Minnesota's historic three-week state government shutdown had essentially zero impact on the state budget, according to a report released Tuesday by Minnesota Management and Budget.
The state lost about $49.7 million in revenue and spent about $10.1 million preparing for and eventually recovering from the closure. That was offset by $65 million the state saved in salaries from the 19,000 state workers who were laid off.
The statewide economic impact of the shutdown was largely muted by court orders that restored about 80 percent of state funding, mostly for health and human service needs for Minnesota's poorest and most vulnerable residents.
"The economic impact, by and large, was blunted by the court ordered spending," said Minnesota Management and Budget Commissioner Jim Schowalter.
The report indicated that the shutdown did not have the dire economic consequences some feared leading into the longest government closure in state history.
Schowalter said shutdown's hardest impacts were not purely economic. He said the shutdown damaged the state's reputation with lenders, caused hardship for state workers and created countless hassles for Minnesotans.
Schowalter painted a picture of state budget leaders plunging into high-risk chaos as they were forced to create an entirely new budgeting infrastructure to handle the state's day-to-day finances.
As the nation's eyes turned toward Minnesota's hobbled government, budget officials lived in constant fear the state's computers would become a prime target for hackers looking to create high-profile mischief.
