Official Article can be found here: https://www.mnsenaterepublicans.com/nelsons-rural-economic-development-grant-bill-receives-jobs-committee-hearing/

Nelson’s rural economic development grant bill receives Jobs Committee hearing

March 17, 2023

Minnesota State Senator Carla Nelson (R-Rochester) presented an economic development bill for small cities to the Senate Jobs and Economic Development Committee on Monday. Senate File 2185 would provide a one-time grant of $627,000 to Community and Economic Development Associates (CEDA) for economic development grants to small communities across rural Minnesota. The grant will enable CEDA to design, implement, market, and administer basic community and economic development programs tailored to individual community needs.

“Small communities in rural Minnesota often lack the economy of scale to have the dedicated expertise needed to drive economic development,” Nelson said. “The budgets for small cities and townships are often notoriously constrained, preventing officials from accessing support for economic development opportunities. CEDA has a proven track record of helping Minnesota small communities drive economic development. This funding will allow CEDA to continue supporting economic growth in rural Minnesota.”

CEDA is a non-profit organization that works with communities to support local economic development. Grants would be given to communities that otherwise can’t afford to invest in their own economic development, placing them at a competitive disadvantage.

The bill was met with positive comments from the committee and was laid over and will be considered for a larger jobs bill later in session.

PHOTOS AND VIDEO

Watch the bill presentation here.

Photo attachments:

• Photo 1: Senator Nelson listens as Chris Giesen of CEDA speaks on behalf of Senate File 2185. Ron Ziegler of CEDA is seated to her left.
• Photo 2: Senator Nelson listens while Ron Ziegler of CEDA speaks on behalf of Senate File 2185
• Photo 3: Senator Nelson presents Senate File 2185

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By Joshua Schuetz

In February, CEDA and Compeer Financial, a Farm Credit cooperative based in the upper Midwest, announced a new partnership aimed at bringing vitality to rural communities.

Compeer Financial plans to perform exploratory work to learn about the needs of rural communities and implement pilot projects in two communities in Compeer’s territory, which encompasses 144 counties in Illinois, Minnesota, and Wisconsin. Compeer and CEDA will work together on information sharing and pilot program execution.

“Our work is centered on the belief that rural communities are full of innovation and inspiration,” said Courtney Bergey Swanson, vice president of development and collaborative services at CEDA. “We aim to work alongside these communities to help catalyze positive momentum. That means building relationships and trust, understanding their needs, and working together toward their goals.”

CEDA’s Rural Business Innovation Lab is an example of how the partnership will allow both CEDA and Compeer to serve rural businesses. The program provides support for entrepreneurs who might be geographically isolated from some of the resources that are helpful to businesses and startups, incorporating business consultation, peer-to-peer networking, and problem- solving.

“We’re the boots on the ground in rural America. We’re in conversations with people every day. We know what entrepreneurs need, and being specialists in our space is going to be critical,” said CEDA team member Robert Harris, who will serve as a consultant for the program. “What’s unique is that a lot of technical assistance programs just point people towards resources, but we will be helping them with hands-on work throughout that process.”

John Monson, chief mission officer at Compeer Financial, said partnering with CEDA will complement the firm’s other efforts to facilitate economic development throughout the cooperative’s service territory.

“Compeer Financial already invests in rural healthcare, entrepreneurs, and education through many of our current programs,” Monson said. “But we know there’s an incredible opportunity to help more communities move from just surviving to fully thriving. CEDA is already pursuing a lot of this important work, and we are ecstatic about this partnership.”

By Joshua Schuetz

Faribault County, situated in southern Minnesota, is taking steps to bridge the digital divide by providing high-speed internet access to its residents. With the help of the Faribault County Economic Development Authority (EDA) and CEDA, the county aims to provide broadband access to 700 households and 100 businesses by the summer of 2023.

The initiative was made possible by a state program funded through the American Rescue Plan Act. The Faribault County EDA and CEDA collaborated to apply for a $2.8 million grant, which CEDA Regional Director Annie Nichols is currently administering. The primary objective of the project is to provide high-speed internet to unserved and underserved areas of the county.

Nichols stated that the most significant challenge during the application process was navigating federal and state guidelines, both of which had to be met for the project to proceed. These guidelines included income restrictions, environmental regulations, and other requirements.

The county selected four communities – Bricelyn, Delavan, Elmore, and Frost – that met the state program’s income restrictions and worked with a local broadband provider to submit an application. In early 2022, the project was put out for bid, with Bevcomm, the county’s primary broadband provider, emerging as the sole applicant. The new connections will provide average speeds of 1000 megabits per second download and 500 megabits per second upload, a significant improvement over the previous 8 megabits per second download and 5 megabits per second upload speeds.

CEDA’s efforts to bring broadband to Faribault County will have a positive impact on telehealth, remote learning, and remote work. With the new infrastructure in place, entire families will be able to use their devices simultaneously for work or school, improving their quality of life. The program has already provided internet access to many underserved areas in the county, making it a significant success.

Nichols acknowledged that the county’s partnership with Bevcomm was critical to the success of the project, as the company already had designs and plans drawn up for it when the county applied for the program.

“We are fortunate to have a family-owned service provider in the community that already has plans to do this, and the plans were ideal for this grant program,” she said. “The project is on track to be completed by July of 2023, and it will have a significant positive impact on the communities that are part of it.”