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Minnesota Legislature

Office of the Revisor of Statutes

SF 3109

1st Engrossment - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - 1st Engrossment

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A bill for an act
relating to economic development; implementing certain strategic entrepreneurial
economic development initiatives; appropriating money; amending Minnesota
Statutes 2006, sections 116J.03, by adding a subdivision; 116J.656; 116J.66;
116J.68; 116L.02; proposing coding for new law in Minnesota Statutes, chapters
116J; 116L.

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

Section 1.

Minnesota Statutes 2006, section 116J.03, is amended by adding a
subdivision to read:


new text begin Subd. 4. new text end

new text begin Targeted rural opportunity community. new text end

new text begin "Targeted rural opportunity
community" means a city or township in a county that either lost population from 1980
to 2000 according to the decennial census or had an unemployment rate higher than the
Minnesota state annual average in 2006 according to local area unemployment statistics
published by the Department of Employment and Economic Development.
new text end

Sec. 2.

new text begin [116J.432] RURAL ENTERPRISE MICROLOAN PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin For purposes of this section, the definitions in this
subdivision have the meanings given them:
new text end

new text begin (1) "Commissioner" means the commissioner of employment and economic
development.
new text end

new text begin (2) "Nonprofit corporation" means a corporation organized and operating under
chapter 317A and holding tax exempt status under section 501(c)(3), 501(c)(4)(A), or
501(c)(5) of the Internal Revenue Code, or a Minnesota private foundation meeting the
definition of section 509 of the Internal Revenue Code.
new text end

new text begin (3) "Rural areas" means those areas of Minnesota located outside the metropolitan
area as defined in section 473.121, subdivision 2.
new text end

new text begin Subd. 2. new text end

new text begin Established. new text end

new text begin The rural enterprise microloan program is created to provide
rural enterprise grants to nonprofit corporations to encourage private investment, create
jobs for persons in rural areas, and promote economic development.
new text end

new text begin Subd. 3. new text end

new text begin Eligibility. new text end

new text begin The commissioner shall enter into agreements with nonprofit
corporations to provide rural enterprise microloans in rural areas as provided under this
section. In order to qualify for a rural enterprise microloan grant, a corporation must
demonstrate that the corporation:
new text end

new text begin (1) has a board of directors that includes citizens experienced in business lending
and development, the operations of rural business enterprises, and the creation of jobs in
low-income, economically disadvantaged rural areas;
new text end

new text begin (2) has the technical skills to analyze projects;
new text end

new text begin (3) is familiar with other available public and private funding sources and economic
development programs;
new text end

new text begin (4) can initiate and implement economic development projects;
new text end

new text begin (5) can establish and administer a rural enterprise microloan account which will be
used to disburse loans to qualifying businesses and receive loan repayments; and
new text end

new text begin (6) has demonstrated a capacity to deliver financial, technical, managerial, and
marketing assistance to a business enterprise receiving a microloan under this section.
This assistance may be delivered by the nonprofit corporation or through other appropriate
organizations as provided by the nonprofit corporation through written agreements.
new text end

new text begin Subd. 4. new text end

new text begin Revolving loan funds. new text end

new text begin Nonprofit corporations must establish a revolving
loan fund to receive rural enterprise microloan grants. Grants must be used to make
loans to new and expanding for-profit business enterprises in rural areas, targeted rural
opportunity communities, and disadvantaged business enterprises in rural areas in order to
promote business enterprises and job creation.
new text end

new text begin Subd. 5. new text end

new text begin Revolving fund administration. new text end

new text begin (a) The department shall establish a
maximum interest rate for loans made under this section.
new text end

new text begin (b) Loan repayment amounts, including principal and interest, must be deposited
in a revolving fund created by the nonprofit corporation to be used for additional loans
consistent with the loan criteria specified in this section or as allowed under paragraph (c).
new text end

new text begin (c) Expenses incurred by a nonprofit corporation in providing financial, technical,
managerial, and marketing assistance to a business enterprise receiving a loan under
this section may be paid out of interest earned from rural enterprise loans, as allowed
by the department.
new text end

