Louisiana manufacturing award requires match; state share not yet set

(The Center Square) – Louisiana has secured $1.54 million in confirmed federal funding for the first year of a manufacturing technology initiative, while the state’s share of the required matching costs is still being finalized, Louisiana Economic Development told The Center Square.

Louisiana Economic Development announced Friday that the initiative could receive about $7.5 million in federal funding over five years and exceed $15 million in total investment once state and partner contributions are included.

But only the $1,537,719 federal award for Year 1 is currently confirmed. The agency said the roughly $7.5 million federal total is a projection based on continued funding over the full five-year period.

Funding after the first year is subject to annual federal appropriations and satisfactory performance reviews.

The agency said the detailed allocation of state and partner contributions, including amounts expected from LED, participating universities and regional partners, is being finalized through the cooperative agreement process with the National Institute of Standards and Technology.

Louisiana Economic Development said it will not provide preliminary figures or identify individual partner commitments until those amounts are confirmed.

The required nonfederal match may include both cash and eligible in-kind contributions, according to Louisiana Economic Development.

National Institute of Standards and Technology requires recipients in the Manufacturing Extension Partnership program to provide nonfederal funding covering at least 50% of total project costs.

Louisiana Innovation, a division of LED, will operate as the state’s designated Manufacturing Extension Partnership Center through the program.

LED said the expanded Louisiana Innovation Labs network will help small and midsized manufacturers adopt technologies including artificial intelligence, robotics, automation, advanced materials, additive manufacturing and biotechnology.

The program will target industries including energy and process industries, agribusiness, aerospace and defense, life sciences and logistics.

Participating organizations are expected to include the University of Louisiana at Lafayette, South Louisiana Community College, Louisiana Tech University and Louisiana Central.

Companies participating in the program could receive assessments of potential technology upgrades, technical assistance, workforce training and help identifying financing, according to LED.

LED Secretary Susan B. Bourgeois said the initiative is intended to give Louisiana manufacturers access to technology and expertise needed to modernize their operations.

The cooperative agreement is expected to run for as long as five years, but LED said funding after the first year is neither awarded nor guaranteed until future federal funding is approved.

Louisiana Editor

This story originally appeared on thecentersquare.com.