BRAINERD — Republican state House Speaker Lisa Demuth and Democratic Sen. Amy Klobuchar were in the Brainerd lakes area Monday, Oct. 19, for the first debate between the two candidates for Minnesota governor, just two weeks before Election Day.
The debate at Madden’s on Gull Lake was put on by the Minnesota Chamber of Commerce, and the questions largely focused on the state economy, business environment and the workforce. But both candidates were also sure to get in their talking points and digs at one another.
The debate, in many ways, was fairly routine and neither candidate dropped any bombshells. But having the candidates side by side highlighted their similarities as much as their differences, and it was a rare opportunity for direct contrast.
There is only one other debate scheduled between the two, set for 7 p.m. Wednesday on Fox 9.
Here are four takeaways from Monday’s debate.
Tim Walz and Donald Trump loom large
Demuth regularly referred to Gov. Tim Walz and tried to frame Klobuchar as a continuation of his administration.
"Are you better off than you were 8 years ago, or do you need change?” Demuth asked the audience of Chamber members. “If you are ready for a fresh start and need a change, I would be the one to lead that.”
Demuth said Klobuchar has never distanced herself from Walz and went so far as to say Walz selected Klobuchar to run. In response, Klobuchar listed several things she disagreed with Walz about, like his fraud response (“I would have caught that fraud. ... We have very different backgrounds.”) and how he used the budget surplus (“I would have used it to pay for things that aren’t as sexy, like infrastructure”).
“I would have clearly not pardoned a sex offender,” Klobuchar said. “So I could list a number of other ways I’m different than Tim Walz. I know you wish you were debating Tim Walz, but I’m the one here.”
Klobuchar repeatedly referenced President Donald Trump and blamed him for cost-of-living increases.
“Our healthcare insurance costs too much. It just costs too much,” she said. “Our whole healthcare system costs too much. And Trump has made it worse.”
A similar dynamic has emerged in the U.S. Senate race, with Lt. Gov. Peggy Flanagan trying to tie former sportscaster Michele Tafoya to Trump, while Tafoya connects Flanagan to her former running mate, Walz.
Demuth goes on the attack
The candidates largely stayed on topic for the first 20 minutes of the debate. They still mentioned fraud, gas prices and other campaign talking points but attempted to tie their response to the question.
Demuth was the first to change that. At the end of one of her responses, Klobuchar mentioned bringing down costs and pointed to gas prices climbing because of the Iran War.
The next question was about AI, but Demuth first attacked Democrats on fraud and the “automatic gas inflator” (Democrats tied the gas tax to inflation in 2023), and she attacked Klobuchar for voting against the Keystone XL pipeline in 2014.
“We can talk about federal issues that are impacting us, but we definitely need to look at what is impacting us here in the state of Minnesota because of failed Democrat leadership for far too long,” Demuth said, adding, “Sen. Klobuchar has never once distanced herself from Gov. Walz.”
Those remarks were the first of an on-and-off back-and-forth throughout the rest of the debate.
Demuth referenced Klobuchar’s reported mistreatment of her staff, including throwing office supplies in frustration.
Demuth also said there wasn’t a “word about fraud” in any of Klobuchar’s news releases “until after Tim Walz selected her to run as his candidate.”
“Why didn’t you do more?” Demuth asked.
Klobuchar responded by recounting how she used her contacts to get more prosecutors and resources for federal attorneys to address fraud.
Demuth wasn’t the only one directing barbs at her opponent, though hers were sharper.
Klobuchar criticized Demuth for not addressing tariffs and her legislative record, including blocking a ban on nondisclosure agreements in the 2026 legislative session and not supporting a bill that would have strengthened and extended a discount on drugs for hospitals.
Her most pointed attack came after Demuth touted her support for the Alec Smith Insulin Affordability Act. Klobuchar said the bill was a watered-down version of the insulin protections supported by Alec Smith’s mother. Smith died after rationing his insulin because he couldn’t afford it.
“My opponent did not help when it comes to capping insulin,” Klobuchar said. “So let's not throw that name around without being honest to the real bill that they wanted to pass.”
Mesabi Metallics’ steel mill: Bad deal for Iowa or part of ‘failed status quo’ in Minnesota?
The candidates were asked what they would have done to ensure Mesabi Metallics’ steel mill was built in Minnesota, rather than in Iowa.
Klobuchar noted her support of Mesabi Metallics’ Nashwauk mine and endorsements from construction union LIUNA and United Steelworkers.
She also noted that Iowa’s last-minute $1.4 billion tax incentives aimed at Mesabi Metallics were controversial even with some Republicans, with the project estimated to create 1,750 permanent jobs.
“That is like ... $800,000 per job,” Klobuchar said. “So, I’d want to look at what makes sense for Minnesota fiscally when we look at what these incentives are and how we’re going to do this.”
Demuth said the choice of Iowa, when the natural resources are here, is an example of “the Walz failed status quo,” and added that she would address regulatory and permitting uncertainty.
“A change in culture across the state is what is needed,” she said.
