Minnesota Legislature
HF 4215
as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am
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A bill for an act
relating to small and emerging entrepreneurial assistance; amending Minnesota
Statutes 2004, section 116J.8745.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
Minnesota Statutes 2004, section 116J.8745, is amended to read:
116J.8745 deleted text begin MICROENTERPRISEdeleted text end ENTREPRENEURIAL ASSISTANCEnew text begin FOR
SMALL AND EMERGING BUSINESSESnew text end .
Subdivision 1.
Technical assistance.
The commissioner of employment and
economic development shall make grants to nonprofit organizations to provide technical
assistance to individuals to support the startup and growth of self-employment and
deleted text begin microbusinessesdeleted text end new text begin emerging small businessesnew text end . Eligible businesses are deleted text begin microenterprisesdeleted text end new text begin
emerging small businesses new text end employing deleted text begin underdeleted text end five new text begin or fewer new text end people deleted text begin plus the ownerdeleted text end new text begin , including
self-employed entrepreneurs, new text end and requiring deleted text begin under $25,000deleted text end new text begin less than $50,000new text end or no capital
to start or expand the business.
Subd. 2.
Grant eligibility and allocation.
Nonprofit organizations must apply for
grants under this section following procedures established by the commissioner. To be
eligible for a grant, an organization must demonstrate to the commissioner that it has the
appropriate deleted text begin expertisedeleted text end new text begin experiencenew text end . The commissioner shall give preference for grants
to organizations that target nontraditional entrepreneurs such as women, members of
a minority, low-income individuals, or persons seeking work who are currently on or
recently removed from welfare assistance.
An application must include:
(1) the local need for microenterprise support;
(2) proposed criteria for business eligibility;
(3) proposals for identifying and serving eligible businesses;
(4) a description of technical assistance to be provided to eligible businesses;
(5) proposals to coordinate technical assistance with financial assistance;
(6) a demonstration of ability to collaborate with other agencies including
educational and financial institutions; and
(7) project goals identifying the number of eligible businesses to be assisted with
the state funds awarded under the grant.
Subd. 3.
Grant evaluations.
Grant recipients must report to the commissioner by
February 1 in each of the two years succeeding the year of receipt of the grant. The report
must detail thedeleted text begin number of customers served, the number ofdeleted text end businesses started, stabilized,
or expanded, the number of jobs created and retained, and business success rates. The
commissioner shall report to the legislature ondeleted text begin the microenterprise deleted text end new text begin these new text end entrepreneurial
assistancenew text begin grantsnew text end . The report shall contain an evaluation of the results, recommendations
to continue or change the program, and a suggested level of funding.
new text begin Subd. 4. new text end
new text begin Capacity building. new text end
new text begin
The commissioner shall set aside 15 percent of
the funds appropriated in each fiscal year under this section for a grant to a statewide
organization to provide capacity building and technical support for grantees awarded funds
under subdivisions 1 to 3. This grant shall be awarded to a statewide organization with
demonstrated experience in working with nonprofit organizations eligible to seek funding
under this section. Statewide organizations applying for this grant must describe proposed
capacity building activities, including educational and technical assistance programs, the
ability to develop partnerships among organizations, guidance regarding the marshalling
of financial resources, and organizational development. The recipient of a grant under this
subdivision must describe capacity building objectives and an evaluation plan to determine
whether objectives have been achieved. The grant recipient must also establish criteria and
an evaluation process for the technical assistance grants awarded under subdivisions 1 to 3.
new text end