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IQ Magazine - Winter 2006

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Published by the Initiative Foundation in Little Falls, Minnesota, IQ Magazine boils down regional leadership issues to their very essence. What are the bullet points that busy leaders should know? How will trends impact central Minnesota communities? What are the challenges and solutions? From meth to manufacturing, healthcare to housing, racism to renewable energy, we break it down with compelling stories, cutting-edge information, and captivating photography. And we pack it all in a handy guidebook for business and community leaders. IQ is a key part of the foundation’s mission to unlock the power of central Minnesota, by inspiring knowledge that inspires action.

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Page 1: IQ Magazine - Winter 2006
Page 2: IQ Magazine - Winter 2006
Page 3: IQ Magazine - Winter 2006

National Award-Winning BuilderBrainerd, Baxter / 218-829-0707 / www.kuepers.com

MN LIC 0002599

Bear Pause Theater, Hackensack, MNWith the support of area businesses and subcontractors, the local theater owners worked with the Cass CountyEconomic Development Corporation and the City of Hackensack to make their business dream a reality. Located inthe heart of the Northwoods, this new state-of-the-art cinema theater caters to both year-round and seasonalresidents alike. More than a movie theater, it is a multi-purpose facility for the surrounding community.

SUPPORTING COMMUNITY GROWTH

Page 4: IQ Magazine - Winter 2006

2 INITIATIVE QUARTERLY

CONTENTSFEATURES

12Tests of TimeThe Rise, Fall &Resurgence of Minnesota’sRural Communities

16Street SmartsVital Advice forRevitalizing Downtown

20Treasure MappingEvery town has it.Thriving towns find it.

24Unique PreservesWhat’s worth growingand saving?

28Bang for the Buck Business Boomsin Fiery Hometowns

DEPARTMENTS4 BeginningsFire

6 Buy LocalHomegrown Economics

10 LeadershipChief Exports

34 PovertyCircle of Strife

WINTER 2006

Actor Peter Jensen travelsthrough time from 1930 topresent-day Wadena.Photography by Jim Altobell.

36 HousingReasonable Doubt

40 PhilanthropyPay it Forward

42 KeyNotesThe Foundation Newsletter

48 Guest EditorialThe Leader Within

COVER• Strengthen Children,

Youth, and Families• Promote Economic Stability

• Preserve Space, Place, and Natural Resources

• Build Capacity of Nonprofit Organizations

• Embrace Diversity & Reduce Prejudice

• Increase Utilization of Technology

“Our mission is to unlock the potential of the people of central Minnesota to build

and sustain healthy communities.”

INITIATIVE FOUNDATION FOCUS AREAS

C A S SC A S S

C R O WC R O WW I N GW I N G

M O R R I S O NM O R R I S O NT O D D

W R I G H TW R I G H T

BENTONBENTON

S H E R B U R N ES H E R B U R N E

I S A N T II S A N T I

C H I S A G OC H I S A G O

S T E A R N SS T E A R N S

WADENAWADENA

P I N EP I N E

K A N A B E CK A N A B E CM I L L EM I L L EL A C SL A C S

ST. CLOUD

BRAINERDBAXTER

CAMBRIDGE

LITTLE FALLS

NORTHBRANCH

SARTELL

BIGLAKE

ELKRIVER

ST. MICHAEL

BUFFALO

MONTICELLO

SAUKRAPIDS

WAITEPARK

Nisswa

Wadena

Menahga

Long Prairie

Melrose

Sauk Centre

Paynesville

Cold SpringZimmerman

Albertville

Rockford

Delano

Montrose

Maple LakeAnnandale

HowardLake

Cokato

Albany

St. Joseph

Foley

Pierz

Crosby

Sandstone

Mora

Milaca

Princeton

Braham

Isanti

Stacy

Wyoming

ChisagoCity

Lindstrom

Pine City

Rush City

Crosslake

Wilkinson

Leech Lake

Walker

Ah-Gwah-Ching

Onigum

Whipholt

Brevik

Hackensack

Longville

Inguadona

Boy River

Federal Dam

Bena

Schley

Tobique

Remer

Nickerson

Duquette

Kerrick

Bruno

Kingsdale

Cloverton

Duxbury

Cloverdale

Markville

Denham

Ellson Willow River

Rutledge

FinlaysonAskov

Groningen

FrieslandKroschelWarman

Quamba

Ogilvie

Bock

Foreston

Pease

Long Siding

Carmody

Dalbo

Day

Springvale

Walbo

West PointBradford

Bodum

Weber

Blomford

Edgewood

Spring Lake

Stark Harris

Sunrise

Almelund

PalmdaleCenter

CityShafer

Taylors Falls

Franconia

Rush PointGrandy

Stanchfield

Oxlip

Crown

SpencerBrook

Pine BrookWyanett

Estes Brook

Glendorado

OakPark

Ronneby

Duelm

CablePalmer

Clear Lake

Hasty

Enfield

Silver Creek

Waverly

OsterRice Lake

HighlandAlbright

Knapp

Georgeville

Belgrade

Brooten

Elrosa

Padua

Sebeka

Blue Grass

Leaf River

Verndale

West Union

Stockholm

Albion Center

WestAlbion

FrenchLake

Becker

Orrock

Santiago

Coin

Brunswick

Hinckley

Beroun

Henriette

GrasstonWest Rock

GreeleyRock Creek

Brook Park

Sturgeon Lake

Opstead

Isle

WahkonBayview

Cove

Onamia

Hillman

Harding

LastrupFreedham

Genola

Buckman

MorrillRamey Granit

LedgeBrennyville

Novak's Corner

JakevilleGilman

RumRiver

Little RockRoyalton

Gregory

Darling

Randall

Cushing

Lincoln

Browerville

Motley

Philbrook

North Prairie

BowlusElmdale

Burtrum

Round Prairie

Little Sauk

GutchesGrove

Clotho

Clarissa

Eagle Bend

Bertha

Hewitt

Grey Eagle

St. Rosa

St. Francis

St. WendelSt. Anna

AvonCollegeville

St. Anthony

Freeport

NewMunich

Greenwald

Meire Grove

Spring Hill

Lake Henry RoscoeRichmond

FarmingSt. Martin

St. Nicholas

Eden Valley WatkinsKimball

Maine Prairie

Marty

Luxemburg

St. Augusta

Clearwater

Rockville

Jacobs Prairie

Fair Haven

South Haven

St. Stephen

Rice

Watab

Mayhew

SilverCorners

PoppleCreek

OpoleHoldingford

Ward Springs

Swanville

SobieskiFlensburg

Upsala

Vineland

Huntersville

Nimrod

Oylen

Aldrich

Leader

Pillager

Oshawa

Backus

Pontoria

Pine River

Jenkins

Lake Shore Lake Hubert

Legionville

Merrifield

E Gull Lake

Fort Ripley

Camp RipleyJunction

Barrows

Shephard

Pine Center

Garrison

Bay Lake

DeerwoodIronton

Riverton

TrommaldCuyuna

Pequot Lakes

Breezy Point

ChickamawBeach Swanburg

ManhattanBeach

Fifty Lakes

Outing

Emily

Cass Lake

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4 INITIATIVE QUARTERLY

It was spring in 1931 and the Kaspersons welcomed the warmth of afternoon. Since day-light, they had broken the chilly, windswept fields for planting. Lunch by the fireplace was aneveryday blessing.

Marvin, just six years old, waited all morning for his grandfather, Axel, to return. Perhaps it wasMarvin who smelled the charred chimney smoke first. Perhaps he told his grandmother, Anna.

But the roof appeared normal, so the men wentback to work. By two o’clock, they were too far awayto notice the black billows from the wooden shingles.High winds quickened the blaze. The house was lost.

Marvin didn’t understand why his Swedish grand-parents were near desperation. To the city-boy fromDuluth, the farm was a fun place to visit. To Axel andAnna, the farm meant a better life, hope for the fami-ly’s future, and a community they called home.

With strong faith and commitment, they perse-vered. Over the years, they rebuilt their farm andjoined their neighbors to raise up churches, schools,parks, and businesses. The Kaspersons and Pearsons

(Anna’s family) helped to settle the Milaca, Bock, Pease, Foreston, and Cambridge areas. Minnesota’s rural communities have risen, fallen and come back to life in recent times. Faces

have changed, but the resolve to build strong communities remains. Also unchanged are the realitiesthat we need each other and that we can make a better life by working together.

In this issue of IQ, we share Minnesota’s most promising advice and success stories that inspireus to continue the rural resurgence—to reclaim the hometowns of Axel and Anna, my great-grand-parents, and Marvin, my father.

Enjoy the magazine!

Kathy Gaalswyk, PresidentInitiative Foundation

FireDear Friends,

BEGINNINGS

Brainerd, Baxter, Crosby, Staples, Little Falls

Federally insured by NCUA

(218) 829-0371 | www.mmfcu.org

Page 7: IQ Magazine - Winter 2006

WINTER 2006 5

INITIATIVE FOUNDATIONExecutive Editor & Director of Communications / MATT KILIAN

Communications Associate / ANITA HOLLENHORST

PUBLISHERSEvergreen Press / CHIP & JEAN BORKENHAGEN

EDITORIALEditorial Director / JODI SCHWEN

Assistant Editor / TENLEE LUND

ARTInterim Art Director / BRAD RAYMOND

Senior Graphic Designer / BOB WALLENIUS

New Mom / ANDREA BAUMANN

Production Manager / BRYAN PETERSEN

Lead Photographer / JIM ALTOBELL

ADVERTISING / SUBSCRIPTIONSBusiness & Advertising Director / BRIAN LEHMAN

Advertiser Services / MARY SAVAGE

Subscriber Services / MARYANN LINDELL

IQ EDITORIAL BOARDInitiative Foundation President / KATHY GAALSWYK

Northwest Area Foundation / JEAN BURKHARDT

Northern Minnesota Utilities / CAL CLARK

Cass Lake Tourism Bureau / DAN EVANS

Village Emporium / DAVE EVERT

University of Minnesota, Center for Small Towns / DAVID FLUEGEL

Program Mgr. for Community Development / DAN FRANK

Center for Rural Policy & Development / DR. JACK GELLER

Program Mgr. for Planning & Preservation / DON HICKMAN

V.P. for Economic Development / JOHN KALISZEWSKI

Blandin Foundation / JIM KRILE

CR Planning & Hometown Minnesota / BRIAN ROSS

First Integrity Bank / MARV ROTHSTEIN

Little Falls Convention & Visitors Bureau / CATHY VANRISSEGHEM

V.P. for Community Initiatives / KARL SAMP

Board of Trustees / G. GEORGE WALLIN, PH.D.

