This bill establishes a biennial budget for the Department of Employment and Economic Development and Explore Minnesota for fiscal years 2026 and 2027, with significant funding allocations aimed at enhancing economic development and addressing the child care shortage in the state. Key appropriations include $350,000 for the energy transition office, $500,000 for small business development centers, and $8 million for the Minnesota job creation fund. The bill also allocates $6.5 million annually for grants to local communities to improve quality child care, with a requirement that 50% of these funds be directed to areas outside the seven-county metropolitan region. Additionally, it introduces new legal language to clarify appropriations and their availability, ensuring that if an appropriation is enacted multiple times, it will only be effective once.

Furthermore, the bill outlines new roles for business services representatives within the Employment and Training Office, who will engage with local businesses and job seekers. It also includes various funding initiatives, such as $100 million for bioindustrial manufacturing and aerospace research, and $240 million to match federal funds from the Chips and Science Act. The bill emphasizes support for minority and LGBTQ+-owned businesses through targeted grants and establishes a new "Minnesota expanding opportunity account" to facilitate capital and lending activities for small businesses. Additionally, it amends existing statutes regarding parking revenue and eligible economic development projects, expanding the definition of eligible projects to include agricultural processing. The effective date for many provisions is retroactively set to July 1, 2023, ensuring timely implementation of the appropriations.

Statutes affected:
Introduction: 116J.8752, 116L.04, 116L.98, 116J.8733, 469.54, 116J.431