Democrats who recaptured control of the Legislature are taking a cautious approach to Democratic Gov. Mark Dayton's goal of raising income taxes on those who earn the most.
Democratic Senate leader Tom Bakk said Wednesday that a "very difficult conversation" about spending cuts and taxes lies ahead.
Dayton says there will be "progress" under all-Democratic rule for the first time in 22 years.
Minnesota faces a projected $1.1 billion deficit starting next year and remains behind on school aid checks.
The Democratic sweep will test how far new legislative majorities are willing to go with Dayton's tax push.
The DFL wins came after two bitter years in the minority, including last year's state government shutdown when Dayton dropped the income tax proposal after losing a staredown with Republicans.