Initiative Foundation405 First Street SELittle Falls, MN 56345320.632.9255www.ifound.org

IQ is published by the Initiative Foundation in partnership with

Evergreen Press of Brainerd, Minnesota. www.evergreenpress.net

For advertising opportunities, contact:

Lois Head 320.252.7348, [email protected]

Brian Lehman 218.828.6424 ext. 25, [email protected]

Kristin Rothstein 320.251.5875, [email protected]

> VOLUME 4, WINTER 2006

Page 8: IQ Magazine - Winter 2006

6 INITIATIVE QUARTERLY

BY BRENDA MAAS

Keys to a Vibrant Economy: Support, Unite Local Businesses

Homegrown Economics

he heartbeat of Small Town, Minnesota, is changing—it’s mov-ing from downtown to the edge of town. Or worse, out of town. Overthe past two decades, national retail chains or “Big Box” stores havearrived in a tidal wave. For some communities, the increased trafficmay give hovering bottom lines and the local tax-base a noticeableboost, at least for the short term. And the quantity of jobs increases,even if the job quality is often controversial.

In order for new shoppers to enter one arena, however, they mustexit another. Economists often cite the rule of thumb that every dollarspent with local mer-chants typically cyclesat least three times inthe local economy. Insome cases, commu-nities have regrettedtrading their locallyowned economies anddowntown vitality forthe bargains and con-venience of nationalretail chains.

A recent study inMaine estimated thatlocal businessesreturned 45 percentof their revenue to thelocal economy, withanother nine percentbeing spent elsewherein the state. In con-trast, the study sug-gested that as much as 86 percent of consumer dollars spent at nation-al retailers left town.

The Todd County Development Corporation and EconomicDevelopment Authorities of Long Prairie and Staples analyzed countyretail services in 2004. According to the report, residents opted tospend 56 percent of their retail and service dollars outside of ToddCounty. This “outshopping” trend may have exported $78 million inpotential local sales in just one year.

“Often, community members simply haven’t considered the impor-tance and impact of buying locally when possible,” says KathyGaalswyk, Initiative Foundation president. “Awareness campaigns andcooperative efforts are an important way to inform and engage citizens.”

In central Minnesota, communities are working smarter to attractand support new entrepreneurs and promote the benefits of buyinglocally. Two dozen farmers’ markets have worked with the InitiativeFoundation and the University of Minnesota Central RegionPartnership to develop cooperative information guides and seasonal

advertising campaigns.According to Linda

Ulland, Central RegionPartnership executivedirector, local businesseshave more power and theirmarketing dollar goes far-ther if they join forces andfind their niche. “Theyhave to find ways to differ-entiate themselves from bigbox stores, and that’s a realchallenge,” she says. “Itseems to me that there’s areal move toward ‘small isbeautiful’ again.”

After completing theInitiative Foundation’sHealthy CommunitiesPartnership program, PineCity leaders conducted asurvey of their manufactur-

ing and retail/service industries. The efforts helped to retain a localmanufacturing company that was considering an expansion outside thecommunity. Lynda Woulfe, city administrator, believes that opening thelines of communication also opens the door for new opportunities.“They know that we care and are willing to help,” she says.

The Institute for Local Self-Reliance, a national nonprofit organi-zation with offices in Minneapolis, promotes self-sustaining communi-ties by providing research, analysis, and innovative policy solutions.

TT

ILLUSTRATION BY BRAD RAYMOND

BUY LOCAL

CONTINUED ON PAGE 8

Page 9: IQ Magazine - Winter 2006

WINTER 2006 7

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8 INITIATIVE QUARTERLY

Senior researcher and author Stacy Mitchellnotes three key components of a healthyrural economy.

Plan for a Homegrown EconomyLook at land-use and zoning policies as

tools to define the small town and prevent themost destructive forms of development.Examine potential economic impacts beforeapproving new retail. Similar to an environ-mental impact study, this course of action hasbeen incredibly revealing in many cases.Mitchell stresses, “Communities have choices.They need not relinquish their local economiesto distant corporate control or accept a one-size-fits-all model of development.”

Revitalize Downtown and EmphasizeSmall Businesses

Shift existing economic developmentresources back to locally owned businesses,and mentor entrepreneurs with mature busi-nesses. Keep public buildings downtownwhile updating storefronts to accommodatemore pedestrian traffic. Creating an identityand a sense of place nurtures the personalrelationships that consumers seek.

Educate and UniteUse the power in numbers by pooling

local businesses together for things such asadvertising, purchasing, and public voice.Learn from what other business alliances aredoing across the nation. Create an awarenessof trickle-down effects with “Buy Local” cam-paigns. Thank consumers with reward pro-grams for local purchases.

“Like many changes that our rural areasare facing, this retail transition provides a cru-cial opportunity for community leaders tosupport their local businesses and promoteunique community identities,” says Gaalswyk.

In her 1961 book, The Death and Life ofGreat American Cities, Jane Jacobs wrote,“Everyplace becomes more like every otherplace, all adding up to Noplace.” By work-ing together to create a hometown identity,building upon unique assets and support-ing local businesses in every way possible,rural Minnesota can continue to be its ownoriginal someplace. IQ

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Page 11: IQ Magazine - Winter 2006

WINTER 2006 9

Source: Impact of the Wal-MartPhenomenon on Rural Communities, Dr.Kenneth E. Stone, Iowa State University

Outsidethe BIG

BOXTips forCompetingwith NationalRetailers

Look for voids in the massmerchandiser’s inventory. Try to handle different merchandise.

Focus your advertising by stressing your competitive advantages. Every store has one or more and they must be stated clearly and often.

Get rid of merchandise that does not sell and clutters the sales space.

Extended business hours area necessity!

Mass merchandisers handle fast-moving items. Try to stock complementary merchandise.

Adopt a “no hassle” returns policy. Unfortunately, “All sales final!” signs have little place in today’s retail stores.

Consider upscale merchandise. Not all customers desire or demand lower-priced goods.

Emphasize expertcustomer service andadvice. Smaller stores canbuild a loyal customer basewith knowledgeable ownersand employees.

It is not possible forsmall merchants to carryevery conceivable item ininventory. Develop specialorder capabilities.

Page 12: IQ Magazine - Winter 2006

10 INITIATIVE QUARTERLY

LEADERSHIP

n 2001, Brian Mackinac moved to Little Falls with no politi-cal aspirations. Four years later, he became the town’s mayor, and byall accounts, a pretty good one. An increasing number of hometownsare realizing the importance of injecting fresh faces and ideas into thewell of local leadership.

“I just saw a situation where something needed to be done,”says Mackinac, “and I thought, well, why not me?” Inspired by theLittle Falls Chamber’s “Leadership Lindyland” program and at theurging of his friends and co-workers, he decided to run for publicoffice and eventually won the 2002 mayoral election.

“When I entered the program, I wanted to meet people in thecommunity and get a better understanding of how the local econo-my worked,” he says. Today, as Little Falls mayor and as a CPA atSchlenner Wenner & Co., Mackinac cites the skills he learned asessential to his public and professional duties. “It taught me thateveryone has an opinion that must be heard, respected, and listenedto. That’s proven to be very valuable.”

As part of a national model, the Little Falls Chamber developed itsnine-month program to help foster economic understanding withinthe community. “Leadership Lindyland” brings citizens together toimprove interpersonal skills, refine management styles, and introduceparticipants to key sectors of the community they may not have anopportunity to experience otherwise. Both the Brainerd and St. Cloudarea chambers have similar programs.

The program has produced sixty-six new leaders—one out offive Little Falls Chamber members employs a Leadership Lindylandgraduate. “The end-result is a more confident employee withenhanced capabilities, adding value to the workplace and the com-munity,” says Debora Boelz, the chamber’s executive director.

The Initiative Foundation and Blandin Foundation (GrandRapids) have underscored community leadership as a key factor thatdetermines a healthy hometown. Through a variety of programs, theInitiative Foundation has trained more than 3,300 citizens to takeon key leadership or volunteer roles that strengthen communitiesand nonprofit organizations.

“Leadership—that’s the key,” says Dan Frank, the InitiativeFoundation’s program manager for community development. “Youhave to have leaders who are dedicated and passionate about keeping

the process going. We call them community sparkplugs. Withoutthem, none of our programs would succeed.”

Frank says communities should do everything possible to cre-ate servant leadership opportunities, especially reaching out to thosepeople who don’t see themselves as leaders, but possess unique tal-ents and viewpoints. “Our foundation is built on inspiring everydaycitizens and training them to determine their own future,” addsFrank. “When the privilege of leadership is closely held instead of

BY BRITTA REQUE-DRAGICEVIC

Chief ExportsLocal Programs Manufacture Unlikely Leaders, New Ideas

II

Former Little Falls Mayor Brian Mackinac: “I just saw a situation where somethingneeded to be done and I thought, ‘Well, why not me?’”

CONTINUED ON PAGE 32

Page 13: IQ Magazine - Winter 2006

WINTER 2006 11

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12 INITIATIVE QUARTERLY

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WINTER 2006 13

A tiny sapling may go unnoticed as it sits in the middle of a thousand-

acre forest or it may be the focus of attention as it slowly grows in the middle

of a courtyard. Wherever it is rooted, it will go through cycles—weathering

cold, bitter winds in sub-zero temperatures or sweltering days where its

leaves are crisp to the touch. Going through cycles of growth and prosperity,

stagnancy and decline are just as common for Minnesota’s rural communities.

The Rise, Fall & Resurgenceof Minnesota’s Rural Communities

By Cynthia Moe

TestsofTime

Schoolhouse near Lanesboro ca. 1940.

Photos courtesy of Stearns History Museumand Minnesota Historical Society

Page 16: IQ Magazine - Winter 2006

14 INITIATIVE QUARTERLY

Ever since French fur traders settled inthe Grand Portage area, the small towns andscattered farms we know as Minnesota’srural communities have played a vital role inour state’s development. They are essentialindicators of economic, social, environmen-tal, and physical growth and now, more thanever, they are leading the way to a healthier,more prosperous Minnesota.

