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State Competitiveness Fund

The Minnesota State Legislature established the Minnesota State Competitiveness Fund (SCF) with the purpose of increasing the success of Minnesota applicants in the pursuit of federal funds for energy projects available through the Infrastructure Investment and Jobs Act (IIJA) and the Inflation Reduction Act (IRA). This historic investment will provide critical state resources to help draw down federal funds, providing technical assistance on projects and expanding grant-writing capacity for entities in Greater Minnesota and Tribal Governments. The SCF will best position Minnesota to compete for federal energy-related competitive and formula grants, spurring investment in our state.

State funding appropriations totaling $190 million will provide grants for assistance with project and proposal development to offset the cost-share requirements of federal funding programs and reduce the project costs for the Minnesota entities receiving federal grant funding. Commerce recently completed the award process for the Local Grant Development Assistance funding program that will help develop capacity for Minnesota entities to apply for federal grants and for the funding reservations under the SCF Match Program Standard Response Application Round. Selections for funding reservations under the earlier Quick Response Round of the SCF Match Program were previously announced.

In accordance with requirements set forth in Minnesota Statutes § 216C.391, subd.7, Commerce published a report on the State Competitiveness Fund. The State Competitiveness Fund 2023 Annual Report provides information on Commerce’s development work and status updates covering all SCF programs. The report was submitted to the Legislature in March 2024. The SCF Annual Report is available for viewing here.

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Local Grant Development Assistance funding

The Minnesota Department of Commerce, Division of Energy Resources issued a competitive grant funding opportunity for grant development assistance to support eligible entities in preparing grant applications for federal funds specified in statute 216C.391 Sec. 2, subdivision 2.

The goal of the program is to ensure the state’s economy is strong and growing by increasing the competitiveness across Minnesota in accessing federal funding by providing grant development assistance statewide. Awarded organizations will provide services to eligible entities, especially those designated as Disadvantaged Communities, to allow Minnesota entities to have better access to and utilization of federal funding opportunities.

Click here for more information on the program and the list of those selected to receive grants under this initiative. 

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State Competitiveness Matching funds

In the 2023 session, the state legislature appropriated $100 million for the creation and funding of a State Competitiveness Fund (SCF) Match Program. This program will assist eligible Minnesota entities seeking federal grant awards for energy projects under the federal Inflation Reduction Act (IRA) and the Infrastructure Investment and Jobs Act (IIJA).

On July 15, 2024, the Minnesota Department of Commerce opened the third round of SCF Match Program funding. Details on this funding round, as well as on the status of funding from previous rounds, can be found by clicking here clicking here.

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