new text begin Subd. 6. new text end

new text begin Loan criteria. new text end

new text begin (a) The criteria in this subdivision apply to loans made or
guaranteed by nonprofit corporations under the rural enterprise microloan program.
new text end

new text begin (b) Loans or guarantees must be made to businesses that are not likely to undertake a
project for which loans are sought without assistance from the rural enterprise microloan
program.
new text end

new text begin (c) The minimum state contribution to a loan or guarantee is $1,000 and the
maximum is $50,000.
new text end

new text begin (d) The state contributions must be matched by at least an equal amount of new
private investment.
new text end

new text begin Subd. 7. new text end

new text begin Reporting requirement. new text end

new text begin A nonprofit corporation that receives a rural
enterprise microloan grant shall submit, in a format prescribed by the department, an
annual report by October 1 of each year that provides information as to the use and impact
of the grant funds.
new text end

new text begin Subd. 8. new text end

new text begin Report to legislature. new text end

new text begin The commissioner shall submit an annual report
that provides information as to the use and impact of the funds provided under this section,
by January 15 of each year to the chairs and ranking minority members of the legislative
committees with jurisdiction over economic development policy and finance.
new text end

new text begin Subd. 9. new text end

new text begin Rules. new text end

new text begin The commissioner shall adopt rules for eligibility, revolving fund
administration, and other details of rural enterprise microloans, using the expedited
process under section 14.389.
new text end

Sec. 3.

Minnesota Statutes 2006, section 116J.656, is amended to read:


116J.656 deleted text beginSMALL BUSINESS ACCESS TO FEDERAL RESEARCH FUNDSdeleted text endnew text begin
OFFICE OF TECHNOLOGY AND COMMERCIALIZATION
new text end.

(a) deleted text beginThe commissioner shall assist small businesses to access federal money through
the federal Small Business Innovation Research program and the Small Business
Technology Transfer program.
deleted text endnew text begin The commissioner shall establish within the department
an Office of Technology and Commercialization. The Office of Technology and
Commercialization shall serve as an intermediary to leverage and coordinate regional
public and private resources to maximize technology-related economic growth and
shall serve as an intermediary in assisting small businesses in forming alliances and
joint ventures with medium- and large-sized corporations. The office shall provide
entrepreneurial and innovation services to expand the competitiveness of high technology
companies. These services shall include, but not be limited to, technology training and
information exchange; assistance with federal funding sources, to include the small
business innovation research and small business technology transfer programs; and
assistance in forming alliances for technology development and commercialization.
new text end In
providing deleted text beginthis assistancedeleted text endnew text begin these servicesnew text end, the commissioner shall maintain connections to
eligible federal programs, assess specific funding opportunities, review funding proposals,
provide referrals to specific consulting services, and hold training workshops throughout
the state.

(b) Unless prohibited by federal law, the commissioner must implement fees for
services that help companies seek federal Phase II Small Business Innovation Research
grants. The fees must be deposited in a special revenue account and are annually
appropriated to the commissioner for the small business innovation research and small
business technology transfer programs.

Sec. 4.

Minnesota Statutes 2006, section 116J.66, is amended to read:


116J.66 deleted text beginBUSINESS ASSISTANCEdeleted text endnew text begin OFFICE OF ENTREPRENEURSHIP AND
SMALL BUSINESS DEVELOPMENT
new text end.

The commissioner shall establish within the department deleted text begina business assistance center.
The center
deleted text end new text begin an Office of Entrepreneurship and Small Business Development, which new text endshall
consist ofnew text begin:new text end

