Health care reform, health savings accounts and you

BY DAVID MARTIN

President Bar ack O bama sig ned the Patient Protection and Affordable Care Act (ACA) into law in March 2010 The U S Supreme Court upheld the law in June 2012, and implementation continues today. While current health care reform efforts began in 1994 in the Clinton Administration and continued in 2004 in the Bush II Administration, the ACA has been called the most significant health care reform since Medicare and Medicaid were signed into law by President Lyndon Johnson in 1965

Understanding the major provisions of the ACA is important to understanding the current emerging marketplace for health care, health insurance, affordability and choice for individuals and employers alike Beginning this year, key ACA provisions include guaranteed issue and the individual mandate, consumer subsidies, and the employer mandate Helpful resources include health insurance companies and brokers, tax advisors and preparers, and employee benefits specialists.

In general, the ACA requires individuals to have or obtain health insurance coverage or pay a penalty, and requires businesses with more than 50 full-time-equivalent employees to offer affordable health insurance as a benefit or pay a penalty The law sets standards for essential health insurance coverage benefits, provides premium and cost-sharing assistance to low-income individuals, and provides certain tax benefits for small businesses that offer health insurance to their employees

Because of continually rising costs for health care, health insurance and related expenses for individuals and employers, Congress created Flexible Spending Accounts (FSAs) in 1974, Health Reimbursement Accounts (HRAs) in 1996 and Health Savings Accounts (HSAs) in 2004. All three offer certain tax advantages to individuals and employers, but FSAs and HRAs are technically “owned” by employers, while HSAs are “owned” by eligible individuals who open health savings accounts

Some financial planning experts believe that every U S taxpayer should have an HSA to help save money for retirement health care expenses, even maximizing their HSA contributions before contributing to other retirement vehicles, and with good reason. The American Association of Retired Persons noted in 2013 that 65-yearolds retiring last year may need $120,000 each to cover future medical costs during their remaining lifetime. Some of these experts see HSAs as medical IRAs on steroids because of the IRS-approved triple-tax advantages they offer to taxpayers who open, fund and grow an HSA.

Since their introduction a decade ago, forwardthinking employers have continued to adopt highdeductible health insurance plans and related tax-advantaged HSAs as a cornerstone of their employee benefits program and corporate cost-savings strategy, and in the context of consumer-driven health care. National publications like Forbes and Money magazines, The Kiplinger Letter and the Wall Street Journal have all noted the potential benefit to employers and individuals, and eligible high-deductible health plans (HDHPs) have been included in health insurance exchanges

As health care reform and consumer-driven health care continue to evolve in the United States, with overall spending related to health care now 18 percent of gross domestic product (up from 13 percent in 1994), both greater choice and responsibility are being placed in the hands of consumers, hopefully motivating them to make good decisions regarding their health care and its cost, and possibly saving them some money if they fund and use HSAs or other tax-favored health plans.

David Martin Vice President – HAS Choice Financial Group d k martin@choicefinancialgroup com

Wil-Rich celebrates 50th anniversary

This year marks 50 years of business for Wahpeton, N.D.-based Wil-Rich, a manufacturer of farm tillage equipment The company, which started as a two-person business that produced truck hoists, has weathered several changes of hands throughout its half-century of existence and evolved into a world-leading agricultural equipment manufacturer, focusing on a heritage of designing products that meet and exceed farmers’ requirements Since 2001, the company has been owned by a group of entrepreneurs including Mike Bullinger, Howard and Brian Dahl and Victor Klosterman Klosterman serves as the company ’ s general manager The company ’ s equipment line includes spring and fall tillage equipment, seeding and planting equipment and heavy-duty disc harrows. The equipment is sold throughout North America as well as in Russia, Ukraine, China and other countries

VPP releases action plan

The Valley Prosperity Partnership, a group consisting of business and higher education leaders and other stakeholders from throughout the Red River Valley, recently released an action plan outlining six priorities aimed at continuing the region’s economic prosperity Workforce recruitment and retention topped the list of priorities, followed by water supply and management, research expansion, infrastructure investments, entrepreneurial support and improving perceptions of the region. The group expects the report to serve as a guide for continued partnerships and action on its findings To view the report in its entirety, visit valleyprosperitypartnership.com.

