SF 3326

Introduction - 94th Legislature (2025 - 2026)

Posted on 04/08/2025 09:24 a.m.

A bill for an act
relating to economic development; requiring reports; appropriating money for
grants to the African Development Center, social benefit corporations, and small
businesses in the St. Paul Midway area.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1. new text begin APPROPRIATION; AFRICAN DEVELOPMENT CENTER.
new text end

new text begin (a) $4,000,000 in fiscal year 2026 is appropriated from the general fund to the
commissioner of employment and economic development for a grant to the African
Development Center for the purposes listed in paragraph (b). This is a onetime appropriation
and is available until June 30, 2027.
new text end

new text begin (b) Of the amount in paragraph (a):
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new text begin (1) $2,000,000 is for loans to assist small business owners in purchasing commercial
real estate;
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new text begin (2) $910,000 is for loan loss reserves to support loan volume growth and attract additional
capital; and
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new text begin (3) $1,090,000 is for increasing organizational capacity building.
new text end

Sec. 2. new text begin APPROPRIATION; SOCIAL BENEFIT CORPORATIONS.
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new text begin (a) $500,000 in fiscal year 2026 is appropriated from the general fund to the commissioner
of employment and economic development for grants to social benefit corporations, as
defined in Minnesota Statutes, section 304A.011, that provide employment opportunities
to underserved, low-income, and hard-to-employ populations in Minnesota. Grant money
must be used to expand workforce capacity and increase employment opportunities within
social benefit corporations that currently employ up to 15 individuals with the goal of
expanding employment to 30 individuals. Money may be used to subsidize the wages of
new hires, for workforce training, and for employment support services, including job
coaching and retention initiatives. This is a onetime appropriation and is available until June
30, 2027.
new text end

new text begin (b) Each recipient of a grant must submit a report to the commissioner of employment
and economic development on the use of grant money, including the number of new
employees hired as a result of the grant and retention and job satisfaction metrics, within
one year of receiving a grant.
new text end

Sec. 3. new text begin APPROPRIATION; SMALL BUSINESS JOB CREATION IN THE ST.
PAUL MIDWAY AREA.
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new text begin (a) $300,000 in fiscal year 2026 is appropriated from the general fund to the commissioner
of employment and economic development for grants to support small businesses in the St.
Paul Midway area and foster economic growth and job creation. Grants should target the
needs of African immigrant business owners and support business stability and workforce
expansion. This is a onetime appropriation and is available until June 30, 2027.
new text end

new text begin (b) Each recipient of a grant must submit a report to the commissioner of employment
and economic development on the use of grant money, the number of new employees hired
as a result of the grant, and the economic impact of the grant within one year of receiving
a grant.
new text end