Statewide blog

Statewide Category Archive: Economy

International Falls wins $657,000 grant for rail hub project

Posted at 3:10 PM on May 24, 2012 by Tom Robertson (0 Comments)
Filed under: Arrowhead, Economy, International Falls, Northwest Minnesota

The International Falls Economic Development Authority as been awarded a $657,000 state grant to construct a warehouse that will aid international shipping and create jobs.

A private company called Nexus Distribution will use the facility to provide repackaging services that enable Canada and other international companies to meet U.S. regulatory requirements, according to The Journal newspaper in International Falls.

The warehouse and processing center will be built on an 80 acre site adjacent to what city officials say is the largest rail port in North America. They expect the development will create about 50 much needed jobs over the next five years.

The project was among 14 in Minnesota that received funding through the state's Transportation Economic Development Program, a two-year-old initiative between the state Department of Employment and Economic Development and the Minnesota Department of Transportation. The program aims to improve transportation infrastructure and create jobs.

International Falls Mayor Shawn Mason told The Journal that the grant will help the city capitalize on its location in the center of North America. Rail containers carrying Asian-made product travel through International Falls from Vancouver, British Columbia and then on to Chicago.

Mason says the warehouse and processing center will provide services that help manufacturers comply with U.S. labeling and packaging codes. Much of that activity now happens in Chicago, where the process can be slower and more costly.

Local officials hope the project will lead to additional investment and economic opportunity along the rail corridor.

Groundbreaking on the facility is set for July 2.

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IDEA competition rewards up and coming entrepreneurs

Posted at 4:08 PM on April 30, 2012 by Tom Robertson (0 Comments)
Filed under: Economy, Northwest Minnesota

Another batch of winners has been announced by the IDEA Competition in northwest Minnesota. Now in its fourth year, the competition is designed to encourage homegrown entrepreneurs who have innovative ideas or inventions.

IDEA contestants undergo a six-month competition. They submit business plans for their product and make presentations to a panel of judges made up of equity finance groups, bankers and business development professionals.

The top five winners get cash awards of $10,000, plus a year's worth of expert advise from a business coach. They include:

-- Mark Landes and Jennifer DeBarr, Bemidji, for the Shield Snip, a hand tool to simplify the process of cutting coaxial wire used in the medical, aviation and telecom industries without causing damage;

-- William and Julia Stephani, Puposky, for their Slot Rail Fence, a fence design that has built-in slots for easy assembly;

Jeff Sullivan, Bemidji, for his Carimax Evaporator, an innovative, precision evaporator technology designed to evaporate surplus industrial and agricultural waste water;

-- Jay Fisher and James Marvin, Warroad, for Eleven Hockey, a company that manufactures hockey sticks made of longitude fibers, making them lighter and more durable, and;

-- Brady and Jodi Dyrdahl, Shevlin, for The Sidekick, a snowmobile work stand that stabilized the sled, making it easier to work underneath.

The IDEA Competition, which launched in 2008, has since awarded more than $250,000 to 18 contest winners. IDEA project coordinator Michelle Landsverk says most winners have reached commercialization, and together they've created more than 30 jobs, with sales approaching $5 million.

A growing number of regional economic developers see local entrepreneurship as one of the best ways to create jobs.

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What comes first, talented young professionals or jobs?

Posted at 6:00 AM on April 11, 2012 by Dan Kraker (0 Comments)
Filed under: Arrowhead, Economy, Government

That's the chicken and the egg economic development question cities like Duluth are increasingly asking. As I reported on All Things Considered, Duluth Mayor Don Ness has set a goal for Duluth to grow to 90,000 people by 2020.

To get there, Ness acknowledges the city has to come up with specific arguments for all age demographics "about why Duluth is a great place to live." For instance, Ness wants to position Duluth as a "premier place for active retirees" to relocate.

