ST. PAUL, MN – Late last night, the Minnesota House of Representatives approved a major conference committee bill that creates good jobs, spurs economic growth, and cuts taxes for Minnesota businesses.
Rep. Jason Isaacson (DFL—Shoreview) voted for the bill. It passed by a vote of 73-59. Pending a Senate vote, the bill is set to be signed into law by Governor Dayton.
The Omnibus Jobs, Commerce & Housing budget bill (HF 729/SF 1057) utilizes proven strategies such as low-interest business loans and job training programs to stimulate economic development and put Minnesotans back to work.
It also includes a provision authored by Rep. Isaacson that creates an employer-based apprenticeship pilot program to equip workers with the skills needed to secure unfilled manufacturing jobs, a problem commonly referred to as the “skills gap.” A diverse coalition of stakeholders supports the program, including the Minnesota Chamber of Commerce, the Department of Labor and Industry (DOLI), and the Minnesota State Colleges and Universities system (MnSCU).
“Taking serious steps to close Minnesota’s skills gap will have a positive impact on our economy,” said Rep. Isaacson. “We can’t afford to let thousands of good-paying manufacturing jobs throughout our state go unfilled. The apprenticeship program in our jobs bill is going to help fix that problem. It’s been one of my top priorities since I took office.”
The jobs bill provides $30 million for the Minnesota Investment Fund (MIF). Those resources allow MIF to provide financial incentives such as low-interest loans to out-of-state businesses thinking of setting up shop in Minnesota as well as in-state businesses thinking of expanding.
In addition, the bill provides $24 million for the Job Creation Fund (JCF), which also provides financial incentives for Minnesota businesses to create jobs. The JCF awards grants to businesses that make a commitment to hire additional employees or make large capital investments. The grants are not paid until businesses meet capital investment and job creation goals.
The jobs bill also includes a massive tax cut for Minnesota businesses. It saves employers a total of $346 million, or $150 per employee for the average business, by reducing the rate paid on unemployment insurance taxes.
Along with the job creation and economic development components, the bill takes serious steps to make sure every Minnesotan has a place to call home.
Funding for the Minnesota Housing Finance Agency (MHFA) in the bill is based off of legislation originally authored by Rep. Isaacson. Under the bill passed by the House last night, MHFA is set to receive $22 million in new funding, the first significant increase in over a decade. The agency is responsible for financing and advancing affordable housing for low- and moderate-income households, helping communities recover from the foreclosure crisis, and preventing and ending homelessness.
“Making an investment on the front-end to solve problems like homelessness saves taxpayers from paying more for back-end costs like public assistance,” said Rep. Isaacson. “When Minnesotans can rely on stable, affordable housing, they are more likely to hold a steady job and pay income taxes into the state coffers instead of relying on public assistance to survive on a daily basis. They’ll also have more money in their pockets to buy goods and services from local businesses. More customers mean economic growth, good jobs, and more revenue for funding priorities like our children’s education.”
Rep. Isaacson encourages his constituents to contact him with questions and comments about the jobs bill or any other issue. He can be reached by phone at (651) 296-7153, by email at rep.jason.isaacson@house.mn, or by postal mail at 545 State Office Building, 100 Rev. Dr. Martin Luther King Jr. Blvd., St. Paul, MN 55155.