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Minnesota Awards $32 Million in Grants for Transportation Infrastructure Projects Supporting Economic Development, Job Creation

1/5/2016 3:14:00 PM

Grants support road, interchange improvements in 11 communities across the state

ST. PAUL, MN – The Minnesota Department of Transportation (MnDOT), in partnership with the Department of Employment and Economic Development (DEED), has awarded $32 million in grants for 11 state highway projects that will support growing industry and businesses, leverage private funding, and improve the transportation system for all users. The funding was awarded under the state’s Transportation Economic Development Program (TED).

“For every public dollar we invest, Minnesota’s Transportation Economic Development program leverages an additional three dollars in economic development investment,” said Lt. Governor Tina Smith. “These are great projects, but they don't come close to meeting our need for a sustainable, comprehensive solution to Minnesota's transportation challenges.  If we want to grow jobs and our economy, we need a statewide transportation system that works everywhere, for Minnesotans and Minnesota businesses.”

“Transportation investments support jobs, create vibrant communities and position businesses for the global economy,” said MnDOT Commissioner Charles Zelle. “MnDOT’s partnership with DEED and with the business community through the TED program has seen great results in promoting economic development all across the state.”

MnDOT and DEED have provided nearly $77 million in grants to 28 communities through the TED program since 2011. Program criteria emphasize improvements that enhance the statewide transportation network, including all modes and all jurisdictional systems, and improvements that allow existing businesses to expand or new businesses to locate near the project area. The TED program also has leveraged more than $119 million from public and private partners that derive a direct benefit from the improvement.  

“TED is a great example of a strategic state agency partnership that works to benefit all Minnesotans,” said DEED Commissioner Katie Clark Sieben. “This program improves the transportation system and generates jobs and economic development throughout the state.”

The $32 million provided this year in state TED funds will help leverage other federal, state, local, and private funding for a total construction program of $137 million. State funding for the program comes from trunk highway dollars ($29.7 million) and DEED General Obligation Bonds ($2.3 million).

MnDOT and DEED received 22 project proposals to its 2015 solicitation. Eleven proposals came from the Twin Cities metro area and 11 from Greater Minnesota, requesting a total of more than $76 million in funding. Project selection was based on consistency with transportation plans, economic benefits, project financing and project readiness. It’s estimated that the recommended projects will create more than 5,900 jobs in the next five years.

All recommended Twin Cities Metro Area projects also have received federal funds under the Metropolitan Council Regional Solicitation Process. TED dollars are generally the last piece of funding needed to move each of the recommended projects toward letting. Construction lettings are scheduled between 2016 and 2018.

A map of Greater Minnesota projects is available here: /governor/assets/2016_01_05_ted2016-statewide_tcm1055-100727.pdf

A Twin Cities Metropolitan area project map is available here: /governor/assets/2016_01_05_ted2016-metro_tcm1055-100729.pdf

A list of 2015 Transportation and Economic Development Project Award recipients is available here: /governor/assets/2016_01_05_mndot_ted_program_release_tcm1055-100730.pdf/governor/assets/2016_01_05_mndot_ted_program_release.pdf 

More information about the selected projects and the TED program is available on MnDOT’s website at

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