The VPP was formed in 2012 following a $100,000 investment by William C Marcil, chairman of Forum Communications Co. Twentyfive other companies from throughout the valley each agreed to commit $25,000 to become VPP steering committee members The committee is co-chaired by Steve Burian, CEO of Grand Forks, N D -based AE2S, and Tammy Miller, CEO of Fargo-based Border States Electric

Energy services, transport firms form new entity

SBG Energy Ser vices and Reynolds Transportation LLC have merged the trucking company into a newly formed entity, SBG Reynolds Transportation LLC, a wholly owned subsidiary of SBG The new company will be managed by Reynolds Transportation owners Harry and Diana Reynolds and all 20 of the trucking firm’s employees have been retained for the new company. The merger was driven by a rail yard expansion project in Richardton, N.D.

SBG Energy Services now owns nearly 200 semi-trucks providing oil and gas industry services in North Dakota, Montana and Wyoming. The company is part of Grand Forks, N D -based Edgewood Group LLC

Business services group expands to Williston

Heutmaker Business Advisors, a Minnesota-based provider of business services including financial, human resources and payroll services to small- and medium-sized businesses, recently expanded to ser ve businesses in Williston and throughout western North Dakota. Keith Olson will be responsible for working with clients in the area He has served as the regional director of the Williston Region Small Business Development Center since 2003. His wife, Michelle, has 10 years of accounting experience and will work directly with clients on a one-on-one basis.

Strider Sports opens nature trail, new headquarters

Rapid City, S D -based no-pedal bicycle manufacturer Strider Sports International recently opened a nature trail in Rapid City, S D , developed specifically for users of its product The trail was built by Strider staff with approval from the Rapid City Parks and Recreation department and caters to families with children between the ages of 2 and 5, although children of all ages are allowed on the trail.

The company also held a ribbon cutting ceremony for its new 26,000-square-foot corporate office and distribution center in Rapid City on June 6 The company expanded to a larger facility to accommodate its recent growth.

State board approves UND School of Entrepreneurship

The North Dakota State Board of Higher Education has approved the establishment of the University of North Dakota School of Entrepreneurship The school, part of the UND College of Business and Public Administration, will nurture faculty and students’ entrepreneurial actions, innovation, visionary leadership, networks and interdisciplinary learning, according to UND The university’s vision is to build the highest-quality entrepreneurship school as part of a new, technology-focused business and public administration college

Bruce Gjovig, leader of the UND Center for Innovation, will be the school’s outreach and practitioner arm Dennis Elbert, longtime dean of the business college, will step down from that role to become a member of the UND Entrepreneurship faculty

Integreon breaks ground on new Fargo facility

Integreon, a provider of legal, document, research and business support solutions for large corporations and law firms, recently broke ground on a new facility in Fargo, N D , which will provide space for the company ’ s 300 Fargo employees

Integreon was founded in Fargo in 2001 The company currently employs more than 2,000 people at 12 delivery centers located around the world. The Fargo facility specializes in on-shore document services work and document services business unit support.

Fargo company gets export award

Fargo, N D -based CH Trade LLC, a company focused on developing export opportunities for businesses, recently received the President’s “E” Award for Export Service from the U S Department of Commerce The award is the highest recognition a company may receive for making a significant contribution to the expansion of U S exports CH Trade’s clients include Jamestown, N D -based DuraTech Industries International Inc., Dickinson, N.D.-based Medora Corp , Moorhead, Minn -based Cormax and Grand Forks, N D -based Field of View

Marco named best employer for young professionals

Marco Inc. was recently selected by the Fargo Moorhead West Fargo Chamber of Commerce as the best place to work for young professionals. The award recognizes businesses for their commitment to recruiting and retaining young professionals Marco was one of several companies recognized in various categories during the chamber’s ChamberChoice 2014 awards luncheon, held May 21 in Fargo, N D

Marco was also selected as a BismarckMandan (N.D.) Top 10 Young Professional Workplace by the Young Professionals Network

Luxury apartments open in Williston

North Gate, a 300-unit, market-rate apartment home community in Williston, N D , has begun pre-leasing its units and expects the first tenants to move in this month The development, a partnership between The Sterling Group and Braxton Development, consists of 13 buildings with one-, two- and three-bedroom floor plans ranging in square footage from 685 to 1,305 square feet Rent prices for the units range from $2,150 to $3,850 per month

St. Alexius expands to Minot

St. Alexius Medical Center in Bismarck, N.D., plans to build an approximately 67,500square-foot medical plaza in Minot, N D The facility will feature 40 primary care and 20 specialty care exam rooms and will provide imaging, physical therapy and lab services A same-day surgical center and retail pharmacy will also be located at the facility.

