Prairie Business June 2012

June 2012

High-Tech Diagnostics Regional health care providers embrace new technology pg. 24

Rural Health Care Access in Demand pg. 28

Health Club Memberships Keep Rising pg. 30

www.prairiebizmag.com

FAMILY F AMILY Y MEDICINE Training Training g doctors, doc tors, serving ser ving patients An ew era o edical ccare are aand nd eeducation ducation iiss new off m medical aabout bout tto ob egin. begin.

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Electronic medical ensure acc uracy. P atients m ay ssoon oon sig n in ffor or ttheir heir accuracy.

Patients may sign aappointments ppointments u sing o nly ttheir heir fin gerprints. using only fingerprints.

North Dakota’s commitment to health care is evident to Dr. Jeff Hostetter, program director of the Center for Family Medicine.

N ot o nly iiss tthe he C enter b etter ffor or p atients, iit’s t’s Not only Center better patients, ggood ood ffor or rresident-physician esident-physician rrecruitment. ecruitment. Th Thee building commitment b uilding sshows hows tthe he sstate’s tate’s co mmitment tto o medical Residents more likely m edical eeducation. ducation. R esidents aare re m ore li kely practice medicine. tto o sstay tay in tthe he aarea rea aand nd p ractice m edicine.

states, es states, especially pecially n noteworthy oteworthy ggiven iven N North orth D Dakota’s akota’s sm smaller aller p population. opulation.

Th tate iiss ggrowing rowing iits ts o wn do ctors in addi tion tto o aattracting ttracting do ctors Thee sstate own doctors addition doctors ffrom rom o utside N orth D akota. outside North Dakota.

North Dakota’s commitment health N orth D akota’s co mmitment tto oh ealth ccare are iiss Thee sstate emphasizes primary eevident. vident. Th tate em phasizes p rimary ccare, are, including family medicine. has higher in cluding fa mily m edicine. IItt h as a hig her percentage off in insured patients compared p ercentage o sured p atients co mpared tto o other rated five quality o ther sstates. tates. IIt’s t’s ra ted in tthe he ttop op fi ve in q uality byy M Medicare. houses medical b edicare. IItt h ouses a m edical sschool chool aand nd more programs neighboring m ore rresidency esidency p rograms tthan han n eighboring

University of North Dakota, Grand Forks, ND

Th enter’s fa mily m edicine p hysicians en gage p atients in ttheir heir h ealth Thee C Center’s family medicine physicians engage patients health ccare are aatt eevery very sstage tage o heir li vees. Th ey eeducate ducate cchildren hildren tto o aavoid void sm oking off ttheir lives.

They smoking aand nd drugs, drugs, aand nd en courage tthem hem tto o sstay tay ac tive. Th ey inf info orm yyoung oung ad ults encourage active.

They inform adults o ns of of disease disease so so symptoms symptoms do n’t b ecome p roblems llater ater in lif life e. off sig signs don’t become problems life.

Th ey de liver b abies. F or ggeriatric eriatric p atients, tthese hese do ctors o ptimize ttheir heir They deliver babies.

For patients, doctors optimize aability bility to to stay stay home home and and healthy healthy for for as as long long as as possible. possible. Bottom Bottom line, line, ttheir heir goal goal iiss tto o kkeep eep p eople h ealthy aand nd o ut o he h ospital. Th eir people healthy out off tthe hospital.

Their de dication aand nd co mmitment tto o sservice ervice aand nd eeducation ducation w ill en sure tthe he dedication commitment will ensure sstate’s tate’s h ealth ccare are rremains emains sstrong. trong. health

1.800.CALL.UND

UND.edu

Photo courtesy of Caterpillar Inc.

North Dakota. Doing Business Better.

Caterpillar’s drivetrain remanufacturing facility in North Dakota is tripling in size and adding jobs, helping to keep Cat machinery moving worldwide.

Learn how the North Dakota Department of Commerce and companies in the state are doing business better at www.NDBusiness.com

CONTENTS

Volume 13 No. 6

6

From the Editor’s Desk

8

Matthew Mohr

9

Prairie News

14

Prairie People

16

Economic Development ‘Angels’ generating economic expansion

18

Research & Technology A place that captures the imagination

20

Finance F.E.A.T. focuses on preventing elder abuse

22

Expanding Medical Access A $1.4 million grant helps community build new dental and medical clinic

24

Cover Story: Health Care

28

Feature: Rural Medicine

30 32

High-Tech Diagnostics

Doctors in Demand

34

S.D. prepares for potential oil boom

36

Moving oil to market

Feature: Wellness Focus on Fitness

Business Development

Black Hills Bakken Conference spells out oil play — good and bad

N.D. needs more pipelines to keep pace with oil production

A new vision for Bemidji

38

Red River Valley 100 years and counting

40

Western North Dakota Help is on the way

42

South Dakota Meeting housing demands

46

By the Numbers

4 Prairie Business

June 2012

Next month Unprecedented construction is occurring in the Bakken in western North Dakota. In July Prairie Business will be doing an in-depth article on the construction industry focusing on three communities – Dickinson, Watford City and Williston. In addition, housing has become critical in the Bakken area of western North Dakota and Prairie Business will discuss the impact it is having.

On the air Join Prairie Business magazine Editor Alan Van Ormer on Thursday, June 14, at 3 p.m. on any Prairie Public radio station to hear more about health care in the region. To listen to Prairie Public, visit www.prairiepublic.org/radio/hear-it-now.

On the cover Dr. Neville Alberto, hospitalist at Sanford Health in Fargo, N.D., explains to Andrew Miller, a Sanford physician resident, how a portable ultrasound is used to diagnose patients. Alberto’s portable ultrasound is made smaller for him to carry around and has a probe that can check various parts of the body including kidneys, gall bladder, liver, heart muscles and valves in the chest, lungs, swollen knees and vessels in the neck. (Photo courtesy of Josh LeClair, Sanford Health photography)

From the editor’s desk

For daily business news visit prairiebizmag.com

An SBA Award Winning Publication

Tourism in oil country

By Alan Van Ormer he oil and gas industry is impacting everything associated with the communities and counties in western North Dakota. You can now add the tourism industry as another entity that is being impacted by the oil and gas development, according to a group of speakers during the annual North Dakota Department of Tourism Conference in Bismarck in late April. In a morning-long session on the last day of the three-day conference, different speakers provided a view of what is happening in the region and how it is impacting the tourism industry.

Just as important, what is happening in western North Dakota doesn’t seem to be slowing down visitors. Statistics are showing that tourists are continuing to flock to the state; including to the western part of the state. Since the “Legendary” brand started 10 years ago, the industry has grown by $927 million, according to research by North Dakota State University in Fargo.

During the April tourism conference, Terry Steinwand of the North Dakota Game and Fish Department said that from 1999 to 2009, the state led the nation in increased hunting licenses and was fourth in increased fishing licenses. Hunting and fishing has become a $500 million industry, according to the 2009 statistics.

Steinwand says the animal population is being impacted by the oil and gas development, but also notes that the industry is working to minimize those impacts. For example, just moving a well over a hill where bighorn sheep can’t see it has an impact because the animal doesn’t notice it is even there.

In a nutshell, the speakers point out that oil and tourism can work together. With more people coming into the Bakken that also means more visitors for attractions not only in North Dakota, but also in bordering states.

T

Mike Jacobs, Publisher Alan Van Ormer, Editor Tina Fetsch, Production Manager Beth Bohlman, Circulation Manager Jen Braaten, Marketing Manager Joe Greenwood, Multi-Media Consultant Kris Wolff, Layout Design, Ad Design SALES DIRECTOR:

John Fetsch jfetsch@prairiebizmag.com

701.212.1026 eastern ND/MN/eastern SD

SALES:

Brad Boyd bboyd@prairiebizmag.com

800.641.0683 western ND/western SD

Shelly Larson slarson@prairiebizmag.com

701.866.3628 eastern ND/western MN

EDITOR: Alan Van Ormer avanormer@prairiebizmag.com

701.371.9578

Editorial Advisors:

Dwaine Chapel, Executive Director, South Dakota State University Innovation Campus, Brookings.; Bruce Gjovig, Director, Center for Innovation; Lisa Gulland-Nelson, Communications Coordinator, Greater Fargo Moorhead EDC; Tonya Jo (T. J.) Hansen, Assistant Professor of Economics, Minnesota State University Moorhead; Dusty Johnson, Chief of Staff for South Dakota Gov. Dennis Daugaard’s office; Brekka Kramer, General Manager of Odney; Matthew Mohr, President/CEO, Dacotah Paper Company; Nancy Straw, President, West Central Initiative Prairie Business magazine is published monthly by the Grand Forks Herald and Forum Communications Company with offices at 375 2nd Avenue North, Grand Forks, ND 58203. Qualifying subscriptions are available free of charge. Back issue quantities are limited and subject to availability ($2/copy prepaid). The opinions of writers featured in Prairie Business are their own. Unsolicited manuscripts, photographs, artwork are encouraged but will not be returned without a self-addressed, stamped envelope.

Subscription requests: Free subscriptions are available online to qualified requestors at www.prairiebizmag.com.

Address corrections: Prairie Business magazine PO Box 6008 Grand Forks, ND 58206-6008 Beth Bohlman: bbohlman@prairiebizmag.com

Online: www.prairiebizmag.com 6 Prairie Business

June 2012

Price, Performance and Proven Durability

CK14/1 Pro, sound level that is less than 70 dB(A)

Answers you can trust - From people who care

800-323-7583 www.dacotahpaper.com prairiebizmag.com

7

Business Advice

Hire employees with the right answers

By Matthew Mohr

uccessful entrepreneurs are generally hardworking individuals, and often put in many hours at their place of business, and with customers.

Most business owners understand the idea of long hours and hard work. It is not unusual for business owners to work seven days a week often putting in 80 to 100 hours during the week, especially when building the enterprise. A 40-hour work week can pretty much be forgotten by a successful entrepreneur.

Our region continues to face a shortage of skilled labor and good workers. Schools today take pride in teaching interview skills to students in an effort to help the students get jobs. Most qualified human resource officers can spot a scripted interview response.

Unfortunately, what we are teaching is how to get a job, not how to work or provide valuable employment services.

