Tackling the Trifecta by Initiative Foundation

FALL 2018

COMMUNITY

A Place For You— Sustainable shelter for the homeless Pg. 8

ECONOMY

Cooking Up Opportunities— Culinary training takes off Pg. 12

PHILANTHROPY

Farming the Future— The promises of planned giving Pg. 46

WORKFORCE, HOUSING, CHILD CARE Central Minnesota works to untangle a knot of regional challenges. Pg. 16

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Initiative Foundation Quarterly FALL 2018

Contents FEATURES

DEPARTMENTS

24 30

Tackling the Trifecta

Central Minnesota unites to solve workforce, housing, child care challenge.

Behind the Numbers

An education center dedicated to the state bird is taking shape in Crosslake.

Art Sets Us Apart

Regional Highlights

Get the latest highlights from the 14-county area.

What the data tells us about our region’s economy.

Call of the Loon

Initiatives:

Community:

A Place For You

Homeless shelter creates new revenue stream to shore up sustainability.

Economy:

Cooking Up Opportunities

Culinary training program brings needed skills to lakes-area resorts.

How public art invigorates Central Minnesota’s economy.

Philanthropy:

Farming the Future

The promise of planned giving.

Home made:

Cowgirl Tuff

A bonanza of jeans and western wear.

Where’s IQ?

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FALL 2018

Dear Friends, HURRICANES. TRADE WARS. BUDGET DEFICITS. Wherever you choose to get your news these days, you don’t have to read far beyond the headlines to be alarmed by some of the many challenges facing the world. Closer to home, communities here in Central Minnesota are wrestling with the inter-connected tangle of affordable child care, housing and workforce challenges, just to name a few. Media coverage of these and other challenges is often good at sounding the alarm bell. But too often that coverage fails to highlight solutions or progress others can learn from and build upon. We’d like that think that’s where we come in. Each edition of IQ Magazine brings you what we hope is an inspiring collection of stories about challenges facing our communities, but with a solutions-oriented approach to how Central Minnesotans are taking matters into their own hands and making progress toward a better future. In many cases, the work of the Initiative Foundation involves supporting these efforts through grants, loans, training and other services. In addition, the pages of this magazine give us a way to elevate these success stories so more people can enjoy them and apply lessons in their own communities. Soon, we’ll also be taking that show on the road–and you’re invited to join us! As you’ll see on page 47, we’re hosting luncheons with a Growing Home theme in Braham (Oct. 2), St. Joseph (Oct. 11), and Brainerd (Oct. 25) to celebrate regional success stories. Join us to learn more about some of the “Very Inspirational People” (VIPs, get it?) making a positive difference here in the place we all call home. For information on tickets, please visit: ifound.org/events. Enjoy the magazine.

VOLUME 28, FALL 2018

Matt Varilek PRESIDENT

405 First Street SE Little Falls, MN 56345 (320) 632-9255 | ifound.org

IQ Magazine unlocks the power of Minnesota leaders to understand and take action on regional issues.

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4 Initiative Foundation Quarterly ifound.org

Fresh start in Little Falls Mid-State Education District breaks ground on a new setting IV facility. Sourcewell is proud to partner with Minnesota schools to boost student and community success. Learn more at news.sourcewell-mn.gov

Initiatives

WADENA TODD

CROW WING

MORRISON

MILLE LACS

PINE

BENTON STEARNS

ISANTI SHERBURNE

CHISAGO

Regional Investment Highlights

CASS

KANABEC

WRIGHT

WESTERN MORRISON COUNTY | Little Falls Students Build Bridges for Education More than 200 Little Falls high school students learned engineering concepts—and so much more— during a scale-model bridge-building exercise. With support from the Little Falls Education Foundation, a Partner Fund of the Initiative Foundation, the school was able to purchase bridge-building kits and structural-testing tools to teach students about force, energy and laboratory safety while brainstorming, creating and working as a team.

TODD COUNTY | Free Books Light Up Faces, Illuminate Minds in Todd County Through its “Reading for the Future” program, the Freshwater Education District, with support from an Initiative Foundation grant, provided 1,500 books to eligible children in Todd County. “The multitude of smiles we see each time we distribute books is phenomenal,” said early childhood education coordinator Lisa Wick, whose district serves Bertha-Hewitt, Browerville, Henning, Long Prairie-Grey Eagle, Menahga, Sebeka, Staples-Motley, Verndale and Wadena-Deer Creek.

WADENA COUNTY | Community Movie Nights Keeps Things Local, United in Staples MORRISON: Bridge-building kits provide lessons in physics, creative thinking and cooperation.

NORTHERN

Staples is building unity through Community Movie Nights, an offshoot of its participation in the Foundation’s Thriving Communities Initiative (TCI). The city purchased equipment to show popular movies in parks and other public locations. At the end of a recent showing, a girl approached organizer Jarel Nelson and said, “Thank you. I’ve never seen a move that big.” Nelson told the family to come back the following week to watch another big movie. “I still see them every week,” she said.

CASS COUNTY | Primed and Ready for Commercial, Residential Growth Research has found that Pine River is primed and ready for commercial and residential growth. With support from an Initiative Foundation grant, Cass County Economic Development Corporation and the Pine River State Bank, Pine River is conducting a housing study to evaluate its market-rate housing. Housing availability is essential for communities as they work to attract and retain workers, and researchers find that the need for market-rate housing is high in Pine River.

CROW WING COUNTY | VISTA-driven Innovator Lab Helps Mold Young Brainerd Minds Alyssa Lennander can boast some impressive numbers as an Initiative Foundation-supported AmeriCorps VISTA service member with the Brainerd Public Library. Lennander served 1,333 students during her year of service with the library and its BRAINerd Innovator Lab. She assisted with 3D printers and a variety of other fun technology projects as she worked to elevate access and inspire income-eligible youth to learn about science, technology, engineering and math.

MILLE LACS COUNTY | Rum River Community Foundation Celebrates With ‘Ardy Party’ CROW WING: VISTA service member Alyssa Lennander pictured with a Brainerd Public Library 3D printer.

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Ardis “Ardy” Becklin, a go-to supporter of the Initiative Foundation-hosted Rum River Community Foundation, recently was honored at a surprise “Ardy Party.” During a celebration in Milaca where the foundation distributed $3,750 in grants, Ardy was recognized for her work since the inception of the organization in 2013. The Rum River Community Foundation works to improve area parks, outdoor assets and recreation while focusing on engaging activities for residents and visitors.

“ By making books more accessible to emerging readers, we are increasing early literacy and school readiness. This program helps to prepare our community’s children for future success in life.” – Imagination Library grant recipient Devon Charlier, Crow Wing County United Way

SOUTHERN BENTON COUNTY | Helping Local Students Excel Through Junior Achievement Students in the Sauk Rapids-Rice school district are learning about finance, entrepreneurship and career readiness with support from an Initiative Foundation grant to Junior Achievement of the Upper Midwest. With more available jobs than workers, and projections for the trend to continue, the Junior Achievement program prepares youth for the future while teaching valuable life skills. Thanks to backers, the program reached nearly 1,000 Sauk Rapids-Rice students during the 2017-2018 school year.

SHERBURNE COUNTY | Becker Bulldogs Unite Behind New Education Fund The Becker Education Foundation has joined the family of Partner Funds hosted by the Initiative Foundation. Becker alumni Nathan Ernst and Nick Crowley established the fund to support student educational experiences, connect alumni and garner community support. While still in its early stages, the education fund committee hopes to grow the endowment and offer students opportunities for career exploration, mentorships, networking and more.

STEARNS COUNTY | Immigrants Share Their Stories Through Traveling Exhibit Green Card Voices, a traveling exhibit showcasing the stories of 18 first-generation immigrants and refugees from Central Minnesota, is reaching hearts and minds throughout the region. With support from the Initiative Foundation and other local organizations, the display features life-sized photos, biographies, quotes and video links that explore their journeys. If you’d like to see the exhibit in your community, contact Natalie Ringsmuth at natalie@unitecloud.org.

STEARNS: Green Card Voices highlights the stories of Central Minnesota immigrants and refugees.

WRIGHT COUNTY | Area Counties Hire Economic Development Coordinator Economic development coordinator Mark Hanson has been hired to support Benton, Sherburne, Stearns and Wright counties in their work to ease the transition as Xcel Energy retires two coal-fired generators. The coal-to-natural-gas conversion could eliminate up to 300 jobs and is anticipated to have a significant effect on the local tax base. The economic development effort is supported by the Initiative Foundation, the McKnight Foundation and other regional entities.

EASTERN

CHISAGO COUNTY | Five-County Career Readiness Effort Gets $10,000 Boost A career readiness effort driven by GPS 45:93, a five-county economic development consortium, received a boost earlier this year when it was awarded a $10,000 Initiative Foundation grant. The project, serving Chisago, Isanti, Kanabec, Mille Lacs and Pine counties, brings together school staff, city and county representatives and business owners to explore “Innovative Approaches to Career Readiness” as a way to shore up regional workforce shortages.

ISANTI COUNTY | Tusen Tack Bolsters Mission With Governance, Fundraising Plans A new board, a fine-tuned strategic plan and a fundraising committee are helping Tusen Tack, a Braham-area thrift store, ramp up its efforts to serve the community. Backed by a strong mission, Tusen Tack’s deep volunteer base provides thousands of hours of service annually to support area nonprofits, including the Braham Event Center and the local food shelf. The Tusen Tack planning effort was supported by an Initiative Foundation grant.

