Forge October/November 2018 by Kate Noet

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WHAT IS AT STAKE? S p e cia l R e p o r t

ORCHARD FARMERS ARE READY FOR THE SEASON

S p e cia l R e p o r t

ELECTION JUDGES VITAL TO THE VOTING PROCESS

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James Anderson Editor

Volume 2, Issue 5 October/November 2018

It’s Beginning to Look a lot like Midterms Perhaps now more than ever, in our polarized political environment, Americans are aware of an upcoming midterm election. Maybe it’s just me but it sure does seem like the TV ads and yard signs were out early this year. I have a feeling more people are considering the consequences of how they vote (or choose not to vote) as this midterm approaches. More folks are aware, it seems, that elections are important, that voting is important.

That’s why we looked at the business side of election advertising (Political Campaigns Provide Boost for Area Marketing, Media Companies p. 12). In this story, writer James Figy digs into just how much an election can benefit local marketing and media firms. In our story, "Election Judges Vital to the Voting Process" (p. 42), writer Grace Webb talks with local election judges and shares what it takes to keep our democratic process moving smoothly on Election Day.

In this issue’s cover story (What is at Stake? page 16) we examine the issues facing Steele County business owners, both large and small, on their Nov. 6 ballot. We asked representatives from both of the major parties to weigh in on these issues. I hope you, as a businessperson, gain some insight into each of the big races facing voters this November.

As always, the issue is chock full of other content, including a look at the latest in the development activity in downtown Owatonna, area high schools’ push to ensure its graduating seniors are well-equipped to enter the workforce, and a look at how local retailers anticipate the upcoming holiday shopping season. I’m confident that you’ll find deep business insights from our writers and columnists on the pages within. Thanks for reading!

But there’s a lot that goes into an election season in Steele County.

PUBLISHER: Tom Murray EXECUTIVE EDITOR: Jeffrey Jackson EDITOR: James Anderson CONTRIBUTING WRITERS: James Figy Anna Vangsness GraceWebb COVER DESIGN: Brendan Cox PAGE DESIGN: Tri M Graphics ADVERTISING MANAGER: Ginny Bergerson ADVERTISING SALES: Kyle Shaw Emily Kahnke Kristie Biehn Pam DeMorett ADVERTISING ASSISTANT: Lisa Richmond ADVERTISING DESIGNERS: Kelly Kubista CIRCULATION DIRECTOR: Carol Harvey For editorial inquiries, contact Jeffrey Jackson at 507-444-2371 or jjackson@owatonna.com For advertising inquiries, please call 507-444-2386 or email gbergerson@owatonna.com

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FEDERATED FUNDRAISER BENEFITS BIG BROTHERS BIG SISTERS

SPECIAL REPORT

POLITICAL CAMPAIGNS PROVIDE BOOST FOR AREA MARKETING, MEDIA COMPANIES

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SPECIAL REPORT

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PHILANTHROPY

James Figy FEAtURE WRITER

CHALLENGE ACCEPTED

FEDERATED FUNDRAISER BENEFITS BIG BROTHERS BIG SISTERS

innesota’s three Big Brothers Big Sisters agencies know that they will always have a need to fill. They strive to match as many mentors, which they called “Bigs,” and as many children, “Littles,” as possible. The goal of matching 625 Littles in Southern Minnesota this year, and assisting another 230 kids on the waitlist, is large task, according to Michelle Redman, executive director of Big Brothers Big Sisters of Southern Minnesota, based in Owatonna. As such, it requires a substantial budget,

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since supporting each match costs about $1,500 per year. To help meet this need, Federated Insurance has organized the twoday Federated Challenge since 2004 and has raised nearly $35 million to support the three Minnesota Big Brothers Big Sisters agencies and most recently Big Brothers Big Sisters of America. The 2018 fundraiser brought in more than $2.8 million. The Federated Challenge is more than charitable giving, it is an investment in the future of the community, according to Pat Cooper, executive vice president

and director of communications and corporate support. Federated pays for the entire fundraiser and all proceeds go to the nonprofit. The Southern Minnesota agency receives more than $400,000 each year from the Federated Challenge, which equals roughly 40 percent of its operating budget, Redman said. She is always amazed to receive this unheard of amount of support from one business. “They work on it all year, and they pay for all the expenses, so all the proceeds go to Big Brothers Big Sisters,” she said. “As Pam Iorio, who

is the CEO of Big Brothers Big Sisters of America, has said, ‘There is nothing else like this across the United States.’” ‘THEY’RE THERE TO RAISE THE MONEY FOR THE CHILDREN’ Although the Federated Challenge has grown since it started, the format has remained fairly uni-form. “Consistently, over the 14 years of the Federated Challenge, there has been a black-tie gala followed by a day of golf,” Cooper said. “In the last eight years, the Gala has called the Saint Paul RiverCentre its home, and the golf event has been held at the iconic Interlachen Country Club. Ours is one of very few events that are allowed to access this historic country club.” The gala includes a live auction with many items to bid on throughout the evening, but during the Sponsor a Match portion, attendees pledge money without expecting anything in return other than knowing they are making a direct impact in helping a child get matched with a Big. prize. The total raised from Sponsor a Match was an all-time high of $453,000, and Federated matched that amount dollar for dollar, netting over $900,000.” At this year’s event, Iorio spoke and Angelica Hale, the 10-year-old who finished second in “America’s Got Talent” season 12, performed. Federated Challenge co-chairs Jeff and Marty Fetters presented a special honor to Glen Taylor, the founder of Taylor Corp. in North Mankato and owner of the Minnesota Timberwolves and Lynx. “Mr. Taylor shared his story of how mentoring shaped his life. He was a Southern Minnesota kid that grew up in the post Great Depression days with little resources, but big dreams,” Cooper said.

More than a dozen Littles attended the gala with their Bigs. The Bigs and Littles were onsite to help greet guests, present Mr. Taylor with his award, and be part of the opening program.

life. The emotional wealth that comes from being a mentor has shaped the Fetters, and they are committed to paying that forward.” Along with the Fetters, many Federated employees mentor through Big Brothers Big Sisters of Southern Minnesota, Redman said. However, there is always room for more Bigs. Many adults would like to be mentors but are unsure about the time commitment required to plan activities with their Littles twice per month, Redman said. However, Big Brothers Big Sisters hosts 50 free activities per year and also recommends simply spending time together.

“Children don’t get to experience black tie events often, so they just thought it was wonderful,” Redman said. “…They got to sit down and have a wonderful meal and mingle with the guests, and the guests really enjoy that. They’re there to raise the money for the children in our program, and to see them there is wonderful.” ‘THE EMOTIONAL WEALTH THAT COMES FROM BEING A MENTOR’ The company’s involvement with Big Brothers Big Sisters dates back many years and the heart of the Federated Challenge comes directly from Chairman and CEO, Jeff Fetters and his wife and co-chair Marty Fetters. “They live this cause,” Cooper said, adding that Jeff Fetters also sits on the board of Big Brothers Big Sisters of America. “They were a Big Couple to their Little Sister, Mackenzie, here in Owatonna and through that mentoring relationship saw her grow into a confident and successful young lady. Mackenzie is now a Sous Chef at the Owatonna Country Club. The Fetters continue to stay connected and involved in Mackenzie’s

“Do what you like to do and involve a child in that,” Redman said. “If you enjoy fishing, bring a child fishing. If you enjoy baking, have a child over to your house to bake. If you have Sunday night dinners with your family, have a Little come over and spend that time with your family.” The agency is always grateful for new volunteers or donations, and it is running a Big Give campaign through the end of October. As Redman knows, there are always more kids to help. 

HOW TO GET INVOLVED To volunteer with Big Brothers Big Sisters of Southern Minnesota or give to its Big Give cam-paign, contact the agency: • bbbsofsouthernmn.org • 507-451-5922 • barb.schwab@ bbbsofsouthernmn.org To learn more about the Federated Challenge, visit federatedchallenge.org

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HEALTHY WORKPLACE Jason Wray-Raabolle, M.D. MCHS

WORK-LIFE BALANCE:

TIPS TO RECLAIM CONTROL T

here was a time when the boundaries between work and home were fairly clear. Today, however, work is likely to invade your personal life — and maintaining work-life balance is no simple task. This might be especially true if you're concerned about losing your job due to restructuring, layoffs or other factors. Technology that enables constant connection to work can eat into time at home. Work-life balance can be especially difficult for parents of young children; almost 60 percent of employed first-time mothers in the United States return to work within 12 weeks after childbirth. Still, work-life balance isn't out of reach. Start by evaluating your relationship to work. Then apply specific strategies to help

you strike a healthier balance.

MARRIED TO YOUR WORK? CONSIDER THE COST

It can be tempting to rack up hours at work, especially if you're trying to earn a promotion or manage an ever-increasing workload — or simply keeping your head above water. If you're spending most of your time working, though, your home life will take a hit. Consider the consequences of poor work-life balance: • Fatigue. When you're tired, your ability to work productively and think clearly might suffer — which could take a toll on your professional reputation or lead to dangerous or costly mistakes. • Poor health. Stress is associated

with adverse effects on the immune system and can worsen the symptoms you experience from any medical condition. Stress also puts you at risk of substance abuse.

• Lost time with friends and loved ones. If you're working too much, you might miss important family events or milestones. This can leave you feeling left out and might harm relationships with your loved ones. It's also difficult to nurture friendships if you're always working. • Increased expectations. If you regularly work extra hours, you might be given more responsibility — which could lead to additional concerns and challenges. www.forgesteelecounty.com | 9

HEALTHY WORKPLACE STRIKE A BETTER WORK-LIFE BALANCE

As long as you're working, juggling the demands of career and personal life will probably be an ongoing challenge. But if you can learn both to set limits and look after yourself, you can achieve the work-life balance that's best for you: • Setting limits. You can't manufacture time. If you don't set limits, then work or other obligations can leave you with no time for the activities and relationships you enjoy. Consider these ideas: • Track your time. Pay attention to your daily tasks, including work-related and personal activities. Decide what's necessary and what satisfies you the most. • Manage your time. Cut or delegate activities you don't enjoy or can't handle — or share your concerns and possible solutions with your employer or others. Organize household tasks efficiently, such as running errands in batches or doing a load of laundry every day; don't save all the laundry for your day off. Do what needs to be done and let the rest go. • Make a list. Put family events on a weekly calendar, and keep a daily to-do list at home and at work. Having a plan helps you maintain focus. When you don't have a plan, it's easy to be sucked into the plans and priorities of others. • Learn to say no. Whether it's a co-worker asking you to spearhead an extra project or your child's teacher asking you to organize a class party, remember that it's OK to respectfully say no. When you quit accepting tasks out of guilt or a false sense of obligation, you'll have more time for activities that are meaningful to you. • Leave work at work. With the technology to connect to anyone at any time from virtually anywhere, there might be no boundary between work and home — unless you create it. Make a conscious decision to separate work time from personal time. • Reduce email access. Check emails no more than three times a day — late morning, early afternoon and late in the day. If you access email first thing in the morning, you tend to focus on and respond to other people's issues rather than being proactive about your own needs. • Take advantage of your options. Ask your employer about flex hours, a compressed workweek, job sharing, telecommuting or other scheduling flexibility. The more control you have over your hours, the less stressed you're likely to be. 10 |

• Try to shorten commitments and minimize interruptions. Most people can sustain a maximum level of concentration for no more than 90 minutes. After that, the ability to retain information decreases dramatically. When interrupted during a task, you need double or triple the time of the interruption to regain full concentration on your task.

