The Minnesota Legislative Auditor's report on the Iron Range Resources and Rehabilitation Board (IRRRB) brought into question the board's agreement to pay $98,000 per year for a luxury box and other amenities at the Excel Energy Center in St. Paul.
The alleged purpose behind the Excel deal is to create an opportunity to explain the benefits of northeastern Minnesota to businesses who might be willing to ex-pand their operations to this area.
However, in difficult economic times, it raises the question of whether a luxury box is the best use of scarce dollars for improving the area's economy. Smokestack chasing is one approach to economic development, but it seems to us the best bet this area has for improving the local economy is to grow its own. Home-grown businesses are the most likely to stay when times get tough. Cirrus Design is only the most visible example of that approach to economic development.
Instead of schmoozing at Twin Cities hockey games, our suggestion would be that the IRRRB and the region would be better off focusing on how to improve the local business climate to help local entrepreneurs start here.
