Purpose of the Bill

The purpose of this bill is to provide financial support for economic development and job retention efforts targeted at small businesses in the cities of St. Paul and West St. Paul, Minnesota.

Main Provisions

• Appropriations for St. Paul: An amount of $3,000,000 is allocated for fiscal year 2026. This money will be used by the city of St. Paul, in collaboration with the West Side Community Organization, to support small businesses with ten or fewer full-time employees.

• Appropriations for West St. Paul: An amount of $2,000,000 is allocated for fiscal year 2026. This is for the city of West St. Paul, in partnership with the Residents of Color Collective, to similarly support small businesses with ten or fewer full-time employees.

How the Funds Can Be Used

• Technical Assistance: Support provided can include technical assistance to help small businesses grow and sustain operations.

• Revolving Loan Funds: Establishment of revolving loan funds to provide ongoing support to businesses.

• Loans and Grants: The funds can be used to issue loans, including no-interest and forgivable loans, as well as grants to help cover operating expenses for eligible small businesses.

Significant Changes to Existing Law

This bill introduces new funding and support frameworks for small businesses in the targeted cities, particularly focusing on aiding those with ten or fewer full-time employees. It emphasizes collaboration with local organizations and introduces mechanisms like revolving loan funds not previously delineated in existing economic development measures.

Relevant Terms

economic development, job retention, small businesses, St. Paul, West St. Paul, technical assistance, revolving loan funds, operating expenses, forgivable loans.