Prior to 1800, Native American tribalvillages and tiny fur-trade outposts were theprimary evidence of human existence in thelands that would eventually becomeMinnesota. As westward migration made itsway into the Midwest, prospectors andindustrialists recognized the territory’s mostobvious natural resource, a wealth of virgintimber. By the 1840s, the timber tradeexploded in Minnesota, and between 1838and 1848, St. Paul, St. Anthony, andStillwater—the state’s first three cities—werefounded. People came from the eastern

states and Europe to work the forests andmills and to carve a railway through thetrees. Many stayed and built homes on therich farmland. In 1859, Chicago welcomedits first shipment of wheat from Minnesota.In the coming years, wheat would grow tobecome the king of agricultural exports.Pillsbury’s new “A” mill, built in 1881, wasthe largest flour mill in the world.

The discovery of iron ore in 1884 led tothe first exports of mined metals. By thetime the lumber trade hit its peak in 1905,mines were being opened across central andnorthern Minnesota. In order to secure asteady work force, mining companiesdesigned and built housing in the variousmining communities across the Cuyuna,Vermillion, and Mesabi Iron Ranges.Hearing the call for laborers and hungry fora new life, immigrants poured in. The state’snon-native population grew from 4,000people in 1849 to more than 150,000 in just

ten years. These industries created ademand for food, clothing, and other prod-ucts. Farms and villages emerged wheremassive stands of timber had been just a fewyears before.

They developed their own infrastruc-ture, with schools, government buildings,public roadways, and utilities. Often, theeconomic heartbeat of these communitiesdepended on a few major employers—themines, the timber companies, and the rail-roads. Those industries eventually fell intodecline. Between 1930 and 1935, half of theworld’s iron ore originated from aMinnesota mine. Thirty years later, declin-ing demand for ore and competition frommines in other parts of the world took theirtoll. The last shipment of iron ore left theVermillion range in 1963, and miningceased to be a primary industry in the state.Similarly, the timber and railroad industriesreached a state of equilibrium, where the

Minnesota’s Milestones1819The U.S. government wants tostrengthen the American fur trade inthe Northwest. That means keepingBritish traders out and keeping peaceamong the Indians. The Fifth Regimentof Infantry arrives to build Fort St.Anthony (later Fort Snelling)—thenorthern-most outpost in a string offorts protecting the northwest frontier.

1839More than two-thirds of Minnesota iscovered with trees when Minnesota'sfirst commercial sawmill is constructedat Marine on St. Croix.

1862Minnesota's first railroad line beginsoperation and within ten years, the stateis laced with railroad lines, opening upvast inland regions to farming and lumber.

1880Minnesota wheat and the power of St.Anthony Falls make Minneapolis thenation's capital of flour milling. A yearlater, Pillsbury's new “A” mill is the largestflour mill in the world.

1884With the state's first shipment of ore from the Vermilion Range, Minnesota'siron industry is launched.

1900At the height of the lumbering era, 40,000 lumberjacks are cutting timber in thenorth woods.

1903Cuyler Adams forms the Orelands MiningCompany and names the Cuyuna Rangeby combining "Cuy" from Cuyler with"Una" after his pet St. Bernard.

1930–1935More than half of the world’s iron oreoriginates in Minnesota mines.

1941Thousands of Minnesota women doncoveralls and take manufacturing jobsto support the war effort.

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WINTER 2006 15

1949Turkey farmer Earl Olson buys aprocessing plant in Willmar, thebeginning of Jennie-O Foods. Wheatfeed and the growth of Jennie-O andrelated companies make this region ahub of turkey farming.

1950For the first time, the census showsmore Minnesotans living in cities thanin the country.

1955Taconite promises to save an Iron Rangethat is running short of iron. ReserveMining Company opens a mine andprocessing operations.

1980Last iron ore shipment leaves the CuyunaIron Range. Four years later, the lastshipment leaves the Mesabi Iron Range,effectively ending Minnesota's direct ironore industry and confirming a difficultdepression on the Iron Range.

1984"Groundswell" brings 1,200 peopletogether at a rally in Worthington to callattention to the growing rate of farmforeclosures and bankruptcies.

1986The McKnight Foundation helps toform the six Initiative Foundations inorder to strengthen greater Minnesotacommunities.

1991–2001The durable manufactured goodsindustry grows by $9.6 billion, a growthrate of 83.5 percent. Employment in themanufacturing industries increases by9.8 percent.

2002Minnesota's agricultural cash receiptsincrease from $6.9 billion (in 1990) to$7.5 billion, an 8.6 percent growth.

need for high numbers of workers gave wayto the need for fewer workers with morespecialized training.

The remaining small towns were prima-rily farming communities. Volatile farmincomes during the 1970s and ’80s led to anunprecedented agricultural crisis. Farm afterfarm closed while supportive industries,such as grain elevators and mills, followedsuit. Many main street businesses, once thehubs of social and commercial activity,closed their doors.

In 1900, 66 percent of Minnesotanslived in small communities. A century later,less than 30 percent of the populationremained in rural areas. That number con-tinued to shrink as young adults raised inrural communities migrated toward moreurban areas, taking with them the potentialfor the next rural generation and leavingbehind aging populations.

That might have been the end of the

story for Minnesota’s rural communities,were it not for the energy and determinationof rural residents. Thousands of people,government agencies, foundations, andnonprofit organizations helped author aremarkable comeback. In 1986, for exam-ple, The McKnight Foundation toured theeconomic devastation and helped form thesix Minnesota Initiative Funds, now calledthe Initiative Foundations, each serving aspecific geographic area and charged withempowering local people to revitalize theirhometowns. McKnight has granted around$200 million to the foundations. They havetranslated those dollars into 2,800 businessloans totaling more than $130 million,12,000 grants totaling $91 million, andmany successful leadership training andcommunity-building programs.

Today, the benefits of rural living, suchas less-crowded streets, lower crime rates,more outdoor recreational opportunities,

and a quieter, more natural environment,are drawing people from the metro areasback to their rural roots.

A report by the state demographer’soffice reported that the loss of population inrural communities that occurred on theheels of the farm crisis in the 1970s andearly ’80s was reversed during the 1990sand into the twenty-first century. From 1990to 2004, Minnesota’s population increasedby more than 700,000. Thirteen counties incentral Minnesota saw at least 1 percentgrowth during this time; Sherburne County,which grew by 22.3 percent, was second inthe state.

Rural Minnesota communities gothrough cycles of life, just as any other liv-ing thing. However, with leadership devel-opment, an eye on the future, and a solidinfrastructure, they, unlike other livingthings, will not perish. Minnesota’s ruralcommunities will succeed and thrive. IQ

Photos Above (left to right): Henry Villard train passing through St. Cloud, 1883; Potato digging party, Richmond, 1895; Watab Paper Mill, Sartell, 1905; Lumber mill unit, Rockville Township, 1909; Auger drilling, Godfrey Mine, Chisholm, 1935; Kiddie parade, Waseca, 1945

Source:Minnesota Historical Society

& Department of Employment& Economic Development.

Page 18: IQ Magazine - Winter 2006

16 INITIATIVE QUARTERLY

Take a walk downtown on a Decembereve. Light snow drifts softly aroundyou, lights glitter across the storefronts,

and holiday carols echo in the clear, cold air.A vibrant rural streetscape can become thebasis for generations of memories and a solideconomic future. As new developmentsprawls across the highways, more rural com-munities are challenged to preserveMinnesota’s Main Street heritage. What canwe do to ensure that downtowns remain thevital heartbeat of our communities?

It takes passionate citizens that cometogether with creativity, planning, andsound design principles to transform ahibernating downtown into a vibrant city-center that creates, attracts, and reshapes acommunity’s future.

“Downtown design can be interpreted invarious ways, but at its core is the premise thatit must incorporate all aspects of the communi-ty,” says Brian Ross, director of HometownMinnesota, a nonprofit that helps communitiesrevitalize their downtowns. “Making sure thedowntown is vibrant is the only way communi-ties will truly thrive.” Ross asserts that you can-not make decisions about investments on theedge of town without first considering how it

will affect the downtown.“Too many communities, even thriving

ones, say yes to everything without consideringtheir downtowns,” adds Ross. “You have to betough and realize that if an investor isn’t willingto consider how he can help your downtown,you just might have to say no.”

While developers are not mean-spirited,they may assume that profitable ventures aregood for long-term community and economicdevelopment. According to Ross, that’s notalways the case. He believes that it’s the commu-nity’s responsibility to advocate for its preserva-tion. Ross suggests researching and implement-ing downtown design elements that haveproven successful in other communities.Complementary land-uses can create a produc-tive flow from the downtown to outer commer-cial zones and planning corridors. Smooth, log-ical connections can ensure that people utilizethe entire commercial district.

Kent Robertson is a downtown revitaliza-tion expert, author, and director of communitydevelopment at St. Cloud State University. Herecommends communities follow a process thatincludes developing a long-range vision andplan, identifying and building upon local assets,building a strong public-private partnership,

Brian Ross, Hometown Minnesota:“Too many communities, even thriving ones,say yes to everything without consideringtheir downtowns.”

Vital Advice forRevitalizing Downtown

+StreetSmarts

By Britta Reque-Dragicevic + Illustration by Ted Tollefson + Photography by Jim Altobell

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WINTER 2006 17

enhancing the downtown’s sense of place, anddetermining the downtown’s market.

Both Ross and Robertson make the follow-ing design recommendations for downtownpreservation and revitalization. Robertson isquick to point out that while these design ele-ments can create a pleasant atmosphere, theydo not replace the need to consistently plan,promote, and organize events that draw atten-tion to the value and uniqueness of the down-town area. “As the downtown goes,” says Ross,“so will the community.”

Recognize the valueof historic buildings

Historic buildings have both architec-tural value and cultural meaning. Citizensremember the history of their town andrestored buildings can create a deeper senseof pride and connection to the roots of thecommunity. While it may be cheaper forbusinesses to construct new buildings onthe edge of town, they cannot replace thesense of attachment and character that arenovated building can offer.

Repair or redesign building facadesto create unique character

Many communities have adopteddesign standards for their façades thatensure that the small-town atmosphere willbe maintained. Façades reside within the

“public realm,” even though the stores areprivately owned. Towns must recognize thatthere is a public interest in the “privaterealm” and work with business owners tocreate a mutually beneficial environment.

