Prairie Business October 2015

A dream becomes reality

Tom Swoyer helps grow UAS industry in North Dakota

pg. 22

Smart Homes and Businesses

Smart technology transforms homes and offices for peace of mind, constant connectivity

pg. 26

Building Blocks

Precast concrete company helps western North Dakota cities build in a hurry pg. 34

As part of Poet’s Ethanol Day the ethanol-powered Vanguard Squadron does a fly-over of the Poet plant Aug. 13 near Loomis, S.D. As part of Poet’s Ethanol Day they released the results of an economic impact study conducted in June and July and the contributions made by Poet into the South Dakota economy. PHOTO: MATT GADE/FORUM NEWS SERVICE

KORRIE WENZEL, Publisher

KAYLA PRASEK, Staff Writer

BETH BOHLMAN, Circulation Manager

KRIS WOLFF, Layout Design, Ad Design

Sales Director: JOHN FETSCH

701.212.1026 jfetsch@prairiebizmag.com

Sales:

BRAD BOYD

western ND/western SD 800.641.0683 bboyd@prairiebizmag.com

NICHOLE ERTMAN

eastern ND/western MN 800. 477.6572 ext. 1162 nertman@prairiebizmag.com

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.

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Address corrections

Prairie Business magazine PO Box 6008

Grand Forks, ND 58206-6008

Beth Bohlman: bbohlman@prairiebizmag.com

Online www.prairiebizmag.com

We believe in more than just buildings; we believe in community. We don’t chase projects; we build relationships. We believe good design makes life better. We design for the conservation of our clients’ and our Earth’s resources. We are a reflection of the values on which we were raised.

JLG DESIGN FOR LIFE

Business startups

BY MATTHEW D. MOHR

Most of us think of a new business being started by young, vibrant, go-getting entrepreneurs. Studies reveal Americans in the 55 to 64 age group actually start more businesses than those in their 20s and 30s.

Perhaps this statistic is a surprise to our readers, but it speaks to age, experience and wisdom. Pondering this statistic, one will most likely recognize it to be true. After getting experiences and learning an industry, a person is much more likely to strike out on their own or identify an opportunity to go into business for themselves.

Bruce Gjovig, entrepreneur coach and director of the UND Center for Innovation, often speaks of “serial entrepreneurs.” Only with time can multiple enterprises be developed and matured by one individual.

Doug Burgum is an excellent example of this phenomenon. Contrary to what many in the region might think, he did not start Great Plains Software. He joined the organization after its initial years, then led it through a public

offering and the eventual sale to Microsoft. He did establish the successful, fast growing Fargo real estate development firm known as the Kilbourne Group. One might say Doug followed the typical new business startup pathway — experience at growing and creating a successful business, then moving on to start one’s own new enterprise.

This is not to say individuals under the age of 55 don’t create and grow excellent businesses. Our news is filled with superstar businesses started and flourishing worldwide by young entrepreneurs. Based on numbers of business startups, those age 55 to 64 create the most. PB

Matthew D. Mohr CEO, Dacotah Paper Co. mmohr@dacotahpaper.com

WE BELIEVE IN MORE THAN JUST BUILDINGS; WE BELIEVE IN COMMUNITY.

We know that it takes more than just bricks and mortar to build a community. It takes passionate local stewardship, progressive leaders, and resourceful designers who understand how to turn a small idea into a big future. We believe that you get back what you put in, and so our 100 JLGers continuously give their time, resources and energy in order to improve our clients’, our neighbors’, and our families’ quality of life. Why is this important? Because we live here.

JLG DESIGN FOR LIFE

Community Master Plan; Elk River, Minnesota

Studies reveal Americans in the 55 to 64 age group actually start more businesses than those in their 20s and 30s.

Trucking: A bedrock of the economy

BY KEVIN BURCH

Trucks – we see them every day on North Dakota roads. We ride alongside them on the highway, and we see their trailers, decorated with the logos of nearly every major industry that moves goods and services across our country.

Interstate 29 and Interstate 94 are major thoroughfares for commerce and passengers of all varieties, and long-haul trucks travel those roads delivering critical cargo, such as food, clothing and medical supplies, to counties and towns throughout the Peace Garden State.

We recently celebrated the work of professional truck drivers during National Truck Driver Appreciation Week, and we were reminded of the sacrifices and strides these hard-working men and women of the professional trucking industry make every day to move America. After all, trucking is the only industry that directly ships to every community in America, rain or shine.

Many of us might be surprised to learn that 46 percent of the communities in North Dakota depend exclusively on trucks to move their goods. Fewer trucks on the road would mean more expensive products, less interstate commerce and slower deliveries. Remove trucking altogether and essential cargo would not arrive to our doorsteps at all.

Trucking is an economic engine driving our communities. Here in North Dakota, the trucking industry means jobs. In 2013, it accounted for about 35,780 jobs

— one out of

every 10 jobs in the state — contributing to the nearly 7 million people employed in trucking jobs nationwide.

With an average annual industry salary of over $46,551, we know that professional drivers are a large part of North Dakota’s economic growth. Total industry wages paid in North Dakota for 2013 exceeded $1.6 billion. The industry truly allows state companies to prosper and expand, to the benefit of business owners, employees and consumers of all stripes.

Trucking even helps other businesses stay efficient by delivering those essential products that all of us need, including 67 percent of total manufactured tonnage in the state – that’s 52,819 tons per day.

In North Dakota, the trucking industry is further strengthening small businesses – an important element of our economy and arguably the most important source of our nation’s long-term economic stability. As of April 2014, there were more than 3,410 trucking companies located in North Dakota, and most of them are small, locally-owned businesses with fleets of 15 trucks or fewer.

Additionally, the trucking industry is committed to sharing the road safely with all vehicles and reducing the number of car-truck accidents. Industry programs aim to educate drivers on the blind spots of trucks and other safety issues.

Add these benefits together, and trucking is one of our best-kept secrets, but such a major economic contributor doesn’t need to be, and shouldn’t be, a secret in North Dakota. So next time you’re out traveling the interstate and a semi passes by, or you’re at your local supermarket as a truck docks in the delivery bay, you’re not just looking at an impressive 18-wheeler traveling the road or providing food to stock the shelves; you’re looking at a vital machine powering North Dakota’s economy. PB

Kevin Burch Co-Chair, Trucking Moves America Forward President, Jet Express Inc. Second Vice Chairman, American Trucking Associations kevinb@jetexpressinc.com

Kevin Burch

Planning for the future

BY DAN HALVERSON

When you bring up the term “strategic planning” to most company owners, you normally get some hesitant stares and mumbled words. Most owners think strategic planning is only for large companies and the time and resource commitment is too large for them to bear. If done properly, it does not have to be so at all. When most companies really think about how much time they think about and discuss all of the future needs of the business, it probably adds up to more time than an actual planning process would take.

Many companies think they have a strategic plan, but what they really have is a one-year operating plan or budget. A strategic plan looks at all phases of the business over a longer time horizon, normally five years or more. It helps companies set a long-term direction that drives short-term activities and behaviors, and helps allocate time and resources to future endeavors, challenges and opportunities that are out there. We all hear “be proactive, not reactive” all the time — a strategic planning process makes you do just that. You can plan for more than you think you can.

