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Minnesota Report Spotlights Concerns of State's Manufacturers

March 05, 2004
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The need for tax cuts, reduced and simplified regulations, a well-trained workforce, lower employee health care costs, and a state-sponsored industry advocate are among the top concerns shared by a core group of Minnesota manufacturers.

Those concerns and others are summarized in Positively Minnesota Manufacturing: Making It Great, a report released earlier this year by the state's Department of Employment and Economic Development (DEED). The report is a synopsis of feedback obtained during a series of roundtable meetings convened by Gov. Tim Pawlenty in October 2003. To help manufacturers, DEED identified several key areas that could warrant further consideration:

  • Reforming corporate taxation and sales tax on capital equipment;
  • Working with higher education institutions to build a skilled manufacturing workforce;
  • Examining ways to help contain health care costs; and,
  • Cutting air travel costs for manufacturers.

State manufacturing proponents call for continued support for Minnesota Technology Inc. (MTI), the state's technology-based economic development organization. Since its inception in 1991, the nonprofit has assisted more than 4,500 companies and helped Minnesota's economy realize gains of more than $800 million. Funding for MTI was eliminated in the state's fiscal year 2004 budget.

One of DEED's recommendations, to create a business one-stop service, already is in place. Positively Minnesota BizNice was launched in January 2004 to help Minnesota businesses navigate state permitting, licensing and regulatory requirements. The service features a toll-free number, being jointly staffed by DEED and the state's pollution control agency. Other recommendations may serve as the basis for policy initiatives advanced by Gov. Pawlenty during the 2004 legislative session, which began last month.

As the primary promotional agency for Minnesota businesses, DEED encourages the creation and retention of high quality jobs through business growth, expansion and retention. Positively Minnesota Manufacturing: Making It Great is available at: http://www.dted.state.mn.us/Rndtbl-f.asp

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