February 18, 2021

U.S. Department of Commerce Invests $3.4 Million in CARES Act Recovery Assistance to Boost Manufacturing Growth in Cohasset, Minnesota

WASHINGTON – Today, the U.S. Department of Commerce’s Economic Development Administration (EDA) is awarding a $3.4 million CARES Act Recovery Assistance grant to the city of Cohasset, Minnesota, to build a 25,000-square-foot facility to house manufacturing tenants and a business incubator. This EDA grant, to be matched with $847,000 in local investment, is expected to create or retain nearly 100 jobs and generate $900,000 in private investment.

“EDA is committed to helping communities across the nation implement strategies to mitigate economic hardships brought on by the coronavirus pandemic,” said Dennis Alvord, Acting Assistant Secretary of Commerce for Economic Development. “The new shared manufacturing and incubator space will allow entrepreneurs in Cohasset and the surrounding region to thrive and diversify and strengthen the resiliency of the local economy.”

“For nearly a year, Minnesotans have worked tirelessly to combat the pandemic,” said Senator Amy Klobuchar. “This much-needed additional funding will help people get back on their feet by creating jobs and generating nearly a million dollars in private investment. There is a light at the end of the tunnel, and I am committed to ensuring Minnesota’s communities, like Cohasset, have the resources they need during this challenging time.”

“COVID-19 is having a disproportionate impact on the economic well-being of small towns, rural areas and Native communities across Minnesota,” said Senator Tina Smith. “We need to listen to their needs and invest accordingly to help create opportunity and resiliency during the pandemic. This federal grant will promote manufacturing growth in Cohasset and support jobs. I plan to keep working to direct more federal dollars towards Minnesota priorities.”

The new facility, which will provide customizable manufacturing space for up to three tenants, will fulfill a need for building space in the region. The project aims to diversify the region’s energy production-dependent economy and promote economic resiliency.

This project is funded under the Coronavirus Aid, Relief, and Economic Security (CARES) Act (Public Law 116-136 PDF), which provided EDA with $1.5 billion for economic assistance programs to help communities prevent, prepare for, and respond to coronavirus. EDA CARES Act Recovery Assistance, which is being administered under the authority of the bureau’s flexible Economic Adjustment Assistance (EAA) (PDF) program, provides a wide-range of financial assistance to eligible communities and regions as they respond to and recover from the impacts of the coronavirus pandemic.

About the U.S. Economic Development Administration (www.eda.gov)
The mission of the U.S. Economic Development Administration (EDA) is to lead the federal economic development agenda by promoting competitiveness and preparing the nation's regions for growth and success in the worldwide economy. An agency within the U.S. Department of Commerce, EDA makes investments in economically distressed communities in order to create jobs for U.S. workers, promote American innovation, and accelerate long-term sustainable economic growth.