Minneapolis

St. Cloud Businesses Hit by ICE Fallout Turn to ‘Choose Minnesota’ Campaign

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Published on May 11, 2026
St. Cloud Businesses Hit by ICE Fallout Turn to ‘Choose Minnesota’ CampaignSource: U.S. Immigration and Customs Enforcement, Public domain, via Wikimedia Commons

St. Cloud business owners say a one-two punch of federal immigration enforcement and rising costs has cut into their bottom line. Now the state is rolling out a new initiative, Choose Minnesota, to steer customers back to neighborhood shops and give struggling owners a place to vent and strategize.

The Minnesota Department of Employment and Economic Development has launched Choose Minnesota as a statewide push to get residents spending at locally owned stores, restaurants and service providers. The effort includes community roundtables and online tools, and St. Cloud entrepreneurs are already signing up to talk about how enforcement activity and higher operating expenses have stalled growth and slashed revenue. Local entrepreneur Fardowsa Iman, who plans to open a mental-health clinic this summer, says she delayed her launch because of fear around federal immigration actions and the extra bills that followed.

What Choose Minnesota Will Do

DEED introduced the Choose Minnesota campaign in early May as a way to boost visibility and foot traffic for small businesses while digging into the specific obstacles they face. “Small businesses are the backbone of Minnesota's economy,” DEED Commissioner Matt Varilek said, and the agency plans to pair in-person roundtables with online resources that help owners connect with partners and customers, according to DEED.

St. Cloud Owners Describe Delays And Costs

In St. Cloud, Fardowsa Iman, founder of the soon-to-open Protea Health, told reporters she burned through savings she had set aside for her opening and had to take out a second loan after delaying plans because of fears about Immigration and Customs Enforcement in the area. “I had to use up the money that I had saved up for my planned opening and operations,” she said. St. Cloud Area Chamber President Julie Lunning pointed to higher operational costs and state mandates as more pressure on already thin margins. One state official also told local reporters that lawmakers are considering a proposal that could create zero-interest loans for businesses that can document losses tied to the enforcement surge, as reported by KNSI.

Relief Options And The Enforcement Backdrop

State leaders have floated several relief options in response to the economic damage. In February, Governor Tim Walz proposed a $10 million emergency package that would be administered through DEED and would provide partially forgivable loans to businesses that prove revenue losses, according to a press release from the Governor's Office. The financial strain followed a major federal enforcement action called Operation Metro Surge, which local reporting says cut foot traffic and sparked protests and legal challenges, per the Star Tribune.

St. Cloud Roundtable Details

The St. Cloud Area Chamber of Commerce is hosting a special Choose Minnesota roundtable at 8:30 a.m. on Wednesday, May 27, at the Chamber Building. Business owners can register by calling Chamber President Julie Lunning at 320-656-3804 or emailing [email protected], according to KNSI. Organizers say the session will give owners room to spell out their losses, ask about relief options and swap ideas with other local firms.

What Comes Next

DEED plans to hold more Choose Minnesota roundtables around the state this summer and to publish additional resources aimed at helping neighborhood businesses strengthen their visibility and resilience, according to DEED. It is still unclear whether lawmakers will sign off on a dedicated loan program or other direct aid, but business owners and chamber leaders say they are hoping these conversations lead to practical steps that translate into real cash relief and less red tape.