Creating jobs and making the state more attractive for businesses is high on Gov. Mark Dayton’s goals in the two-year budget plan that he submitted this week. To help achieve those objectives, the governor proposed a new tool called the Minnesota Job Creation Fund.
The $25 million ongoing fund, managed by DEED, would be an alternative to the JOBZ program, which is set to expire in 2015.
The Minnesota Job Creation Fund will provide up to $1 million to businesses that meet certain performance measures, including minimum requirements for job creation and private investments. Under the program, businesses must create at least 10 full-time jobs and invest at least $500,000 to be eligible for financial assistance.
Officials estimate the fund will create 5,000 jobs and attract another $450 million in private investments.
The fund will get money into the hands of businesses that need state incentives to expand or move their operations to Minnesota. That’s important, because Minnesota generally is considered a modest state when it comes to business incentives. We often can’t compete with neighboring states that have more funding to attract businesses and jobs.
The fund is what Minnesota needs at a time when the economy is gaining momentum and businesses are planning growth strategies. Officials say the program will be accountable, transparent, fair and responsible. More details on the Minnesota Job Creation Fund are available here.