Strategic Plan

Simply put, a strategic plan is a document that helps a company set priorities and specific goals, and makes sure that all stakeholders (ownership/investors, employees) are working toward understood and communicated longterm targets/goals.

Starting Point

A best practice before you start the strategic planning process is to take a look at the current state of the business — where are you at right now? A strategic assessment process that looks at all of the functional areas of the business to determine what the current state of the business is will be a valuable exercise before you start looking at a long-term plan.

Planning Team

Most firms, no matter what size, normally have a leadership/management team of about five people — president/owner, human resources, sales, operations, etc. You may want to expand that team to include folks such as IT, purchasing, quality, etc., to gain more ideas and insights to the plan. You may also have a trusted advisor you want to be on the team.

Role of Ownership

It is critical the owners of the business make it clear to the planning team why this process is important to the business and that it is a development opportunity for all concerned. It also shows commitment to the business by the owners and can create some real teamwork between the planning members about how they have been entrusted with this very important process.

Other Considerations

Many companies try to accomplish a strategic planning process in a couple of days during their management retreats. This normally does not work. Many ideas will come up during the planning process which will require some more research and reflection, and there is no way to do that in a compressed time. The planning process should be spread out over several months, meeting occasionally to give some mental “downtime” and reflection time before meetings.

The first step of any planning process is to review and redefine the mission, vision and values of the business. The mission of the business is “who we are.” The vision is “who do we want to be.” The values are the core principles that guide the business. These all should be simple, straightforward and understandable to all inside and outside of the company.

A strategic plan is a living, breathing document. It is not a book on shelf. Every year you must drop off and add on a year to the plan, to reflect any challenges and/or opportunities that may have come up that may alter the strategic direction of the company. The plan is also the basis for your yearly budgeting process — they must be aligned and in sync with each other.

Strategic planning, if done properly, is a tremendous team building activity and helps the business operate as an aligned team, facing, confronting and proactively addressing the opportunities and challenges that the ever-changing marketplace will inevitably be throwing at us. And that changing marketplace will likely be changing more rapidly than ever going forward. PB

Dan Halverson Director of Operations, Impact Dakota danh@impactdakota.com

Dan Halverson

A strategic plan helps companies set a long-term direction that drives short-term activities and behaviors.

愀戀戀甀猀椀渀攀猀猀⸀挀漀洀 ㄀ⴀ㠀　　ⴀ㐀㜀㜀ⴀ㈀㐀㈀㔀

WE BELIEVE GOOD DESIGN MAKES LIFE BETTER.

At our core, JLG lives and breathes design excellence; it counts – at every level and for every position. We balance innovative design with obsessive budget control to generate solutions that are as creative as they are practical. Function is the baseline; form is what lifts up the spirit; and innovation elevates the experience for our clients, their visitors, and the community as a whole. JLG’s clients have earned over 100 design awards in celebration of this commitment to bettering lives through architecture.

JLG DESIGN FOR LIFE

Loretta Block; Fargo, North Dakota

The research and development tax credit could help reduce your taxes

BY JOE STODDARD

In 1981, as part of the Economic Recovery Tax Act (ERTA), Congress enacted a new tax credit. The purpose of the new tax credit was to encourage companies to incur expenses related to the conduct of research activities in an effort to stimulate an increase in capital for the development of ideas leading to increased productivity. The original legislation was intended to expire in 1985; however, since then, the credit has expired and been extended 16 times with various changes in the method of calculation and the definition of qualified research expenses (QREs). The last extension occurred with the Tax Increase Prevention Act of 2014 which extended the credit for QREs paid or incurred before 2015.

Earlier this year, the U.S. House of Representatives proposed to restore, permanently extend and expand various provisions of the R&D tax credit; however, the chances for a more longterm incentive are currently unsettled. Right now, there is strong bipartisan support for the credit since it is seen as critical to competing in a global market. However, there is a conflict in thinking. The Senate Finance Committee has separately proposed a two-year extension and expansion of the credit. Because of the conflict, it is expected that in the coming months Congress will enact a two-year extension of the credit, not a permanent extension, effective retroactively to when the credit last expired Dec. 31, 2014.

The regular federal R&D tax credit equals 20 percent of QREs that exceed a base amount. The Alternative Simplified Credit (ASC) amount is 14 percent of QREs that exceed a base amount. The base amount limitation often decreases the maximum net federal credit benefit into the 6 to 7 percent range, before consideration of state R&D type credits which many states now offer. The credit results in a dollar-for-dollar reduction in federal tax liability. This

can reduce an effective tax rate, improve earningsper-share and improve cash flow.

As noted above, the R&D credit is generally calculated using one of two different methods, the Regular Credit or the ASC. The Regular Credit relies on historical data that may require the taxpayer to go back over 30 years to compute a base amount. Use of the ASC eliminates “base period” difficulties.

The R&D tax credit is a business credit subject to the general business credit limitation rules. Any unused general business credits may be carried back one year and forward 20 years.

Many companies take advantage of the R&D tax credit every year. The R&D tax credit is available for the development of a new product, process, formula or software design; the building and testing of prototypes or models (including computer-generated models); design related to construction or engineering activities; improving or enhancing existing production or manufacturing processes; developing, customizing or upgrading software; or automating or streamlining internal processes. Non-qualifying activities includes activities done outside of the U.S., market research and nontechnical research, such as consumer taste or styling.

“Qualified research activities” are those activities undertaken specifically for the purposes of discovering information which is technological in nature, eliminating uncertainty in the development of a business component, relying on the process of experimentation or creating a new or improved function related to performance, reliability or quality.

“Technological in nature” refers to the process of experimentation utilized in the research. Information is deemed technological if the process of experimentation fundamentally relies on principles of the physical or biological sciences, engineering or computer science.

“New” means new to the taxpayer and is not freely available to the public.

“Qualified research expenses” include in-house research expenses, which include wages paid to

Joe Stoddard

Activities such as developing a new product, improving existing manufacturing processes or automating internal production could qualify you for a tax credit.

employees (including support and supervision personnel) for qualified research activities; and supplies purchased for use in qualified research activities (excluding land, improvements to land and depreciable property); or contract research expenses, which are amounts paid to a third party for purposes of conducting qualified research activities on behalf of the taxpayer.

Indirect, general, administrative and overhead expenses do not qualify as “qualified research expenses.”

Taxpayers who qualify for the R&D credit and have not claimed the credit can amend returnsfor any open tax years. Contact your CPA to investigate and reevaluate your situation to ensure you are making the most of the potential credits available. PB

Joe Stoddard, CPA Partner/Director of Research and Development Tax Incentives Eide Bailly jjstoddard@eidebailly.com

WE DESIGN FOR THE CONSERVATION OUR CLIENTS AND OUR EARTH’S RESOURCES.

Our northern roots have given our firm an ingrained respect for the environment and its conservation thereof. As a design firm, we tangibly impact our environment and we don’t take that responsibility lightly. We work hard to lower energy usage and our building’s thirst for resources. We understand that it is our responsibility to continue the stewardship of our environment, ensuring that we not only better our lives and communities but also leave a prosperous legacy for our children and the many generations to come.

