Minnesota is ready to award money for jobs under a new business incentive program that state officials announced Friday.
The $24 million Minnesota Job Creation Fund, proposed by Gov. Mark Dayton and passed by the Legislature in 2013, will replace the state’s JOBZ program, which is set to expire in 2015.
“Over the last three years Minnesota has added more than 122,700 new jobs, regaining all the jobs that were lost during the Great Recession,” Dayton said in a statement. “But we cannot afford to rest on our laurels now. The strength of our economy and the security of middle-class Minnesota families depend on the investments we make today to accelerate job growth and get every Minnesotan back to work.”
The new fund offers up to $1 million — and in some cases as much as $2 million — to companies after they meet certain criteria. Target businesses will be in manufacturing, warehousing, distribution and technology-related industries.
Businesses must create at least 10 full-time jobs and invest at least $500,000 in their own developments, among other things, to be eligible. Once a company is eligible, it can receive cash grants for each job it creates — with the cash varying based on how well each job pays. It can also receive rebates for property improvements.
Full details are available on the Minnesota Department of Employment and Economic Development website. The state estimates that the program will create 5,000 new jobs and attract $450 million in private investment.
“It will add high-quality jobs to the state’s economy,” said Commissioner Katie Clark Sieben. “This pay-for-performance tool will continue the economic momentum we have built since recovering from the recession.”