State touts new business subsidy program

Minnesota's top economic development official is touting new programs to attract businesses to Minnesota.

The programs got funded in the legislative session that ended this week.

Department of Employment and Economic Development Commissioner Katie Clark Sieben said the state now has two programs with a combined $54 million in funding to distribute to businesses as loans or grants.

"This is allowing Minnesota to compete with states like Texas that have a $200 million fund. Michigan that has a $50 million fund. This puts us on a map from an economic development standpoint where site selectors are going to be looking at Minnesota now that we have these tools and helping to introduce companies to Minnesota," Sieben said.

Clark Sieben said these programs could attract more than $1 billion in private investment and lead to the creation of 15,000 jobs.

Critics of such programs say the state should work to ensure a low-cost business environment for all companies and not reward individual firms with subsidies.