One successful individual I know services an area

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that has experienced economic turmoil and business losses over the past few decades. This person puts competitors to shame simply through hard work. As I inquired about this man’s continuing success, I wondered how he developed his work ethic. He told me, “Growing up my dad taught me to look for work, not just to try to find a job.” Finding individuals willing to work extra hard is worth the effort. Few people or businesses succeed without hard work.

Most business owners will be happy to employ and will pay more for someone who works hard and puts in extra effort on the job. Having the right skill set is important, but a willingness to work hard is a bigger key to success.

When looking for employees, pay attention to those with the right answers compared with those who will make the extra effort necessary to be able to work. PB

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8 Prairie Business

June 2012

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Prairie News KRAUS-ANDERSON BUILDING CLASSROOMS IN WESTERN N.D. Kraus-Anderson Construction Co. is building 32 modular classrooms for Williston, N.D., schools in response to the oil boom townâ&#x20AC;&#x2122;s skyrocketing population growth.

The modular classrooms will be built on six acres on two separate sites: 24 modular classrooms at McVay Elementary and eight at the junior/senior high school. Construction started mid-May and is scheduled for completion this fall. The project will be funded from $3 million in emergency state funds.

GIF PROVIDING $2 MILLION FOR NDSU CENTER The Growth Initiative Fund, a community revolving loan fund managed by the Greater Fargo (N.D.) Moorhead (Minn.) Economic Development Corp., is providing $2 million to support North Dakota State Universityâ&#x20AC;&#x2122;s Center for Biopharmaceutical Research and Production.

It is a portion of $9 million that the center is receiving to construct a state-of-the-art wet lab and office space in the Batcheller Technology Center at the NDSU Research and Technology Park. The center will also use a portion of the funds to recruit top-notch talent.

WALLWORK TRUCK CENTER RECEIVES GOLD AWARD Wallwork Truck Center, in Fargo, N.D., received the Gold Award for Dealer Excellence for outstanding performance by Kenworth Dealers in the United States and Canada.

Wallwork Truck Center was among 319 truck dealers eligible for the award and is one of only six dealers to receive the award. The metrics dealers are evaluated on operational, facility strength, customer satisfaction, financial, customer truck and parts purchases and participation in helping clients finance trucks.

PEDIGREE TECHNOLOGIES IS MOVING Pedigree Technologies is moving its headquarters to the Urban Plains area of Fargo, N.D. Pedigree Technologies had been in the North Dakota State University Research and Technology Park in Fargo.

Since the commercial launch of its OneView application suite in 2009, Pedigree has more than doubled its customer base each year, with a 226 percent increase in 2011. The company provides cloud and tablet-based applications that locate, monitor and diagnose high-value assets, equipment and vehicles. prairiebizmag.com

9

Prairie News

Press releases and photos about business news and events in North Dakota, South Dakota and western Minnesota can be e-mailed to avanormer@prairiebizmag.com for consideration

MASSAGE ENVY OPENS FIRST NORTH DAKOTA LOCATION Massage Envy, a massage therapy provider, will open its first North Dakota spa in Fargo in the Shops at Town Center.

Massage Envy Spa offers both unique care treatments and rejuvenating massage therapy administered by professional estheticians and massage therapists.

The state-of-the art clinic has 11 therapy rooms.

Massage Envy Spa opened a new facility in Fargo, N.D.

FORBES NAMES NORTHWESTERN ENERGY TRUSTWORTHY COMPANY

PAULSEN MARKETING, SDCG RECEIVE NAMA HONOR

Forbes has recognized NorthWestern Corp. d/b/a NorthWestern Energy as one of America’s Most Trustworthy Companies for the second time.

Forbes identified the most transparent and trustworthy businesses that trade on American exchanges. Forbes uses an independent financial analytics company, GMIRATINGS, to conduct quantitative and qualitative analysis that looks beyond the raw data on companies’ income statements and balance sheets to assess the true quality of corporate accounting and management practices.

To create the list, GMI examines more than 8,000 companies traded on U.S. exchanges and assigns an accounting and governance risk (AGR) score quarterly to each company based on a proprietary modeling methodology.

To qualify for the roster, the 100 companies (segmented by market size) all had to have market caps of $250 million or more on March 31. Over the past four quarters, the companies must have maintained conservative or average AGR ratings, and had no amended filings with the Securities and Exchange Commission, no SEC enforcement actions, and no material restatements. They also had to rank high in GMI’s Equity Risk Ranking, which indicates a positive forecast for equity returns, and have minimal likelihood of financial distress as measured by GMI.

Paulsen Marketing Inc. and South Dakota Corn Growers Association were awarded the Best of Show in Advertising at the 2012 Best of National AgriMarketing Association Awards in Kansas City, Mo. The awards were presented during NAMA’s annual convention.

Paulsen Marketing and SDCG won Best of Show for producer- or company-funded advertising directed to consumers. The ag rules campaign included a video, a Bingo game, logo and the Amazing Corn Adventure interactive trailer. The campaign was directed to youth and school children in urban and rural areas of South Dakota.

Paulsen Marketing and SDCG also won a first place award in the category producer- or company-funded advertising campaign for the ag rules campaign that included the Amazing Corn Adventure interactive trailer and a first place award in the category producer-funded public relations program directed to ag audiences for the Amazing Corn Adventure interactive trailer.

In the Exhibits Category, Paulsen Marketing and SDCG won a merit award for the Amazing Corn Adventure interactive trailer. And in the unique print advertising category Paulsen Marketing and AgStar Financial Services ACA won a merit award for the Wheel Deal insert.

10 Prairie Business

June 2012

EIDE BAILLY RATED 10TH BEST Eide Bailly LLP was recently ranked as the nation’s 10th best accounting firm in North America for quality of life issues and prestige in Vault’s Accounting Firms Rankings: 2013 Vault Accounting 50 report, up from 11th in the 2012 report. The rankings, which can be viewed at Vault.com, are a result of Vault’s annual accounting survey.

Eide Bailly moved up to third for informal training (seventh last year), and is ranked fourth for formal training (third last year).

Eide Bailly jumped to third for business outlook (11th last year).

Conducted earlier this year, the survey asked more than 4,100 accountants of all levels to assess their peer accounting firms on a scale of 1 to 10 based on prestige (respondents were unable to rate their own employers and were asked to rate only firms with which they were familiar). Accountants were also asked to rank their own firm in various quality of life categories, including firm culture, compensation, overall satisfaction and work/life balance, among others. To calculate the Accounting 50 Ranking, Vault used a weighted formula that combines prestige and quality of life ratings.

prairiebizmag.com

11

Prairie News

Press releases and photos about business news and events in North Dakota, South Dakota and western Minnesota can be e-mailed to avanormer@prairiebizmag.com for consideration

SANFORD, MEDCENTER ONE CONSIDER MERGER Medcenter One and Sanford Health have signed a letter of intent and a memorandum of understanding and are moving forward with merger discussions.

Both agreements are nonbinding, but the organizations are sharing financial, legal and business information and preparing regulatory filings with the North Dakota attorney general’s office and the Federal Trade Commission.

Medcenter One is based in Bismarck, N.D., and Sanford is headquartered in Fargo, N.D., and Sioux Falls, S.D.

Sanford Health and Medcenter One are one step closer to a possible merger. (Photo courtesy of Medcenter One)

SANFORD RECEIVES BREAST CARE DESIGNATION Sanford Breast Health Institute has been granted a designation by the National Accreditation Program for Breast Centers, a program administered by the American College of Surgeons. Sanford Breast Health Institute met all 27 standards to receive NAPBC accreditation.

The NAPBC is a consortium of professional organizations dedicated to the improvement of the quality of care and monitoring of outcomes of patients with diseases of the breast. This mission is pursued through standard-setting, scientific validation, and patient and professional education.

NAPBC accreditation is only given to those centers that have voluntarily committed to provide the highest level of quality breast care and that undergo a rigorous evaluation process and review of their performance. The standards include proficiency in center leadership, clinical management, research, community outreach, professional education and quality improvement. A breast center that achieves NAPBC accreditation has demonstrated a firm commitment to offer its patients every significant advantage in their battle against breast disease.

12 Prairie Business

June 2012

FINANCIAL EDUCATION, MENTORING SUPPORT FOR NEW AND ASPIRING ENTREPRENEURS The Federal Deposit Insurance Corp. and U.S. Small Business Administration are providing new resources to support small businesses across the nation. Acting chairman Martin Gruenberg and SBAs associate administrator for entrepreneurial development Michael Chodos released Money Smart for Small Business, a training curriculum for new and aspiring business owners.

Developed in partnership between both agencies, this curriculum is the latest offering in the FDIC’s award-winning Money Smart program.

Money Smart for Small Business provides an introduction to day-to-day business organization and planning and is written for entrepreneurs with limited or no prior formal business training. It offers practical information that can be applied immediately, while also preparing participants for more advanced training. FDIC and SBA will form a training alliance for organizations that support small businesses through training, technical assistance or mentoring.

BOBCAT EXPANDING IN N.D. Bobcat Co. officials plan to create about 50 new positions for engineers and other professionals who will perform product research and development from a new Innovation Center in Bismarck, N.D. Through its partner, Menlo Worldwide Logistics, Bobcat also plans to add as many as 150 additional jobs at its Bismarck Manufacturing Support Center to expand production of the company’s compact attachments.

Work will begin on the Innovation Center in 2012 and construction will be completed by 2014. Bobcat’s transition to produce compact attachments in Bismarck will be completed in 2012.

Bobcat’s expansion plans would bring the company’s Bismarck workforce to more than 200 employees, with another 300 workers employed by Menlo. Headquartered in West Fargo, Bobcat employs about 1,850 people in North Dakota.

S.D. DROPS REDI FUND RATE Gov. Dennis Daugaard says the 3 percent interest rate on new loans from South Dakota’s Revolving Economic Development & Initiative Fund is dropping to 2 percent.

The REDI Fund was created in 1987 under former Gov. George Mickelson to diversify South Dakota’s economy, increase capital investment and create stable jobs. The loan program is available to start-up firms, businesses that are expanding or relocating and local South Dakota economic development corporations.

The Daugaard administration says the program has created more than 30,000 jobs through 2011.

DONAN ENGINEERING OPENING FARGO OFFICE Donan Engineering Co. is opening an office in Fargo, N.D., and will begin offering forensic investigative services.

Donan Engineering offers consumers a single source for forensic engineering investigations and fire origin and cause investigations. The firm offers an array of services including structural engineering investigations, fire and explosion origin and cause investigations, roofing investigations and component testing.

