Purpose

Provide a one-time financial grant to support the Neighborhood Development Center (NDC) and its small business programs. The funds are intended to help with training, lending, business services, real estate initiatives, and related activities to support entrepreneurs, including some activities outside the seven-county metro area.

Main Provisions

• Amount and source: A one-time appropriation of 2,250,000 from the general fund in fiscal year 2026 to the commissioner of employment and economic development to grant to the Neighborhood Development Center (NDC).
• Uses of funds: The grant may be used to support NDC’s small business programs, including training, lending, business services, and real estate initiatives.
• Geographic scope: Allows use of funds to assist organizations outside the seven-county metropolitan area with technical assistance and grants to help implement elements of NDC’s small business support model.
• Entrepreneur support: Funds may be used to provide one-on-one technical assistance for entrepreneurs.
• Cybersecurity center: Funds may support the operations and marketing of a cybersecurity center.
• Nature of the appropriation: This is a one-time appropriation.
• Carryover provision: Any unencumbered balance at the end of the first year does not cancel and remains available for use in the second year.

Significant Changes to Existing Law

• Establishes a new, temporary (one-year) funding pathway from the general fund to support NDC and its initiatives, including expansion beyond the metro area, technical assistance for entrepreneurs, and a cybersecurity center.
• Creates new responsibilities for the Department of Employment and Economic Development (through the commissioner) to administer a grant to NDC for these purposes.

Notes on Terms (contextual)

• General fund: State unrestricted operating fund from which this appropriation is drawn.
• Commissioner of employment and economic development: The state official or department head responsible for administering the grant.
• Neighborhood Development Center (NDC): The recipient, a nonprofit or similar organization focused on supporting small businesses.
• Technical assistance: Guidance and expert help provided to entrepreneurs and small businesses.
• One-on-one technical assistance: Individualized consulting for entrepreneurs.
• Cybersecurity center: A project or facility related to cybersecurity operations or training supported by the grant.
• Unencumbered balance: Money not yet spent by the end of the first year, which can continue to be used in the second year.

Relevant Terms general fund, commissioner of employment and economic development, Neighborhood Development Center (NDC), grant, small business programs, training, lending, business services, real estate initiatives, technical assistance, one-on-one technical assistance, cybersecurity center, onetime appropriation, unencumbered balance, second year, fiscal year 2026