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DEED receives authorization for its funding—both state and federal dollars—through the State of Minnesota's budget process.

Minnesota state government operates on a two-year budget cycle, a biennium, that begins on July 1 and ends June 30 of the second year. During each odd-numbered calendar year, the governor proposes—and the legislature ratifies—the state's operating budget (also known as the biennial budget), covering the biennium. Once enacted, an operating budget can be modified in the off-year legislative session; revisions are referred to as supplemental budgets. Also, in legislative sessions of even-numbered calendar years, Minnesota typically adopts a capital budget for capital expenditures not financed in regular state agency operating budgets.

Minnesota receives most of its revenue from general taxes, licenses, fees, and federal grants; and operates a budget and accounting system for depositing—and monitoring—its revenue into over 130 "funds" (pools of money). Some of these funds are administered by DEED, some funds are shared by DEED and other state agencies, and some funds are not available to DEED at all. 

In order to use funds, DEED prepares an annual spending plan that helps ensure spending remains within authorized levels and is consistent with DEED's statutory purpose (Minn. Stat. 116J).

See the Minnesota State Budget website.

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