CARING FOR YOURSELF

A healthy lifestyle is essential to coping with stress and to achieving work-life balance. Try to: Eat a healthy diet. The Mediterranean diet — which emphasizes fresh fruits and vegetables and lean protein — enhances the ability to retain knowledge as well as stamina and well-being. Get enough sleep. Lack of sleep increases stress. It's also important to avoid using personal electronic devices, such as tablets, just before bedtime. The blue light emitted by these devices decreases your level of melatonin, the hormone associated with sleep. Make time for fun and relaxation. Set aside time each day for an activity that you enjoy, such as practicing yoga or reading. Better yet, discover activities you can do with your partner, family or friends — such as hiking, dancing or taking cooking classes. Volunteer. It's important not to over-schedule yourself. But research indicates that volunteering can contribute to a greater sense of work-life balance. Selective volunteering might lower your levels of burnout and stress and boost your emotional and social well-being. Bolster your support system. At work, join forces with co-workers who can cover for you — and vice versa — when family conflicts arise. At home, enlist trusted friends and loved ones to pitch in with child care or household responsibilities when you need to work overtime or travel. Know when to seek professional help Everyone needs help from time to time. If your life feels too chaotic to manage and you're spinning your wheels worrying about it, talk with a professional — such as a counselor or other mental health provider. If your employer offers an employee assistance program, take advantage of available services. Remember, striking a healthy worklife balance isn't a one-shot deal. Creating work-life balance is a continuous process as your family, interests and work life change. Periodically examine your priorities — and make changes, if necessary — to make sure you're keeping on track. 

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L A C I T POLI IGNS A P M A C T S O O B E D I V PRO A E R A R FO , G N I T E K R S A E I M N A P M O C A I D E M

etween the yard signs, pamphlets, radio commercials, social media and newspaper ads, it’s easy to see who will be on the ballot in Steele County on Nov. 6. Local political parties have been working to advertise their candidates’ names, faces and platforms to as many voters as possible.

This boosts revenues and workloads for local media and advertising companies, which have to work hard to keep up with demands as the election cycle enters the final stretch.

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spend on advertising. However, even in an uncontested election, some marketing effort is necessary. Since state and local elections happen at least every two years, local GOP officials are constantly planning some form of communication, according to Pam Seaser, co-chair of the Steele County Republican Party.

However, the impact varies from one election year to the next, according to Mike Jensen, president of Tri M Graphics. Jensen’s company specializes in printing and direct mailing.

“Advertisements can be very effective, depending on the intended audience and readership. Placement is important, but so is content. The most effective ad depends upon the audience to be addressed and the message that is to be conveyed,” Seaser said. “…The party produces some content on its own, as does the candidate. But sometimes, content creation and ad production are a collaborative effort.”

“They want it to be fresh in people’s minds. They want it to be the last one that people see before they go to the polling place,” he said.

MANY METHODS TO SPREAD THE WORD

Order sizes change depending on the offices up for election and whether a candidate is running unopposed, which happens most often with city and county offices. These factors affect how much political parties and individual candidates need to fundraise and

While political campaigns can use multiple ways to reach voters, one tried and true method is placing an ad in the local newspaper. Ginny Bergerson, advertising director for the Owatonna People’s Press, sells many print advertisements of varying

James Figy FEAtURE WRITER

SPECIAL REPORT

sizes throughout an election cycle. These are most often purchased after the primaries and purchased more frequently right before Election Day.

made it easier to find and reach those voters.”

“They’ll spend anywhere from a couple hundred bucks up to $30,000 or $40,000, depending on … if it’s party money or a candidate’s money,” she said, adding that campaigns’ TV and radio spending is often higher.

Although online methods can be effective, a campaign needs to use multiple types of advertisement to broadcast its message, Jensen said. Online advertising took a large quantity of sales away from direct mailing, but this has leveled out as more campaigns incorporate direct mailing again.

Tri M Graphics offers everything from multi-page brochures to small postcards. The most popular product is often door hangers that volunteers can leave at homes while canvassing and doing literature drops.

“There isn’t any one single way that’s the best way to reach out from an election standpoint,” he said. “It takes trying to get your message out as effectively as possible and doing that through multiple ways.”

A direct mail service that the company has added in recent years is Every Door Direct Mail (EDDM). This allows campaigns to send materials to residents on specific U.S. Postal Service carrier routes, providing a more targeted saturation mailer.

STAYING POSITIVE WINS THE RACE

“A lot of campaigns have found that to be really successful, especially with the rural routes where it’s harder to get people to go door to door. It’s a great way to communicate with those audiences,” Jensen said. The People’s Press has online methods for targeting a specific audience geographically. Along with banner ads on the website and ticker ads that appear at the bottom of a mobile device screen, the newspaper offers programmatic people-based advertising for campaigns. “This type of marketing can zero in on a target with a very sophisticated approach to find a specific [type of] person,” Bergerson said. “This makes sense for the marketing strategy if they’re looking to sway those who’ve never voted, those who might be on the fence or those who might want to cross party lines.” This method also provides a dashboard so campaigns can see how many people they have influenced, and the campaigns that use it appreciate the return on investment, Bergerson said. Campaigns are costly and voters only turn out for candidates they’re excited about, so online ad campaigns are crucial for reaching voters who share a candidate’s values, according to Buddy Ricker, executive committee chair for the Steele County DFL. He believes the power of online ads has also forced TV, radio and print marketers to offer higher quality products. “Online advertising has raised the bar with the analytics and statistics available today, and that has raised the bar for print and television as well,” Ricker said. “The tools available have

Local party leaders and politicians focus on striking the right balance between traditional and innovative methods to spread their messaging. For candidates in Steele County, crafting messages to voters with “honesty, integrity and clarity” is preferable to engaging in the mudslinging so common in federal-level elections, Seaser said. If residents see negative mailers or advertisements, they were most likely sent by an outside group, not the local political parties or candidates, Seaser added. “Voters need to look at the disclaimer and see who is printing and sending the campaign piece that comes in their mailbox,” she said. “Oftentimes it is distributed through an out-of-county or out-of-state entity.” Third parties sending out mailers to “smear the opponent with bad photos and angry, false or misleading allegations” are operating on their own, Ricker said. They cannot legally coordinate with the candidates or their committees, which take a more positive approach. “The fact is, and studies show this, we root for the good guy or gal,” he said. “We want a positive vision for our future, and we are more likely to go to the polls and vote for people who we believe will work for that kind of future.” Jensen added that not only does ad hominem messaging take the focus off real issues, but it also tends to backfire on candidates who use these tactics. “Positive literature drops by the candidates seem to get better traction in this area, as opposed to more negative or critical pieces,” he said. “Being positive seems to have a better result.”  www.forgesteelecounty.com | 13

Around the

Water Cooler

Owatonna Hospital Laboratory receives gold standard in accreditation

New donor policy and opportunities, trustees elected at Owatonna Foundation annual meeting

The Allina Health laboratory at Owatonna Hospital was recently accredited by the Accreditation Committee of the College of American Pathologists (CAP). The US government recognizes the CAP Laboratory Accreditation Program, which began in the 1960s, as being equal to or more stringent than the government’s own inspection program. The national accreditation is based on results of a recent on-site inspection as part of the CAP’s Accreditation Programs, designed to ensure the highest standard of care for all laboratory patients. During the CAP accreditation process, inspectors examine the laboratory’s records and quality control of procedures for the previous two years. CAP inspectors also examine laboratory staff qualifications, equipment, facilities, safety program and record and overall management. The Allina Health laboratory at Owatonna Hospital also received this honor during the last inspection in 2016. This honor makes Owatonna Hospital one of more than 7,600 CAP-accreditation facilities worldwide.

The Owatonna Foundation Board of Trustees recently held its 60th Annual Meeting at the Steele County History Center. During the Annual Meeting the Trustees conducted their business of annual committee reports, adopting new policy and donor opportunities, and electing Trustees and Officers. The Board of Trustees revised a new donor policy that was adopted in June of 2017. This will allow donors to fund specific areas of interest they are passionate about. These include the Non-Endowed Field of Interest Fund, the Endowed Field of Interest Fund, and A Donor Designated Field of Interest Fund. Two new Trustees, Dean Velzke and Judy Plemel, were elected. President Betsy Lindgren, Vice President Dennis Meillier, and Secretary/Treasurer Ray Stawarz were re-elected as officers.

Chamber Foundation receives workforce grant The Bosch Community Fund recently awarded the Owatonna Chamber Foundation a grant for $5,490 to fund the ‘Made in Owatonna Days’ program. ‘Made in Owatonna Days’ enters its 7th year this school year with a focus of giving students an in-person look at jobs in Steele County. The Bosch Community Fund grant funds marketing, meals, transportation, and material costs for the program. ‘Made in Owatonna Days’ is conducted during three separate days in the fall, winter and spring and includes students from Owatonna High School, Owatonna Alternative Learning Center, Blooming Prairie High School, and Medford High School. In total, more than 150 students participate each school year. The ‘Made in Owatonna Days’ are organized in partnership with the United Way of Steele County, Junior Achievement of the Upper Midwest, Owatonna High School & ALC, and the Owatonna Area Chamber of Commerce & Tourism. 14 |

Wenger Corp. completes large locker room install at the University of Minnesota Wenger Corporation announces the installation of new GearBoss customized lockers for both men’s and women’s sports throughout the Minnesota athletics department, including new Athletes Village locker rooms housing football, and men’s and women’s basketball. The lockers have to serve the student-athletes’ needs, which is why GearBoss customizes each locker room per sport. Efficient locker design maximizes space usage for extra-large shoulder pads, bats, cleats, sticks, skates or whatever equipment the sport requires. An interior lockable cubby provides security, as well as USB ports for personal electronics. On the sanitation side, ventilation ducts are integrated into each locker, and are tied into the locker room’s main HVAC system to accelerate the equipment-drying process and clear out odors. Antimicrobial surfaces help prevent bacteria and viruses from penetrating into the wood, reducing the spread of germs. The wow factor comes in the design. For example, the 4,200 square-foot football locker room is set on a radiused layout with both concave and convex curves affecting all 123 lockers. Nameplates are backlit and LED light strips within the lockers provide better visibility. Solid surface pocket doors tuck back out of the way and feature a holepunched cityscape that extends to the back of the room.

