State dual-training pipeline and related grants report growth; cannabis-specific funds unused

Dan Solomon, manager of the Minnesota Dual Training Pipeline Program at the Department of Labor and Industry, told the House Higher Education Finance and Policy Committee the pipeline supports employer-led ‘‘earn and learn’’ programs that pair structured on-the-job training with related instruction.

Solomon said the program now lists 104 eligible occupations across seven industries — including advanced manufacturing, agriculture, childcare, health care services, information technology, transportation and, since 2023, the legal cannabis industry. Solomon said the program assisted about 279 employers through consulting activities in the past year, hosted 15 industry forums and convened competency councils to define job competencies.

Megan Fitzgibbon of the Office of Higher Education described the dual-training grant that pays for related instruction and modest trainee supports. Fitzgibbon said the most recent competitive round offered $5.4 million and resulted in awards to 84 employers supporting 958 planned trainees. She described eligible grantees as employers, organizations of employers or industry organizations; a 25 percent cash match is required unless an employer’s previous-year gross revenue was below $25 million.

Fitzgibbon said the Legislature provided $1 million per year targeted to the legal cannabis industry but that OHE had not received any applications for the cannabis-specific funds for the initial rounds. Those unspent funds are held in a special revenue account and can be rolled forward and used for other industries if not expended by the statutory deadline, she said. ‘‘So the funds don't go away,’’ Fitzgibbon said, ‘‘they can still be used for dual training.’’

Lawmakers asked whether the program favors larger employers and whether the state is subsidizing training for major international manufacturers. Fitzgibbon and Solomon said grantees range from small local employers to large manufacturers and that some employer consortia and chambers of commerce apply on behalf of smaller employers. Committee members asked for a list of grantees, award amounts and match contributions; the agencies said they would provide that list to the committee.

Representative Duran asked how the cannabis industry fits into the pipeline; Solomon said the industry was added by the Legislature in 2023 because some cannabis occupations did not fit the program’s existing industry categories and that the program has begun adding cannabis-relevant occupations such as compliance specialist based on employer input.

Representative Allen asked whether training grants have been used inside correctional facilities; Fitzgibbon said OHE had not received applications of that type and noted the grant requires that trainees be employed by the grantee that applies.

Both agencies said they will continue outreach to employers and higher-education partners to expand participation across industries and occupations.