This bill establishes a relief program for small businesses in Minnesota that have been negatively impacted by federal enforcement activities between July 1, 2025, and February 28, 2026. The program, overseen by the commissioner of employment and economic development, will provide grants to operators of privately owned permanent indoor spaces that host retail spaces or food markets, have at least 25 tenant businesses with fewer than 20 employees, and emphasize cultural significance. Grants can be up to $250,000 per operator, with specific requirements for subgrants to existing tenants, including using at least 50% of the funds to forgive rent. Eligible businesses must meet criteria such as being at least 50% owned by Minnesota residents and demonstrating a 20% decline in revenue or sales during the specified periods.
Additionally, the bill appropriates $100 million from the general fund for these small business relief grants, with specific allocations for various nonprofit organizations to facilitate the distribution of funds in both greater Minnesota and the seven-county metropolitan area. The commissioner is tasked with developing the grant process, which includes a lottery system for awarding grants, and must submit a report by December 31, 2026, detailing the use of grant funds and their impact on economic development. The appropriation is available until June 30, 2028, and includes stipulations for the distribution of funds to ensure support for smaller businesses.