FOR SALE
Industrial Spec Building & Housing/Commercial Land Available www.ci.stjames.mn.us
The St. James EDA is constructing a 20,000 square foot industrial spec building that will be available to buy or lease this summer. • • • • • • • • • •
Dimensions: 200’ x 100’ x 28’ ceilings Flexibility for electrical, flooring, heating and plumbing Image at right is 3D rendering of actual building Expandable end wall 2 Loading Docks Exterior storage space in rear yard Building plans available for viewing 240 16th Street South, St. James, MN 56081 Acres: 1.69 (173’ x 426.48’) Zoning: I1- Planned Industrial District
Both Sites Feature Great Transportation Options
For Sale or Lease • 0-1 miles to UPS • 0-1 miles to Rail
• 1-2 miles to Hwy 60 Interchange • 3 miles to St. James Municipal Airport
The St. James EDA has a 1.62 acre parcel for sale. • Zoned R-1, willing to rezone to B-2 • Site is well suited for multi-family housing and/or commercial business. • 1207 6th Ave South, St. James, MN 56081 • 1.62 Acres • Survey available for viewing • All utilities are on or adjacent to site
Contact Us Today for Details! Based on job creation, the City may offer land grants and/or tax incentives.
Jamie Scheffer St. James EDA Director
507-375-1289 jamie.scheffer@ci.stjames.mn.us
About St. James • St. James is a growing regional center just 35 miles from Mankato. • Visit www.discoverstjamesmn.com to learn about our community. • Visit www.ci.stjames.mn.us and click on “Doing Business” to learn about our business resources.
JULY/AUGUST 2018
Contents
THE MAGAZINE FOR GROWING BUSINESSES IN SOUTHERN MINNESOTA
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COVER STORY
Mankato’s Game Plan
STAFF & CONTRIBUTORS Publisher: Concept & Design Incorporated Editor: Lisa Cownie
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Art Director/Staff Photographer: Kris Kathmann
An in-depth interview with the city of Mankato’s play caller, city manager Pat Hentges. Hentges talks about his successes and challenges since taking the helm, and talks about how the changes in the last decade or so have poised the city well to tackle the future.
Contributing Photographers: Art Sidner Contributing Writers: James Figy, Corree Johnson, Timothy Olson Production: Becky Wagner Circulation: Becky Wagner Printing: Corporate Graphics, N. Mankato Mailing: Midwest Mailing, Mankato
PROFILES
Cover Photo: Kris Kathmann
Retail Renaissance
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We talk to Ashleigh Moelter, owner of the small, local women’s boutique, The Refinery. While national retailers around us are packing up and heading out, specialty shops like Moelter’s are thriving. So much so that she is adding new locations and a new partner.
Home Turf Advantage
CIRCULATION
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9,400 for July/August 2018 Published bimonthly
CORRESPONDENCE Send press releases and other correspondence: c/o Editor, Connect Business Magazine P.O. Box 176, Nicollet, MN 56074
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E-mail: editor@connectbiz.com (please place press releases in email body)
Home grown and family-owned, we talk with Marv Kottke of Spring Touch and find out how he grew his boyhood lawnmowing business into a flourishing business in Southern Minnesota.
Web: www.connectbiz.com Phone: 507.232.3463 Fax: 507.232.3373
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Copyright 2018. Printed in U.S.A.
EDITOR’S LETTER
Acting On Instinct This issue of Connect Business Magazine features three very different people, in three very different industries. However, there are two things they all have in common: they have great instincts and they have a great love for southern Minnesota. Pat Hentges has been at the helm of the city of Mankato for more than two decades. Now in the twilight of his career, he reflects back on his challenges and successes, but mostly he looks to the future and at how well he has poised the city for future growth. You’ll also be inspired by a young lady who juggles a growing, thriving business...and a big family...and always does it with a smile: Ashleigh Moelter of The Refinery. And of course the heart of what makes Mankato special are the family-owned businesses, like Spring Touch in St. Peter. We bring you the story of the Kottke family. So, happy reading...and hopefully, learning!
Lisa Cownie Editor
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ARCHITECTURE + ENGINEERING + ENVIRONMENTAL + PLANNING JULY/AUGUST 2018
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By Lisa Cownie Photo by Kris Kathmann
For 22 years, city manager Pat Hentges has led Mankato through struggles and success while developing a vision for the future of a thriving regional center.
In the game of football, linebackers are often regarded as a key position in defense. Linebackers are known to be versatile, either providing hard hits on running plays or providing an additional layer of pass protection, whichever the situation calls for. Linebackers are required to use their judgment on every snap, to quickly determine their role after “reading” the offensive play. This snap decision, though, is often made after much study of the other team in the days leading up to the game. Preparation. Execution. Working as a team. All moving toward a common goal, a strategic plan if you will. Why the sports primer in a business magazine? Because linebacker is a position that Mankato City Manager Pat Hentges knows well. And it’s a position that parallels, in many ways, his position now. He played linebacker in high school at Bethlehem Academy in Faribault, and later at the collegiate level including junior college and at St. Cloud State University. It was all long ago, long before he even had thoughts of calling the plays for one of Minnesota’s fastest growing economies. Likely most of you reading this realize, Mankato receives high marks in many areas: highest gross domestic product growth rate in the state (2016), and since 2014 the city has attracted nearly $500 million in capital investments. In addition, the Greater Mankato economy is highly diversified, with approximately 36% Primary Economy, 53% Professional/Service Economy and 11% Retail/Consumer Economy (via Greater Mankato Growth). And in the last ten years the City Center has experienced a revitalization. It’s important for us to look at how we got here. For that we can go back to Hentges’ early “career” on the field: Preparation. Execution. Working as a team. That’s how Hentges has led the city for 22 years now...and counting. continued >
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Mankato's Game Plan
“I still find the job very challenging,” he says. “I still enjoy getting up to go to work every day. I think if we were to take a picture of me over the last 20 years, you would see a progression. I'm not getting any younger and I am in the twilight of my career. But it will be hard to give up the reins when the time comes. That time is not now, as Mankato continues to pose a lot of professional challenges for me. It's a very enjoyable community. From a city leader, a city manager standpoint, overall it's been a very positive experience.” Over his more than two decades with Mankato, Hentges has been the play caller, surrounding himself with a strong team. “I took over for Bill Bassett, who is a legend in my field, so I knew I would be walking into a good situation,” he says. Still, Hentges did a bit of a rewrite on the playbook. First, captaining his team to create a strategic plan, then leading them in whatever way the situation called for, using keen instincts for success.
“I like to say it's more luck,” he chuckles. “My success has been more to do with luck than it has ever been to do with my skills. I'm not the smartest guy, I'm not the best-looking guy, not the best command of the English language but I think I have a keen eye for hiring and developing good people. When I came here there was a council that wanted change, it was a community that wanted change. It was a great time to step in.” But, of course, he didn't run off the field and right into Mankato City Hall. “Right out of college, I spent 13 years in the Faribault city administrator's office, eventually becoming city administrator,” he explains. “Then I was recruited by a local private company here, Met-Con Companies. I was a general manager at Met-Con for about four years in the late '80s and early '90s. However, I kind of missed the public sector and the community involvement that you have as a public administrator and public leader. So I went to work for
the city of Columbia Heights, Minnesota as their city manager. “There were some great challenges in Columbia Heights with it being an inner ring suburb. It helped me grow. But I always had a strong interest in development and growth, as well as progressive service delivery. I think because of that interest in development and growth and my experience working in the private sector at Met-Con, Mankato was interested in me.” Indeed, Mankato did snatch him up. That was in 1996 and Hentges has been at the helm of Mankato's city operations ever since. Hentges works with the team around him to follow a strategic playbook for the city. Sometimes he has to hit hard and tackle tough issues, other times he sits back to allow a play to unfold before jumping in. Preparation. Execution. Working as a team. In this interview, he talks a little bit about the changes he's seen, but mostly he talks
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City of Mankato | Mankato
about how well those changes have poised the city for the future. When you came to Mankato, what challenges did you face at that time? It’s kind of interesting in that we had a number of challenges and certainly, we had some issues in public safety at the time that came about after a pretty large change in the community in the ‘80s when the city went to a combined police and fire public safety organization. So the city was still dealing with the effects of that. Also at that time, there was a fair amount of what I would call employee-morale issues. Bill Bassett, who I followed, I think had positioned the city pretty well financially and we were very financially stable at the time. We had good reserves and a very lean budget, but I think there were a lot of concerns about our service efficiency in terms of street repairs, snow plowing, those kinds of bread and butter issues. So there were challenges there.
“We spent a lot of my early years in goal setting and developing a strategy for the future to address a lot of important issues.” The other thing that I think the council really wanted to look at was to facilitate a strategic plan or, in other words, set some priorities. We spent a lot of my early years in goal setting and developing a strategy for the future to address a lot of important issues. Three themes were very evident: Improve the efficiency, address the morale issues organizationally, and at the same time look to the future and set some goals that everybody could rally behind. So we knew we wanted to pursue those three things, but there are a lot of things that came up in the meantime. They hired me one night and they sold city hall the same night, without any idea where they were going to go! So there were also a lot of those kinds of initial challenges.
I think also, and I was a little dumbfounded and taken aback by this, but there was a rather rocky relationship between city hall and the media. There were some challenges, I think, early on in working on that and shouldering a lot of the decisionmaking, while also being responsive to the public and the media. So we had to learn to ride that balance there, keeping people informed and such. It’s safe to say, after those early challenges, I found that the community was very open to change and I think wanted it. Why do you say the city was ready for a change? I think we, the city, had a little bit of an inferiority complex to some of the other
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Mankato's Game Plan
regional centers. Even though others may not have been able to see it, I could recognize the potential of this city and that’s what attracted me to the job. There was a willingness on the part of the community to be something more than they were at the time. How did you address some of these challenges? First, I wanted to get the council to think about longer-range planning and what I’d call strategic planning from the standpoint of really laying out their collective goals, so that we could, as a staff in the organization, get behind and get out in front of those issues. As opposed to council members bringing up very minute issue focused on individual citizens. There was a time when if one citizen had a concern we’d spend the whole council meeting on that particular issue as opposed to working in a work program that had some general priorities to it. With a strategic plan I could get the staff to focus on working on the council priorities as opposed to continually responding to small things that popped up. As for the challenges on the media relation side of this, we decided to focus a lot of the media inquiries through me. Until then, we had mixed messages depending on which council member, which mayor, what staff member you talked to. Often they would give out their personal opinions rather than the city’s interest. So I spent a lot of time with the media and basically said, “I’m the spokesman for the city and I believe I can pretty well represent the council’s position and at the same time, understand that I represent the city organization’s position.” I think that helped develop a better relationship. We made ourselves accessible to the press. How about the morale issues, those are sometimes the toughest to tackle. Well, I think we continue to struggle with it to a certain extent as does any organization. But we’ve made great strides in the last 10 years as we’ve developed strong senior leadership. So it isn’t always centered around the city manager, but accountability includes all our employees. The key is everyone in the organization recognizes they work for the city of Mankato. They’re not just these independent, separate entities like public works, public safety, administrative services, community development, and so forth. It is recognized that we are one and we have a common goal. Sometimes a service department may be the lead, but they’re very dependent on their colleagues in another department. Having that understanding and appreciation and leadership at all levels has helped us make great strides. But it was a challenge to change that culture. We had a lot of struggles. I used to hear people very commonly say, “I work for the street department so that’s not part of my job” or “I work for the police department so you’ll have to ask someone else” or “I’m with the fire department.” Well really, while not everything will be related to your primary focus you have a responsibility to the residents of this city. So if you drive by something that needs to be addressed, report it to the appropriate department so that they can resolve it. Those types of things we’re making strides in but there’s always a little bit of reinforcing. What we try to get through is one brand, one message, one service. We all work for one team: the city of Mankato.
City of Mankato | Mankato
“What we have is a very sustainable community financially. And, I may say also environmentally. Our infrastructure is as modern as you can possibly be for a 150-year-old city.” What would you say has been the biggest difference you’ve made as city manager for the business community? First of all, we’re very competitive when it comes to taxes here. The reality is our tax rates for a city in a regional center are extremely competitive. The amount of tax base we have per capita helps spread the tax burden more evenly. Also, what we have is a very sustainable community financially. And, I may say also environmentally. Our infrastructure is as modern as you can possibly be for a 150-yearold city. Our buildings are set in a manner that I’m not worried that the end of bonds are paid off and we have to borrow more money than we have. Pretty much our building infrastructure, our sewer
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Hentges and his wife Becky each brought two kids to the marriage...and each a boy and a girl. The kids are all in their early 30s. So far, no grandchildren. “My first wife passed away about 15 years ago. When I met Becky it happened to be that our kids were all at West High about the same time, two were in the same class and two were a year apart. They knew of each other.” With the kids grown up, Hentges and his wife enjoy traveling. “I have a brother that’s overseas so we spend a lot of time in Italy and the better parts of Europe. I’ve been very fortunate in both work and in my personal time travelling.” And, while he believes the job of parenting never really ends, he has taken on a new challenge now that they are out of the house. “I’m just in the process of getting a new puppy and we’ll spend a lot of hobby time, free time training the dog,” he explains. “Hunting and dog training is kind of a passion.”