Dan Hageman is Home Federal’s newest local investment representative Home Federal Investment Services is pleased to announce the newest local investment representative to their team. Dan Hageman joins Home Federal Investment Services as an Investment Representative and will be serving the Austin, Albert Lea, and Owatonna, MN communities in each market’s respective Home Federal branch. Dan joins Home Federal with more than 27 years of investment experience. Austin, Albert Lea, and Owatonna area residents are encouraged to contact Dan for all their investment needs by calling 507.434.2512 or emailing daniel.hageman@ceterais.com. More information about the services offered can be found at JustCallHome.com/investments Home Federal Savings Bank is a local community bank headquartered in Rochester, MN with fourteen full-service offices in Minnesota and Iowa. Home Federal provides individuals and businesses with a full range of banking and investment services. To learn more about how you can “Bring your banking home,” visit JustCallHome.com

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The Vomela Companies acquire Learning ZoneXpress The Vomela Companies of St. Paul, Minnesota, announced it has completed the acquisition of Owatonna-based Learning ZoneXpress, Inc., a leading source of health, nutrition, and life skills education resources. For more than 20 years, Learning ZoneXpress has been promoting nutrition content with award-winning posters, handouts, games, lesson plans, nutrition activity books, and more. Learning ZoneXpress offers a wide variety of educational posters, banners, handouts and other incentives. These engaging and innovative messages fit public health agencies, WIC clinics, school foodservice, Family, and Consumer Sciences classrooms and other public or community facilities. The Vomela Companies are a full-service specialty graphics provider capable of producing a wide variety of promotional, store décor, event, fleet, OEM, commercial, and transportation graphics. With projected 2018 revenues of $285 million, the company employs more than 1,300 people in 22 cities across the U.S. and Canada. www.forgesteelecounty.com | 15

COVER STORY

WHAT IS AT STAKE

IN THIS YEAR’S MIDTERM ELECTION? When Steele County residents take to the voting booths Nov. 6, there will be a number of principles guiding their choices. For business owners, whether large corporations or small mom and pop stores, what’s good for their business is often what’s good for politics. We’re taking that approach to the ballot for this issue’s cover story. We selected two important questions for each of the major races on our ballots and we’ve asked representatives from the two major parties to weigh in on how their respective candidate views the issue. For the Democrats, we asked Steele County DFL Party Chair Buddy Richter and Director Francy Hall. For the Republicans, we asked Stephen Nelson and Pam Seaser, co-chairs of Steele County Republican Party.

BIG ISSUES FOR BUSINESS ON NOVEMBER’S BALLOT 16 |

James Anderson Editor

www.forgesteelecounty.com | 17

GOVERNOR

An early focus of the first gubernatorial debates between Republican Jeff Johnson and Democrat Tim Walz, was the perceived rural/urban divide in the state. How will your candidate balance the concerns of rural Minnesota businesses against those in the suburbs and cities? REPUBLICAN: Candidate Jeff Johnson is well aware of the divide but he also knows there are certain issues that are dealt with at the Governor/Legislature level and others are left to the local governing bodies. Jeff Johnson knows that legislation works best when there is bipartisan input and bipartisan support. Legislators need votes from both rural and suburban areas. Jeff has extensive experience in this area having been a Hennepin County commissioner where he brings people together for a win-win solution.

Jeff Johnson

Tim Walz

DEMOCRAT: Minnesota’s economy is one of the strongest in the country. Our unemployment rate and job growth have outpaced our neighbors. Minnesota is stronger because we investment in funding our children’s education, our communities’ services, and our state’s infrastructure. Tim Walz lives in outstate Minnesota and works in urban Washington D.C.. He knows rural and urban issues inside and out, and has traveled this state listening to people from all walks of life. Walz and his running mate Rep. Peggy Flanagan have created a Community Prosperity Council that would bring together a group of diverse leaders to develop a package of funding and policy initiatives to boost local communities. Tim’s agenda, developed through countless conversations all over the state, will spur innovation from North Mankato to the North Shore to North Minneapolis. The One Minnesota Community Prosperity Plan invests in our communities by finally giving them the funds they need to get their budgets on track. It offers block grants to towns and cities to help jumpstart development, inject vibrancy, and make the critical investments necessary to ensure every community isn’t just surviving—but thriving.

The worldwide issue of immigration has shown itself in the governor’s race in Minnesota. How does your candidate interpret immigration’s effect on business and the workforce in rural Minnesota?

DEMOCRAT: Steele County DFL has endorsed candidates who agree with the Minnesota Business Immigration Coalition, among whose many members include the Minnesota Chamber of Commerce, who acknowledge that the growth rate of Minnesota’s workforce is declining and a wide range of jobs are left unfilled. Immigrants help relieve the worker shortage. Employers rely on the immigrant workforce, especially in manufacturing and agriculture. When jobs are left unfilled, the economy as a whole suffers; we need immigrant workers with a wide variety of skill sets. Reform should include a simple and timely approach to the future flow of immigrants, including permanent and temporary status. New rules should allow sufficient immigration to meet the needs of all industries (including agriculture) as well as large and small businesses alike and afford workers all protections under current laws. REPUBLICAN: Certainly in Minnesota we have a need for more skilled workers and businesses are struggling to fill positions. We also have a history of using seasonal workers who come north for the summers to

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help with agriculture harvest. In the recent past, we have legal immigrants filling many job openings in the turkey and meat processing plants around the state. Jeff Johnson is a firm believer in helping people who are legal residents or legal immigrants find sustaining jobs for their families and livelihood.

DISTRICT 24A

In the race for State Representative for District 24A, which covers most of Forge magazine’s reading area, incumbent Republican John Petersburg faces DFL challenger Joe Heegard. How will your candidate support local businesses (some of which are agriculture-related, but not all) in the form of tax policy?

John Petersburg

Joe Heegard

REPUBLICAN: John Petersburg is very connected with the farm/agriculture community and has been endorsed multiple times by the Farm Bureau. John knows we cannot out-tax our businesses if we want them to stay in Minnesota and not go to surrounding states because of Minnesota’s tax structure. He recognizes that farmers and small businessmen in Minnesota are competent and hardworking and want to build businesses that benefit all Minnesota citizens. That is why he believes in easing the regulatory burden and the financial hardship that unfairly high taxes place on our working community—especially when neighboring states invite our farmers and business community to leave Minnesota for a more business-friendly climate. DEMOCRAT: Our DFL candidate, Joe Heegard, likes to say that “when you call the police or the fire department for help, they don’t ask for your policy number!” That’s because these and other vital services are paid for by all of us pooling together to pay for them – it’s called taxes and they enable local, state and federal governments to provide quality public infrastructure, safety, education and other vital services necessary for a healthy community. Local businesses are a vital part of our community’s health. Business and Agriculture taxes should be fair and should encourage success, savings, investment and entrepreneurship. Agriculture taxes must also recognize the financial challenges faced by agricultural producers: fluctuating input prices, uncertain weather, insect or disease outbreaks, unpredictable commodity markets. We all should pay and receive our fair share.

There is a growing interest in wind and solar power in our region. How will your candidate balance the risks and benefits of these energy sources to ensure that they benefit Steele County businesses.

DEMOCRAT: Who doesn’t want to save energy costs? Who doesn’t want fuel and power that is renewable? Who doesn’t want cleaner air and water that comes from phasing out dirty fossil fuels? Wind, Solar and other emerging renewable technologies create jobs. These jobs aren’t just in creating wind and solar plants, but also in operating and maintaining them. Like other public works (water supply, electrical grid, roads, bridges, pipelines, parks, public buildings, etc, etc.), renewable energies and technologies will put people to work. www.forgesteelecounty.com | 19

Workers will benefit, and so will businesses. When the cost of energy goes down, so do business overhead and production costs. Local businesses have a mutually beneficial relationship with the community that supplies workers and consumers. So, unlike the ultra-rich corporate conglomerates who take the savings and buy back their own stock to enrich their shareholders, local businesses reinvest the savings into the business and its employees. Farmers are for wind and solar too. For farmers whose inputs are high and profit margins low, renewable energy is welcome. That’s why the Farm Bureau supports tax incentives to expand the production and distribution of renewable fuel and power – and so does the DFL and its Democratic candidates. REPUBLICAN: John Petersburg is knowledgeable about energy sources through his relationships built with the local utility companies as well as Steele-Waseca Cooperative Electric. John is keenly aware of the dual use of land locally for solar power and crop use. He will continue to be diligent about balancing costs versus benefits as he visits with the local farmers.

1 CONGRESSIONAL DISTRICT ST

In Minnesota’s 1st Congressional District, where Democrat Dan Feehan faces Republican Jim Hagedorn, healthcare is sure to be a topic of future debates. What does your candidate see as a Steele County small businessperson’s best option for health care for employees, and why?

REPUBLICAN: Jim Hagedorn is well-aware of the high costs of health care in Steele County. When choosing health care for employees, business owners need to look at all options, new and old, that are available. The Minnesota Comprehensive Health Association (MCHA) was credited as being one of the nation’s most highly successful risk pool managers prior to the implementation of Obamacare. Minnesota companies are progressive in thinking outside the box, such as forming health care associations to pool their money to afford health care. Forming health care alliances is one option businesses can use to keep health care costs lower than currently experiencing.

Jim Hagedorn

Dan Feehan 20 |

DEMOCRAT: Our DFL candidates believe that no one in our community should have to choose between paying the medical bills or feeding their family, as many farmers and others in rural Minnesota have had to. We believe that accessible and affordable universal healthcare coverage is a right, not a privilege. As our Congressman, Dan Feehan will push to ensure strong, trusted coverage for Minnesotans and will work to expand Medicare eligibility age to 55. Additionally, he will join bipartisan efforts to build on the successes of the Affordable Care Act and work to make the individual market, which our farmers, entrepreneurs, and others rely on, more stable and more affordable. Ultimately, the DFL wants to expand the most trusted and effective health care program, Medicare, to universally cover all Americans, because in one of the richest countries on earth, nobody should die from lack of health care.

Workforce development is sure to be an issue in each race, from local school boards all the way up to CD1. How does your congressional candidate feel that federal legislation should address areas of trade worker shortage and rising college costs?

DEMOCRAT: Southern Minnesota is connected to the global economy through agriculture, healthcare, and manufacturing industries. Democrat Dan Feehan knows that our connection to the global economy means we must develop education and workforce systems to meet ever-changing advances in technology. Eighty percent of the jobs in 2025 don’t even exist yet. We must support our current workers by creating affordable, local preschool options and make sure that those preschools develop socially, emotionally, and intellectually strong kids. Our rapidly evolving economy needs a K-12 education system that fosters adaptive learners and access to STEM, to the arts, to coding, and to current and emerging technology. Dan will encourage partnerships between local labor, businesses, technical schooling, apprenticeships, as well as 2- and 4-year degree programs. Post-secondary education, whether a four-year degree or otherwise, must not saddle students with debt. FFA and 4-H are great models which we should replicate across other industries. We can’t have great students without great schools and teachers. Great teachers are the lifeblood of our educational system. Every classroom must be led and empowered by teachers who are set up for success and compensated well for the public service they provide. REPUBLICAN: Jim Hagedorn believes that partnering industry with education is one way of fixing the worker shortage issue. Exposing students to local industry and helping local community colleges develop programs to train those students is a win-win for developing skilled workers. Moreover, it can lower college costs. Not all students need to attend an expensive private/public college to be trained for well-paying jobs.

BY THE NUMBERS

ELECTION STATISTICS

With Election Day right around the corner, it couldn’t hurt to take a look at some statistics from this election cycle and the one in 2016. These numbers do not give a complete picture of just how much goes into the selection of our public servants, but they do show that every election year is a big one.