Duluth Mayor Don Ness delivers his State of the City address on April 2, 2012 .JPGDuluth Mayor Don Ness delivers his State of the City address on April 2, 2012.

But the sweetspot, both in terms of population growth and long-term economic development, is luring and retaining educated young professionals.

There are a couple reasons why it's so important for cities like Duluth to target that 21-35 year-old demographic, according to Brookings Institution economist Joe Cortright.

First, "the peak demographic for moving in the U.S. is basically a 24 year old with a bachelors degree or more education," explains Cortright. That's when people are up for grabs. By your 35th birthday, your likelihood of moving across state lines drops by about half, and then continues to plummet. People get married, have kids, buy homes, get settled in careers, and it's much harder to convince them to uproot,

Second, young professionals are needed to replace the baby boom generation as it retires. Cortright says we're moving into a period of much slower labor force growth. As a result, "places that have a lot of talented workers, or to which it's relatively easy to attract others, are more attractive to growing businesses."

UMD senior Brian Spiese gets help with his LinkedIn profile from two student workers. Spiese is graduating in the fall with a degree in organizational mgmt and wants to stay in Duluth.JPGUMD senior Brian Spiese gets help with his LinkedIn profile from two student workers. Spiese is graduating in the fall with a degree in organizational management and wants to stay in Duluth, IF he can find a good job.

So how do you attract those workers that will in turn attact those growing businesses? With jobs, right? Mayor Ness points to companies like Maurice's that are growing, creating jobs, and investing in their facilities.

But Ness also relentlessly touts Duluth's quality of life. The growing network of hiking and mountain bike trails. The thriving arts and music scene downtown. The beauty of Lake Superior.

Ness says there are entrepreneurs in town who've started successful businesses (like GeaCom and Loll Designs) "who've chosen to live in Duluth and start their business in Duluth because of the trail system, because of the natural beauty of the city."

Economist Joe Cortright says there's truth to that. "We know that talented folks have lots of choices about where to live," he says. So cities need to sell their strengths, what differentiates them from other communities.

It seems to be working in Duluth. The 2010 census showed the city gained 4,000 people between the ages of 20 and 34.

Don Ness isn't satisfied yet. He wants Duluth to compete, not with Rochester and Bemidji and Morehead, but with thriving mid-size cities like Boulder, Colo., and Asheville, NC.

"Those are communities that have that strong sense of place, a strong university community, and young, creative entrepreneurs want to live in those communities because of the quality of life elements that they bring."

"Duluth has all of those variables in spades," Ness argues. "Now we just need to culminate that into one common vision, and start to be a growing community."

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White Earth Nation to pursue foreign trade zone

Posted at 4:15 PM on March 30, 2012 by Dan Gunderson (0 Comments)
Filed under: Economy, Northwest Minnesota, Tribal issues

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MPR file photo

The White Earth Nation is considering an interesting move to spur economic development on the northern Minnesota Reservation.

In her recent state of the nation report, Tribal Chairwoman Erma Vizenor mentioned the idea of setting up a Foreign Trade Zone on the reservation.

White Earth Economic Development Director Jerome Lhotka said he's only done preliminary research on the idea, but it appears promising. He said a foreign trade zone at White Earth could lead to "bricks and mortar" economic development and job creation.

The idea is to induce businesses involved in international trade to locate on the reservation.

A foreign trade zone allows companies to delay, reduce or, in some cases, eliminate U.S. Customs duties on products which are imported or exported through the zone.
Companies can also avoid paying some state and local taxes.

Lhotka said the tribe will complete a detailed analysis and request legal advice before applying to the federal government for the zone.

Minnesota now has three foreign trade zones; in Minneapolis -St. Paul, Duluth and International Falls.

Typically zones are tied to a customs port of entry.

Other Indian tribes have Foreign Trade Zone status, including the Lummi in Washington State, and the Oneida in Wisconsin.

