HF2390

Purpose of the Bill

The purpose of this bill is to provide financial support for workforce development in the Southeast Minnesota Workforce Development Area, specifically focusing on Steele County. The bill aims to help people overcome employment barriers, improve job skills, and address local worker shortages.

Main Provisions

• Funding Allocation: The bill allocates a total of $550,000, with $275,000 each year for the fiscal years 2026 and 2027. This funding comes from the workforce development fund.
• Use of Funds: The grant will be utilized by Workforce Development Inc. to offer career planning, pathway training, and support services, notably for high-demand careers.
• Support Services: Funds can cover expenses like hiring instructors, renting space, offering child care, providing transport, and ensuring housing, to facilitate class attendance and training.
• Administrative Costs: Up to 5% of the grant can be used for administrative purposes by Workforce Development Inc.
• One-Time Funding: This appropriation is a one-time allocation and the funds are available until June 30, 2027.

Reporting Requirements

• Annual Reporting: The commissioner of employment and economic development must submit an annual report detailing how the grant is used, including administrative costs. This report needs to be submitted to key legislative committees and the Legislative Reference Library.

Significant Changes to Existing Law

• The bill establishes new appropriations specifically to support workforce development in Steele County, targeting the reduction of employment barriers and enhancing job skills among residents.

Relevant Terms

workforce development, grant, career planning, job skills, employment barriers, high-demand careers, Southeast Minnesota Workforce Development Area, Steele County, Workforce Development Inc., administrative costs, economic development.