Incorporate artistic elementsand points of interest

Use attractive features such as brickpavers, flowers, trees, clocks, flags, or ban-ners to provide color. Benches invite peopleto linger and enjoy being in the downtown.Sculptures, murals, and unique art offerpoints of interest. The longer people lingerdowntown, the more stores they will visitand the more dollars will be spent,Robertson adds.

Make the downtownpedestrian-friendly

People can only enjoy the ambiance of adowntown by strolling leisurely along attrac-tive sidewalks and intriguing storefronts, butthey have to feel safe, Robertson stresses.Crosswalks must be clearly marked, speedlimits lowered, and areas well-lit.

Give careful considerationto parking issues

Parking must be easy, well-marked, andas close as possible to the entrances of build-ings. According to Ross, research has suggest-

ed that most customers are willing to parkfarther away if they can see a store entrance.If they have to drive around the block twiceto park, they will go to a superstore or mallwhere they know they’ll find a spot.

Create attractive links tonatural resources and open space

If a downtown is near a waterfront,incorporate the natural beauty that willattract people to spend time there. Makesure there is a connection that naturallyinvites people to walk downtown. Coffeeshops and ice cream parlors are naturalcomplements to waterfronts and beaches.Create pocket parks and gardens in vacantlots, and be creative in using parks to con-nect waterfronts to the downtown.

Connect downtownsto adjacent neighborhoods

Every neighborhood border is a gate-way and should encourage residents towalk downtown. Provide inviting, attractiveconnections that showcase more than alleysand the backs of buildings. Creating higherdensity housing near or within the down-town can create more activity. Some com-munities have prioritized downtown seniorhousing, so seniors can walk to areashops and enjoy a sense of community in asafe area. IQ

Nisswa's quaint stores with "up-north" façades keep visitors strolling and shopping downtown.

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Façades can be renovated and designed to reflect thecommunity’s vision and historic flavor. Nisswa boasts acharming atmosphere with up-north facades.

Parking must be close to shopping or in well-markedareas such as behind stores, where visitors can be surethey’ll find a spot.

Brick pavers, benches, clocks, streetlights, and uniqueartwork attract visitors and encourage them to stay awhile. Little Falls installed old-fashioned lamp posts andartistic murals.

Preserve or restore historic buildings. Staples is workingto reopen an opera house and return a historic railroaddepot to its original splendor.

A downtown area shouldn’t be independent of itsunique natural assets. Walker connected a city beachand harbor to its downtown.

Use open space to create parks and relaxation areas.Park Rapids transformed vacant lots into flower gardensand pocket parks.

Adjacent neighborhoods can feature attractive gateways,inviting residents to walk downtown.

Create corridors that lead visitors through the downtownto outer commercial zones. Bemidji’s main entranceflows through the downtown before it reaches otherbusiness districts.

Make your downtown pedestrian-friendly. Lower speedlimits and install attractive lighting and well-markedcross-walks.

Consider higher-density housing. Crosby planned forsenior housing near its downtown, so seniors can walk,shop, and enjoy a sense of community.

5

6

Fresh IdeasMinnesota’s

Downtown Revival

Makeover

from

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map is the essential travel companion, a simple device that defines thepath ahead and the road behind. Your final destination is best determined bythoughtful planning, taking inventory of assets and listening to the ideas ofevery traveler. Then, you go. Milestone after milestone. Seldom lookingback. A detour here. A rest-stop there. The dots on the map come to lifewith the history, places and the people who inhabit them. Two centralMinnesota communities placed a map on the table, invited everyone to beheard, and embarked on an extraordinary journey to unearth the treasures intheir community. Here’s what they happened upon.

A

Mayor Wayne Wolden, on the track to a new Wadena.

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T R E A S U R E M A P P I N GEvery town has it. Thriving towns find it.

By Catherine Stoch Photography by Jim Altobell

21WINTER 2006

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The stories of Melrose and Wadena are richwith history, of travelers and immigrants

moving about, searching for a place to callhome—not so vastly different from today. Bothhave populations under five thousand, mostlyhomogeneous, yet facing a wave of newcomers.They also have common economies and a strongcommitment to planning for the future. The lat-ter wove them together as participants in theInitiative Foundation’s Healthy CommunitiesPartnership (HCP) with the shared desire to planthe future of their communities.

While many communities tend to focus on“what’s wrong,” the foundation encourages analternative approach called Asset-BasedCommunity Development (ABCD).

“Imagine if every day, you look in the mirrorand only notice what’s wrong with your face,your body, your voice, everything you can’t do,”says Karl Samp, the foundation’s vice presidentfor community initiatives. “How would thatchange the way you feel and act? Sometimescommunities can spend a lot of energy lamentingthings that cannot be changed. That’s depressingand it siphons away their optimism and pride.We try to help them identify and mobilize thegood things that already exist—their assets.”

Those assets include the gifts and talents ofresidents; the power of their associations; theirpublic, private, and nonprofit institutions; andtheir physical and natural resources. Asset-Based

Community Development works from the insideout, under the principles that local people knowbest and that everyone who is affected by a deci-sion should have an opportunity to participate inthe decision-making process.

From there, the foundation trains volunteerleadership teams comprised of twelve to twentyresidents who represent the area’s social, econom-ic, and professional diversity. Leaders help facili-tate community discussions and a public “vision-ing session,” where the foundation essentiallyasks everyone the same question: “If you could

imagine the best possible future for this commu-nity, what would it look like?” When citizensarrive at a collective answer, volunteers turn thatvision into a simple plan of action, which canearn foundation grants and support.

In Melrose, a community steeped in Germanroots, the recent and growing Latino populationposed a unique opportunity and set the wheels inmotion for cultural exchange and understanding.At least 12 percent of Melrose’s three thousandresidents are Hispanic, an underreported numberthat swelled more than 10 percent between 1990and 2000, according to U.S. Census data. MostMexican families are attracted by employmentopportunities at the Jennie-O Turkey processingplant. Such rapidly growing diversity promptedMelrose’s forward-thinking leaders to bring allcitizens together to envision and plan a brighterfuture through the HCP program.

“This program was to find other leaders inthe community, and we found a lot of peoplewho made great leaders,” says Rose AnnInderrieden, an original HCP volunteer andformer city administrator. “We wanted to pointout the good in the community and to get peo-ple thinking positive.”

To respect both the German and Latino cul-tures at its HCP visioning event, Melrose resi-dents shared an eclectic meal that includedGerman potato salad and quesadillas. For the firsttime, ideas and concerns were voiced in bothEnglish and Spanish.

Perhaps most important, the visioning led tothe creation of a nonprofit organization calledCommunities Connecting Cultures. Ana Santana,a 2001 Melrose High School graduate withMexican roots, serves as a cultural liaison to newimmigrant families. With funding and officespace from Jennie-O, she helps to explainAmerican customs, laws, and services. “I helphowever I can, everything from showing a momhow to clip her baby’s fingernails to organizing afree tax preparation day,” Santana says. “That net-ted $240,000 in tax returns for more than onehundred people.”

“The biggest barrier to acceptance is the lan-guage barrier,” says George O’Brien, formermayor and Melrose resident for forty years.“That’s going to get changed, but it’s going to takea couple of generations to do it. It took a coupleof generations for my grandparents.”

Bilingual welcome-home packets, citynewsletters, and street signs also now exist.While a Mexican grocery store shares Main Streetfrontage with longtime family businesses, a newsoccer field unites youth who share the sameinternational pastime. Other goodwill-buildingprojects included installing outdoor safety lightsat Rose Park, a Latino neighborhood. Residentsnot only receive services, but they have also pro-vided hundreds of hours of volunteer time andlabor to their new hometown.

“Melrose didn’t look at their new citizens asa problem to be solved,” says Samp. “They sawthem as an asset. They searched for what every-one had in common and they included them inthe planning and action process.”

The city of Wadena floats like an island offthe woodland edge of the state’s western prairie.Built around a Northern Pacific Railroad depot inthe late 1800s, the community endured a ruraldepression that forced out businesses and long-time residents. One by one, the storefronts disap-peared from its once-bustling main street. Andeach boarded-up business seemed to take away apiece of Wadena’s heritage and hometown pride.

In German-rooted Melrose, George O’Brien shares authentic Mexican food with Ana Santana.

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“J.C. Penney had just left and there sat agreat, big empty store,” says Kay Browne, HCPvolunteer and city council member. “There weremany other boarded-up stores with broken win-dows. When people met and talked at coffeeshops, they were really getting discouraged withthe future of the community.”

Through the commitment and focus ofcommunity residents in the HCP program, eightpriority projects spun into motion, with a major

focus on downtown revi-talization and youth pro-gramming. Today, down-town Wadena is cozilyhistoric, with new street-lights, a youth-managedCyber Café, a renovatedtrain depot, small-busi-ness incubator, and puz-zle-piece-shaped alleymurals that depict thehistory of Minnesota.

With spunk, cash,and hard work, theseefforts have taken hold

from the original vision, and are being expand-ed upon by a new generation of leaders. Wadenayouth have been noticeably moving into leader-ship roles because of the Cyber Café. With athriving downtown and infusion of youth ener-gy, Wadena is the kind of place where youngand old alike can share a good cup of coffee andstroll through the past, while taking full advan-tage of what lies ahead.

“The foundation gave us the tools to do

what we already knew we could do,” saysWadena mayor, Wayne Wolden, “and that is torevitalize inside people that now it’s time to takecharge ourselves.”

The Initiative Foundation invested morethan $100,000 in Wadena, but those dollarsleveraged an astonishing $4.5 million dollars inexternal grants to support downtown revitaliza-tion, main street renovation, youth programs,and other community projects. According toBrowne, the cash infusion is due directly to theefforts of a committed citizenry who believe inwhere they are, where they are going, and wherethey want to be.

“That’s the power of asset-based thinking,”adds Samp. “We provide a compass and theydraw a map to the future they want to achieve.”

The hometowns of Melrose and Wadenalearned together that the road to successfulcommunity planning is challenging, inspir-ing, and full of surprises. Yet, with everyonereading from the same map, translating wherenecessary, and keeping focused, they discov-ered amazing things about their communitiesand themselves. IQ

23WINTER 2006

The Wheel ThingThe Initiative Foundation recommends hosting town-hall meetingsto create a shared vision and plan for the future. After brainstorm-ing hometown assets and voting on top priorities, people can puttheir imagination to work by signing up for volunteer committees.But be careful, the foundation says. Make sure all spokes of thecommunity wheel are present so everyone buys into the master plan.