(1) deleted text begina Bureau of Small Business which shall have as its sole function the provision
of assistance
deleted text endnew text begin an entrepreneurs network which shall serve as the state's central network
for entrepreneurs and small businesses to access qualified network member providers of
entrepreneurial and small business assistance, to access developed and shared business
information and research resources, and to develop policy recommendations that support
development of entrepreneurs and small businesses;
new text end

new text begin (2) an entrepreneur and small business development center network which shall
operate a network of small business development centers throughout the state under a
cooperative agreement with the United States Small Business Administration pursuant to
United States Code, title 15, section 648;
new text end

new text begin (3) an Office of Business Information and Professional Services to provide
information and professional assistance and guidance
new text endto small businesses in the state
deleted text begin and (2)deleted text endnew text begin;
new text end

new text begin (4) new text end a Bureau of Licenses to assist all businesses in obtaining state licenses and
permitsdeleted text begin. This center shall be accorded at least equal status with the other major operating
units within the department.
deleted text endnew text begin; and
new text end

new text begin (5) an Office of Technology and Commercialization to provide entrepreneurial and
innovation services to high technology companies.
new text end

deleted text begin deleted text end

Sec. 5.

Minnesota Statutes 2006, section 116J.68, is amended to read:


116J.68 deleted text beginBUREAU OF SMALL BUSINESSdeleted text endnew text begin OFFICE OF BUSINESS
INFORMATION AND PROFESSIONAL SERVICES
new text end.

Subdivision 1.

Generallynew text begin; definitionnew text end.

new text begin(a) new text endThe deleted text beginBureau of Small Businessdeleted text endnew text begin Office of
Business Information and Professional Services
new text end within the deleted text beginbusiness assistance centerdeleted text endnew text begin
Office of Entrepreneurship and Small Business Development
new text end shall serve as a clearinghouse
and referral service for information needed by small businesses including small targeted
group businesses and small businesses located in an economically disadvantaged area.

new text begin (b) For purposes of this section, "office" means the Office of Business Information
and Professional Services.
new text end

Subd. 2.

Duties.

The deleted text beginbureaudeleted text endnew text begin officenew text end shall:

deleted text begin (a)deleted text end new text begin(1) new text endprovide information and assistance with respect to all aspects of business
planning and business management related to the start-up, operation, or expansion of
a small business in Minnesota;

deleted text begin (b)deleted text end new text begin(2) new text endrefer persons interested in the start-up, operation, or expansion of a small
business in Minnesota to assistance programs sponsored by federal agencies, state
agencies, educational institutions, chambers of commerce, civic organizations, community
development groups, private industry associations, and other organizations or to the
business assistance referral system established by the deleted text beginMinnesota Project Outreach
Corporation
deleted text endnew text begin Office of Entrepreneurship and Small Business Developmentnew text end;

deleted text begin (c)deleted text end new text begin(3) new text endplan, develop, and implement a master file of information on small business
assistance programs of federal, state, and local governments, and other public and private
organizations so as to provide comprehensive, timely information to the deleted text beginbureau'sdeleted text end new text beginoffice's
new text endclients;

deleted text begin (d)deleted text end new text begin(4) new text endemploy staff with adequate and appropriate skills and education and training
for the delivery of information and assistance;

deleted text begin (e)deleted text end new text begin(5) new text endseek out and utilize, to the extent practicable, contributed expertise and
services of federal, state, and local governments, educational institutions, and other public
and private organizations;

deleted text begin (f)deleted text end new text begin(6) new text endmaintain a close and continued relationship with the director of the
procurement program within the Department of Administration so as to facilitate the
department's duties and responsibilities under sections 16C.16 to 16C.19 relating to the
small targeted group business and economically disadvantaged business program of the
state;

deleted text begin (g)deleted text end new text begin(7) new text enddevelop an information system which will enable the commissioner and other
state agencies to efficiently store, retrieve, analyze, and exchange data regarding small
business development and growth in the state. All executive branch agencies of state
government and the secretary of state shall to the extent practicable, assist the deleted text beginbureaudeleted text endnew text begin
office
new text end in the development and implementation of the information system;

deleted text begin (h)deleted text end new text begin(8) new text endestablish and maintain a toll free telephone number so that all small business
persons anywhere in the state can call the deleted text beginbureaudeleted text end office for assistance. An outreach
program shall be established to make the existence of the deleted text beginbureaudeleted text endnew text begin officenew text end well known to its
potential clientele throughout the state. If the small business person requires a referral
to another provider the deleted text beginbureaudeleted text endnew text begin officenew text end may use the business assistance referral system
established by the deleted text beginMinnesota Project Outreach Corporationdeleted text endnew text begin Office of Entrepreneurship
and Small Business Development
new text end;

