Rep. John Persell
NEWS RELEASE
Minnesota House of Representatives
FOR IMMEDIATE RELEASE
CONTACT: Matt Privratsky 651-296-6860
April 15, 2013
STATE HOUSE PASSES DFL JOBS PACKAGE THAT INVESTS $46 MILLION
ST. PAUL, MN – The House of Representatives passed a robust jobs package today on a vote of 75 to 57 that invests $46 million in funding that will help grow jobs . The omnibus bill also includes provisions for both the Housing and Commerce Committees. Rep. John Persell (DFL – Bemidji) is happy to see Minnesota investing in jobs and the economy.
“We need to start putting people back to work,” said Rep. Persell. “These investments will help create jobs and support economic development in our communities.”
One of the largest single investments proposed is $20 million to the Minnesota Investment Fund (MIF) which helps companies bring quality jobs to the state delivering funds to Minnesota cities, which can then offer incentives for businesses to come to their area. It also brings $33 in private investment for every $1 it loans out.
Another significant investment will be over $18 million for a job creation fund. These dollars would be allocated to the Department of Employment and Economic Development (DEED) which would then use the fund as a tool to help businesses make capital investments and create jobs in Minnesota.
Other investments include $1.5 million for the Minnesota Trade office to help create business relationships that strengthen Minnesota’s economic output, $5 million for a Fast Trac program that helps train those looking to start and grow their own business, and $2 million in onetime funding for the Minnesota Film and TV Board.
The board would offer incentives and work with production companies to bring TV and movie production to Minnesota. In the past, movies like Mighty Ducks and Fargo were produced in communities across the state, creating economic impact through spending on staff, equipment, housing, property rental, and countless other areas. But Minnesota has fallen behind neighboring states in offering incentives for these productions and has since lost out to places like Michigan and Canada. These funds would help bring those economic benefits back to Minnesota.
Rep. Roger Erickson (DFL – Baudette) has been pushing for investments in jobs for rural areas.
“Believe it or not, our rural areas actually stand a pretty good chance of being used for these movie and film projects,” said Rep. Erickson. “When Hollywood producers can to introduce this program, they told us that movies are constantly looking for places with snow. These were native Minnesotans who desperately wanted to bring their projects to our state and give boosts to our local economies. This Film and TV Board can help our economy.”
In addition funding job creation efforts, the bill includes a substantial tax cut for MN employers. Reducing the rate that employers pay on unemployment insurance taxes will save them almost $350 million in the next couple years. The average MN employer will save $150 per employee.
The bill also seeks to stabilize statewide housing issues by adding investments of $22 million in new ongoing funds for housing programs, the first significant ongoing increase in over a decade. It sets up a pilot program aimed at increased student achievement by increasing the housing stability of highly mobile K-12 students. The bill makes investments in the Department of Human Service to fund housing related programs; including $3 million for homeless youth services and $2 million for trafficked women and youth programs.
Perhaps the most crucial commerce provisions in the bill would add additional money for the Office of Broadband Development. Broadband internet access has been shown to be lacking in rural areas around the state, which can hinder economic development. These new investments will go towards helping rural areas get access to high speed internet that can help local businesses be more efficient and cost effective. Also included were funds for Explore Minnesota Tourism to help promote tourism destination across the state.
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