2 72.74% 716

Open senate seats in Minnesota in 2018, due to a special election coinciding with the regular end of Sen. Amy Klobuchar’s current term

Minnesota’s voter turnout in 2016 Minnesota municipalities holding mayoral elections in 2018

65 110 $4.4

Candidates seeking local, state or federal positions that will be on the ballot for Owatonna residents in 2018 Judicial candidates who filed to run in Minnesota in 2018 billion: Amount spent nationwide on TV ads for federal races in 2016 Sources: Minnesota Secretary of State & NPR

www.forgesteelecounty.com | 21

BUSY SUMMER HOUSING SEASON LEAVES SELLER’S MARKET IN STEELE COUNTY

he housing market has been in a slump over the past several years across the region—and the state—with demand quickly outpacing available housing units. For Owatonna residents eager to own a new home, the search can prove frustrating, with rising home costs and a lack of housing options. Even people who want to sell their homes hesitate if they don’t have options for a new one. But thanks to new construction projects and housing permits, the market might just be turning around for Owatonna homebuyers.

A SELLERS’ MARKET

When it comes to Owatonna’s housing market, there are quite a few buyers, but not so many sellers, according to Lynn Johnson of Coldwell Banker. “The number of homes on the market is a constraint,” she said. “We’ve seen fewer homes available for buyers. The demand has outpaced the supply in certain price ranges. There’s a lot of competition for available homes.” Justin Ohnstad, a real estate agent for ERA Gillespie Real Estate, agrees. “People who would consider selling are having trouble even locating the next house they want to move into,” he said. “There are people 22 |

out there who want to transact, but they can’t find the next home.” Ohnstad said ERA Gillespie had 240 new listings as of July 2018, compared to 259 new listings at that time last year. Additionally, the real estate office closed 218 transactions at this time last year, with only 197 closed transactions in July 2018. For just the month of July, this year still lags behind last year: 57 active listings compared to 2017’s 77 active listings. “It’s been incredibly low for months—years, really,” Ohnstad said. “This summer was no different. A community like Owatonna could see almost three times that for a balanced market for active listings. A lot of properties are coming on the market and selling that same day for the asking price.” Coldwell Banker’s numbers are similar—219 homes had sold by July this year, compared to 241 last year. Johnson said their listed properties average about 62 days on the market, a decrease of five days (or 8 percent) compared to last year. “For the homes that are currently available, the average list price is higher than the average sold price by a pretty good chunk,” she said. “There are a lot of higher priced homes available and not as many buyers in those ranges.”

One reason this year’s numbers are lagging is because of the rising median sale price for houses, Ohnstad said, noting a 15 percent increase from last year. According to the Southeast Minnesota Association of Realtors, the average price of a home sold in Owatonna this year was $194,349, marking the highest average sale price since 2005. In addition, Johnson said she has seen many more homes in the $250,000-plus price range selling, but those can be difficult to afford for first-time buyers. “Overall, it’s a positive market for sellers,” she said. “It has been challenging for buyers, but many of them are willing to be patient. It’s not uncommon for them to go through two or three offers before they find or are able to purchase a home.”

NEW CONSTRUCTION PROJECTS

According to Troy Klecker, Community Development Director for Owatonna, the city has invested in several projects to offer residents more housing options—especially apartments, which have seen a huge increase in the past 10 years. “For about 10 years, we didn’t have any apartments,” Klecker said. “We went through the recession and just didn’t have the market for

Grace Webb FEAtURE WRITER

apartment buildings. Now that everyone’s kind of come back, the recession’s over, we’ve got jobs, and we’ve got developers looking at Owatonna for apartments. We’re getting a lot of those projects now.”

SPECIAL REPORT “Prior to the recession, we were building a lot of homes, maybe even too many homes for the demand we had,” Klecker said. Now, the numbers have been in the thirties, with 30 permits issued this year so far. Klecker estimates the city will issue about 40-50 permits by the end of 2018, which would be more than the 33 permits issued last year.

In 2016, Northgate Apartments opened downtown, while Park Place on Allan Avenue opened a complex on Allan Street in 2017, with a second complex on Allan Avenue planned “We’re seeing that trending back in the near future. Meanwhile, up again,” he said. “The market Hamilton Real Estate is constructing is driving the single family South Pointe Apartments on houses upwards. A number 18th Street SW and also a highof other communities around end complex on Vine Street. us have provided some sort “[These apartments] were all full of incentive to get new single before they opened the doors,” family construction going, such Klecker said. “More people are as tax abatements. We’ve not trending towards apartment had to do that. The demand life. There are those who’ve gone we’re seeing here in Owatonna, through the recession and owned we’re getting the construction property, maybe lost a home or without having to do that.” found it difficult to own a home. It’s AFFORDABILITY changed their minds on owning. VS. VARIETY People like the flexibility of renting.” Affordability has been the name This isn’t to say that the city isn’t of the game recently across looking at single-family housing Minnesota as concerns grow about units, though Klecker said things whether people can actually afford did trend down after the Great their monthly rent and mortgage Recession. Before the housing payments. As of July 2018, the bubble burst, Klecker said the city average rent for an apartment in was issuing 180 housing permits a Owatonna was $789, according year, but the numbers dropped to to Rentjungle.com, which is the low teens in the following years. actually a decrease from last year’s

$859—but a $50 increase per month compared to June 2018. This isn’t great news, considering a new report from the Minnesota Housing Partnership, which states that a Minnesota worker would need an hourly wage of nearly $19/ hour to afford a two-bedroom apartment. In fact, the report states that there isn’t a single county in the state of Minnesota where a full-time minimum wage worker can afford even a one-bedroom apartment. Overall, Minnesota has climbed to No. 21 on the list of most expensive states for rent in the nation, up from No. 24 five years ago. While the news may encourage cities to invest in more affordable housing, Klecker said in Owatonna, there’s actually a demand for market-rate and even costlier apartments. “Some of the newest ones being built are raising the high end of the rents seen in Owatonna,” he said. “But there seems to be a demand for that.” He pointed out that the South Pointe Apartment complex had the highest rents in the city when it was constructed, but it was still fully leased by the time it opened its doors. And while it may seem counterintuitive, Klecker said high-end apartments can

WHAT ABOUT MILLENNIALS? While there have been numerous news reports and studies in recent years worrying about whether Millennials will ever settle down and buy houses instead of hopping from one rental unit to the next, Ohnstad says in his experience, the younger generation is definitely still buying—just not as early as previous generations tended to do. “It’s delayed by four or five years longer than the generation before them,” he said. “They’re getting some other life things hatched out before they commit to the idea of home ownership.”

www.forgesteelecounty.com | 23

actually help with an area’s affordability, because they give renters the opportunity to move up if they want. Often, especially in Owatonna, people were interested in luxury apartments but didn’t have the option, so they rented cheaper apartments instead. When the chance came to move up, many renters did, freeing up more affordable apartments for people who needed them. “Adding more market-rate high-end apartments is going to help the affordability across the community,” Klecker said. “Those who have the ability to move up in the rental market will have those choices, and that frees up the rest of the rental market for the rest of the community.” In the end, Klecker said, affordability is about balance. “If all you have is affordable units, you’re missing the market where you have renters who can afford and want to be in the more high-end rentals,” he said. “As a community, you want to have a wide range of housing options. We’re still looking to provide more new, affordable units but we don’t want to neglect the other end either. Overall, we just want to keep providing more units to meet the needs of our workforce, in enough of a range that we can draw the workforce that we need for our businesses.”

A YEAR-ROUND BUSY SEASON Ohnstad said there used to be a time when Owatonna’s housing market had a busy season and a not-so-busy season— but that’s not the case anymore. “We used to slow down between Thanksgiving and the first of the year,” he said. “It’d be like crickets in the real estate office. That hasn’t happened [recently]. The short inventory keeps them buying through the winter months where we didn’t see that previously.” For Johnson, there still has been an ebb and flow, usually based around Minnesota’s weather. “A lot of people would prefer not to move during the winter,” she said, adding that that doesn’t mean agents aren’t working during those colder months. “We can see a lot of our activity in February and March, and then [the buyers] move in April or May. People just move when it’s most convenient and best for them, and that can vary depending on their life situation.”

OWATONNA’S HOUSING NEEDS There’s a stark lack of housing across the Owatonna region, according to the Owatonna Housing and Redevelopment Authority. “The Comprehensive Housing Needs Analysis,” a far-reaching study commissioned by the authority in 2017, stated that Steele County will need more than 1,000 general-occupancy housing units in the next eight years, including 259 market-rate rental units, 248 affordable or subsidized rental units, 216 multi-family units for sale (such as townhomes or condominiums) and 704 new single-family homes. Senior housing is also a concern, with another 733 units necessary for downsizing active seniors, congregate living and memory care residents. The study also noted that the vacancy rate for marketrate rentals was 2.6 percent, which is barely half of the 5 percent typically found in a healthy housing market. In addition, affordable and subsidized units had only a 1.8 percent vacancy rate. In order to address this growing problem, the study recommended constructing more than 2,100 new rental, single-family and senior living units through 2025—about 240 every year. To put that in perspective, the last time Steele County exceeded 100 new units was in 2007.

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DOWNTOWN DWELLINGS ONE APARTMENT COMPLEX IN OWATONNA ON TRACK, ONE DELAYED

ac Hamilton never expected to be developing real estate in Owatonna, but with one apartment complex up and running and another on its way, he’s glad he happened upon the community.

“There’s a different feeling here,” said Hamilton, the CEO of the Rochesterbased Hamilton Real Estate. “It’s very welcoming. It’s a great place.” And to say that Hamilton 26 |

“happened” on the community is an apt description. Though he had been developing real estate projects out of Rochester for some time, he had never given Owatonna much thought. But as a real estate broker, he is required to take so much continuing education programing, and at one time he noticed a course about Owatonna as a micropolitan community

— that is, a community that has a population of at least 10,000 people but fewer than 50,000. “I thought it would be fun to learn about it,” Hamilton said. But the more he learned about it, the more impressed he became with the atmosphere and with what he calls the “progressive leadership” and the “growth-oriented city council.”

