Minnesota creates Job Creation Fund

BY HAROLD STANISLAWSKI

During the 2013 Minnesota legislative session, a new tool in economic development called the Job Creation Fund was created. The Job Creation Fund provides financial incentives to new and expanding businesses that meet certain job creation and capital investment targets in Minnesota. It’s a great new tool that can help companies make investments in our state.

Companies deemed eligible to participate may receive up to $1 million for creating or retaining high-paying jobs and for constructing or renovating facilities or making other property improvements. In some cases, companies may receive awards of up to $2 million.

Eligibility and requirements

The program is available to businesses engaged in manufacturing, warehousing, distribution, technology-related industries and other eligible activities. Companies must work with the local government (city, county or township) where a project is located to apply to DEED to receive designation as a Job Creation Fund business.

To be designated as a Job Creation Fund business, a business must, at minimum:

• Be engaged in an eligible business activity

• Obtain local government support for their project via council resolution

• Invest at least $500,000 in real property improvements within one year of becoming a designated Job Creation Fund business

• Create at least 10 new full-time permanent jobs within two years of becoming a Job Creation Fund business while maintaining existing employment numbers

• Pay at least $12.45 in wages and benefits adjusted annually based on 110 percent of federal poverty guidelines

• Have other location options outside of Minnesota

• Cause no undue harm to Minnesota business competitors

• Certify that the project would not occur without Job Creation Fund assistance

Projects that begin prior to becoming designated by DEED are not eligible for the Job Creation Fund.

Available benefits

Companies that meet eligibility requirements must sign a business subsidy agreement with DEED to meet job retention, creation, wage, and capital investment requirements. The following benefits may be available once a business meets the conditions of its agreement and provides proof of performance:

• $1,000 per year per job created for jobs paying at least $26,000 in cash wages

• $2,000 per year per job created for jobs paying at least $35,000 in cash wages

• $3,000 per year per job created for jobs paying at least $45,000 in cash wages

• Up to a 5 percent rebate for real property improvements for businesses located in the Twin Cities Metro

• Up to a 7.5 percent rebate for real property improvements for business located in Greater Minnesota

This program is an important tool for those businesses considering a major investment. Information on this program can be obtained by contacting your city or regional EDA office. Information is also on the web at: www.mn.gov /deed/business/financing-business/deed-programs/job-creation-fund.jsp. PB

Harold Stanislawski Executive Director Fergus Falls Economic Improvement Commission

Harold.stanislawski@ci.fergus-falls.mn.us

Pipeline company honored for prairie preservation

The U.S. Fish and Wildlife Service recently recognized Alliance Pipeline for its efforts to preserve native prairie while installing its Tioga Lateral pipeline in western North Dakota. According to the agency, Alliance engineers avoided native prairie whenever possible. In areas where that was not possible the company committed to replanting with native species and monitoring to make sure planting efforts are successful. The company is also funding the purchase of a grassland easement to offset unavoidable loss and is funding a North Dakota State University study to help identify new methods to restore native prairie.

“We’re hoping that other companies will follow suit to avoid and compensate for impacts to native habitat,” says Jeff Towner, North Dakota field office supervisor for the agency. “We’re seeing dramatic declines of grassland birds, game animals and other species like rare butterflies that rely on native prairie. By working together with willing partners to avoid impacts to native prairie and by offsetting losses that cannot be avoided, we can somewhat reduce the impact of oil and gas development.”

Western State Bank, Dakota Community Bank, Wells Fargo contribute to housing fund

The North Dakota Housing Incentive Fund received multiple contributions in December and has fully capitalized the fund one year ahead of expectations.

Wells Fargo contributed $1 million to the fund. John Giese, business banking manager for Wells Fargo North Dakota, says the organization recognizes that affordable housing is one of the state’s biggest challenges. Western State Bank contributed $300,000 to support an affordable housing development in the Devils Lake area. Dakota Community Bank & Trust contributed $400,000 toward projects in Bismarck, Dickinson and Mandan.

HIF, administered by the North Dakota Housing Finance Agency, provides developers of affordable rental housing projects with low-cost financing. The fund received a $15.4 million general fund appropriation by the 2013 state legislature and was approved to issue an additional $20 million in tax credits for North Dakota taxpayers that contribute to the fund.