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Mankato's Game Plan
waterways systems, our streets, our roads those are all in pretty good condition and at a pretty competitive cost basis for a community of this size in a regional center. It’s a good place to do business. Second part of that is we have set the table very well for growth and investment. We have one of the finest community development departments for a city under Paul Vogel. It is not just focused on planning, but on the economic security of the city. Hopefully, with some guidance and leadership on my part, we’ve really set a process where it’s a good place to do business, make an outside investment, make an internal investment in growth, as in a new subdivision or a new business. The process of regulations, building permits, and the developments permit is very streamlined. We get great feedback from outside developers when they come in and build a building or locate a business here. Overall they are pleased with our processes. I think to the business community, the key is that the business climate is very sustainable and economically diverse. Financially, we’re not overburdened to a degree, our tax rates aren’t high, we’ve got a diverse tax base. So if you have a downturn like unfortunately, our Herbergers or a Sears going out, we’re not as reliant on that tax base as maybe someone else would be. I think there will always be those ebbs and flows in the economy, particularly retail and service economy, but I think we’re wellpositioned as a regional center.
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Let’s talk about the River Hills Mall. How concerned or involved does the city need to get when you see things like what’s happening at the mall? Cities traditionally, because of the nature of how retail business is structured, typically are not that actively involved and I can tell you that is the way it is all around the country. Cities may be actively involved in bringing in one large shopping center or mall, but there are very few financial incentives, other than reasonable taxes, that we can use to entice them. Compared to when you talk about job producers, like manufacturing businesses, then we have a variety of financial tools in the tool box available. Including providing good public infrastructure. That allows us to entice business. That said, I think it is of concern when you have a large investment like River Hills Mall, a building that’s a tenant building, having two large tenants go out and perhaps nationally, another one being on the brink, it can be a concern. Everywhere is experiencing this though. National retailers are all having similar issues. My generation and probably your generation viewed going shopping and going out with your family to a mall as somewhat of a social event. But for millennials, buying something on Amazon is about as social as they get with shopping. But the General Growth’s (owner of River Hills Mall) of the world know this. I can tell you that when I came here, we had the old Kmart building and the old Shopko building on the market at that
City of Mankato | Mankato
“We could see that there was some hospitality development that’s centered around a Civic Center, but what was missing downtown was a population base. You can’t solely rely on restaurants and bar business at night, you need a working population.” time. And Madison East and the downtown mall were empty. But those locations learned to adapt. Madison East back filled with businesses in the medical industry, so now there is virtually no retail in there. I am hopeful that the General Growths of the world will look at them and say, “How can we change the nature of our business models to keep the core of retail in there?” I went to a shopping center convention, actually 10 years ago, and the General Growth president at the time was talking about how the shopping centers may become more mixed-use centers. In other words they’ll have housing on top of them and there would be other things as well. That’s going to have to be part of a national discussion because these buildings are owned nationally, whether
that will work in Mankato versus working in the Chicago suburb, I don’t know. But it’s of concern because it’s one of the top 10 tax payers in Mankato and when they have an empty store, they don’t really pay taxes and they pay taxes at a lower value than if they are filled. But as I said, 10 years ago or 20 years ago, there were as many alarming empty storefronts as there are today. We’ve managed with our growth here, to fill these centers up over time. But retail has new challenges in the future. The good news is we still draw from a pretty significant area, including a good amount of Northern Iowa. In fact, though we still have a few large vacancies, the vacancy rate today is less than 20 years ago and significantly less than the national average.
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I want to talk about the City Center. I think you were instrumental in helping revitalize that. I give a lot of credit to the fathers and the city mothers that helped with the Civic Center. I think that was a big vision, a big idea. I think the outcome of that has been very positive. It was a bold move for a city of our size. I think that helped set the table and really pushed city leadership to capitalize on it. We could see that there was some hospitality development that’s centered around a Civic Center, but what was missing downtown was a population base. You can’t solely rely on restaurants and bar business at night, you need a working population. There were two ingredients that we set out very strongly in those initial goals. One was to build a better corporate business environment downtown and the other to make it a good place to have a corporate environment that’s attractive to the modern professional worker. That was important. It started with a lot of the projects that really have come to light in that last decade or so that helped us go beyond the hospitality business such as the Graif building and the US Bank building, also the Landkamer building. All of those were redone. It created what I’ll call a class A office environment for really a lot of the younger professional workers that wanted to be here. If you got a strong commitment from, what I’ll call, the corporate business environment downtown, it will lead and it has led to more hospitality business. It has led to a little more stable retail business along Riverfront. Soon there will be some marketability for service uses downtown. That was one goal that had taken nearly 10 years to realize but it is well on its way. Now we have shifted to new construction like Tailwind Development and the forthcoming Eide Bailly Tower. These businesses are willing to pay substantially higher rents than they would be in what they call, maybe a suburban freestanding level building, because that’s what the professional, younger, modern worker wants, whether they’d be in accounting, or legal professions, and those types. The second part of it, which has been a long time coming, is the University having a greater presence downtown beyond just
City of Mankato | Mankato
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playing hockey in the Verizon Center. We’re seeing more interest in the University opening up facilities and obviously the Hubbard building is first sign of that. I think that could be the future. Unfortunately, we’re moving in the times where brick and mortar is going to be less important but maybe that’s a reason to take advantages of other spaces in the community and make a better connection for the young graduates coming out in their careers. Business wants to see that connection and what better place to do it than the City Center? Also retail use downtown has picked up. The other thing that really is going to happen, I think, into the future is the millennials wanting to be able to bike to work, run to work, walk to work. So housing is going to be something that I predict probably in the next 10 years that you’ll see higher quality housing, not just affordable housing, but higher quality housing come back to our City Center. Then obviously with that, you’ll see service businesses ramp up because of the same reason, close to work. All these aspects of redevelopment and new investment will create an environment that supports this shift.
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You mentioned the Civic Center being bold. Riverfront Park is another great addition to the downtown. I drove down here in the fall of ‘95 to interview for the job. Coming down from the Twin Cities, it wasn’t the most pleasing drive. The river bottom was significantly farmed off and on, depending on the high-water years. But now you see a very picturesque valley as you come from Le Sueur off the Green Giant and into the Valley. It’s developed with more natural environment. I think the region has recognized the importance of that. I’ll give the young fellows at Bent River some credit. They helped bring an awareness that the rivers are a significant asset for our community. Riverfront Park was really not much of a stretch. We just wanted to duplicate what we did at Sibley and Kiwanis Dog Park. We took undevelopable riverfront land where you couldn’t really develop a businesses, so we made it a park and recreation asset. It provided accessibility to the river. So Riverfront Park is a start, but I think there is a lot more to do. Unfortunately,
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we can’t take down flood walls but there are some other opportunities out there. The quarries in the future may have some development potential but also some development potential that provide that population accessibility and the community accessibility in the river. Another testimony to the city and the county using our natural assets, is they purchased the gravel pits by Red Jacket trail in Mankato. Now, they have a significant future potential to be a great park and open space close to the river. We’ll never have that picturesque waterfront that many communities have, but we have pockets where we’re going to be accessible. Riverfront Park was one of a couple projects that really began that thinking. And it was really something that came out of the strategic planning effort. The public involved in that with their input. We heard that community goals included more accessibility to recreational activities. So that’s what we’ve done.
I think—and I don’t know how to say this without embarrassing you—but you have a great vision. I really do think it was your vision that helped us get to where we are in Mankato with everything that’s been happening. Well, I think it was at least offering the council the opportunities and then getting the council to develop a consensus on some of the goals. Since then, I’m very proud of how that has evolved from the standpoint that we’ve taken it from those city leaders to more community engagement. We listened to what the community had told us and then we tried to fashion strategies around it. Really, as we look in the future after surveying the community, gathering input, having some listening sessions, and sitting down with the council we’ve really developed three themes. First of all, affordability. Affordability isn’t just housing, it’s affordability in terms of transportation for people, and other financial challenges for people, like daycare. If you’re
going to be a young, vital professional here, you’re going have to be able to cover those basic costs. So we want to make our community affordable for people as they are building their lives. In our strategic plan, we want to make sure that they have accessibility to jobs and services via the transportation system. And that daycare piece is one that continues to be a challenge, but is something we are planning for. The second area is stewardship and that means not only financial sustainability within your tax base, but also the things we do to operate the city, maintaining our buildings, and it’s also environmental sustainability. I think really we’ve done a great job. We have a state of the art wastewater treatment plant. That’s not a sexy business... Wastewater...but it’s important. We also have a very sustainable water system. Those are two of the largest city assets and investments we have. One of the things that’s very important to me is that we have to be good stewards of
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City of Mankato | Mankato
what we have, not only of our financial dollars but also the river water quality we have here. Never in the beginning of my career would I think water quality or quality water sustainability would be the issue that it is. The reality is we all have a responsibility. I think one thing Mankato recognizes is that regardless of our prosperity here locally, it’s underpin from the rural economy around us, like the farm economy and the smaller communities, that come here to shop, do business, buy pickup trucks, buy farm implements, go to the River Hills Mall or Walmart to buy groceries. Maybe we have a bigger role in it in terms of leadership in the city but we all have a responsibility to really have good water quality for a lot of reasons than a supplemental piece. What’s the third priority? The final piece really is community building and the livability of the city. That means focusing on recreation, music, the arts. You have to look at all of that, and
what are the projects that will best make those things accessible. We’ve got some very specific strategies centered around those themes. They’re under development right now, so we’re going to come and unveil in the next six months strategy for housing, what we can do in transportation, some things also in sustainability and water quality, they’re all already underway. Some community improvements that I think address some of the recreation concerns, some of the accessibility to the river, kind of good balance and mix continuing some of the great efforts that our community has done with the arts and culture. The plan is designed to evolve through continuous community engagement. It’s been 22 years. What’s been the best thing that you think you’ve done? What’s your most proud accomplishment? I think the quality of the city organization we’ve built here. We’ve developed good lead-
ers and that’s what I am most proud of. It doesn’t happen overnight. You’re not going to come in and say, “Okay, I’m going to just change everything and change the culture.” It took time. But we’ve got a good culture, we’ve got leaders at every level. I have confidence that I could be gone tomorrow and I don’t think this city, in terms it’s responsiveness and it’s efficiency with our lean kind of operation, is going to change a bit. I’m relatively a hard driver. I think initially I was holding on tight to the reins of a team of horses and now I think I’m softly guiding it. We have 300 Spartans here. These 300 Spartans have a pretty good pace as to how we operate here and I think it’s a difference maker for our community. I’m proud in that of those 300 Spartans, every one of them is critical to our success as a community. It’s not the city manager, it’s all of us. And that’s hard. People don’t realize, it’s hard on families more so than anything else. Routinely we hear appreciation for how
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Mankato's Game Plan
THE ESSENTIALS
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What’s been your biggest disappointment? It took a while for the council to understand the value of some of what I’ll call the community building projects theme. It took some work to convince them that it is just as important to invest in the livability elements like parks, culture and arts as it is things like public safety. We have managed to develop a good balance there and we’ve developed a funding source to maybe catch up and raise our level of community assets, those livability assets, we mentioned like parks, recreation facilities even places like Franklin Rogers field. It has taken us a while to catch up and recognize the value of that. That’s probably my only disappointment. We’ve got a little to catch up in that area but we’ve made great progress. I’m an impatient person and I like to see all the work that we’ve put in to the foundation and planning in those areas happen tomorrow and happen on my watch, but it’s not going to because it’s going to be ongoing. The other thing that I think it’s taken us a while but we’re there, is transportation. We made this community more accessible, the roads are in better condition and very frankly, we’re at the crossroads of really a sharp rise and in our transit, in part because of the support and acknowledgement of funding from University students. Our ridership has tripled. I think it can only go up from there. Editor Lisa Cownie writes from Mankato.
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National Independent Retailer Month Shows “Shop Local” Should Be More Than A Slogan
The first event attracted more than 400 retailers, and media coverage including NBC, Fox, ABC and CBS. In 2011 discussions began between Bannigan and Shay as they wanted to be inclusive of everyone that participated in some way in independent retailing. July 2011 Independent Retailer Month USA was born highlighting the important role local merchants play in the community, economy and overall retail sector. Today Independent Retailer Month encourages consumers to celebrate the independent retailers that are the backbone of our communities and engages independent retailer associations and local officials to promote shop local campaigns. Statistics to support indie retail: South Dakota Rural Enterprise, Inc. found a dollar spent at an independent retailer is usually spent six to fifteen times in the community before heading out of town. Just $1 can create $5 to $14 of value in the immediate area. According to the Indiana Main Street Program, only six cents of a dollar spent at a big box retailer stays in the area.