Jeﬀrey Jackson executive editor

“I said, ‘I’m going to do some development in that town,’” said Hamilton. And development he has done and is doing and may yet do more of. In August, South Pointe Apartments opened on 18th Street SW in Owatonna, just down the street from the Steele County Fairgrounds. “We’re very pleased with the apartments,” Hamilton said. The complex boasts 37 units, but don’t expect to be able to rent one out. The units were 100 percent preleased, he said, meaning that by the time Aug. 1 rolled around — the day the complex received its certificate of occupancy — he had already leased all 37 units. In fact, 35 residents moved in by Aug. 1 and the other two were in by Aug. 15. But he wasn’t finished there. Even as South Pointe was opening up, ground was being broken for another apartment complex, this time in downtown Owatonna in the 100 block of East Vine Street across from the Elks Club and near where a hotel/restaurant/retail complex is in the works to locate. “As excited as we were to do South Pointe, we’re even much more excited to do Vine Street,” said Hamilton. In fact, the very day that he saw the

SPECIAL REPORT

land that will soon be the location of the apartments on Vine Street — a plot of land that at the time was housing a warehouse, but had been used for an automobile dealership and a church — he went back to his office in Rochester and started sketching out what he had in mind. “That’s true. He did,” confirmed Chad Behnken, the vice president of Hamilton Real Estate. Those plans are now for a 54-unit luxury apartment building in downtown Owatonna. Over the time since he first proposed it, there have been some changes. “A few adjustments,” Hamilton said, “but all for the better. This will be unlike anything in Owatonna.” In addition to the 54 apartments — most of them one-bedroom, but some larger — the complex will boast a fifth-floor community room and rooftop terrace, a fitness center, an English garden and some retail space on the first floor. If all goes according to plan — and by the signs of the crew busily at work on it Wednesday morning, the plans are being kept — the complex will be ready for occupancy on June 1, 2019, thus meeting the promise of the signs on the construction site: “Coming Soon Spring 2019.” Hamilton said that the timing was “remarkably good” for

the Vine Street project. The city council had just voted to change the city ordinances to allow buildings of six floors in height in downtown. The Vine Street project will be five stories tall when complete. And there was buzz of other development downtown. Torey’s Restaurant and Bar was preparing to move from its current location near the interstate to a space on Cedar Avenue, right around the corner from the Vine Street project. Also there was talk of another project downtown — a hotel project that, according to initial plans, would also have restaurants, retail space and an entertainment venue. It, too, would be right around the corner and would go a long way toward the revitalization of downtown Owatonna. “It’s proceeding very well,” Troy Klecker, the city’s community development director, said Wednesday of the hotel project. And, he added, if announcements about the project weren’t seeming to come as quickly as hoped or expected, he attributed that to the “size and complexity of the project.” But with talk of the possibility of the project coming to downtown, Hamilton knew he wanted to be there, too. www.forgesteelecounty.com | 27

“Our timing was remarkably good,” he said. “We were in the right place at the right time.”

center/gathering room, free wifi for the residents and a washer and dryer in every apartment.

PEARL STREET DELAY

But the project has been delayed by something that was quite out of the hands of the developer. The architect died.

If the timing for the Vine Street project was good, the timing for a project on Pearl Street has run into issues, causing the project’s start — and therefore, its conclusion — to be delayed, perhaps by as much as a year. The 33-unit, three-story apartment complex on Pearl, just a block away from the Vine Street project, was slated to be started this summer and completed by the end of the year or the beginning of next at the latest. The complex was to feature underground parking, a fitness center, a community

The architect — an older gentleman who was the only architect that Steve Nicolai of Nicolai Builders had ever used — was diagnosed with pancreatic cancer earlier this summer, said Klecker, and a week later the man died. Since the architect worked as a “one-man shop” that meant that no one could simply pick it up and complete it, but that the project would have to start all over again. In the meantime, some of

the cost estimates on the project have gone up. The city has met with Nicolai, Klecker said, and the city anticipates amending the original agreement. That original agreement said that the project would start at the end of last year, which it did, and finished by the end of this year. “That’s not going to happen,” Klecker said. At the best, Klecker said, the actual construction would begin this autumn. More likely, he added, it won’t start until spring. That, he said, would move the completion back by a year. Nicolai could not be reached for comment.

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PARTNERS FOR GROWTH Brad Meier

Skilled labor is the talent that determines the success of a company OACCT

uilding a productive, dependable, stable workforce is a challenge for most companies in today’s labor market, and our community is not different. Owatonna employs roughly 14,174, the majority of the employment represented in the manufacturing sector, giving our regional center a 3.9% unemployment rate.

“ We can never fall short when it comes to recruiting, hiring, maintaining and growing our workforce. It is the employees who make our organization’s success a reality.“ Vern Dosch, author of Wired Differently and serves as Chief Executive Officer and President of National Information Solutions Cooperative, Inc. (NISC).

It is imperative that Owatonna business have a skilled workforce available to them. This message was heard multiple times as the Owatonna Partners for Economic Development (OPED) visited and listened to area company concerns during their ‘Grow Minnesota!’ business retention and expansion visits. OPED had already worked to assist Owatonna employers to overcome this workforce challenge by: • Providing ready access to workers with diverse skill sets • Offering exceptional resources for employee development at all levels • Guiding to local higher education opportunities and the Minnesota Job Skills Partnership Program As witnessed by one of Owatonna’s manufacturing companies, Wenger Corporation’s Brenda DeVinny shares, “Developing and growing our workforce is one of 30 |

our biggest challenges today.” Brenda is the director of Human Resources at Wenger Corporation. More efforts were needed. Identifying other ways to help employers led to additional community workforce initiatives that are now currently active in our regional center. They include: • Made in Owatonna Days— connecting high school-age students with local businesses to expose students to a multitude of career opportunities at all levels of labor three times per year. • Steele County Works— steelecoworks.com is a website and magazine for students. Steele County Works was launched in the Fall of 2017 to give youth connections to local opportunities, individualized job counseling, and information on the training and preparation they need to successfully compete for one of the many living wage jobs available in our region. SteeleCoWorks is coordinated and supported by United Way of Steele County, Workforce Development Inc and the Owatonna Area Chamber of Commerce and Tourism in partnership with Owatonna Public Schools. • Workforce Entry Coordinator position—this person works with students at four high schools to develop a plan after graduation. The coordinator also connects students with local internships and job shadowing opportunities. This position is made possible by the partnership of the OACCT, Workforce Development, Inc. and United Way of Steele County. Also, the Owatonna High School donated office space to house this position.

Local companies are incredibly pleased with the new possibilities that will stem from these new workforce efforts. “We are excited to join the Chamber of Commerce, Workforce Development, United Way and the Owatonna High School to focus on workplace needs within our community. At Wenger Corporation, we have adjusted our hours and provided a part-time schedule to get more high school and trade school students into our facility while attending classes. This allows the students to understand what it is like to work and Wenger and is great for our recruiting efforts,” said Brenda DeVinny, Wenger Corporation. In addition to recent workforce development efforts in our community, Owatonna Public School Superintendent Jeff Elstad has reported an OHS staff steering team initiative called ‘High School 2.0’. This steering team identified a student driver is flexibility in learning through collaborative work groups using realworld skills of math, science, writing and reading to tackle a problem— problem-solving that prepares the student for a career and college. “No economy can succeed without a high-quality workforce, particularly in an age of globalization and technical change.” Ben Bernanke-a U.S. economist and two-term Chairman of the Federal Reserve To that end, OPED will continue to assist Owatonna in providing the access and resources for a skilled labor workforce, which is the talent that successful businesses need to continue to grow.  Brad Meier, is president/CEO of the Owatonna Area Chamber of Commerce and Tourism and partner of the Owatonna Partners for Economic Development

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ECONOMIC

DASHBOARD Comparison Report of building in Owatonna 2017/18 80000000

2017 Total YTD

70000000

2017 Industrial YTD

60000000

2017 Commercial YTD

50000000

2018 Total YTD

40000000

2018 Industrial YTD 2018 Commercial YTD

30000000 20000000 10000000 0 Millions

Jan 17

Jan 18

Feb 17

Feb 18

Mar 17

Mar 18

April 17

April 18

May 17

May 18

June 17

June 18

July 17

July 18

Aug 17

Aug 18

Sep 17

Sep 18

Oct 17

Oct 18

Nov 17

Nov 18

Dec 17

Dec 18

Source: City of Owatonna

Comparison Report of Homes for Sale to Newly Listed Homes Owatonna

200

New Home Listings

2018 New Home Listings 2018 Homes for Sale

Homes for Sale 150

100

Jan 17

Jan 18

Feb 17

Feb 18

Mar 17

Mar 18

April 17

April 18

May 17

May 18

June 17

June 18

July 17

July 18

Aug 17

Aug 18

Sep 17

Sep 18

Oct 17

Oct 18

Nov 17

Nov 18

Dec 17

Dec 18

Blooming Prairie

Source: SEMAR

2017 New Home Listings

2018 New Home Listings

2017 Homes for Sale

2018 Homes for Sale

Jan 17

Jan 18

Feb 17

Feb 18

Mar 17

Mar 18

April 17

April 18

May 17

May 18

June 17

June 18

July 17

July 18

Aug 17

Aug 18

Sep 17

Sep 18

Oct 17

Oct 18

Nov 17

Nov 18

Dec 17

Dec 18

Source: SEMAR

32 |

INTEREST RATE

30 Year Fixed Mortgage Rates

Source: Freddie Mac

Number of Homes Sold OWATONNA

SOLD

BLOOMING PRAIRIE

2017

2018

2017

2018

JAN

FEB

MAR

APR

MAY

JUN

JUL

AUG

SEP

OCT

NOV

DEC

TIPS&TRICKS

SHOULD COMPANIES ENDORSE CANDIDATES? Individual Americans love to exercise their First Amendment rights, but it seems that now more than ever companies are taking political stands. In the current election cycle, area business leaders might feel compelled to throw their organizations’ weight behind certain candidates, but first it’s important to consider whether it is beneficial — or legal. In general, any for-profit corporation or labor organization is allowed to publicly endorse a candidate, according to the Federal Election Commission. They may also communicate with candidates beforehand to decide which to endorse. “However, the corporation or labor organization may not coordinate the announcement of its public endorsement with any candidate, candidate committee or its agents without the endorsement resulting in a contribution or expenditure,” the FEC states. Select nonprofit organizations are allowed to endorse a candidate, depending on their type of tax exemption. “A section 501(c)(3) organization may not publish or distribute printed statements or make oral statements on behalf of, or in opposition to, a candidate for public office. Consequently, a written or oral endorsement of a candidate is strictly forbidden. The rating of candidates, even on a nonpartisan basis, is also prohibited,” states the IRS website. “On the other hand, a section 501(c)(4), (5), or (6) organization may engage in political campaigns, provided that such activities are not the organization's primary activity.” However, many for-profit corporations avoid making political statements because it can anger customers and create an uncomfortable workplace for employees. So before endorsing a candidate, consider not just whether it’s legal, but whether it’s worth the risk.

