FIGURE OUT WHAT ARE THE THINGS THEY NEED TO DO.

I KNOW THAT THEY'RE DOING THAT WORK IN THE SENATE.

I HAPPEN TO KNOW A FEW PEOPLE, A FEW LEADERS THERE.

SO I ACTUALLY THINK IN A REALLY DIFFERENT WAY THAT A LOT OF THAT STUFF IS GOING TO GO AWAY, WHAT THEY'RE GOING TO HAVE TO START TO DO NOW IS FOCUS ON THE BUDGET, AND BOTH CAUCUSES KNOW THAT THEY'RE GOING TO HAVE TO GET OUT OF THERE OR THEY BOTH WILL BE BLAMED.

I DISAGREE WITH FRITZ, I THINK THAT BOTH SIDES WILL BE BLAMED IF WE GO INTO A SPECIAL SESSION OR IF WE GO INTO A GOVERNMENT SHUTDOWN.

>> AND I AGREE ALSO WITH THAT IN THE SENSE THAT THE GOVERNOR PUT DOWN A BASE-LINE BUDGET THAT THE COUNTIES, EVERYONE, AND MOST LEGISLATORS DISAGREE WITH.

WE CANNOT BALANCE THIS BUDGET ON THE SICKEST AND THE POOREST MINNESOTANS.

>> Eric: BUT YOU CAN'T SAY, I AM FOR CUTTING SPENDING AND THEN OBJECT WHEN THEY PUT OUT A PLAN TO CUT SPENDING.

>> WELL, THERE'S OTHER WAYS YOU CAN CUT SPENDING THAT DON'T PENALIZE PEOPLE WHO CANNOT HELP THEMSELVES.

>> YEAH, BUT LET'S GO BACK TO THIS AGAIN, THE TWO BIGGEST PLACES IN STATE OVERNMENT IS EDUCATION AND HEALTH AND HUMAN SERVICES.

JUST LIKE ON THE FEDERAL GOVERNMENT, IT IS THE DEFENSE BUDGET AND IT IS MEDICAID.

>> THEY HAVE TO WORK TOGETHER TO GET OUT OF HERE.

THEY NEED EACH OTHER IN BOTH CHAMBERS, THEY NEED EACH OTHER TO GET THIS DONE.

AND, SO, THERE'S NO DOUBT ABOUT IT, SO THEY'RE GOING TO HAVE TO WORK TOGETHER TO GET IT DONE.

BUT THE GOVERNOR PROPOSES A BUDGET.

AND THE LEGISLATURE DISPOSES OF THE GOVERNOR'S BUDGET AND THEY BRING IT TOGETHER TO GET IT DONE.

>> BUT THE HARD POLITICS OF THIS, THOUGH, RESTS WITH THE REPUBLICANS.

I MEAN, WE'VE GOT A VOICE AT THE TABLE WITH THE SPEAKER, RIGHT.

THAT'S ALL SHE IS.

THE REAL DECISION MAKING IS GOING TO HAVE TO COME FROM THE DEMOCRATS.

AND WHAT REPUBLICANS HAVE TO MAKE SURE OF IN ALL OF THIS IS THAT THIS DOESN'T GET PINNED ON THEM.

YOU KNOW, OH, E'RE ALL IN THIS TOGETHER.

YOU'RE A LITTLE THIS NOW.

WE'RE ALL IN THIS TOGETHER.

WE'RE SOLVING THESE PROBLEMS TOGETHER.

YOU KNOW, PAY NO ATTENTION TO THOSE -- TO THAT GUY BIND THE -- BEHIND THE CURTAIN, FORGET IT.

>> Eric: I WANT TO GO BACK TO THE GOVERNOR.

DOES HE WANT TO RUN FOR GOVERNOR IN 026?

OR NOT RUN AND FOCUS TWO YEARS ON HIS PRESIDENTIAL CAMPAIGN?

OR O WE KNOW THAT YET?

>> I DON'T THINK WE KNOW -- I DON'T THINK WE KNOW THAT YET.