Elsewhere in this issue, we create more sustainable cities, talk about the recently coined towns and communities. phrase “Retail Apocalypse.” Well, Independent Retailer Month I want to throw out another one was born from the collaboration of that I've embraced for decades two very different individuals who now...“Retail Therapy.” This is happen to share a common desire. the counterpoint to the national First came Tom Shay, a small phenomena that is happening as business marketing expert and Lisa Cownie large national retailers continue principal of Profits Plus. In 2003 Editor to struggle. he created a holiday, ‘National Simply put, Retail Therapy is Independent Retailer Week’, to shopping in order to make oneself feel show retailers how they could create happier. And shoppers are spreading that celebrations for their communities around joy to locally-owned specialty shops. July a “shop local” campaign. in particular is a month set aside to show Then a few years later in 2009 came that support of neighbors. Kerry Bannigan, Co-Founder of Nolcha, July is National Independent Retailer a nationlly recognized fashion-event Month with a purpose of encouraging planning firm. Bannigan launched ‘Inconsumers to shop at independent retailers, dependent Retail Week’, a week-long, which is what many consider to be the city-wide, shopping extravaganza that foundation of a strong local economy with started in cities like New York, Chicago, their positive social and economic impact. and Philadelphia. The goal was to advance Home grown, locally-owned businesses the business of independent fashion retailers. 24
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According to the SBA, since 1990, big businesses eliminated 4 million jobs, while small businesses added 8 million jobs. A Civic Economics study in New Orleans found that if residents and visitors were to shift 10 percent of their spending from chains to local businesses, it would generate an additional $235 million a year in local economic activity, creating many new opportunities and jobs. According to the Andersonville Study of Retail Economics, local business generates 70 percent more local economic activity per square foot than big box retailers. I leave you with this from indieretailermonth.com: If every family in the U.S. spent an extra $10 a month at a locally owned, independent business instead of a national chain, over $9.3 billion would be directly returned to our economy. Just something to think about.
St. Peter’s Ashleigh Moelter is riding the boutique retail wave by adding locations and partners. By Lisa Cownie Photo by Kris Kathmann
It’s being dubbed a “Retail Apocalypse”. The term refers to the closing of a large number of North American, large chain, brick-and-mortar retail stores. The trend started in 2010 and shows no sign of slowing in 2018. The statistics have become so significant in the United States that “retail apocalypse” now has its own Wikipedia entry. Major department stores such as JCPenney and Macy’s have announced hundreds of store closures, and well-known apparel brands such as J.Crew and Ralph Lauren are unprofitable. Further statistics show that nearly half of the shopping malls in the U.S. are expected to close by 2023. Locally, national retailers like Herbergers and Sears, among others, have closed their doors. Bringing this national trend close to home. “As I look at these large retailers and department stores struggling, I feel as though so much of it comes from losing touch with their customers and worrying more about the statistics. The focus for them I feel has shifted from gaining those relationships in store to now pushing the numbers and employees reaching daily quotas. Creating and maintaining a culture around daily quotas isn’t something that many individuals thrive on. They may thrive on reaching the number but getting there can seem rehearsed,” says Ashleigh Moelter, owner of The Refinery, a specialty women’s clothing shop that started in St. Peter. So, in the midst of a retail apocalypse, our region is seeing a renaissance of smaller boutiques and locally-owned shops. A movement led by local business people like Moelter. “Something that I think is so important in this industry are the personal connections and relationships you develop along the way. Our number one priority at all times is our customers. We think of them as family, even if it’s the first time we are meeting them. The relationship should always mean more than the sale. We can make sure they leave our store with the best outfit, gift, or home décor piece. But when the time comes that the outfit is out of season, the gift has been given, or they need to switch up their home décor, did we create a good enough experience the first time where they will instantly think to come back,” she says. continued >
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Retail Renaissance
The Refinery has a unique offering of apparel, home décor items and gifts. While she seems to have the right business savvy for it, retail is not her background. Just after college she had a career in healthcare administration, holding senior leadership roles in both human resources and later transitioning into clinical operations. “I loved everything about my career field and all the opportunities it brought,” she reflects. “I was in my mid 20s working for some of the most well-respected healthcare leadership teams and orthopedic physicians in the Midwest. I went home every night feeling excited, inspired and challenged. But also as a new mom, extremely tired and struggled to find the work-life balance I heard so much about.” Moelter had to not only adjust to being a new mom but also being a new mom to special needs twins, born prematurely. Along with her babies, she brought home a trach, oxygen, monitors, feeding tubes, and had to get them to up to eight therapy appointments per week, three or four physician visits a week, and then, before she knew it, baby number 3 was on the way. “It was at that time I decided to step back and take a part time position with the University of Minnesota Amplatz Children’s
Retail Renaissance
Since 1883 Nicollet County Bank
No matter how many professional roles Moelter takes on, her most important one is that of mother. Devoted to her husband and five children, Moelter prioritizes them over her business ventures, which she believes would not be successful without the strong foundation at home. “Outside of work I enjoy spending time with my family,” she says. “We are homebodies and love our time together. Most often you can find me shuttling children around from activity to activity. We also enjoy spending time together at the campground and traveling when we are able to do so.” She considers herself a life-long learner, and is committed to constant self development. “My favorite thing to do personally is to read or listen to podcasts. I am always looking to learn and develop as an individual, leader, and entrepreneur.”
220 South Third Street St. Peter, Minnesota Phone: 931-3310 nicolletcountybank.com 28
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Family Time Equals Priceless
JULY/AUGUST 2018
The Refinery | St. Peter
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Hospital and the March of Dimes as a Family Support Manager working with families who had children in the NICU. Something I was all too familiar with and a position that was near and dear to my heart. This position allowed me the flexibility to be there for my children while also being able to provide for our family. “As the years went by we started thinking more and more about what type of school setting would be best for our children. We both agreed that being in a small-town setting was best for us as a family and started looking for a home in the St. Peter area.” Moelter had graduated from St. Peter High School but going back as an adult gave her a whole appreciation...and a whole new vision
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Retail Renaissance
St. Peter Perks, The People While she appreciates the quaintness and the special character of the buildings and atmosphere in St. Peter, Moelter knows they wouldn’t account for much if not for the population around them. “My absolute favorite thing about St. Peter is the people within the community,” she reflects. “I have never met a more supportive and loving community as this one. With the growth the town has experienced it has been incredible to see such a welcoming environment for all.”
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Retail Renaissance
of what life could be like there. “I remember coming down and looking at houses and walking the downtown thinking how neat is was and what a gem of an area that I never really discovered when in high school,” she says. “I remember looking at Nutters, River Rock, Sticks and Stones, Contents, Swedish Contour and thinking wow you really can find a little bit of everything in this town. “Then the wheels started turning and I thought, I should open another women’s boutique in town! But maybe also incorporate
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Retail Renaissance
Coming Home “Growing up, the saying in our household was ‘Home is where the Army sends you’.” My mom was a Command Sergeant Major in the Army which meant we moved often, like typically every two to three years. I was born in Germany due to my mom being stationed there. Prior to graduating high school, I had lived in multiple different states including Washington, Texas, Alaska, and even making my way back to Germany as a freshman in high school. My mom is originally from St. Peter which meant during any of her deployments to Iraq, Afghanistan, and Korea my sister and I would come back to Minnesota and stay with our grandmother during her deployments. I ended up having the opportunity to graduate from St. Peter High School in 2006 and from then on knew St. Peter would one day be the place I would raise my family.”
The Refinery | St. Peter
kids apparel, gifts, and a few DIY projects. I knew nothing about opening a boutique, let alone running a business. My husband was the business man having owned some Dairy Queen franchises. But a clothing boutique, of course, was a different story.” As she does with all endeavors in her life, Moelter went into “go” mode. She found what she calls a “neat” little 700 square foot space vacant in St. Peter, pulled a few all-nighters, crunched some numbers, and put her grand plan into motion. “It was perfect. Not too big, not too small, needed some paint, a good deep cleaning but most importantly it was in my budget,” she says. “About eight weeks later I opened a little store on Minnesota Avenue called My Mother’s Daughter. A name that stemmed from everyone in town knowing my mother Kim and always being called “Kim’s daughter”. We carried a small selection of kids clothing and a small selection of women’s clothing.” Fueled by the early success of “My Mother’s Daughter” the wheels continued to turn in Moelter’s mind. “The little store was doing well but I knew I needed a little experience in the retail industry before I could jump into really successfully growing my business. So I decided to go and apply for a job at Target. In my mind I was thinking… Yes, a side job at one of my favorite stores, a great discount, and most importantly the experience I was looking to gain as I dreamt of really expanding my new boutique. I applied at Target for a flow team member position, which was an early morning position learning the logistics. I figured this way I could work
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Retail Renaissance
A Match Made In Minnesota “My husband who is originally from Roseville, Minnesota and I met through the Chamber of Commerce in Winthrop, where we also currently own the Dairy Queen there. We have five children all under the age of 8. The twins are 8 years old, then we have a 6-yearold, a 4-year-old, and a 2-year-old. Our family began in the Fall of 2009 when we welcomed our twins into this world 4 months premature. Since then our world has been nothing short of a whirlwind. After spending 7 months in the hospital with them, we were finally able to welcome them home in the Spring of 2010. Since then we somehow managed to add another three to the family and couldn’t be happier.” JULY/AUGUST 2018
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Retail Renaissance
“I peeked inside and all I could see were beautiful hardwood floors, a tin ceiling, and a whole lot of opportunity. I immediately called on it and the new landlord met me in store the very next day.” the mornings prior to my other job and still have enough flexibility to be with my kids. By the way, by this time, we had welcomed baby number four into the family! “I was called in for an interview the very next day but after seven different interviews was offered an Executive Team Leadership position in Human Resources in the southern Minnesota area. I went home, talked to my husband and as always, he looked at me and told me it was my
decision but that he would always support whatever decision I made. I am a woman who trusts her gut and knew that this was an opportunity I just couldn’t pass up. From day one of walking those downtown streets after house shopping I knew there was something special that was going to come out of it. Even if it meant I needed to learn to juggle three jobs, four kids, and everything else it entailed.” Over the next year and a half, her business
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continued to grow, they stopped carrying children’s clothing and even went through a name change to just “Ashleigh’s.” All the while, Moelter was learning all she could about the retail biz. “I remember it was October 2015. I was in the store on a Saturday morning doing a window display and noticed a for lease sign in the window across the street. I put a sign on the front door that said back in 10 minutes and walked across the street to
The Refinery | St. Peter
check out the space. I peeked inside and all I could see were beautiful hardwood floors, a tin ceiling, and a whole lot of opportunity. I immediately called on it and the new landlord met me in store the very next day. I once again trusted my gut and the timing, gave my notice at Target, and opened The Refinery late November 2015.” Today, in just two and half years since opening, The Refinery has expanded to include locations in Chaska, Minneapolis and New Prague. St. Peter though remains home. “St. Peter is our flagship location and our biggest location,” Moelter says. “We have a very strong customer following locally and throughout the Midwest. With being right on 169 we get a lot of highway traffic stopping in on their way to and from the Twin Cities area.” Up until now, Moelter admits it has been a labor of love with she and her husband carrying a bulk of the work burden. However, she finds as she expands locations she is
also expanding her support network, even bringing in a partner. “I created and developed this business on my own. Something I am very proud of but also something that I look forward to sharing with my new partner, Krista Morneau. Krista is the wife of former MLB player Justin Morneau. Krista and I share the same work ethic, values, drive, and ambition. Krista believes in small business and believes in The Refinery and future that it holds. “Between the two of us we currently have nine children and often joke that we have an entire baseball team. We are busy moms but also moms on a mission to make a difference. We hope to continue to grow and scale The Refinery but also really incorporate a philanthropic side to the business that makes an impact.” Impact is something she believes smaller, locally-owned retail shops can have on their communities. And one reason they can survive when larger retailers are struggling.
THE ESSENTIALS
The Refinery LLC Address: 216 South Minnesota Avenue St. Peter, Minnesota Address: 105 Main Street East New Prague, Minnesota Address: 102 East Second Street Chaska, Minnesota Phone: (952) 873-9679
“The future for small, locally-owned retailers I feel is positive. There is so much room for growth and opportunity out there. Seeing the shift and excitement in society for shopping local has been incredible. One of the things that is important to us as we continue to grow and expand is always creating new and exciting experiences for our customers,” she says. Editor Lisa Cownie writes from Mankato.