SCHOOL OF MINES NAMED TOP GREEN COLLEGE The South Dakota School of Mines and Technology in Rapid City is one of the most environmentally responsible universities in the United States and Canada, according to The Princeton Review’s new list of top “Green Colleges.”

The Princeton Review’s Guide to 322 Green Colleges: 2012 Edition selected institutions based on a survey of administrators at 768 universities and colleges. The School of Mines was the only university in South Dakota to be recognized.

Two new academic buildings on the School of Mines campus are Leadership in Energy and Environmental Design (LEED) gold certified, with one more building renovation project in the LEED certification process.

prairiebizmag.com

13

Prairie People

Please e-mail photos and press release announcements of hirings, promotions, awards and distinctions received by business leaders in North Dakota, South Dakota and western Minnesota to avanormer@prairiebizmag.com for consideration.

BCBSND HIRES INVESTIGATOR

SHAUNA VISTAD

Shauna Vistad has joined Blue Cross Blue Shield of North Dakota in Fargo, N.D., as the manager of the special investigations unit in the Compliance, Audit and Corporate Ethics division.

Vistad develops and manages the unit and leads efforts to investigate fraud and abuse. BCBSND’s special investigations unit is tasked with detecting, investigating and preventing fraud and abuse in member and provider claims and billing. She previously worked as accounting supervisor for Sanford Health in Fargo, where she managed capital budgets for all of Sanford’s northern region entities.

ACKERMAN-ESTVOLD HIRES PROJECT ENGINEER

SUNIL JEBOO

HORIZON APPOINTS IT DIRECTOR

JUSTIN PALMQUIST

ROXANNE HEJHAL

14 Prairie Business

Horizon Health Care Inc. in Howard, S.D., has appointed Justin Palmquist as director of information technology (IT).

In his new role, Palmquist will be responsible for aspects of Horizon’s IT management and control including supervision of IT employees, assistance with budget preparation and recommendations for technical acquisitions and assisting with development of policies and procedures.

Sunil Jeboo has been hired as a project engineer for Ackerman-Estvold Engineering and Management Consulting Inc. in Minot, N.D. Jeboo’s expertise is construction engineering. He was the project manager and designed a 110-mile road construction project through the Kaieteur National Park in Guyana, South America. He holds a bachelor’s degree in civil engineering from the Georgia Institute of Technology in Atlanta.

GOETTLE TO LEAD ODNEY’S PUBLIC AFFAIRS DEPARTMENT Shane Goettle, former North Dakota Department of Commerce commissioner, will head up Odney’s newly formed public affairs department.

Goettle will merge Odney’s new capabilities in government relations with grassroots, media relations, campaign and public relations services to create a fullservice public affairs organization.

SHANE GOETTLE

LAKEWOOD HEALTH SYSTEM HAS NEW DIRECTOR

INTELLIGENT INSITES ADDS BOARD DIRECTOR

Roxanne Hejhal is the new director of education and occupational health for Lakewood Health System in Staples, Minn.

Hejhal received her bachelor’s degree in organizational behavior from The College of St. Scholastica in Duluth, Minn., and her master’s from the University of Mary in Bismarck, N.D. She has held a variety of different positions in health care, most recently as service excellence and organizational effectiveness consultant with Altru Health System in Grand Forks, N.D. Hejhal has had more than a decade of management and leadership experience in communications, education programming and organizational development.

David O’Hara has been appointed to the board of directors of Intelligent InSites Inc., a provider of enterprise real-time location systems software helping hospitals improve patient care and increase health care efficiency.

O’Hara is the chief operating officer for Microsoft Advertising, which is the business platform that monetizes the Microsoft Advertising brand, generating more than $4 billion in revenue annually. His team is responsible for the operations of the business, data analysis and insights, business development and partnerships and collaboration with the field sales force. The team is also engaged in driving decisions on long-term strategy and opportunities.

June 2012

DAVID O’HARA

prairiebizmag.com

15

Economic Development

‘Angels’ generating economic expansion

By Harold Stanislawski

he economy of west central Minnesota and quite frankly all of the state of Minnesota is improving. Manufacturing jobs are on the mend and growing and consumer spending is up. It appears our region is not only in an economic recovery mode, but is actually in an economic expansion mode. This was emphasized recently when Toby Madden, a regional economist in the public affairs department at the Federal Reserve Bank of Minneapolis, visited Fergus Falls, Minn., and gave an upbeat talk that showed data verifying that, indeed, we are in a time of economic expansion.

Part of the economic expansion is being generated by new sources of wealth creation.

Many start-up and early-stage companies in Minnesota are on the move. In fact, a recent Minnesota Angel Tax Credit program summary shows the following data regarding Minnesota Angel Tax Credit Activity:

T

BUSINESSES ■ 288 businesses were certified in 2010 to 2011.

■ Investments were made in 180 companies in 2010 to 2011.

INVESTORS: ■ 623 investors were certified in 2010 to 2011.

■ 821 investors made investments in 2010 to 2011.

INVESTMENTS: ■ $91 million in investments were made pursuant to the program in 2010 to 2011.

Of the investors who used the Minnesota Angel Tax Credit, 530 investors or 71 percent

16 Prairie Business

June 2012

were from Minnesota and 217 or 29 percent of the investors were non-Minnesotans.

In 2011, the companies that received investments were 11 in biotechnology, 26 in software, five in electronic instrumentation, 29 in medical devices and equipment, 11 in clean technology, five in consumer products and services, eight in healthcare services, six in internet/web services, three in food, six in information technology services and three in other industries. A total of 113 companies received investments in 2011.

The Minnesota Angel Tax Credit program allows the following and is proving to be an excellent tool in the economic enhancement toolbox for the state and region.

KEY FEATURES: ■ 25 percent tax credit for investments in small emerging businesses.

■ Program funding of 12 million in credits annually from 2011 to 2014.

■ A state refund if credits exceed tax liability.

To learn more about the Minnesota Angel Tax Credit program go to: www.PositivilyMinnesota.com/angelcredit.

Activity for new companies is high in Minnesota. Our region is reviewing deals monthly and the preparedness of the companies certified by the Minnesota angel network is impressive.

Stay positive — Minnesota businesses and entrepreneurs are on the move. PB Harold Stanislawski is executive director of the Fergus Falls Economic Improvement Commission.

Reach him at harold.stanislawski@ci.fergusfalls.mn.us or call 218-332-5428.

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- Mike Hammerberg, retired Cooperstown, N.D., educator.

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17

Research & Technology

A place that captures the imagination

By Dwaine Chapel

hat can be accomplished through the development of an individual’s imagination? The imagination is powerful. Two visionary individuals captured the true definition of innovation.

Walt Disney said, “It is fun to work on the impossible.” He created an empire based on turning imagination into reality. Albert Einstein eloquently stated, “Imagination is more important than knowledge. Knowledge is limited.

Imagination encircles the world.” He embraced the mysteries of science.

In the same way, universities provide an excellent avenue to develop the mind and create an atmosphere where the imagination can be researched, developed and commercialized.

In 2004, a partnership involving several South Dakota entities including South Dakota State University, the city of Brookings, the Board of Regents, Brookings County commissioners, the Governor’s Office of Economic Development, Brookings Economic Development Corp. and private business leaders throughout the community and region came together to design a place to enhance and develop the imagination. In 2006, the Growth Partnership was formed as the governing body to create and oversee the campus and park. Since that early dream was penned to paper, more than 40,000 square feet has been developed and is now available to capture the imagination.

The Innovation Campus provides an opportunity for researchers from the university and private sector to develop and commercialize unique innovative ideas. The campus encourages fresh and exhilarating thought processes. It is a place where science, art, theory and business practitioners can collaborate to create and explore new ideas.

The innovation campus concept offers collaborative opportunities and amenities.

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Business development tools such as a mentoring program and a business advisory board are being created to provide industry insight. Access to service professionals is essential to a new business. The facility is home to a certified public accountant and an intellectual property law firm and many other tenants. Partnerships exist between the Enterprise Institute, which offers angel investors and business plan development, and the S.D. Small Business Development Corp., which offers financial development assistance.

The research park provides cost-effective land lease opportunities to facilitate brick and mortar growth to enhance further research and development. The park is conveniently located next door to the SDSU campus. The leadership of university president, David Chicoine, the city council, the county commission, Brookings Economic Development Corp. and the Growth Partnership will continue to work on expanding and recruiting businesses to the campus, the community and the research park.

The park currently has a 15,000-square-foot building available for “build-to-suit” research and development space. The shell of the building has been completed and suggested plans are available for review and discussion. The park offers more than 5 million square feet of land for facility build out.

The research park is a local, regional and national economic development engine. It provides unique business growth development through research, utilizing the talent provided by the university. It is a place where innovation and research discoveries can be commercialized and marketed. This process creates job growth and wealth enhancement for our ever-changing economy. PB Dwaine Chapel is executive director of SDSU Innovation Campus. Reach him at dwaine.chapel@sdstate.edu or 605-696-5600.

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19

Finance

F.E.A.T. focuses on preventing elder abuse

By Rick Clayburgh

tatistics from the U.S. Census indicate that the population of older Americans (65 years and over) is expected to at least double from 2000 to more than 72 million by 2030. Something you may not know is that North Dakota has the highest proportion of elderly — 85 and over — in the nation. Elder financial exploitation is growing and becoming a significant problem affecting thousands of North Dakotans. It is being called the “crime of the 21st century.” It is the least understood of all crimes and has been called the silent crime because 90 percent of elder abuse is perpetrated by family members. There is a great amount of embarrassment and shame with this crime because losing control of personal finances can be devastating.

The North Dakota Bankers Association listened to the concerns of its member banks and partnered with Guardian Protective Services to develop a free training program to give bank employees the necessary tools to recognize elder fraud and exploitation. The program is called Financial Exploitation Awareness Training. Bank frontline employees are in a unique position to most likely be the first to witness a financial crime being committed. Education is the best weapon against elderly financial abuse. We see F.E.A.T. as a proactive approach to help prevent fraud.

Employees also learn how to report a suspicious activity without breaching the rules regarding their duty of confidentiality.

Along with training bank employees, NDBA

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and Guardian Protective Services have also been holding one-hour seminars for seniors.