The facility is expected to cost $19 million and is projected to open in 2015

Web development, telecomm companies partner

Grand Forks, N D -based IT and web development firm Insight Technologies, Ellendale, N D -based Dickey Rural Networks and Carrington, N.D.-based Dakota Central Telecommunications have entered into an investor partnership agreement to leverage the collective industry capabilities and expertise to provide advanced technology services to the companies’ customers

“Our goal, along with DCT is to be a quiet partner in Insight’s mission and to be part of their exciting future,” Robert Johnson, DRN CEO and general manager says in a news release

Eide Bailly adds Washington State firm

McDirmid, Mikkelsen and Secrest, the largest local certified public accounting firm in Spokane, Wash., has joined Eide Bailly. It is Eide Bailly’s first location in Washington State and brings the firm’s total staff to 1,350 in 22 offices in 10 states Andrew McDirmid, MMS partner, will ser ve as the partner-in-charge of the Spokane office

Integrity Windows wins quality award

Integrity from Marvin Windows and Doors was named “Best Quality Fiberglass Window Brand” in a recent BUILDER Magazine study The study surveyed more than 10,000 builders, developers and general contractors on their awareness and use of various brands in 69 different categories Integrity Windows and Doors is based in Fargo, N.D.

Anticipation high for Sanford Center opening

More than 500 club seats for the Denny Sanford PREMIER Center in Sioux Falls, S.D., sold out within two weeks, according to the center The sale price per seat was about $600 per year, amounting to total first year revenue of about $283,000. The seats offer a premium location in the lower bowl and include access to a private lounge, first right of refusal to all events, wider seats and in-seat wait service Suites and loge boxes were made available last year and sold out within a few days, according to the center

ND seeks more dairy farms

The North Dakota Dairy Coalition, crop commodity groups and dairy industry members gathered recently to discuss efforts to rebuild the state’s dairy industry The number of dairy farms in North Dakota has fallen to fewer than 100, according to the North Dakota Department of Agriculture, but the state has three dairy processing plants that rely heavily on locally produced milk.

Black Hills groups form collaborative marketing arm

Twenty-one Black Hills organizations have joined into a single entity called the Rushmore Region Alliance, focused on promoting the region to site selectors, companies and entrepreneurs. The alliance will also target existing Black Hills businesses that may be expanding but are not aware of the resources available to them

The collaboration is the result of discussions held three years ago by members of the Black Hills Business Council Other organizations, including the Rapid City Economic Development Partnership, Spearfish Economic Development and the Black Hills Council of Local Governments are also involved Black Hills Vision funded the project

For more information, visit rushmoreregion com

Ag cleaning, processing plant to open in ND

Cummings Ag is expected to open a 10,000square-foot facility in Cummings, N.D., located between Grand Forks and Fargo along Interstate 29, to provide cleaning and processing services to area farmers and bean companies. The facility is expected to open this summer and will have the capability to clean and process barley with ergot, grains, dry edible beans, field peas, lentil beans and soybeans.

“We’re building this facility with a single purpose to put our customers in control of the bean and grain selling process by giving them access to the very best cleaning and processing equipment on the market,” co-owner Tracy Bjerke says in a news release.

A grant from the North Dakota Department of Commerce Agricultural Products Utilization Commission contributed to the establishment of the facility.

Fischer first to participate in SD rural attorney program

Jake Fischer, attorney at Swier Law Firm, was recently recognized by the Unified Judicial System and the State Bar of South Dakota for being the first attorney to participate in the Rural Attorney Recruitment Program

The program was approved by the state legislature in 2013 to address the current and projected shortage of lawyers practicing in small communities and rural areas of the state Qualifying attorneys are prov ided an incentive payment in exchange for five continuous years of practice in an eligible rural county Participation in the program is capped at 16 attorneys

Fischer relocated from Minneapolis to Corsica, where he leads Swier Law Firm’s agricultural law practice group

NDSCS president appointed coalition chairman

John Richman, president of North Dakota State College of Science, has been appointed chairman of the board for the National Coalition of Certification Centers (NC3), a network of education providers and corporations that supports, advances and validates new and emerging technology skills in the transportation, aviation and energy industry sectors He previously served as both the vice chair and trustee

The 11-member board includes industry and education leaders representing a range of geographic, economic and education perspectives NC3 is headquartered at Gateway Technical College in Kenosha, Wis.

