Senator Hauschild Champions Bills Supporting Minnesota’s Aerospace Industry in Senate Taxes Committee Wednesday

Legislation will spur growth in critical industry by developing workforce and reducing manufacturing costs

[SAINT PAUL, MN] Senator Grant Hauschild (DFL-Hermantown) presented two bipartisan bills Wednesday to support Minnesota’s growing aerospace industry. The legislation, which advanced in the Senate Taxes Committee, will spur economic development and help Cirrus Aircraft stay and expand its operation in Northeastern Minnesota.

“Minnesota has become home to a growing and dynamic aerospace industry thanks to the efforts of Cirrus Aircraft, which is recognized as an international leader in small aircraft research, design, and development,” said Senator Hauschild. “This legislation will develop the workforce this critical industry needs while reducing manufacturing costs, two crucial needs to spurring further economic growth of Cirrus and the aerospace industry in Minnesota.”

Senator Hauschild’s legislation would address two roadblocks hampering expansion opportunities for Cirrus Aircraft. The first bill, S.F. 1289, expands the airport property tax exemption for airport hangars owned or operated by a city over 50,000 but under 150,000 in population, to reduce property taxes by 50% for airport hangars used for the manufacturing of aircraft. This exemption will lower costs facing Cirrus Aircraft at its facilities at the Duluth airport, where Cirrus has recently invested $20 million. As the third largest employer in Duluth, the company is projected to hire an additional 150 jobs over the next 12 months, bringing the total Minnesota based workforce to nearly 1,800 employees.

Like many industries, Minnesota’s aerospace industry has seen a workforce shortage. The second bill,  S.F. 2365, creates an Aerospace and Aviation Credit that can be used in different ways in the hiring and retaining of workers. As long as they meet certain requirements a qualified employee or qualified employer would be able to claim this credit as a yearly tax credit or in the form of tuition reimbursement. 

Senator Grant Hauschild represents Senate District 3 – the Arrowhead, Iron Range, and Northland. He is vice chair of the Labor Committee, and serves on the Education Policy Committee, Environment, Climate, and Legacy Committee, and Taxes Committee.

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