Minnesota Business Developments

by Rhonda Mix - rhonda.mix@state.mn.us
January 2009

Northern

The Bois Forte Band of Chippewa plans to build a $10 million community and government services center this year at Nett Lake. Geothermal or solar technologies will be used in the new center in order to be energy efficient. Minnesota Power plans to acquire a 456-mile direct-current transmission line between Center, N.D., and Hermantown. The $80 million purchase will provide for the transmission of wind-generated electricity, produced in North Dakota and western Minnesota, to its more than 141,000 customers in northern Minnesota.

Central

Great River Energy, a Minnesota-based, not-for-profit generation and transmission cooperative, is building a peaking power plant on its Elk River campus. The $105 million project is slated for completion in June 2009. With a capacity to produce 175 megawatts of electricity, the peaking power plant will be operated during times of peak electrical demand, which usually occurs when outdoor temperatures are very high or very low.

Twin Cities Metro

Minneapolis-based Allina Hospitals & Clinics is in the midst of a $3.3 million expansion to its Cottage Grove clinic. The project will add an additional 11,000 square feet to its current 26,500-square-foot clinic. Plymouth-based Timco Construction Co. is the general contractor for the expansion.

The U.S. Department of Energy awarded a $5 billion contract to Honeywell International Inc. to bring about energy-efficiency, renewable-energy, and water-conservation projects at federally owned buildings. Golden Valley-based Honeywell Building Solutions will perform the work related to this contract.

Rolls-Royce awarded Edina-based Alliant Techsystems Inc. a $200 million contract to produce composite fan cases for a new Rolls-Royce aircraft engine, the Trent XWB. Alliant Techsystems, an aerospace and defense company, plans to deliver its first fan case to Rolls-Royce in late 2009.

Minnesota-based Jacobs Trading Co. is moving its headquarters and warehouse operations from two locations in Plymouth to a single facility in Hopkins that will increase their square footage to 275,000. Jacobs Trading, a wholesaler of returned, overstocked, and damaged retail goods, has experienced a boom in business during the economic downturn. Jacobs Trading has 10 locations throughout the country.

Minnetonka-based Michael Foods Inc. plans to move its Minneapolis manufacturing plant to a bigger facility in Chaska. Michael Foods purchased the Chaska building for $8.55 million. The Chaska plant will prepare and package potatoes under the Simply Potatoes brand.

Southern

The Minnesota Department of Employment and Economic Development (DEED) awarded grants totaling $448,000 for community infrastructure projects in Cannon Falls and Lakefield, positioning these cities for business growth and expansion. Cannon Falls received $250,000 for infrastructure improvements at an industrial park where Benchmark Ag LLC plans to build a soybean processing facility that makes animal feed and a biodiesel additive. The company expects to create at least 16 full-time jobs because of the project. Lakefield was awarded $198,000 for infrastructure related to a new fire-sprinkler system that is being installed as part of an expansion at Hussong Manufacturing/Kozy Heat. The DEED funding will fix a problem with inadequate water pressure. The company, which produces gas and electric fireplaces and corn/pellet burners, plans to spend $1 million in an expansion that will create 10 jobs.