A Foreign Trade Zone is just one idea among many White Earth is pursuing in an effort to diversify the economy in an impoverished part of the state.

White Earth Chairwoman Erma Vizenor is pushing hard for a tribal casino in the Twin Cities, but she also said long-term economic security for the tribe requires diversifying the economy beyond gaming.

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St. Louis County makes dubious mining jobs claims

Posted at 4:08 PM on March 14, 2012 by Michael Olson (0 Comments)
Filed under: Arrowhead, Economy, Environment

Update 3/19: Commissioner Nelson says the year should have said 2030, not 2013.

A campaign by the St. Louis County commission to promote copper-nickle mining along the Iron Range is floating some fishy job numbers.

A pamphlet and a page on the commission's website touts: "New, nonferrous projects in Minnesota have the potential to add more than $2.7 billion to the state's economy and another 7,000 new jobs by 2013."

That phrase was parroted by Northland News Center's Kevin Jacobsen after a cheeky report on the "Hug a Ranger" campaign.

Blogger Aaron Brown has a more realistic reaction to the claim, "This is patently insane."

PolyMet, the copper-nickel project furthest along, puts job estimates at 300 construction jobs and 360 "permanent" jobs. None of those estimates are tied to 2013.

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PolyMet plans to turn farmland into wetlands

Posted at 5:24 PM on February 29, 2012 by Michael Olson (1 Comments)
Filed under: Arrowhead, Economy, Environment

PolyMet Mining Corp. has announced plans to restore farmland in Minnesota to wetlands. The company is proposing to mine for copper and nickle in wetlands near Hoyt Lakes and the Boundary Waters Canoe Area Wilderness. It is required to create one acre of wetland for everyone it destroys or impairs. Environmentalists caution that not all wetlands are created equal.

"PolyMet must ensure that it has adequate acreage of suitable land that can be converted into replacement/mitigation wetlands," PolyMet spokeswoman LaTisha Gietzen said. She adds that the wetlands "together with our existing wetland mitigation options, will ensure that we have more than enough mitigation acres to meet the requirements."

Friends of the Boundary Waters policy director Betsy Daub doubts the wetland will be of equal value. "It appears PolyMet wishes the Minnesota public to believe that replacing high-quality, hundreds-of-year-old peatlands with agricultural land is wetlands replacement and mitigation. It is not."

Daub continues, "Any replacement wetlands should be located close to the wetlands that are proposed to be destroyed. Otherwise the very important functions of those wetlands - such as water filtration, waterfowl habitat, storm water storage - will be lost from that area. Minnesotans need to know the truth: the PolyMet mine would result in the largest permitted destruction of wetlands in Minnesota history. Replacing this with farmland is not acceptable. PolyMet's proposal should be resoundly rejected by the State of Minnesota and the public."

In a press release PolyMet indicated the "transaction will close upon approval by appropriate securities regulatory authorities, which is anticipated in early March."

Related
Mining news from Minnesota Today

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Marketing firm may bring 200 jobs to Bemidji

Posted at 12:48 PM on January 27, 2012 by Tom Robertson (1 Comments)
Filed under: Around MN, Economy, Northwest Minnesota

There may be good news on the jobs front in Bemidji. Skybridge Marketing Group, a Minnesota-based firm, has tentative plans to expand its business in the city, adding up to 200 new jobs.

Details of the expansion are expected to be finalized next month, according to Dave Hengel, the newly hired Joint Economic Development Director in Bemidji.

Hengel told the Bemidji Pioneer the company chose Bemidji over Park Rapids, Detroit Lakes, Fargo, Grand Forks and the Twin Cities. Skybridge has its headquarters in Greenfield near the Twin Cities, and also has an office in Winnipeg, Canada.

"When you are able to bring in good corporate citizens to the Bemidji community, the economic pie increases and everybody benefits," Hengel told the newspaper.

Many of the new jobs are expected to be customer service oriented in a call center environment.

