When the 2023 Minnesota Legislature was called to order on January 3, lawmakers and advocates throughout the state turned their attention to top priorities, including allocation of the unprecedented $17.6 billion budget surplus and drafting a two-year budget.

Both the surplus and budget represent historic opportunities to drive economic growth through job creation and increased GDP by making substantive, structural, and equitable investments in Black, Indigenous, Latino, and Asian individuals and communities across our state.

At the Center for Economic Inclusion, we’re committed to closing racial employment, income, and wealth gaps, and building racially inclusive and equitable regional economies. The Center equips public- and private-sector employers and policy makers to dismantle systemic racism and institutionalize anti-racist policies in shared accountability and solidarity with Black, Indigenous, Latino, and Asian communities.

History proves that when racial equity and economic inclusion are not prioritized in policymaking, the result is often inequitable policies, loss in economic growth, and harmful impacts to Black, Indigenous, Latino, and Asian communities that can ripple for generations.

We are headed in the right direction. Over the last decade, Minnesota’s Legislature has increased the number of data-informed policies and investments focused on closing stagnant racial employment, income, and wealth gaps. The state Legislature is also more racially diverse now than at any point in its 174-year history. These policymakers are positioning Minnesota to win by leveraging their diverse lived experiences, perspectives, and that of their constituents as they legislate.

The future of Minnesota’s economic growth and competitiveness relies upon the willingness of policymakers to enact and invest in anti-racist policies and solutions. To support policy makers in building an equitable, just, and prosperous economy, this legislative session we are advocating for the following policies.

Policy: Racial Equity Impact Notes (Read More)

The Center and a coalition of partners will continue advocating for Racial Equity Impact Notes, a tool similar to a budget or environmental impact note, that empowers policy makers to assess the impacts of a proposed policy or investment on closing or widening racial disparities. In 2022, the Center conducted research on the results of similar impact notes in other states and partnered with leaders across the state to develop strategies we will recommend to Minnesota’s Legislature to actively engage Minnesotan’s in more data-informed, transparent, and consistent analysis of policies aimed at building the most inclusive, competitive, and prosperous state in the country.

Policy: $10M Direct Appropriation for Job Creation (Read More)

The Center is uniquely positioned and dedicated to create inclusive regional economies for Minnesotans of color. We have demonstrated our capacity and commitment to develop groundbreaking and actionable research, data-informed tools, and frameworks, including our Racial Equity Dividends Index, Vanguard Accelerator, Indicators for and Inclusive Regional Economy, Vanguard Research, Racial Equity Impact Notes Research and equity consulting services. With a track record of success, we are uniquely positioned to continue helping Minnesota employers take actions to build anti-racist and equitable workplaces, and helping state policymakers facilitate cross-sector, community-driven development.

After just five years, we’ve helped many Black-owned businesses create and grow jobs statewide and have created almost 30 jobs at the Center itself. An investment in the Center for Economic Inclusion’s job creation strategies will pay multi-generational dividends for all Minnesotans.

Policy: Increase State of Minnesota Procurement Preference and Equity Select Cap

We advocate for increasing the percentage when contracting with the State of Minnesota from 6% to 12% and raising the limit for non-competitive contracting from $25,000 to $100,000. The State of Minnesota currently allows the Commissioner of the Department of Administration to award a 6% preference to businesses owned by women, minorities, economically disadvantaged, and persons with substantial disabilities. These groups are also eligible for the Equity Select program which allows the state to directly contract with businesses up to $25,000.

While these goals have allowed for increased contracting with the groups identified, research shows there is more capacity to contract with these businesses. This is why we support the Department of Administration’s proposed policy to increase the preference to 12% and direct contracting amount to $100,000.

The legislative session is short. Minnesota’s problems are historic and systemic. We have to make the time count. We invite you to join us in partnership and collective action.

Let’s keep building!

For more information, read about our policy priorities.