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A DAY IN THE LIFE
A Day In The Life There are self-help books, motivational blogs and leadership symposiums to help the business and entrepreneurial-minded make the most of each day to maximize productivity. Connect Business Magazine, though, recognizes we have great resources right in our own communities. So we are going right to local business leaders to give all of you a glimpse into how they manage their days. The goal is that readers may be able to take away little tidbits to incorporate into their own lives to be at their best in and out of the office!
lawns part time as a high school student back in 2007. What started out as a parttime job to earn extra money, slowly grew and today Total Lawn Care and Landscape, with Dustin in the driver's seat, brings attention to detail to everything that the company and its crews touches. When he is not busy helping people dream up amazing outdoor living spaces he volunteers with the Madelia Fire Department and spends time with his family. He prides himself on his unwavering commitment to his customers and always being willing to help out with anything that needs to be done. How does he manage all that? Let's find out.
Dustin VanHale Owner, Total Lawn Care and Landscape in Madelia Today, Dustin VanHale has a thriving business with numerous employees. He's come a long way from where he started, which was in his garage in Madelia mowing
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What is the one “business” habit you do each day that helps in your success? I start my day at the shop by making sure each crew and employee has the tools that they need to be successful each and every day. I make sure they know which job site
they are going to, what they will be doing, and that they have all the materials and supplies in order. I also create plans based on weather. Much of our work is weather dependent and we have to plan our days and weeks accordingly. I end my day by touching base again with my employees either by phone or by stopping by the job sites, following up on the progress of the day and making plans for the next day and/or project. Do you have a “key” or tip for staying organized and keeping all the jobs and prospects in order? Lots of sticky notes, file folders, and calendars! Why do you think your business took off and is so successful? My employees have been key in the growth and success of my business. They share the same passion for providing
excellent customer service while creating landscaping projects to meet our customers needs and wants. With the help of my employees, I have been able to take what started out as a one man business and turn that into a company with two landscaping crews, a mowing/spraying crew, snow removal crew, and an excavation crew. We are always looking to grow to meet the needs of our customers. Why do you like doing business in Madelia? Madelia is a great community! Not only did I grow up here as a person, but my business grew up here too. The community has always been supportive in continuing to help my business grow, which is why I am building a new landscaping shop with a retail space here in Madelia, which will be opening in the Fall of 2018. Our home base will continue to be in Madelia, however we have expanded into doing work all throughout Southern Minnesota. A healthy work-life balance is important. What do you do outside of work to stay grounded? One of the drawbacks with owning my own business and doing seasonal work is that we put in long hours during the landscaping and snow removal seasons. When I do get a chance to get away, I enjoy spending time with my family by going to the lake and going golfing.
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Industry Highlight: Financial Planning to what your CPA does, aligning your biggest goals and dreams with your financial picture and always working in your best interest.” Check out Sweet’s top 6 recommendations that you should plan for in regards to your finances: 1. Put Your Why Before Your What and How When was the last time you did something for the first time? Few people know what their lives will look like after their primary careers have ended. In many cases, it’s because they’ve been so busy accumulating wealth and taking care of day-to-day living that they have never sat down to figure out what types of activities they want to fill their time with after they leave the workforce. And sadly, many people do not know why they are building wealth, beyond basic survival. In reality, numbers are important, but living a dream-filled life is more about what the numbers can provide you versus the technicality of investing. In other words, what are you retiring to and what are you retiring from? What do you aspire to do and to achieve? Who do you want to impact?
Advisor to the Advisors 6 Ways to Help Keep Your Financial Dreams On Track
R
aymond James Financial Services is proud to announce that their very own Bryan J. Sweet, ChFC®, of Sweet Financial Services has been ranked #5 on the Forbes Best-in-State Wealth Advisor list!* Bryan Sweet, founder and CEO of Sweet Financial Services said “While this is a great honor to be at the top of the Forbes list, what this truly means to us is a reiteration of us
always doing right by our clients. We strive to stay cutting edge and provide best in class service to the people that have allowed us to serve them.” Sweet stays cutting edge in his industry by being an advisor to advisors, where he earlier this year co-hosted alongside another top producer at Raymond James Financial Services, Randy Carver, the Elite Wealth Advisor Symposium in Miami, Florida. This ‘by invitation only’ event consisted of the top wealth advisors from across the nation, where they spent 2 ½ days learning from a range of exceptional speakers on how to build a world class financial practice. The seventy-five advisors who attended this symposium, when combined, manage over $60 billion in assets. Bryan Sweet and his team always put an emphasis on how they can give more to their clients and to the wealth advisor community. Sweet stated, “People don’t know what they don’t know. This means not just overseeing your investments but looking at the big picture -whether it be proactive tax planning in addition
2. Are you retired and want to make over $100,000 this year without paying Federal income tax? A married couple could have just over $100,000 of annual income and pay no Federal income tax! How? It has to do with the nature of the income. Long-term capital gains (example: a stock you have held for more than a year and decide to sell) are Federally taxed at 0% of total income, including the long-term capital gain, is less than $77,200. Since the standard deduction is $24,000, this equals $101,200 of income and no Federal tax! In other words, you have the $101,200 long term capital gain less the $24,000 standard deduction, which then equals taxable income of $77,200… and long-term capital gain at this threshold is taxed at 0% Federal. 3. Generate Retirement Income Without Holding Your Assets Hostage You will need a specific amount of income per year to meet your retirement goals. We want to use the smallest pool of assets to generate that income. In other words, if we use a large portion of your assets to produce income rather than having them in growth investments, we would essentially be “holding your assets hostage” in nongrowth investments. To illustrate this point let’s look at a hypothetical example. For the purposes of a round number, let’s use a $1 million portfolio in which the investor will need $30,000/year of income starting 10 years from now. A common occurrence is for the investor to use a traditional 60 percent equity/40 percent fixed-income portfolio. This will work fine, but only 60 percent is in a growth-oriented investment. By using a specialized strategy, only $275,000 needs to be invested to generate this income, thus leaving $725,000 that the investor can invest more aggressively.
Sponsored Content So what is the difference between having this extra $125,000 invested in stocks for 25 years at a 7 percent rate of return? Just over $634,000. A big difference! 4. Lower Your Health Insurance Costs in Retirement Health insurance costs may be the number one reason folks don’t retire prior to taking Medicare. However, there is a simple way to greatly reduce your health insurance costs, while keeping the same or very similar plan. For example, for a household of 2, you can reduce your health insurance cost by keeping your taxable income under approximately $64,000. Keep in mind taxable income is not the same as spendable income, which is your monthly spendable income to meet your living costs. Your spendable income can be whatever you want as long as you’re controlling what amount is subject to tax. So be aware of where you are taking income from to maximize your benefits. 5. Create a Blueprint of Your Financial Freedom When architects plan a building, they put a lot of vision, insight, and expertise into the project. Your financial future requires a similar approach – vision, insight and a solid foundation of financial expertise that is all integrated to help provide clear direction for your path forward. And, like with any building project, your blueprint for financial freedom in retirement requires both short and long-range strategies. Architects’ blueprints are detailed drawings that are precise and leave nothing to guesswork. You can see at a glance what the building will look like. For our clients we have a series of checklists, scorecards, analysis charts, and graphs we’ve developed over the years to present the results of our number crunching in an easy-to-understand, highly visual manner. Our goal is to paint a picture of our clients’ ideal retirement and show how their money can help support them in the life they have worked so hard to design. 6. Maximize Your Gifting Strategy During your lifetime and beyond, your money can only go three places: the government, your heirs, or charity. In most instances, you get to pick two. With the new tax law changes, your annual charitable giving strategies may need to change, as well. It is important to evaluation how you give charitably as opposed to simply writing a personal check. For example – everyone gets to deduct at least the standard deduction amount, which is $26,600 if you are married and both over age 65. If you are over age 70.5 and you have an IRA, your giving should be done via ‘QCD’ or qualified charitable distributions. By doing it this way, your QCD is never even counted as income, so it’s indirectly fully tax deductible. If you are under age 70.5, you should consider “lumping”
charitable giving to eclipse the ‘standard deduction’ – which can be done utilizing a Donor Advised Fund, which gives you the tax deduction immediately, but you don’t have to allocate the money to the charities of your choice until a later date of your choosing. Following these strategies can allow you to give even more to charity without “costing” you more. It is imperative that you and your financial advisor have a clear vision for your future, so that you can ensure your money is always working for you, so that you can focus on the things you most value in life!
SWEET FINANCIAL SERVICES Locations:
Fairmont, Minnesota Jackson, Minnesota
Inception:
1987
Employees: 14 Phone:
Fairmont: 507.235.5587 Jackson: 507.847.8990 Toll-Free: 800.658.2507
Web:
sweetfinancial.com
Bryan and his team are located at 1300 S. Prairie Ave, Fairmont, MN 56031 and can be reached at 507-235-5587. Securities offered through Raymond James Financial Services, Inc. Member FINRA/SIPC. Sweet Financial Services is not a registered broker dealer and is independent of Raymond James Financial Services. Investment advisory services are offered through Raymond James Financial Services Advisors, Inc. The information contained in this press release does not purport to be a complete description of the securities, markets, or developments referred to in this material. The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete. Any opinions are those of Bryan Sweet and not necessarily those of Raymond James. There is no guarantee that these statements, opinions or forecasts provided herein will prove to be correct. Investing involves risk and you may incur a profit or loss regardless of strategy selected. Every investor’s situation is unique and you should consider your investment goals, risk tolerance and time horizon before making any investment. Prior to making an investment decision, please consult with your financial advisor about your individual situation. Hypothetical examples are for illustration purposes only. Actual investor results will vary. *The Forbes ranking of Best-In-State Wealth Advisors, developed by SHOOK Research is based on an algorithm of qualitative criteria and quantitative data. Those advisors that are considered have a minimum of 7 years of experience, and the algorithm weighs factors like revenue trends, AUM, compliance records, industry experience and those that encompass best practices in their practices and approach to working with clients. Portfolio performance is not a criteria due to varying client objectives and lack of audited data. Out of 21,138 advisors nominated by their firms, 2,213 received the award. This ranking is not indicative of advisor’s future performance, is not an endorsement, and may not be representative of individual clients’ experience. Neither Raymond James nor any of its Financial Advisors or RIA firms pay a fee in exchange for this award/rating. Raymond James is not affiliated with Forbes or Shook Research, LLC.
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Call Karla VanEman today! (507) 345-4040
Fairmont Bryan Sweet, ChFC® of Sweet Financial Services has been ranked #5 on the 2018 Forbes Best-in-State Wealth Advisor list!
Le Sueur
Engraved Signs ADA Compliant Signs Clothing Labels Decals
The Minnesota Independent Insurance Agents & Brokers would like to congratulate The Canopy Group as the 2018 Agency of the Year. The Canopy Group opened their office in Le Sueur, MN in 1930. Today, they have an office in Belle Plaine, and Minnetonka with a total of 30 employees.
Mankato labelsbadgesandsigns.com
507-345-3388
Fayetteville, Arkansas has been selected as the destination for this year’s Greater Mankato Leadership Delegation Inter-City Leadership Visit (ICLV), an initiative of Greater Mankato Growth. Schwickerts has been working with the Department of Labor in Puerto Rico the past several months on recruiting individuals to join its workforce. So far Schwickerts has successfully recruited 10 men to join its team. In addition to training for their new roles and learning about safety practices, the group was provided with an Information Fair, coordinated with local agencies to provide a day full of learning about the Mankato and surrounding community.