Vision CorrectionThe graphic below illustrates the power of a hometown vision andplan. When people have their eyes on the same prize, the InitiativeFoundation says, positive results are imminent.

No VisionGroups move in various directionsNo plan or coordination

Imposed VisionPlan without community involvementLots of energy expended resistingNo forward movement

Shared VisionCommunity planningAll groups acting in concertPlans become reality

Youth serve up conversation and coffee at Wadena’s Cyber Café.

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Every community possesses something so unique, so peerless thatit ought to be protected in a virtual Mason jar and showcased forthe world to experience. Those distinctions become a source ofcommunity identity and pride, an instantly recognizable recipethat smacks of the hometown spirit.

The ability to identify, invent and maximize unique rural aspects often separates vibrant hometownsfrom those in need of revitalization. Preserving uniqueness—be it a gorgeous riverscape, a winter festivalor those wonderful, quaint places that attract curiosity—can be a vital way to ensure that rural Minnesotacommunities thrive into the future.

Forty years ago, the Cuyuna Range mining industry was heaving its last breath. Cast on the far-flungsouthwestern edge of the great mining fields, eight communities enjoyed a prosperous industry until the1960s. Depleting the kind of iron that can be made into prized taconite, operations dwindled throughoutthe next two decades. Faced with no other economic base at the time, citizens won a hard-fought decisionto build a hospital. That decision helped to ensure their own survival.

“They had a strong belief in what was important to them, even though it was the absolute worst timeeconomically to do that,” says John Schaubach, hospital administrator of the now state-of-the-art CuyunaRegional Medical Center. “Their strength and willingness to risk at such a bleak time lay the foundationfor a community that is thriving forty years later.”

That change of self-identity, from a mining town to a regional medical center, prevented the CuyunaRange communities from fading into ghost towns. Today, the citizens are still active in recognizing and pre-serving their assets.

The mining graveyards have been transformed into one of the most unique recreational parks inMinnesota. Trails throughout the old fields were designed to highlight the history of the mines as well asto maximize prime vistas and natural beauty. The Cuyuna State Recreational Area is fast becoming atourist destination.

Crosby has redefined itself as the Antique Capital of Minnesota. Downtown storefronts host a charm-ing collection of antique shops, restaurants, and local attractions. Bordered by Ironton and Deerwood andall three gracing the shores of Serpent Lake, the communities have marketed themselves as a place to cometo relax, to enjoy the beauty of central Minnesota, and get a flavorful taste of regional history.

niquePreservesU By Britta Reque-Dragicevic

Photography by Jim Altobell

24 INITIATIVE QUARTERLY

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“We have found that not only have we cre-ated a place where tourists come to use the trailsand shop, but citizens are out there enjoying theland,” says Schaubach. “It’s ironic that peoplenow come to a place that was once a dustyminefield to see natural beauty.”

The communities recognized the impor-tance of creating what nationally renowned con-sultant Jack Schultz calls a “sense of place.”Schultz, the founder of the Boomtown Instituteand author of several bestselling books on ruralrevitalization, defines a sense of place as uniquequalities that give citizens a strong sense ofbelonging, pride, history, and attachment.

“By stepping back and taking a good, hardlook at what might set them apart,” says

Schultz, “be it natural resources, their setting,or even historic buildings, towns can create asense of pride and find very creative ways tobuild on their assets.”

He points to Leavenworth, Washington, aformer logging and railroad town of five thou-sand that dropped to one thousand when itseconomy stumbled. A group of eleven womendecided to take action. They helped arrange aseries of town meetings, which yielded a sharedvision and plans to model the town after aBavarian mountain village. Stores and hotelsnow reflect the alpine tradition and the commu-nity can boast of a bustling convention centerand a five hundred member chamber of com-merce. Leavenworth was so successful atauthenticating its Bavarian image that forty fam-ilies from Bavaria actually moved there.

“What it taught me was that expertsdon’t always know what beats in the hearts ofthe people,” says Schultz. “The idea ofbecoming Bavarian had no ties to the com-munity whatsoever. It was just an idea thosewomen came up with.”

Ideas are what prompted the strugglingnorthern town of Cass Lake, population 860, tocreate a better future. Set in the crossroads ofpristine lakes, Cass Lake was a railroad towndefined by its high rates of crime, poverty, andindifference. Ten years ago, a handful of citizenscreated the Cass Lake Miracle Group, whichderived its name from the now-legendary com-ments of one person who said, “It will take amiracle to turn this town around.”

The Miracle Group believed that despite itschallenges, Cass Lake had potential. It enlistedthe Minnesota Design Team (a group of volun-teer architects, planners, and designers) to pro-vide insight, ideas, and a glimpse into the future.Cass Lake then participated in the InitiativeFoundation’s Healthy Communities Partnershipprogram to invite everyone to create a sharedvision and plan.

Dan Evans, director of the Cass LakeTourism Bureau, helped establish a TourismPartnership that focused on revitalizing thelocal chamber of commerce and showcasingthe unique natural resources of the communi-ty. His committee has been busy with theLady Slipper Scenic Byway, connecting thecities of Cass Lake and Blackduck with morethan two thousand state flowers along theroad. Other projects included creating biketrails, opening a new tourism center, andestablishing festivals throughout the year thathelp bring in visitors and revenue.

One of the city’s most intriguing projects

Above: John Schaubach and Kathy Bussardhelped to transform former iron mine areasinto the Cuyuna State Recreational Area.

Left: Traditional Native American dancersdraw crowds to Cass Lake’s Rib Fest, one offour new festivals that define the communi-ty. Photo courtesy of Cass Lake Times.

Opposite Page: Taylors Falls Mayor MikeBuchite: “Small-town historic characterand scenic beauty are the building blocksof our community.”

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is the restoration of one of the few remainingCivilian Conservation Corps (CCC) camps inMinnesota. Camp Rabideau ConservationAcademy & Learning Center has earned its sta-tus as the best preserved CCC camp in thecountry. “We plan to restore it to its originalcharacter and use,” says Evans, “serving youthand young adults ages fifteen to twenty-five.We’re collaborating with several partners tohelp revitalize it.”

With the help of the Initiative Foundation,Cass Lake is also planning a multi-million dollardowntown revitalization that will improve infra-structure and give the aging downtown a majorfacelift. The Boys & Girls Club, currently thesmallest club in the U.S., will also build a newfacility downtown.

“When you look back almost ten years,”says Evans, “Cass Lake has come a long way andrealized many of the goals it set for itself backthen. Now is the time to celebrate that and setsome new ten-year goals.”

For the citizens of Taylors Falls, preserv-ing their community’s historic naturalresources has been a priority for more than onehundred years. Nestled deep within the St.Croix River Valley and watched over by thetowering Dalles bluffs, Taylors Falls has been atourism destination since the early 1910s. Thecommunity is a gateway to Minnesota’s secondoldest state park, Interstate Park, which linesboth sides of the river.

The community sought the wisdom of theMinnesota Design Team and the InitiativeFoundation, which helped citizens create a“strategic guide” that outlines their vision for thefuture. The guide includes plans to extend itsdowntown riverwalk, build a pedestrian-friend-ly downtown gateway, and create a bike trail

hub that centers around its historic depot.Taylors Falls’ leaders also negotiated to

keep power lines underground and to camou-flage a cellular tower so they didn’t spoil thescenic views. When a fire tore through a cen-tral downtown block, citizens and officialsseized the opportunity to formalize downtownarchitectural guidelines that ensured the small-town atmosphere would be reflected in allfuture construction.

“Small town historic character and greatnatural scenic beauty are the building blocks ofour community,” says Mike Buchite, mayor ofTaylors Falls. “That is the guiding principle ofour new comprehensive plan.”

Dan Frank, the Initiative Foundation’s pro-gram manager for community development,advises rural communities to, “find a unique-ness that sets you apart and then enhance it andpromote it.”

Buchite agrees and also recommendsthat communities make an effort to involve,and repeatedly re-involve, the community.“Have a bold vision, yet recognize it’s a long,slow process,” says Buchite. “Bite off small,do-able chunks to focus your resources andseek competent professional guidance inplanning and design.”

Whether it be unique places, events, ornatural resources, recognizing and preservingthem for the future is vital to a community’shealth and well-being. The biggest challenge tocommunities can be finding the emotionalstrength to look at their community from anew perspective.

“Often, the communities that need themost help are depressed and get down on them-selves,” says Schultz. “It’s turning that attitudearound that makes all the difference.” IQ

WINTER 2006 27

Boomtown Brands“What branding does for companies,products and people, it also does fortowns. A brand is a town’s calling card—it can put a town on a map and keep itthere for all the world to see. If you’relocated in the middle of nowhere, with-out a strong population base for hundredsof miles, you had better develop some-thing that sets you apart from everyoneelse. The clearer your brand is, in terms ofwhat it promises to outsiders, the more itwill draw business and the greater yourtown will profit.”

—Jack Schultz

Communities with good brands:Mackinac Island, Michigan bills itselfas the “All Natural” theme park. 80percent is a state park and no motor-ized traffic is allowed.

Tombstone, Arizona stages daily reenact-ments of the Shootout at the O.K. Corral.

Branson, Missouri touts itself as the livemusic show capital of the world withmore than forty theaters and one hundredshows that draw more than seven millionvisitors annually.

Danville, Illinois developed a “Bricks toChips” image campaign. Bricks were partof the town’s old history, while chips—asin computer technology—represent thenew vision.

Western North Carolina publicizes their“HandMade in America” initiative.Unique craftsmanship from six areatowns has led to several road trails thatlead to more than five hundred sites,including two hundred craft studios.

Source:Boomtown USA,The 7 1⁄2 Keys to Big Success in Small Towns,by Jack Schultzwww.boomtowninstitute.com

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Economic impact radiates like a silent explosion. Whena local business booms in the economy, its shockwavescan be felt in living-wage jobs, purchases of cars, appli-

ances, and even homes, in meals served in restaurants, rounds ofgolf played at the country club, espressos served in the coffeeshops, and so on. Tax revenues fund police and fire protection,road repair, and other local government services.

When a business is forced to close its doors, the losses aremore visible and most acutely felt in smaller communities. Inthese places, the economic pie has fewer slices—each is moreconspicuous when it’s gone. The meat market, the hardwarestore, the five-and-dime, and the independent restaurant are allplaces where residents not only spend their money, but connectwith one another and sustain their sense of community.