JLG DESIGN FOR LIFE

UND Gorecki Alumni Center; Grand Forks, North Dakota

ND building wins national design competition

The Loretta Building in Fargo, N.D., was named winner of the “Commercial” category in the 2015 Marvin Architects Challenge. The annual competition highlights the year’s most architecturally creative residential and commercial projects, which feature Marvin Windows and Doors.

This is the first year Marvin’s Architects Challenge introduced individual design categories. The Loretta Building stood out in the “Commercial” category, which focuses on structures used for commercial purposes, including income-generating residential buildings larger than single-family homes.

Judges were impressed by the Loretta Building’s metamorphosis to a clean modern aesthetic while restoring and respecting the original structure. The Loretta Building was designed by Lee Dobrinz of JLG Architects.

Northern Plains businesses named to Inc. 5000 list

Ten northern Plains companies have been named to the 2015 Inc. 5000 list, an exclusive ranking of the nation’s fastest-growing private companies. The companies include AirCorps Aviation, Bemidji, Minn.; BNG Holdings, West Fargo, N.D.; Choice Therapy, Bemidji, Minn.; Click Rain, Sioux Falls, S.D; JLG Architects, Grand Forks, N.D.; Karvakko Engineering, Bemidji, Minn.; Pedigree Technologies, Fargo, N.D.; RealTruck.com, Jamestown, N.D.; Secure Banking Solutions, Madison, S.D.; and Weisser Distributing, Tea, S.D.

The 2015 Inc. 5000 list ranks the top companies in the nation according to the percentage of revenue growth from 2011 to 2014.

Launchboxx introduced as first dedicated UAS marketing team

Absolute Marketing Group announced the creation of Launchboxx at the State of Technology event in Fargo, N.D., in August. Launchboxx is a full-service advertising and marketing team specializing in the quickly evolving unmanned aircraft systems industry.

Brian Jorvig, drone marketing specialist, and MacDalton Berns, marketing advisor and partner at Absolute Marketing Group, recognized the need for emerging companies in the UAS industry to set themselves apart from the competition and get noticed by investors, customers and the media. Launchboxx is the first dedicated UAS marketing team in the United States.

M State welding trailer wins innovation award

Minnesota State Community and Technical College’s unique mobile welding trailer is one of three top winners of Minnesota’s 2015 State Government Innovation Awards. Nearly 300 men and women have been trained in the college’s welding trailer since it went on the road in May 2013.

M State’s Custom Training Services developed the trailer to meet industry training needs in the college’s 19-county region and to provide education to workers who were unable to enroll in on-campus or credit-based courses. The college has partnered with workforce centers, state agencies, businesses and high schools to provide the training, which generally is free to the students.

M State is using grant funds to develop three additional mobile trailers to provide training related to commercial driver’s licenses, industrial/construction workplace safety and precision measurement/manufacturing.

CHI St. Alexius Health opens Minot medical plaza

CHI St. Alexius Health Medical Plaza in Minot, N.D., is now open to new and existing patients at a new state-of-the-art facility located at the intersection of Landmark Circle and 21st Avenue NW.

The medical plaza features primary care and specialty care exam rooms with the added convenience of having clinical services under one roof, including laboratory, diagnostic testing and screenings.

The $28 million, 67,575-square-foot facility has two internal medicine physicians and five advanced practice clinicians on staff, along with specialists who travel from Bismarck to see patients on a regular basis.

Altru opens orthopedic center

Altru Advanced Orthopedics has opened its new location at Altru Professional Center in Grand Forks, N.D. The 14,200-square-foot space includes seven cast bays, two x-ray rooms and 24 exam rooms. This move combines all orthopedic care to one location, adjacent to the Altru Specialty Center.

ND company to be featured on TV show

R&R Contracting, a Grand Forks, N.D., company, has been selected as national representation for railroad contractors for the television show “World’s Greatest.” Each episode of the TV show focuses on one particular industry, with R&R Contracting’s segment airing on an episode covering the railroad industry.

The “World’s Greatest” film crew visited R&R Contracting’s Grand Forks headquarters, along with a project site in Pillsbury, N.D.

Marco acquires Crabtree’s copier business

Marco Inc. announced it has assumed responsibility for the copier sales and service previously provided by Crabtree Companies Inc. Marco welcomed the employees who previously supported Crabtree’s copier sales and service to its employee-owned team. Crabtree Companies will continue to provide Laserfiche sales and support.

BTD acquires Impulse Manufacturing

BTD Manufacturing Inc. has acquired Impulse Manufacturing of Dawsonville, Ga., for $30.5 million cash. BTD is a subsidiary of Otter Tail Corporation.

Impulse is a full-service, high-tech metal fabricator, offering a wide range of metal fabrication services ranging from simple laser cutting services and high volume stamping to complex weldments and assemblies for metal fabrication buyers and OEMs of all types.

BTD has facilities in Detroit Lakes and Lakeville, Minn., and Washington, Ill.

Research ND awards grants to two UAS projects

The North Dakota Centers of Excellence Commission awarded funding requests for two Research ND grants in August. NDSU’s Department of Electrical and Computer Engineering, in partnership with Cyclops Technologies Inc., was awarded $291,784 to develop and miniaturize a through-the-wall sensor payload that can be operated from a small unmanned aircraft system and can be used by law enforcement and search and rescue teams. NDSU Agricultural and Biosystems Engineering, in partnership with Elbit Systems of America, was awarded $357,546 to collect crop data using infrared, thermal, color and multi-spectral sensors on both large and small UAS.

Moore Engineering named to circle of excellence

Moore Engineering Inc. was selected by PSMJ Resources Inc. for its Circle of Excellence for the third consecutive year. Nationwide, only 66 firms made the exclusive list in 2015. Moore Engineering is the only North Dakota engineering firm on the 2015 list.

PSMJ’s Circle of Excellence highlights firms that are well-managed, based on key performance metrics that demonstrate outstanding achievements, including cash flow, productivity, overhead management and staff retention.

EAPC opens Twin Cities office

EAPC Architects Engineers has opened a new office location in St. Paul, Minn. With several projects in progress in Minneapolis and surrounding areas, this location provides an office presence which will focus primarily on providing health care design services.

Eide Bailly ranked among nation’s best

Eide Bailly, a regional CPA and business advisory firm, was named to Bob Scott’s Insights 2015 Top 100 VARs list, which honors 100 organizations for their accomplishments in the field of mid-market enterprise resource planning and financial solutions. Selection for the 2015 Top 100 VARs was based on factors such as annual revenue and growth.

WE ARE A REFLECTION OF THE VALUES ON WHICH WE WERE RAISED.

How we conduct ourselves in business and the way we approach projects are a reflection of the values on which we were raised. We are proud of our roots and in being trustworthy, family-loving, down-to-Earth people. For our clients, we embrace hard work and opportunity. We are dedicated to doing it the right way, always, to create value to the entire community.

Sanford

Pentagon; Sioux Falls, South Dakota

HDR promotes Kjenstad, adds Moran

HDR has promoted Jason Kjenstad to lead its transportation operations in the Dakotas and Wyoming. Kjenstad has been with HDR since 1999 and held positions of increasing responsibility since then, most recently as the transportation section manager for South Dakota.