KANABEC COUNTY | New Leader, Refrigeration Unit Keep Mora Food Shelf Humming The Mora Food Shelf is marching toward greater financial stability with a new director and the installation of a new refrigeration unit. The additional refrigeration unit is expected to save the food shelf $700 per month in operational costs. It was part of a package of capital improvement support provided by the Foundation for Essential Needs in partnership with the Initiative Foundation.

CHISAGO: Nancy Hoffman (left) of GPS 45:93 and Foundation Trustee Traci Tapani are ready to champion career readiness conversations.

PINE COUNTY | Pine City Schools Have Vision for Early Childhood Screening Childhood vision disorders can often be overlooked and misunderstood. As part of its continuing effort to ensure students are ready for school, the Pine City school district, with support from an Initiative Foundation grant, recently purchased a Spot™ Vision Screener. The mobile device creates the opportunity for vision screenings at early childhood events. Screeners can then make ophthalmology referrals for children as young as 6 months, increasing the likelihood for school and future success. FALL 2018

community

UNITED WE STAND: A Place for You interim acting director Vicki VanderVegt (center) with founders Mary Kay Sloan and Eugene Biever.

The Goal: Sustainable Shelter A Place For You creates a new revenue stream to support transitional housing for homeless adults in Central Minnesota. By Andy Steiner | Photography by Michael Schoenecker

Homelessness is an issue across Minnesota. In rural areas of the state, however, the problem often is less obvious to the casual observer. That’s certainly the case in Pine, Isanti, Kanabec, Mille Lacs, Carleton and Chisago counties. In fact, if you ask the right people in these communities, they’ll tell you about local residents who struggle to keep roofs over their heads. People on the economic edge in Greater Minnesota may not be out asking for money on busy street corners, but they do live here, according to Justin Jahnz, manager of energy services and strategic projects for East Central Energy (ECE), a member-owned electric cooperative headquartered in Braham. Unfortunately, programs designed to help get these vulnerable community members back on their feet are few and far between.

“(People’s) situations are often hidden,” Jahnz said. “They might be staying with someone or moving from one place to the next, but they don’t have a home of their own. There are very few options for people in that situation in this area, and so out of necessity they often exist under the radar.” Housing advocates agree that homelessness—which includes people living in temporary arrangements as well as those without any kind of shelter—is an issue statewide. In 2017, there were 862 homeless people living in Central Minnesota, according to the Institute for Community Alliances, a Des Moines-based nonprofit organization that helps communities address housing instability, homelessness, food insecurity and related issues. That’s up from 669 people in 2016 and 541 in 2010. “Everywhere I go, in every corner of Minnesota, emergency shelter is identified as a major need,” said Matt Traynor, director of organizing CONTINUED ON PAGE 10

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community, continued from page 8

for the Minnesota Coalition For the Homeless. “It’s not just a problem in the Cities and Duluth. It’s an issue in Greater Minnesota, too.”

Nowhere to Go

For many years, the only places where homeless single adults could find emergency housing between the Twin Cities and Duluth was at local churches. Then, a little over five years ago, a group of concerned residents in Pine City decided something had to be done. The group—led by local volunteers Mary Kay Sloan and Eugene Biever, who had retired as the president of Pine Technical & Community College—decided to found a shelter that would offer transitional housing, resource assistance, mental health counseling and skill-building support. It was a big project, but the team was motivated to get it done, said Chris Fastner, Initiative Foundation senior program manager for nonprofit development. Biever had volunteered as a deacon in his church and saw first-hand the needs of the community. Under Biever and Sloan’s leadership, the group located a building, which had once been an Allina Health System clinic, in downtown Pine City that they felt would be the perfect location for their shelter. They persuaded Allina to donate the building. “It was impressive,” said Fastner. “They worked with volunteers and raised money to renovate the whole thing. It was a true grassroots effort.” When renovations on the building were complete, A Place For You had rooms for 10 residents, with women and men housed in separate portions of the building. The program, which is funded by grants and contributions from a variety of sources, including the Initiative Foundation, has eight full- and part-time paid employees. A large portion of its day-to-day operations are completed by community volunteers. Fastner believes this strong corps of volunteers is a chief asset for A Place For You. “This place is a living example of the power of community,” he said, adding that volunteers even provide a hot evening meal for shelter residents. “It’s a real commitment, a way to make residents feel welcome and cared for during their stay.” The community’s commitment includes helping shelter residents gain the skills they need to find affordable housing and get back on their feet—financially and emotionally. “This has never been just a place for people to sleep,” Fastner said. “Their real goal is to help clients become part of the community, to get connected and build supportive relationships so they can plant roots for themselves.”

Ongoing Support

Keeping the program running smoothly requires a high level of community commitment, said Vicki VanderVegt, A Place For

You’s interim executive director. Organizers worked hard to build a program that would stay strong and last well into the future. They wanted to make a difference in the lives of everyone involved— residents and volunteers. The program’s founders “did a superb job of researching what it takes to form and run a shelter and where funding might come from,” VanderVegt said. “They held community input meetings. They wanted to build a place that would increase people’s chances of finding and maintaining stable housing. They wanted to support that positive trajectory.” Each year, the shelter provides housing for 80 to 90 adults. In addition to preparing meals, volunteers maintain the building and its grounds, work the front desk, clean, catalogue donations, serve as mentors for residents and hold positions on the shelter’s board of directors. Recently, when the building’s HVAC system needed upgrading, board members reached out to East Central Energy. The cooperative offered to install a low-cost, high-efficiency heat-pump system. “We financed 75 percent of the cost of the HVAC equipment,” Jahnz said. The shelter raised money to cover the rest. The HVAC upgrade was a perfect project for the energy cooperative, said Cindy Rolain, ECE’s community relations coordinator. “We’re a cooperative and a grassroots organization,” Rolain said. “A Place For You is the same: It’s people in the community seeing a need and pooling their money, time and commitment to improve the quality of life for everyone.” Even though community support for A Place For You remains high, the program’s employees and core volunteers wanted to make sure that the shelter remained on stable financial footing for the future. With that in mind, a group completed a two-part financial resiliency training program offered by the Initiative Foundation designed to help nonprofits develop alternative revenue sources. “We depend on three sources of revenue: grants, individual donations and corporate donations,” VanderVegt explained. “Sometimes donors get compassion fatigue, and there is so much need to go around.” With the goal of diversifying the nonprofit’s sources of financial support, the board decided to turn an old storage area in the back of the shelter into Furnishings For You, a store that sells donated furniture at affordable prices. A team of volunteers oversaw renovation of the space and transformed it into a store. All profits from the volunteerrun shop, which opened earlier this summer, will go to the shelter. So far, Furnishings For You is proving to be a promising revenue stream. “Just over a month ago, I got an email from the Furnishings For You team,” said Fastner. “They were excited to report they opened the doors on their social enterprise and made $500 on the very first day.”

Want more information? The Initiative Foundation’s Financial Resiliency program helps nonprofit organizations in income-eligible communities improve their operational effectiveness and efficiency. To learn more about the Financial Resiliency program, visit ifound.org/community/nonprofit-programs and click on the Programs tab.

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FALL 2018

economy

TRICKS OF THE TRADE: ProStart students learn valuable job skills.

Cooking Up Opportunities A new partnership between the Brainerd Lakes Chamber of Commerce and area high schools supplies in-demand culinary workers to Central Minnesota resorts. By Lynette Lamb

Tom Kavanaugh, co-owner of Kavanaugh’s Sylvan Lake Resort, is glad he no longer runs a restaurant. “I used to hire 70 food-service staff each summer,” he said, “and I could never find that number of workers today.” Kavanaugh now only hires housekeeping and grounds staff. As an onsite owner, he says, he’s better able to manage less experienced workers, oftentimes local high school students as young as 15.

to taste the area. Yet many of the larger resorts and restaurants, in particular, have experienced a significant shortage of hospitality staff, especially chefs and food service professionals.” The situation has become so challenging that many resorts now rely almost exclusively on workers from Jamaica, Romania and other countries, who must secure seasonal immigrant visas—which can be difficult to obtain. Roughly 500 overseas workers fill out the Brainerd Lakes hospitality job ranks each summer.

