Wednesday, May 22, 2024
HomeMinnesota Breaking NewsMinnesota spends $5.4M to support 8 businesses’ facility expansions

Minnesota spends $5.4M to support 8 businesses’ facility expansions

(The Center Square) – Minnesota will spend $5.4 million on business projects that are anticipated to create more than 337 jobs, the Minnesota Department of Employment and Economic Development announced Tuesday.

DEED announced it awarded eight businesses with funding through the Minnesota Job Creation Fund and the Minnesota Investment Fund.

Temporary DEED Commissioner Kevin McKinnon said in the department’s news release that the funds are crucial for the success of business expansion in the North Star State.

“The funding announced today will support expansion that further grows Minnesota’s economy and makes way for future economic growth as well,” McKinnon said.

The Job Creation Fund provides financial incentives to new and expanding businesses that meet certain job creation and capital investment targets, the release said. 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. Certain companies may receive up to $2 million in awards.

The Minnesota Investment Fund helps 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. Local units of government receive the funding and provide loans to assist expanding businesses.

The companies that received at least $500,000 through the Job Creation Fund were Clow Stamping Company, which provides metal stampings to equipment manufacturers; cold weather accessories manufacturer Gordini USA; and radiopharmaceuticals technology company Nucleus Labs, which does business as Nucleus RadioPharma.

Clow Stamping Company in Merrifield received $840,000 through the Job Creation Fund and $450,000 through the Minnesota Investment Fund to expand its facility by 100,000 square feet. The company plans to spend $18.9 million on the project and create 65 jobs over the next two years. The jobs would have an average wage of $17.50, plus benefits.

Gordini USA in North Mankato will use $800,000 from the Job Creation Fund and $210,000 from the Minnesota Investment Fund to construct a 120,000 square foot distribution center, which has a total project cost of $12.9 million. The company expects the project will create 60 jobs within the first five years with an average wage of $19.82.

The state’s providing Nucleus RadioPharma, which is in Rochester, with $500,000 through the Job Creation Fund and $220,00 through the Minnesota Investment Fund. The company, which ensures access to potentially life-saving radiopharmaceuticals by developing technologies to modernize the clinical development, manufacturing, and supply chain for the fight against cancer, aims to finish about 6,500 square feet of laboratory and manufacturing at its facility and add an additional 3,500 square feet of office space. The total project cost is $5 million. The company’s supposed to create 28 jobs within the first two years at an average wage of $62.95.

The other recipients were the following:

  • Advanced Interconnect Technologies, St. Cloud – JCF $341,500, MIF $125,000
  • Altoz., Red Lake Falls – MIF $420,000
  • Massman Companies., Alexandria – JCF $175,000, MIF $150,000
  • Nextern Inc., Maple Grove – JCF $450,000, MIF $600,000
  • SCR Solutions Inc., Fergus Falls – JCF $160,000
RELATED ARTICLES

Most Popular

Recent Comments