Source: SEMAR

www.forgesteelecounty.com | 33

A RICH HISTORY & IMPORTANT CATALYST TO THE FUTURE OF AGRICULTURE By Bridget Norland, Director of Marketing & Communications for Greater Mankato Growth

ore than three-dozen years ago, the Rural production, and nutrition issues. This is a highly relevant Legislative Forum was started by the topic with consumers facing decisions every day as Minnesota AgriWomen’s Association and the to where they can get the best quality and healthy University of Minnesota Extension. Since its inception, it food options. Some of the variables that are part of has changed hands but one thing that has not changed that decision-making process are food production is the overarching goal to gather the community in and manufacturing, sustainability, labeling, water, important conversations about animal welfare and genetics. Forum our rural economy and about attendees will have the opportunity agriculture. A crucial element is “The Rural Legislative Forum to engage in discussions revolving to have those discussions with has a long and rich history around this very hot topic. key elected officials, along with of focusing on key policy The business keynote speaker in industry speakers that can really help pull the picture together. topics, as well as connecting December will be Harry Stine, CEO This year, GreenSeam will host community leaders with their of Stine Seed Company the 36th annual Rural Legislative headquartered in Adel, Iowa. Stine elected officials to discuss Seed Company is the largest Forum in December. issues affecting our farms private seed company in the world. The event is geared towards and local communities.” Harry is an innovator, businessman, a wide range of attendees – entrepreneur and a farmer. - Kent Thesse because agriculture really does Senior Vice President We have once again invited USDA touch all of us in some way. So, MinnStar Bank Secretary of Ag Sunny Perdue. who should attend? Agribusiness We hope to hear an update on leaders, farmers, idea makers, the work of the Interagency Task students, main street businesses, Force on Agriculture and Rural Prosperity and the problem-solvers, educators, processors, consumers, entrepreneurs, techies, manufacturers and anyone Administration’s efforts more broadly to change else touched by the ag industry. It’s an opportunity to policies, regulations and laws that will bolster the have candid dialogue with state leadership about our agriculture industry and rural economy. regional ag economy and how we can continue to help it thrive. In addition, it’s important to have leadership from Minnesota’s Congressional Delegation to share their “If we, as a community, can gather around and attend vision for the future of the rural economy. More details an event like this and hear from different people across can be found at greenseam.org/events. the table, I think it can really help our region grow,” Agriculture is the nexus of economic growth and the GreenSeam director Sam Ziegler said. foundation of the GreenSeam Region economy. It is The annual forum strives to bring together business best put into perspective when you drive between leaders, educators, and community leaders to learn communities in the early fall and see the activity in vast and engage in conversations about key issues facing crop fields, specialty food facilities and livestock farms. the agricultural industry and potential solutions to The production of these agricultural raw materials those issues. The event includes a reception, dinner, spurs economic activity across a multitude of industries. and presentations from two to four speakers or panels Agriculture is a growth segment of the economy for a simple reason: on hot topics relevant to agriculture. The event is also sponsored by many prominent and generous agricultural businesses. This year’s theme will be “The Truth about Food” – with a focus on food safety, technology related to

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World Population Growth

Worldwide Income Increase

Greater Demand for Better Diets

KEYNOTE FEBRUARY 2018 Joe Mahon, Director, Regional Outreach, Federal Reserve Bank of Minneapolis

ISSUES BRIEFING - FEBRUARY 2018 (Pictured from L to R)

Moderator: Kent Thiesse, Snr. VP MinnStar Bank; Dan Dorman, Executive Director, Greater Minnesota Partnership; Bill Blazar, Snr. VP of Public Affairs & Business Development, Minnesota Chamber of Commerce; and Amber Hanson, Policy Director, Minnesota Farm Bureau

LEGISLATIVE PANEL - FEBRUARY 2018 (Pictured L to R)

Representative Rod Hamilton, Chair, House Committee on Agriculture Finance; Moderator Gary Koch, VP Christensen Farms & GreenSeam Vice Chair; Representative Paul Anderson, Chair, House Committee on Agriculture Policy; Representative Jeanne Poppe, DFL Lead, House Committee on Agriculture Finance; Senator Bill Weber, Chair, Senate Committee on Agriculture, Rural Development and Housing Policy

“Lauren Mehler Pradhan, director of Grow North MN*, acknowledges that Minnesota isn’t the only place laying claim to food and agtech preeminence. But with its 150-year agricultural pedigree, an unbelievably deep well of expertise across the entire food system and vast corporate resources, it’s one of the best places for ambitious food and ag entrepreneurs to scale their ideas.” - Brian Martucci Minnesota Business Magazine *Grow North MN brings together leaders in the local food industry with food entrepreneurs

greenseam.org | #iamag GreenSeam utilizes agriculture to build on the region’s extensive agribusiness assets to develop the ag economy. We are focused on business growth, expansion, attraction and creation, along with talent development and promotion of our region.

A business unit of Greater Mankato Growth, Inc.

www.forgesteelecounty.com | 35

FROM THE FOUNDATION Tim Penny SMIF

URBAN AND RURAL ARE STRONGER TOGETHER

hen in Congress and addressing groups from around the country who knew little, if anything, about my state or district, I would frequently introduce myself by saying that my congressional district was home to Red Wing Shoe, Mayo Clinic, Hormel Foods and the Valley of the Jolly Green Giant. Immediately, these iconic names gave my audience a sense of who I was and who I represented. Today, as a debate swirls about the perceived urban/rural divide in Minnesota, I think it's important to review the enormous contributions that both urban (defined as the sevencounty Twin Cities metro area) and rural (comprised of 80 non-metro counties) Minnesota bring to the success of the state as a whole. We are one state with several economies and several economic regions. Urban and rural together define the success of our state. The world-renowned companies from southern Minnesota mentioned above are just a sampling of nationally and even internationally known names that have roots in rural Minnesota. The list is long and impressive and also includes Polaris, Arctic Cat, Marvin Windows, Schwan's and Taylor Corp, just to name a few. But equally important are names like Medtronic, United Health, Best Buy and US Bank (among many others). These Twin Cities-based corporations also define Minnesota as a world leader in a variety of business sectors. Agriculture is our state’s second largest economic sector (only the manufacturing sector is larger), comprising more than 20% of our state’s

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economy. In all, there are 73,200 farms, $75 billion in ag-related economic activity, and 341,000 ag-related jobs (15% of all Minnesota jobs) according to the Minnesota Department of Employment and Economic Development. Here again, iconic and internationally known corporate names have grown from this agricultural base: Cargill and General Mills and Pillsbury. While agriculture starts with the land here in rural Minnesota, many of the jobs tied to agriculture are providing gainful employment to Twin Cities residents, too. Tourism is another major economic sector in our state, benefiting both urban and rural. Many state parks, historic sites, and family-owned businesses dot the landscape in rural Minnesota, drawing both in-state and out-of-state visitors to our rural regions. These rural attractions also include scenic drives and beautiful lakes. Just as metro residents seek rural destinations to recreate and enjoy, we rural residents rely on the Twin Cities for our getaways. We delight in attending major sports games, theater productions, concerts and more. Simply put, tourism and related recreational activity is huge in our state, adding $15 billion in economic activity according to Explore Minnesota. Perhaps the most underappreciated rural contribution to our state’s economy is that most Minnesotans secure their education from ruralbased higher-education institutions. Impressive, because it is a huge boon to our economy and competitiveness. Roughly 80% of these State University and Community College graduates

stay and work in our state. The University of Minnesota’s main campuses in Minneapolis and Saint Paul are also a heavy draw for rural students – just as many metro students choose to travel to rural campuses for their higher education. In short, when it comes to educating our state’s future workforce – rural and urban are deeply interconnected. As a state we are fortunate to be home to many foundations that invest in Minnesota’s future, including McKnight, Bush, Blandin, and, of course, the six Minnesota Initiative Foundations from which Southern Minnesota Initiative Foundation stems. All of these foundations strengthen rural and urban networks through resources and partnerships. Minnesota is successful because both urban and rural regions contribute significantly to our vibrant economy – and both urban and rural residents recognize that we are always stronger together. Tim Penny is the President & CEO of Southern Minnesota Initiative Foundation. Tim represented Minnesota’s First Congressional District in the U.S. House of Representatives from 1982 – 1994. Southern Minnesota Initiative Foundation (SMIF), a donor-supported foundation, invests for economic growth in the 20 counties of south central and southeastern Minnesota. The Foundation has provided more than $111 million in grants, loans and programming within the region during the past 32 years. SMIF's key interests include early childhood, community and economic development. To learn more about our work and mission, visit www.smifoundation.org.

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Owatonna Area Chamber of Commerce and Tourism

O WA T ONN A T OURISM The Hunt is On November 1-3, 2018

Celebrate Harvest

Fall Foliage

A Haunting We Will Go

Craft shows, bazaars and store specials are in full swing for Deer Opener weekend. Come get early holiday shopping done and enjoy your own getaway while your other half is out hunting.

There is no better place to see the beautiful falls colors than right here in Owatonna. The city trail system is extensive and runs through many of the parks in town. Pack a picnic and spend the day next to the water, go for a hike, and don’t forget to bring your binoculars for birdwatching.

Autumn is the perfect time to take advantage of the rich and bountiful harvest this season. Come and check out the fall décor and tasty ingredients from the farmers market in the beautiful Central Park in Downtown Owatonna. Open every Saturday in October!

On October 26, The Village of Yesteryear will have a variety of FREE fun family events including a flashlight tour of the Dunnell House, a Village scavenger hunt, games, and more. This is sure to become a loved Halloween tradition!

Net work in

Fun team-building and networking activities • LASER TAG, BOWLING, VOLLEYBALL • MURDER-MYSTERY DINNER • CREATIVE WORKSHOPS

Find Venues

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visitowatonna.org/meetings

For more information about the Owatonna Area Chamber of Commerce and Tourism, go to

CALENDAR OF EVENTS Owatonna Area Chamber of Commerce and Tourism

2018 EVENTS $15 for event or $40 for a Y-Pro Pass (includes 8 programs)

October: Community Service For date/time/location, visit Owatonna.org and click "Chamber Events" Pictured above: YPro members making 'Buddy Benches' for the Owatonna Elementary Schools in 2017

BUSINESS BOOT CAMP

Location: Owatonna Public Library â&#x20AC;&#x201C; Gainey Room Time: Noon to 1 p.m. This one hour training session includes thought-provoking speakers, networking and lunch.

Thursday, October 25, 2018 Speaker & Topic: TBD

Thursday, November 15, 2018 Speaker: Darci Stanford, LearningRX

Topic: Think Faster, Learn Easier. Perform Better

This session will look at how a person's cognitive skills can impact him/her on the job, both positively and negatively.

BUSINESS AFTER HOURS 5:30 p.m. to 7:00 p.m.

Tuesday, October 9, 2018

Sponsor:

Location: Owatonna Foundation 108 W Park Square

Tuesday, November 13, 2018 Location: TBD

WORKFORCE: STEELE CO WORKS/SCHOOL TO WORK MEETING 11:00 AM- 12 Noon

Friday, October 26, 2018 Sponsor:

Location: TBD Agenda: Workforce efforts to date, ways for business to connect & more Pictured above: August workforce meeting at Riverland Community College-Owatonna.

www.owatonna.org or call 507-451-7970 or email oacct@owatonna.org

www.forgesteelecounty.com | 39

Owatonna Area Chamber of Commerce and Tourism

Celebrate! Highway 14 Owatonna–Dodge Center FUNDED

Future Focus

s h a r e t h e m$160M e s sinabonds g e were secured in 2018 Legislative Session to build out 4 lanes Owatonna-Dodge Center.