Banks across North Dakota are hosting the events. Julie Dolbec, NDBA, and Judy Vetter, Guardian Protective Services, interact with the participants and show them how to take steps to protect themselves and not fall victim to elder abuse. During the seminars, one of the most important lessons seniors learn is that they are not alone. It is amazing to listen as seniors begin to share specific scams they have experienced and talk about how they are trying to protect themselves. The prevailing theme of the seminar is “trust your banker.” It is rewarding to visit with and reassure them that their banker is always there to help them.

The response to the F.E.A.T. program has been incredible. On-site training began in fall 2011 and more than 1,200 bank employees have received the training and more than 1,000 seniors have attended a bank-sponsored seminar. Each seminar reaffirms the importance of building awareness to the rapid growth of fraud and financial crime.

The mission of the NDBA is to provide “extraordinary leadership for North Dakota banks.” We hope that bringing awareness to our banks about this silent crime and providing helpful tools, that together we can make a difference. People need to know they are not alone and that there is help. PB Rick Clayburgh is president and CEO of the North Dakota Bankers Association. Reach him at rick@ndba.com or 701-223-5303.

Expanding medical access $1.4 million grant helps community build new dental and medical clinic

By Kristi Atkinson

orizon Health Care Inc. will receive a $1.4 million federal grant to build a new dental and medical clinic in De Smet, S.D. The community health center — which plans to build a new clinic to further expand access to affordable, high-quality dental and medical care — currently occupies space that the local hospital plans to use. With just two small dental exam rooms located within Horizon medical clinic and a need for access to dental care, dental appointment availability is currently six to eight weeks out. The grant will help Horizon build the new facility, serve more patients and improve access to dental care in De Smet and the surrounding communities. ”This grant will help us to continue to provide close-to-home access to preventive dental care in a cost effective setting,” says John Mengenhausen, Horizon CEO. “It will expand our ability to provide high-quality care as well as create jobs in the De Smet community.”

The new De Smet Community Health Center, set to break ground in August, will be located at the northeast corner of Wilder Pass and Prairie Avenue.

Horizon is developing plans for the 9,000-square-foot clinic that will be designed to complement the look and feel of the Wilder Pass neighborhood. The tentative design includes six dental operatories, six medical exam rooms, office space, reception and ample waiting room. One of the operatories will be fully handicap accessible, allowing Horizon to serve the needs of patients with all abilities. ”Working out of our current location really restricts the opportunity for us to see more patients,” says Horizon’s De Smet Dental Clinic provider Alicia Adkins. “Serving my community is very important to me and in the new clinic we’ll be able to provide patients with quality, timely dental care with an even higher level of service.”

Horizon plans on recruiting for an additional dentist, as well as pursuing further involvement and partnerships with dental students. The economic impact of the new community health center will

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result in four new jobs, growing the organization’s De Smet staff to 20 full-time positions.

The grant funding will help Horizon address the growing need for dental access in South Dakota. The access problem is driven by multiple factors, including a shortage of dentists and the fact that many dentists do not accept Medicaid-enrolled children.

Community health centers are helping address this problem by providing primary and preventive care to populations in areas with provider shortages. Using a patient-centered model of care that considers behavioral, dental and medical health care needs also lowers health care costs by reducing the frequency of expensive specialty or emergency room visits.

According to the U.S. Department of Agriculture’s Economic Research Service, with more than half of South Dakotans living in rural areas, the delivery of health services to rural and medically underserved communities is critical to the overall health and wellbeing of South Dakota residents.

The grant is part of a series of capital investments that are made available to community health centers under the Affordable Care Act, which provides $9.5 billion to expand services over five years and $1.5 billion to support major construction and renovation projects at community health centers.

For more than 35 years, Horizon, headquartered in Howard, S.D., has been providing personalized, affordable, high-quality medical, dental and mental health care through a rural, community-based network in South Dakota. Horizon is a Federally Qualified Health Center that serves the medical, dental and mental health care needs of South Dakotans in rural, medically underserved areas through 75,000 patient visits annually in 17 community health centers in: Bryant, De Smet, Howard, Huron, Lake Preston, Martin, Mission, Plankinton, Springfield, Wessington Springs, White River and Woonsocket. PB Kristi Atkinson is the marketing coordinator for Horizon Health Care Inc. Reach her at katkinson@horizonhealthcare.org or call 605-539-1778.

Health Care

Sanford Health medical student Eric Schommer tests the portable ultrasound on another medical student, Nick Adams. The portable ultrasound is a new devise that can diagnose patients. (Photo courtesy of Michael K. Smith, Sanford Health photography)

High-Tech Diagnostics Doctors use technology to better diagnose and treat illnesses in a less invasive manner

By Alan Van Ormer

ARGO, N.D. — Instead of a stethoscope, Dr. Neville Alberto, Sanford Health hospitalist in Fargo, N.D., has a portable ultrasound draped around his neck, something he has been using for more than a year to diagnose patient’s medical illnesses.

Alberto’s portable ultrasound is made smaller for him to carry around and has a probe that can check various parts of the body including kidneys, gall bladder, liver, heart muscles and valves in the chest, lungs, swollen knees and vessels in the neck.

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In the past, if a person had abdominal pain you put your hand on the area and suspect what is wrong, he says. “With a portable ultrasound, in less than a minute you can pick up the ailment,” he says. “This technology is about bringing care to the bedside, providing care much faster, defining thoughts much faster and then going to the next step quicker.”

The portable ultrasound is one new piece of technology that is being used to help diagnose medical illnesses.

Dr. Dick Marsden, senior executive vice president for Sanford

Health clinics in Fargo, who is in charge of day-to-day operations, says the goal of new technology is to better diagnose medical issues using noninvasive techniques.

“It is about a noninvasive approach to making a diagnosis work and allowing subsequent treatment to be tailored directly to the process,” he says. “From the patient’s perspective it eliminates significant guesswork. Over the long haul it prevents unnecessary surgeries and really gets you to the right spot at the right time.”

Dr. Tim Mahoney, clinical chief, general and vascular surgery at Essentia Health in Fargo, says medicine is continually moving forward in diagnostic evaluations. Patients with pain or discomfort require a diagnosis including what type of treatment is needed. Therapeutically, pain can be treated by an operation, radiation therapy or chemotherapy. “Most of the time patients’ desire treatment with the least amount of pain, the least amount of bother and what feels [mentally] comfortable to them,” he says. “We have seen huge gains in the diagnostic field with better equipment.”

A CLEARER PICTURE Essentia Health continues to add new diagnostic equipment to better diagnose medical problems, including a highly efficient magnetic resonance imaging (MRI) machine. This MRI provides more detail through crisp, clearer pictures that, for example, show in-depth ligament tears to knees or shoulders, and can be used for breast biopsies and breast imaging for younger patients with a history of breast cancer in the family.

Essentia Health has two GE logiqE9 ultrasounds. At one time ultrasounds were done only in 2-D. With the E9, all images can be seen in either 3-D or 4-D. This provides superior image quality and detailed information for all exams. Equipment is efficient, user friendly and ergonomically correct. Detection of problems is clearer and more accurate.

Five years ago, Essentia added a 64-slice cat scan (CS). A 4slice cat scan can take 30 to 45 minutes for a diagnosis. It takes five minutes with the 64-slice CS. This machine provides a faster diagnosis and is a noninvasive exam. Scans show all the vessels in the heart, neck, head and lower legs, which assists in the diagnosis of cardiac, vascular and lung disease and cancer.

Digital diagnostics (once called x-ray) is much faster, provides clearer images, has a lower radiation dosage and provides better detail. Patients are in and out in a short period of time.

“Diagnosis is much easier and more accurate than before,” Mahoney says. “We can get so much more information.”

Dr. Colleen Swank, the medical director of primary care for Altru Health System in Grand Forks, N.D., who has been a pediatrician for 12 years, says there are now easier ways to detect childhood illnesses and diseases. For example, when babies are born doctors evaluate for genetic or congenital diseases that if diagnosed and treated early can improve the health of the infant.

Detecting congenital hypothyroidism is one example — if missed for several months a cognitive disability would occur.

Health care systems also have more resources, says Altru Health System chief operating officer Brad Wehe. “The team is larger. The team is more specialized,” he says. “From a patient’s perspective, they can come in and have a much broader team of specialists and tools available for them. We are very integrated; all under one roof working together.”

Altru Health System has acquired four buildings on the south end of Grand Forks to complement its Columbia Road Medical Park. In addition, the health system has a medical residency practice on the University of North Dakota campus and the

health care system is leasing 12,000 square feet in a new wellness center, which is currently under construction.

ANALOG TO DIGITAL In June 2011, Rapid City (S.D.) Regional Hospital installed a digital mammography unit to detect breast issues. It allowed the hospital to move from an analog concept to a digital concept, as well as display more images on a computer.

“It allows us to provide better detection for our patients,” says Tami Andersh, mammography technologist at the hospital. “We can transmit the images across the network, print the images or provide access to our local providers.”

“Digital technology is the best technology out there offered for mammograms,” says Jayne DeCastro, supervisor in medical imaging for Rapid City Regional Hospital.

Digital mammography units do a better job of imaging dense breast matter, as well as allowing radiologists to enlarge the image on the computer to get a better look, Andersh notes. “We’re able to get faster images and accurate findings that may not be picked up as easily,” she says. “A computer image is a different way of looking at things.”

The technology, which can provide an overall view of the entire breast, as well as the chest walls, is mainly used for routine screens.

“It makes our job easier when you can look at the images and get a better idea of what is happening,” Andersh says.

Dr. Richard Keim, who works in internal medicine at Queen City Regional Medical Clinic in Spearfish, S.D., says the facilities’ bone density test (DXA) is a radiological test that uses low (continues on page 26)

Dr. Tom Larson utilizes imaging technology to visualize procedural sites via monitors in the Interventional Radiology Suite at Lake Region Healthcare in Fergus Falls, Minn.

(Photo courtesy of Lake Region Healthcare)

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Health Care (continues from page 25)

radiation to evaluate the bone density in the spine, hips or forearm. It is a high technology component that allows physicians to calculate how much calcium is in the bone at a specific spot.

The majority of patients that benefit from use of the bone density test are females 65 or older, but the test is also used for those who take steroids or seizure medication, smoke or consume a high amount of alcohol.

“The whole goal is to identify patients at risk for a fracture and provide appropriate help before the bone fractures to avoid all the complications that go with the fracture,” Keim says.

