New $30M Fund Established to Help Connecticut Manufacturers Modernize

Lawmakers included $30 million in the recently enacted FY15 budget to establish a fund to help smaller manufacturers modernize and grow with priority given to companies located in the state’s 42 communities designated as historic manufacturing hubs.

Companies can use the funds for purchasing equipment, developing new technologies, supporting apprenticeships, and providing access to training and specialized education for workers. The fund also will support an increase in federally funded research efforts at the state’s universities and colleges, according to the governor’s press release.

The budget also increases the bond authorization limit for the Manufacturing Assistance Act program by $100 million in FY15. This fund provides incentive-driven direct loans for projects within larger companies that demonstrate strong economic development potential. The 2014-15 budget signed into law in June 2013 authorized $100 million in FY14 for the program, bringing its total to $200 million over the biennium.

The proposals were part of Gov. Dan Malloy’s workforce development agenda outlined earlier this year (see previous Digest article).