By Katelynne Kratz
The Rural Capacity Program (RCP) continues to drive economic revitalization in 18 cities across Greater Minnesota, providing crucial technical assistance and financial support. Each city has received 150 hours of technical assistance, totaling 2,700 CEDA staff hours, along with $15,000 in funding, amounting to $270,000 invested directly into rural economic development.
CEDA’s collaboration with these cities has led to notable achievements, including the creation of Revolving Loan Fund Programs, the development of large grant applications such as DNR and USDA grants, and the launch of business outreach, website integrations, and Commercial Façade Programs. In many cases, the initial $15,000 investment has attracted additional private and public funding, amplifying the program’s impact. Notable success stories include:
- Danvers: Utilized their $15,000 fund to support downtown business renovations, researched grants to repurpose a former bank into a community center, and developed a Community Impressions Report.
- Vergas: Launched a $50,000 Commercial Rehabilitation Program, secured $10,000 inlocal contributions, and obtained a $25,000 matching grant to further economic growth.
- Elmore: Secured $50,000 for a downtown activity park, established a business revolving loan fund with $15,000 in private investment, and hosted a successful holiday vendor fair to support local commerce.
The value of the RCP is reflected in feedback from community leaders:
“The program absolutely has helped the city determine the legitimate need for a child care facility and greatly helped begin and coordinate discussions with private enterprise to potentially locate a child care facility in the city.”
— City of Buhl
“Having someone whose job it is to spend time on these efforts is invaluable. The rest of us all have other jobs and are doing this work as volunteers. It is great to have someone with experience and contacts dedicated to it.”
— City of New York Mills
Advocacy for Continued Support
With Round 1 nearing completion, efforts are underway to expand the program to 20 communities in Round 2. Senator Nelson and Representative Pursell have authored a bill to secure continued funding, ensuring RCP’s positive impact reaches even more rural cities.
On Monday, February 17th, RCP Manager Amy Schaefer, along with interns Katelynne Kratz and Macey Becker, and CEDA staff member Celia Simpson, met with senators at the Capitol to advocate for the bill. Their goal was to identify co-authors and rally support, highlighting the tangible success stories and economic benefits the program has brought to Greater Minnesota. These conversations helped build momentum and solidify legislative backing for the initiative.
The Rural Capacity Program has proven that dedicated staff time, strategic investment, and strong community collaboration can drive real economic progress. By securing continued funding, CEDA can empower more communities, attract additional resources, and reinforce the resilience of rural Minnesota’s small towns. The program serves as a testament to what’s possible when communities have the tools and support they need to thrive.