Keim says statistics show that 25 percent of people who have a hip fracture die within a year and 50 percent have permanent immobility.

Larry Schulz, president and CEO of Lake Region Healthcare in Fergus Falls, Minn., says new technology is important because the sooner we catch the disease or find out what the disease is, the sooner we can get better control of it.

“New advances are taking place and being introduced all the time,” he says. “It is hard to envision what all the changes will be coming in the future.”

Continuing education is crucial as new technologies are developed and studies are conducted. At Lake Region Healthcare, groups of physicians meet regularly to review medical journal articles and talk about what’s new in the medical field. “We also have medical grand rounds where

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physicians discuss the latest in a particular disease or modality to treat a disease,” Schulz explains.

One challenge is the ongoing debate about the efficacy of different tests, Schulz notes. “We may have something that can help diagnose disease sooner, but the insurers and the government may be looking to see if it is worth the cost based on the number of people it would benefit,” he says.

For smaller health care systems such as Lakewood Health System in Staples, Minn., it boils down to quality and finances.

“If something comes available we will identify if we can or should offer it,” says Tim Rice, president and CEO of Lakewood Healthcare System, which serves people in a 20mile radius around the Staples community in north central Minnesota. “We really rely on our departments to be aware of new technologies. Once they are identified, it is important to analyze if you can provide it effectively and financially if it makes sense.”

Like Lake Region Healthcare, education is a key component for Lakewood Health System. “Benchmarking with each other and attending conferences is how you learn about these things,” Rice says.

Prioritizing is also a key for smaller health care facilities.

“Our focus is on quality and service,” Rice says. “Our physicians are very conscious about not asking for things just because they want them. If they ask for a new technology, it is because it will make a difference to the patient.” PB

Rural Medicine

Agencies and organizations are working with rural health care facilities to improve performance and help meet rural health care needs.

(Photo courtesy of Center for Rural Health)

Doctors in Demand Organizations continue efforts to improve access to health care in rural areas

By Alan Van Ormer

n rural areas, the need for family physicians continues to put pressure on smaller communities, and health care networks are finding it increasingly difficult to find physicians to work in rural areas.

In Minnesota, there is a shortage of primary care professionals. There are also shortages of mental health care professionals, dental care specialists (especially for those who can’t afford dental services) and a lack of funding has created a risk of closure for some facilities in the state, says Judith Neppel, executive director of the Minnesota Rural Health Association.

In North Dakota, there are 2.13 physicians per 1,000 people, while nationally there are 2.57 physicians per 1,000.

Also, in urban areas of North Dakota there are 3.25 physicians per 1,000, while in isolated rural areas there are 0.50 physicians per 1,000, says Brad Gibbens, deputy director of the Center for Rural Health and assistant professor at the University of North Dakota School of Medicine and Health Science in Grand Forks, adding that most isolated rural areas make up 27 percent of the state’s population but have only 6 percent of the state’s physicians.

“There is a greater need for physicians in rural areas, and certainly this is true for rural North Dakota,” he says.

The Center for Rural Health is just one organization

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that assists the rural communities in North Dakota.

In Pierre, the South Dakota Office of Rural Health focuses on the delivery of health services to rural communities, emphasizing access while working primarily at the local level.

In Minnesota, the Minnesota Rural Health Association, headquartered on the University of Minnesota campus in Crookston, focuses on advocacy around rural health issues at the state and national level, and education.

The Center for Rural Health also works on the state and national level. In North Dakota, the center works with rural communities and health organizations to help improve their performance and ability to meet local health needs. At the national level, the center focuses on health services research and information dissemination.

All three organizations provide help in finding physicians.

MAKING A DIFFERENCE For example, The Center for Rural Health, through the Medicare Rural Hospital Flexibility Program (a federally supported program to assist critical access hospitals) provides almost $275,000 each year to critical hospitals for developing and expanding services, improving quality of care, and staffing and networking development. In

“In working with rural communities, I’ve always been impressed with the commitment people have to their community and the quality of the ideas of those who live in rural North Dakota. The solutions to whatever rural health issues or problems, come from the communities.”

- Brad Gibbens, deputy director, Center for Rural Health

addition, as much as $1 million is used from federal funding and private sources to assist rural communities in service development, health information technology, quality improvement and education and training.

“We definitely help and we do make a difference,” Gibbens says. “In working with rural communities, I’ve always been impressed with the commitment people have to their community and the quality of the ideas of those who live in rural North Dakota. The solutions to whatever rural health issues or problems, come from the communities. We try to provide additional resources and help build their capacity.”

A major program the South Dakota Office of Rural Health spearheads is the South Dakota Healthcare Workforce Center.

The center works to assure a competent and qualified future health care workforce in the state. From 2008 to 2018, the Department of Labor predicts a 13.1 percent increase in the number of family and general practitioners and 16.7 percent increase in the number of internists needed in South Dakota.

“Workforce is one of the greatest needs in South Dakota because of an aging population,” says Sandra Durick, administrator for the South Dakota Office of Rural Health, adding that providing medical services to rural areas is important because it helps with rural health infrastructure.

“Rural health infrastructure is key to having vibrant economies in rural areas. We do our best to help with rural health care needs.”

The MRHA provides monthly cyber conference programs discussing topics of interest throughout the region. As many as 65 rural health professionals are involved in the cyber conference events. There are discussions on electronic medical records, recruitment and retention of health professionals and cross training across multiple professions.

Brad Schipper, executive vice president of the Sanford Health Network in the Sioux Falls, S.D., area, adds that physicians are looking to have a family work life balance in covering emergency rooms. He adds that the increased complexion of regulatons is also adding challenges.

Gordon Larson, CEO of Sanford Aberdeen Medical Center in South Dakota, says that an important factor is allowing patients to continue health care close to home. In order to do that, health care networks are implementing telemedicine opportunities to assist a local physician with expertise from other specialists in different parts of the region.

“The Sanford One Chart allows a patient’s electronic medical chart to be available for any clinician to share and consult with others,” Larson says.

Neppel agrees that telehealth is a big help to rural areas. “It continues to expand and now has made it possible for specialized needs, including psychiatry, which is in short supply and large demand in rural areas,” Neppel says.

In addition, Neppel notes that the first dental therapist is going into practice in rural Minnesota. “A dental therapist is a substitute for the short supply of dentists in the state,” she says.

GRASS ROOTS APPROACH Many health care networks determine needs in rural communities by listening to patients and physicians in the community. “Obviously we look at trends and we look at geographics,” Schipper says. “We also look at the community and what the community desires and combine them to come up with a plan that is doable and makes sense.”

Gibbens, who has been involved in rural health for 28 years, is seeing changes. For example, rural health care providers are more willing to work with other providers and other types of networks. Rural hospitals collaborate with each other in networks and with the larger urban hospitals. The Critical Access Hospital Quality Network, for example, while focused on the needs of rural hospitals has participation from the urban hospitals. Rural hospitals and public health are working together to address local health needs. In addition, he is seeing an increase in willingness of rural North Dakota to support rural hospitals.

When the Center for Rural Health conducted surveys in 2005, 2008 and 2011 two specific issues showed a growing support for rural health care facilities. First, an increase in the use of local sales tax or property taxes for rural hospitals. In 2008, 25 percent of the critical access hospitals had local tax support, while now 40 percent have local support. In addition, rural citizens are willing to make donations to local health entities. In 2008, less than 50 percent of the critical access hospitals had a local hospital foundation. Today, that number is 75 percent.

Neppel notes that MRHA is also consistently addressing the state legislature to let them know that rural economic development is critical to the longevity of rural communities, as well as pushing for better long-term care funding.

“We help by increasing the awareness of critical and new health issues around reform so people have a better understanding of what others are doing so they might improve the service they are providing,” Neppel says. “Access to good health care is essential to a good way of life.” PB prairiebizmag.com

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Wellness

Exercise is becoming a habit for people in the region and has led to an increase in wellness center memberships. (Photo courtesy of Family Wellness LLC in Fargo, N.D.)

Focus on Fitness Membership in wellness and health centers keeps rising

By Alan Van Ormer hen the Family Wellness Center opened in Fargo, N.D., in October there were 576 memberships and 1,400 members. As of May 1, that number has increased to more than 3,000 membership units and 7,500 members. In addition, more than 20 percent of the members went directly to an annual membership.

“There is a movement of more people wanting to focus on wellness and fitness in their lives,” says Jenna Johnson, director of Family Wellness LLC, a partnership between Sanford Health and the YMCA of Cass and Clay Counties that operates Fargo’s Family Wellness Center. “The fact that people want to jump in and continue shows that this is working.”

In 2010, results of a Grand Forks (N.D.) Park District inhouse survey showed that 30 percent of the Fargo’s population belonged to health centers, 28 percent in Bismarck, 25 percent in Dickinson, 22 percent in Minot and 12 percent in Grand Forks.

John Staley, director of the Grand Forks Park District, says that they have not repeated that survey, but he thinks that if a survey were conducted today the numbers would show an

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increase of those participating in fitness activities.

Brad Wehe, chief operating officer for Altru Health System in Grand Forks, N.D., says historically, wellness centers are built on the premise of having a healthy community. “A wellness center becomes a one-stop shop for all aspects of wellness including mental, emotional, physical, spiritual and all-well being,” he says. “We need to bring all these collaborations to exist and bring the strength of multiple partners together for the best programming possible.”

Many wellness centers provide different resources to help people get and stay in shape.

There are different body fitness enhancement tools such as swimming pools for aquatic therapy to muscle strengthening equipment to cardio enhancement equipment.

The Family Wellness Center has 80,000 square feet, which is larger than most facilities in the communities around the region. Those interested in exercising find the facility inviting because of its windows and lights, which make it seem like they are exercising outside.

Johnson says she is seeing a different brand of people

exercising. Before it was only those who were fit that went to the gym. “We saw that at the beginning,” she notes. “In the past six months, more elderly, families and overweight people are here.”

RECRUITMENT AND RETENTION An important goal is recruiting and retaining participants.

“The variety of equipment provides the fitness trainers the ability to create programs to make it fun and enticing for the members to stay members, enabling them to peruse tangible fitness facilitates the goal,” Staley says. “Also, rooms that facilitate social programming are important to, again, attract and retain members. The ‘everybody knows your name’ motto is so important in creating an attractive facility for folks who seek a feeling of home or sense of community in a somewhat increasingly dehumanizing society.”