Data centers, affordability remain bipartisan concerns
The candidates did agree on some things: No tax hikes to balance the budget, no unfunded mandates and local communities should decide whether they want a data center.
Both candidates also pointed to additional changes in state leadership, if elected.
Demuth has said multiple times that she will fire all state commissioners, though she said Monday anyone is welcome to reapply.
Klobuchar said she’d ask all commissioners to resign, and hire based on merit. She also said she’d hire one or two Republican commissioners.
In their own words: Compare Demuth, Klobuchar responses
Demuth
Tax hikes are absolutely off the table for me. ... This is how we grow our budget: We make sure we have a workforce that is ready to lead, a business economy that can grow. But in addition to that, by right-sizing the government, it allows taxpayers in Minnesota to keep more of your hard-earned tax dollars.
... We're gonna be talking about fraud, I'm sure, and part of what we have been funding in a budget that has doubled in the last 10 years where our population has basically stayed flat is the fact that with out-of-control spending, it has allowed fraud to go unchecked.
Klobuchar
No tax hikes. ... I outlined the growth agenda, but then there's also this government reform. If something is working, we keep it. If something is broken, we either fix it or end it. I've been willing to take on my own party on taxes in the past.
... I believe we need a new team in the agencies, not just in the governor's office, and I'm going to replace people and do that. ... That includes, of course, rooting out fraud, and who is better than a former prosecutor to do that.
... We're one of only 14 states that has a AAA bond rating, especially in this time of inflation induced by a number of the president's policies. It is really important that we keep that bond rating. I will do that. It's also important that we keep a strong rainy day fund for what's to come.
... Finally, we need to do something about these tariff taxes. And that's only coming from a governor that stands up and does something about the tariffs and negotiates subnational agreements with provinces in Canada and the like, and not someone that says the tariffs are effective like my opponent.
Demuth
We are one of the highest tax states, both corporate and individual here in the state. ... Are you better off today than you were just eight years ago? Are your businesses better off today than they were eight years ago?
You've heard the senator say that she was going to be replacing some of the commissioners. I have said very early on that I will be firing all of the commissioners in the state of Minnesota and starting fresh.
... We have had an opportunity to conform with the federal tax bill, but yet Democrats in the House of Representatives blocked that pass-through entity. They blocked it from being continuous. They only gave us one year on it.
Klobuchar
We must do a comprehensive view of our tax system now in Minnesota. ... Tax incentives for business, let me give you some ideas, things I've supported in Washington, things I'll support here: Better job of supporting R&D, especially for small businesses, startups; workforce training ... and create more incentives for training our workers; looking at — as the Speaker raised — the PTEs [pass-through entities], making that more permanent; ... giving [farmers and ranchers] incentives to be able to buy equipment; incentives for the 100,000 new units of housing that my lieutenant governor and I have committed to build with the private sector.
Demuth
AI is something that matters. It is fairly new, but used by all industries. We need guardrails and we need to make sure that we are keeping people safe.
Klobuchar
We have to develop AI responsibly. ... [Sen. Ted Cruz and I] are working together with Sen. Thune on some guardrails for AI. ... making sure these models are tested, making sure that imminent harm ... that they alert the government about this.
... We have to train our workers on AI-proof jobs. We know there's so many of them available in medical, in construction, in electricians. And then also at the same time, work with our universities and colleges to train our people and our students on how to use AI responsibly.
Demuth
We need to make sure that the nation knows that Minnesota is open for business. ... I will support business, open this up for business, and support the work that we can do right here.
Klobuchar
[Gov.] Josh Shapiro in Pennsylvania has a rule that if you don't get a permit in a certain amount of time, you get your money back, like Domino's. ... That kind of certainty is incredibly important for business.
Demuth
Some of the things that I've already led on as Speaker of the House and as a legislator are the nation leading the reinsurance program to help bring some of those costs down. Now we need a better payer mix where it's private and public, so putting more people on a public plan does not help bring those costs down.
Klobuchar
I strongly support reinsurance. ... But that is not the only answer.
... Eight million people have been tossed off their health care nationally since Donald Trump refused to extend those tax premiums [Affordable Care Act subsidies] when it comes to helping people with their premiums. ... I’m going to do it in Minnesota, if he won’t do it in Washington.
... I also think we need to look at some special help with premiums for small businesses.
... I want to use the bulk purchasing power of the state government to ... be able to get more, less expensive drugs and bring in more biosimilars and bring those costs down.
Demuth
They have exploded in this state for a number of reasons: Paid Family Medical Leave, Earned Sick and Safe Time, mandates on businesses also hit our cities, our counties, our school districts.
... Less mandates, making things more affordable, rooting out fraud, reducing the state budget is a way that will have that outward effect to make sure our property taxes come down. We will be having a blue ribbon commission on looking at the cost of property taxes.
Klobuchar
My first directive will be no unfunded mandates. ... The second thing is to transform the way our government works. ... We've got a number of counties that are coming together to work on health care, Medicaid. ... We need more of that regionally.
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