East Grand Forks Seeks State Support for Industrial Park, Enterprise Zone Reforms

City officials to advocate for infrastructure funding and policy changes at Coalition of Greater Minnesota Cities' Legislative Action Day

Published on Feb. 25, 2026

East Grand Forks city leaders plan to raise several issues impacting the community at the upcoming Coalition of Greater Minnesota Cities' Legislative Action Day in St. Paul next month. Key topics include seeking state funding for improvements to the city's industrial park road and infrastructure, as well as advocating for changes to the state's Border Cities Enterprise Zone policy to expand eligibility for businesses like movie theaters.

Why it matters

Securing state support for the industrial park upgrades and enterprise zone reforms could help spur economic development and job creation in East Grand Forks, which has faced challenges with retail and hospitality businesses qualifying for valuable tax credits under the current enterprise zone rules. The city is also seeking to support funding requests from local partners like the school district and agriculture research lab.

The details

City Administrator Reid Huttunen outlined several key issues East Grand Forks plans to raise at the upcoming Legislative Action Day. One major focus will be advocating for modifications to the state's Border Cities Enterprise Zone policy, which currently excludes recreation, tourism and hospitality businesses from qualifying for tax credits and other incentives. Huttunen said the proposed changes would allow businesses like the local River Cinema movie theater to access these benefits if they make substantial investments. The city also hopes to remove geographical restrictions to allow the entire city to be designated as an enterprise zone. Additionally, East Grand Forks will seek state funding for improvements to the industrial park road and infrastructure, building on previous outreach to state legislative committees. The city also plans to support funding requests from local partners like the school district and agriculture research lab.

  • The Coalition of Greater Minnesota Cities' annual Legislative Action Day will be held on March 25, 2026 in St. Paul.
  • City officials conducted site visits with the Senate Capital Investment Committee last summer to discuss the industrial park project.
  • Huttunen presented the industrial park project to the House of Representatives Capital Investment Committee earlier in the summer.

The players

Reid Huttunen

East Grand Forks City Administrator.

Mark Olstad

East Grand Forks Mayor.

Brian Larson

East Grand Forks City Council President.

River Cinema

A local movie theater in East Grand Forks that currently does not qualify for enterprise zone tax credits and incentives under the state's policy.

Minnesota Department of Agriculture Research Lab

A research lab located in East Grand Forks that is seeking $2.1 million in state funding for renovations.

East Grand Forks School District

The local school district is requesting $6.5 million in state funding to designate a special education learning center as a Setting 4 facility.

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What they’re saying

“While we're there, we could certainly advocate for our partner organizations in the community.”

— Reid Huttunen, East Grand Forks City Administrator (grandforksherald.com)

“It's an interesting endeavor to go down to the capitol. It's an honor to be there for business, and I think it's well worth the trip.”

— Brian Larson, East Grand Forks City Council President (grandforksherald.com)

What’s next

The East Grand Forks City Council will continue to discuss and finalize the specific issues and funding requests they will advocate for at the Coalition of Greater Minnesota Cities' Legislative Action Day on March 25, 2026.

The takeaway

East Grand Forks is taking a proactive approach to securing state support for critical infrastructure upgrades and policy reforms that could unlock new economic development opportunities in the city, particularly for businesses that have been excluded from valuable enterprise zone incentives under the current rules.