Bill Moran has joined HDR as the area water business manager for the Dakotas and Wyoming. Prior to joining HDR, Moran worked for HRGreen, most recently as South Dakota regional director for the transportation market. He has more than 33 years of industry experience on a wide variety of infrastructure projects.

NDSCS dean named NCWE president

North Dakota State College of Science Dean of Technologies and Services Barbara Bang has been named president of the National Council for Workforce Education. Bang will also serve as a representative for the Commission on Economic and Workforce Development for the American Association of Community Colleges. Her oneyear term as NCWE president began July 1.

First International names CFO

First International Bank & Trust has named Anita Quale its chief financial officer. This is the first time FIB&T has named a CFO. Quale is also the first female to hold a C-level position at FIB&T.

Quale has been with the bank for 34 years, most recently in the role of director of accounting and finance. Quale is located at company headquarters in Watford City, N.D.

Jason Kjenstad

Barbara Bang

Anita Quale

L&S hires Querry

Ryan Querry has joined Lawrence & Schiller as the director of business development. He previously worked for Legends in Dallas, San Francisco and Sioux Falls, where he was the general manager of sales and marketing at the Denny Sanford Premier Center. Originally from Omaha, Neb., Querry is a graduate of Bellevue University.

CxS promotes Cooper

Commissioning Solutions Inc. (CxS) has promoted Andy Cooper to director of operations.

Cooper has 14 years of experience in designing and drafting mechanical systems as well as nine years of commissioning experience. According to CxS, Cooper’s experience and ability to organize and oversee commissioning activities make for an effective and streamlined commissioning process.

Cooper also has earned his Certified Commissioning Professional designation from the Building Commissioning Certification Board.

act,

Andy Cooper

Ryan Querry

Ulteig hires Kisch

Kurt Kisch has joined Ulteig as technical director of land services, bringing nearly 30 years of prior experience with him.

Prior to joining Ulteig, Kisch held director level positions leading land services organizations comprised of nearly 30 people across multiple offices. He completed his bachelor’s degree in engineering technology with surveying option at East Tennessee State University.

Ames joins Western State Bank

Brooke Ames recently joined Western State Bank as assistant vice president - mortgage loan processing manager.

Prior to joining Western, Ames served as a mortgage processing supervisor at Bell State Bank & Trust in Fargo, N.D., and worked in both real estate and business banking at First International Bank & Trust in Fargo. She earned a bachelor’s degree in finance from Minnesota State University Moorhead.

NDSU names director of admission

Merideth Sherlin has been named director of admission at North Dakota State University.

Sherlin has 18 years of higher education experience. She started working in the NDSU Office of Admission 17 years ago as coordinator of outreach activities and was promoted to different positions within the office. She served as associate director for 12 years before being appointed interim director in February.

Kurt Kisch

Brooke Ames

Merideth Sherlin

A dream becomes reality

Tom Swoyer helps grow UAS industry in North Dakota

BY KAYLA PRASEK

John Schmisek calls Tom Swoyer “a dreamer” who can make those dreams a reality. The retired Grand Forks County commissioner has worked with Swoyer for the past five years to help bring Grand Sky to life, which culminated with a groundbreaking ceremony in September.

Grand Sky, located adjacent to the Grand Forks Air Force Base near Grand Forks, N.D., is the United States’ first unmanned aircraft systems (UAS) business and aviation park. Jeff Donohoe and Swoyer were initially hired by the Base Realignment Impact Committee to do a feasibility study for a ground study for UAS in Grand Forks.

looking into UAS and from there it grew,” Schmisek says. “When we brought Tom in, it became evident he has a passion for (UAS) and for this project. He has grown to be a real friend of North Dakota and of the Grand Forks region. He is fantastic at bringing all the right entities together and making it all happen.”

SERVICE

“We had started talking about what else we could do here to help the economy, and we started

Swoyer is president of Grand Sky Development and New Braunfels, Texas-based Infinity Development Partners, which he started in 2011. He began his career at West Chester, Pa.-based Weston Solutions, an environmental solutions company started by his grandfather, where he worked for 20 years. During his time at Weston, he led the company’s real estate development team and focused

Officials pitch shovels full of gravel during a ceremonial groundbreaking for Grand Sky, the country’s first business park focusing on UAS technology Sept. 10, 2015, at Grand Forks Air Force Base near Grand Forks, N.D

PHOTO: ERIC HYLDEN/FORUM NEWS

on military base development through the federal Enhanced Use Lease program.

“When I left to start my own company, my intention was to start projects by leasing land on active military bases,” Swoyer says. “Because I specialize in this area, I was ultimately hired by the base to start Grand Sky.”

As president of Grand Sky Development, Swoyer is in charge of marketing, tenant leasing and government and community relations. Swoyer says he “sets the vision” of Grand Sky.

Swoyer gives credit to Grand Forks area and state leaders for their vision to make the region a UAS hub. “The community leaders recognized (UAS) is the future, and a good way to support and invest in the base. Team North Dakota contributed to all of this. They were the people who had the vision to embrace unmanned technology. They were the people who didn’t ask ‘Why?’ but ‘Why not?’ Their pioneering investments provided the knowledge and expertise to create this.”

The plan initially was to focus on UAS data analysis, but eventually it morphed into Grand Sky. “We realized we needed to expand to do all things drone, including training, research and development, data analysis, testing, flying and operations. At the same time, we also recognized the need for the first drone airport.”

Construction is underway on infrastructure at the Grand Sky site and is expected to be completed by the end of the year. Northrop Grumman, Grand Sky’s first anchor tenant, plans to break ground in October, while Swoyer expects two more tenants to sign leases before the end of 2015.

Grand Sky has also received clearance from the Federal Aviation Administration for flight activity. “We can officially say we’re open for business,” Swoyer says.

Long term, Swoyer’s goals for Grand Sky are to continue developing the 217-acre business park and to grow the UAS industry in North Dakota and the Upper Midwest. “We expect to see hangars, offices, shops, laboratories and data centers filling in the 1.2 million square feet to make Grand Forks a UAS hub.”

Swoyer says he expects Grand Sky to bring major economic impact to the Grand Forks community in the form of property taxes and more than 1,000 jobs at Grand Sky. He also expects another 1,000 people will

come to Grand Forks annually for UAS training, while another 1,000 indirect jobs supporting those companies also will be created.

“The bigger element of this is that we’re helping grow the aerospace industry in North Dakota,” Swoyer says. “This is an entirely new business, with different kinds of jobs being created, many that don’t even exist yet. It will create more economic diversity in North Dakota.” PB

Kayla Prasek Staff Writer Prairie Business magazine 701-780-1187, kprasek@prairiebizmag.com

Tom Swoyer, president of Grand Sky Development, speaks during the Grand Sky groundbreaking ceremony Sept. 10, 2015, at Grand Forks Air Force Base near Grand Forks, N.D. PHOTO: ERIC HYLDEN/FORUM NEWS SERVICE

“Hehasgrowntobe arealfriendofNorth Dakotaandofthe GrandForksregion.”-JohnSchmisek formerGrandForks Countycommissioner

A UAS hovers at the Grand Sky business park Sept. 10, 2015, at the groundbreaking for the new technology park at Grand Forks Air Force Base near Grand Forks, N.D. PHOTO: ERIC HYLDEN/FORUM NEWS SERVICE

1. Security and other items can be controlled and monitored via a small portable monitor that can also be controlled by a key fob.