Beyond lamenting such losses, what can be done to main-tain or restore rural economic vitality? What can be done to liftboth citizen spirits and sagging fiscal fortunes? What and whereare some of the successes that may serve as models for otherrural Minnesota communities? Few would expect one-size-fits-all solutions, but there may be common denominators, includ-ing tapping into community pride and commitment, creativity,and a willingness to try the untested.

BANGfor the Buck

Business BOOMSin Fiery Hometowns

By Mike Rahn Photography by Jim Altobell

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MINPACK’s Bob Thompson:“From the beginning, theInitiative Foundation waskeenly interested andcommitted to helping us.”NASA depends on MINPACK’smicrofilm cards to store datafor five hundred years.

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Wadena’s ComebackWhen retired Bloomington businessman, Dave Evert, became

acquainted with Wadena, he was looking for a challenge and an oppor-tunity. In 2003, he found both. Evert missed the business world. He,along with Carol Spearman and other partners, wanted to launch a proj-ect that would make a difference to rural communities and their citizens.

“The community’s economy and its mood were at a low point,” saysEvert. “There were thirteen empty storefronts on Main Street.” The J.C.Penney store—once a large employer and for years one of this smalltown’s economic bragging rights—stood as a vacant exclamation point.

The last three years have seen the beginnings of a Wadena come-back. Evert and Spearman are prime movers in an innovative economicdevelopment experiment, a business incubator, called The VillageEmporium. The former J.C. Penney store is now a bustling marketplaceof specialty shops. Entrepreneurs “test drive” business concepts withouta large investment and without abandoning their present livelihood.

This is made possible by a combination of centralized cashiering, com-mon support services, and flexible rent arrangements. Shops offer such goodsas home décor items, crafts, antiques and collectibles, specialty foods, health

foods, used books, and computer recycling. A coffeehouse serves hand-dipped ice cream and provides a stage for regional musicians.

Homegrown business development may be a more productiveavenue for rural communities than “chasing smokestacks”—competingwith other communities to attract a single, large, industrial business toprovide quality jobs. There are not enough of these large businesses forevery rural community to have or rely upon.

Two of the businesses that began in the Village Emporium havematured into self-sustaining, independent businesses and have movedinto those vacant downtown storefronts. Eleven more have helped buoyWadena’s downtown since 2003.

Evert believes that alternative, niche businesses offer opportunitiesto succeed in markets that are dominated by corporations. His keys tosuccess are offering a distinctive, preferred product or service, and testingits merits in a supportive environment where risk is limited.

“A lot of positive things that started before I got here are now begin-ning to bear fruit,” says Evert. “A lot of people are working in the samedirection now.” Evert cites contributions made by the InitiativeFoundation and its Healthy Communities Partnership, which has provid-ed leadership training, planning assistance, and grants to Wadena.

Pine City’s Gone DigitalBesides creating opportunities for new businesses, rural economic

development strategies may also include preserving existing jobs andbusinesses. Just as it is easier for any business to keep a customer than toreplace one, rural communities may find it more beneficial to turn theirattention to the businesses they already have. Dance with the ones whobrought you, so to speak.

MINPACK, owned by former 3M employee, Bob Thompson,proved to be a beneficial dance partner for Pine City. The companymanufactures microfilm cards for archiving important technical infor-mation, such as engineering schematics, blueprints, and maps. Onemight have thought that the digital age had put an end to film forgood, but technology that preserves critical documents for up to fivehundred years is still in high demand.

Engineering documents used by NASA, one of MINPACK’s clients,can certainly be of importance beyond a decade. From automobile man-ufacturers to the aerospace industry, clients recognize that the conven-ience of digital imaging requires, at least for now, the permanence of filmtechnology. That leads them to Pine City.

How does MINPACK fit into a rural economic development land-scape? Pine City, a community of 3,200 located between the Twin Citiesand Duluth, certainly qualifies as rural. At issue was not the creation of newjobs, but the preservation of almost one hundred existing jobs in a part ofMinnesota not known for its surplus of high-salary opportunities.

The technology at the heart of MINPACK’s film archiving productdates to the 1950s, when 3M purchased and perfected it. In the late1990s, after three decades of operating its microfilm operation, 3M“spun off” this product and its Pine City manufacturing plant in a cor-porate reorganization. When Thompson saw an opportunity to pur-chase the business and save one hundred local jobs, he sought advicefrom Pine City business leaders and received “gap-financing” from theInitiative Foundation.

“From the very beginning, the Initiative Foundation was keenly

30 INITIATIVE QUARTERLY

Entrepreneursdisplay theirwares at theThe VillageEmporium, whichoffers low-riskopportunities totry out smallbusiness ideas.

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interested and committed to helping us,”says Thompson.

He also points out the benefit of havinglocal educational resources to supportstaffing and training needs. “Bob Musgroveof Pine Technical College has been a coachand mentor,” says Thompson. “He’s been astrong supporter, including adding a manu-facturing curriculum designed to help stu-dents in the workforce adapt existing skills,and transition into new technical skills.”

3M remains one of MINPACK’s largestclients. In addition to its archiving products,MINPACK also provides assembly services forsome of 3M’s consumer products.

Under Thompson’s leadership, MINPACKis continuing to make a positive impact on the

economic life of east central Minnesota. Bothhe and Musgrove are now leading Pine City’searly childhood coalition, as well as economicdevelopment efforts. “Our payroll of ninety-nine employees is not something that couldeasily be replaced if it were to go away,” saysThompson. “Fortunately, our business contin-ues to grow. As this happens, we see MINPACKbeing able to add professional level jobs,including finance, sales and marketing posi-tions. That will be great for the community andthe surrounding area.”

Hackensack’s“Senior Class”

What does a small “up-north” communitydo when its residents decide they have gonewithout a local health clinic and senior livingfacility long enough? If you lived inHackensack, you might have been among thecontingent who approached local developerJim Johnson and asked him to build one.

Hackensack residents have long beenfaced with limited healthcare choices—manymust drive almost an hour to see their familydoctors. If their health declined, seniors oftendidn’t have the option of remaining in theirown hometown.

When citizens came together at a town-hall meeting hosted by the InitiativeFoundation, they identified access to medicalservices as their top priority. The need becametragically evident that evening, when a womansuffered a fatal brain aneurism. It took more

than thirty minutes for the ambulance to arrive.The product of the residents’ ambition is

an assisted-living facility named HackensackSenior Class, built on the site of a former highschool. An adjacent clinic serves the facility’sresidents as well as the general public.

In January, 2007, the new facility willmeet needs from birth to senior citizenship.The 3,500 square-foot clinic will offerphysician and nursing care to meet typicalneeds, plus those of an aging clientele. Theassisted living complex will feature thirty-seven private apartments in six configura-tions as well as a pool, exercise facility, bar-ber shop, and beauty salon, all of which willbe fully handicapped-accessible.

Community leaders hope that clinic trafficand new senior residents will also provide aneconomic boost to downtown businesses.

“This was a project with a lot of dots toconnect,” says Gail Leverson, Cass CountyEconomic Development Commission. These“dots” included the First National Bank ofWalker, City of Hackensack, Small BusinessAdministration, Minnesota Business FinanceCorporation, the Minnesota Department ofHuman Services, Faith in Action, and theInitiative Foundation. Together they securedcommercial financing, planning assistance,grant funding, and—collectively—a solution toa small community’s dilemma. IQ

WINTER 2006 31

Left: Entrepreneurs Carol Spearmanand Dave Evert renovated a vacant JCPenney into a cutting-edge businessincubator in downtown Wadena.

Below right: Local needs drove JimJohnson to develop Hackensack’sSenior Class, a new clinic andassisted-living facility.

MINPACK

Page 34: IQ Magazine - Winter 2006

32 INITIATIVE QUARTERLY

shared and recycled, that’s when thingsstart to stagnate and people feel powerlessand apathetic. It’s a death-sentence.”

For the past twenty years, Jim Krile hasled the Blandin Foundation’s CommunityLeadership Program, which has trained fivethousand citizens from more than 250 ruralMinnesota communities. His book, TheCommunity Leadership Handbook, is thecompilation of Blandin’s training experi-ence and core program elements. (SeeKrile’s guest editorial on page 48.)

“The truth is that rural life is gettingmore complex, not simpler,” says Krile.

“Communities must invest in and careabout their existing and upcoming leaders.Like anything else, if it’s neglected, therewill be a price to pay.”

Blandin’s program includes eight days oftraining designed for teams, not individuals.A typical team is made up of twenty-fourdiverse citizens who spend a week learningwhat Krile considers to be the core competen-cies of leadership: Framing Ideas, Building onSocial Capital, and Mobilizing Resources.

Before he died in 2003, the InitiativeFoundation’s lead trainer and programarchitect, Don Bargen, challenged leaders ofrural communities to put their own agen-das aside and create opportunities forshared leadership and volunteerism.

“You do your best when you’re humbleenough to realize that you don’t have all thegifts. It’s not for you to come in on a whitehorse with shining armor to remake the com-munity,” said Bargen. “(Forming a shared)vision always comes before the ego. It’sanother way of saying that the common goodof community has to take precedence.” IQ

LEADERSHIP

An increasing number of

hometowns are realizing

the importance of injecting

fresh faces and ideas into

the well of local leadership.

Page 35: IQ Magazine - Winter 2006

WINTER 2006 33

CONTINUED FROM PAGE 10

Source: The Community LeadershipHandbook, by James F. Krile.Available at blandinfoundation.org

CommunityLeadership

SkillsFraming IdeasHelping a communityrecognize and define itsopportunities in ways thatresult in action.

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Page 36: IQ Magazine - Winter 2006

34 INITIATIVE QUARTERLY

nderstanding rural poverty and itseffects on Minnesotans is no small task.

In a region of the country known for its highwork standards, remote homesteads, and mind-your-own-business philosophy, being amongthe rural poor can create a sense of hopelessnessand isolation.

Debbie described her experience withrural poverty this way. “Every time you manageto take one step forward, something happens tosend you three steps backward,” says Debbie.“Poverty is so overwhelming. You live on theedge without security. The feeling of hope isthat tomorrow things will be alright.” Debbie,an Onamia resident and single mother of threedaughters, works full-time but is one of thou-sands of Minnesotans living in rural poverty.

In 2005, the federal definition of povertywas an annual income of less than $19,806 fora family of four. That figure assumes that one-third of the total income, or about $125 a week,will provide sufficient food, and another third,or about $550 a month, is enough for adequatehousing. The remaining third must then pay fortransportation, health care, clothing, heat andutilities, and any other expenses.

