Earlier this week the Department of Employment and Economic Development presented an Agency overview to the Jobs Committees in both the House and the Senate. Of note, DEED stressed the importance of the Minnesota Investment Fund and Job Creation Fund in spurring economic development in the state. Both incentives were stripped from the budget at the end of the 2016 session and are necessary to “position Minnesota to compete to retain and attract companies.”
Job Creation Fund
Minnesota’s Job Creation Fund (JCF) was launches in January of 2014 and since then has invested $33.4M in programs that have leveraged more than $1B in private investment. Of the projects approved in the last 2 years, 7 have been health technology companies
Minnesota Investment Fund
The Minnesota Investment Fund (MIF) was launched in 1985 and since then has incentivized growth in the state by companies representing an eligible industry. Since FY14 71 projects have been approved, of which 11 were health technology companies.
For years, robust financial incentives in other states have been overshadowing talent and quality. The increased budgetary numbers for both funds in 2014 have reignited Minnesota’s competitive edge. In Medical Alley, MIF/JCF made the difference on new headquarters: Smiths Medical, Cardiovascular Systems, Ability Network, Lifecore Biomedical, Prime Therapeutics and Axis Clinicals; and expansions at Beckman Coulter and Millennium Pharmaceuticals. These incentives made the difference in attracting Heraeus Medical Components and the Olympus Surgical Innovation Center to Minnesota. And they helped the breakthrough cell company Stemonix choose to revolutionize personal medicine in Minnesota, not California.
Restoring MIF/JCF to 2014 levels is a legisltive priority for MAA this session.
Check out our letter to the editor from June 2016 supporting MIF and JCF funding: http://www.startribune.com/readers-write-june-6-the-2016-legislature-and-competitiveness-divided-government-compassionate-care-act-minneapolis-development-volunteering-in-the-schools-war-monuments/381828701/