deleted text begin (i)deleted text end new text begin(9) new text endconduct research and provide data as required by the state legislature;

deleted text begin (j)deleted text end new text begin(10) new text enddevelop and publish material on all aspects of the start-up, operation, or
expansion of a small business in Minnesota;

deleted text begin (k)deleted text end new text begin(11) new text endcollect and disseminate information on state procurement opportunities,
including information on the procurement process;new text begin and
new text end

deleted text begin (l)deleted text end new text begin(12) new text enddevelop a public awareness program through the use of newsletters, personal
contacts, and electronic and print news media advertising about state assistance programs
for small businesses, including those programs specifically for socially disadvantaged
small business personsdeleted text begin;deleted text endnew text begin.
new text end

deleted text begin (m) enter into agreements with the federal government and other public and private
entities to serve as the statewide coordinator or host agency for the federal small business
development center program under United States Code, title 15, section 648; and
deleted text end

deleted text begin (n) assist providers in the evaluation of their programs and the assessment of
their service area needs. The bureau may establish model evaluation techniques and
performance standards for providers to use.
deleted text end

Subd. 5.

Advisory board meetings.

(a) If compliance with section 13D.02 is
impractical, the Small Business Development Center Advisory Board, created pursuant
to United States Code, title 15, section 648, may conduct a meeting of its members by
telephone or other electronic means so long as the following conditions are met:

(1) all members of the board participating in the meeting, wherever their physical
location, can hear one another and can hear all discussion and testimony;

(2) members of the public present at the regular meeting location of the board can
hear clearly all discussion and testimony and all votes of members of the board and, if
needed, receive those services required by sections 15.44 and 15.441;

(3) at least one member of the board is physically present at the regular meeting
location; and

(4) all votes are conducted by roll call, so each member's vote on each issue can be
identified and recorded.

(b) Each member of the board participating in a meeting by telephone or other
electronic means is considered present at the meeting for purposes of determining a
quorum and participating in all proceedings.

(c) If telephone or other electronic means is used to conduct a meeting, the board,
to the extent practical, shall allow a person to monitor the meeting electronically from a
remote location. The board may require the person making such a connection to pay for
documented marginal costs that the board incurs as a result of the additional connection.

(d) If telephone or other electronic means is used to conduct a regular, special, or
emergency meeting, the board shall provide notice of the regular meeting location, of the
fact that some members may participate by telephone or other electronic means, and of
the provisions of paragraph (c). The timing and method of providing notice is governed
by section 13D.04.

Sec. 6.

new text begin [116J.8749] SMALL BUSINESS PRODUCT DEVELOPMENT
PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Establishment. new text end

new text begin The commissioner of employment and economic
development shall implement a small business product development program to assist
entrepreneurs and businesses in demonstrating the feasibility of a technology or
completing new product development, leading to the commercialization of new products
though industry and research partnerships.
new text end

new text begin Subd. 2. new text end

new text begin Awards. new text end

new text begin Funds shall be awarded to entities that conduct research who
agree to provide these services to a specific business or entrepreneur.
new text end

new text begin Subd. 3. new text end

new text begin Application. new text end

new text begin Applications must be coauthored by the business
or entrepreneur and must demonstrate commercial potential and time frames for
commercialization. Applications must be approved through an internal review committee
within the research institution to assess the technology and business plan prior to official
submission to the state entity.
new text end

new text begin Subd. 4. new text end

new text begin Eligibility. new text end

new text begin (a) Eligible institutions include, but are not limited to, all
Minnesota-based two- and four-year colleges and universities and other publicly funded
research organizations.
new text end

new text begin (b) Eligible businesses must be Minnesota-based with either headquarters or a
majority of operations in the state. If relocating, businesses must set up headquarters or
have a majority of its operations in the state within one year of award.
new text end

new text begin Subd. 5. new text end

new text begin Review board. new text end

new text begin The Department of Employment and Economic
Development will assemble a technical and business review board to evaluate the
applications.
new text end