Bremer employees volunteer more than 150K hours

Bremer Financial Corp. employees donated more than 150,000 volunteer hours in 2013, according to an internal survey. Volunteer hours included time spent serving on nonprofit boards, coaching youth sports, distributing meals and other community-focused activities. In 2012, Bremer employees donated more than 100,000 hours to volunteer projects.

Additionally, the financial institution’s majority owner, the Otto Bremer Foundation, provided $38 million in grants in 2013 to Bremer communities in Minnesota, North Dakota and Wisconsin, compared to about $36 million in donations in 2012.

Arvig Enterprises acquires CD Communications

Perham, Minn.-based full service telecommunications provider Arvig Enterprises recently acquired Grand Forks, N.D.-based CD Communications Inc.

CD Communications specializes in telephone system sales, installation, structured cabling, IP communications and network management. Clarence Dawes, senior account representative and former company owner, says partnering with Arvig will bring additional resources to CD Communications, allowing for potential significant growth. David Arvig, vice president and chief operating officer of Arvig, says the acquisition is part of the company’s goal to grow its communications and entertainment businesses and expand its service area.

Eide Bailly, Sundog among best ND workplaces for young people

The North Dakota Young Professionals Network named Fargo-based marketing firm Sundog the 2013 Best Place to Work in recognition for the company’s ongoing dedication to young professionals and its development of a company culture that encompasses the NDYP’s “attract, retain and engage” movement. Sundog was named the 2010 Best Place to Work and is the only company to receive the group’s top honor twice.

Eide Bailly and the North Dakota Department of Commerce tied as the best places to intern. Eide Bailly won the honor because it offers more than 40 internships annually in North Dakota as well as a twoday summer leadership program for students, according to the group. The commerce department was selected based on its history of investing in young workers through multiple programs.

Program provides college prep for ND veterans

North Dakota State University’s veterans education training program, the

University of Mary in Bismarck, N.D., Minot State University and the North Dakota State College of Science are collaborating to expand online preparatory services for veterans. The program, launched in January, allows veterans to visit those campuses and participate in online preparatory courses. The online precollege courses can also be accessed remotely for those who prefer to participate off-campus.

Jeri Vaudrin, NDSU’s veterans education training coordinator, says approximately one-third of the state’s approximately 56,000 veterans enrolled in higher education classes in recent years, but only 20 percent earned a degree. The preparatory program was funded during the 2013 state legislative session as an attempt to help veterans meet their educational goals.

The program is expected to be expanded to additional sites in the future. For more information, visit ndsu.edu/trio/vet.

$2.5M donation sets VCSU record

The Valley City State University Foundation has received a $2.5 million gift from the estate of Leonard and Marjorie (Dreis) Wright. It is the largest donation in VCSU history and will be applied to the university’s scholarship fund.

Marjorie Wright attended VCSU, then known as Valley City State Teacher’s College, and became a teacher. She married Leonard in 1945 and the couple moved to Alaska, where she worked as a teacher before joining his business, Badger Construction, which prospered with work on construction projects associated with the Alaska oil pipeline.

McKenzie County Healthcare, Sanford partnerto serve Bakken

Watford City, N.D.-based McKenzie County Healthcare Systems is collaborating with Sanford Health to expand key medical services in western North Dakota’s busy Bakken region. The collaboration will

Brookings residents take part in visioning session

More than 100 Brookings, S.D., residents participated in a daylong brainstorming session held Dec. 12 to discuss the future of the community. The Visioning Charrette, sponsored by the Brookings Economic Development Corp. and supported by a Bush Foundation Community Innovation Grant, resulted in hundreds of ideas. Among the most popular were the establishment of a large, indoor green space, a central calendar and information exchange, increased leadership training opportunities and transportation solutions, according to Al Heuton, executive director of the economic development corp. In late December, the group was working to clearly define project ideas and potential actions before distributing the information to partner organizations to incorporate into work plans and budgets. Brookings held a similar charrette process in 2007, which identified more than 70 project ideas and development concepts. Over the next six years, more than 80 percent of those projects were either completed or received attention, Heuton said. He expects similar outcomes from this session.

bring more specialty physicians to the area, expand air ambulance services and provide a new facility to support oil-producing companies’ health care needs. Sanford specialists providing outreach care to the area will initially include cardiologists, orthopedic specialists and pediatricians.

Ethanol maker beats sustainability goal

South Dakota-based Poet, one of the world’s largest ethanol producers, announced it has produced more than 700 million pounds of biobased products since 2009, surpassing a goal set in 2010 to produce 500 million pounds of biobased products by 2015. The company credits its early success largely to its method of producing corn oil as a coproduct of its specialized ethanol production process.