The Grand Forks Park District is developing Choice Health & Fitness. The $23 million facility, owned and operated by the Grand Forks Park District, is slated to open in 2012. The facility is the centerpiece to the new Altru Wellness Village located in south Grand Forks. More than 300 area businesses and individuals have provided monetary support for the project.

Altru Health System is one of those providing support.

Wehe says that maintaining a healthy lifestyle has a huge impact on people’s health and well-being. “One of the reasons for premature deaths is lifestyle habits,” he says. “Many are controllable — smoking, stress, safety and high blood pressure. A wellness center becomes a hub with a huge toolbox of equipment, people and programs to get us on the right track and keep us there.”

In Dickinson, the West River Community Center is a 64,000-square-foot facility that serves more than 7,100 members. When the center opened in 2004 there were 4,200 members. It is not only a wellness center, but is also used as a community center.

The center offers water aerobics, weight classes, indoor leisure and lap pool, basketball courts, tennis courts and an indoor golf simulator room. The community center targets different interests and different ages to keep people active.

There are also different classes available that include aerobics, water aerobics, a lazy river pool for therapy, pickle ball program for elderly (a slower game of tennis) and Silver Sneaker classes.

Matt Mack, facility operations manager for West River Community Center, says having a recreational center provides people additional things to do. “The building is dedicated directly to wellness and recreational activities you wouldn’t be able to do in a community this size.” Dickinson has a population of more than 22,000 people.

Many of the people who work at wellness centers are athletes or are interested in working in the sports field, have exercise science background and have expertise with exercise machines in the facilities.

“This helps those using the wellness center because the employees are able to guide them through the workout,” Mack says. “If they need more, they can refer people to a personal training service.”

WELLNESS INCENTIVES Many companies offer incentive programs for their employees to use wellness centers.

“The conversation regarding the importance and prominence of health management programs has really changed in the last two to five years,” says Mike Carlson, manager of wellness services for Blue Cross Blue Shield of North Dakota in Fargo. “Gone are the days where we would be talking with employer groups on why they should be implementing health management strategies to a discussion on how BCBSND can help implement what they have and further develop strategies specific to needs of the employer group.”

BCBSND has more than 400,000 members and offers two programs that employees can use for wellness centers. One is a health club credit program, which is a standard type of program in the industry. Eligible members must go to a wellness center at least 12 times a month to receive an incentive; usually a monetary incentive. Carlson says there are approximately 170,000 members eligible for the health club credit program. An average of 7 percent of the population receives the maximum annual incentive of $240 per member per year.

“It reduces the barriers to belonging to a fitness center if they meet the minimum visit criteria,” Carlson says. “The more physical activity the better the overall health. The better the overall health the better the cost to the member, their employer group and the health plan. The intended consequence is to promote physical activity and well-being to our membership.”

BCBSND also offers online tools; notably a new one called Healthyblue. Those using the tool can do an online assessment to identify specific problems and receive electronic coaching from experts. It also educates members about risks and ways to address those risks and improving health literacy.

BCBSND employees also provide education to employer groups and events.

Carlson says that it is a hard to know if it is working.

However, he notes “We believe we see the people who participate have less medical spending then those who do not participate” The health insurance provider continues to work on new programs for its members. One that is being discussed is rewarding people who follow physician’s guidelines. “For example, if someone has a chronic condition such as diabetes, we want to encourage them to follow doctor’s orders and the bottom line is that everyone wins when our members strive for optimal health,” Carlson says.

Wehe is concerned about having a healthy lifestyle and believes wellness centers are the place to help turn the tide. For example, he notes that by decreasing weight and increasing exercise can decrease Type 2 diabetes by 50 percent.

“There is an alarming statistic that 64 percent of North Dakotans are overweight, one-third doesn’t exercise at all and we are 19th in the nation for obesity,” he says. “We will be the first generation that will outlive our children because of habits, lifestyles and child obesity. So much is preventable.

Some of the basic things we need to do to maintain our health we are not doing.” PB prairiebizmag.com

31

Business Development

Bemidji State University sits alongside Lake Bemidji. Bemidji, Minn., is developing a new economic development strategy in a 50-mile radius of the community.

(Photo courtesy of Bemidji Area Chamber of Commerce)

A new vision for Bemidji Strategy expected to help the region grow and prosper

By Alan Van Ormer EMIDJI, Minn. — As many as 50 private businesses, key regional organizations, and city and county leaders are developing a vision that is already transforming Bemidji, a north central Minnesota community.

The Joint Economic Development Commission is now Greater Bemidji. The community has embarked on a new strategic direction with focus areas in supporting entrepreneurship and innovation, growing, attracting and retaining talent, marketing the Bemidji region as a great place for business, growing and accessing an economic development toolbox and hiring Dave Hengel as its new executive director.

“Changing the name to Greater Bemidji speaks better to who we are. We took a step back and focused on areas with the biggest impact on growing our region,” Hengel says. “It is symbolic and is a much better indicator of how we operate and what we do.”

Bob Fitzgerald, director of operations for KrausAnderson Construction Co., says the new strategy will help with growth and will provide opportunities for investors and businesses in the region. “These are exciting times.

From our company’s perspective, the Greater Bemidji

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region is poised for very significant growth,” he says. “This initiative will help manage the growth, drive developments and promote prosperity.”

Greater Bemidji will focus on the area within a 30- to 40-mile radius of Bemidji. Bemidji is considered a regional center in northern Minnesota with a trade area that encompasses a 50-mile radius and includes more than 108,000 people.

“We need to be strategic,” says Jim Bensen, chair of Bemidji Leads, an organization devoted to building the community’s future. “What we are doing is creating a culture of openness, ideas and resources.”

Bensen notes that the next big economic step is to come up with ideas to lure people to the region. “Location isn’t the key here but quality of place is,” he says. “We believe Bemidji is that.”

For example, these ideas could be centered on forestry affairs and design and applied engineering, two trades that are important in driving Bemidji’s economy.

Another key ingredient is the search for talent and in Bemidji’s case that talent is right at home. “We have to be a leader in growing and attracting talent from an economic development framework,” Hengel says.

The Bemidji Sanford Center is one of Minnesota's newest event centers.

The higher education systems in the Bemidji region graduate about 1,000 students.

“Our job is to deliver a better trained workforce with relevant training with a proper skill set to drive an economy that is changing and to service our economy,” says Dick Hanson, president of Bemidji State University. “We are committed to creating that talent, but not restricted to where they go.”

The new initiatives are prompting the university system to write a different script, Hanson says. “Our agenda now deals with workforce and employment-oriented curriculum,” he adds. “There are challenges in retaining talent. Our goal is to recruit, retain and gradually finish that talent.”

Another way to develop talent comes from an initiative called Students First in Bemidji. Under the plan, every student develops a success plan by the ninth grade and is paired with adult coaches. The pilot project is operating with 100 students and there are 98 coaches in business, community and the arts.

The next step for Greater Bemidji is to implement action teams and develop action plans. “We’re not forgetting about the traditional building blocks,” Fitzgerald says. “These are four more building blocks to go with our traditional tools.”

PB

A Luff Exploration Co. drilling rig operates in the North Cave Hills area of Harding County in northwestern South Dakota. Luff ’s headquarters are in Denver, Colo. (Photo courtesy of SD DENR)

S.D. prepares for potential oil boom Black Hills Bakken Conference spells out oil play — good and bad

By Alan Van Ormer

PEARFISH, S.D. — Bierschbach Equipment & Supply is looking to double its sales in either its Fargo, N.D., store or its Rapid City, S.D., store. The company plans to do this by doing business in the Bakken oil play in western North Dakota while waiting for possible oil opportunities in South Dakota.

Bierschbach supplies erosion control material such as geotextiles to improve road bases, and leases and services construction equipment.

“What excites me is that we can expand our four locations to either five or six,” says Mark Hasvold, vice president of Bierschbach in Rapid City. Along with its Fargo and Rapid City locations, Bierschbach also has facilities in Sioux City, Iowa, and Sioux Falls, S.D. A two-day Black Hills Bakken Conference was held in May 2 and 3 to educate businesses and others interested in learning more about the oil play including its challenges and opportunities, focusing on discussions about the potential for oil flowing in South Dakota.

The state is focusing on three potential oil-bearing rock formations — Minnelusa, Three Forks Shale and Red River — and the South Dakota Legislature plans to study oil and gas development.

Derric Iles, South Dakota state geologist, for the Geological Survey Program and Department of Environment and Natural Resources, says that in 2011 northern Harding County produced oil in the Red River formation just south of the North Dakota border.

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34 Prairie Business Energy

June 2012

FORWARD PLANNING Dennis Lindahl, city councilman from Stanley, N.D., told the audience that the Bakken has created an intense situation fraught with housing shortages, traffic congestion and a rising crime rate.

“Hopefully, if oil comes south you will be able to plan better,” Lindahl says, adding that North Dakota is managing the growth the best it can.

Shane Goettle, former commissioner of the North Dakota Department of Commerce, says it is possible for South Dakota companies to become active in western North Dakota. “There is potential in South Dakota approaching what the Bakken has,” says Goettle, who is currently the public affairs director for Odney, a marketing and public relations firm in Bismarck, N.D. According to Goldman Sachs, the United States will be the No. 1 oil producer in five years, and according to the Institute of Energy Research, the U.S. has a 200-year supply of oil and 120year supply of natural gas, Goettle noted during his keynote address. In addition, Goettle says there are 1.44 trillion barrels of recoverable oil deposits in the country.

In 1995, the U.S. Geological Survey estimated that Bakken shale could produce 151 million barrels of oil, Goettle says. USGS officials have raised their expectations to 4.3 billion barrels and some analysts believe there is 20 billion barrels of oil. Another study is underway.

Iles discussed the three formations in South Dakota with possible oil production during a presentation on the second day of

the conference, saying that the state is underdeveloped and unexplored for true oil and gas potential.

Oil has been found in Harding County in the Red River formation since 1954. Oil companies have tested other parts of the formation that cover most of the northern half of western South Dakota and at least 10 counties across the Missouri River in eastern South Dakota.

The Minnelusa formation covers two-thirds of the state and more than 900 test holes or wells have been drilled. There is oil production occurring in the southwest corner of the state in Custer and Fall River counties.

More than 400 wells or test wells have been drilled in the Three Forks Shale formation, which covers most of northwestern South Dakota. At this point, no oil production has been seen in this formation.