Kavanaugh’s, near Brainerd, is not alone in struggling for summertime staff. According to Brainerd Lakes Chamber of Commerce president Matt Kilian, one area resort was forced to close down its profitable golf course food-service operation because management could not find enough workers to support it. This workforce crisis, fueled by a combination of Baby Boomer retirements and a tight labor market, continues to expand as the popularity of the lakes region grows. “The Brainerd Lakes area has become a national tourism destination,” Kilian said. “And when people visit, they not only want to experience the area, they want

Savory Solutions

To help resolve the issue, local resort owners and chamber staff came together in late 2016 to address the labor shortage and discuss possible solutions. Their winning idea: To become part of ProStart, a program sponsored by the National Restaurant Association, which trains high school students in culinary and other food-service skills. ProStart is working together with an existing Brainerd Lakes Chamber-sponsored program called Bridges Career Academies and Workplace Connections, which has for nearly 20 years trained high school students for jobs in manufacturing, health care and other CONTINUED ON PAGE 14

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economy, continued from page 12

industries. The Initiative Foundation has provided regular funding to Bridges, a nonprofit, since its inception. “Because we already had working relationships with area schools and resorts, it was easy to pull ProStart in,” said Mary Gottsch, executive director for Bridges. “We got it started really quickly.” The ProStart program began in fall 2017 and has proven to be wildly successful, with 330 high school students in five school districts taking part. Instead of enrolling in traditional home economics classes, these high schoolers take Foods I and Foods II, which are taught in conjunction with a professional chef as a mentor. Students learn higher-level culinary and entrepreneurial skills; some also form cooking teams that compete at the state and national levels. “The idea is that any student who completes the program develops lifetime cooking skills, and a subset of those students will see a pathway into a local culinary career,” said Kilian. Thanks to grants from the Minnesota Chamber of Commerce and the Hospitality Minnesota Education Foundation, each of the five area schools— Pillager, Brainerd, Pequot Lakes, Aitkin, and Staples-Motley—was able to invest in the ProStart curriculum, train its teachers, hire a chef mentor and invest in additional professional equipment, from knives to blenders. The hope, said Aitkin High School family and consumer science teacher Kelly Bast, is that “students will be able to walk into a kitchen job and have some basic culinary skills they can immediately use.” Meeting the chefs and other resort professionals who visit her classroom also allows students to start networking and find mentors in the field. One of Bast’s own students is among those ProStart graduates who has put her education to good use. Emilee Miller, who was in the program for two and a half years at Aitkin High School, is now a chef at 3M’s Wonewok Conference Center just outside Park Rapids. “If it wasn’t for ProStart, I don’t think I would have gone into a culinary job, which I really love,” she said. The best reward, Miller said, is when she has finished preparing the food and takes a step back to admire her cooking triumphs. “Then I just get this big smile on my face and am so proud of my work!”

Even if they don’t pursue cooking professionally, students learn the life skill of cooking from fresh ingredients, something that many students have never done, said business and ProStart teacher Ann Hutchison of Pillager High School.

Top Chefs

Bast, Hutchison and other high school faculty have taken part in the ProStart Summer Institute training at Madison Area Technical College in Madison, Wis. “The chefs there did a fantastic job helping us understand proper culinary methods and techniques so we can transfer that knowledge to our students,” said Bast. “It’s also a great opportunity to collaborate with other teachers and get ideas for implementing the curriculum into the classroom.” Roughly 90 students were enrolled in Aitkin’s ProStart program last year, said Bast, with some going on to work in the local resort industry this past summer. Besides mastering knife skills, creating basic sauces and stocks and other cooking fundamentals, students learned restaurant management, nutrition, safety and sanitation, purchasing and other food service essentials. They also took regular field trips to area resorts and kitchens. Staples High school students, for example, saw the entire operation at Cragun’s Resort on Gull Lake, while other ProStart students visited Grand Casino, Grand View Lodge and Ruttger’s Bay Lake Lodge. “They’re not just learning from texts, they’re learning from chefs,” said Kilian. ProStart students can complete the program with a one- or twoyear certificate that is recognized by area resorts. Kilian and Gottsch are determined to grow, perhaps even double, the ProStart program over the next few years. With the closing of two major Twin Cities culinary programs, Kilian said programs like ProStart are needed in Minnesota—and in the Brainerd Lakes area—more than ever before. “The Brainerd Lakes area is synonymous with Minnesota tourism,” said Kilian, “and has grown economically largely through tourism.” When people vacation, he added, they spend five times more on food than they typically budget for it. “We have to have experienced, top-notch chefs to deliver on that demand.”

WHERE THE JOBS ARE

Gains/losses in the number of Central Minnesota jobs from 2016-2017. Construction Health Care & Social Assistance Retail Trade Manufacturing Accommodation & Food Services Administrative & Support Services Educational Services Other Services Agriculture, Forestry & Fishing Arts, Entertainment & Recreation Public Administration Real Estate, Rental & Leasing Finance & Insurance Professional, Scientific & Technology Mining Transportation & Warehousing Management of Companies Wholesale Trade Utilities

1,024 543 534 492 426 284 256 153 148 144 141 132 120 27 3 -40 -74 -94

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FALL 2018

tackling the TRIFECTA

Rural towns are struggling with three interconnected challenges: the child care crisis, a worker shortage and a lack of affordable housing. Hereâ&#x20AC;&#x2122;s how Central Minnesota communities are pursuing innovative solutions to these pressing issues.

By Gene Rebeck Illustration by Chris McAllister Photography by Michael Schoenecker

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HELP FOR FAMILIES: Nicole Kittock and Howard Lake city administrator Nick Haggenmiller are banding with community leaders to increase child care access.

NICOLE KITTOCK KNOWS HOW TOUGH IT IS TO FIND SOMEONE TO TAKE CARE OF YOUR CHILDREN. Five years ago, the difficulties that Kittock, then a surgical technician, and her husband faced finding a child care slot inspired her to open an in-home business in Howard Lake, her hometown. She now has space for 12 kids, and she dearly wishes she had more. “I get so many phone calls per week from parents asking if I have room,” Kittock said. “It’s heartbreaking that I have to say, ‘I’m sorry, I don’t.’ It crushes me because these parents are trying so hard. They shouldn’t have the stress of finding child care.” Without child care, one of those parents might need to quit a job. And that, of course, can mean a loss of needed income. Across Minnesota, demand for child care far outstrips supply. It’s true for the state’s larger, more urban regions, and it’s especially true with unique challenges for rural communities like Howard Lake, a city of about 2,000 residents in Wright County. “Employers cite lack of child care as a limiting factor to future growth, attracting and retaining employees,” said Howard Lake city administrator Nick Haggenmiller. But Howard Lake doesn’t have the population to attract more child care providers. “We recognize and quickly admit we’re small and have limited resources,” he added. Kittock’s dream is to own and operate a larger child care center that would have more space—and be able to grow. That’s not something she can develop and fund on her own. But Howard Lake, which knows how crucial child care is to its economy, is looking for ways to help. This year, a group of 14 community leaders and business owners—Kittock among them—banded together to find a new approach.

Howard Lake is by no means alone in realizing that a lack of child care and economic opportunity are interconnected. Smaller communities across Central Minnesota are finding that a lack of affordable housing also is hindering their economic well-being. A potential employee may want to live in your town, attracted by the pace of life, good schools and sense of community. But that person needs a place to live—and someone to care for their kids during work hours. “How do you attract and retain talent if people can’t find affordable housing and affordable quality child care?” asks Don Hickman, vice president for community and workforce development at the Initiative Foundation. “If your community has those amenities, the next generation in particular is saying, ‘I’m willing to work for less money if the community is high-quality and has good schools, a good quality of life, and access to child care.’” The challenges of child care, housing and workforce development are interwoven. Perhaps it’s more accurate to say that they’re knotted together. And that’s why a number of communities in Central Minnesota are pursuing innovative solutions to these complex, intertwined issues.

A Caring Approach

According to Minneapolis-based First Children’s Finance, a nonprofit that provides funding, business financing, training and other support for providers, Central Minnesota has a deficit of 14,332 child care slots. Howard Lake has a shortfall of 44 openings; at the high end, the Greater St. Cloud area has a shortfall of 1,273. So why aren’t providers springing up to meet the demand? “The current child care market is just very difficult to do profitably,” said Nate Bean, a graduate student at the University of Minnesota Morris’s Center for Small Towns. Bean is drafting a report on

FALL 2018

the challenges small communities face in attracting child care providers. Based on his research and surveys, Bean discovered that sustaining a child care center “is tough in a community of less than 10,000 people.” Some challenges are legislative. Several state regulations established in the last few years to bring Minnesota into compliance with federal law, including stricter inspections of facilities, have many in the child care industry asking for relief. Some even blame those regulations for the decline in the number of child care businesses in the state. According to a 2017 Minnesota Legislature task force report, Greater Minnesota lost more than 16,000 providers between 2006 and 2015. One of the biggest challenges is low pay, said Landon McKay, business development specialist with First Children’s Finance. The average child care employee in Minnesota earns about $8 an hour. That makes it difficult to compete with other employers, such as fast food restaurants, which offer up to $14 an hour. This year, First Children’s Finance launched an initiative to help providers and communities develop innovative solutions to this challenge. Its Rural Child Care Innovation Program works with local leaders to define what’s happening in their community, bring key stakeholders to the table and shape a solution, McKay said. Howard Lake is one of these communities, joining a cohort that includes Virginia, Red Wing and Hallock. Howard Lake was chosen because the city has “a history of coming together to solve community-wide problems,” said McKay, whose work focuses on Central Minnesota. First Children’s Finance expects its work in Howard Lake will last 18 to 24 months. First Children’s Finance is partnering with the Initiative Foundation and other regional nonprofits to shape the Rural Child Care Innovation Program. This past June, the Initiative Foundation hosted a child care summit in Little Falls, bringing together about 100 business, economic development and other Central Minnesota leaders. “Based on the attendance, the questions that were asked and the stories that were shared, it’s clear that identifying solutions to the child care crisis is topof-mind throughout the region,” the Foundation’s Hickman said. 18 Initiative Foundation Quarterly ifound.org

EMPLOYERS CITE LACK OF CHILD CARE AS A LIMITING FACTOR TO FUTURE GROWTH, ATTRACTING AND RETAINING EMPLOYEES. OFTEN, PARENTS WANT THEIR CHILDREN CLOSE TO THEIR EMPLOYMENT.

CHILD CARE

TERMS

child care centers provide child care services, including early learning opportunities, for a fee in a non-residential setting.

in-home child care provide services, including

early learning opportunities, for a fee in a residential setting.

