Oct. 12 - DEED Awards Funding for Flood Recovery

ST. PAUL – The Minnesota Department of Employment and Economic Development (DEED) has awarded a $150,000 matching grant to the Southern Minnesota Initiative Foundation (SMIF) to help businesses affected by flooding in southern Minnesota last month.

The DEED funds are from the Agricultural and Economic Development Board.

The Owatonna-based foundation will distribute the funding from DEED and other entities in the form of $2,500 grants to businesses affected by the floods that struck the 13-county region on Sept. 22 and 23.

Preliminary assessments put damages at $64.1 million for businesses and homes in the area. Gov. Tim Pawlenty has asked the president to declare the region a disaster area and is expected to call a special session of the Minnesota Legislature to pass a flood relief bill.

“It’s imperative that we help flood-stricken businesses get back on their feet as quickly as possible,” said DEED Commissioner Dan McElroy. “This grant will help businesses with their most pressing needs and speed up the process of recovery for them and their communities.”

Under terms of the DEED award, the funding must be matched dollar-for-dollar with contributions from other entities, people and businesses.

Supporters that have contributed to the business recovery fund so far include SMIF, AgStar Financial Services, the McKnight Foundation, Blandin Foundation, Mayo Clinic, Valley Design, F&M Community Bank, Abdo Publishing and First National Bank of Plainview.

Grants will be available to qualified businesses in the following counties: Blue Earth, Dodge, Faribault, Freeborn, Goodhue, Martin, Mower, Olmsted, Rice, Steele, Wabasha, Waseca and Watonwan.

Guidelines and applications for businesses that want to request funding are available on the foundation’s website at www.smifoundation.org (click on “applications”) or by contacting Diane Lewis at 507-455-3215 or dianel@smifoundation.org.

People can contribute to the business recovery fund by clicking on “donate now” on the SMIF website or by mailing checks to the foundation at P.O. Box 695, Owatonna, MN  55060.

In September 2007, DEED contributed $250,000 to SMIF for a similar program to help businesses recover after flooding in southeastern Minnesota.

The Southern Minnesota Initiative Foundation (SMIF), a donor-supported foundation, invests for economic growth in 20 Minnesota counties. The foundation has provided more than $42 million in grants and loans within the region during the past 24 years. SMIF's key interests include early childhood programs, workforce readiness and economic development with a focus on emerging bioscience and renewable energy businesses. To learn more about SMIF’s work and mission, call 507-455-3215 or visit www.smifoundation.org.

DEED is the state’s principal economic development agency, promoting business recruitment, expansion and retention, workforce development, international trade and community development. For more details about the agency and our services, visit us at www.PositivelyMinnesota.com. Follow us on Twitter at www.twitter.com/PositivelyMN.

Upon request, the information in this news release is available in an alternative format such as Braille, large print, audiotape or computer disk.

Minnesota Department of Employment and Economic Development
Communications Office
Phone 651/259-7161 or 1-800-657-3858 ∙ TTY 1-800-657-3973
www.PositivelyMinnesota.com