ICE in Minnesota: Gov. Walz to address small business challenges amid federal surge

MINNEAPOLIS (FOX 9) - Gov. Tim Walz will address the impacts that the federal surge is having on small businesses across Minnesota during a press conference on Tuesday morning. 

ICE surge impacts on small businesses

The backstory:

Gov. Walz, along with key figures like Matt Varilek from the Minnesota Department of Employment and Economic Development and other business owners, will discuss the impact of federal actions on local businesses. The event is scheduled for 11 a.m. on Tuesday and can be watched live in the YouTube player above.

The federal surge has led to reduced foot traffic, staffing issues, and revenue loss for many businesses across the state. While some areas, like those near Alex Pretti's memorial, see increased activity, other regions face significant challenges.

In a recent court filing, Attorney General Keith Ellison highlighted the economic harm caused by the federal immigration surge. "The culture of fear created by DHS actions have caused immigrant workers to stay home, which risks damaging sectors of Minnesota’s economy that disproportionately depend on immigrant workers, in addition to Minnesota’s economy at large," said Ellison.

Ellison noted that businesses along Lake Street in Minneapolis reported an 80–90% drop in sales, while some in St. Paul experienced a 60–70% decline. Those impacts contrast with conditions in parts of south Minneapolis near 26th Street and Nicollet Avenue, where Alex Pretti was shot and killed by Border Patrol agents. In the immediate aftermath of the shooting, protests blocked off streets and police temporarily shut down access to the area.

More than two weeks later, restaurants and retailers near the memorial to Pretti are seeing an increase in foot traffic as people continue to stop by the site. Still, some small businesses that voluntarily closed in solidarity with the general strike are expected to feel the financial impact on their bottom line.