Operation Metro Surge Costs Minnesota Businesses and Schools Millions

Lawmakers debate $100 million in relief as communities struggle with fallout from immigration crackdown.

Apr. 13, 2026 at 10:36pm

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The financial impact of Operation Metro Surge is hitting Minnesota communities hard, with businesses in Minneapolis and St. Paul reporting over $300 million in losses. Schools in immigrant-heavy areas are also missing dozens of students, leading to millions in lost state funding. Lawmakers are now considering relief bills that would set up $100 million funds for loans or grants to help affected businesses and schools.

Why it matters

The widespread disruption caused by Operation Metro Surge has threatened the livelihoods of small businesses and the funding for schools serving immigrant communities across Minnesota. This highlights the broader economic and social consequences of heavy-handed immigration enforcement policies, which can have ripple effects far beyond their intended targets.

The details

Businesses across Minnesota, especially in Minneapolis and St. Paul, have reported over $300 million in losses since Operation Metro Surge. Small businesses like Kerkhoven Country Butchers near Willmar saw a sharp drop in customers and processing work, putting their ability to stay open at risk. Schools in immigrant-heavy communities like Columbia Heights and Fridley are also missing dozens of students, costing each district over $1 million in state funding.

  • Operation Metro Surge was launched in early 2026.
  • Businesses and schools began reporting the financial fallout in the months following the crackdown.
  • Lawmakers are currently debating relief bills that could provide $100 million in aid this week.

The players

Giorgia Gallardo

Co-owner of Kerkhoven Country Butchers, a small business near Willmar that was impacted by Operation Metro Surge.

Rep. Cedrick Frazier

A Democratic-Farmer-Labor (DFL) state representative from New Hope, Minnesota who is pushing back against dismissing the stories of those directly impacted.

Dave Baker

A Republican state representative from Willmar, Minnesota who admitted that Operation Metro Surge was poorly executed and hurt businesses, including his own motel.

Maysy Her

Owner of Xieng Khouang Restaurant & Banquet Hall, a small business owner calling for relief.

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What they’re saying

“This threatened our ability to stay in business and serve the community we love so deeply.”

— Giorgia Gallardo, Co-owner, Kerkhoven Country Butchers

“I don't think you can ignore these individuals standing here, they've been directly impacted. That's not hearsay.”

— Rep. Cedrick Frazier, State Representative

“Now's our chance to look at everything. Now's our to do what our businesses really need us to do.”

— Dave Baker, State Representative

“Small business owners like me are being impacted by things completely out of our control. And when that happens, we should not be left alone to carry all the weight.”

— Maysy Her, Owner, Xieng Khouang Restaurant & Banquet Hall

What’s next

Lawmakers are considering a $100 million House bill and two Senate bills that would set up funds for loans or grants to help affected businesses and schools. These proposals will be discussed in committee this week, but it remains to be seen whether any will pass in the House.

The takeaway

The fallout from Operation Metro Surge highlights the broader economic and social costs of heavy-handed immigration enforcement policies, which can have devastating ripple effects on local businesses, schools, and communities. Policymakers must carefully weigh the consequences of such actions and provide timely relief to those harmed.