This bill establishes a program for construction mitigation grants aimed at supporting businesses affected by construction projects on Arcade Street and East 7th Street in St. Paul. The commissioner of employment and economic development, in collaboration with the commissioner of transportation, is tasked with providing grants to nonprofit corporations and community development financial institutions that will distribute financial assistance to qualified businesses. A "qualified business" is defined as one with no more than 25 employees that experiences significant impacts due to the construction, such as impaired road access or visibility for at least one month. The bill outlines specific criteria for prioritizing grant awards, including revenue decline and traffic disruption.

Additionally, the bill appropriates $2,200,000 from the general fund for these grant awards, with the commissioner allowed to retain up to 2% for administrative costs. A report detailing the grants awarded must be submitted annually by January 15 until the project is completed, providing transparency on the distribution of funds. This initiative aims to mitigate the economic impact of construction on small businesses in the affected areas.