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Eyes on Linden Ave. as possible stadium site

Posted at 5:00 AM on January 6, 2012 by Minnesota Public Radio (5 Comments)
Filed under: Economy

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A panoramic image shows the intersection of Linden Avenue and 16th Street near downtown Minneapolis. Supporters say a stadium in the area would make a great portal to the city.


By Tim Nelson, Minnesota Public Radio

St. Paul, Minn. - A long-dormant corner of downtown Minneapolis is getting a closer look as an possible new home for the Vikings.

As locations go, the intersection of Linden Avenue and 16th Street near downtown Minneapolis isn't much. It's bracketed on three sides by chain link fencing — even barbed wire on two corners.

But supporters call the site downtown Minneapolis' "back door" and say a stadium there would make a great portal to the city. The growing prospects for a football stadium prompt hope — and concern — for the area.

For more than a century, the area has been a maintenance and equipment storage yard, now owned by Xcel Energy.

But if downtown boosters have their way, this spot could one day host a new stadium and possibly a Super Bowl.

The scrum to host the Vikings has come down to this site and two others. One is the former Twin Cities Army Ammunition Plant in Arden Hills. Minneapolis wants to keep the team at the Metrodome site.

But Linden Avenue boosters say their site is the best of the lot.

Credit for the idea goes to Mic Johnson, design principal at the Minneapolis office of AECOM (formerly the Ellerbe Becket architectural firm), and his colleagues.


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Linden Avenue runs through one of the proposed sites for a new Vikings stadium in Minneapolis. MPR Photo/Tim Nelson

Minneapolis is a beautiful downtown seen from the approaches on Interstate 35W or I-94, Johnson said.

"It has these great sort of tall buildings to it. It's very reflective, and you want those gateways to be marked in special ways," Johnson said. "There's no marker there, there's no gateway into the city, in a sense, you come in through the back door of a freeway."

It isn't just aesthetics. Once amid landmarks like Kemps Ice Cream, Munsingwear and Boyer Ford, the Linden Avenue site has been cut off from the rest of the city by freeways.

"When we looked at that site...that's also an opportunity to bridge some of that," Johnson said. "You put a stadium at that intersection, and then you find a way to bridge back over 394 and connect it to the city."


But maybe most importantly, there's money.

Minneapolis Mayor R.T. Rybak has offered to provide some local funding by diverting some of the city's existing hospitality taxes to a new stadium.

Opposition to new taxes has stymied the other major bid in Ramsey County for the stadium. And the Vikings have said it would be cost-prohibitive to play somewhere else while the Metrodome is torn down and rebuilt.

Downtown Council President Sam Grabarski said a Linden Avenue stadium would tie together the area around Target Field to the north, and the convention center to the east.

"We would have an event center that's adjacent to the downtown community, where all these bars and restaurants and hotels currently exist," Grabarski said. "That's an economic spark plug that is hard to deny would make an important difference to downtown Minneapolis."

Which isn't to say Linden Avenue is a done deal.

The team still prefers Arden Hills, said Vikings Vice President Lester Bagley.

"We know a lot about the Arden Hills site. It's the ideal site," Bagley said. "We know a lot about the Metrodome site. We don't know much about Linden Avenue. We're learning."


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Lee's liquor lounge is on the northeast corner of the Linden Avenue area planners are considering for a new Vikings stadium. MPR Photo/Tim Nelson


Factors include cost and a construction timeline. And while it may be little known, the area is already well-used. Besides Xcel, it's also home to Youth Link, Hennepin County's hub for homeless youth services. The landmark Lee's Liquor Lounge is on the northeast corner of the area, and the city's Currie Avenue public works garage covers part of the site.

On one block, Wanner Engineering employs more than 100 people, making high tech pumps and valves. Founder Bill Wanner said he is deeply concerned the Vikings are about to run him out.