PHOTO: DAVE WALLIS/FORUM NEWS SERVICE

2. A rack of monitoring and audio controls is in a cabinet in a storage room in the lower level of this new West Fargo, N.D., house built by Dietrich Homes.

PHOTO: DAVE WALLIS/FORUM NEWS SERVICE

3. A small security camera sits on a ledge near the kitchen area of this home in a new West Fargo, N.D., house built by Dietrich Homes. PHOTO: DAVE WALLIS/ FORUM NEWS SERVICE

Smart Homes and Businesses

Smart technology transforms homes and offices for peace of mind, constant connectivity

BY KAYLA PRASEK

When Mark Honzay started his career in architecture eight years ago, the only smart technology going into homes and businesses was programmable thermostats. Nearly a decade later, Honzay, an architect with JLG Architects in Fargo, N.D., designs commercial spaces that have the potential to be entirely automated with a single tap of a touchscreen.

Thanks to the increasing popularity of smartphones and apps, customers want to always be connected to their homes or offices, and communications companies are making it happen. “We are always connected,” says Brad Schoenfelder, vice president of operations at Midcontinent Communications in Sioux Falls, S.D. “We are never away from our phones, and we want to be able to watch our primary investments — our children and homes — and have peace of mind.”

Smart Technology Options

Midcontinent introduced its SmartHome service a year ago on a limited basis and has now rolled out the service to its large markets. The company is working on a do-it-yourself installation service, which would bring the service to the company’s small markets as well. SmartHome is a wireless product that “allows you to be more connected to your home and family,” Schoenfelder says. “We felt there was a missing link in the traditional security system, and our product fills it.”

SmartHome services include security cameras, motion sensors, alarms, water sensors and keypads, thermostats and lights that can all be activated remotely. “There are a lot of products that do home security, but our service lets you customize exactly what you need. It’s not just security either;

SmartHome also lets you remotely connect and control your home,” Schoenfelder says.

For interested customers, Midcontinent provides a consultation to give them the best options for their needs. “Many people don’t need SmartHome for security, so they aren’t aware of everything it can do. For a reasonable cost, you can know when your children come home, save energy and make your home comfortable,” Schoenfelder says.

Midcontinent has not extended the service to businesses because most businesses want recorded cameras, which is not an area the company has invested in yet, Schoenfelder says.

Bemdiji, Minn.-based Paul Bunyan Communications offers a whole suite of smart technologies for both the home and office, says Gary Johnson, the company’s CEO and general manager. Those technologies are featured in the Launchpad, Greater Bemidji’s co-working space located in Bemidji’s historic Mayflower building. Paul Bunyan installed its GigaZone gigabit Wi-Fi, digital cameras for monitoring and remote access control throughout the entire Mayflower building. The Launchpad features a high-definition video wall for digital signage in its atrium and other digital signage throughout the building, all of which can be controlled remotely by staff, as it is all software based.

The Launchpad’s boardroom is the smartest room in the building, Johnson says. It features an eight-foot LED panel display, video conferencing and Apple TV for wireless presentations. Everything is wireless and can be remotely controlled. The entire room, including the screen and lights, is controlled via an iPad. “It’s a very simple interface and is all integrated together to be user friendly. This has been a fun project for us, and we’ve enjoyed having the opportunity to explore the technology and see all of these services layered together. This was an opportunity for the facility to have smart technology, but also for us to showcase what we can do,” Johnson says.

Johnson says the majority of the smart technology featured in the Launchpad is also available for homes. “We’ve had interest in smart homes since our announcement of gigabit Wi-Fi. We’ve offered smart home technology for two years.” The company has worked with numerous small home-based businesses as these smart technologies have become cheaper. “Those business owners used to be limited because of money, but now they can afford to monitor their homes and businesses.”

Jamie DeJean owns Smart Home Technologies, a West Fargo, N.D.-based smart technology company. DeJean describes Smart Home Technologies as a “system integration company.” “We take the various parts of a home — such as the heating/cooling system, motorized shades, lighting and audio/video system — and allow them to work together as a single, cohesive system,” DeJean says.

Smart Home Technologies provides whole home video and music systems, lighting control systems, motorized window treatments, heating/cooling system control, home network systems and video monitoring equipment. These systems can be controlled by in-wall keypads or touch panels, hand-held remote controls, smart phones or iPads, depending on a client’s needs.

DeJean’s company can provide fully integrated homes, but the service can also extend to businesses, including office buildings, conference rooms and bars and restaurants. For example, in a conference room “a single press of a button can automatically prepare a room for a presentation or meeting, and then turn off lights and audio/video equipment when the room is no longer in use.”

DeJean says Smart Home Technologies works directly with clients, but many times builders and architects will bring their clients to him, at which point Smart Home employees will do a technology interview with the client to determine which package best fits the client’s needs. “Technology integration allows the different parts of our homes and businesses to operate together in a simple, efficient manner. We are focused on making our clients’ daily lives more enjoyable through simple-to-operate entertainment and technology systems.”

Designing for Tech

When Honzay, the JLG architect, designs commercial spaces, every building has at least a programmable thermostat. It depends on the client — because it is still expensive technology — so they have to see the value in spending the money on it,” Honzay says. “For example, if IT spends a lot of time setting up rooms, then there could be value in investing in smart tech.”

Honzay says he sees the most requests for smart technology from universities. “Higher education administrators want their lecture halls to be able to change very quickly. The lighting can all be programmed via touchpad, and the lecturer can choose what they’re doing and it will activate the whole room.” For example, a professor could tap a button

labeled “projector” and the projector would turn on, the screen would lower, lights would dim and window screens would roll down.

Many universities and commercial spaces have also invested in room scheduling integration, Honzay says. Digital signs are mounted outside meeting rooms and are updated as soon as the rooms are reserved online.

When he’s designing, Honzay tries to future-proof facilities as much as possible. “It can be difficult, because technology changes so quickly. What we can do is provide infrastructure that allows the system to be switched out with minimal work and minimal disruption,” he says.

Stan Schimke, director of health care services at EAPC Architects Engineers in Bismarck, N.D., focuses on making health care facilities smart. “Health care providers want to create a patient experience, so mobile check-in and technology-based registration have become very popular,” he says. Hospital beds are more advanced, there are smart boards in patient rooms and patients have control of their environment with remote control window blinds and overhead lighting. Patients can order meals from a tablet, while doctors and nurses access patients’ charts via tablets.

“When we’re working on a health care facility, the technology is talked about right up front,” Schimke says. “We walk through the project and figure out where we can work in various technologies. We also future-proof the facility for changing technology.” Schimke says he frequently attends health care conferences, lectures and trade shows to keep up with the latest trends in health care technology.

“Health care providers are starting to see a lot of their patients using wearable health care devices, so they’re tracking their health in real time and are becoming part of the care team,” Schimke says. “The more connected people are, the more options we want to provide.”

