Passing an angel investment tax credit in Minnesota is not important just for the dollar amount but to signal to investors in the Midwest, and indeed the rest of the country, that our state is a serious place to do business; that we are ready to embrace (finally) a commonly accepted way to spur investment [...]

Last week, Rep. Ann Lenczewski and House Speaker Margaret Kelliher held a press conference to tout a jobs creation bill. First item on the 26-page bill: a three year, $9 million tax credit to investors and funds with a heavy focus on “green” companies. To receive the credit, regional investment funds must devote 50 percent of its money toward “qualifying green job small businesses.”

Medica Encore is targeted at the pre-retirement boomer generation ages 50 to 64 who lack traditional health coverage through employers or other group sponsors, the company says.

Rep. Ann Lenczweski, the powerful House Tax Committee chairwoman, has unexpectedly proposed a bill of her own. Instead of awarding tax credits to investors who fund early-stage, high tech start-ups, the bill provides grants directly to the companies.

For the past two years, the Minnesota House committee that oversees bioscience development held a special hearing on why Minnesota needs an angel investor tax credit to boost high tech companies. And for the past two years, nothing happened.

Minnesota State Sen. Kathy Saltzman discusses plans, spurred in part by the recent departure of small biotech companies to Wisconsin, to next legislative session try and pass a series of tax credits and incentives to encourage start up investing.