The Minnesota Department of Employment and Economic Development (DEED) has awarded more than $4.37 million in grants to four infrastructure projects in Greater Minnesota. The funding, awarded from DEED’s Greater Minnesota Business Development Public Infrastructure Grant Program (BDPI) and Innovative Business Development Public Infrastructure Program (IBDPI), is expected to support 869 jobs and leverage $255 million in private investment.
“Investing in public infrastructure is investing in the wellbeing and vitality of our communities,” said DEED Commissioner Matt Varilek. “DEED grants help stimulate local economic development, create jobs and support innovative businesses and organizations.”
The BDPI grant program supports communities outside the Twin Cities metropolitan area. The IBDPI grant program supports communities statewide with a specific target of infrastructure for innovative businesses. Under the programs, DEED awards 50% of eligible capital costs for the qualifying public infrastructure projects. These projects include streets, wastewater collection and treatment, drinking water, storm sewers and more.
The following is a breakdown of the latest funding:
Stewartville - $1.055 million
DEED awarded Stewartville $1.055 million in IBDPI funding to assist with constructing streets and public utilities to extend the Schumann Business Park to be used by United Therapeutics. United Therapeutics is a biotech medical company that develops innovative solutions for organ transplantation and pulmonary diseases. The company is initially investing $75 million in a facility, which will create 22 jobs. Long term, the company is planning three additional phases that will create an additional 300 jobs. The total cost of the public infrastructure project is $2.11 million.
Chisago City - $214,270
DEED awarded Chisago City $214,000 in BDPI funding to expand their industrial park. The project will allow space for LEI Packaging, a food packaging manufacturer, and King Kind, a hydroponic cannabis cultivation and edible manufacturing business, to construct new facilities. The infrastructure will also provide space for additional businesses in the future. The city is expecting $70 million in private investment and to create 105 jobs. The total project cost is $463,500.
North Mankato - $1.108 million
DEED awarded North Mankato $1.108 million in BDPI funding to assist with constructing streets and utilities to expand the Northport Industrial Park. The expansion will add 67 acres and seven lots to the park. A warehousing and distribution business is planning an immediate investment of $15 million in a new facility, which will create 75 jobs. The city expects the project to create $28 million in private investment and 150 new jobs. The total project cost is $2.3 million.
Hermantown - $2 million
DEED awarded Hermantown $2 million in BDPI funding to assist with constructing streets and public utilities for a new 35-acre industrial park. The city is estimating the industrial park will attract $82 million in private investment and create 290 jobs, with a total project cost of $4.9 million.