As Howard Lake and First Children’s Finance look to craft new approaches to meet child care demand, they can draw on innovative models that are being used elsewhere. “We’re finding that many school districts are beginning to embrace their role as educators, all the way from preschool to grade 12,” McKay said. “While the old model was K through 12, school districts increasingly are saying, ‘Wait a minute. If we don’t step in early enough in the process, we’re going to end up with kids who aren’t prepared for school.” Some districts have started preschool programs, including care, within their facilities. Another possible model: A child care center or family-based operation working onsite in partnership with a local business. “The child care workers can earn a higher wage and get benefits,” McKay said. Some rural employers actually are putting a child care provider on staff. They then reserve space for their own employees’ children. The provider also can receive the employer’s benefit package. Yet another possible approach for communities like Howard Lake is “the pod model,” where multiple family providers are housed in one building, Bean said. “That allows the county or businesses to subsidize the rent and perhaps secure some spots.” This approach can give family providers “a much more realistic way to make a living because they’re not paying for rent.” Meanwhile, Little Falls is exploring the addition of a child care center alongside the school district building, a move that would incorporate child care in the district’s cradleto-career approach to student success, said Cheryal Lee Hills, executive director of the Region Five Development Commission. Region Five is a Staples-based economic development organization that covers Cass, Crow Wing, Morrison, Wadena and Todd counties. The project, which has been put out to bid, could be funded in part through the school bonding plan recently passed by Little Falls voters. The proposal has experienced some pushback. “Many people don’t believe that public dollars should be used for what has traditionally been a private-sector business,” Hills said. How to counter such resistance? By emphasizing workforce needs. “Business leaders are coming to us and saying that without child care, they

TOP 10

child care shortfalls In Central Minnesota, the following communities are experiencing an acute shortage of child care slots.

St. Cloud........................................................ -1,273 Albertville........................................................ -837 Monticello........................................................ -736 Brainerd............................................................ -638 Big Lake............................................................ -481 Cambridge........................................................ -409 Stacy................................................................. -396 Elk River........................................................... -396 Princeton.......................................................... -331 Sartell............................................................... -325

AT HOME: Kirsten Kennedy meets with a resident of an affordable housing unit in North Branch.

Source: First Children’s Finance

can’t attract workers,” Hills said. “And that has a negative impact on our tax base in terms of housing and businesses being able to expand.” Given businesses’ need for employees, McKay suggests we view child care as a community asset—“something that’s critical and absolutely essential to the existence of the entire community.” Similarly, Bean said that child care should be viewed as an amenity like public education rather than a purely for-profit business enterprise.

A Place to Live

In many respects, housing is similar to child care: The need is huge. And so are the challenges. In an April report on the rural workforce housing shortage in Minnesota, the St. Peter-based Center for Rural Policy and Development cites several challenges for the workforce housing shortage. One is a lack of “churn” among older rural households. Since older residents tend to stay in their homes longer, fewer single-family homes are available for younger workers. But there are sparks of innovation across the region, including an initiative that’s showing promise in Chisago County, where they’ve undertaken a housing study with a focus on meeting workforce needs. “We had heard from many of the cities—specifically North Branch and the Chisago Lakes area—about the challenge of finding workers,” said Cathy Bennett, a commissioner for the Chisago County housing and economic development authority. This past summer, the Chisago housing and economic development authority published its densely detailed study. It “validated what some of the cities already knew: that some employers are concerned about housing for their labor force and for their ability to expand,” Bennett noted. It also built awareness among county employers, said Nancy Hoffman, executive director for the Chisago County HRA-EDA. “A lot of their employees come from Wisconsin or perhaps north of us, like Pine City.” The study helped them understand that if there

were more affordable housing options, including apartments, “they might be able to attract more employees.” Hoffman recently spoken to businesses in her region that would like to expand but are uncertain if they can—or should— due to the worker shortage. The county’s unemployment rate as of May was 2.7 percent. Hoffman also noted that metro jobs tend to pay more, which means more people are willing to travel from the county for work. “We have so many people commuting out of the area—about 85 percent,” Hoffman said. The city of Wyoming, population 7,856, serves as a strong example. “There are only 342 people working in Wyoming who live in the community,” she said. “That means there are about 4,000 who commute out and almost 3,000 who commute in.” Chisago County has abundant single-family housing but little multi-family housing. Both are in demand. During the recession, single-family housing in Chisago County was hit hard with foreclosures. “Now they’re all bought up,” Hoffman said. While demand is strong, developers aren’t able to create supply. Hoffman recently asked a developer working on a project in Wyoming to consider some of her county’s other communities. “He says he just can’t make it work because what he can get for rent even just as far away as Forest Lake is $100 or $200 more a month than what he can get for rent here,” she said. With construction costs being equal, coupled with higher labor costs, it just makes sense to develop housing projects where the return on investment is higher. The conclusion: Affordable housing is not often profitable. But it’s something that businesses and communities need. “People want to live in the same community in which they work,” said Margaret Kaplan, former community development director for the Minnesota Housing Finance Agency (MHFA), a state agency whose funding and other programs help communities attract the development of quality, affordable housing. A town where people commute in or out “doesn’t help your tax base, and it doesn’t help the cohesiveness of your community,” Kaplan added. With its housing study in hand, the Chisago County HRA-EDA

FALL 2018

is now compiling a development workbook, which will help to Central Minnesota companies needing more workers to meet identify areas for different types of housing. “The community is burgeoning demand. The industries that purchase its specialty helping us identify opportunity sites for different developments,” trailers—agriculture and energy production, in particular—are said Hoffman, whose organization can also use the study to attract booming. As of late June, the company had 275 employees—which potential affordable housing developers. includes 55 at its second facility in Litchfield. But with Stearns There’s evidence that this active push for new housing is County posting a 2.9 percent unemployment rate, new hires are bearing fruit. During the past year, North Branch has moved extremely hard to find. forward on two multi-family developments. One is a 20-apartment “It gets to where you’re competing for employees with more building proposed by the Central Minnesota Housing Partnership, attractive packages and those sorts of things,” said Brenda Jennissen, a St. Cloud-based nonprofit. The other, Felling Trailers president and CEO. “You driven by a private developer, will consist just don’t see people stay in a job for 20 or of 48 cottage-like units near the city’s 30 years like you used to.” Interstate Business Park. Both projects are Competing signing bonuses, more tapping state and federal financing sources common in the metro area, also present IT IS GOOD FOR for affordable housing, and they’re expected challenges. So Jennissen and her company to break ground in 2019. have been pursuing new ways to stock its YOUR COMMUNITY TO North Branch Mayor Kirsten Kennedy pool of potential employees. “What we’re HAVE A PLACE WHERE said more trickle-down development trying to do is attract more people to the is occurring. “We now have a developer trades in general,” Jennissen said of her WORKERS CAN LIVE that wants to come in and do a 500-unit community-oriented approach. “Not just project that will include single family welding, but working with one’s hands. And AND CAN TAKE JOBS and townhomes and senior housing and we’re really promoting that at a younger age.” two large apartment complexes.” She Felling Trailers reaches out to the local THAT OUR BUSINESSES acknowledged that “there are some citizens schools, offering tours of its manufacturing SO DESPERATELY who will never support” affordable housing, facility. “We want to show kids what’s particularly when it requires some kind of happening in their backyards,” Jennissen NEED TO FILL. subsidy, such as tax-increment financing. said. In addition to welding, students “The way you get them on board is by are made aware of other manufacturing proving to them that it is actually good specialties such as finishing and wiring, as for our community to have places where well as back-office functions like accounting workers can live and can take jobs that our and purchasing. businesses so desperately need to fill.” Four times a year, Felling Trailers offers Rural employers also could help a free after-school welding camp to boys develop employee residences that are close and girls ages 12 through 18. Felling hosts to their facilities. Bennett noted that Sven the camp at its Sauk Centre welding facility; Comfort Shoes, which manufactures clogs one of the company’s certified welding at its headquarters in Chisago City, “would inspectors serves as instructor. By the end like to identify ways it could partner with of the one-day camp, the students finish a developer to build housing on open land their own welding project. next to their facility.” Bennett also suggested For the past two years, Felling Trailers that communities familiarize themselves also has partnered with Sauk Centre with government funding resources for Secondary School, offering a class for high housing, such as the MHFA. school seniors in its welding lab. The class is also taught by a certified welding inspector, along with one of the high school’s Building the Future industrial technology teachers. During the second half of the With a state unemployment rate of 3.1 percent as of June—the school year, students are “out on the production floor with our team national number was 3.9 percent—businesses all across Minnesota members, who serve as something like mentors,” Jennissen said. are clamoring for workers. Indeed, the number of job vacancies in Felling Trailers will be offering the class again this fall. 2017 exceeded the number of people looking for work. Statewide Jennissen says this hard work is paying off. From among this employment totaled more than 2.96 million jobs, the most ever. year’s graduates in Sauk Centre and nearby Melrose, “there was a Making the hunt for workers even more arduous for Central significant increase in those who wanted to pursue welding,” she Minnesota employers: competition from the nearby Twin Cities said. Additionally, two of the students who completed the class metropolitan area, where jobs are plentiful and wages are higher. started work with the company after graduation. All told, Jennissen Many Central Minnesotans are willing to commute or relocate for added, “we definitely see a positive feedback from our attempts.” the increased earnings potential. Felling Trailers’ programs represent one community-driven Sauk Centre-based Felling Trailers, Inc., is one of the many approach to workforce development. Meanwhile, the Initiative CONTINUED ON PAGE 22

20 Initiative Foundation Quarterly ifound.org

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Tackling the Trifecta CONTINUED FROM PAGE 20

WORKING OPPORTUNITIES: President and CEO Brenda Jennissen (right) and co-owner and vice president of administration Bonnie Radjenovich.