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Eide Bailly Partner Ben Ellingson has been named treasurer for the Minnesota CPA Society, a nonprofit professional organization that offers services and professional development for CPAs and other accounting professionals. Two local marketers at Eide Bailly, Kate Loging and Baylee Pawsey, have moved into new positions as part of a restructure of the firm’s marketing team. Loging, who was formally the marketing manager for Eide Bailly’s National Tax Office, has transitioned into lead services marketing manager. In her new
MANKATO
MD Advisors Group MD Advisors Group congratulates Randy E. Milbrett for 40 years of service to the firm.
role, Loging will oversee and guide the firm in the development of strategic marketing plans as they relate to Eide Bailly’s ever growing service offerings. Pawsey, previously a marketing assistant for the National Tax Office, is now a corporate communications specialist. She will be writing, editing and producing internal and external communications within her new role. Both Loging and Pawsey transitioned into these new roles as of May 1. They are still located at the Mankato Eide Bailly office. Financial services firm Edward Jones once again ranks among the Fortune 500, according to Edward Jones Managing Partner Jim Weddle. This is the firm’s sixth consecutive appearance on the annual list, which is published by FORTUNE magazine. Kato Insurance Agency has achieved Blue Partner Elite Status with Blue Cross & Blue Shield of Minnesota. This status is awarded to the top 1% of all Blue Cross & Blue Shield of Minnesota Agents & Agencies. Scott Michaletz is the owner of the agency. April 1, 2018 also marked Kato Insurance Agency’s 35th year of doing Insurance Business in Mankato. Matt Lantz, Chairman of the Board at MinnStar Bank N.A., announces the promotion of Mark Monson to CEO/ President. Mark joined MinnStar Bank N.A. in June of 2010 as MinnStar’s primary commercial lender. On January 1, 2018, Mark transitioned into the role President of MinnStar Bank and upon the retirement of outgoing CEO/President Steve Olson on April 30, 2018, Mark became CEO. Mark will office mainly from the Mankato location, located at 201
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FOR ALL YOUR PROJECTS Poplar Street, and continue to perform his commercial lending duties along with the CEO responsibilities. In conjunction with the CEO promotion, Mark was also elected to the MinnStar Bank Board of Directors May 2018. The Consolidated Communications Community Fund of the Mankato Area Foundation is pleased to award $171,500 in grants to 20 nonprofit organizations across the company’s southern Minnesota service area. Consolidated’s Community Fund focuses its support on local programs that meet critical needs in the community and initiatives that provide opportunities for innovative education and learning. Grants are being awarded to the following organizations: Boys & Girls Club of Mankato–local organization launch, $50,000; Minnesota State University, Mankato–scholarships and theatre performance, $15,000; Educare Foundation – educator initiative grants, $10,000; Feeding Our Community Partners–Backpack Food program & Power Pack program, $10,000; Partners for Affordable Housing–project funding to support shelter guests, $10,000; South Central College–scholarships, $10,000; Junior Achievement–Titan Business challenge & JA Company Program, $7,500; Committee Against Domestic Abuse (CADA)–direct assistance program, $6,000; Centenary UMC–Holy Grounds community breakfast and outreach, $5,000; ECHO Food Shelf–egg and milk program
for children, $5,000; Greater Mankato Diversity Council–Prejudice Reduction Workshops, $5,000; Leisure Education for Exceptional People (LEEP)–LEEP Special Olympics, $5,000; Lifeworks–client employment support, $5,000; MRCI WorkSource–fuel our fleet program, $5,000; Salvation Army–emergency assistance program, $5,000; VINE–community education opportunities, $5,000; YWCA–Girls on the Run programming, $5,000; Ruth’s House of Hope–transitional shelter program, $3,000; Lake Crystal Recreation Center–senior programming, $2,500; Waseca-Le Sueur Regional Library System – STEAM programming, $2,500. The annual ranking of the Top 500 Engineering Design Firms was released by Engineering News-Record, and this year Bolton & Menk, Inc. moves to #160. Since 1996, Bolton & Menk has consistently increased in ranking each year.
MANKATO
CENTURY 21 Landmark Realtors announces it has completed a merger with the CENTURY 21 Lake Region Office at Hwy 60 in Elysian, MN. CENTURY 21 Lake Region has been operating for over 30 years, and will continue to operate at its current location with minimal changes. CENTURY 21 Landmark Realtors is headquartered at 921 Madison Ave in Mankato. CENTURY 21 Landmark Realtors also announces new personnel: Derek Marsolek has joined its firm as a sales associate in Mankato; Jenny Schmidt as the real estate company’s new Residential Sales Manager, Alan Noy as an ALC, Associate Broker, REALTOR®.
Computer Technology Solutions
True Real Estate adds agents to its Mankato office, they are Zach Alms, Cliff Blaisdell, Zoe Browender, Nathan Grenzner, and Cristen Manthe.
Computer Technology Solutions introduces new Project Manager/vCIO Kyle Dammer. Dammer has spent the last 23 years in different areas of IT including Government, Education and Manufacturing.
True Real Estate is pleased to announce the expansion of their business by adding offices to the St. Peter and Lake Crystal communities. “We are very excited to have a presence in both the St. Peter community and the Lake Crystal community,” said Jen True, owner of True Real Estate. “It was a natural fit to
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expand into these communities with several agents that have strong ties and understand their real estate markets.” Each location serves as a satellite hub where agents can meet with clients in the St. Peter and Lake Crystal communities. The St. Peter office is located at 403 South Minnesota Avenue and The Lake Crystal office is located at 210 South Main Street. True Real Estate also has a location in Henderson. Knutson + Casey was named the winner of the Gold Stevie® Award for Law Firm (small legal company) of the Year for The 16th Annual American Business Awards®. The Stevie Awards recognize outstanding performance in the workplace and community, through out the United States and worldwide. The award ceremony took place in New York City on June 1. More than 3,700 nominations from organizations of all sizes, in virtually every industry were submitted this year for consideration. Knutson + Casey was nominated for the Company of the Year category for small law firms and won the Gold Award. “The nominations submitted for The 2018 American Business Awards were outstanding. The competition was intense, and those recognized as Stevie Award winners should be immensely proud of this accomplishment,” said Michael Gallagher, president and founder of the Stevie Awards.” Snell Motors recently announced the promotion of Jeff Wondra to General Sales Manager on April 2. With 12 years of sales
experience at Snell, Wondra will manage the sales and finance departments and oversee all its operations. “One of Jeff ’s strengths is building long-standing relationships with customers and his colleagues,” said Todd Snell, president/CEO of Snell Motors. “Jeff is a natural-born leader and mentor. He brings expertise, energy and a desire to deliver quality experiences for everyone he interacts with.” Wondra started his career at Snell Motors in 2006 as a Sales Consultant and was continually a top performer for the team. He received his first promotion to Sales Manager in 2015 before taking on the General Sales Manager role.
New Ulm
Joy Leafblad has been hired as the new Mankato Sports Commission director. As the Mankato Sports Commission director, Leafblad will focus on raising the profile of Greater Mankato as a premier sports destination by aggressively promoting the destination’s existing resources and by targeting events that will generate a positive economic impact for the community.
North Mankato
MANKATO
ISG ISG announces new hires. Amy Linde is now Senior Marketing Manager and Hayley Schull is Accounts Payable Manager.
NU-Telecom, a leading regional communications company has changed its name to Nuvera. The change became effective June 4. As part of the name change, the public corporate name will also shift from New Ulm Telecom Inc., to Nuvera Communications, Inc.
Nicollet Concept & Design Incorporated designed a new logo for Nicollet County. The new logo was introduced in March.
The Accrediting Commission for Education in Nursing (ACEN) announces the accreditation of South Central College’s nursing programs. South Central College offers a Professional Nursing (RN) associate degree program and a Practical Nursing (LPN) diploma program. South Central College (SCC) today named Dr. DeAnna Burt to the position of Vice President of Student and Academic Affairs. Pioneer Bank announces the addition of Jeff Barrett, Lance Jeppson and Tim Neubauer to their Mankato and St. James locations. In addition, Pioneer Bank has promoted seven employees at their Mankato, North Mankato, St. James and Madelia locations.
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Nathan Newhouse has been named President—formerly a Vice President— and will continue in his role as a Business Banker at the Mankato location. Alissa Brekke has been named President—formerly a Vice President—and will continue in her role as a business banker at the North Mankato location. David Beck has been named Assistant Vice President and will continue his role specializing in business and agribusiness banking at the Madelia location. Heather Eischen has been named Assistant Vice President and will continue her role specializing in residential mortgage lending at the St. James office. David Gullixson has been named Assistant Vice President and will continue his role specializing in business banking at the North Mankato location. In addition, Assistant Vice President, Jennifer Mathistad, has been promoted to Teller Supervisor and Laura Roloff as a Personal banker at the St. James location.
St. James From the Chamber: The VA Clinic in St. James has finished an expansion to their facility. Massage by Jennifer is now open in St. James. Jodi Anderson has been appointed to the Park Board. Family Dollar completed a remodel to their store.
St. Peter River’s Edge Hospital & Clinic has been recognized as a DNV GL Healthcare certified Hip & Knee Replacement Center. The DNV GL Healthcare Hip and Knee Replacement Certification, based on standards set forth by DNV GL Healthcare and considering the guidelines of the American Academy of Orthopedic Surgeons, recognizes program excellence in patient care and outcomes. River’s Edge received its first certification in 2017.
Western Minnesota SDN Communications’ fiber optic network will extend 100 miles wider and deeper into Minnesota to improve broadband services for 43 schools served by the Southwest West Central Service Cooperative this fall, but the network can also benefit businesses. SDN has nearly 30 years of experience in business-to-business broadband services. It provides Wide Area Networking, internet and cybersecurity solutions for multisite business, such as financial institutions, health care, manufacturing, agricultural facilities, schools, libraries, and governments located across the region or nation. SDN forged a fiber alliance with six southern Minnesota telephone companies two years ago, interconnecting them to create an 800-mile fiber optic footprint in Minnesota. That is in addition to SDN’s existing network crisscrossing the state of South Dakota with 45,000 miles of fiber.
Seventeen rural, South Dakota telephone companies started and own SDN Communications. The interconnected networks now create a single fiber footprint extending from south of the Twin Cities to northern Iowa, and east to west from Wisconsin all the way through South Dakota. This summer the fiber will reach six additional Minnesota communities: Butterfield, Clarkfield, Comfrey, Ellsworth, Montevideo, Mountain Lake and St. James. For more information call 800-247-1442 or visit sdncommunications.com. Patients in communities in southern Minnesota and across the state will soon have better access to new cancer treatments and enhanced care delivery thanks to a new state-funded partnership involving the University of Minnesota, Mayo Clinic, the Hormel Institute and several of the state’s large health care providers. As part of the Minnesota Discovery Research and InnoVation (MnDRIVE) partnership with the state of Minnesota, the University of Minnesota is launching the Minnesota Cancer Clinical Trials Network (MNCCTN) with multiple locations across the state. Led by the Masonic Cancer Center, University of Minnesota, the goal of the MNCCTN is to improve cancer outcomes for all Minnesotans through greater access to cancer clinical trials in prevention, treatment and survivorship. These trials will originate from Minnesota’s two National Cancer InstituteDesignated Comprehensive Cancer Centers, the Masonic Cancer Center and Mayo Clinic Cancer Center, along with the Hormel Institute in Austin.
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NEW ULM AREA CHAMBER OF COMMERCE Supporting the businesses who make us a special place to visit for a weekend, or a lifetime. See our historical downtown, do some shopping – open your own business! We’ll help you make it your home.
1-507-233-4300
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BULLETIN BOARD
Fairmont
St. Peter
Margaret Dillard, Fairmont Area Chamber
Ed Lee, St. Peter Chamber
The 21st annual Blue Ribbon Pork Cook Off is set for August 15 at the Martin County Fairgrounds. Seven area businesses will produce incredible pork-inspired creations to vie for the favor of the crowds and our panel of expert judges. The Agri-Business and Ambassador Committees of the Chamber collaborate with the Martin County Pork Producers to help fund Ag Scholarships for area students through this highly-anticipated event. Congratulations to our 2018 scholarship recipients, Camren Saxton and Emelia Melson.
St. Peter’s Old-Fashioned Fourth of July celebration will feature Arrow Ace Hardware owner Dave Neiman as grand marshal, Sandra Lee and the Velvets as the headliner and the return of grilled chicken in the park thanks to the Ambassadors. About 25 percent of the 90-unit parade will be musical, including the Govenaires, Marching Saints, NRHEG Band, Schell’s Hobo Band, Gerry Buse Horse trolley, Over 60 Band and Sugar Loom. Picnic starts at noon.
Blue Earth Cindy Lyon, Blue Earth Chamber
Mankato Nicole Griensewic, Region Nine Dev Commission
The Giant Days Festival will be July 13-14. Friday evening the Chamber and CVB will host a “Giant Birthday Party” at the foot of their 60’ jolly fellow featuring food vendors and the KBEW Dance Dj’s with games & prizes. This year both the Sprout & Giant Walk/Run will be Friday evening as well. Saturday brings the Fairgrounds Car Show, uptown bouncy houses, petting zoo, food vendors & more. The Giant Parade at 5pm travels down 14th Street West to Main going north ending at the historic Faribault County Court House. End the night at the Fairgrounds with a dance fundraiser for the B.E. Eagles Club.
Where are today’s youth on social media and what marketing techniques engage them? Find out during Social Media Breakfast – Mankato’s youth panel discussion on July 13 featuring high school and college age youth. This event is from 8:00–9:00 a.m. and will be held at the Center for Innovation & Entrepreneurship, 424 North Riverfront Drive, Mankato. To learn about this free event, follow Social Media Breakfast-Mankato’s Facebook page. This event is a collaboration between Region Nine, Otto Media, the Center for Innovation & Entrepreneurship and Made in Mankato.
Fairmont Stephanie Busiahn, Visit Fairmont
Nicollet Alesia Slater, Nicollet Chamber
Minnesota’s Other Big Fair features the best in entertainment August 13-19 in Fairmont! Witness amazing feats of strength and skill with The Great Lakes Timber Show and United Pullers of Minnesota. Hear songs from every era with a diverse musical line-up including The Johnny Holm Band, Hairball, Holy Rocka Rollaz and the groundbreaking upand-coming country music star, Chris Lane! Entertainment is free with gate admission. Find out more at VisitFairmontMN.com!
