MINNEAPOLIS (AP) - Minneapolis has pulled most of its 2017 funding for the regional economic development group Greater MSP.
City Council members questioned the benefits the city gets from the organization, saying they were concerned it pits local governments against one another other in the race to offer incentives to companies, the Minneapolis Star Tribune (https://strib.mn/2hLZpTL ) reported.
“My constituents have a right to see some return on our investment,” said Lisa Goodman, Minneapolis council member.
Minneapolis has given $800,000 to Greater MSP since 2011. The mayor’s proposed 2017 budget included only $125,000 for the group, and the City Council reduced that to $10,000.
Greater MSP Chief Executive Michael Langley said the group is disappointed and will work to again make Minneapolis a fully active member.
Goodman said that in response to the council’s questions of the benefits Minneapolis gets from the organization, Greater MSP took credit for the Super Bowl coming to Minneapolis in 2018, the Downtown Commons project and Wells Fargo’s decision to build $300 million office towers near the stadium.
“It would be a stretch to say that Greater MSP is responsible for these good things happening,” Goodman said. “There were many players.”
Greater MSP said it focuses on talent attraction and retention by surveying newcomers to the region, professionals of color and professionals around the United States, and sharing the data it acquires to its members.
The group’s officials say those surveys show that site selectors and chief executives are much more likely to think of Minneapolis for expansion than they were a few years ago.
The regional economic development group was launched in 2011 to promote job growth and business investment. The St. Paul-based organization employs 21 people, and is funded mostly by private companies.
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Information from: Star Tribune, https://www.startribune.com
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