St. Alexius expands in Mandan

Increased demands for services have prompted St. Alexius Medical Center to open a

22,000 square foot clinic in Mandan, N.D. The facility will initially include four family medicine physicians and one internal medicine physician. The $8 million building includes space reserved for future growth.

Digi-Key rolls out enhanced website

Thief River Falls, Minn.-based electronic components provider Digi-Key Corp. recently unveiled an enhanced website designed to allow customers easier access to the company’s 1 million in-stock components. The website includes a web-based bill of materials manager which, along with other website enhancements, is part of Digi-Key’s commitment to be the first choice for engineers and purchasers, according to the company.

Ulteig earns ACPA award

Ulteig earned a gold award from the American Concrete Pavement Association for the West Dakota Parkway intersection rehab overlays project in Williston, N.D. The overlays were needed due to heavy truck traffic that caused problematic asphalt rutting. Ulteig worked with ACME Concrete Paving Inc. to complete the project. The gold award is ACPA’s highest level of recognition.

USD opens expanded university center

The University of South Dakota recently celebrated the grand opening of its expanded Muenster University Center. The 31,000 square foot addition offers expanded city and contemporary dining options as well as a media wall which includes 16 60-inch HDTVs spanning 16 feet.

Murphy Oil spin-off sells ND ethanol plant

Murphy USA Inc. announced in December it has completed the sale of Hankinson Renewable Energy LLC, a 132 million gallon per year ethanol facility in Hankinson, N.D., to Guardian Hankinson LLC for $173 million. The company says the sale is part of its strategy to exit noncore businesses. The new ownership is a joint venture among ethanol operators in Minnesota, Nebraska and South Dakota, according to the Wahpeton Daily News.

Sanford expands footprint to Montana

Sanford Health has signed a strategic alliance with Great Falls, Mont.-based Benefis Health System. The health care organizations will collaborate on clinical initiatives, physician recruitment and services, information technology, quality programs, research potential and health care cost reduction. Benefis serves a 15county area in north-central Montana and includes two hospitals in Great Falls. The organization employs more than 2,800 people throughout its system. Sanford currently consists of locations in nine states and is the largest rural, not-for-profit health care system in the U.S. Its network includes 39 hospitals and 140 clinics.

Hultman to lead SD labor, regulation department

Marcia Hultman has been appointed secretary of the South Dakota labor and regulation department. She has served as interim secretary of the department since the retirement of Pam Roberts last October.

Hultman joined the labor department in 1997 as a public information officer. She was appointed to the role of workforce services division director in 2000 and became deputy secretary of the department in 2006. Prior to joining the labor department, Hultman spent 11 years as a high school English teacher. She is a graduate of Black Hills State University.

AE2S promotes Bergantine to Moorhead operations manager

AE2S (Advanced Engineering and Environmental Services Inc.) has promoted Brian Bergantine to operations manager of the firm’s Moorhead, Minn., office.

Bergantine has more than 17 years of water engineering experience and will lead opportunities to expand the firm’s client base in western Minnesota. He is a graduate of the University of North Dakota and is a licensed professional engineer.

Starion Financial hires virtual bank manager

Melissa Frohlich has been promoted to virtual bank manager at Starion Financial. In this role, Frohlich oversees the virtual bank and customer service center, ensuring staff members provide quality customer service and achieve bank goals. She partners with other departments to ensure successful implementation of electronic banking products and services. She also assists with training employees on new mobile and online banking products. Prior to this role, Frohlich served as marketing project manager at Starion.

Kraus-Anderson hires business development director

Kraus-Anderson Construction Co. has hired Tracy Pogue as director of business development in its Bemidji, Minn., office. Pogue has 20 years of business development experience, most recently as real estate loan officer at Deerwood Bank in Bemidji. He is a graduate of Bemidji State University and is active in numerous local organizations and events.

Lou named founding endowed chair of neurology at UND med school

Dr. Jau-Shin Lou has been named founding chair of the Dr. Roger Gilbertson endowed chair of neurology at the University of North Dakota School of Medicine and Health Sciences. He will teach medical students and post-M.D. residents in addition to his administrative responsibilities in neurology. In addition, he will see neurology patients at Sanford Health in Fargo and will serve as chairman of Sanford’s neurology department.