Cruisin' on Pine and 99 is under way in Nicollet. This great event for the community of Nicollet brings lots people to the town and is great for local businesses. Cruisin on Pine will be held on July 12 and 26, as well as August 9 and 23 from 5pm to 8pm. On August 7, Nicollet will be hosting National Night Out at Green Space Park. This is a night for the community of Nicollet to come together for a night to unite, food bounce house, crafts fun for the whole family.
Mankato Bridget Norland, Greater Mankato Growth Greater Mankato Growth, Inc. will be hosting a special celebration to commemorate 150 Years of Takin’ Care of Business in Greater Mankato. The sesquicentennial festivities will be held on Tuesday, October 2 from 4–8 pm at the Mankato Brewery. This event will be held in cooperation with Mankato Brewery and Radio Mankato. Be sure to join us and sample a special nano-batch, play games and win prizes! 42
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New Ulm Sarah Warmka, New Ulm Chamber/CVB The New Ulm Area Chamber of Commerce welcomes these new members: Sozial Restaurant and Bar, Scott Roemhildt (DNR), New Ulm Monument, Blade & Hammer Yard and Home Services, and Edward Jones–Tom Buskey. Upcoming events include: Bavarian Blast, July 19-22; Crazy Days, July 27-28; Brown County Free Fair, August 8-12; US-Dakota War Commemoration, August 22-26;
Local Chamber & Economic Development News
HermannFest, September 8; Gemutlickeit in Goosetown, September 9; Modenschau Fashion Show, September 20.
St. James Jamie Scheffer, St. James EDA Construction has begun on a 20,000 square foot spec building in the St. James Industrial Park. The building will be 200’ by 100’ with 28’ ceiling height, an expandable end wall, two loading docks, and flexibility to suit your needs! See the inside cover of this magazine for our ad. Contact Jamie with any inquiries at 507-375-1289. The City of St. James now has a canoe, along with kayaks and stand-up paddle boards, available for rent on St. James Lake at the St. James Outdoor Pool during pool hours. Come take a break at the lake!
St. James Joe McCabe, St. James Area Chamber Massage by Jennifer has opened a massage station in St. James. The Veterans Administration Clinic completed its expansion to provide more services to Veterans in the area. Family Dollar remodeled their store making the store more handicaps accessible and has expanded its line of products. The community is preparing for Railroad Days with a Rail Run, Golf Tournament, Children’s Theater production, Gandy Dancer Parade and may other events for the entire family. Details about the Railroad Days activities are on line at discoverstjamesmn.com. Highway 4 constructions in the business district are complete and all streets on the south side of St. James are open.
includes most of the industrial areas in Waseca along with the infrastructure to support significant projects. Forming Opportunity Funds is the next step. The redevelopment of Elm Avenue (Old Hwy 14) is proceeding well after getting delayed by weather early in the season. The opening of Burger King is eagerly anticipated.
Waseca Gary Sandholm, Discover Waseca Tourism This summer is busy. Farmamerica is open through September. Lakefest on July 4 is a great music events and fireworks will follow. The Waseca County Free Fair from July 11-15 has a full lineup of events, displays, and entertainment. The MS Bike Ride will overnight in Waseca July 18. The Waseca Sprint Triathlon will be August 4.
Winnebago Jean Anderson, City of Winnebago Winnebago has a new restaurant that opened in early June! The new Flip-N-Shake will have a drive-thru and feature a 40-person indoor seating area. Check them out at the south end of Winnebago, right on Highway 169. Craig and Peggy Germain have been nominated to the Winnebago Hall of Fame for their lasting contributions, outstanding achievements and services to the City of Winnebago. Congratulations and thank you!
Sibley County Amy Newsom, Community Development Are you considering building a new home? The City of Arlington will waive the sewer and water connection fees of $4,825 for the first 3 new homes built in Arlington this year. The home must have a value of at least $195,000, and the builder must comply with all other building requirements. The fees will be waived on a first come, first served basis. For more information please stop by Arlington City Offices or contact EDA Director Amy Newsom at 507-237-4117 or AmyN@co.sibley.mn.us.
Waseca Kim Foels, Waseca Chamber Watch for a new office building complex to start in August with room for leases yet. Summer is a great time to enjoy Waseca’s brand new community baseball stadium for all to enjoy and now the next anticipated wait is for the opening in September of the community’s new Performing Art Center in the high school. The City of Waseca is celebrating our 150 year anniversary over Labor Day weekend with lots of events planned. Check out wasecachamber.com for all the events and happenings!
Waseca Gary Sandholm, Waseca EDA Receiving the designation as an Opportunity Zone opens new facets for Waseca as a business location. The Opportunity Zone
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FEATURE
SuperBankers Project Brings Recognition To Area Banking Professionals A new initiative in Mankato wants to make an investment in the Southern Minnesota banking community. Bankers throughout our region will be vying Lisa Cownie for the title Super Editor Banker in the categories of commercial, residential, consumer and agricultural. “Bankers are underrecognized for the service they provide to their communities. SuperBankers gives deserved recognition to those individuals that stand out at their respective banks and within specialized fields,” says Randy Knutson, majority owner of Drysdale Hills, LLC, the newly
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formed company behind this new initiative. Other owners are Megan Wirtjes, Dan Benrud and Kristi Benrud. SuperBankers is an Elite award and rating service for bankers in the greater nine-county area. Bankers are nominated by their peers in the industry and the awards are only given to the top 5% of bankers nominated. Award categories are driven by years of service, community involvement, performance in the preceding year, and other categories found on the nomination forms. “It lets the community know who the local banking industry sees as the top bankers in the area.” explains Knutson. “SuperBankers provides a great service to the community as it allows anyone who sees the Connect Business Magazine or the
Nick Smith Mankato, MN 507.625.5649
Stacey Johnson Owatonna, MN 507.455.5299
Jay Horner Owatonna, MN 507.455.5200
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Ed. 3/18 *Not licensed in all states. © 2018 Federated Mutual Insurance Company
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SuperBankers publication to easily identify banks with top bankers and who those top bankers are, so that they can contact them for their banking needs.” Drysdale Hills, which is a nod to the banker character Milburn Drysdale on the Beverly Hillbillies TV show, has community partners on board, such as Connect Business Magazine. A publication and separate insert in Connect Business Magazine will list the bankers nominated, and the bankers that receive awards. Winners can add their photo and personal profile to the publications. The publication will be made available to winners to keep at their office and reception areas. Knutson explains SuperBankers takes a multi-level approach. “Banks, bankers and businesses can sponsor SuperBankers itself, the Awards and other parts of the program,” says Knutson. Businesses, banks and bankers can nominate those bankers they feel are deserving of recognition, by going to the SuperBankers nomination website at superbankers.org.
CONNECTING BACK
5 YEARS AGO
JULY/AUGUST 2013 Five years ago, our cover featured a couple. Dr. Gary Jernberg and Mary Jeanne Jernberg of North Mankato together blended a complex concoction of pharmaceutical, medical, and fast food businesses. The issue also featured Archery Trade Association of New Ulm and Calendar Specialists of Minn. and Sportsman's Specialists in North Mankato. 10 YEARS AGO
JULY/AUGUST 2008 A decade ago, the gracious and soft-spoken, Dave Neiman of Arrow Ace Hardware was our cover story which talked about the astounding transformation of a solitary St. Peter hardware store into a vibrant, money-making, ten-store group effectively competing against big-box stores. The issue also featured National Recognition Products, a division of Taylor Corp. As well as banker Williams Watkins Smith of Sleepy Eye. 15 YEARS AGO
JULY/AUGUST 2003 Louise Dickmeyer graced our cover in 2003, a woman who always wanted a purpose behind her paycheck and that determined what roles she took on. At the time of our cover story, she had just left the Minneapolis Chamber and started her own company, Nonprofit Innovations, LLC. Also featured were Swedish Kontur in St. Peter and Rivervine of New Ulm. 20 YEARS AGO
JULY/AUGUST 1998 Twenty years ago, Jerry Dotson was a our cover story. At the time of the issue's release, Jerry had just retired as Director of Technical Education for AT&T Wireless Services. Also featured were Thin Film Technology Corporation in North Mankato and Unidoor Corporation in Gaylord.
Read the entire articles at connectbiz.com
Marv Kottke, wife Linda and their daughter Jennifer Newlands with son-in-law Nathan Newlands.
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By James Figy Photo by Kris Kathmann
Marv Kottke’s childhood lawn mowing business grows to 12,000 customers and 60 employees over 45 years; A classic entrepreneurial tale.
HOME TURF ADVANTAGE
When Marv Kottke started mowing lawns 45 years ago, he didn’t imagine his customer base would eventually grow from two dozen to 12,000. He didn’t imagine he’d possess the help of more than 60 employees. He didn’t imagine running a fleet of 35 trucks, each with Spring Touch Lawn & Pest Control emblazoned on the side and equipped with tablets and printers. He didn’t imagine having anyone besides his parents to answer the phones, much less a call center with half a dozen employees doing only that. He didn’t imagine that growing the business would fall second to growing his family or that someday the two would seem intertwined. That first summer in 1973, Kottke was just a middle school kid driving a tractor around his Mankato neighborhood. Neighbors within a 2-mile radius of his home near Franklin School would call and ask him to help with their lawns. Kottke would gas up his John Deere 110 lawn tractor. He’d hitch a matching green trailer to the back to carry a push mower. He’d tow the entirety of his company, then called Marv’s Lawn Care, along the Broad Street sidewalk, and mow until dark. “I never ever imagined that I would be doing this the rest of my life,” Kottke says. “It’s literally the only job I’ve ever had.” Maybe Kottke couldn’t picture what his life and company would become. But that has more to do with how much the company has grown — in the number of people it employs, customers it serves and services it offers — than any lack of imagination. Now the company is selling franchises to grow in the region, with the goal of planting Spring Touch locations around the U.S. in the near future. continued >
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Home Turf Advantage
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It would have been impossible to expand Spring Touch without the hard work of Kottke’s wife, Linda Kottke; their children, Brian Kottke and Jennifer Newlands; and their son-in-law, Nathan Newlands. Working with family guarantees there are many people who can be trusted to get things done — but he never planned to have this luxury. “I didn’t think my kids would work in the business with me. I assumed I would grow it and work hard, and at 55 or 60 years old, I’d sell it out and that would be it,” he says. “Now with the children in the business, it’s really exciting, and we can take it to the next level.” ‘We all have our own piece of the puzzle’ Spring Touch currently offers a number of services, including organic lawn care, core aeration, lawn disease control and sprinkler installation and maintenance. The company offers specialized services to control mosquitoes, fleas, ticks, moles, grubs and other pests. In the Mankato area, it also provides snow removal services. This range of services requires a number of employees who focus on different areas. For a long time, though, the company simply consisted of Kottke mowing lawns and applying weed control, once he became licensed to do so in high school. The company’s first unofficial employee was Kottke’s father, Bernie Kottke, who originally bought the old John Deere 110 tractor and assisted with mowing once the customer base grew. Both of Kottke’s
Home Turf Advantage
Franchise On The Rise Catch the Hometown Business Connection on KEYC News 12! KEYC News 12 and Connect Business Magazine bring you the stories of area local businesses and how they impact Southern Minnesota. • First Wednesday of the month on KEYC News 12 at 6 • Repeats Thursday on KEYC News 12 Midday • See all previous episodes on keyc.com
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Focusing on lawn care and pest control has provided a steady stream of revenue for Spring Touch. Both industries continue to grow, which is a benefit that Marv Kottke and Nathan Newlands focus on when talking to potential franchisees. The lawn care companies enjoy repeat business, and all of those mowing and treatment trips add up. The annual revenue of the landscape services industry is $78 billion, and it has a 3.9 percent annual growth rate, according to a recent IBIS World market report. In addition, the annual revenue of the pest control industry has exceeded $8.1 million and possesses a 4.6 percent annual growth rate, according to Pest Control Technology Magazine.