“I can’t imagine any family of four surviv-ing on $20,000—it takes more like $40,000,”says Kathy Gaalswyk, Initiative Foundationpresident. “Community leaders must recognizethat these guidelines understate the problem.”

The definition does not take into accountdifferences in the cost of living in different partsof the country. “One of the biggest issues relat-ed to poverty is how prevalent poverty is amongchildren,” says Liz Davis, University ofMinnesota’s Department of Applied Economicsand member of the national Rural PovertyResearch Center. “About 18 percent of childrennationally (are poor).”

That statistic is most alarming—stoppingthe generational cycle of poverty depends on

each new generation’s ability to get and keep liv-ing-wage jobs. “Research is quite conclusive onthe negative impacts of growing up poor onchildren’s later success in life,” says Davis.

While facing poverty in any region is diffi-cult, being poor in a rural area presents uniquechallenges. Nationally, poverty rates are aboutthree percent higher in rural areas and theneeds are more often overlooked due to greaterisolation. But ultimately, whether being poor inan urban area is better than being poor in a

rural area has everything to do with theresources available.

Michele, a woman who was displaced bydomestic violence and found herself poor andhomeless in a rural area, was baffled as she triedto figure out where to turn for help. Sheexplains that one of her most difficult situationswas finding housing that was both affordableand acceptable. “It was hard to find a place thatwas decent and in good shape,” she says,“where the utilities would not exceed the rent.”

Poverty Cycle Harder to Break in Rural Communities

UU

Circle of Strife

POVERTY BY CYNTHIA MOE

Poverty in Central MinnesotaAccording to the Department of Health & Human Services, a family of fouris considered to be in poverty when they earn less than $20,000 per year.

Annual averagewage (2004)

Poverty rate(2003)

Unemploymentrate (2006)

BentonCassChisagoCrow WingIsantiKanabecMille LacsMorrisonPineSherburneStearnsToddWadenaWright

Average

State

$31,332$24,639$30,910$29,917$29,566$29,432$27,735$27,859$26,971$33,097$32,301$26,356$27,215$31,822

$29,225

$40,892

7%12%6%9%6%9%9%9%11%5%8%11%12%5%

9%

8%

3.4%4.2%3.7%3.6%3.5%4.7%4.9%4.0%4.6%3.4%3.5%4.0%5.1%3.3%

4.0%

3.6%

Source: Northwest Area Foundation (www.nwaf.org)

Page 37: IQ Magazine - Winter 2006

WINTER 2006 35

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Michele was lucky. She eventually found asuitable home she could afford. But housing isa huge concern for those in rural poverty. Thelack of housing is often the one issue thatforces people in Michele’s position to leaverural areas altogether.

Another hurdle is transportation. Smalltowns can rarely afford to make public transitwidely available. Even if a person can manage tobuy a car, insurance and maintenance costs areprohibitive. One large repair bill can equal dis-aster for a struggling family. The geography ofrural areas coupled with harsh weather makewalking to work difficult at best.“Transportation is an absolute necessity and abig barrier,” says Michele. Her best advice? “Ifyou can, live very close to where you work.”

Perhaps the single greatest challenge isfinding and keeping living-wage work.Although jobs that offer six or seven dollars anhour are plentiful, the $12,000 to $14,000annual salary is far below all of the parametersused to identify poverty. To qualify for living-wage work, education is key.

In a poll conducted by the Center for RuralPolicy and Development, Dr. Jack Geller reportsthat about half of rural residents have consid-ered getting additional education and training,which is available within thirty miles of home.Programs designed to help non-traditional stu-dents can be accessed for virtually any accredit-ed program, but the energy required to workfull-time and attend school is considerable.

Michele was able to find help from a num-ber of resources to help her get back on her feet,including living with relatives for a time. It stilltook her about two years to recover financiallyas well as emotionally. She now spends her daysworking with Lakes and Pines CommunityAction Council, helping other people find hopeand resources to work their way out of thepoverty trap. IQ

Page 38: IQ Magazine - Winter 2006

36 INITIATIVE QUARTERLY

hen Jason Bryant moved his familyback from northern Virginia to take

a teaching job near Cambridge, he and hiswife, Jody, thought that $150,000 would bemore than enough to purchase a home.They were wrong.

“Anything livable without a lot ofmaintenance was $160,000 or higher mini-mum,” says Jody, an image consultant whoplanned to stay home with their two-year-

old son. “Most were much higher.”The Bryants are the new face of an

affordable housing dilemma in ruralMinnesota. Existing housing is aging whilenew homes seem out of reach. Housingagencies cite excessive consumer debt asone barrier. Exacerbating the problem is acombination of expiring federal tax credit

BY CHRISTINE HIERLMAIER NELSON

Affordable Housing Concepts Return Hope to the American Dream

HOUSING

WW

Reasonable Doubt?programs for existing homes and notenough commitment by developers for newaffordable housing.

If the housing boom taught anything,it’s that real estate investment buildswealth. It also promotes stable families andkeeps people of all ages in a community tolive and work, generating more high schoolgraduates and economic growth. Toincrease these opportunities in ruralMinnesota, community and nonprofit

groups are getting creative.“There are certainly going to be more

shortages in affordable housing than wehave now,” says Sheri Harris, executivedirector of the Central Minnesota HousingPartnership (CMHP).

Central Minnesota Housing Partnershiprecently closed on an affordable, ninety-

In Cambridge’s Heritage Greens neighborhood featured in Time magazine, the Bryants found an affordable andattractive home.

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Page 39: IQ Magazine - Winter 2006

WINTER 2006 37

one-unit rental property in Benton County.By transferring ownership to a nonprofitgroup, rents will stay low. But currentresources allow only one or two of thesedeals per year, Harris says.

Another project in Long Prairieinvolved restoration of a historic hotel tocreate seventeen new apartments in thedowntown area, providing ready customersfor downtown businesses..

More than five thousand rental units incentral Minnesota, formerly subsidized by afederal tax credit program, may revert tomarket rate housing in the next few years asthey near the end of the compliance period,according to Harris. “Many of the renterswill be forced to a nursing home or end upleaving the community,” she says.

Jean Novicky, fifty-two, has movedfour times since coming to the Brainerdarea in 1991. She has four children, twostill at home. She earns $11 an hour. Afterpaying $627 a month just for her rentin Nisswa, Novicky was barely makingends meet.

She heard about a program in Brainerdwhere families work together to build theirown homes. Sponsored by the Region FiveDevelopment Commission, the Self HelpHousing Program is the only one of its kindin Minnesota. Mortgages are held by theU.S. Department of Agriculture and pro-vide 100 percent financing with interestrates as low as 1 percent. Payments arebased on income rather than the cost ofthe home.

Novicky has lived in her new home,painted autumn yellow, for a year. Afterhelping to build four homes for her familyand her neighbors in eleven months, shehas the confidence to hang drywall in herbasement and asks that visitors removetheir shoes.

“Instead of saying, ‘I can’t do it,’ I canat least try,” says Novicky. “It makes me feelreally good about myself.”

Affordable-housing needs in greaterMinnesota are multi-faceted and they varyby community, notes Warren Hanson, pres-ident and CEO of the Greater MinnesotaHousing Fund. The GMHF strives to pro-vide flexibility in technical assistance andfunding to address different needs. But it

CONTINUED ON PAGE 38

Page 40: IQ Magazine - Winter 2006

38 INITIATIVE QUARTERLY

takes creativity on the local level to developthe most effective housing programs, hesays. “It takes a combination of public lead-ers and private business people who haveto have in their heart the desire to addressthe need.”

For the Bryants, it started with theirrealtor, who knew about a new programcalled the Central Minnesota CommunityLand Trust. The land is placed in trust witha nonprofit for ninety-nine years and taxesare waived for a time to bring down thecost of the home. The first-time homebuyerwill receive a portion of the land equitywhen the home is sold.

The Bryants moved into HeritageGreens, a new urbanist community plannedfor 292 mixed-income housing units, greenspace, and commercial use. The project,located on an eighty-six-acre abandonedstate mental hospital site, is part of theGMHF Growth Corridor Initiative.Designed to link to a central park and trailsystem that connects to downtownCambridge, the project was featured inTime magazine.

“We must have worked with six to tendifferent financing sources, but it wasworth it,” says Jody of her new home,which will have four bedrooms and twobaths when finished. “Our payment is lessthan we would have paid for rent in thearea, but we can build equity and all thosepositive things with owning a home. Thechallenge is getting the first one.” IQ

HOUSING

CONTINUED FROM PAGE 37

If the housing boom

taught anything,it's that real estate

investment builds wealth.Affordable housing

promotes stable familiesand generates

economic growth.

Page 41: IQ Magazine - Winter 2006

WINTER 2006 39

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Page 42: IQ Magazine - Winter 2006

40 INITIATIVE QUARTERLY

arker Brothershas a new ver-

sion of its Monopolyboard game. A ToyotaPrius and New Balancerunning shoe havereplaced traditionalplaying pieces, such asthe race car and oldboot. New York’s TimesSquare dethroned thecoveted Boardwalk.

A few sacred ele-ments have endured.The Community Chestcards remain on theboard, adjusted forinflation and popularculture. Now, a playercan win $100,000 forappearing in a realityTV show, instead of themeager $10 second-place prize in a beauty contest. Similar toMonopoly’s old-fashioned Community Chest,Minnesota’s rural community funds continueto mature and provide windfalls of financialsupport to keep their hometowns a fewspaces ahead in the game.

“Community funds are really a vehicle fordonors,” says Chuck Christian, a board mem-ber for both the Three Rivers CommunityFoundation (TRCF) and Initiative Foundation.The Initiative Foundation helped Elk River,Rogers, and Zimmerman area citizens formTRCF in 1989 and now serves as its fiscal hostand partner. “Donors have a vision of whattheir assets can do in their community. Weserve as a resource for those donors, planttheir seed money into a project, and get othersexcited about the work.”

Community funds offer a way for resi-

BY ANITA HOLLENHORST

Community Funds Enhance Rural Tradition of Giving Back

PHILANTHROPY

PP

Pay it Forward

dents to give back to the area where they live,play, and work. Donors know how their dol-lars are spent and how they benefit local proj-ects. Besides promoting the spirit of givingback, community funds build a sense of prideand local ownership.

