Northwest Minnesota Foundation
RESOURCE
The Northwest Minnesota Foundation invests resources, facilitates collaboration and promotes philanthropy to make the region a better place to live and work.
FALL 2015 | Number 70 Board of Directors Pete Haddeland, Chair Tom Anderson, Vice Chair Faye Auchenpaugh, Secretary Leah Pigatti, Treasurer Judy Roy Jody Horntvedt Jon Quistgaard Jon Linnell Tom Anderson Cathy Forgit Kristin Eggerling Edie Ramstad Steven Anderson
Developing Community Assets Serving 12 Counties
HILLCREST SENIOR LIVING FACILITY It is a service often unnoticed, until it isn’t there – senior living. The community of Red Lake Falls knows all too well how important Hillcrest Senior Living Facility (HSL) is to their small community; at one time, it was close to being obsolete. “The facility was being operated as a nursing home and unfortunately nursing homes are not profitable,” said Jim Birchem, HillCrest Senior Living owner. He added, “Medicaid reimbursement rates do not match the actual costs of staffing and other operating expenses.” The difference between a nursing home and an assisted living facility is that an assisted living facility is a mix of private pay residents as well as residents on Medicaid; they do not rely solely on Medicaid as nursing homes do.
Erma Pouliot, HSL resident After Jim and his wife Kathy discovered this profitable formula, Kaska Properties, LLC purchased HSL from Riverview Health in 2008. HSL is now an ElderCare of Minnesota property. ElderCare of Minnesota is the umbrella management company that operates 34 separate elder care facilities, with 16 in Minnesota. Seven of the 16 Minnesota facilities are located in the northwest region: Bemidji, Continued on page 7
MESSAGE FROM THE PRESIDENT Greetings! Seven years ago, NMF helped to convene a group of senior executives to align resources around a common vision for the future of the regional economy. That group became known as IMPACT 20/20, and today it stands as one of the most effective efforts of its kind. Many approaches have been tried to Nancy Vyskocil pursue economic development strategies on a regional basis, both across the state and the country. Few of them have achieved the sustained level of accomplishment demonstrated by IMPACT 20/20. The success of IMPACT 20/20 can only be attributed to the commitment and results-oriented attitude of the many people involved. Central to the group is a Leadership Council consisting of 25 top officials from the public, private and nonprofit sectors. Among these are seven heads of higher education, one school superintendent, two directors of economic development commissions, two directors of workforce development agencies, two bank presidents, four business owners/managers, five nonprofit directors, one foundation vice president, and one foundation president (myself!). The challenging work of IMPACT 20/20 is directed by taskforces that have been established around each of three focus areas. These are composed of Leadership Council members, along with some of their support staff, and other regional stakeholders. Since the inception of IMPACT 20/20, an Education Taskforce has implemented several initiatives to increase the on-time graduation rates of area high schools and boost enrollment in local colleges. A Workforce Taskforce has sought to improve the leadership skills of mid-level managers in the for-profit sector and the “soft” skills of those just entering the workforce. And a Broadband Taskforce has promoted policies to support the installation of high-speed internet throughout Northwest Minnesota. It has also provided training and technical assistance to encourage local businesses to adopt a more robust telepresence. Some recent activities include: The Education Taskforce partnered with NMF to conduct the second annual Northern AdvantEdge Career Expo, an event that attracts nearly 1,200 students from the region to focus on career preparedness. The 2
Broadband Taskforce, also in partnership with NMF, completed a second round of extremely well received workshops on Digital Marketing. Finally, I’m pleased and excited to report that the Leadership Council of IMPACT 20/20 has just adopted a new focus area where members intend to concentrate resources – housing. During the past two years it’s been a constant topic of any conversation. The housing needs seem to vary throughout the region, but one thing that is consistent is lack of housing and how it’s impacting economic development. We are excited to see some new projects come online in communities like Roseau, but the group reached a strong consensus that much more needs to be done. We will keep you updated as this work progresses.
