Dec 05, 2008

COMMUNITY MSA INFO

Key designation for economic development and business recruitment

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By: Shannon Gullickson

Mankato/North Mankato is now an MSA!

The Executive Office of the President of the United States, Office of Management and Budget, has notified the State of Minnesota that the Mankato-North Mankato area now officially qualifies as a new Metropolitan Statistical Area. Included are the cities of Mankato and North Mankato and the counties of Blue Earth and Nicollet. 

The impacts associated with the change in becoming an MSA classification includes a new source of transportation funding that will be available to the area. In addition, the area will benefit from a direct allocation of Community Development Block Program (CDBP) money and other programs. The CDBP program provides annual grants to entitled cities to provide “decent housing and a suitable living environment” and economic opportunities. Eligible activities include: acquisition of property; relocation and demolition; rehabilitation of residential and non-residential structures; construction of public facilities and improvements, such as water and sewer facilities, streets, neighborhood centers, and the conversion of school buildings for eligible purposes; public services; activities relating to energy conservation and renewable energy resources; and provision of assistance to profit-motivated businesses to carry out economic development and job creation/retention activities.

This gives the area direct access to a number of federal entitlements that otherwise governments have to compete for through state bureaucratic process.  The full entent of those advantages are not known at this time, particularly with the state and federal governments budget problems.  The cities and counties within the local designation will be working cooperatively to quantify impacts and future organizational parameters needed to administer the change in designation.  There are already some intergovernmental structures in place that will assure efficient administration and fair distribution, i.e. Mankato Area Transportation and Planning Study (MATAPS), City-County Economic Development Authority and Port Authority.

Becoming an MSA should elevate the greater Mankato region to a higher marketing plateau and give the area advantages for recruiting businesses. Patrick Hentges, Mankato City Manager, states that being a MSA is often criteria businesses use when examining communities.  Mankato and North Mankato will now become part of the national database of MSA’s for marketing purposes.

Contact Information                                                                                         

Shannon

Phone: 507-625-4715                                                                      

Email: http://shannon.gullickson@cbcfishergroup.com