At the Mayflower building, Greater Bemidji Executive Director Dave Hengel says it was important to him that the building showcase the smart technology available in the region. “We renovated the Mayflower to act as a front door for Bemidji,” Hengel says. “People might think we don’t have technology, but when you walk in here, it shows that a rural community like Bemidji can have emerging technology. This technology shows we aren’t a typical small community; rather, we’re an emerging regional center.”

Hengel says technology is a geo-equalizer. “You don’t have to be in a metropolitan area to be successful. This technology provides everyone the same opportunity and creates opportunities for businesses in regional centers like Bemidji.” PB

Kayla Prasek Staff Writer Prairie Business magazine 701-780-1187, kprasek@prairiebizmag.com

“We are never away from our phones, and we want to be able to watch our primary investments — our children and our homes — and have peace of mind.”

- Brad Schoenfelder, vice president of operation, Midcontinent Communications

DIFFERENT BY DESIGN

Growing Town on the Prairie Brookings experiences economic growth beyond SDSU

BY ROB SWENSON

A$70 million agricultural processing plant is being built without much fanfare near the thriving, eastern South Dakota college town of Brookings, S.D. Brookings-based Novita Nutrition LLC is building the plant to produce a highly digestible form of corn protein meal for dairy cows.

The $70 million figure includes the cost of equipment and $3.5 million in initial working capital. Construction began last spring about 2 miles east of Brookings, near the smaller town of Aurora. Concrete has been poured, and steel has been erected. The plant is scheduled to begin operations in the third quarter of 2016.

Novita will use distillers grain — a byproduct of the corn used by ethanol plants — to make high-performance feed. The

plant also will extract corn oil from distillers grain. The plant will produce about 12 rail cars of meal and one rail car of corn oil per day. It will employ 30-40 people, says Don Endres, CEO and cofounder of Novita.

Construction of the Novita plant is one of several recent signs of entrepreneurial success in Brookings, which, with 23,000 residents, is South Dakota’s fourth largest city.

Despite its relatively small size, Brookings has a strong history of business success, particularly in manufacturing, with local companies such as scoreboard and display maker Daktronics Inc. and storm door maker Larson Manufacturing serving national markets. Other prominent companies with plants in Brookings include 3M Co., Twin City Fan & Blower Co., Falcon Plastics Inc. and Bel Brands USA.

Construction is ongoing at the Novita Nutrition construction site, between Aurora and Brookings, S.D.

PHOTO: NOVITA NUTRITION

Now, a fresh wave of technology-driven enterprises is taking root in the Brookings County community.

“The support and infrastructure that Brookings has is second to none,” Endres says. “We have not only the research here and the workforce, we also have investment funds.”

In addition to Novita, other recent examples of entrepreneurship thriving in Brookings include Prairie AquaTech and Medgene Labs, two relatively new and growing businesses that spun out of research at South Dakota State University, which is a key to much of Brookings’ economic success.

Prairie AquaTech converts commodities such as soybean meal into high-quality protein used to feed fish and other animals. Medgene focuses on research and vaccine development to prevent the spread of infectious diseases in food animals.

Mark Luecke serves as the CEO of both Prairie AquaTech and Medgene. He is also the managing director and CEO of South Dakota Innovation Partners, a venture capital firm in Brookings and Sioux Falls that helps researchers and research institutions start businesses by investing capital and business expertise.

Luecke attributes much of Brookings’ recent success in business development to strong leadership. Three leaders from different community sectors stand out, in particular, he says. They are:

• David Chicoine, president of SDSU. Prior to being named president in 2007, the South Dakota native worked for more than 30 years for the University of Illinois. He spent his last six years there as vice president for technology and economic development.

• Van Fishback, business and civic leader. The Brookings native is the vice chairman of First Bank & Trust and of Fishback Financial Services, a regional banking system. He is also an investor in emerging businesses.

• Al Heuton, executive director of the Brookings Economic Development Corp. He has been in the position for more than 10 years. He previously was the executive director of the Panhandle Area Development District in Nebraska.

“When you’ve got three important leaders like that, it makes it very easy to do business entrepreneurially in a community like Brookings,” Luecke says.

Brookings also has some veteran business leaders that continue to contribute to the community’s economic well-being, Luecke says. They include Al Kurtenbach, the cofounder and former CEO of Daktronics, and Dale Larson, chairman and former CEO of Larson Manufacturing.

RTI LLC is another recent example of successful entrepreneurial activity in Brookings. RTI was established 21 years ago by four professors from SDSU. Last April, the company broke ground on a supplemental 21,000-square-foot facility that will be used for veterinary research and environmental and food safety testing.

The company will retain its existing work space in the city-owned Research and Technology Center.

Rollie Nevins, the COO, was brought in three years ago to help RTI grow. The company presently employs about 25 people. It has received strong support in its expansion efforts from local and state development agencies, SDSU and city business leaders.

“They’re very inclusive and willing to share ideas, whether it’s a business expanding or somebody starting a business,” Nevins says. “It’s a great community. Exciting things are happening.”

Not all of the community’s recent economic growth has been ag-related. Last year, for example, Discovery Benefits of Fargo expanded its operations to Brookings to accommodate business growth. The company, which provides employee-benefit services, employs approximately 50 people in Brookings and expects to add more.

Brookings recently was named one of 25 communities in the nation that will receive a $50,000 federal grant to help entrepreneurs get into business quickly. The goal of the program administered by the U.S. Small Business Administration is to enable entrepreneurs to apply for all the permits and licenses they need in one day.

The grant award was the result of a national Startup in a Day competition. President Barack Obama announced the winners in August.

Heuton says that after grant rules have been clarified, Brookings will launch a website to help entrepreneurs file applications quickly. Brookings’ history of entrepreneurship probably helped the community win one of the 25 grants, he says.

Brookings opened the first business incubator in South Dakota in the early 1980s, and in 2007 opened the state’s first research park, according to the BEDC. Last year, the organization hired a full-time entrepreneurship coordinator. Beth Knutson holds the job.

Fishback says high-tech businesses can be just as successful in the Upper Midwest, along the Interstate 29 corridor, as they can in the Silicon Valley or Boston area. Brookings lacks the population density of the Twin Cities or even Sioux Falls or Fargo, Fishback says, “but it’s a pretty prolific area in terms of ideas. There’s a lot of creativity going on.”

The researchers, engineers and entrepreneurs that SDSU produces is a big plus, he says. In addition, Brookings is located along the I-29 corridor, has a good supply of water and business leaders who are active in the community.

“We wouldn’t have the success we have had without the people at the university and people like Don Endres,” Fishback says. “Good ideas are hard to find. You’ve got to have that spark or you’re going to spend a lot of time staring out the window.”

Chicoine says getting the right people to run and advance new businesses is the biggest challenge for new companies in the Midwest. “It was hard in Illinois. It’s harder in South Dakota,” he says.

If a startup business has good technology and a good team, it can find capital, Chicoine says. The biggest challenge is getting the right team, he says.

“We’re sort of growing our own. That’s good, but it’s slow,” Chicoine says. “You put the right structure and organization in place, and get the right people, and you have good outcomes.” PB

Rob Swenson Contributing writer RobSwensonMediaServices@gmail.com

Building Blocks

Precast concrete company helps western North Dakota cities build in a hurry

BY KAYLA PRASEK

When thinking about an architecturally beautiful building, precast concrete probably isn’t the material one expects to be used. However, Wells Concrete is changing that idea with its architectural insulated wall panels.