"Our machines are very expensive, and it would be devastating for us to move," Wanner said. "Because I'm sure that nobody would compensate us for the time and effort of moving the machinery, not to mention the displacement of employees."

It will soon be known if Linden Avenue will be seriously considered. Gov. Mark Dayton has told Minneapolis and Ramsey County officials to put their best offer on the table by the end of next week.

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Lake George residents unhappy about post office plan

Posted at 3:10 PM on November 17, 2011 by Tom Robertson (0 Comments)
Filed under: Around MN, Economy, Government, Northwest Minnesota

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About four dozen people rallied recently to support keeping a post office open in the tiny town of Lake George north of Itasca State Park. It's a scene that's being played out in small towns across the country as the U.S. Postal Service seeks to close facilities that are too expensive to operate.

Last year the Lake George Post Office had annual expenses of $88,378, but revenues of only $25,500, showing a net loss of nearly $63,000, according to a report in the Park Rapids Enterprise. Post office officials say closing the facility would save more than half a million dollars over the next decade.

The postal service lost $8.5 billion last year. The agency is considering closing thousands of post offices across the country. In Minnesota. 88 post offices, including Lake George, made the list of facilities that could either close or shrink into smaller operations that could be moved.

Lake George's post office is housed in a log building and has about 100 occupied post boxes. The facility has served the region since 1936. If the post office closes, customers could still get their mail delivered directly to their homes.

Some supporters who showed up for a town meeting worry about losing historical significance and a sense of identity if the post office were to close. Others are concerned about the possible loss of convenience and service.

Postal officials say no final decision will be made on post office closings until early next year.

For more on the postal service's plan to close post offices in Minnesota, listen to Mark Steil's report Friday on Morning Edition.

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Small-town movie theater goes digital

Posted at 11:22 AM on November 11, 2011 by Elizabeth Baier (3 Comments)
Filed under: Arts, Economy, Southeast Minnesota

20110823_jem3_33.jpg(MPR Photo/ Alex Kolyer)

Here's an update to a story from this summer:

It appears the JEM Theater in Harmony, Minn. will remain open -- for now.

Owners Michelle and Paul Haugerud say they've been able to raise $7,200 in donations and secure a short-term loan to buy a used digital projector for $55,000.

That's about $20,000 less than the cost of a new projector. The Haugeruds say they'll continue to raise funds for another six months and put all the money toward paying off the loan. They want to have the projector completely paid for by the end of April 2012.

"I'm happy with the opportunity to keep it open," Michelle Haugerud said. "But We still need people to attend and keep the place in business."

The Haugeruds are among the Minnesota movie theater owners confronting a digital dilemma sweeping the industry nationwide: the movie industry plans to switch to all-digital technology by 2013, rendering traditional 35 millimeter film prints obsolete.

That leap to state-of-the-art projection may please audiences, but upgrading to digital projectors is expensive and the switch might force small movie theaters, including many in Minnesota, to close their doors for good.

Caught in the middle of the squeeze are places like the JEM, a theater that can seat one fifth of the residents of the sleepy little town near the Iowa border.

The online movie website Box Office Mojo estimates there are 219 theaters in Minnesota, comprising about 1,000 screens. Some are multiplex centers like AMC and Regal. But others are family-owned and have fewer than five screens.

The JEM will play its first digital film -- Dolphin Tale -- today, Saturday and Sunday.

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Hibbing's wings to be trimmed by greed?

Posted at 3:10 PM on October 4, 2011 by Michael Olson (0 Comments)
Filed under: Arrowhead, Economy

Elected leaders in Hibbing continue to make their case for air service. Delta airline officials confirmed plans over the summer to reduce or eliminate service to 24 small markets in the Midwest. Delta officials indicated they would like to continue service to Hibbing, but need an increase in its government subsidy to do so.

