Minnesota DFL State Auditor Julie Blaha declared victory Wednesday morning in a grueling re-election bid against Republican attorney Ryan Wilson in what became the most competitive statewide contest on Tuesday's ballot.

Fewer than 8,500 votes separated Blaha and Wilson with all precincts reporting. The Republican challenger has not conceded the race, and a campaign spokesman said Wilson would issue a statement at 2 p.m. Wednesday. The Associated Press has not yet called the race.

"I'm honored by Minnesotans' confidence in my leadership and I'm grateful to have the opportunity to continue to serve them," Blaha said in a statement Wednesday. "Our victory is a message that Minnesotans want their auditor to continue to focus on local government, to ultimately protect our freedom to make decisions in our own communities."

Wilson later conceded, issuing a statement thanking his supporters.

"We put up a strong campaign, but came up just short of our goal," the statement read.

Blaha had attempted to fend off a challenge from the political newcomer, and the two vaulted the little-known office into the thick of a surprise battleground contest this fall. The two were tightly matched in most polls before Election Day, and Republicans saw the race as one of their best chances to break a 16-year losing streak in statewide offices.

If her victory is certified, Blaha will begin a second term overseeing the books of $40 billion in local government spending each year, largely through audits of counties and cities. Minnesota's auditor also serves on several state boards, including the State Board of Investment.

The candidates offered starkly different visions of how the office should operate. Blaha, a former math teacher and AFL-CIO secretary treasurer, took over the office in 2018 and wants to keep its focus on the finances of local governments, which she argues have the biggest day-to-day impact on Minnesotans' lives.

Wilson is making the case that the auditor's office should be far more active on more issues than it has been over the last four years. The attorney and former CEO of a medical auditing company says he would use the office to weigh in on high-profile cases of waste, fraud and abuse in the state, even if they fall outside the scope of local government audits.

Two third-party candidates were also on the ballot. Will Finn ran for auditor as the Grassroots-Legalize Cannabis Party candidate, and Tim Davis sought the office for the Legal Marijuana Now Party.

Staff writer Briana Bierschbach contributed to this report.