new text begin Subd. 6. new text end

new text begin Limitations. new text end

new text begin Funds used for a single business may not exceed $25,000
per calendar year and must be matched dollar-for-dollar by the business with additional
cash or in-kind contributions. Up to 50 percent of the awards may be made to small
businesses that receive federal funding for research. Funds expended prior to the start of
the award will not be considered as match.
new text end

new text begin Subd. 7. new text end

new text begin Rules. new text end

new text begin The commissioner shall adopt rules for eligibility and other details
of the small business product development program, using the expedited process under
section 14.389.
new text end

Sec. 7.

new text begin [116J.9805] MAIN STREET REVITALIZATION GRANT PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Grants. new text end

new text begin (a) The Main Street revitalization grant program is created
to provide grants to eligible communities to increase business creation, promote business
retention, or make general, viable, economic improvements to eligible communities or
business districts within an eligible community.
new text end

new text begin (b) Eligible activities include, but are not limited to, rehabilitation, new construction,
demolition of buildings, financing for public infrastructure that benefits the business
district, the installation of new technology or equipment for business to either remain
or be more competitive.
new text end

new text begin (c) The Department of Employment and Economic Development shall administer
funds appropriated for the Main Street revitalization grant program as required under
section 116J.980.
new text end

new text begin Subd. 2. new text end

new text begin Eligibility. new text end

new text begin Targeted rural opportunity communities as defined in section
116J.03, subdivision 4, are eligible for a grant under this section. An application to
the small cities development program will be considered as an application to the Main
Street revitalization grant program if all other eligibility requirements for the Main Street
revitalization grant program are met.
new text end

new text begin Subd. 3. new text end

new text begin Application process. new text end

new text begin The commissioner shall award grants to eligible
communities based on an evaluation of economic and business-related needs, using
the same competitive application criteria, exclusive of the HUD federal objective
requirements, developed for the small cities development program. Funds shall be
disbursed to eligible communities according to the procedures used by the small cities
development program.
new text end

new text begin Subd. 4. new text end

new text begin Limitations. new text end

new text begin A grant may not exceed $600,000 per activity per eligible
applicant.
new text end

new text begin Subd. 5. new text end

new text begin Local match requirement. new text end

new text begin A local match shall be required for each grant
awarded, with preference given to projects that leverage private investment or nonstate
funding resources and do not use federal funds as a match.
new text end

new text begin Subd. 6. new text end

new text begin Carryforward. new text end

new text begin Any funds not allocated, obligated, or expended in a fiscal
year shall be available for allocation, obligation, or expenditure in the following fiscal year.
new text end

Sec. 8.

new text begin [116J.9825] COMMUNITY LEADERSHIP AND PLANNING
PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Establishment. new text end

new text begin The commissioner of employment and economic
development shall establish the community leadership and planning program to award
grants to qualified organizations to support leadership development and planning.
new text end

new text begin Subd. 2. new text end

new text begin Eligibility. new text end

new text begin Grants are only available to targeted rural opportunity
communities, as defined in section 116J.03, subdivision 4.
new text end

new text begin Subd. 3. new text end

new text begin Grants; limits. new text end

new text begin Grants must be awarded to organizations that have
demonstrated experience in implementing community leadership and planning programs.
Priority must be given to projects which will provide the intended services in rural
communities that otherwise would not have access to them. A grant must not exceed
$50,000.
new text end

new text begin Subd. 4. new text end

new text begin Use of funds. new text end

new text begin (a) Grants must be used for programs that:
new text end

new text begin (1) help rural community members increase members' leadership skills to address
community issues and needs;
new text end

new text begin (2) assist in evaluation of community assets, needs, and priorities;
new text end

new text begin (3) support an understanding of the community's place in the regional economy and
appropriate plans based on that understanding; and
new text end

new text begin (4) develop action plans that the communities can use for future growth and
improvement.
new text end

new text begin (b) The commissioner may award a portion of the funds for projects intended
for participation by multiple communities to facilitate leadership and planning among
communities with similar issues and regional interaction.
new text end

