Minnesota Forward Fund

Program Information

Program Purposes

The Minnesota Forward Fund has the following purposes:

• Create and retain permanent private-sector jobs in order to create above-average economic growth consistent with environmental protection
• Stimulate or leverage private investment to ensure economic renewal and competitiveness
• Increase the local tax base, based on demonstrated measurable outcomes, to guarantee a diversified industry mix
• Improve the quality of existing jobs, based on increases in wages or improvements in the job duties, training, or education associated with those jobs
• Improve employment and economic opportunity for residents in the region to create a reasonable standard of living, consistent with federal and state guidelines on low to moderate income persons
• Stimulate productivity growth through improved manufacturing or new technologies
• Match or leverage private or public funding to increase investment and opportunity in the state

Program Uses

The Minnesota Forward Fund can be used to:

• Provide grants and loans to businesses that are making large private capital investments in new and existing industries
• Make grants to communities and higher education institutions to support such capital investments and related activities to support new and existing industries
• Address capital needs of businesses for machinery and equipment purchases, building construction and remodeling, land development, infrastructure, and working capital

Program Appropriation

The 2023 Minnesota Legislature appropriated $400 million to the Minnesota Forward Fund.  Of that amount:

• $50 million is to provide businesses with matching funds required by federal programs
• $100 million is to match existing federal funds made available in the Consolidated Appropriations Act, Public Law 117-328, to be used to:
  • Construct and operate a bio-industrial manufacturing pilot innovation facility, biorefinery, or commercial campus utilizing agricultural feedstocks
  • Develop a Minnesota aerospace center for research, development, and testing
• $250 million is to match federal funds made available in the Chips and Science Act, Public Law 117-167
  • Up to 15% of a total project cost, with maximum total project cost of $75 million per project, may be matched for a CHIPS Act project
• DEED may transfer amounts between these three appropriations

Program Limits

• Individual business expansion projects are limited to no more than $15 million in Minnesota Forward Fund grants and loans combined
• Total funding per business from the Minnesota Forward Fund is limited to $15 million, of which no more than $10 million may be grants
• DEED is not precluded from using also other funding sources, such as the Minnesota Investment Fund or the Job Creation Fund, to facilitate a project

Program Administration

• Eligible applicants need to submit an application; see the Apply Tab
• Applications by a business need to include a resolution of support for the project from the municipality or local unit of government in which the project is located
• Grant and loan agreements under the Minnesota Forward Fund may not exceed more than ten years

For More Information

For questions, contact Chinwe Ngwu, 651-259-7456 or chinwe.ngwu@state.mn.us.

Apply

Businesses apply for Minnesota Forward Fund assistance with DEED. Applications are accepted on a year-round basis, subject to funds availability. There are three different applications:

• Minnesota Forward Fund Application PDF (general)
• Minnesota Forward Fund and Consolidated Appropriations Act Application PDF (bio-industry and aerospace projects with CAA funding)
• Minnesota Forward Fund CHIPS Act Application PDF (semiconductor chip)