“The benefits are visible when the folkswho live next door are affected,” says AlanJudd, Staples Community Foundation adviso-ry board member. “Our donors get a chance tobe visible, they see it in the newspaper, andknow that it’s a local group of people that aremaking things happen.”

The Staples Community Foundationdetermined that the appearance of their townwas important to residents. Since 2001, theirfoundation has provided $8,000 to projectsthat have helped to increase highway signage,create new gardens, add city street banners,

The Initiative Foundation’s Mark Lease and Cathy Hartle join Staples Community Fundmembers Sally Gorton and Alan Judd.

Page 43: IQ Magazine - Winter 2006

WINTER 2006 41

and support community beautification efforts.The foundation also works to strengthenyouth and families and increase communityinvolvement. The funding priorities guidetheir projects, but remain flexible.

“If something comes up,” says Christian,“funds can be directed in a different way.Priorities may shift, but the money stays inthe community.”

This philanthropic spirit may gain sub-stantial momentum in the next fifty years. “Asthe baby boomer generation ages and moveson, an unprecedented amount of wealth willchange hands,” says Curt Hanson, vice presi-dent of donor services at the InitiativeFoundation. “It’s in a community’s best interestto make sure that it has a local fund in placethat can accept donations, bequests, and othergifts from good people who want to leave alegacy in their hometown.”

A Boston College study predicted asmuch as $41 trillion in assets could transferhands between 1998 and 2052. The study alsoestimated that $16 trillion would benefit char-itable activities. “Think of the good that couldbe done on behalf of our communities, ourquality of life, our children, and our environ-ment,” adds Hanson. And like a savingsaccount, community fund endowments areinvested—only the earnings from those invest-ments are spent.

When a community is interested instarting a fund, the foundation may assistleaders and volunteers with matching funds,leadership training, staff assistance, and co-funding of projects. A staff liaison provideshands-on guidance to a local advisory board,which sets funding priorities and a geo-graphic service area.

The Initiative Foundation hosts five com-munity funds in central Minnesota. In additionto the Three Rivers and Staples CommunityFoundations, other foundations include theGreater Pine Area Endowment, the Isle AreaCommunity Foundation, and the Little FallsArea Foundation.

“The support we’ve received from theInitiative Foundation has been incredible andreally made the difference in our success,” saysJudd. “If a community is thinking of a founda-tion or mechanism to offer grants in their ownarea, there isn’t a greater partner than theInitiative Foundation to make it a reality.” IQ

www.regionfive.org I 218.894.3233

Jonathan

Page 44: IQ Magazine - Winter 2006

> E A R L Y C H I L D H O O D

At a Headstart meeting in LittleFalls, teachers discussed how

to tackle the serious challengesfaced by new kindergarten stu-dents. Some children didn’t evenknow their colors.

“We realized this problemhad to be addressed from a com-munity perspective, involving par-ents and everyone,” says RandeSmith, principal of Little Falls’ twopublic elementary schools.

Both Little Falls and Pine Cityturned to the InitiativeFoundation’s Minnesota EarlyChildhood Initiative (MECI), a

statewide project that helps com-munities create the best possiblefuture for children ages five andyounger. With training and grants,volunteer coalitions will focus onkindergarten readiness, qualitychildcare, and family education.

The Minnesota Departmentof Education reports that 50 per-cent of all children enteringkindergarten are not fully pre-pared to succeed, an early trendthat can hinder them throughoutschool and life.

“We want to raise the bar inthe Pine City area,” says Robert

Musgrove, Pine Technical Collegepresident and coalition leader, “byidentifying gaps in services to ouryoung children and then bridgingthose gaps.”

Projects in sixty-two otherMECI communities have rangedfrom providing preschool trans-portation services to mailing freemonthly books to children.

Many have hosted family-funand learning events.

“The first five years are liter-ally the opportunity of a life-time,” says Kathy Gaalswyk,Initiative Foundation president.“What we do as parents and ascommunity members sets thestage early, and we all have astake in the process.” IQ

CHILDREN FIRSTLittle Falls, Pine City Join Early Childhood Movement

42 INITIATIVE QUARTERLY

Principal Rande Smith (back right) and members of the new Little Falls earlychildhood coalition.

Page 45: IQ Magazine - Winter 2006

WINTER 2006 43

> E C O N O M I C D E V E L O P M E N T

You hop in the van. Dr. Utleyhits the gas. It’s time for your

root-canal.Welcome to Lakes Mobile

Dental, a full-service dental officethat changes its address by theweek. The clinic-white van—cus-tomized with two reclining chairs,cabinetry, and a friendly dentist (alloptional equipment)—is the prideand joy of hygienist-turned-entre-preneur Rebecca Wilson.

With business financing fromthe Initiative Foundation, Wilsonnow serves ten central Minnesotacounties. Her clientele includes

rural patients as well as those withsubsidized insurance.

“We see a lot of patients whohad to drive two or three hours toget dental care,” she says. “There isa huge need in parts of the state.”

Only about one out of fourdentists in Minnesota acceptspatients in state-subsidized pro-grams, which can leave low-incomefamilies with few local options andoften without proper care.Formerly insured by MinnesotaCare herself, Wilson experiencedsuch challenges firsthand.

“By being mobile, we can

reach a lot more communities,” sheadds. “It can take a bit longer to getthe work done, but we’re in LittleFalls, St. Cloud, Milaca, andSandstone at least once a month.”

The Initiative Foundationhelps businesses meet communityneeds and create living-wage jobsby providing financing in partner-ship with other lenders. Since1986, the foundation has financedmore than seven hundred localcompanies, which secured eightthousand quality jobs. IQ

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Page 46: IQ Magazine - Winter 2006

> H E A L T H Y O R G A N I Z A T I O N S

RIGHT AS REINRiding Program Selected to HOP

T he four-beat gait movesthrough Evan’s waist and hips.

The heat relaxes his muscles andimitates a casual walking sway hemay never have known, but forthe animal beneath him. For sev-eral minutes, Evan forgets aboutthe physical therapy and the exer-cise balls and the ever-presentaching of cerebral palsy. He’s justriding a horse.

St. Cloud-based ProjectASTRIDE provides horse-assistedtherapy for about fifty children andadults that have myriad physical,developmental, and sensory chal-

lenges. Along with five other organ-izations, it was recently selected tothe Healthy OrganizationsPartnership (HOP), an InitiativeFoundation program that trainsnonprofit leaders in effective plan-ning and management.

“We want to become anorganization that is driven by avision,” says Clare Palmquist,executive director. “We’d like todevelop a focus that looks beyondthe everyday activities.”

By entering HOP, ProjectASTRIDE is seeking to step-up itsimpact from a trot to a gallop. A

new facility,e x p a n d e dservices andeliminatingthe one-year waitinglist for new riders are among thetop priorities.

“Many organizations take thetools that we provide and just runwith it,” says Cathy Hartle, thefoundation’s senior program man-ager for organizational effective-ness. “With a little hard work,many of them have been able toaccomplish amazing things.” IQ

44 INITIATIVE QUARTERLY

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Faith in Action Cass County, Hackensack

Mille Lacs Area Health Foundation, Onamia

Page 47: IQ Magazine - Winter 2006
Page 48: IQ Magazine - Winter 2006
Page 49: IQ Magazine - Winter 2006

WINTER 2006 47

When we say a job will cost “X,” that’s what it’ll cost.In residential construction, budgeting can be a real sore spot

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Page 50: IQ Magazine - Winter 2006

48 INITIATIVE QUARTERLY

sGUEST EDITORIAL BY JAMES F. KRILE, PH.D.

he changes taking place in rural Minnesota certainly fitYogi Berra’s famous quote: “The future ain’t what it used to be.”Our communities are changing in terms of who lives in thecommunity, where they came from, and how old they are. Ourcommunities are increasingly impacted by a global economyand the changing roles of state and federal government. As aresult, rural communities are becoming complex and diverse inways we have not seen before. Our task is not to revitalize them.It is to build on the new life, the energy, the new and diverseassets, and possibilities that already exist.

As a community’s population becomes more diverse, itmust deal with a variety of traditions, values, and viewpointsthat can be seen merely different from each other at best—ordirectly opposed at worst.

We will have to learn to set aside old thinking, old rivalries,and old concepts of “turf” that get in the way of working togeth-er. Community leadership must build on our diverse assets byfinding forces that unite us, which are stronger than the forcesthat divide us.

Whose job is it to provide the leadership that will bring ustogether to make the best use of our diverse assets and gifts? JohnGardner, a leadership scholar who served as advisor to four UnitedStates presidents, gave an eloquent answer to that question: “I keeprunning into highly capable people all over this country who liter-ally never give a thought to the well-being of their community. AndI keep wondering who gave them permission to stand aside! I’masking you to issue a wake-up call to those people—a bugle callright in their ear. And I want you to tell them that this nation coulddie of comfortable indifference to the problems that only citizenscan solve. Tell them that.”

In other words, it’s our job to provide leadership wheneverand however we can to build healthy, vital communities. This

means that we need to think of community leadership in newways. Community leadership occurs when anyone, regardlessof official position, or lack of it, works to develop and sustainthe health of his or her community. We need to think of leader-ship as a role that is defined by what people do rather than bytheir personality or position. Every time we spend an hourworking with someone on a community project, every time wevote, every time we comment in the parking lot on what isgoing on in the community, every time we write a letter to theeditor, we are doing community leadership.

Healthy, vital rural communities will not happen by acci-dent. Rural communities will be vital and healthy when enoughpeople get actively engaged in building on our diverse assetsand support each other in that work. As my father used to say,“If you’re not involved, you will probably get the communityyou deserve, not the one you want.” IQ

TT

Jim Krile is the director of the Blandin Foundationleadership programs, which includes the award-winning Blandin Community Leadership Program.His professional involvement prior to joining theBlandin Foundation includes: Department of RuralSociology, University of Minnesota; Center for theStudy of Local Government, St. John’s University,Collegeville, Minnesota; Center for CommunityOrganization and Area Development, AugustanaCollege, Sioux Falls, South Dakota. Jim joined theBlandin Foundation in 1986.

The Leader WithinBuilding Community is Everyone’s Job

ILLUSTRATION BY BRAD RAYMOND

“This nation could dieof comfortable indifference

to the problems thatonly citizens can solve.”

Page 51: IQ Magazine - Winter 2006
Page 52: IQ Magazine - Winter 2006

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