Spring Touch Lawn & Pest Control | St. Peter
parents grew up on a farm, and they demonstrated the importance of a strong work ethic. “My dad was a tool and die maker for 10 years. Then he got injured, so he started up Kottke’s Coin Service. He did that most of his life, and he helped me part time, mowing grass back when I was young and started getting bigger commercial properties,” Kottke says. “For him, it was like farming. He loved it and loved getting out of the house.” After high school, Kottke enrolled at Minnesota State University, Mankato, but he continued to run Marv’s Lawn Care while taking classes. He took business courses because he wanted to be an entrepreneur, but he didn’t know what industry would suit him best. “I was looking for different businesses, but kept growing the lawn
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Organic Lawn Care Offers Benefits Spring Touch Lawn & Pest Control has developed its own organic products to make lawn care green. The company’s fertilizer, which is packaged in green and yellow to match the company’s branding, contains mostly biosolids, offset by just 17 percent nitrogen and three percent pod ash. “So 20 percent of the bag is mineral fertilizer with crabgrass control, and 80 percent of it is biosolids, which is organic fertilizer,” Marv Kottke says. “…Organic fertilizer is great for your root system and your soil conditioner, but the mineral fertilizer gives you the top green and gives you the top growth. So the combination is huge.” Another green product Spring Touch offers is a water-based weed control. The company replaced its previous petroleum-based product with this a few years back, according to Kottke. “It not only works better, but you also have less smell,” he says. “It’s almost odorless, so our customers appreciate that.”
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20 Browns CT, Mankato, MN 56001 | 507-381-1930
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Home Turf Advantage
“I had a baby on my hip and the cordless phone in my pocket. We went about our daily business and tried to do business at the same time.” - Linda Kottke care business as I went through college,” he says. “…After taking the business core classes, I went to the University of Minnesota Horticulture School in Waseca.” Kottke realized near the end of college that the business he needed to grow was the one he’d been running since middle school. “We were doing quite well financially, and it seemed to have limitless growth,” he says. By that time, Kottke had met a young woman from Blue Earth who was studying business management at MSU, and also had a strong interest in running a business. Their paths crossed during
a missions trip to Daytona Beach, Florida, with Campus Crusade, according to Linda Kottke. “We drove down the whole way on the bus and didn’t even know the other person was on the bus,” she says. “But by the end, we were best friends and were inseparable after that.” Linda went to work for Spring Touch the day they got married in 1983, she says. The company offices were at their North Mankato home until 1992, and she would answer the phones, keep the books and send invoices from there. They built offices off Lookout Drive, just a block away. This was convenient for raising two children while running a business. “I had a baby on my hip and the cordless phone in my pocket,” Linda Kottke says. “We went about our daily business and tried to do business at the same time.” It was never a given that the kids would pursue a career at Spring Touch, but they were very familiar with how it worked. Jennifer Newlands began working in the office at age 14, and then pursued a music ministry degree from North Central University. While studying in Australia, she met Nathan Newlands. “She was doing a year abroad over there, and I’m her souvenir,”
Home Turf Advantage
Helping Military Families Through Lawncare...and Baseball Having served in the Australian Air Force, Nathan Newlands understands the importance of taking care of military families. A few years ago, Spring Touch teamed up with the national nonprofit Project EverGreen to provide services through its GreenCare for Troops and SnowCare for Troops programs. The programs began in 2006 to provide snow removal and lawn care services to active-duty personnel and “post 9/11 disabled veterans with a service-connected disability,” according to the Project EverGreen website. As vice president of franchising, Newlands will require each new Spring Touch franchisee to participate in GreenCare for Troops. “We give free lawn care to people who are overseas serving right now,” he says. “…It’s a ‘Thank you’ to them.” The GreenCare and SnowCare for Troops programs have assisted 11,000 military families, the website states. Over the past 12 years, 6,000 professionals have volunteered an estimated $8 million in services. 50
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To raise awareness about the programs, Project EverGreen and lawn care equipment manufacturer Toro, one of its main sponsors, asked Newlands to throw the first pitch at the Twins’ June 2 game against the Cleveland Indians. A video on Facebook showed him practicing with his 3-year-old daughter, Olivia, and encouraged viewers to help in raising $10,000 for the programs. Baseball isn’t as popular in Australia where Newlands grew up, but he was one of the few Aussie kids who enjoyed and played the sport. When his father visited in 2008 for Nathan and Jennifer’s wedding, one of the first things they did was go to a Twins game. Newlands felt confident about throwing the first pitch because it would help military personnel, some of which have young families like his. “It’s something that they don’t have to worry about for their family back here,” he says. “A lot of them have young kids that want to be outside in the yard, so we go out and treat for free while they’re overseas.”
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he says. Newlands had served in the Australian Air Force, and then opened his own small business. When he moved to Minnesota in 2008, not long before their wedding, it made sense for him to join the Spring Touch team. “All of my schooling was in horticulture. I worked at retail, wholesale nurseries, a private school on the grounds, that sort of stuff,” he says. “My background was horticulture, so when I was coming over, Marv was like, ‘I’ve got a job for you.’” Brian Kottke, who now serves as lawn care and pest control manager, started digging in sprinkler systems and pulling pipe at age 12. After completing a business management degree at South Central College, he pursued another associate’s degree in automotive service. He uses that knowledge to service the Spring Touch vehicles in-house, but passion was his main motivation. “He enjoys restoring cars and snowmobiles and different things,” Kottke says. “He didn’t see it as a career opportunity; it was more of an opportunity to learn and enjoy his passion more.” A family business might not be for everyone, but the mix of personalities and strengths has benefited Spring Touch, Kottke says. “When it works, it works really great, and I’m sure when it doesn’t work, it works really badly,” he says. “But we have been very fortunate and really blessed. We all have our own piece of the puzzle.”
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‘Learn it and then grow it’ When Kottke changed the company’s name to Spring Touch in 1988, he had a very specific goal. “I knew that someday I wanted to franchise the business,” he says. “So I knew I needed a better name than Marv’s Lawn Care, and I wanted to have a professional logo, something I could eventually trademark, register and build a franchise company with. It just took me 30 years, but here we are.” Spring Touch is now selling franchises for $30,000 in surrounding states and will hopefully spread across the U.S. Kottke says this price is low because Spring Touch corporate plans to make money from each location’s repeat business and product sales — rather than the single sale of that specific franchise. “Our model is based on royalties. The more they make, the more we make,” he says. “So we both have a vested interest to grow their business.” JULY/AUGUST 2018
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The fact that Spring Touch offers a range of services means the franchises are likely to keep a consistent customer base. The franchises will all use Spring Touch branded fertilizer, which will save them money. “We have tremendous buying power. That’s what’s huge,” he says. “Obviously, when you can buy at national pricing versus retail pricing at the corner hardware store, there’s a big difference.” Most of the work on the franchise model has occurred in the past five years after Newlands was promoted to vice president of franchising, according to Kottke. Kottke and Newlands toured different franchise companies around the U.S., and Kottke earned a certificate in franchise management from Georgetown University. The corporate store will provide franchises with peer groups, accounting workshops and other forms of assistance. “We’ve done a lot of education and put a lot of time in it, because we want our franchises to be successful,” Kottke says. The company moved its headquarters from North Mankato to St. Peter in 2015 because the lack of space was stifling its ability to grow. The building boasts 40,000 square feet — quite an improvement from the previous building’s 8,000. It has office and warehouse space, along with a call center. Spring Touch purchased the building — the old Taytronics location — from the city of St. Peter and renovated it. The Kottke
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family and other employees completed a significant amount of the work. This is one thing that sets apart Kottke, Newlands and the rest of the leadership at Spring Touch from other companies: They are not afraid to get their hands dirty. They all started out digging in sprinkler systems, mowing lawns and treating for pests before telling others how to do it. This allows them to solve problems and give advice to customers without hesitation, but it also helps them respect the hard work their employees do, according to Kottke. “We know what the technicians are doing every day. I’ve treated 100,000 lawns — I know what it’s like. I’ve put in a couple thousand sprinkler systems. You just have that respect and rapport with each other,” he says, adding that he and Newlands still work in the field a few times each year. “…We call it therapy. It’s a lot of fun now. When you’re doing it day to day, of course, it becomes work.” Running a family business requires everyone to pitch in when needed, Kottke says. But it also requires treating everyone, both employees and customers, with the same courtesy reserved for loved ones. As a result, Kottke and Newlands always test new products at their own homes before selling it to anyone else. This is how Spring Touch has grown into what it is today, and it’s how the company plans to grow the number of franchises going forward. “Once it seems something works really well, then we offer it to our customers,” Kottke says. “That’s our philosophy: Learn it and then grow it. Start small and go from there.” James Figy writes from Mankato.
Super Lawyer: Christopher Roe
Rising Star: Beth Serrill
Super Lawyer: Julia Ketcham Corbett
Rising Star: Jeffrey Grace
Super Lawyer: Benjamin McAninch
Rising Star: Jeremy Berg
Super Lawyer: James Turk
Congratulations to the seven attorneys selected for 2018 Super Lawyer and Rising Star designations.
Super Lawyers. Superb Results. Super Lawyers is a rating service of outstanding lawyers from more than 70 practice areas who have attained a high-degree of peer recognition and professional achievement. The selection process is multi-phased and includes independent research, peer nominations and peer evaluations. Congratulations to each of the attorneys selected for this honor.
507-233-3900 brolaw.com New Ulm, Minnesota
507-345-1166 blethenlaw.com Mankato, Minnesota JULY/AUGUST 2018
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She Knew She Had a Choice She Chose OrthoEdge for Joint Replacement Surgery.
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HOT STARTZ!
Very New or Re-formed Businesses or Professionals New To Our Reading Area
MANKATO
True Commercial
ART SIDNER
If there’s one thing that is evident about Jen True, it’s that she has a definite growth mindset. “After 15 years as a local residential sales agent, I decided to open a boutique real estate brokerage called True Real Estate. After just 2.5 years in operation we have satellite offices in Henderson, Lake Crystal, and Saint Peter,” she says. When the opportunity arose to add commercial to her portfolio of business, she was intrigued. “I decided to open True Commercial after George Massad and Bruce Tanhoff arranged an introduction to Dan Robinson,” she explains. “Dan came on board when True Commercial was formed in January of 2018. Dan is a veteran in the business and helps oversee our Commercial division with training meetings and mentoring of our commercial agents at True. When we first met and discussed the opportunity of working together, I asked Dan if he was prepared to go back to school and obtain his Broker’s license. He is doing just that. He is a wonderful addition to our team and I look at Dan Robinson as the face of True Commercial. He deserves a great deal of recognition for his involvement in our community and in our commercial real estate market. Dan brings experience and integrity to our office and I respect him greatly as a business man and friend.”
And in January 2018, almost two years to the day after she created True Real Estate, True Commercial was born. True Commercial offers sales, leasing and property management services throughout southern Minnesota with a focus on the Mankato, North Mankato and Saint Peter areas. “The timing is right,” True says. “I think our market was in need of a fresh approach to Commercial Real Estate. I look at competition and growth as a positive. It keeps the focus on providing excellent service to our clients.” For more information, visit truecommercialmn.com. TRUE COMMERCIAL Address: 112 South Riverfront Drive, Suite 122 Telephone: (507) 345-8783 Website: truecommercialmn.com
To be considered for one of three spots in the September Hot Startz!, email the editor at editor@connectbiz.com. Businesses considered must have started—or changed greatly in form—within one year of our publishing date. Professionals chosen must be new to our reading area.
Community Bank has a long history of serving the communities that we call home. Through the spirit of cooperation, a community becomes a home. We’re pleased to call Greater Mankato home.
Locally and family owned since 1974
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Mankato | Vernon Center | Amboy www.cbfg.net JULY/AUGUST 2018
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HOT STARTZ!
