(The Center Square) – The Minnesota Department of Employment and Economic Development will give $4.3 million of taxpayer money to five private businesses through the Minnesota Job Creation Fund and the Minnesota Investment Fund.
The state says these projects will create 321 jobs over the next three years and will eventually boost the local tax base.
“In this tight labor market, employers are still hiring and looking to expand their businesses,” DEED Commissioner Steve Grove said in a statement. “The funding announced today will support expansion that helps grow the Minnesota economy for years to come and paves the way for future economic growth.”
At the same time, Minnesota hit a 1.8% unemployment rate.
The Job Creation Fund provides financial incentives to new and expanding businesses that meet specific job creation and capital investment targets. Eligible companies may receive up to $1 million for creating or retaining high-paying jobs, constructing or renovating facilities, or making other property improvements.
All projects also received an award from the Minnesota Investment Fund, which provides loans to companies that create industrial, manufacturing, and technology-related jobs.
ASV Holdings Inc, Grand Rapids – JCF $850,000, MIF $450,000.
ASV is owned by Yanmar America and produces compact construction equipment. This project will expand the Grand Rapids production facility by adding a roughly 60,000-square-foot-high bay warehouse and new production equipment. The total projected expense is just over $9 million.
In addition to DEED funding, this project will be awarded $1.35 million from the Iron Range Resources and Rehabilitation Board.
This project is expected to create hundreds of jobs at all levels over the next few years, with the positions providing an average wage of $21.51 per hour.
Dee Manufacturing, Crookston – JCF $175,000.
Dee Manufacturing is an aluminum foundry and machine shop that produces machined aluminum castings. The project will expand the facility in Crookston, cost $1.6 million, and is estimated to create 30 jobs in the next three years, with an average wage of $19.40 an hour.
KAMP Automation LLC, Owatonna – JCF $800,000, MIF $140,000.
Kamp Automation is a custom automated equipment manufacturer moving from Waseca to Owatonna. The proposed project will build a new 50,000-square-foot facility to house their engineering and administrative staff. The project is expected to cost $6.8 million and create 23 jobs with an average wage of $42.17 an hour over the next two years.
Lakeshirts LLC, Little Falls – MIF $450,000.
Lakeshirts provides apparel in the resort and collegiate markets. It is looking to expand their satellite production facility in Little Falls. This expansion is expected to create 78 new jobs.
Myplas Recycling, Rogers – JCF $450,000, MIF $1 million.
Myplas Recycling recycles flexible plastic films and creates plastic pellets used for manufacturing items. The company is looking to expand to Minnesota by leasing a 170,000-square-foot facility. The project is expected to cost $24 million and create up to 90 jobs within the first year with an average wage of $24.25 an hour.