Wells Concrete, which has manufacturing plants in Grand Forks, N.D., and Wells, Albany and Maple Grove, Minn., provides architectural and structural precast products for commercial construction projects across the Upper Midwest and Canada.

like Wells Concrete for the many benefits precast provides. “We’re selling off-site labor. We make everything in Grand Forks and send it out there (to western North Dakota). We aren’t sending a crew of 500 out there to build a school. We’re sending a team of five guys, so we aren’t a burden on those cities,” Monzelowsky says.

The Williston Area Rec Center in Williston, N.D., was designed by JLG Architects and showcases the different ways pre-cast concrete can be used.

Sunrise Elementary School in Bismarck, N.D., designed by Ritterbush-ElligHulsing PC, is another example of a pre-cast concrete school.

Erik Ramstad Middle School, located in Minot, N.D., shows how pre-cast concrete can be treated to be different colors or look like brick, but for a lower cost.

PHOTOS: WELLS CONCRETE

To make a precast concrete panel, concrete is poured into a form and, once dried, a finish is applied. The beauty of precast concrete is that there are a wide array of colors available to create any look the customer wants, says Scott Monzelowsky, sales/project manager for Wells Concrete in Grand Forks. “Precast concrete is no longer just boring gray buildings. They are architectural buildings that you would have no idea are concrete.” Precast concrete buildings could, for example, have a brick finish or images embossed into the concrete.

Because all of Wells Concrete’s panels are insulated, the walls can go up and immediately be textured and painted, as no Sheetrock needs to be put up. All of the electrical wiring can be installed within the panels as well, saving a step once the building is in the ground.

While precast concrete is most popular for the building’s shell, Monzelowsky says an entire building can be made from precast, including the roof, beams, interior walls, stairs and landings. “Our goal is to push for total precast so it can all be self-contained,” he says.

Once the panels are ready to be set, a small crew puts the panels in place using a crane and welds each panel together. The crew can set 100 linear feet per day.

While Wells Concrete was first started in 1951, the oil boom in western North Dakota and the growth that has come with it have made the past five years some of the company’s busiest, Monzelowsky says. “Eighty percent of what we manufacture at the Grand Forks plant goes to western North Dakota. The three types of buildings we’re mainly seeing are schools, jails and water treatment plants.”

Organizations have turned to precast concrete companies

Ross Wilmes, a general contractor with Kraus Anderson, has worked with Wells Concrete since 1999 and is currently working on three schools in Minot, N.D., and a school addition in Alexander, N.D., with the company. He says his clients usually latch onto the notion of using precast pretty quickly. “It’s a pretty easy sell. In these remote locations, there isn’t the labor necessary to build the buildings my clients need. Precast buildings can go up faster in a time when project timelines are tighter.”

Precast buildings can be built year-round. In Grand Forks, the company’s employees create the panels in a climate-controlled environment, meaning their work never has to stop because of weather. Precast panels can be set year-round as well, which saves the company’s clients money, as they don’t have to account for winter and they can get into their buildings faster. “We’ll get out there, and if it’s a school, we’ll set the gymnasium first, and that can act as a construction hub during the winter months,” Monzelowsky says.

The speed at which a precast building can take shape has been another reason why organizations in western North Dakota have turned to companies like Wells Concrete. “From design to casting to setting, we’ve done a two-story office building in 30 days, but that was during a slow period,” Monzelowsky says. “Now, we’ve done a high-end architectural gym in three months. It does vary from product to product, but every building still has that speed factor. It will always be faster than a brick and mortar building.”

Because there is such a labor shortage in western North Dakota, companies “love this,” Monzelowsky says. “It’s all about compressing schedules and getting into these buildings as fast as possible.” Precast is a cheaper building option, while still forming a maintenance-free, lifetime building. It also has a higher resale value and won’t deteriorate, but still has an architectural look to it. “School districts want a great building they don’t have to maintain,

Erik Ramstad Middle School

Sunrise Elementary School

Williston Area Rec Center

and precast is their best option,” Monzelowsky says.

In Bismarck, Wells Concrete has constructed eight projects for Bismarck Public Schools in the last six years. Business and Operations Manager Darin Scherr says the district looks at every option for each project but Wells Concrete’s precast consistently is the more competitive bid. “We felt we could better control the cost of precast over the traditional product,” Scherr says. “The oil boom drove costs up, and because Wells is located in the eastern part of the state and in Minnesota, their costs were more under control.”

The ability to open the schools more quickly than traditional buildings and the newer facade options — such as texture and thin brick — which provide a more attractive building, have also helped sway Bismarck Public Schools to continue turning to precast buildings.

Cities are using the slowdown in the oil fields as a chance to catch up on their infrastructure, which means business at Wells Concrete hasn’t slowed down. “This year has been our busiest yet, and all four plants are already booked well into 2016,” Monzelowsky says. Monzelowsky has worked on eight schools in the past year, with the majority of them being erected in western North Dakota.

Wells Concrete first felt the impact of the oil boom in 2010, “but no one realized it was going to be like this,” Monzelowsky says. “We have done some building for the oil industry, but our biggest business has been the infrastructure. They’ve all been here a few years and have realized the oil isn’t going anywhere, so they’re starting to bring their families and the need for infrastructure continues to increase.” PB

Kayla Prasek Staff writer Prairie Business 701-780-1187, kprasek@prairiebizmag.com

Under one roof

Sanford Health combines all cancer services with Edith Sanford Breast Center

BY KAYLA PRASEK

When the Edith Sanford Breast Center opens on the Sioux Falls, S.D., campus of Sanford Health in 2016, it will bring all of Sanford’s cancer services to one central location. The new facility will be connected to the existing Sanford Cancer Center, and the new facility will make room for other cancer-related services as well.

The project consists of two parts — renovating 27,000 square feet of existing space in the cancer center and 58,000 square feet of new construction on the north and southeast sides of the cancer center, all of which is being done by Sioux Falls-based general contractor Henry Carlson Company. The $30 million project, designed by Sioux Fallsbased Architecture Incorporated, broke ground in July 2014 and will be completed in June 2016. It is expected to open to the public Aug. 1, 2016.

“We’re thrilled to have the chance to redesign our facilities so they’re more in line with the changes in health care,” says Sharon Hunt, vice president of cancer at Sanford Health. “The Edith building will be an integrated building that combines research, clinical care and surgery.”

Hunt says Sanford needed to expand its diagnostic and treatment spaces because “we wanted to make sure we have access for our patients, and not just breast cancer, but all cancer. We needed to be able to change the space so we could have research and service spaces, so we could embed these services and add them to our culture.”

The existing structure of the Sanford Sioux Falls campus “made it a little difficult on our patients because all the cancer services were in different areas of campus,” Hunt says. “Now, everything will be in the same building. We have all these services that aren’t visible, but in the new

building, those services will be front and center so our patients can take advantage of them.”