Foundation has been conducting an ongoing series of “Talent Advantage” workshops with partners including the Brainerd Lakes Chamber, Central Lakes College, Region Five Development Commission and Sourcewell, formerly known as the National Joint Powers Alliance. The goal of this regional approach to attract and retain talent is to remove barriers and expand the pool of available workers. One obvious path is to tap into hidden talent pools, including immigrants, the formerly incarcerated and those with disabilities. “We can’t afford to have people with skills left out of the marketplace,” said the Foundation’s Don Hickman. “There are opportunities for many organizations in this region to provide meaningful work that will lead to productivity and growth. It just takes an accommodating mindset and a willingness to learn, stretch and grow.”

It Takes a Village

The upshot is that leaders of all kinds in smaller communities need to take an active role in addressing the interconnected challenges of child care, housing and workforce development. Case in point: Howard Lake. By bringing together a cross-section of local stakeholders, community leaders are providing residents—and the businesses that employ them—with the child care services they so urgently need. And with solutions in play to address child care needs, more workers are freed up to fill available jobs. “In all of my research [in rural Minnesota child care], that’s one of the patterns I’ve seen,” Bean said. With a dedicated team of volunteers who can collaborate and make creative use of community resources, realistic models can be shaped. Smaller communities are realizing it takes a village to create a child care center. And the same holds for affordable housing and workforce development. “The state demographer tells us that there will be more jobs than workers in our state for at least the next 12 years, if not longer,” said the Foundation’s Don Hickman. “Communities that can implement an effective response have the opportunity to retain or attract young talent and position their economy for continued growth despite the tight labor market.”

22 Initiative Foundation Quarterly ifound.org

WHAT WE’RE TRYING TO DO IS ATTRACT MORE PEOPLE TO THE TRADES IN GENERAL. NOT JUST WELDING, BUT WORKING WITH ONE’S HANDS. AND WE’RE REALLY PROMOTING THAT AT A YOUNGER AGE.

FALL 2018

Behind the

Numbers A rapidly expanding economy, an aging population and an influx of new residents to the region: How do these demographic and economic trends impact our cities and towns? The details are in the data.. By Elizabeth Foy Larsen

24 Initiative Foundation Quarterly ifound.org

For anyone who calls Central Minnesota home, it’s probably not a surprise that more and more people are discovering our region is a great place to live. In fact, since 2010, the area has seen a 4 percent increase in its population, making it the fastest-growing region in the entire state outside the Twin Cities. “Population growth—particularly of working-age adults—is a huge blessing for Central Minnesota,” said Matt Varilek, the Initiative Foundation’s president. “At a time when finding workers is the primary restriction to economic growth throughout Minnesota, we welcome newcomers and their ideas, skills and passion for our region.” Here are the main demographic and economic trends that are taking place in the Initiative Foundation’s service area, which includes Benton, Cass, Chisago, Crow Wing, Isanti, Kanabec, Mille Lacs, Morrison, Pine, Sherburne, Stearns, Todd, Wadena and Wright counties.

WHERE THE JOBS ARE While the region’s growing economy continues to attract residents, growth isn’t spread evenly across Central Minnesota. Areas closest to the Twin Cities (e.g., St. Michael, Monticello, North Branch and Elk River) are gaining at the fastest rate. Only Todd County, on the western side of the region, saw its population shrink since 2000. The Central region has seen the largest growth in jobs among all regions in Minnesota— including the Twin Cities metropolitan area.

Population growth—particularly of working-age adults—is a huge blessing for Central Minnesota..

Job growth by region: Central, West Central post greatest gains 17% 12.5%

West Central

Minnesota

6.3%

Twin Cities

5.3%

Southern

1.2%

Northeast Southwest

<1%

2000

Central

WHERE ARE THE WORKERS? Central Minnesota’s robust growth, however, coincides with challenges that are happening across the country, namely that the rate of employees retiring from the workforce has resulted in a nationwide worker shortage.

2016 FALL 2018

Minnesota job vacancies currently exceed available workers Minnesota job vacancies and unemployed workers by quarter. Number of Unemployed

Number of Job Vacancies

250,000 200,000 150,000 100,000

Now In fact, through 2030, when at least one of five residents in every Minnesota county will be older than 65, the Twin Cities is the only region in Minnesota that is expected to expand its working-age population. In the very near-term, there will be 3.1 million jobs available in Minnesota in 2024. Unfortunately, even if we maintain employment rates at historic levels of 78 percent of adults working, only 2.7 million workers will be available/able to work in 2024. That leaves the state with 400,000 jobs to fill. How do we overcome this challenge? Bill Blazar, senior vice president of public affairs and business development at the Minnesota Chamber of Commerce, said the Center for Workforce Solutions is making inroads. Itâ&#x20AC;&#x2122;s a statewide effort to address the workforce gap, including recruiting and training more teenagers CONTINUED ON PAGE 28

New collaborations are necessary to supply employers with qualified employees.â&#x20AC;?. 26 Initiative Foundation Quarterly ifound.org

2017

2016

2015

2014

2013

2012

2011

2010

2009

2008

2007

2006

2005

2004

2003

2002

Hiring

2001

50,000

Sources: MN Department of Employment and Economic Development

Through 2030, only the Twin Cities region is expected to see growth in its working-age population Central Northeast

-3% -12%

Northwest

-6%

Southern

-5%

Southwest

-10% +7%

Twin Cities West Central

-4%

400,000

Anticipated statewide shortage of working-age adults in 2024

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FALL 2018

BEHIND THE NUMBERS CONTINUED FROM PAGE 26

and former prison inmates. It has also encouraged federal immigration reform to supplement a slow-grow Minnesota population marked by baby boomer retirements. “New collaborations are necessary to supply employers with qualified employees,” he said.

EMBRACING NEWCOMERS For Central Minnesota, as with the rest of the state, the other answer to the worker shortage is simple: We must continue to convince people to move here, either from other regions in Minnesota and the United States or from other parts of the world. Fortunately, Central Minnesota has been proactive about embracing newcomers. Between 2000 and 2015, the region added 11,000 foreign-born residents. Today, nearly 10 percent of St. Cloud residents were born outside the United States. That bodes well when it comes to entrepreneurship and consumer spending. The Minnesota Chamber of Commerce notes that more than 40 percent of Fortune 500 companies were started by immigrants or their children and 25 percent of high-tech companies in the United States were started by immigrants between the years 1995 and 2005. Those startups created 450,000 jobs. Today, 6 percent of businesses in Minnesota are owned by immigrants. And immigrants across the state have a consumer power of $7.7 billion per year. In Long Prairie, the arrival of young Latino families has turned around the prospects of a town that a decade ago was facing the challenges of an aging population. The town’s schools are now thriving and the downtown is filled with shops and businesses. This trend has led to increasing racial diversity in the region, although the percentage of people of color living in Central Minnesota still lags behind the state and nation as a whole. Since 1960, the region’s Hispanic population has tripled and the black population has quintupled. CONTINUED ON PAGE 44

Growth among populations of color in the central region Persons of color as a percent of total population United States

Minnesota

Central

50% 40%

39%

30%

NEARLY

10% of St. Cloud residents are foreign-born.

Percentage foreign born Range of major cities, central region 1

ST. CLOUD........................................................ 9.4%

BIG LAKE.......................................................... 5.7%

BUFFALO.......................................................... 3.7%

ELK RIVER........................................................ 3.7%

ST. MICHAEL................................................... 3.2%

MONTICELLO.................................................. 2.9%

SARTELL........................................................... 2.8%

20%

19%

OTSEGO............................................................ 2.7%

10%

BRAINERD....................................................... 2.4%

SAUK RAPIDS. . ............................................... 2.4%

1960

1970

1980

1990

Sources: U.S. Census Bureau. Decennial Census and Population Estimates

28 Initiative Foundation Quarterly ifound.org

2000

2010

2016

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FALL 2018

A research and education center devoted to the

Minnesota state bird is on track to open in Crosslake.

By Lisa Meyers McClintick

30 Initiative Foundation Quarterly ifound.org

A loon’s staccato hoot often greets northern Minnesota travelers as they breathe in that first whiff of lake water, sun-warmed pine needles and earthy shoreline grasses. By nightfall, the back-and-forth wail and yodel becomes a bedtime serenade. “It’s an iconic call,” said Leah Heggerston, member of the National Loon Center Foundation’s board of directors. “It summons up all kinds of summer memories. People love loons.” That universal affection and emotional connection to Minnesota’s state bird is fueling momentum to establish a National Loon Center for research and education in the City of Crosslake on the Whitefish Chain of Lakes. The center could become a reality by 2021 if it keeps chugging forward. The proposed center would study loons and water quality, educate people on loon ecology and threats to their health, and celebrate the unique features of our state bird. The Minnesota Department of Natural Resources estimates there are close to 12,000 loons in Minnesota—the highest population of any U.S. state except Alaska. While loons have been Minnesota’s official state bird since 1961, their existence is thought FOR THE BIRDS: A rendering of the outdoor grounds of the proposed National Loon Center.