Change is underway as Marty Sieve, vice president for programs has announced his retirement effective April 1, 2016. Sieve began working for NMF as a grants officer in 1991. Ten years later, he was promoted to his current position. Much of NMF’s nearly 30-year history has occurred during his tenure. Sieve has been particularly instrumental in strategic planning for NMF and in convening the regional group of senior executives, IMPACT 20/20, which aligns resources around a collective vision for the economy of Northwest Minnesota. His work with the IDEA Competition over the past eight years is also notable. “Marty has been an integral part of the fabric of our region for more than 20 years,” said President Nancy Vyskocil. “He has shepherded the development of many programs that define the Foundation and his legacy will continue to benefit NMF and the region for years to come.” Upon retirement, Sieve plans to pursue his interest in the outdoors. Some of his favorite places in Northwest Minnesota are the farmlands of the Red River Valley, the woods and meadows of the Aspen Parklands, and the wetlands of the eastern forests. He and his wife, Colleen Shannon, also plan to spend time in other locations, including the Sand Hills of Nebraska. A search for Sieve’s replacement is underway.
NORTHERN ADVANTEDGE CAREER EXPO NMF and IMPACT 20/20 held the second annual Northern AdvantEdge Career Expo on October 28 at Bemidji State University’s (BSU) John Glas Field House. Together, 14 high schools from throughout NMF’s region brought more than 900 high school students to connect with local businesses and their employees. One hundred exhibitors filled the arena floor, providing hands-on activities to show students the details involved in their lines of work. Students also attended break-out sessions to converse in small groups about various careers in their areas of interest. Following the in-depth sessions, 18 presenters answered individual questions from students. “This event exceeded our expectations,” said NMF Communications Specialist Ashley Johnson. “The career expo allowed us to show off Northwest Minnesota’s higher education entities and our region’s industries. We hope this platform will aid us in retaining a talented workforce.”
Exhibitors included several manufacturer’s booths, a welder’s booth from Northland Community & Technical College, and a chemistry lesson on making homemade ice cream from BSU’s chemistry department, among many others. Presentation topics included: construction, graphic design, web development, nursing, education/teaching careers, architecture, physician’s assistant, physical therapy, and social work careers. One presentation touched upon workplace values and the importance of soft skills. Local businesses, area high schools, Bemidji State University and Northwest Technical College provided invaluable support for the expo. We’d like to extend our appreciation to all of the event’s sponsors: Bemidji State University, IMPACT 20/20, Northwest Technical College, Northwest Minnesota Foundation, 360 Manufacturing & Applied Engineering Program, Northland Community & Technical College, University of Minnesota Crookston, First National Bank Bemidji, and ConAgra Foods (Park Rapids)
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ASSET BUILDING GRANTS Grants totaling $166,253 were awarded from September 2015 - November 2015 COMPONENT FUNDS TOTAL: $115,674 21 GRANTS AWARDED
COMMUNITY CONNECTIONS NATURAL RESOURCES
TOTAL: $27,300
TOTAL: $15,779
COMMUNITY PLANNING TOTAL: $7,500
Minnesota Asset Building Coalition
River of Dreams – International Water Institute
Baudette Downtown Revitalization – City of Baudette
PHILANTHROPIC SERVICES - NEW COMPONENT FUNDS: Fr. Don Braukmann Scholarship Fund
Will provide funding for annual scholarship(s) to a qualified high school graduate who is an active registered member of Blessed Sacrament, Greenbush; St. Edward the Confessor, Karlstad; or St. Joseph Husband of Mary, Middle River, and are pursing postsecondary education through a college, university or trade school. Scholarship funds are to be used for tuition and books or direct educational materials.
Beverly Rowland Fund
Will provide direct financial support for a benevolence fund that helps disadvantaged students, who are diligent learners on track to graduate, and who are identified by teachers and staff at ISD #31 Bemidji High School or its successor.
Blackduck Trestle and Trails Fund
Will provide financial support for the trestle bridge, trails and recreational amenities in the Blackduck area, including support for rehabilitation, repair, construction, and maintenance of the historic trestle bridge.
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Component Fund Grants are now found online at
NWMF.ORG under the Donor menu.
BUSINESS DEVELOPMENT PROGRAM BUSINESS FINANCE MICROLOANS One loan was made in the amount of: $300,000 Hillcrest Senior Living, Red Lake Falls Capital to build an assisted living facility.
Business counseling and loans are available to help entrepreneurs develop small business and selfemployment opportunities. Five loans were made totaling: $122,500
TECHNICAL ASSISTANCE Four businesses from Park Rapids, Bemidji and Red Lake received a total of $3,472
The Business Development Programs of the Northwest Minnesota Foundation receive funding and support from the Minnesota Department of Employment and Economic Development and United States Department of Agriculture Rural Development as well as the Small Business Administration and Fannie Mae.