Once the Edith building opens, mammography, a breast cancer risk assessment program, a high-risk breast clinic, a breast surgery clinic, genetic counseling, a boutique offering medical and retail support, a survivorship clinic, the Sanford BioBank and the DNA core will all be under one roof. A multi-disciplinary conference center and multi-disciplinary clinic will also be located at the facility. “In the multi-disciplinary clinic, the patient will go to an exam room, and all of their physicians will come to them,” Hunt says. “So in one trip, a surgeon, oncologist and a researcher for a clinical trial might all bring their services into the patient’s room, making it easier on the patient.”

The Edith building will also have an integrated lab and pharmacy focused on cancer to make access seamless for patients and a bistro dedicated to helping patients stay healthy as they fight cancer. The oncology department will increase from six to 10 physicians, and the infusion center will be expanded to include more private infusion rooms. The gynecological oncology department will also be moved into the center.

“We’ll be able to offer more innovative treatments, as the new building will have research areas in the treatment center,” Hunt says. “It will be easier for our patients to get into treatment trials, and those trials will become just another avenue for treatment. Right now, patients may be intimidated by a treatment trial, but in the new building those trials will be part of daily life in the center.”

The first part of construction included giving the existing cancer center a facelift so it blends into the architecture of the new facility. Once

The Edith Sanford Breast Center will bring all cancer services under one roof on the Sioux Falls, S.D., campus of Sanford Health. IMAGE: SANFORD HEALTH

that was complete, work started on the new facility, which is being built with a precast concrete exterior placed on a steel structure. The new facility will also have more than 140 windows, to make it be a “comfortable, warm, friendly setting,” says Orlen Tschetter, vice president of facilities and planning at Sanford. The front of the building will be the grand entrance to Sanford’s cancer services and will take on the “Sanford look,” Tschetter says.

When it came to designing the Edith Sanford Breast Center, and combining the existing cancer center with the new facility, Hunt says the focus was on the patient experience. “We thought about what is changing in health care, and designed the building so it supports what every patient needs when they are fighting cancer. The integration of research into the building helps us bring research front and center so we can use it to help our patients and make it a part of daily care. We’re excited for the future with this building and what it means for the Sanford USD Medical Center.” PB

Kayla Prasek Staff writer

Prairie Business 701-780-1187, kprasek@prairiebizmag.com

Sometimes projects need a boost when trying to cross over from concept to reality. AE2S Nexus helps bridge that gap. We focus on creating solid plans, aggressively pursuing funding options, and assisting you with implementation to make sure your project is on solid ground.

Lasting impact

South Dakota continues to see the effects of Poet and the ethanol industry

BY MARNIE LAHTINEN

Groups of people take a tour of the Poet Biorefining plant as part of Poet’s Ethanol Day Aug. 13 near Loomis. As part of Poet’s Ethanol Day they released the results of an economic impact study conducted in June and July and the contributions made by Poet into the South Dakota economy.

PHOTO: MATT GADE/ FORUM NEWS SERVICE

South Dakota-based biofuels company Poet, a world leader in ethanol production, recently released its first economic impact study outlining contributions the organization made toward national economic growth and job creation for the year 2014. The report was prepared by ABF Economics and examined direct, indirect and induced economic activities generated by Poet’s 27 production facilities in the seven states where it conducts business.

ABF analysts followed an economic model called IMPLAN (Impact Analysis for

Planning) to create a model of the United States economy and each state economy focusing on the sectors that support the ethanol industry, the links between them and the level of economic activity. Analysts used the information to quantify the economic impact of Poet’s operations in three main sectors: ethanol production, agriculture/corn growth and biofuels research and development. Their findings described Poet’s impact on improving economic prosperity, reducing dependence on foreign oil and offsetting greenhouse gases.

The report breaks out contributions by Poet to South Dakota, Iowa, Minnesota, Indiana, Missouri, Ohio and Michigan. Contributions are measured in each state in terms of gross output, gross domestic product, employment and household earnings. The analysis states that Poet’s ethanol production activities contribute nearly $5.4 billion to national GDP, support an estimated 39,978 full-time jobs and contribute $3.1 billion in income for American families.

“Ethanol … lowers costs at the pump and offsets our need for foreign oil,” says Matt Merritt, director of public relations for Poet. “These factors … mean there is more money

circulating in American communities, which in turn generate more jobs, income, taxes, etc.”

South Dakota, in particular, benefits from Poet’s operations. The company spends $498 million on corn raised there and supports nearly 2,781 jobs in the state. Sioux Falls is home to corporate headquarters and it, along with six ethanol plants around the state, employs nearly 700 team members. “South Dakota is unique in that it benefits from the economic impact not only of Poet’s six ethanol plants, but of the research and development, engineering, plant management and other activities generated from our corporate headquarters, as well,” says Merritt.

According to the economic impact study, Poet’s combined ethanol and administrative operations generate $182 million of income for South Dakotans. This total income is calculated by measuring income to owners of locally-owned plants and the share of income generated by plants in other states reflected by Poet’s equity stake. ABF analysts estimate that Poet’s economic activity supports more than 1,450 indirect and induced jobs in other industries in the state and contributes to an indirect GDP totaling $211 million, consisting of value-added output created by non-agricultural industries like natural gas suppliers, and induced GDP amounts of $47 million.

State officials recognize these benefits. “Our ethanol industry supports … the farm economy by offering pro-

ducers a market for their crops; it also supports good paying jobs and significant capital investment in many of our communities,” says South Dakota Deputy Commissioner of the Governor’s Office of Economic Development Aaron Scheibe. “South Dakota is a national leader in ethanol production, and the state, through programs like the Ethanol Infrastructure Incentive Fund, is promoting the use of renewable fuels at the pump as an example for other markets to follow.” PB

Marnie Lahtinen Contributing writer marnielahtinen@gmail.com

Poet Biorefining plant General Manager Becky Pitz talks about the economic impact Poet has made on the South Dakota economy as part of Poet’s Ethanol Day at their plant Aug. 13 near Loomis.

PHOTO: MATT GADE/FORUM NEWS SERVICE

Drilling Productivity Report Year-over-year summary

Drilling Productivity Report Year-over-year summary

New-well gas production per rig thousand cubic

New-well gas production per rig thousand cubic

Monthly additions from one average rig

September

2015

drilling data through August projected production through October

October-2014

drilling data through August projected production through October

October-2014

October-2014 October-2015

Indicated monthly change in oil production (Oct vs. Sep)

October-2014

Indicated monthly change in oil production (Oct vs. Sep)

October-2014

FordHaynesvilleMarcellusNiobraraPermianUtica

FordHaynesvilleMarcellusNiobraraPermianUtica

Indicated monthly change in gas production (Oct

October-2014

October-2014 October-2015

Indicated monthly change in gas production (Oct vs. Sep)

Indicated monthly change in gas production (Oct vs. Sep)

October-2014 October-2015

October-2014 October-2015

FordHaynesvilleMarcellusNiobraraPermian Utica

U. S. Energy Information Administration | Drilling Productivity Report

Cory Samson Fargo

Dereck Mattson Minneapolis

Jay LaDue Grand Forks

Chad Renner Bismarck

Interest Rates

Employment

Gas Captured/Sold

Data provided by David Flynn, chair of the University of North Dakota Department of Economics. Reach him at david.flynn@business.und.edu.

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