MN HF4512

Establishes a southwestern Minnesota workforce development scholarship pilot program administered by the Southwest Initiative Foundation to address workforce challenges in 18 southwest Minnesota counties and two tribal communities.

Provides scholarships to eligible students enrolled at least half-time in high-demand occupation programs at seven Minnesota West colleges (Canby, Granite Falls, Pipestone, Worthington, Jackson, Luverne, and Marshall).

Scholarship recipients must commit to three years of full-time employment with a local employer in a high-demand occupation within the foundation's service area and complete the Free Application for Federal Student Aid if applicable.

Limits lifetime scholarship awards to two full scholarships per student and allows local employers contributing 25 percent or more to receive a tax credit against state taxes for amounts awarded.

Appropriates $700,000 in fiscal year 2023 from the general fund to the Southwest Initiative Foundation, with the program base set to $0 in fiscal year 2028, and requires annual reporting to the legislature on program outcomes and metrics.