Toppers and Trailers Plus Toppers and Trailers Plus, which has been in business in Mankato since 1986, has expanded and opened a new location in Le Sueur. With a soft opening in January, the Le Sueur location officially held its grand opening in April. “In Mankato, we do not have great street traffic by our location but in Le Sueur, there are so many people that drive by the store daily. This location allows people to see all of the trailers we have on display. We also attend many different car shows, bike shows, and RV shows throughout the year in the Twin Cities and this location allows for the people who attend the shows to easily visit us. The owners, Deb and Leroy have always loved the Le Sueur community and feel they can serve a wide variety of people from this location,” says Ella Andreasen of Toppers and Trailers Plus. At the Le Sueur location they offer trailers, truck and trailer parts, and truck accessories. "Each product has a different target market, from someone looking for a truck accessory, to those in the construction business looking for a topper or trailer, to someone looking for a fancy custom-made toy hauler RV. We are hoping to serve the LeSueur community with the products that they use most, while also serving those in the Twin Cities looking for a custom RV toy hauler trailer, motorcycle trailer, marketing trailer, or food trailer that they can't find anywhere else." Toppers & Trailers Plus was started by Leroy and Deb
Lorentz in 1986 in a small rented store outside of Mankato, as the region has grown so has the business. They are proud they remain family-owned and operated. They believe being a “small” shop allows them to better serve their customers. “We provide flexibility and choice in vehicle accessories and equipment. We take pride in the quality of the products we feature and in the integrity of the service we provide.” TOPPERS AND TRAILERS PLUS Address: 510 Doppy Lane Telephone: (507) 593-2000 Website: toppersandtrailersplus.com
ART SIDNER
LE SUEUR
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Very New or Re-formed Businesses or Professionals New To Our Reading Area
ST. PETER
Fréy Salon and Spa
ART SIDNER
With the vision of bringing a high-end salon and spa to the eclectic mix of other locally-owned, niche businesses on St. Peter’s main drag, Emily Schoper and Ashley Stanley brought the vision into focus. “St. Peter was a no brainer for us. We wanted to set ourselves up for success in a community that has a lot of great small businesses. A plus is that many are run by women. St. Peter is where my children will attend school and I fell in love with the town over the last few years. Ash and I wanted to give St. Peter a small town feel with high end, big city looks and service. When we looked at the Carnegie as a potential building we could not say no,” says Schoper. Both co owners are Aveda Institute Minneapolis graduates, and have worked together at a Mankato salon for the last several years. Their dream of owning their own business kept growing more intense each year. “Ash and I now wear two hats as we are fulltime behind the chair and now ownership. The part that scared us the most was being “behind the scenes” and grounding ourselves to being owners, managers and fulltime stylists. We had a rather sticky “transition phase” and we both agree without our huge support system and each other we could never do this alone. Taking a leap into business ownership is a huge commitment. We felt very knowledgeable and motivated but knew we were risking it all. Challenges come with any adventure and in the end this
is where we rise above. We love our guests and giving ultimate customer service along with education. The salon/spa is an oasis where we take care of you,” explains Schoper. Fréy is a full-service Davines concept salon. It offers cuts, colors, Great Lengths extensions, DevaCurl certified cuts and styling in our hair studio. In the skin studio they offer lash extensions by Borbeleta, body waxing and Comfort Zone skin treatments. Fréy also offers spa pedicures, gel and regular manicures in the nail studio with amazing glass bowls and shiatsu massaging chairs. FRÉY SALON AND SPA Address: 429 South Minnesota Avenue Phone: (507) 934-7399 Facebook: Fréy Salon & Spa
GENUINE ENGINEER Dan Sarff
Principal Engineer, Mankato Civil Work Group Leader Dan helps solve problems for city administrators, city managers, public works directors, and utility superintendents. A gratifying part of his job has been getting to know his clients and developing relationships over the years, “Many of my clients I now consider friends.” The first thing we build with every client is a relationship. Bolton-Menk.com
Providing public infrastructure solutions since 1949. JULY/AUGUST 2018
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FEATURE
Picking Up STEAM Civil engineers, city planners, surveyors and architects work tirelessly to make our communities safe and sustainable places to live. All the while, the infrastructure Timothy Olson we design and build Bolton & Menk is used every day by citizens with little, or no knowledge of the how it all got there. “Walter the Rain Drop,” and the other children’s books created by Bolton & Menk, is just one way we expose our industry to everyday users. I truly believe that the youth of our nation have the highest potential to take what they learn and apply it the rest of their lives. Children also tend to turn to the adults in their lives to share their new knowledge. They may even persuade those adults to change their habits to be better at recycling, conserving water or protecting the environment. It is much easier to make a wide reaching impact when the gap between highly technical processes and essential knowledge is bridged. As a water resources engineer, I work to ensure that our built environment doesn’t cause a negative impact on our environmental resources. Even small, easy to prevent actions, like blowing your grass clippings into the street or letting your sprinklers run while it’s raining, can have long-term impacts on our quality of life. What started as an idea for a book about the water cycle, in coordination with the
Jones Law Office
Stacey R. Edwards Jones Attorney at Law
Smithsonian Water/Ways traveling exhibit, turned into a series of books to teach children about the work we do. Bolton & Menk is not only passionate about our clients, we also thrive to make the communities where we live, work and play a better place. These books have given us an opportunity to give back through classroom visits and book readings. The books can even be integrated into some of the state-wide learning targets around which teachers develop curriculum. While the books are written by our firm’s technical experts, they are written using simple language intended to provide a foundational understanding of the subject matter. This approach is effective for getting children excited about science, technology, engineering, art, and mathematics (STEAM) careers as well as to be an educational resource for all ages. It’s always very fun to see the “aha!” moment for the bright-eyed children, but even more fun when I see the light bulbs go off for the parents behind them. Timothy J. Olson, P.E., CFM is a Water Resources Engineer for Bolton & Menk, Inc.
Lifelong Relationships | Honest Advice | Effective Solutions
Jennifer L. Thon Attorney at Law
Kristin M. Gunsolus Attorney at Law
Steven D. Winkler Attorney at Law
Our attorneys and staff provide a wide variety of legal services to Southern Minnesota. Contact us today.
212 Madison Avenue, Suite 100 | Mankato, MN 56001 | Phone: (507) 385-4488 info@joneslawmn.com | joneslawmn.com | facebook.com/JonesLawOfficeMN
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JULY/AUGUST 2018
Richard H. Kakeldey Attorney at Law
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Mandi Kosbab, AAMS®
Drew Schellpeper
Sander Ludeman, AAMS®
Financial Advisor
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116 North State Street Fairmont, MN 56031 507-235-8524
1001 East Blue Earth Ave, Suite B Fairmont, MN 56031 507-238-4244
1400 S Riverfront Dr Suite 100 Mankato, MN 56001 507-385-0305
Jill R Berdan
Tom Buskey
Jason R Engstrom
Financial Advisor
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108 North State New Ulm, MN 56073 507-354-4243
1301 North Broadway St New Ulm, MN 56073 507-359-4383
1604 S Broadway St New Ulm, MN 56073 507-359-2163
Chris Jensen, CFP® AAMS®
Chris Hoffman, CFP®
Kenneth J Klooster, AAMS®
Financial Advisor
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700 N Minnesota St Suite C New Ulm, MN 56073 507-354-1234
340 Belgrade Ave North North Mankato, MN 56003 507-388-7786
1660 Commerce Drive Suite 2 North Mankato, MN 56003 507-625-8452
Bart Weelborg, AAMS®
Nyla T Hagen, AAMS®
Financial Advisor
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1031 West Grace Street St Peter, MN 56082 507-931-7348
132 17th Ave NE Waseca, MN 56093 507-835-5207
ASK A PROFESSIONAL
Corree Johnson Event & Marketing Assistant Chankaska Creek Ranch & Winery, Kasota
Your boss asks you to plan the next corporate event. While initially very excited, you realize that the last party you had to plan was your kid’s 5th birthday party. Planning an event can be overwhelming, but it doesn’t have to be! Ensure a successful event with these easy tips.
Choose A Theme
Regardless of the event—training, team building, morale—there needs to be a central theme or idea that will hold the event together. Understanding the who, what, when, and especially how many is important when deciding an appropriate theme for your event. The theme you choose will guide all other aspects of planning.
The Ultimate Guide For Planning Your Next Corporate Event Set Your Budget
While you do not need a point by point budget you should make sure you have a vague idea of how much you will be spending. You should also have a rough idea of how much of that total budget you want to spend on venue, food, décor, entertainment, and other major parts of your event. Knowing your budget will help when choosing the venue and other vendors for your event.
Location, Location, Location
When determining a venue there are a number of factors to consider. First, you need to have a venue that fits the theme of your event. Secondly, your venue also
needs to reflect your audience and business’s overall purpose for the event. Make sure to get estimates from a variety of venues to compare pricing as well as what they offer. Insider tip: book early to ensure availability!
Choose Your Vendors
The space and food are not the only vendors you need to consider. Make sure you are also considering décor, entertainment, security, and any other needs your event might need. Finalize and sign all contracts then stick to the plan—especially food. Making last minute changes will not only be stressful but may make it more difficult for your vendors and can increase cost.
Invitations
You can do this through the regular mail or email, but doing both is the best method. You can also send out email or texting alerts to make sure people RSVP or are aware of your event. Ultimately the type of event you are planning will depend on the style of your invitation and how early you need to send out your invitations.
Look Into Additional Advertising
Depending on your event, you may want to have additional advertising. If this is an in-house event for your own employees than you might not need additional advertising beyond a company-wide email. However, if this is for the public or a fundraiser than you should look into radio advertising, print or digital ads. Choosing the best option depends on your company, event, and target audience.
Have An Onsite Coordinator
Having someone or multiple people in charge of the event is important. This person will be in charge of directing staff, answering any catering or vendor questions as well as any other issues that could arise. 60
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Sponsored Content
The perfect business. The perfect experience.
Book your event now! Insider tip: Ask your venue. Chankaska Creek Ranch & Winery has an in-house coordinator that will help run the event and assist with other vendors, making day of operations a breeze.
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Create a Day of Checklist
Create a master list of everything that needs to be done before the event. As you are planning, make sure to mark off anything that is done. Make sure to include anyone who is helping with the event and their tasks. A few days prior and the morning of, make sure to run through this list to make sure everything and everyone is accounted for.
Enjoy!
Planning an event can be stressful. You put a lot of time and effort into planning and deserve to enjoy it! Don’t forget to enjoy it!
Say “Thank you”
After your event, make sure to thank everyone who made it possible. Thank staff, vendors, and especially your guests who came out to support you. This can be done in a number of ways---whether by mail or electronically. Either way, make sure to say thank you to those who helped make the event possible! Corree Johnson is the Event and Marketing Assistant at Chankaska Creek Ranch & Winery, which offers a variety of venue spaces for hosting meetings, social gatherings, team building experiences and more. For more information on our event space and services please contact us at (507) 931-0089 or events@chankaskawines.com.
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Call 507-232-3463 or visit ConnectBiz.com/advertising JULY/AUGUST 2018
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COLLABORATION CONNECTION — SPECIAL REPORT
Taking Care of Business, To Take Care of People The Greater St. Peter area receives an injection of $46 million dollars that will expand not only the hospital there, but the local economy as well. Lisa Cownie “Solid infrastrucEditor ture and modern healthcare facilities play a key role in the economic sustainability of rural communities – attracting new businesses, retaining population and providing opportunities for future growth,” says Brad Finstad, State Director for USDA Rural Development. “Not only will these services benefit local St. Peter residents, but they will also address the regional healthcare needs of surrounding communities for years to come.” The United States Department of Agriculture Rural Development loan recently announced it would help finance expansion of the hospital, but this is the culmination of a story that started long ago. It was in 1938, long before the health care issues of our modern world came into play. Forward-thinking leaders of the city of St. Peter wanted to provide medical care for it residents and opened St. Peter Community Hospital. Starting with 38 beds, the hospital has added rooms and services over the last eight decades as well as gone through a name change or two. But it has 62
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always remained city owned. Today, River's Edge is one of just 956 community-owned facilities, out of more than 5,500 total hospitals according to the American Hospital Association. Again, forward-thinking city leaders have found a way to partner with others to make sure the Greater St. Peter area doesn't have to travel elsewhere for quality health care. “In the past 5 years River’s Edge Hospital has experienced tremendous growth due to the partnership with The Orthopaedic & Fracture Clinic to create OrthoEdge, our joint replacement program,” says Stephanie Holden, Chief Marketing and Development Officer. “Because of this partnership, there has been growth in all services we provide at River’s Edge.” Because of that growth, River's Edge is in the beginning stages of an expansion project on the St. Peter Campus. The project includes renovation of existing space to expand the surgery department, expand the physical and occupational therapy department, add a café and patient dining service. New construction includes two new patient wings that will increase our bed capacity from 17 to 25, and a new emergency department, emergency medical services and new urgent care department. With more space for patients we have the opportunity to not only continue the services we currently provide, but add services that will benefit the St. Peter area community.” The main entrance of the hospital will
also relocate from the south side of the building to the east side, allowing for one main, secure entrance and a convenient drop-off/pick-up location for patients. Site work for the project began on May 4. “The project is designed to be done in phases which allows us to continue to provide services with minimal disruption. Each phase has targeted completion date and total project completion is expected by June 2020,” says Holden. The project includes 35,500 square feet of renovation and 31,700 square feet of new construction. The total cost of the project is $33.8 million and is being funded through a United States Department of Agriculture (USDA) Rural Development loan. The expansion is not only adding more space and more services, but more jobs into the community as well. “At this time we are anticipating hiring more than 20 new staff members. These positions range from nursing, physical and occupational therapy, dining services, and other support staff,” Holden says. Funding for the facility came in the form of a $33.3 million USDA Rural Development Community Facilities direct loan and a $5 million commercial loan through partnership with Peoples Bank Midwest. River’s Edge will contribute $7.6 million to the total $46 million project. Nearly $800,000 will go towards health e-connectivity in the form of nurse call, video, voice and data technology and approximately $160,000 will go towards resources for rural mental and behavioral health services. River’s Edge Hospital & Clinic continues to provide quality care to nearly 46,000 patients throughout the greater St. Peter area including Nicollet, LeSueur and portions of Sibley and Blue Earth counties. For more information on USDA Rural Development programs, please contact your local Area Office by visiting rd.usda.gov/mn.
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