Hibbing mayor Rick Cannata and City Councilor Patty Shafer discussed the matter with the New York Times:

Q. Delta says the flights are not nearly full, and that it is losing money. Why should they keep flying to Hibbing?

Ms. Shafer: "A lot of these big companies don't care about the people. They just don't care about the needs of people anymore. They only care about their bottom line. If that isn't greed, what is it? It's crazy."

Mr. Cannata: "We're a mining community so we have ups and downs. A lot of the younger people are moving away. One of the reasons I ran for office was to bring manufacturing jobs to Hibbing. There is a big market now for copper-nickel. It is used in cellphones and computers. Northern Minnesota is going to have a booming industry, which is one of the reasons we need to keep the flights. If these airlines are doing this just because they are not making enough money ... Sometimes if smaller counties aren't able to meet their needs they could still provide a service. They should be kind of, you know, they should meet the needs of the people. They should be sympathetic to that. It will be devastating for Hibbing. Businesses will probably be lost."

Part of the rationale for cutting service is that Delta is retiring the Saab turboprops that serve most of these markets. Here's a view of takeoff from MSP in one of the planes.

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Amazon expands in Grand Forks

Posted at 3:01 PM on September 28, 2011 by Dan Gunderson (0 Comments)
Filed under: Economy, Northwest Minnesota


Amazon is expanding its customer service center in Grand Forks and that means new jobs for the surrounding area.

Amazon started the Grand Forks operation 12 years ago. It's one of three Amazon customer service centers.

The latest expansion means 200 new full time jobs. The company will hold a job fair on Sept. 29 at the Grand Forks office.

Amazon officials say they also will hire several hundred new seasonal workers.

North Dakota Governor Jack Dalrymple said the expansion is a result of the states pro-business climate. He said it's an important part of the states effort to diversify the economy. The big economic drivers in North Dakota are of course energy and agriculture.

It's likely some of the new workers will come from northwest Minnesota and eastern North Dakota small towns. The unemployment rate in Grand Forks is about 3.8 percent, according to the local economic development corporation.

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DEED awards 51 Small Cities Development Grants

Posted at 10:03 AM on June 28, 2011 by Tom Robertson (0 Comments)
Filed under: Economy, Government, Minnesota, Northwest Minnesota

The Minnesota Department of Employment and Economic Development has awarded $18.5 million in grants to 51 communities in Greater Minnesota for rehabilitating housing and commercial properties and improving infrastructure. The grants come from the federally funded Small Cities Development Program.

DEED Commissioner Mark Phillips says more than 100 communities across the state will see direct benefits from this latest round of grants.

"This funding will improve the quality of life of people living in Minnesota's small towns and help create jobs in the construction industry," Phillips said.

The grants target cities and townships with populations under 50,000 and counties with populations under 200,000. They will be used to improve existing housing stock for low and moderate income residents; improve sewer and waste water treatment systems; and provide help for commercial revitalization efforts.

The list of recipients includes the city of Fosston, which received $654,056 to rehabilitate 13 owner-occupied homes and nine commercial properties; the city of Wadena, which got $482,962 for the rehabilitation of 17 owner-occupied homes and 14 rental units; and the city of International Falls, which will use its $346,150 award to rehab 14 owner-occupied homes in in International Falls and Littlefork.

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Jackson ends city police department

Posted at 12:17 PM on June 22, 2011 by Mark Steil (1 Comments)
Filed under: Economy, Government

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The Jackson City Council voted Tuesday to disband the city police department and contract with the county sheriff for its law enforcement. But the Worthington Daily Globe reports there could be a public vote on the issue.

Jackson citizen Dave Schmidt, who started a grassroots effort to keep the police department in place through a petition, spoke to the council before the vote, submitting the signatures of 286 people who supported his cause. (Worthington Daily Globe)
The city figures it will save about $100,000 a year with the change. City officials say a big reason for the switch is because the city has lost money through state budget cuts, specifically in the Local Government Aid (LGA) program.

