MN: DEED Awards $5.4M for Business Expansion Statewide; Funding Will Create More Than 337 Jobs | Trade and Industry Development

MN: DEED Awards $5.4M for Business Expansion Statewide; Funding Will Create More Than 337 Jobs

May 10, 2023
The Minnesota Department of Employment and Economic Development (DEED) announced $5.4 million in funding for eight businesses through the Minnesota Job Creation Fund (JCF) and the Minnesota Investment Fund (MIF).

The Minnesota Department of Employment and Economic Development (DEED) announced $5.4 million in funding for eight businesses through the Minnesota Job Creation Fund (JCF) and the Minnesota Investment Fund (MIF). The projects are expected to create more than 337 jobs over the next two years.

“The Minnesota Investment Fund and Job Creation Fund are crucial to the success of business expansion in Minnesota,” said Temporary DEED Commissioner Kevin McKinnon. “The funding announced today will support expansion that further grows Minnesota’s economy and makes way for future economic growth as well.”

The Job Creation Fund provides financial incentives to new and expanding businesses that meet certain job creation and capital investment targets. Eligible companies may receive up to $1 million for creating or retaining high-paying jobs and for constructing or renovating facilities or making other property improvements. In some cases, companies may receive awards of up to $2 million.

The Minnesota Investment Fund provides financing to help add new workers and retain high-quality jobs with a focus on industrial, manufacturing, and technology-related industries to increase the local and state tax base and improve Minnesota’s economic vitality. Funds are awarded to local units of government who provide loans to assist expanding businesses.

Details on individual projects below:

Advanced Interconnect Technologies LLC, St. Cloud – JCF $341,500, MIF $125,000

Advanced Interconnect Technologies LLC provides manufacturing services and technical design assistance to the military, defense, commercial air, and space markets with a focus on advanced interconnect and connectivity issues. The proposed project will expand the current facility in St. Cloud by adding 5,000 square feet of manufacturing and warehouse space, with an expected total project cost of $3.8 million. The project expects to create 20 jobs within the first three years at an average wage of $36.82 per hour.

Altoz, Inc., Red Lake Falls – MIF $420,000

Altoz, Inc., parent company Central Boiler Companies, Inc., is a manufacturer of commercial grade zero-turn mowers and outdoor power equipment, and currently the sole manufacturer of a tracked, zero-turn and stand-on mower. The first phase of the proposed project would add an additional 75,000 square feet to the existing facility in Red Lake Falls, and will enable production consolidation, as well as add a shipping/receiving area, assembly line, powder-coat paint system, fabrication department, welding department, warehousing, office space, and a new employee break room. The project is expected to cost $10.3 million and will create 60 new jobs at an average rate of $19.38 per hour.

Clow Stamping Company, Inc., Merrifield – JCF $840,000, MIF $450,000

Clow Stamping Company, Inc. provides metal stampings to recognized major manufacturers in industries including agriculture, recreational vehicles, light and heavy equipment, exercise equipment, and commercial refrigeration. The project will expand their current facility by 100,000 square feet with an expected total project cost of $18.9 million. The project will create 65 jobs over the next two years with an average wage of $17.50 per hour plus benefits.

Gordini USA Inc., North Mankato – JCF $800,000, MIF $210,000

Gordini USA Inc. makes gloves under the Gordini brand and for other labels, as well as base layer, underwear, socks, and other cold weather accessories. The proposed project would construct a new 120,000 square foot distribution center, with a total project cost of $12.9 million. The project expects to create 60 jobs within the first five years with an average wage of $19.82 per hour.

Massman Companies Inc., Alexandria – JCF $175,000, MIF $150,000

Massman Companies is a collection of businesses that manufacture automated packaging equipment. The proposed project would construct a new 73,000 square foot facility that will be used for machine design, assembly, testing, customer demonstrations, product development, engineering, and logistics. The projected cost for the facility is $18.2 million and is expected to create 21 jobs within the first three years, with an average wage of $24.19 per hour.

Nextern Inc., Maple Grove – JCF $450,000, MIF $600,000

Nextern Inc. collaborates with innovators, clinicians, and device partners to create, iterate, optimize and manufacture best-in-class medical devices. The proposed project would consolidate operations currently in four different buildings across the Twin Cities into a new global headquarters space of around 110,000 square feet in Maple Grove. The total project cost is $25 million and is expected to create 75 jobs within the first three years with an average wage of $54.95 per hour.

Nucleus Labs INC, Rochester – JCF $500,000, MIF $220,000

Nucleus Labs INC, doing business as Nucleus RadioPharma, ensures access to potentially life-saving radiopharmaceuticals by developing technologies to modernize the clinical development, manufacturing, and supply chain of this promising new treatment in the fight against cancer. The proposed project will finish approximately 6,500 square feet of laboratory and manufacturing at the current facility, as well as add an additional 3,500 square feet of office space. The total project cost is $5 million and is expected to create 28 jobs within the first two years at an average wage of $62.95 per hour.

SCR Solutions Inc., Fergus Falls – JCF $160,000

SCR Solutions Inc. designs and fabricates high-quality stainless-steel equipment for the food processing industry. The proposed project will add an additional 10,000 square feet to the current facility in Fergus Falls, with a total project cost of $1 million. The project is expected to create eight jobs within the first three years.