Lou is widely recognized for his clinical trials in Lou Gehrig’s disease and fatigue associated with Parkinson’s disease. He was voted one of U.S. News and World Report’s best doctors in 2011-’12.

NDSU names first general education director

Amy Rupiper Taggert, associate professor of English, has been named North Dakota State University’s first director of general education. In this one-third time position, she is responsible for coordinating, overseeing and nurturing general education at NDSU. In addition to roles on the general education and university assessment committees, she will serve in an auxiliary role on the accreditation report writing team and become a liaison for the Gateways to Completion program with the Gardner Institute.

Rupiper Taggert joined the NDSU English department in 2002. She specializes in writing and rhetoric, with a focus on pedagogy and curricular programs.

Corey Heaton Heaton named Wells Fargo SD retail banking president

Corey Heaton has been named retail banking area president for Wells Fargo in South Dakota. Based in Sioux Falls, he will manage a team of approximately 490 people in 49 banks throughout South Dakota and southwestern Minnesota. Heaton joined Wells Fargo in 2006 as a store manager in Sioux City, Iowa. In 2011, he was named district manager for Iowa’s northwest district.

Schneider to lead ND builders association

Kim Schneider has been selected to serve as executive officer for the North Dakota Association of Builders. She previously served as director of the American Lung Association in North Dakota and worked in advertising firms in Fargo and Minneapolis. She is a graduate of Minnesota State University Moorhead.

Kindopp to lead Great Western Bank in SD

Great Western Bank has named Bryan Kindopp its regional president for South Dakota. Kindopp also leads the bank’s Nebraska region. In his expanded role, Kindopp is responsible for more than 600 employees in 86 bank locations. Combined, the Nebraska and South Dakota regions account for $4.4 billion in assets, $4 billion in deposits and $3.5 billion in loans.

Kindopp is a graduate of South Dakota State University and has more than 22 years of experience in the financial industry. His career with Great Western Bank began in 2001 as a market president.

Hunke promoted at MDU construction group

Jon Hunke has been promoted to the position of controller at MDU Construction Services Group, a subsidiary of MDU Resources Group. Hunke joined MDU’s construction group in 2003 as a financial analyst. Since then, he has held a number of positions within the company, serving most recently as director of financial software and training. He holds a bachelor’s degree in accounting from North Dakota State University and a master’s degree in management from the University of Mary.

AE2S adds Cline as chief development officer

Gary Cline has joined AE2S (Advanced Engineering and Environmental Services Inc.) as chief development officer. In this role, he will develop strategies to ensure the firm’s continued growth and stability by broadening the services and client base of the firm and its affiliated companies. He has more than 30 years of water and wastewater experience and holds a master’s degree in civil and sanitary engineering and a bachelor’s degree in civil engineering from Michigan State University.

Regional Medical Clinics names clinical service director

Mike McGrath has been selected as director of clinic services for Regional Medical Clinics in Rapid City, S.D. He has worked with Regional Health Physicians since 2008, serving most recently as the clinic administrator for Regional Urgent Care clinics.

Regional Medical Clinics is the largest network of primary and specialty clinics in western South Dakota and eastern Wyoming.

Kline to head ND housing agency

The Industrial Commission of North Dakota has appointed Jolene Kline as executive director of the North Dakota Housing Finance Agency. Kline has served as acting executive director since the retirement of Mike Anderson last May She joined the NDHFA in 1985. In 2006, she was selected as the first director of the agency’s planning and housing development division, which assists communities in addressing housing shortages and unmet needs.

Ulteig hires senior aviation engineer

Ulteig has hired Wayne Switzer as a senior aviation engineer in its civil services department. He most recently served as a client manager for KLJ. He previously worked for Washington Dulles International and the U.S. Federal Aviation Administration’s Washington district office. Switzer has more than 16 years of experience in project management, airport engineering and client management. He is based in the firm’s Bismarck, N.D., office

SD PUC vice chairman to lead national telecommunications committee

South Dakota Public Utilities Commission

Vice Chairman Chris Nelson has been selected to serve as chairman of the committee on telecommunications for the National Association of Regulatory Utility Commissioners. The committee analyzes trends and best practices to develop association policy and works with national agencies including the National Telecommunications and Information Administration, the Federal Trade Commission and the Depar tment of Justice. As chairman, Nelson will head a 28-member panel and will join the NARUC’s board of directors. Nelson has been a member of the committee since 2011.