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Poverty growing problem in Northern Minnesota

Posted at 10:01 AM on June 21, 2011 by Michael Olson (1 Comments)
Filed under: Around MN, Economy, Northwest Minnesota

Lakeland Public Television, the Bemidji Pioneer and MPR are hosting a town-hall styled event tonight in Bemidji that focuses on the challenges surround the high rate of poverty in the area at a time of dwindling resources and economic opportunity. Leading up to this evening's event, all three news partners deveoted editorial resources to help inform the discussion around the topic.

New census data shows some of the state's poorest counties are in northwestern Minnesota, where living wage jobs are limited and geography isolates rural residents.

Beltrami County is one region with concentrated poverty where officials are examining the future challenges. About one in five people in Beltrami live in poverty -- nearly a quarter of all children.

"We just keep giving out food, but our numbers continue to grow," said Randy McKain, Food Shelf director. "There are more people in need."

This year, the Food Shelf extended allotments of boxes of short-term emergency supplies from five times a year to monthly distribution. (Bemidji Pioneer).

The poverty rate in Beltrami County is nearly 21 percent and need is increasing, but resources are shrinking. Since the recession, the number of people getting some type of public assistance has climbed to approximately 6,000, up from around 5,000.

"Right now, the need is utility assistance. We've seen a little bit of a rise in the need for groceries," says charity director Dottie Moen. "Gas to make it from paycheck to paycheck" (Bemidji Pioneer).

MPR's Tom Robertson reports on the high rate of poverty through the perspectives of Amanda Vojak and Rebecca Spears. Vojak, a single mother, lives with her three children in a trailer park in Bemidji. She constantly juggles her finances, but said she's never able to make ends meet. Spears, also lives in a Bemidji trailer park, lives with her 17-year-old daughter and relies on public assistance for income.

Also clicking on MN Today

In St. Cloud, constituents push GOP lawmakers to make deal As their leaders try to come to some agreements, lawmakers also are hearing from constituents. At a town hall forum Monday night near St. Cloud, three Republican legislators took heavy criticism for Minnesota's budget impasse (Minnesota Public Radio).

Groups look at shutdown and budget issues
State government and outside organizations are pursuing a two-pronged approach to state spending: write a new budget and prepare for a shutdown if no new spending plan passes in time (Alexandria Echo Press).

Meals on Wheels could be victim of MN government shutdown
It's a program thousands of seniors in Minnesota depend on for food and nutrition. But could a possible Government shut down suspend Meals on Wheels and force seniors to fend for themselves? (WDAY)

By The Numbers
Number of Greater Minnesota Planned Parenthood clinics that are closing: 6
Cuts in federal funding are to blame. (MPR)

Number of years since the Minot-area has endured flooding like it is seeing today: 120
Amtrak's Empire Building line that runs between St Paul and Havre, Mont. will cease until the waters recede. (Grand Forks Herald)

Opinion
Our view / Lutsen water withdrawals: Even economic engines have to follow rules
Most of us are eager and happy to see local businesses succeed and do well. Healthy businesses mean healthy economies and healthy, robust communities with more opportunities for all. But how much are we willing to sacrifice for that? (Duluth News Tribune)

Minnesota cage match
There is a dirty little secret at the heart of the budget battle. Governor Dayton not only wants a shutdown, he wants a shutdown that is as painful as possible (Powerline).

Gov. Dayton gives shutdown orders
The Dayton administration is too busy shutting government down to find time to avert a shutdown (Let Freedom Ring).

Blog Box
Paddle the Sauk: Cold Spring to the Mississippi
We made it! Day 8 found us paddling from just below the Cold Spring Dam to the Mississippi river. The first several miles were uneventful but the scenery was spectacular (Paddle the Sauk).
More on the duo's trip down the Sauk.

