Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Economic Development topic
No spam. Unsubscribe anytime.
Council approves higher credit and cap for Border City Enterprise Zone program
Summary
Moorhead approved increasing the Enterprise Zone workers' compensation credit from 25% to 30% and raising the per-business cap from $30,000 to $40,000 to help local businesses bridge cross-border costs and prepare for new paid leave expenses.
The Moorhead City Council voted to adjust local parameters for the Border City Enterprise Zone workers' compensation program, increasing the credit from 25% to 30% and raising the program cap per business from $30,000 to $40,000 for the 2025 program year.
Economic development staff and council members said the changes aim to help local businesses manage cross-border cost disparities and new expenses such as paid family medical leave. Derek Lapointe, economic development program lead, said the Border City Enterprise Zone serves a five-community region that includes Moorhead and that the program has paid roughly $350,000 in credits in 2024 to 88 businesses covering about 2,100 full-time employees. "If we had that same 88 businesses apply with the 30% credit level increase and the $40,000 cap, that would be about $428,000," Lapointe said, noting the proposed appropriation of $525,000 would leave room to grow the program.
Councilmember Emily Moore said the change provides an additional tool to support local businesses as paid family medical leave begins, and she emphasized sustainability so the program does not deplete funds quickly. The Economic Development Authority gave a unanimous recommendation to the council.
A public hearing on the program preceded the vote; no public speakers opposed the adjustment. Councilmember Ryan Nelson moved to close the public hearing; Niesmeyer seconded. The council then moved and approved the adjustment with a motion and second; the item passed unanimously.
Staff said planned next steps include marketing the updated credit level and cap through the city's business outreach channels and the Citi Insight online portal, and coordinating with regional partners to attract more applicants.