NDSCS has worked with NC3 since its establishment in 2009 and is one of 32 leadership schools. Leadership schools collaborate to develop instructional material, provide trainthe-tr ainer oppor tunities and mentor other educational members

Moran named USD provost, academic affairs VP

Eide Bailly hires 3

Certified public accounting and business advisory firm Eide Bailly LLP recently added three associates at its Fargo, N D , office

Andrew Adams is an audit senior associate. He previously worked for Eide Bailly for more than three years at its Bismarck, N D , office

Kelan Oster is a bank regulatory compliance associate who also previously worked for Eide Bailly’s Bismarck office

Laura Undem is an audit associate She previously interned with Eide Bailly in 2012 and 2013.

Starion Financial hires CIO/COO

Stacy Hall has joined Starion Financial as chief information officer and chief operations officer He is responsible for the overall administration of the bank’s technology, accounting and operations teams He provides vision and insight into the development of the business strategy for the operation and technology of the bank, demonstrates leadership and expertise for technology initiatives and assists in attaining established operational goals

James Moran III has been named provost and vice president for academic affairs at the University of South Dakota. He previously served as vice chancellor for academic and student affairs with the Pennsylvania State System of Higher Education for more than four years Prior to that, he was senior associate vice chancellor and associate vice chancellor for academic and student affairs with the Pennsylvania State System of Higher Education.

NDSCS promotes Vangsness Frisch to lead new division

Nor th Dakota State College of Science recently promoted Jane Vangsness Frisch to associate vice president for the newly created student success, career services and institutional effectiveness division The new division will provide students with academic advising, academic and career counseling, tutoring and assistance with the intent to bolster student success in and out of the classroom

Vangsness Frisch joined NDSCS in 2013 and served previously as the director of student success and career services

SDSU faculty receive Microsoft research award

Reinaldo Tonkoski and Wei Sun, assistant professors in electrical engineering at South Dakota State University, have been awarded a one-year, $40,000 Software Engineering Innovation Foundation grant from Microsoft to develop a unique way to manage power for data centers. They are developing a microgrid to use locally produced power to reduce energy costs, yet maintain reliability by also being able to switch back to the main grid when needed.

The project is one of 12 chosen from more than 100 proposals to receive grant funding

Pauly named Wells Fargo business relationship manager

Brett Pauly has been named business relationship manager for Wells Fargo in Grand Forks, N D In this role, he will work with business customers to help meet their commercial deposit, cash management and credit needs

Pauly joined Wells Fargo in 2013 as a business banking trainee and previously held management positions in telecommunications and retail banking He holds a bachelor’s degree in business administration and management from Minnesota State University-Moorhead.

Greenway receives ag ambassador award

Brad Greenway received the 2014 Governor’s Ag Ambassador award at the annual South Dakota Governor’s Agricultural Summit, held June 27 in Deadwood, S D He is a shareholder of Bluestem Family Farms, a 3,400 sow swine farrowing operation He was appointed to the National Pork Board in 2009 and 2012 and continues to serve as a member He also serves as treasurer for the U S Farmers and Ranchers Alliance and has participated in numerous international trips as an advocate for South Dakota and U S agriculture

Basin Electric names Sukut CEO, Johnson CFO

Basin Electric Power Cooperative’s board of directors recently selected Paul Sukut as CEO and general manager He will also serve as president and CEO of Basin Electr ic subsidiar y Dakota Gasification Co. Sukut had been serving as interim CEO and general manager since January He previously served as the cooperative’s chief financial officer

Sukut appointed Steve Johnson senior vice president and chief financial officer Johnson had been serving as interim CFO since January

Miller receives achievement award

Border States Electric CEO Tammy Miller has received the National Association of Electrical Distributors’ Arthur W Hooper Achievement Award, the group ’ s highest honor. The award is presented to an individual who has had an exceptional career in distribution Miller is the first woman to receive the award.

In a statement, Miller says she shared the award with the employee-owners of Border States and her husband of 26 years, Craig Palmer

Etzell retires from Lake Region Healthcare cancer center

Dr Paul Etzell, medical director at Lake Region Healthcare’s Cancer Care and Research Center, has retired. He originally announced his retirement several years ago, but continued to work in the oncology department to achieve his dream of establishing a world-class cancer center in Fergus Falls, Minn. He was instrumental in the development of the center, which opened in 2010

Etzell joined the Lake Region Healthcare medical staff in 1997. He previously practiced at MeritCare in Fargo and served as medical director of the Roger Maris Cancer Center He will continue to serve on the board of directors for the Lake Regional Healthcare Foundation post-retirement.