FAIRMONT - It's not the 1970s, and no one will benefit from looking back wistfully at the good ol' days.
That was part of the message presented Wednesday in Fairmont by Jennifer Byers, vice president of Minnesota Chamber of Commerce.
"It's a different world and a different economy," Byers said.
Wednesday's legislative luncheon was an opportunity for local business leaders to hear what the Chamber is doing for them, and to offer feedback on issues affecting their companies.
Sticking with the status quo is no longer an option for the state, not in Byers' opinion. With a forecasted budget deficit of $5.7 billion for the 2012-2013 legislative session, the Minnesota Chamber is pushing for lawmakers to address key policy issues.
"You really can't tax your way out of this," Byers said.
New designs in public service are needed in order to control operating expenses, she said, mentioning teacher's retirement funds as one out-of-control expense.
"These pensions are unfunded, and we're all going to pay for it," she said. "... We need to find a way to resolve this moving forward ... to make sure these plans are more affordable."
There are many other simple measures the state could adopt that would save a ton of money, she said, like conducting court hearings via video, rather than making police transport inmates back and forth across the state.
Fairmont Assistant City Administrator Mike Humpal was in absolute agreement that cities and the state can't tax their way out of the current budget crisis.
"We have to look at service redesign," said Humpal, an audience member at the luncheon. "... I hope the Chamber engages members with talking about service delivery changes."
However, he noted that is easier said than done. When the city of Fairmont lost $750,000 in state aid, residents attending public meetings made clear they did not want to lose any city services.
"We're not like the federal government - we can't go in the basement and print money," Humpal said.
Nixing some of the state's mandates is one way to help resolve the Legislature's budget issues, by giving local governments more flexibility in their planning, Byers said.
Among the Chamber's priorities for the 2012-2013 legislative session are reform in the state's long-term tax policies and education standards, including a measure to allow professionals to teach without a teaching license.
Permitting reform is another area the Chamber plans to promote. Currently, Byers said, border states have an advantage over Minnesota, which charges too much and takes to long to process permits. The Chamber also wants to see online e-permitting and standardizing of certain permits.
Humpal agreed permitting is an issue for businesses, but he believes Minnesota Pollution Control Agency presents a bigger problem.
"MPCA is funding itself through fines. ... That's not the way to fund a state agency," he said, noting how much fines against businesses have increased in recent years. "That hurts businesses more than delays in permitting."
Also hurting Minnesota businesses, the Chamber argues, is the high cost of energy. Thus, the organization is pushing to end the ban on nuclear power.
Health care too weighs heavily on companies. The Chamber opposes additional insurance mandates, Byers said, noting Minnesota has among the highest number of mandates in the country.