The Daily Digest

Welcome to the Daily Digest, where the state releases its budget forecast today, Dayton went to Washington, and Obama rejects the House GOP's fiscal cliff proposal.

Around Minnesota

Minnesota Management and Budget releases the state's latest budget forecast today.

Gov. Mark Dayton is expected to hold a press conference at 2:30 p.m. to discuss the numbers.

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The forecast will be clouded by the fiscal cliff debate in Washington.

The man accused of killing a Cold Spring police officer last week has been released without being charged.

The historic Union Depot reopens this weekend after a makeover.

In Washington

President Barack Obama rejected a House GOP plan to avoid the fiscal cliff, saying that he'll only agree to a proposal that includes higher taxes on the wealthy, the New York Times reports.

Obama is insisting on tax increases for the wealthy partly because he does not believe that the deficit can be solved by closing loopholes and limiting deductions, as Republicans argue.

House Speaker John Boehner is getting flack from conservative groups about his offer.

Part of that backlash has to do with House leadership's decision to boot four conservative members from plum committee assignments.

Politico writes that the House GOP proposal could instigate a civil war within the Republican party.

Dayton was at the White House to discuss the fiscal cliff.

Rep. Tim Walz brought a petition to the House floor that would require the chamber to vote on an already-passed Senate bill that keeps tax rates lower for everyone making $250,000 or less while letting the Bush-era tax cuts expire for those who make more than that.

Dick Armey, former leader of the tea-party affiliated Freedom Works, took an $8 million payout to leave the group, saying that he's leaving the group because of an internal split over the group's direction, the Associated Press reports.