MnDOT has set an ambitious schedule for such a large-scale improvement despite some wording fixes that the legislature must make at the start of session: • Request Letters of Interest – June 2018 • Contract letting – April 3, 2019 • Construction – Fall 2019 through fall 2021

Develop Talent Restore the Core

Legislators along Highway 14 who pushed the funding

Strengthen Economy Attract Tourism

For years, Highway 14 from Rochester to New Ulm has been the longest stretch of highway in Greater Minnesota without a continuous four-lane connection. Every time progress is made on expanding a segment of Highway 14, has the followed. Attracteconomic & Retain growth Restore Core: Champion a Strong Attract Tourism:

Talent:

Economy:

The last of 4 lane to Advocate for proRevitalize Owatonna’s Position Owatonna as Attract, develop and stretch business policies, be a Downtown District to a destination for leisure, retain a highly qualified,is the 12 miles between complete key resource on combecome a vibrant and meeting/convention, well-trained workforce Nicollet to New Ulm. munity issues and economic center of tournament, reunion capable of meeting collaborate with partand group tour travel. the area’s employment community life. ners on local economic needs. development. MNDoT Commissioner Charlie Zelle praising the work of the Highway 14 Testifying at Senate Bonding Hearing Partnership to make sure the project on Highway 14 was funded. 320 Hoffman Dr., Owatonna, MN 55060 | 507.451.7970 | oacct@owatonna.org | owatonna.org |

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KNOW THE LAW Mark R. Carver Attorney

WHEN AN ADULT CHILD WON’T LEAVE THE NEST

or a variety of reasons, there is a growing trend for adult children to return to their parents’ homes. This can often benefit both parents and children from a financial and even an emotional perspective. Sometimes, however, it can prove to be too close for comfort and parents must ask a child to leave the nest. This article addresses what happens when the child refuses to do so. If the adult child has been residing in their parents’ home for free, the child is not a residential tenant under Minnesota law. Under Minn. Stat. § 504B.001, Subd. 12, “residential tenant” means a person who is occupying a dwelling under a lease or contract that requires the payment of money or exchange of services. If the child is not paying or providing services, the child is not residential tenant and many of the laws pertaining to evictions will not apply. Though these laws provide many protections to tenants, they also provide a relatively simple, inexpensive and quick method of removing tenants for a variety of

reasons. If the child is not residential tenant, parents’ only recourse is to bring a trespass action in court that can take months instead of weeks and costs considerably more money. Note that the police are often unable to assist in this situation without a court order. There will be a tendency to want to simply change the locks and send the child away. This is strongly discouraged. This could be considered a crime and can lead to an award of treble damages (which is triple the amount of any actual damages) and attorney fees. Parents in this situation should consider entering into a month-tomonth lease or written agreement with the adult child that clearly sets out the expectations and establishes a monthly amount of rent. If the child won’t sign a lease or agreement, consider a verbal agreement in which the child agrees to pay rent on a monthly basis. If the goal is to get them out, any amount of rent will do. The important thing is that it be due on a monthly basis. That transforms the trespassing child

into a “tenant at will.” A tenancy at will may be terminated by written notice. The notice must be given to the child by the end of the month to terminate the tenancy at the end of the following month. At that point the child can be evicted if necessary. The moral of the story is to charge your adult child something, anything really, to live with you and do so on a monthly basis. An agreement in writing is helpful but not necessary if you can prove payments are being made. Finally, and as a last resort, consider offering the child some seed money to vacate. In lieu of the expense, delay and unpredictability of going to court, this may be the best “business decision” even if it sets a poor example for the child. If you do this, however, be sure to have the child sign a document that clearly indicates the agreement to vacate the house.  Mark R. Carver, Attorney at Law EINHAUS, MATTISON, CARVER & HABERMAN, P.A.

www.forgesteelecounty.com | 41

ELECTION JUDGES

VITAL TO THE VOTING PROCESS

hen you walk into your precinct’s polling station on Nov. 6, there are a few steps you need to take before actually voting—and an election judge will be there every step of the way. These judges do everything from registering new voters to visiting nursing homes so that elderly voters can vote without traveling to the polling station. The judges are crucial to the election process, yet most voters don’t even realize their roles or responsibilities.

“They’re a huge asset,” said Steele County Auditor Laura Ihrke, who runs training sessions for the judges before election time. “Without them, it would be very difficult to run elections. Their dedication and service is very much appreciated.” There are four positions that election judges fill—they greet voters as they walk into the polling place, see if they’re registered and register them if they’re not, hand out ballots, and watch over the voting machine to ensure that it’s working properly. There is also often a head judge, who watches over the rest of the judges to make sure everything is running smoothly. According to Ihrke, Steele County has close to 200 election judges, and each city or township is responsible for finding its own judges. People can volunteer for the 42 |

position, as long as they’re qualified—they have to be U.S. citizens; eligible to vote in Minnesota; read, speak and write English; be 21 years of age; and not be running for office or related to a candidate running for office.

Jeanette Clawson, administrative specialist for the City of Owatonna, said Owatonna utilized 68 election judges during this year’s primary election, though they trained 82 people and kept a list of alternates. This turned out to be prudent, since several people had to back out at the last minute because of illnesses. State statute requires four election judges at each polling site, and Clawson said they made an effort to keep five judges at every site during the primaries. During the general election, she added, Owatonna tries to maintain seven judges at every precinct. “It’d be nice to have our list of alternates grow this year,” she said. “[During the primaries], we were down to our minimum goal of five judges, even four at some precincts. Even the day prior to the election, three judges called in because of illnesses. So we did a little bit of juggling to make sure everything was covered as needed.” Every city and township decides where to assign judges, ensuring that each precinct has judges from

Grace Webb FEAtURE WRITER

SPECIAL REPORT

a variety of political backgrounds. But while the townships and cities are responsible for gathering enough judges, the Steele County Auditor’s office is responsible for training them. Each judge is required to attend a two-hour training session once every two years, including head judges and health care facility judges (those who visit nursing homes and other areas to make sure people who are immobile can still vote). The training goes over what happens on Election Day, how to utilize voting machines and equipment, what the judges’ roles are and other information.

After the polls close, judges document how many ballots they used, how many duplicates they needed, and how many people voted to make sure everything matches up. Then Kehler and another judge will take all the information back to the auditor’s office, where the results are actually tallied. Kehler said general elections tend to draw far more voters than primary elections. This August, 154 people voted at her precinct during the primary election, out of 1,100 registered voters. That included 14 new people who were registered that day. In addition, many people voted through absentee ballots, a trend that has grown every year since Minnesota made “no excuse needed” absentee voting legal a few years ago.

Owatonna resident Hildie Kehler has been an election judge for about 14 years, getting involved after she retired. After about five years, she was asked to be a head judge. Besides watching over the rest of the “We had quite a few young people register for the judges to make sure everything goes smoothly, she first time, which was really exciting and encouraging,” deals with situations such as when a felon comes in to Kehler said. “If you don’t vote, you can’t complain.” vote and needs to present the necessary While there won’t be any elections next paperwork or when someone who year in Owatonna, there will be three doesn’t speak English comes to vote. “They’re a huge asset. elections in 2020—the presidential “We haven’t really had any unruly Without them, it would primary in March, the primary election people,” Kehler said. “Most of the be very diﬃcult to in August and the general election in people are just wonderful.” November. Because of this, Clawson run elections. Their One frequent issue is when a voter dedication and service is is already trying to plan for enough needs a new ballot. Kehler said this very much appreciated.” judges to cover everything. happens especially often during primary Laura Ihrke, Steele County Auditor “Even now, we’re trying to make sure we elections, since people can only vote get a lot of people trained to make sure for one party but sometimes try to they’re available to work,” she said, adding “cross over” and vote for candidates from two parties. that they have to be mindful that many judges are “Some have a very hard time with that,” she said. “If they do, the machine won’t accept it, and we have to write ‘spoiled’ and give them a new one.”

Besides helping at the polling station, Kehler and other qualified judges will visit hospitals and nursing homes, as well as facilitating “curbside voting.” This is when someone can drive to the poll site but is unable to come inside, perhaps because of stairways or other obstacles. In this case, two judges from two different political parties are required to meet the voter outside, hand over a ballot, and wait for the person to vote. Once the ballot is completed, it is put inside an envelope, and the two judges take it back inside and place it into the machine. Only Kehler knows which judge belongs to which political party. Kehler said her judges will change positions throughout the day to keep things interesting and give people a break when they need to sit. Cell phones aren’t allowed, except for Kehler in case she needs to call the auditor’s office, and no political talk is permitted. “It’s a long day, but we have fun,” Kehler said. “We all bring food in, for lunch and dinner. It’s a great group of people. And it’s only two days a year.”

retired and head to warmer states during colder months.

During the elections, judges are needed from 6 a.m. to 9 p.m. and are responsible for setting up polling places, helping voters and closing down the site afterwards. People can sign up for a half-day period (usually 6 a.m.-2 p.m. or 1 p.m.-9 p.m.), or they can volunteer to cover the whole day. Each city and township pays its judges differently, with Owatonna paying judges $10 an hour and head judges $11 an hour. “We put a request in to raise that,” Clawson said, noting that hourly pay for judges hasn’t changed for the past 15 years. For most judges, though, it’s really not about the money. “I’m doing something to help the process,” Kehler said. “I love being with people and knowing that I’m helping and being there for people who need help. We get people who are very surly, but we get people who are very happy. You don’t know what kind of day they’ve had or what’s going on in their lives. We try to be as helpful as we can with them. That’s just life. You have to help each other.” 

www.forgesteelecounty.com | 43

Anna Vangsness

FEAtURE WRITER

LOCAL ORCHARD FARMERS ARE READY FOR THE SEASON

or many Minnesotans, the fall months are spent rejoicing at cooler weather and finding ways to enjoy the outdoors before snow falls. For the state's apple farmers, the fall months are spent rejoicing at a plentiful harvest that ushers in thousands of patrons to their local orchards. After all, fall is the time of year when apple growers make a bulk of their income that must sustain them for the rest of the year to come. "Between customers in the sale room and the orchard, we get about 25,000 people come through," Sekapp Orchard's Fred Kappauf said. "Not all of them are out picking apples, though. Some people will be buying produce, mums, pumpkins or just walking through our corn maze. A lot of

44 |

people come through and don't spend money, but they tell their friends where they went and it's word of mouth from there." Sekapp Orchard is located in Rochester.

Like Kappauf, Fireside Orchard's Todd Harvey said weekends from Labor Day through Halloween are what make his business sustainable the whole year through. "We have a good location," Harvey said on his Lonsdale orchard. "That's one of the key drawing points. My dad said from the beginning 'offer a quality product for a fair price and the apples will sell themselves.'" Both Kappauf and Harvey have learned over the years what keeps people coming back year after year. "You just have to make sure you always have enough apples, cider,

pies, fudge and caramel ready for your customers," Harvey said.

Apple farmers know that they will have guaranteed business each year, but how much business they'll see is up to the weather. "I can tell you that the total gross revenue number and total expense number is not very far apart," Kappauf said. "I'm not getting rich doing this. We're dealing with Mother Nature. I had hail damage this year, and last year and the year before we froze out. Corn is king and can live through a lot, but apples are precious." Between hail storms in the spring and early frosts in the fall, apples take a rough beating by the time they're ready to be sold, Kappauf said.

"Fifty percent of my apples have hail dings this year," he said. "They're still edible, but customers don't like the look of them so they don't get sold." Hail damage is the number one concern for apple growers, Harvey said. All it takes is one severe storm to wipe out a whole year's effort of crops.

