Dayton administration uses Nicollet Mall as an example of its bonding plans
In pushing for the Governor’s proposed $775 million bonding proposal, it looks like the Dayton administration will focus on the proposals’ abilities to jumpstart private spending and the creation of permanent jobs. On Friday, the Governor’s team posted an example — a $25 million project to revitalize Nicollet Mall:
The revitalization of Nicollet Mall as a signature business, pedestrian, and retail corridor will help leverage $2.7 billion dollars in private investment to Downtown Minneapolis, creating 13,000 new permanent jobs by 2025. These jobs will generate $174 million dollars in direct revenue to the State of Minnesota. Additionally, reconstruction and redevelopment along the mall will create 22,000 construction related jobs.
Governor Dayton’s bonding proposals strengthen the Minnesota’s economy by using state resources to leverage increased private investment. Reinvigorating Nicollet Mall will help bring new jobs and investments to downtown Minneapolis, continuing a trend towards a more vibrant downtown. Governor Dayton is committed to growing our economy, improving quality of life, and Building a Better Minnesota through important projects like Nicollet Mall. [Emphasis added]
The administration’s focus on leveraging private investments is smart, because it really emphasizes the point of a stimulus program. It’s not just to spend money directly to create jobs — it’s to provide sparks to jumpstart the private economy. The Nicollet Mall project is a perfect example of that.
Even if the estimates above end up being significantly over-confident, a small public investment will jumpstart private investments many times larger than the relatively small cost of the project. This small public investment could leverage billions in private funding, creating thousands of jobs and ultimately paying for itself. How many Minnesotans would really object to that?


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