OIL ACTIVITY You don’t have to rely on the geological survey’s research to see if there are any signs of oil in South Dakota, said Iles in an interview with Prairie Business before his presentation on May 3.

Iles thinks there will be increased exploration, which will translate into increased development in South Dakota.

There has been some exploratory activity in Harding, Perkins and Corson counties, as well as interest in counties further south in the state, he adds.

Along with the summer study on oil and gas development, the state is preparing for an oil boom using two approaches. First, the legislature and the Department of Environment and Natural Resources are making sure that South Dakota has a business-friendly climate, Iles says, adding this includes streamlining regulations to make them understandable, shortening the permitting time and setting taxation levels for extracting resources from the ground.

The state is also developing a user-friendly online component that provides all geological information in South Dakota tailored to meet industry needs.

While waiting for a possible oil boom in South Dakota, companies such as Bierschbach are finding ways to be part of the current boom in North Dakota.

The Rapid City location has done business in Dickinson, N.D., and the Fargo store has provided services in Bismarck and Minot, N.D. “We like to learn as much as we can about what is going on there,” Hasvold says. “We’re faced with the same challenges other businesses face.” Bierschbach has been able to

bring its erosion control material into North Dakota from its current location but the company would need a location near the oilfields to offer its equipment leasing and service.

Hasvold says the conference helped his company learn more about what’s going on in the Bakken and to get advice on how to get involved.

Black Hills Vision, a regional economic development organization committed to creating economic development opportunities in the Black Hills region, is also looking at opportunities in western North Dakota. Black Hills Vision consists of seven cities, four counties, more than 80 Black Hills business leaders, nine economic development and chamber organizations, nine financial institutions and six utilities, as well as support from the state of South Dakota.

Jim Aberle, executive director of Black Hills Vision, says the tourism industry was the first to capitalize on the oil industry. Various Black Hills communities are sending buses to gather people from western North Dakota for weekend trips in the Black Hills. Aberle says he is already seeing opportunities in maintenance, support services and real estate.

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An Enbridge pipeline marker is placed on reclaimed land after construction of the Beaver Lodge Loop Project in 2011. (Photo courtesy of Enbridge Pipelines (North Dakota) LLC)

Moving oil to market N.D. needs more pipelines to keep pace with oil production

By Alan Van Ormer

ISMARCK, N.D. â&#x20AC;&#x201D; By the end of 2012, it is estimated that 700,000 barrels of oil per day will be produced in the Bakken formation in western North Dakota. By 2019, that number is expected to increase to

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36 Prairie Business Energy

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1.1 million barrels of oil per day. The export capacity of all pipelines and rail facilities would reach about 1.8 million barrels per day if everything that is being proposed is built, says Kevin Cramer, public service commissioner.

Since Enbridge Pipelines LLC acquired its North Dakota system in 1996 it has invested more than $1 billion in new projects and infrastructure. Through enhancements, the North Dakota system has expanded from 80,000 barrels per day in 1996 to 275,000 barrels per day in 2011.

“With the future growth plan on the Enbridge system, the Bakken producers will have access to more refining markets; and more refineries in the United States will have access to high-quality, domestically produced Bakken crude oil, which can mean less reliance on expensive foreign crude oil shipped into the U.S. from other parts of the world,” says Mark Sitek, vice president, major projects execution for Enbridge.

Construction on Enbridge’s Bakken expansion project is expected to be completed in January, allowing the shipment of another 120,000 barrels per day out of the oilfield. After all the expansions are completed, Enbridge’s total pipeline capacity will be 475,000 barrels per day by January 2013.

Enbridge expects to complete construction of a rail facility in Berthold, N.D., by January, which would enable them to transport another 80,000 barrels per day Enbridge continues working with its shipper to find additional transportation options. Future project plans that are currently in development, could add an additional 300,000 barrels per day by the end of 2015.

Enbridge has one of six oil pipeline projects at different stages of development that pass through North Dakota. They include Oneok Partners, High Prairie Pipeline, Butte Pipe Line, Keystone XL, Enbridge Sandpiper and a Baker, Mont., to Billings, Mont., project proposed by Plains All American Pipeline.

“All five with the exception of Keystone XL are working with the industry to get commitments,” says Justin Kringstad, director of the North Dakota Pipeline Authority. “Pipeline projects can’t move forward unless they have adequate commitment terms. Keystone XL has commitments to move forward, but now is in the regulatory process.”

The state’s Public Service Commission regulates oil pipelines. This includes handling applications for corridor certificates and route permits and ensuring efficient use of resources and continued system reliability.

Cramer says pipelines are the most economical, efficient and safe way to move petroleum products to market. Pipelines also relieve traffic on roads.

“We work hard to keep the regulatory lag short for pipelines. The biggest factor is becoming the landowner.

As landowners grow more fatigued by the frantic pace of development, it is getting harder for companies to get signed easements,” he says. “In western North Dakota, we almost never have landowners oppose pipelines. Our hearings are generally very uneventful in terms of landowner issues. The companies do a good job of preparing their cases.”

• Civil Engineering • Land Planning • Surveying Boundaries • Topography • Materials Testing • QC Construction Management • Municipal Engineering • Oil Service Pipeline Design

• Surveying • Land Surveying • Land Planning & Subdivision Design • Municipal Engineering • Water Resource Management • Environmental & Archeological Studies • Etc.

JEFF AMES, Project Manager C: 801-694-7756 TF: 855-774-EPIC(3742) O:701-774-5200 JAmes@epiceng.net • www.epiceng.net "Sustainability is Epic" prairiebizmag.com

37

The Better Business Bureau of Minnesota and North Dakota has been around for 100 years helping businesses continue their success. (Photos courtesy of Better Business Bureau of Minnesota and North Dakota)

100 years and counting Technology, customer service keeps century-old businesses alive

By Alan Van Ormer or more than 100 years, Dakota Monument Co. has crafted memorials that mark the passing on of a loved one.

The company, which was founded in 1911 by O.C. Anderson, H.F. Nesne and O. Skognes, has always had an Anderson at the helm. Today, the business is owned and operated by Dave Anderson. Although the name and the ownership have stayed the same, the art of creating monuments has changed.

Dave Anderson, owner of Dakota Monument in Fargo, N.D., says technology and production have changed the landscape. â&#x20AC;&#x153;Everything from design work to cutting work

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38 Prairie Business

June 2012

was done by hand years ago,â&#x20AC;? he says. Today the work is done using computer technology.

On June 27, the Better Business Bureau of Minnesota and North Dakota will recognize Red River Valley businesses, such as Dakota Monument, as well as others from across western Minnesota and North Dakota, who have been in business 100 years or more. The North Dakota and Western Minnesota Centennial Luncheon will be held from 11:30 a.m. to 1 p.m. at the North Dakota State University Alumni Center in Fargo, N.D. North Dakota Attorney General Wayne Stenehjem will be the keynote speaker.

what we do. We strive for excellent customer satisfaction.”

Strata continues to grow its heavy highway construction, concrete and aggregate sales company in North Dakota, Minnesota and Montana. Today, it has more than 2,000 employees.

The company’s commitment to customer service has been important over the past 100 years.

Popplers Music Inc. in Grand Forks, N.D., has also been around more than 100 years and is being recognized. “I am pleased for those who have gotten us this far,” says Don Langlie, the owner for the past five years. “I’m carrying on, but they deserve the honor of carrying on that longevity.”

Popplers, which was started in 1909, hires employees who work with print music and have teaching experience and music degrees.

“We think it is necessary,” Langlie says.

Langlie says employees realize and understand the need for relationships. “It is not a commodity. It is such a personal thing,” he says. RRVPB

The centennial luncheon is one of three in Minnesota and North Dakota in 2012 celebrating the 100th anniversary of the Better Business Bureau of Minnesota and North Dakota. The luncheon highlights how ethical business practices encourage longevity and stability for companies and the market.

ADAPTING TO CHANGES Dakota Monument builds more than 2,000 memorials a year for customers in North Dakota, Minnesota and South Dakota.

The company longevity can be attributed to its ability to change with the market and the regional demographics When Dakota Monument first started, families buried their loved ones on the farm and had family plots with monuments and individual graves. Then in the 1950s, the garden concept came about promoting all flat markers. Now, that has changed back to upright markers and from traditional shapes to shapes that can be customized depending on the customers’ wishes. Anderson says he’s even made them in the shape of stock cars and motorcycles.

The material used to make the memorials has also changed from marble, slate and sandstone to granite because of the hardness of the stone.

Strata Corp., which was started operating in 1910, is also being recognized.

Kevin Opdahl, controller for Strata in West Fargo, N.D., says it is excellent that the BBB is recognizing businesses for their 100-year milestone.

“On our logo it says 100 years of commitment to excellence and commitment to customer service,” Opdahl says. “We take pride in prairiebizmag.com

39

Help is on the way A $1.4 million grant will assist with challenges in western North Dakota

By Alan Van Ormer

$1.4 million U.S. Department of Housing and Urban Development grant is being used to develop regional and community plans to help solve housing, road improvement, infrastructure and daycare issues in western North Dakota counties.

That money, along with other funds, will be used by Vision West ND to assist the communities within the 19 oil and gas producing counties in western North Dakota to address ways to solve the various problems. Specific action items could take up to nine months to implement. An additional $300,000 from the N.D. Department of Trust Lands and Commerce is being used for infrastructure planning.

“We have such a flood of people that it is becoming a crisis for the communities,” says Vicky Steiner, executive director of the North Dakota Association of Oil and Gas Producing Counties in Dickinson, N.D. She is also vice chair of Vision West ND. “With such a sudden influx of people, the communities have no ability to provide those services. This provides communities a chance to sit down and get things organized.”

Vision West ND assists by addressing immediate, shortterm needs to meet growth management challenges and establish a diversified economy by developing local and regional strategic plans. Planning services include longterm planning, existing plan refinement, municipal

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40 Prairie Business

June 2012

infrastructure needs planning, planning and zoning policy recommendations, individual project schematics and entrepreneurship initiatives.

A lead consultant building communities’ plan week session allows project members and a steering committee of local leaders to develop strategies and action items. The plan week includes initiating a public Town Hall meeting to review strategies and get input.