new text begin Subd. 5. new text end

new text begin Matching funds. new text end

new text begin The commissioner shall require that when state funds are
awarded, the grants must be matched by at least an equal amount of nonstate funds.
new text end

new text begin Subd. 6. new text end

new text begin Report required. new text end

new text begin The commissioner of employment and economic
development must report to the chairs and ranking minority members of the legislative
committees with jurisdiction over economic development policy and finance, by
September 1, 2009, on the first grant awards, the outcomes, and recommendations,
including any draft legislation, for improvement in the program.
new text end

new text begin Subd. 7. new text end

new text begin Rules. new text end

new text begin The commissioner shall adopt rules for eligibility, use of funds,
and other details of the community leadership and planning program using the expedited
process under section 14.389.
new text end

Sec. 9.

Minnesota Statutes 2006, section 116L.02, is amended to read:


116L.02 JOB SKILLS PARTNERSHIP PROGRAM.

(a) The Minnesota Job Skills Partnership program is created to act as a catalyst to
bring together employers with specific training needs with educational or other nonprofit
institutions which can design programs to fill those needs. The partnership shall work
closely with employers to prepare, train and place prospective or incumbent workers in
identifiable positions as well as assisting educational or other nonprofit institutions in
developing training programs that coincide with current and future employer requirements.
The partnership shall provide grants to educational or other nonprofit institutions for
the purpose of training workers. A participating business must match the grant-in-aid
made by the Minnesota Job Skills Partnership. The match may be in the form of funding,
equipment, or faculty.

(b) The partnership program shall administer the health care and human services
worker training and retention program under sections 116L.10 to 116L.15.

(c) The partnership program is authorized to use funds to pay for training for
individuals who have incomes at or below 200 percent of the federal poverty line.
The board may grant funds to eligible recipients to pay for board-certified training.
Eligible recipients of grants may include public, private, or nonprofit entities that provide
employment services to low-income individuals.

new text begin (d) The partnership program shall administer the rural workforce innovation grant
program under section 116L.175.
new text end

Sec. 10.

new text begin [116L.175] RURAL WORKFORCE INNOVATION GRANTS.
new text end

new text begin Subdivision 1. new text end

new text begin Purpose. new text end

new text begin The rural workforce innovation grant program is created to
promote incumbent worker training at small businesses in rural Minnesota. This program
and the related grants and training will assist small businesses in increasing employee skill
development, worker productivity, and overall job security for trained workers.
new text end

new text begin Subd. 2. new text end

new text begin Definitions. new text end

new text begin (a) for the purposes of this section, the following terms have
the meanings given them.
new text end

new text begin (b) "Incumbent worker" means an individual employed by a qualifying employer,
who is paid by that employer for at least 20 hours per week.
new text end

new text begin (c) "Qualifying employer" means a for-profit business or nonprofit organization
located in a targeted rural opportunity community as defined in section 116J.03,
subdivision 4, with at least one but no more than 50 full-time paid employees. Public
sector organizations are not considered qualifying employers.
new text end

new text begin (d) "Direct training services" are services provided by an accredited educational
program or institution. These services include, but are not limited to, occupational skills
training, customized training, entrepreneurial training, on-the-job training, and other
training that results in an industry-recognized credential.
new text end

new text begin Subd. 3. new text end

new text begin Grants. new text end

new text begin At the beginning of each fiscal year, the board shall make initial
grants to any number of local workforce investment boards using a competitive process.
The board shall spend at least 75 percent of its annual appropriation on these initial
grants. Following the initial allocation, the board may make subsequent grants at the
request of local workforce investment boards. The board shall make all grants based on
demonstrated need, likely impact, and other criteria as necessary.
new text end

new text begin Subd. 4. new text end

new text begin Use of funds. new text end

new text begin Local workforce investment boards shall use funds granted
under this section for direct training services at qualifying employers, to provide a
measurable increase in the job-related skills of participating incumbent workers. Local
workforce investment boards may also use funds to provide basic assessment, counseling,
and preemployment training services requested by the qualifying employer. No funds
may be used for support services as described in section 116L.17, subdivision 4, clause
(2). No funds may be used to pay or supplement the wages of a qualifying employer's
employees. No qualifying employer shall receive more than $50,000 per year for activities
under this section.
new text end

