U.S. Secretary of Commerce Gina Raimondo on July 9 announced that the Department of Commerce’s Economic Development Administration is awarding a $2.4 million grant to the city of Granite Falls, Minnesota, for electrical grid upgrades in support of local businesses.
The grant will provide an updated utility infrastructure, providing businesses with reliable service during future natural disasters, Commerce said.
The EDA investment will be matched with $1.9 million in local funds, is expected to create or retain 275 jobs, and generate $1 million in private investment, according to grantee estimates.
Crystal Johnson, City Manager for the public power community of Granite Falls, said that the funding will be used to replace two substation transformers (45 and 50 years old) and one substation’s switchgear.
“Our community is grateful for this funding as it will significantly help us fund much needed upgrades while allowing us to continue providing reliable electric service,” she said.
“The Biden Harris Administration is committed to ensuring that communities in Minnesota and across the country have the disaster-resistant infrastructure we need in the 21st century. This EDA investment will strengthen the electrical grid and create hundreds of jobs in Granite Falls, bolstering the local economy and community,” said Raimondo in a news release related to the grant.
“The Economic Development Administration is pleased to support the city of Granite Falls, Minnesota, as it builds capacity for economic growth in the region,” said Assistant Secretary of Commerce for Economic Development Alejandra Castillo. “This project will update critical electrical utility infrastructure that will not only build economic resiliency, but also allow for future business growth and expansion that will increase demand on the grid system.”
“A modernized power grid enables rural communities to keep pace with investment into local businesses,” said U.S. Sen. Amy Klobuchar, D-Minn. “This federal funding will enable Granite Falls to upgrade its electric utility infrastructure to make it more resilient against future natural disasters.”
“Reliable electricity is vital to every thriving community, and Granite Falls is no exception,” said U.S. Sen. Tina Smith, D-Minn. “This grant will strengthen electricity grid infrastructure in Granite Falls, support local business and improve the lives of the community.”
This project is funded under the Disaster Relief Supplemental Appropriations Act, 2023, which provided EDA with $483 million in additional Economic Adjustment Assistance Program funds for disaster relief and recovery for areas that received a major disaster declaration under the Robert T. Stafford Act as a result of Hurricanes Ian and Fiona, wildfires, flooding, and other natural disasters occurring in calendar years 2021 and 2022.
