Hutchinson, Paynesville Among Greater MN Communities Awarded Grants for Infrastructure Projects


More than $5 million in grants are being awarded to several rural Minnesota communities for infrastructure projects.

The money was approved by the Minnesota Department of Employment and Economic Development (DEED) for projects in Hutchinson, Kenyon, Paynesville, Perham and Sleepy Eye.

DEED Spokesman Shane Delaney says it helps cities, counties, municipalities in Greater Minnesota fund various projects that will help spur future economic development.

Delaney says the grants are expected to help create or retain 365 full-time jobs.

The following is a breakdown of the latest funding:

Hutchinson, $353,563 

Hutchinson was awarded $353,563 to assist in creating a new city street where a private road in poor condition exists. The new street will provide better access UPONOR who has committed $12.4 million to purchasing and remodeling a 237,000 square foot building. The new UPONOR facility will create 100 new jobs in five years.

Kenyon, $672,096 

Kenyon was awarded $672,096 to assist with construction of streets, water, sewer and electric utilities for a new business park. The project is expected to create 60 jobs in five years.

Paynesville, $1,907,500 

Paynesville was awarded $1,907,500 to assist in separating and treating wastewater from Associated Milk Producers Inc. (AMPI). AMPI is completing a significant expansion that will result in increased wastewater being sent to the city’s wastewater treatment facility. The expansion will increase processing from 2.4 million pounds of milk per day to 3 million pounds. The project will retain 82 full-time employees and add an additional three employees.

Perham, $1,396,750 

Perham was awarded $1,396,750 to assist with the construction of streets, water, and sewer to expand the Perham Industrial Park. The proposed development will allow the expansion of a Tuffy’s Pet Foods warehouse that will add 10 jobs in the first year. It will also allow room for Tuffy’s to build a new $60 million, 175,000 square foot canned pet food plant that will could create 75-100 jobs in the next five years. The project will also provide access to additional lots for additional businesses. The project is expected to create 110 jobs in five years.

Sleepy Eye, $985,587 

Sleepy Eye was awarded $985,587 to assist with the construction of streets, water, sanitary sewer, storm sewer and a railroad crossing for a new industrial park. The city estimates 10 new jobs being created in five years. In addition to lots for new employers, the new rail crossing will also allow trucks to travel on the eastern side of town rather than cross in the center of town. The reroute will reduce truck traffic in residential and retail areas.


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