Bloomington council backs state loan application to support Seagate expansion; one abstention

The Bloomington City Council voted July 20 to adopt a resolution supporting a Minnesota Investment Fund (MIF) application in connection with Seagate Technology LLC, a move designed to make state funding available to the company if the state approves the award.

Staff presented the MIF program and said the state would grant funds to the city, which would, if necessary, loan the funds to Seagate. The city’s support would be an application-level endorsement; any final loan or grant terms would be negotiated publicly if the state awards funds.

Council members pushed staff for context about the program and its terms. Council member D'Alessandro questioned why the fund would be structured as a 0% loan, saying he was “confused by why they need $5,000,000 in free money from the state,” and asking whether the city should support state dollars for an already profitable company. A presenter clarified that the MIF is a state-run incentive intended to keep jobs and investment in Minnesota and that award agreements include job and wage goals the recipient must meet.

Council member Lowman moved to adopt the resolution; the motion was seconded and carried on a roll-call vote: Carter, Rivas, Nelson, Lowman, Robertson and Mayor Bussey voted yes; Council member D'Alessandro registered an abstention. The resolution is an expression of support for the city’s application to the state; council members were told that detailed loan or grant terms would be subject to later public agreements and verification of job and wage targets.

What’s next: Staff indicated the city will continue negotiations with state officials and Seagate as the application proceeds and will return to the council with any agreement details if the state awards funding.