AND, YOU KNOW, THE A ROAD TRIP TO DES MOINES IS A ROAD TRIP TO OMAHA DOESN'T CONSTITUTE THAT HE'S IN NEW YORK OR HE'S IN DALLAS, TEXAS.

I THINK -- >> Eric: DO YOU THINK HE AND KEN MARTIN, THE FORMER DFL CHAIR, NOW DNC CHAIR, THEY'RE STRATEGIZING, THE TWO OF THEM?

>> WELL, I DON'T KNOW ABOUT THAT.

I MEAN, THEY'RE FRIENDS.

HE'S THE DNC CHAIR, HE'S A PROMINENT GOVERNOR AND A FORMER VICE PRESIDENTIAL CANDIDATE.

SO I'M SURE THAT THEY'RE HAVING A CONVERSATION AND THEY'RE FROM MINNESOTA.

BUT I THINK THAT THE GOVERNOR IS GOING TO PLACES AND WHERE REPUBLICANS AREN'T GOING TO TALK ABOUT THE TERRIBLE THINGS THAT ARE HAPPENING IN WASHINGTON.

[ OVERLAPPING CONVERSATION ] >> Cathy: HE DOESN'T HAVE O DO THAT, THOUGH.

>> I THINK THIS IS MORE MAGICAL THINKING FROM OUR GOVERNOR.

>> YEAH.

>> WHERE HE THINKS THAT SOMEHOW OR ANOTHER, THEY ONLY LAST THIS -- LOST THIS LAST ELECTION BY A VERY NARROW MARGIN.

THEY WERE WIPED OUT BY A MAN THAT PEOPLE SAID COULD NOT COME ARE -- COULD NOT COME BACK FROM THE DEAD.

AND PRESIDENT DID SO.

IT WAS THE GREATEST AMERICAN COMEBACK IN HISTORY.

NOW THAT GOVERNOR WALZ IS RUNNING AROUND ON THE RAINBOW TOUR TALKING ABOUT THE GREAT THINGS HAPPENING IN MINNESOTA, I THINK HE'S GOING TO BE A LAUGHING STOCK.

>> I AGREE.

>> PRESIDENT TRUMP AND MUSK HAVE CAUSED SO MUCH CHAOS AND FEAR AND JUST CALLOUS WITH WHAT THEY HAVE DONE THAT PEOPLE WANT TO TALK ABOUT IT.

AND WHEN THEIR REPRESENTATIVES WON'T SHOW UP TO BE ASKED, WHY AREN'T YOU STEPPING UP AND DOING YOUR JOB IN CONGRESS WHEN YOU'RE LETTING THIS UNAPPOINTED, NOT NOMINATED, UNELECTED BILLIONAIRE DO THAT.

>> Cathy: WHY IS IT GOVERNOR WALZ'S ROLE TO DO SOMETHING LIKE THIS?

>> WELL, WE'RE NOT IN CHARGE OF ANYTHING NATIONALLY, CATHY, SO WE DON'T REALLY HAVE A PARTY LEADER HEAD, RIGHT?

[ OVERLAPPING CONVERSATION ] BECOMES THAT FIGURE HEAD.

>> I THINK ALL DEMOCRATIC LEADERS' JOB TO DO IT.

>> YEAH, EXACTLY.

>> I THINK THEY SPLIT HE COUNTRY UP, HE'S AKEN HIS SECTION, HE'S A FORMER DEMOCRATIC GOVERNOR ASSOCIATION CHAIR -- >> YOU'RE SAYING ALL DEMOCRATS.

>> I DON'T THINK THAT HE'S SELLING PIE IN THE SKY.

I THINK WHAT HE'S DOING, HE'S GOING AND TELLING THE PEOPLE THE TRUTH.

>> LET ME BE THE FIRST REPUBLICAN TO JOIN THE COMMITTEE, RUN, TIM, RUN, PLEASE RUN, WE DON'T CARE WHAT YOU'RE RUNNING FOR.

PLEASE.

>> Eric: 2028 IS JUST AROUND