Department of Natural Resources estimates there are close to 12,000 loons “The Minnesota in Minnesota—the highest population of any U.S. state except Alaska. ” FALL 2018

to go back 60 million years, making them one of the oldest living bird species, according to state records. The Initiative Foundation, which hosts a project fund for the loon center, provided the project’s first external funding with a $5,000 grant to help with a feasibility study for the Crosslake location. In June, University of Minnesota economics experts announced positive results from the study, eliciting enthusiastic cheers from project supporters. “To have a facility like this to help with educational tourism will be one of the best ways to promote environmental care of our lakes and rivers,” said National Loon Center advocate Jim Anderson, chairman of the board for Anderson Brothers Construction in Brainerd and an Initiative Foundation Emeritus Trustee. “The center will be able to illustrate through augmented reality and hologram use how the loon survives in the wild. The loon has many unique attributes that will be amazing to learn about.” In July, the Legislative-Citizen Commission on Minnesota Resources approved the National Loon Center Foundation’s request for $4 million in funding. That request now has to get final approval from the Minnesota Legislature, but given the bipartisan support and enthusiasm from regional, state and U.S. lawmakers, chances look promising. Additional fundraising will be needed as the project progresses. “We have outstanding political support,” said Matt Kilian, Brainerd Lakes Chamber president. They also have support from wildlife conservation groups, citizen groups and even the Minnesota United professional soccer team, which has a loon as its mascot and logo. The feasibility study looked at similar centers, including Wabasha’s National Eagle Center, along with tourism statistics. Kilian said they estimated “a minimum of 59,000 visitors each year and a maximum of 157,000” with commensurate benefits from tourism.

Education Efforts

Ideally, the advocates would like to open the loon center near the Pine River dam on Cross Lake. The U.S. Army Corps of Engineers’ popular recreational area and campground encircles much of the natural bay, which also has an island. A family of loons frequently pops up here, seemingly unafraid of the constant marina, beach and campsite traffic. The Army Corps could possibly replace aging rest rooms CONTINUED ON PAGE 34

A LOOK INSIDE: An architectural rendering of the interior of the National Loon Center Visitor’s Center.

LOON 411

How does our state bird stand out from other waterfowl? In addition to their curiosity and lack of shyness, loons have these unique qualities: Their deep red eyes help them see in dark water as they dive for fish. While most waterfowl have hollow lightweight bones conducive to flying, loons have solid bones, which make it easier to dive up to 200 feet in search of fish to eat. Loons need 100 to 600 feet of space to take off from a lake due to their heavy bodies. Loons can fly more than 75 miles an hour. They can live 30 years or more. Loons prefer sheltered bays and islands to build protected nests made from dried grasses. I n areas with shoreline development, loons may choose man-made nesting platforms, which are built like rafts and keep the birds safe from shoreline predators while also adjusting to changing water levels. Some loons will return to the same raft year after year. Loons hatch only one to two eggs each year, and newly hatched chicks can ride on their parents’ backs within hours of hatching. Loons are known to be attentive parents, coaching chicks to dive and catch fish.

Make a donation to the National Loon Center. Visit ifoundconnections.org/loons. 32 Initiative Foundation Quarterly ifound.org

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CALL OF THE LOON CONTINUED FROM PAGE 32

at its shoreline day-use area and build an expanded 15,000-squarefoot facility, which could lease space for the loon center, said Corrine Hodapp, supervisory park ranger. With its atypical location in the heart of town, the Army Corps often teams up with community organizations for events and educational efforts. That has included the addition of a rain garden, a foraging garden and art work for its interpretive center, which also houses a collection of Paul Bunyan souvenirs—a nod to the Paul Bunyan Scenic Byway, which runs through Crosslake. Heggerston said the foundation would like to see the bay’s marina rebuilt and improved with piers or docks so campers wouldn’t have boats parked on the shoreline where loons like to nest. She’d also like to see more research and programming to eliminate hazards to loons in Crosslake and nationally. That could include no-wake zones to prevent boating accidents and help combat the spread of zebra mussels. The invasive mussels eat native algae and expel toxic algae, which is then ingested by the fish that loons eat. Loons also can get lead poisoning from inadvertently ingesting lead sinkers from fishing tackle, which they swallow alongside the small rocks they eat to help digest their food. An effort to replace lead sinkers with safer fishing tackle remains ongoing. The public could also get involved, acting as citizen scientists to conduct water and lake plant studies at the loon center and then track that research from year to year. Visitors could also learn how to make floating rafts for loons to nest upon and get onto the Cross Lake bay to interact with and enjoy the local loons from April until September. Fall travelers could watch for the close to 200 loons that congregate on the Whitefish Chain of Lakes before migrating south as a group. “This bay gets 230,000 visitors a year at the campground,” said Heggerston. If even a third of them paid admission to a loon center, that would be a solid base of support. A loon center in Crosslake also could be influential in supporting the loon population, which is facing shrinking habitats due to climate change and other environmental threats. Minnesota’s National Eagle Center opened in Wabasha (population 2,400) in 2007 and has grown to more than 80,000 visitors a year. While loons aren’t endangered, they have been listed as a species of concern in Montana, according to the National Park Service. Warming lake temperatures and increasing development along lakeshores are thought to have moved loons to the far northern tier of the United States. The birds require clean water, healthy fish, and a lake that’s at least five acres for nesting. They don’t mate until they’re about seven years old, and most have only one or two chicks a year. The proposed loon center could track migrating loons and show them on maps, track water quality of area lakes and show visitors how a bird designed for diving up to 200 feet deep can also take flight. If the Legislature approves funding and the Army Corps decides the project will fit with its mission and location, the loon center’s foundation will work on additional fundraising and grants. Ground could be broken in 2020, with a tentative opening in 2021. “I think it’s doable,” Heggerston said. “We’re really a supportive state for environmental tourism.” 34 Initiative Foundation Quarterly ifound.org

WILDLIFE ROAD TRIPS

Check out Minnesota’s other nationally known wildlife centers.

INTERNATIONAL WOLF CENTER Located in Ely, this center offers visitors a chance to learn about wolves, observe the resident pack and understand the roles each pack member plays and how they interact together. The center offers frequent adventure excursions, sleepovers, weekend programs and an international symposium (wolf.org). NORTH AMERICAN BEAR CENTER Also in Ely, this education center is dedicated to debunking myths about bears. Visitors can view its four resident black bears as they forage, play, climb and interact with each other (bear.org). NATIONAL EAGLE CENTER Delve into the cultural significance and fascinating facts about eagles at this museum and interpretive center in Wabasha. Visitors are welcome to use spotting scopes to see wild eagles soaring over the Mississippi River and get eye-to-eye with resident eagles who have been rehabilitated and cannot survive in the wild. The center hosts a popular month-long festival every March, when the eagles are returning from warmer climates to mate and nest in Minnesota (nationaleaglecenter.org).

THE INTERNATIONAL OWL CENTER Located in the southeastern Minnesota town of Houston, this sometimes overlooked gem celebrates the quiet, nocturnal predators of the forest. Visitors can join owl prowls and an annual festival every March (internationalowlcenter.org). Look for a loon cam and updates on the proposed National Loon Center at nationallooncenter.org.

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A Special Thanks to Our 2018

COMMUNITY BUILDERS CIRCLE Members.

Here’s how you can join and make a difference:

Your Region. Your Initiative. Your Foundation. BUSINESSES

• Harvest Banks

INDIVIDUALS

• American Heritage National Bank

• LINDAR / Avantech

• Rick & Helga Bauerly Family

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• Little Falls Area Chamber

INVEST

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Contribute $1,000 or more per year to the Initiative Foundation’s programs or General Endowment—a forever fund that powers the Foundation’s grants, programs and services.

LEAD Model the way for others to support Central Minnesota community-building initiatives throughout the region.

ACKNOWLEDGE Gain special recognition in IQ Magazine, specialty publications, on our website and at Initiative Foundation events.

CELEBRATE Experience the lifetime fulfillment of giving to causes that inspire you. When you give, you’re helping our communities thrive and grow—from our youngest to our most senior members.

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Give today at ifound.org/give To make a pledge, contact a member of our external relations team or call (877) 632-9255. As a 501(c)(3) nonprofit organization, your Initiative Foundation contribution is tax-deductible to the extent allowed by law. The Foundation owns and manages financial contributions for the benefit of Central Minnesota communities.

36 Initiative Foundation Quarterly ifound.org

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Art Sets US Apart ARTISTIC ATTRACTION: Kahnah’bek presides over Crosby Memorial Park on Serpent Lake.

From murals to sculptures to painted fire hydrants, public art showcases what’s special about Central Minnesota towns. By Lisa Meyers McClintick Photography by John Linn & Michael Schoenecker

Kahnah’bek, an iconic 20-foot tall statue of a serpent painted bright green, orange and yellow, rises above Crosby’s Memorial Park on Serpent Lake. A fresh coat of paint three years ago took it back to its original colors, from when it was installed in 1977 as a mascot for the town’s largest gathering place. Today it’s also a magnet for souvenir photos and selfies. A few blocks aways, a mural completed in 2014 rises two stories high with a collage that blends mining, snowmobile manufacturing and silent sports. “I really think the mural has brought a different feel and theme to our downtown,” said Lisa Sova, Crosby’s administrator clerk treasurer. “It did a nice job of incorporating the history and different eras that have brought us to where we are today.” This year, new art greets visitors traveling north on Minnesota Highway 210 in the form of a black-and-white mural of local miners on a brick building in downtown Ironton. A second mural celebrates

38 Initiative Foundation Quarterly ifound.org

the boom in mountain biking throughout the Cuyuna Lakes State Recreation Area, which borders both Crosby and Ironton. Towns across Central Minnesota are embracing art projects— from murals and sculptures to artsy bike racks—to showcase what makes their communities unique, to attract visitors and to bring together its residents. “Public art is popping up everywhere,” said Leslie LeCuyer, executive director of the Central Minnesota Arts Board. “We’re trying to educate local leaders that art is a way to build and take pride in one’s community. It makes their place a destination, and it has a strong economic impact, as well.” Creative Minnesota, a collaboration of statewide arts and cultural organizations, and Minnesota Citizens for the Art, embarked on an in-depth study in 2017 to measure the impact of the creative sector by totaling the amount of local spending done by nonprofit arts and cultural organizations, the amount of money generated by performances, exhibits, concerts and other arts events, and local earnings from area artists. It estimated Benton, Sherburne, Stearns and Wright county artists, as well as non-profit arts and cultural organizations, generated $45.8 million dollars. Cass, Crow Wing, Morrison and Todd counties generated nearly $1.2 million. “Tourism is one of Minnesota’s top industries,” LeCuyer said, “and the arts play a critical role in that.”

