Governor Releases Broadband and Economic Development Budget and Policy Proposals

January 23, 2023

The Administration’s initial budget proposal includes economic development and broadband provisions supported by the League that will help cities address local economic development needs.

Gov. Tim Walz on Jan. 19 released his proposed two-year economic development budget, which includes $4.1 billion in general fund spending and includes several League priorities to support broadband and local economic development.

Get complete information on the provisions in the budget proposal in the Administration’s fact sheet (pdf)

The House and Senate will be weighing the governor’s proposal against their own priorities in the coming months.

League-supported provisions

The provisions of note that are supported by the League include:

  • $276 million for the Border-to-Border Broadband Development Grant Program.
  • $1 billion to provide payments of $1,500 to frontline workers impacted by the pandemic, including public safety, transportation, and building services workers.
  • Reinstatement of the State Historic Structure Rehabilitation Tax Credit to support construction and economic development in communities across the state.
  • $13 million for the Adult Tech Training Program for BIPOC Minnesotans to advance technology training and address racial gaps in the technology industry.
  • Nearly $85 million in new funding for the Main Street Economic Revitalization Fund to assist communities hit by events of 2020.
  • New funding for the Small Business Navigation Program and $40 million for an Expanding Opportunity Fund to accelerate capital into small businesses.
  • Extension of Angel Investor Tax Credit.
  • Programs to support climate adaptation and resiliency, including $114 million for a State Competitiveness Fund to unlock Infrastructure Improvement and Jobs Act funding and assist rural, tribal, and disadvantaged communities to assist with grant-writing help.

Provisions of interest

Other provisions of note include:

  • $700 million in direct payments to Minnesotans via check up to $350.
  • Paid family and medical leave insurance program and required earned sick and safe time.
  • $30 million over the biennium to support workforce training of the five most critical occupational categories in the state: technology, caring professions, education, manufacturing, and trades.

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