"I'm kind of stuck in the middle," he said. "I'm too big to get small and too small to get big so I struggle. We're busy every fall and you try to take the income and spread it out. I usually end up falling short and end up borrowing from the bank each spring."

As he does each harvest, Kappauf said he’s looking forward to this year’s orchard season. “I like seeing the smiles out on people’s faces,” Kappauf said. “It’s not a daily grind doing the same thing day in and day out.”

"Droughts, pests, disease and invasive species are bad, too, but hail is the first thing an apple grower thinks about," he said. "If it does storm, hopefully it isn't that bad. Sometimes it can be a total loss or you'll take a big hit and know you'll just have to make more cider or sell seconds. It really depends on the operation." Like any crop operation, Apple farming is a labor of love, Kappauf said.

that if they want to take over Sekapp someday, they have to get a good job with health insurance and just be open on the weekends.”

Sekapp Orchard goers will have the opportunity to make their way through corn maze, use an apple slingshot, go for hayride and, of course, buy apples. For those heading out to Fireside, you’ll be met with gardens, ponds, antique tractors and the option to buy apples, doughnuts, cider and caramel.

"The bad years can be tough, especially if you're not growing government subsidiary crops, but the good years can be really good," he said. "You just have to withstand the lows to get to the highs."

With roughly 25 varieties of apples on 27 acres, Kappauf farms 7,000 trees. The operation keeps him busy year-round and by March he can be seen pruning his trees. Though he's still open into December, the income barely pays the electricity.

Kappauf jokes that he's able to get through bad years because he has an understanding banker.

"It can be stressful, but you have to let some of that roll off of your shoulders," he said. "I tell my kids

Harvey said he’s looking forward to seeing visitors that are supporting their local farmers, like himself and Kappauf. “Go to a local orchard and try all of the apples,” he suggested. “They’re all different. It’s a great industry here and everyone has a unique variety to offer. There’s something for everyone.”

www.forgesteelecounty.com | 45

NAMESTOKNOW MICHELLE REDMAN

Michelle Redman enjoys interacting with both area children and business leaders daily. Redman started at Big Brothers Big Sisters of Southern Minnesota in 2008 as fund development director, then moved into the executive director role in 2015. “The best thing about working in Southern Minnesota is the communities,” she said. Big Brothers Big Sisters of America selected the Southern Minnesota agency out of 300 others nationwide to receive the Small to Mid Agency of 2017 award. However, with the agency serving more than 600 children in Steele, Waseca, Rice and Dodge counties, it must maintain community partnerships with local companies, such as Federated Insurance, Gopher Sport, Wells Fargo, Bremer Bank and Mohs Construction, and forge new ones. “We have wonderful partners in different businesses and individuals that help support our agency,” she said. A Twin Cities native and St. Cloud State University alumna, Redman moved to the area 24 years ago to work and raise a family with her husband. Beyond work, she loves running. “I just completed my 10th marathon and qualified for the Boston Marathon in April,” she said. “…It is a great hobby that my husband and I both enjoy. Hopefully, someday our three children will join their parents and run a marathon together.”

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Buying Season The Christmas

A PREVIEW OF THE CHRISTMAS BUYING SEASON AC R O S S T H E R E G I O N ACROSS THE A PREVIEW REGION

he Christmas season may still be months away, but stores across the Southern Minnesota region are already preparing.

That’s because the holiday season—especially the first three weeks of December—can easily be the busiest time of year for independent businesses. But a lot of factors come into play when it comes to shop owners’ sales and success during this time, from merchandise trends to the weather. John Meixner has owned and operated Little Professor Book Center in Owatonna for 32 years, and he said December is undoubtedly his busiest month, with sales increasing dramatically around Dec. 18. In fact, he said during the week before Christmas, each day amounts to about of a week of regular sales. While he does see a little bit of a sales bump around Thanksgiving and Black Friday, coming from those shoppers who are prepared and 48 |

eager to finish Christmas shopping early, he said sales tend to steadily increase all the way up to Christmas— though extremely cold temperatures can freeze out sales. If Christmas Eve happens to fall on a weekday, it can easily be his busiest day of the year. “A lot of parents who work during the week haven’t had any time to shop with their kids for presents for spouses, grandparents, etc.,” he explained. “On Christmas Eve, they have the day off, and usually parents come down with their kids to buy stuff.” To prepare for the holiday rush, Meixner watches to see which authors have best-selling books lined up, since they tend to make very popular gifts. He added that history books and biographies are also popular. His orders take about 2-3 days to arrive. “You just try to make sure you don’t over-order,” he said, before adding, “And hope there’s not a blizzard.”

While nearly all businesses see an uptick in sales by the time December rolls around, some places start seeing more customers come through their doors earlier than others. Leanne Hanson, owner of A Touch of Charm in Blooming Prairie, said her busy season actually begins in September, as soon as school starts again. While she sees an increase in business around any major holiday, such as Valentine’s Day or Mother’s Day, the holiday season still comprises a majority of her business. “People are back from vacation,” she explained. “They’re moving around more in the fall. September through December are busy months here, [though] December of course is the busiest for us.” Hanson added that this year has already been a busy year compared to last year, so she’s expecting even more business as the holidays draw closer. This is especially likely given that her business also functions

Grace Webb FEAtURE WRITER

SPECIAL REPORT

In this November 2013 file photo, Little Professor Bookstore owner John Meixner prepares a display of Christmas puzzles on Wednesday night for Thanksgiving in preparation for Small Business Saturday.

as a full-service florist shop, with For Kristi Larson, who has owned especially those with “holiday” scents many orders coming for Christmas and run Kristi’s Clothing in Owatonna such as evergreen and cinnamon. plants such as poinsettias. for 21 years, seasonal changes tend “People like to have their home to be her busiest times of year, but As the holidays draw closer, Hanson smelling like the holidays,” she said, December is still the busiest month said she starts to sell more and more pointing out that popular artificial overall. She added that she has home décor and gifts, especially Christmas trees just don’t have noticed Christmas shopping tends vintage items and items made the right scent. “After this much to pick up in early November—at with “rustic” materials such as time, I have a feel for what we need, least from her female customers. galvanized metal, wood and burlap. and what my customers like.” Meanwhile, her male shoppers “The farmhouse style is big for tend to come in the last two us,” she said. “That I see flowing weeks before Christmas. In into the holidays too, with signs "We’re just a small shop in a small addition, she said, she’s noticing and ornaments and a lot of stuff.” town, and we’re known for our small more and more people overall She added that when she first who wait until closer to Dec. 25 opened A Touch of Charm 30 town nice, being here for people to actually purchase presents. years ago, Santa merchandise whenever they need us. Everyone is “We as a society, because was the popular thing to collect, greeted at the door whenever they of online shopping, tend to but now the trend has shifted expect things really fast, so to snowmen—whether it’s an come in. We’re here to help." I don’t know if people plan ornament for a family member ~ Leanne Hanson ahead as much as they used or figurines to decorate the to,” she said. “We don’t wait house. Candles are also popular, www.forgesteelecounty.com | 49

While seasonal changes tend to be the busiest times of year at Kristi's Clothing in Owatonna, December is still the busiest month overall.

to buy our kids things for the holidays or back to school. We as consumers buy year-round.”

She added that one way she’s able to keep customers coming back is to find unique and interesting items to sell, especially for Christmas presents. Her best sellers tend to be jewelry, scarves and sweaters.

One challenge that shop owners face during the busy holiday weeks is competition from online retailers such as Amazon. Hanson said it can be especially difficult to attract the “younger group” of 20-to 40-year-olds, who often prefer shopping online.

“They’re big Amazon shoppers,” she said. Larson agreed, saying that online shopping sites have gotten to be bigger competition every year. However, she added that brick-andmortar stores are able to compete thanks to what they can offer within the buying experience. “[Online competition] is just part of the new retail world we live in,” she said. “It used to be Wal-Mart, then it was the Mall of America, now it’s Amazon. But we still have people who come to us who want service, want to try the clothes on, don’t want to have to send them back… If a husband’s buying for his wife, he knows that she can bring it back. It’s a different experience than Amazon.”

A Touch of Charm

Little Professor Book Center

Kristi’s Clothing

330 E Main Street, Blooming Prairie

110 W Park Square, Owatonna

301 N Cedar Ave, Owatonna

Phone number: 507-583-7637

Phone number: 507-455-0969

Phone number: 507-444-0400

Interestingly, while some stores see business taper off during bad weather, Larson says snowy days can help her sales, since her customers stay in the area instead of driving someplace like the Twin Cities to shop. Plus, colder weather means more people buying sweaters and other cold weather merchandise.

www.atouchofcharmonline.com A Touch of Charm 50 |

Little Professor Book Center

“Our holiday season is really geared towards having things that are cute and different,” she said. “We’re known for having unique things that you don’t find anywhere else. People who come to me come for something unique, whether it’s jewelry or a scarf. They come because they want to buy their sister or their daughter something unique, that’s not at Macy’s or at Marshall’s.” 

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LOCAL LEARNING Dr. Annette Parker South Central College

POLICY MAKERS PROMOTING OUR REGION T he decisions made by elected leaders at the local, state and national level have a significant impact on our region’s citizens, communities, businesses, and yes, educational institutions like South Central College (SCC).

At the local level, SCC is touched by decisions that impact the quality of life of our students and employees as community members. As a community and technical college, we exist to serve our communities and often serve as a location for discussions on local initiatives and issues. At the state level, SCC is dramatically affected by the decisions of our legislators. As a member of the Minnesota State system of colleges and universities, the legislature influences everything from how much funding we receive to how much tuition we charge to the condition of our buildings. Fortunately, in our region, we have had dedicated legislators who have continued to support SCC’s infrastructure projects. In 2012, the legislature approved $13.3 million in state bonding dollars to expand and enhance South Central College’s Faribault campus. The project included expanding the footprint of the campus to add new student spaces, labs, classrooms and a community event center, as

well as improving existing areas. Completed in fall 2014, today’s Faribault campus boasts a modern facility that provides a great environment for student growth and learning.

In 2017, SCC received $9.6 million in state bonding dollars to renovate the South Central College’s North Mankato. The project will have significant benefits to the region, as it affects SCC’s programs that align with the region’s largest industries - agribusiness, manufacturing and healthcare. It will also benefit other programs as well by optimizing the campus’ current footprint with new classrooms, labs and student-focused features. Finally, at the national level, SCC’s students reap the rewards of decisions made by the congress and president. Most recently, more Federal Pell Grant funds were made available, which means more students will be able to offset the cost of their education. This means that some individuals, who may have previously thought that they might not be able to afford college, now have access to the life-changing benefits of higher education. For all our former, current and future lawmakers have done and will continue to do for our students – Thank You!  Dr. Annette Parker is the President of South Central College

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An affirmative action, equal opportunity employer and educator. This document is available in alternative formats to individuals with disabilities, consumers with hearing or speech disabilities may contact us via their preferred Telecommunications Relay Service.

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THE FUTURE OF TRUCKING

IN THE

DEC/JAN

ISSUE Next issue we look at the changes in commercial transportation and shipping and how your business will be affected. Also watch for updates on the latest real estate development and local and regional business updates.

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