Honoring History

The two-story mural in downtown Crosby stretches up the outside wall of the popular Iron Range Eatery and anchors a plaza that used to be a vacant lot. A local group sought help from the Minnesota Design Team—a volunteer group of architects, city planners and tourism experts that consults with communities across the state—and turned the corner spot into a welcoming gathering place with benches, flowers, a dog run, a bike repair station and interpretive panels about the town’s history. Crosby and Ironton boomed in the early 1900s when they were part of Minnesota’s third (and smallest) Iron Range, but the modest towns fell on tough times by the 1980s when open pit mines closed. The towns hit their revival in the mid-2000s, when former mining land became a state recreational area. Mine pits were filled with spring-fed water. And woods covered the steep hillsides, making the area a mecca for silent sports that include biking on the paved Cuyuna Lakes State Trail, paddling, fishing and diving in the lakes, and popular mountain bike trails that are set to be expanded. Cuyuna Brewing Company, a café/bike shop and the Iron Range Eatery now share Main Street with antique shops and other local businesses. Camper cabins (including one with a mural created by Minneapolis-based illustrator and muralist Adam Turman) opened in the past two years, and the town was featured in an August 2018 Outside magazine cover story on “America’s Smartest Towns.”

BEAUTY HERE: Public art in (clockwise from top left) Crosby-Ironton, Sauk Centre and Monticello.

“ Art can transform a whole town.” FALL 2018

“Tourism is one of Minnesota’s top industries, and the arts play a critical role.” HOMETOWN TRIBUTE: Artist Roger Reinardy’s murals enliven Sauk Centre.

“We have gained recognition worldwide for the mountain bike trails we have,” Sova said. Other Central Minnesota towns have turned to nature, history and their geographic location to inspire artwork and create a sense of place. In Monticello, at the bustling intersection of Minnesota Highway 25 and Broadway Avenue, two shiny silver swan sculptures by Elk River-based metal artist Sue Seeger represent the city’s popularity as a winter destination for thousands of trumpeter swans that gather on open stretches of the Mississippi River. Above the statues, regional photographer Chris Lommel’s portrait of Lake Maria at sunrise was printed on hundreds of tiles that attach loosely to the building. A breeze riffles the kinetic display, making the mural-sized photo look like it’s shimmering. Up to 35,000 people drive past it each day. In Elk River, visitors to the Nature Explore Center and Handke Center early childhood program can explore a replicated eagle’s nest

and admire a sculpture of running deer. It provides families with a playful, interactive and educational outdoor spot, while also tempting them to see the real eagle’s nest and wildlife at the Sherburne National Wildlife Refuge about 18 miles away. Artists in Buffalo in Wright County painted different themes on a parade of giant fiberglass buffalo that dot the downtown, which hugs a picturesque lakeshore. In Delano, volunteers have been working since 2017 to create a meditative labyrinth that is inspired by an ancient labyrinth at France’s Chartres Cathedral near Paris. It encourages people to wander its paths and linger longer than it takes to eat an ice cream cone at the popular Peppermint Twist across the road. The labyrinth officially opens in September. And in Sauk Centre, artist Roger Reinardy has been painting his hometown for the past few years. Vibrant arched murals in downtown depict local history with native tribes, early pioneers and world wars. He also created a scene with veterans on the town’s American Legion, a portrait

of famed hometown author Sinclair Lewis on the Palmer House hotel, and a whimsical view of a conductor and musical notes on the curved 86-year-old bandshell, where people gather weekly for free concerts along the Sauk Lake shore. “Art can transform a whole town,” LeCuyer said, citing Sauk Centre and how art has enlivened its physical appearance and increased hometown pride. “It’s such an exciting time.” Funding for projects often comes from a combination of sources, such as Minnesota’s Legacy Amendment, which was passed in 2008 to devote a portion of state sales tax to funding for arts and culture. Regional arts councils, community fundraising, beautification programs and local grants—including targeted community Partner Funds hosted by the Initiative Foundation—can help finance art projects or match funds. Those projects, in turn, can draw visitors who spend money on food, entertainment and even lodging. CONTINUED ON PAGE 42

40 Initiative Foundation Quarterly ifound.org

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Painting Progress

Communities that invest in visual arts projects, festivals and art fairs, performance venues and creative spaces and studios such as Brainerd’s Franklin Arts Center, strengthen the local economy, said Theresa Sweetland, executive director at Forecast, a St. Paul-based consulting company that supports public art projects across the nation. “We want to help people make positive changes in their communities through arts,” she said. Sweetland advises arts supporters to work with city and regional planners and look for ways to incorporate art into existing projects. That could be anything from stamping poetry into new sidewalks, which St. Cloud has done, to decorating storm drains or reimagining fire hydrants. Yes, fire hydrants. Milaca has enticed

curious travelers off Minnesota State Highway 23 to seek out its almost three dozen fire hydrants, all of which are individually painted. Kids and adults cruise through town on the lookout for Sven the Snowman from “Frozen,” “Despicable Me” minions, Mike Wazowski from “Monsters, Inc.,” Batman and other superheroes. Little Falls, which has had a wealth of history-inspired murals for years, made a conscious decision to jazz up its more utilitarian city infrastructure. The city ordered bike racks with playful themes such as giant paper clips and crayons. Artists also spruced up about 20 trash cans by painting everything from abstract patterns to coffee and doughnuts and flowers. Next up will be new benches. Whether it’s a small project or a large art installation, local leaders say anything that helps a community stand out, give

See for yourself Check out these Central Minnesota public art highlights. CROSBY-IRONTON: Miners and biker murals can be seen while heading north on Highway 210. The collage mural, blending past and present, can be seen on the outside wall of Iron Range Eatery bordering a plaza on West Main Street at Cross Avenue. The giant serpent can be seen two and a half blocks away along the shore of Serpent Lake. DELANO: A labyrinth was installed along U.S. Highway 12 near the popular Peppermint Twist ice cream stand to invite people to wander its pathways, meditate and linger in the community. SAUK CENTRE: A variety of murals liven up downtown, including chapters of the community’s history, from tribal times to pioneers and war years. A new mural at the town bandshell welcomes visitors to free summertime concerts. MILACA: The town’s playfully painted fire hydrants entice adults and kids to drive the streets in search of pop-culture characters and superheroes. BUFFALO: Inspired by similar projects in other cities, Buffalo invested in fiberglass models of buffalo, which are thematically painted and placed throughout the lakeside community. MONTICELLO: A new “shimmer wall” of art shows off sunrise at Lake Maria, which anchors a state park, and sculptures of swans, which gather along the Mississippi River in the winter. LITTLE FALLS: Visitors will find nearly two dozen trash bins throughout town that have been designed by local artists. Quirky, custom bike racks add to the unique appeal.

42 Initiative Foundation Quarterly ifound.org

it vibrancy and knit people together is pivotal, especially when it also attracts young people and economic reinvestment. “It’s not just an economic impact,” LeCuyer said, “but quality of life.”

For More Information Check out these websites for more information about public art initiatives in Central Minnesota. Central Minnesota Arts Board centralmnartsboard.org East Central Regional Arts Council ecrac.org/ Five Wings Arts Council fwac.org

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Today, 15 percent of students enrolled in Minnesota’s public schools speak a language other than English at home.

Growth among population of color in Central Minnesota The Minnesota Compass rollout of its Build Your Own data tool brings community insights to entire state.

Persons of color as segments of the total population American Indian Asian Hispanic Two or more races

Black

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25,000 20,000 15,000 10,000 5,000 0

1960

1970

1980

1990

2000

2010

2016

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One in six children in Minnesota has at least one foreign-born parent Majority of Minnesota’s children of immigrants are native born. Native born

Native children, foreign-born parent(s)

Age

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Celebrating its 10-year anniversary in 2018, Minnesota Compass is a social indicators project that measures progress in all 87 Minnesota counties. Compass tracks trends in education, economy and workforce, health, housing, public safety and a host of other topic areas. Users can view and sort data by city, county, school district, economic development region, Minnesota House and Senate districts, congressional district, ZIP Code and Census tracts. Led by Wilder Research and supported by Minnesota nonprofits, including the Initiative Foundation, Minnesota Compass is used by policymakers, business and community leaders to show trends and progress in areas that affect the quality of life for Minnesotans across all races, genders, income levels and ages. “It is used by really anybody who is interested in improving communities,” said Paul Mattessich, executive director for Wilder Research, “and they use it to develop plans, and to develop actions they are going to take and to monitor whether they are making progress and having an impact with those actions.” Try it at mncompass.org.