COMMUNITY SUCCESS CELEBRATION Community Funds of the Northwest Minnesota Foundation Argyle Badger Bagley Crookston Fertile-Beltrami Fisher
NMF’s annual Community Success Celebration was held in Warren on September 2. This year’s recipient of the Community Philanthropy Award was the Warren Area Community Fund (WACF). “This advisory committee has made tireless efforts to make positive changes in their community and promote their fund,” said Caryl Turnow, NMF senior development officer. The fund raised just
over $638,000 in private donations for a new assisted living center in partnership with Warren Economic Development Authority and Good Samaritan. In addition to continuing to grow the endowment, the Warren Area Community Fund is raising money for the community pool’s bath house. To date, $34,500 has been raised from individual gifts and fundraisers.
Fosston Greenbush Hallock Mahnomen Park Rapids Red Lake Reservation Red Lake Falls Roseau Stephen Thief River Falls Twin Valley Warren Warroad White Earth Reservation
Pictured L to R: Jodi Gulden, John Johnson, Co-Chair; Annette Maurstad; Sheila Hoerner, Co-Chair; Julie Nowacki; Perlie Johnson; Therron Johnson and Ed Gulden. Not pictured: Amy Bartels, Wayne Spidahl, Michelle Staebler, Kent Broten and Cam Fanfulik 5
STAR In 1997, Jane McKelvy from the Northwest Minnesota Foundation asked Sue Liedl to develop what has become a groundbreaking program called Students Teaching Attitudes of Respect (STAR). The youth leadership program focuses on training middle school students to teach the skills of peace. Since that time, over 2,000 students have gone through the program and gone on to instruct their classmates, families, schools, and community groups. STAR has been very successful at realizing its mission. Every year, students learn the important concepts of social emotional learning, being an “Upstander” and ways to build community. The need for this kind of life skills program continues to grow. This fall, Northwest Minnesota Foundation and Peacemaker Resources conducted STAR sessions that trained 139 youth, 17 advisors and 19 youth advocates from across the region.
Sue Liedl, pictured standing above, has been one of the primary trainers and an important developer of the program since its inception. Sue decided to retire and has taught her last STAR sessions. We thank Sue for the work and guidance she has provided and wish her the very best always!
COMPETITION December 31 is the deadline to register for the 2016 IDEA Competition. IDEA is a Northwest Minnesota competition that turns great ideas into great businesses. The annual competition provides training, business coaching, and capital to participating entrepreneurs who want to turn an idea into a fast-growth business. 6
Successful businesses require hard work, the right connections, and a flash of inspiration. If you have an innovative business idea, the IDEA Competition will add momentum to your business strategy, whether you’ve never started a company or you’re already in business and generating revenue. Visit ideacompetition.org for more information.
HILLCREST continued from cover Blackduck, Thief River Falls and Red Lake Falls. Along with NMF, lenders for the $1.8 million renovation project include Unity Bank of Red Lake Falls, and Minnesota Business Finance Corporation, located in St. Cloud (SBA 504 loan program). According to Diane Morey, NMF senior program officer - business finance, this is considered a community vitality project for the Foundation. She said, “It was a very remarkable partnership, and all three lenders worked effectively.” Community vitality projects are a preferred business finance credit because of the larger regional impact: expanded goods and services, employment, business opportunities, adding to the tax base, and in this case, a needed housing option for seniors. The project also enhances quality of place, and it is proving to be a vital renovation for Red Lake Falls. “In this community, there is a large need for this type of facility, especially our memory care rooms,” said ElderCare of Minnesota Regional AL Manager Jane Pantzke. Each tenant has his or her own care plan which is tracked through Residex
– state of the art technology offered at HSL. In addition to the memory care area, there are 13 suites and a 10-bed area for residents 55 and older. Currently, there are 11 residents and that number is growing due to high demand for the services offered. “On Sundays, HSL is a hot spot. After church, relatives start flowing in and there is a steady flow of traffic all day,” said Pantzke. It is a local stomping ground for many, and the small town community has banded together to serve the assisted living facility. The local librarian brings books each day, and the area’s hairstylists willingly volunteer to work. Pantzke said, “The Red Lake Falls community is passionate about taking care of our elderly – and that is what makes this place thrive!” The Birchems have also expressed a commitment to serve elder residential needs in rural Minnesota. They are adept at understanding these needs given a specific community, the regulatory environment and respective revenue streams, which is no small feat, according to Morey.
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MERRY CHRISTMAS & HAPPY NEW YEAR!
s条taff wish条f y댃Āou条s a w条so条lnderful条h h条goliday s条oeason条h Not pictured, Vicky Grove