LEGISLATIVE CONSIDERATIONS Any infrastructure needs will be identified by this fall so the North Dakota Legislature can make funding decisions. The planning piece will be completed by the end of 2013. In addition, a school study is underway to provide population estimates for Dickinson, Williston, Stanley, Ray and Watford City. The schools in these five communities are being used as sample schools to assist with the needs of long-term population growth and to figure out what types of permanent and temporary housing will be needed.

Loren Hoffman, who is working on infrastructure planning for the project, says that Vision West ND is an opportunity for smaller impacted communities to benefit from an infrastructure study that they could not finance on their own.

In the infrastructure planning portion, Hoffman, who works with AE2S Nexus in Bismarck, N.D., helps

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communities fill out survey applications and works on core infrastructure assessments including water, sewer and streets. Surveys were sent out to each community in the 19county area.

“One of the very first things that surprised me, dealt with the communities on the very eastern edge of the 19 counties. I’m surprised as to how far east the impact has been,” Hoffman says. “Oil employees are living in those communities, there has been impact and damage to streets by traffic and now they are starting to have an impact on water and sewer capacity.”

Hoffman adds that families have moved into the eastern edge communities to get away from the so-called chaos of oil. “They are looking for smaller communities to raise their families and driving into the core area to work,” he says.

Steiner notes that every community has its own culture and attitude about growth.

“Some are anxious to grow quickly, some want to sit back and some want to stay small and are not anxious to get too large,” Steiner says. WNDPB prairiebizmag.com

41

Innovation Enterprise Apartments are being constructed in Brookings, S.D., to help with housing needs because of a growing workforce. (Photo courtesy of Brookings Economic Development Corp.)

Meeting housing demand Job creation in three S.D. communities has created the need for more housing

By Alan Van Ormer

hree South Dakota communities are scrambling to assess their needs and potentially build new housing in response to the creation of as many as 1,300 jobs.

More than 1,000 jobs have been added in Aberdeen over the past year because of expansions at Northern Beef Packer LP, Sanford Health, Molded Fiberglass Cos., Midstates Inc., Hub City Inc. and others.

Over the past six months in Vermillion, Masaba Mining Equipment has added 100 jobs, Builders Choice Inc. has added 63 jobs and Navigant Consulting Inc. is adding 120 jobs.

Brookings is experiencing enrollment growth at South Dakota State University, Bel Brands Cheese Inc. is opening a new cheese plant and Larson Manufacturing Co., Daktronics, Twin City Fan Cos. and Falcon Plastics Inc. have all added people.

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Al Heuton, executive director for the Brookings Economic Development Corp., says Brooking is not in a crunch at the moment. “We have housing available,” he says. “At this point we are monitoring the situation and looking at where the housing issue is heading.”

Brookings has added almost 1,500 housing units since a housing study was completed in 2007. Low- to moderate-priced houses are needed. The community established two different tax increment financing (TIF) districts to address the issue. A TIF is used for subsidizing redevelopment, infrastructure and other communityimprovement projects.

In the past couple of years, there has been apartment building construction and subdivision activity. Brookings also added 400 lots. Some include the entire infrastructure, while others are just in the plating stage.

“We have the land capacity in place to handle housing growth moving forward,” Heuton says. “Housing inventory has declined but still is at a comfortable level.”

FILLING THE DEMAND In Aberdeen, Julie Johnson, executive director of Absolutely!Aberdeen, says the community has created more jobs and is actively finding ways to fill housing demands.

She adds that multiple family housing has been a challenge, but the private sector has stepped up. Several units were built during the winter and are getting ready to open now, but more multiple family homes are needed.

Homes Are Possible Inc. has been significant in building single-family homes around Aberdeen. HAPI is adding another housing development and other developers are adding additional lots for multiple family homes.

“We’re also working with communities around our labor shed to see how they may be able to add to their housing stock,” Johnson says.

Vermillion typically has housing for college students and college professors, but now needs to develop middle-range valued homes to fill in the gaps, says Steve Howe, executive director of the Vermillion Area Chamber and Development Corp.

“Our existing inventory is low for that range of houses,” he says. “We are opening up lots, working with developers to get them in here and invest, and working with the city to provide infrastructure.”

Vermillion is considering a housing study to determine its needs and is conducting surveys to find out how many people could potentially move to the community. “What we are hearing from employers is that their employees are having a hard time finding homes. We are creating jobs, but money is leaving the community.”

There is land for development within the city limits.

“We have a lot of people we need to accommodate housing for,” Howe says. “In addition to recruitment, we have to retain the businesses we have. People are going elsewhere because of the limitation in housing.”

As we are starting to see growth, we want to make this an attractive place to live, Howe notes. “This is one component that has to be part of a bigger strategy.” SDPB

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By the Numbers EMPLOYMENT

(NOT SEASONALLY ADJUSTED) UNEMPLOYMENT RATE Mar. 2012 North Dakota Fargo MSA Bismarck MSA Grand Forks MSA Minot MiSA Dickinson MiSA Williston MiSA Jamestown MiSA Wahpeton MiSA South Dakota Sioux Falls MSA Rapid City MSA Aberdeen MiSA Brookings MiSA Watertown MiSA Spearfish MiSA Mitchell MiSA Pierre MiSA Yankton MiSA Huron MiSA Vermillion MiSA Minnesota Minneapolis-St. Paul MSA Brainerd MiSA Winona MiSA Fergus Falls MiSA Red Wing MiSA Willmar MiSA Bemidji MiSA Alexandria MiSA Hutchinson MiSA Marshall MiSA Worthington MiSA Fairmont MiSA

3.8 % 4.1 3.5 5.0 3.6 2.0 0.9 4.2 5.1 4.9 4.7 4.9 4.1 3.9 4.9 4.9 4.0 3.7 4.3 3.8 3.4 6.5 6.1 9.9 5.5 7.5 6.4 6.7 8.5 6.2 8.3 5.4 4.7 6.2

EMPLOYMENT

Mar. 2011

Mar. 2012 Mar. 2011

4.1% 4.4 4.1 5.1 4.1 2.4 1.2 4.4 4.8 5.5 5.3 5.7 4.4 4.6 5.4 5.4 4.9 4.4 5.3 4.3 4.2 7.2 6.8 11.1 6.7 8.3 7.5 7.2 9.5 7.4 10.0 6.4 6.2 7.5

370,127 121,092 62,037 53,744 32,976 17,765 30,922 10,364 11,243 422,465 125,270 63,215 22,405 18,865 17,985 12,415 12,535 11,630 11,130 9,520 7,705 2,960,071 1,737,439 42,128 27,994 28,541 24,542 22,523 20,490 19,337 18,660 14,444 11,146 10,600

360,047 120,105 59,324 52,231 32,871 16,233 21,659 10,906 11,803 418,335 122,830 61,950 22,175 18,455 18,080 12,460 12,460 11,790 11,080 9,375 7,590 2,749,082 1,715,409 40,436 25,932 27,774 23,910 21,920 20,206 18,389 16,963 13,798 11,248 10,444

MSA — Metropolitan Statistical Area MiSA — Micropolitan Statistical Area Sources: U.S. Bureau of Labor Statistics, Minnesota Department of Employment and Economic Development, Job Service North Dakota, South Dakota Department of Labor

PB

CANADIAN BORDER CROSSINGS AUTOMOBILES MAR 2012

MINNESOTA

Intl Falls-Rainer Grand Portage Baudette Warroad Roseau

% CHANGE /MAR 2011

TRUCKS

36335 24809 12589 10603 3865

5.14% 10.28 3.10 -2.96 11.22

1689 1097 642 1068 573

- 9.39% -25.27 -20.74 -10.03 - 8.32

31012 7150 4611 4637 3783 2818

25.13 13.62 3.48 18.44 2.69 7.80

17329 9045 555 2146 813 708

- 6.86 14.22 -33.61 - 2.54 - 7.40 339.75

Source: US Customs and Border Protection

46 Prairie Business

June 2012

Sweet Crude Price/BBL

Production Oil-BBL/day

$83.26 $80.56 $88.77 $67.58

558,254 348,400 546,000 261,088

FEB 2012 FEB 2011 JAN 2012 FEB 2010

Drilling Permits 181 155 170 94

FEB 2012 FEB 2011 JAN 2012 FEB 2010

Producing Wells 6,726 5,324 6,617 4,655

4/9/12 Rig Count All Time High

Source: NDOMB

Rig Count 202 167 200 93

209

MARCH AIRLINE BOARDINGS BOARDINGS

Minneapolis-St. Paul Fargo Sioux Falls Rapid City Bismarck Duluth Grand Forks Minot Pierre Aberdeen

% CHANGE/2011-2012

1,443,048 37,700 43,970 18,129 19,112 15,197 14,499 19,170 714 1,797

1.55 5.93 18.45 5.60 17.95 16.80 33.94 73.09 -34.07 - 8.90

Source: US Customs and Border Protection

MAR % CHANGE 2012 /MAR 2011

NORTH DAKOTA

Pembina Portal Neche Dunseith Walhalla Noonan

NORTH DAKOTA OIL ACTIVITY

CANADIAN EXCHANGE RATE 05/01/12

04/03/12

05/03/11

U.S. to Canadian Dollar

$0.9839 or $1.0164

$0.9910 or $1.0091

$0.9490 or $1.0537

U.S. to Euro

$0.7561 or $1.3226

$0.7498 or $1.3337

$0.6723 or $1.4875

U.S. to Chinese Yuan

$6.3111 or $0.1585

$6.2961 or $0.1588

$6.4956 or $0.1540

U.S. to Japanese Yen

$80.187 or $0.0125

$82.173 or $0.0126

$81.042 or $0.0123

U.S. to Mexican Peso

$12.890 or $0.0776

$12.731 or $0.0786

$11.559 or $0.0865

Source: Bank of Canada

Data provided by Kingsbury Applied Economics

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Ideas. Owned.â&#x201E;˘

Patterson Thuente IP is proud to be a new member of the South Dakota business community. Our attorneys are inspired by new technology and understand how the law can help advance business objectives. Let us help you realize the value of your intellectual assets.

Contact us at our new office in Brookings! 605.692.7554

Patents

Trademarks

Innovation Campus at SDSU 2301 Research Park Way, Suite 251 Brookings, SD 57006

IP Enforcement

International IP Protection

Learn more at www.ptslaw.com

Licensing

Trade Secrets

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Portfolio Counseling

BROOKINGS, SD | MINNEAPOLIS, MN

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