new text begin Subd. 5. new text end

new text begin Administrative costs. new text end

new text begin The board may spend, and allow local workforce
investment boards to spend, funds for administrative costs. The limits on these costs shall
be consistent with those established for other programs under the authority of the board.
new text end

new text begin Subd. 6. new text end

new text begin Matching funds requirement. new text end

new text begin The board may establish statewide
matching requirements for qualifying employers. Those requirements may include any or
all of the following: funding, equipment, or faculty. The board shall consult with local
workforce investment boards in establishing any statewide matching requirements.
new text end

new text begin Subd. 7. new text end

new text begin Accountability and performance measures. new text end

new text begin The board and the
commissioner of employment and economic development shall jointly develop
performance outcome measures and standards for this program. The commissioner
and the board shall consult with local workforce investment boards in establishing
standards. Measures, at a minimum, shall include posttraining retention, promotion, and
wage increase. The board and commissioner shall provide a report to the chairs and
ranking minority members of the legislative committees with jurisdiction over economic
development policy and finance each year regarding the previous fiscal year's program
performance. Local workforce investment boards shall provide all necessary data in a
timely manner for the completion of this report, as well as any interim reports required
by the board.
new text end

Sec. 11. new text beginSMALL BUSINESS DEVELOPMENT CENTERS.
new text end

new text begin $....... is appropriated in fiscal year 2009 to the commissioner of employment and
economic development for expansion of the services provided to small businesses by the
small business development centers established under Minnesota Statutes, section 116J.66.
This appropriation is added to the department's budget base and is available until expended.
new text end

Sec. 12. new text beginENTREPRENEURIAL NETWORK.
new text end

new text begin $....... is appropriated in fiscal year 2009 to the commissioner of employment and
economic development for development of a network to support increased entrepreneurial
opportunities including, but not limited to, readiness assessment and services for potential
rural entrepreneurs through Minnesota's workforce center system, programs linking
aspiring entrepreneurs with qualified mentors, and electronic and other communications
means to certify and bring available services to potential entrepreneurs. This appropriation
is added to the department's budget base and is available until expended.
new text end

Sec. 13. new text beginOFFICE OF TECHNOLOGY AND COMMERCIALIZATION.
new text end

new text begin $....... is appropriated in fiscal year 2009 to the commissioner of employment and
economic development for operation of the Office of Technology and Commercialization
established under Minnesota Statutes, section 116J.656. This appropriation is added to the
department's budget base and is available until expended.
new text end

Sec. 14. new text beginMANUFACTURING EXTENSION GRANTS.
new text end

new text begin $....... is appropriated in fiscal year 2009 to the commissioner of employment and
economic development for grants to organizations initiating or continuing programs to
assist rural small manufacturing businesses in implementing technology and business
improvements that increase the competitiveness of those businesses. The application
process will reference similar measures as the growth acceleration program and be
established by the commissioner. The grants are open to all qualified organizations as
defined by the commissioner through solicitation. This is a onetime appropriation and is
available until expended.
new text end

Sec. 15. new text beginMINNESOTA TRADE OFFICE EXPORT SERVICES.
new text end

new text begin $....... is appropriated in fiscal year 2009 to the commissioner of employment and
economic development for the Minnesota Trade Office to increase export services in
greater Minnesota. This appropriation is added to the department's budget base and is
available until expended.
new text end

Sec. 16. new text beginMINNESOTA RURAL ENTERPRISE MICROLOAN PROGRAM.
new text end

new text begin $....... is appropriated in fiscal year 2009 to the commissioner of employment and
economic development for the Minnesota rural enterprise microloan program established
under Minnesota Statutes, section 116J.432. This is a onetime appropriation and is
available until expended.
new text end