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PLANNING FOR THE FUTURE: Diane Wajtanowicz wants Prairie Farm and her community of Rice to thrive well into the future.

Farming the Future For Diane Wojtanowicz, a planned giving program will support the local causes and community that have shaped her life. By Gene Rebeck | Photography by Michael Schoenecker

Diane Wojtanowicz knows a great deal about maintaining a legacy. She represents the fourth-generation ownership of Prairie Farm Co. in Rice, north of St. Cloud. Her operation is one of the largest potato producers in the state; Prairie Farm also raises kidney beans and corn. It’s a legacy that Wojtanowicz wants to pass on to her six children and her home region. That’s why, about a year ago, Wojtanowicz went to visit her estate planner, attorney Lee Hanson. She was looking for ways to protect some of her assets from taxation after her death. Hanson, a principal with the St. Cloud office of Minneapolisbased law firm Gray Plant Mooty and a specialist in tax planning, had just the solution for his client. “She has a strong charitable intent, and a strong civic intent,” Hanson said. “She has served on numerous civic, business and charitable boards. She has a strong attitude about giving back to her community.” Working with his colleague Betsy Whitlatch, an associate attorney specializing in estate planning, Hanson crafted a way to

make an estate gift out of two of the individual retirement accounts (IRAs) Wojtanowicz holds. This planned giving program will provide benefits for her estate and the community she holds dear. A beneficiary contribution plan “is one of the most efficient ways to give away your IRA money,” said Hanson, an Emeritus Trustee with the Initiative Foundation. “That’s because you avoid all income taxes on your IRA, which otherwise is subject to a full ordinary income tax. So she’d lose half of this money.” What’s more, the money from those two IRAs will go to causes close to Wojtanowicz’s heart—health care and education. One of the beneficiaries is CentraCare Health Foundation, which supports educational programs, research and services where the health system operates. The beneficiary of the other IRA is the Sauk Rapids-Rice Education Foundation (SRREF). Founded in 2012, SRREF provides opportunities for all students to excel by funding projects that fall outside the district’s normal operating budget. SRREF itself has two funds: one that addresses immediate equipment needs, and another endowment designed to fund broader programs. SSREF grants have CONTINUED ON PAGE 48

46 Initiative Foundation Quarterly ifound.org

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“ Making a gift through an established retirement plan provides not only tax savings but also benefits to the community. You’re contributing to something you believe in.” supported summer garden planting, hands-on programs in science and technology and mentor connections that open students’ minds to potential career paths. It was a nonprofit Wojtanowicz knew well, having served the foundation as an officer. SSREF is one of the 100-plus Partner Funds hosted by the Initiative Foundation. These funds let families, businesses, nonprofit organizations and volunteer-led groups build endowments that can contribute to the health of their communities. In

MAKING A PLAN Sorting through planned giving options. Like Diane Wojtanowicz, donors can combine financial savvy with philanthropic generosity by partnering with the Initiative Foundation. “Making a gift through an established retirement plan provides not only tax savings but also benefits to the community,” said Mike Burton, external relations officer for the Foundation. “You’re contributing to something you believe in.”

2017, Partner Fund grants with a combined value of nearly $850,000 supported education, recreation, environmental improvements and community enhancements throughout the region. Wojtanowicz has other IRAs, and will continue to receive distributions from them during her retirement years. And, she’ll be leaving Prairie Farm Co. to the next generation of her family. Through her planned giving program, she’ll also be passing on a legacy of commitment to her community.

To create a planned giving program that best fits a donor’s wishes, potential donors and their financial advisors can benefit from becoming aware of the many ways such a program can be set up: WILL BEQUESTS AND TRANSFERS upon death are two well-known examples. But donors can also will the remaining assets of life insurance policies and retirement vehicles to nonprofits they designate. Many donors also bequeath stocks, art and real estate to charities upon their death. CHARITABLE LEAD TRUSTS use the proceeds from the donor’s assets, which are held in trust, to support one or more charities. Once the donor passes away, the remaining assets are passed on to family members or other beneficiaries. CHARITABLE REMAINDER TRUSTS can be drawn up in a couple of ways. Charitable remainder annuity trusts (CRATs) provide a fixed income stream during retirement. Upon the holder’s death, the remaining assets go to a designated charity, tax-free. A charitable remainder unitrust (CRUT) operates much the same way. The chief difference: With a CRUT, the holder’s income stream is variable, since the assets it holds are tied to the performance of the financial markets. As these examples demonstrate, “there are a number of approaches that financial advisers can connect with their clients to make these kinds of gifts,” Burton said. In Wojtanowicz’s case, she could tap into the expertise of her estate planner, St. Cloud attorney Lee Hanson, an experienced tax attorney as well as someone with whom she has served on several nonprofit boards. Nonprofits also can help donors become aware of these possibilities. They can do so directly by building relationships with people over a long stretch of time. Or they can work with a donor’s accountant, financial advisor, attorney or other professional who helps manage that person’s finances and estate. Contact a member of the Initiative Foundation’s External Relations team to discuss your planned giving options. Call (877) 632-9255 for more information.

48 Initiative Foundation Quarterly ifound.org

“It’s All God’s Work.”

Committed To Your Business. Rooted In Our Community.

101 Years of Saint Benedict’s Art Needlework Department

Haehn Museum, Art and Heritage Place Saint Benedict’s Monastery

218.822.3353

Tues. – Fri. 12 – 4 p.m. Sat. 10 a.m. – 3:30 p.m. Closed Sunday and Monday For more information, call (320) 363-7098 or visit www.sbm.osb.org.

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This exhibit features dozens of intricate pieces from the art needlework department of Saint Benedict’s Monastery, which was active for 101 years.

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FALL 2018

home made

Cowgirl Tuff Cokato, Minn.

By Maria Surma Manka

Most clothing lines don’t have groupies, but most clothing lines don’t put the commitment and quality into every piece like Cowgirl Tuff. “We name all of our jeans and some of our customers collect every one,” said Lisa Bollin, founder, CEO and director of design at the Cokato-based clothing company. A long-time barrel racer who studied fashion in college, Bollin launched Cowgirl Tuff in 1999 after she grew frustrated with the options for women’s Westernstyle clothing. Stylish yet durable, Cowgirl Tuff began with Bollin designing and printing tops at her home and selling them at barrel racing events throughout the country. Five years later, her tops were in 18 stores. Still, Bollin knew there was room to grow. “The Western jeans out there just didn’t have a good fit,” she said. “I asked my buyers about doing jeans and they discouraged me. So I did it anyway. Now it’s 85 percent of our business.” Today, Cowgirl Tuff is sold online and in 1,500 stores in the United States as well as in Australia, Canada, Brazil, France and the United Kingdom. The market is primarily female barrel racers, rodeo riders, horseback riders and Western enthusiasts. We talked with Bollin to hear what keeps Cowgirl Tuff kicking.

LISA BOLLIN: “I asked my buyers about doing jeans and they discouraged me. So I did it anyway.”

•G rowth Plan The company eventually had to move out of Bollin’s home. “We had 22 people working in our pole shed!” she laughed. “Cokato welcomed us and now we have 30,000 square feet to work in.” A gap loan from the Initiative Foundation helped bring the expansion to fruition. •P roduction Process As director of design, Bollin sketches new designs over the course of a month and her team brings them to life. Once product samples arrive, a print and digital catalog photo shoot is arranged. It’s about a year from initial sketch to product in the store. •G uys Too Cowgirl Tuff has expanded into men’s and children’s wear; Bollin’s daughter designs some of the men’s pieces and all of the children’s clothing. Fans include Brian Robison, former Minnesota Vikings’ defensive end, who wears the men’s jeans, and his wife, who is a barrel racer.

50 Initiative Foundation Quarterly ifound.org

•M innesota Made Cowgirl Tuff has 45-50 employees throughout the United States. The Cokato headquarters houses marketing, product development, human resources, finance, customer service, online, quality control and logistics. •F an Base Cowgirl Tuff boasts some loyal customers, to put it mildly. A car accident victim begged the EMTs not to cut off her Cowgirl Tuffs. Another woman in a motorcycle accident went to the hospital with injuries, but her jeans didn’t have a scratch. •N ot Just for Rodeos Cowgirl Tuff’s online business doubled in the last year and is working to attract non-Western wear customers with a Just Tuff line of jeans. “Our Just Tuff Trouser jean has a more mainstream look and it’s the fastest selling product we have,” said Bollin. “We can’t keep up with demand.” •P aying it Forward The Tuff Foundation, which donates funds to a variety of causes, including therapeutic horse rescue programs and nonprofits that support the military and their families, is embodied in its “Never Give Up” motto. “The more I’m given, the more I want to give back and inspire others,” Bollin said. “What goes around comes around.” The company donates between $12,000 and $50,000 each year.

FALL 2018

where’s IQ?

THINK YOU KNOW? Send your best guess to IQ@ifound.org by Oct. 15, 2018. Three winners will be chosen, at random, to receive a $25 credit to apply toward their favorite Initiative Foundationhosted Partner Fund. HINT: The original chapel was built in the late 1850s as a petition for relief from a grasshopper invasion that destroyed many crops. The original chapel was replaced in 1952 with the current granite chapel. Congratulations to everyone who correctly recognized the Long Prairie’s Veterans Memorial Park. Angela Bauer, Sheri Gohmann and Barbara Harrington were the lucky Spring 2018 winners of the “Where’s IQ” contest.

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