Sec. 17. new text beginMINNESOTA INITIATIVE FOUNDATIONS.
new text end

new text begin $....... is appropriated in fiscal year 2009 to the commissioner of employment and
economic development for grants to the six regional initiative fund foundations established
under Minnesota Statutes, section 116J.871, as regional organizations, to expand their
ability to provide loans to small businesses. The grants must be matched by new private
funds. This is a onetime appropriation and is available until expended.
new text end

Sec. 18. new text beginSMALL BUSINESS PRODUCT DEVELOPMENT PROGRAM.
new text end

new text begin $....... is appropriated in fiscal year 2009 to the commissioner of employment and
economic development for small business development program grants under Minnesota
Statutes, section 116J.8749. This appropriation is added to the department's budget base
and is available until expended.
new text end

Sec. 19. new text beginMINNESOTA INVESTMENT FUND.
new text end

new text begin $....... is appropriated in fiscal year 2009 to the commissioner of employment and
economic development for the Minnesota investment fund under Minnesota Statutes,
section 116J.873. Awards made under this appropriation may include businesses that
increase productivity, increase research and product development, and modernize
technology. Priority shall be given to targeted rural opportunity communities as defined
in Minnesota Statutes, section 116J.03, subdivision 4. This is a onetime appropriation
and is available until expended.
new text end

Sec. 20. new text beginJOB SKILLS PARTNERSHIP GRANTS.
new text end

new text begin $....... is appropriated in fiscal year 2009 to the Minnesota Job Skills Partnership
Board for strategic entrepreneurial economic development training program grants. This
appropriation is added to the department's budget base and is available until expended.
new text end

Sec. 21. new text beginCOMMUNITY LEADERSHIP AND PLANNING.
new text end

new text begin $....... is appropriated in fiscal year 2009 to the commissioner of employment
and economic development for the community leadership and planning program. This
appropriation is added to the department's budget base and is available until expended.
new text end

Sec. 22. new text beginSTREAMLINE INFRASTRUCTURE FINANCING.
new text end

new text begin $....... is appropriated in fiscal year 2009 to the Public Facilities Authority for the
development of legal documents and for staff consultant costs necessary and reasonable
to develop the pooled bond program under Minnesota Statutes, sections 446A.086 and
446A.087, including the cost associated with developing legal documents and application
forms, and negotiating underwriting criteria necessary to obtain bond ratings for the
program.
new text end

Sec. 23. new text beginMAIN STREET REVITALIZATION GRANT PROGRAM.
new text end

new text begin $....... is appropriated in fiscal year 2009 to the commissioner of employment and
economic development for the Main Street revitalization grant program to increase
business creation, to promote business retention, or for general economic vitality
improvements. This amount shall be added to the department's budget base and is
available until expended.
new text end

Sec. 24. new text beginWEB-BASED MARKETING SYSTEM.
new text end

new text begin $....... is appropriated in fiscal year 2009 to the commissioner of employment and
economic development to develop and implement a new Web-based community and
property profile system. This appropriation is available until expended.
new text end

Sec. 25. new text beginMARKETING RURAL MINNESOTA.
new text end

new text begin $....... is appropriated in fiscal year 2009 to the commissioner of employment and
economic development for expenses associated with marketing the state of Minnesota
to attract new business development opportunities. These funds must be used to attract
industries in which the commissioner determines that Minnesota has a current or potential
competitive advantage, including renewable energy and other industries with strengths
and opportunities to grow additional businesses and jobs. State funds awarded to the
department must be matched by nonstate sources. The appropriation is available until
expended.
new text end

Sec. 26. new text beginLABOR MARKET INFORMATION ENHANCEMENTS.
new text end

new text begin $....... is appropriated in fiscal year 2009 to the commissioner of employment and
economic development for business surveys to determine benefit and vacancy levels on
an occupational and regional basis, and to improve accessibility of economic and labor
market information data collected by the Department of Employment and Economic
Development through the Internet. This appropriation is added to the department's budget
base and is available until expended.
new text end

Sec. 27. new text beginEFFECTIVE DATE.
new text end

new text begin Sections 1 to 26 are effective the day following final enactment.
new text end