'Obama' sends up Pawlenty at RLC, gets hook
Comic Reggie Brown, brought in as an Obama impersonator at this weekend's Republican Leadership Conference in New Orleans, just managed to get in a few words about Minnesotans Tim Pawlenty and Michele Bachmann before he got the hook (Star Tribune).

Minnesota Scenes
Birch in Fog (iPhone)

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Airport runway a big boost for Thief River Falls

Posted at 2:45 PM on June 17, 2011 by Dan Gunderson (1 Comments)
Filed under: Economy, Northwest Minnesota


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MPR file photo


Word from Congressman Collin Peterson's office is that the Transportation Department is providing $1.6 million for a project to build a longer runway at the Thief River Falls airport.

The project is a big deal for a local business and a new tech school program.

A longer runway of 7,500 feet has long been on the wish list for folks at Digi Key, a company that distributes electronic parts all over the world. The company ships nearly two million packages a year, most by air. Fed Ex wants to bring in a 757 to pick up packages, the airport runway is too short. So that means multiple daily flights with smaller planes. A runway extension will simplify shipping and projected growth for Digi Key.

The longer runway is also critical for a new Unmanned Aircraft Maintenance program at Northland Community and Technical College. The college received a $5 million federal grant to start the new program this fall, but one of the requirements was a longer runway so large unmanned aircraft like the Global Hawk could land there.

There's also a $2.5 million hanger expansion underway right now at the airport in Thief River Falls. That should be finished later this summer.

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Concordia College to build new business school

Posted at 2:00 PM on June 2, 2011 by Dan Gunderson (0 Comments)
Filed under: Economy, Education

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Courtesy Concordia College

Concordia College in Moorhead broke ground Thursday morning for a $13 million school of business.

The Offutt School of Business is expected to be completed by the fall of 2012. The school is named for Ronald D. Offutt, the chairman and CEO of R.D. Offutt Co. and RDO Equipment Co.

Offutt was the lead donor in a $50 million campaign to fund the new business school.

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MPR Photo Dan Gunderson

Concordia also recently announced the Business School will be host to the West Central Small Business Development Center in partnership with the Minnesota Department of Employment and Economic Development. The center will help small businesses in a nine county area of west central Minnesota with counseling and training.

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Voyageurs National Park offices move to riverfront

Posted at 10:26 AM on February 22, 2011 by Tom Robertson (0 Comments)
Filed under: Arrowhead, Economy, Environment, Government, International Falls, Northwest Minnesota

Voyageurs National Park officials will begin moving next month into a new park headquarters complex on the Rainy River in International Falls.The city development includes a natural grass amphitheater and future plans for a hotel, restaurant and other private development.

The federal government will lease the complex of buildings from the International Falls Economic Development Authority.

The development will be known as the James Oberstar Riverfront Complex, in honor of the longtime U.S. Democratic Congressman who was defeated last November. Here's a look at the layout: internationalfallscomplex.pdf

Mayor Shawn Mason says the development will be another tool for economic development for the area. She told International Falls' newspaper, The Journal, that the amphitheater performance area "adds another dimension to our way of life."

City officials are planning a big dedication celebration for July 2. It will include an amphitheater performance by the Canadian band Loverboy, and an international tug of war competition across the Rainy River between International Falls and Fort Frances, Ontario.

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Canola oil plant brings jobs to Hallock

Posted at 9:52 AM on January 4, 2011 by Dan Gunderson (2 Comments)
Filed under: Economy, Farms, Northwest Minnesota

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Photo courtesy Northern Canola Growers


Northstar Agri Industries will break ground next week on a $160 million canola oil plant in the northwestern Minnesota community of Hallock.

The plant has been in the works for several years but was delayed when the U.S. banking crisis stopped the company's effort to obtain a construction loan.

Organizers say they've now secured a $100 million construction loan and work will start on the project this month. They aim to have the plant operational by the fall of 2012.

Construction will be an economic boost to northwest Minnesota with about 200 workers involved in building the plant.

When the plant is operational it's expected to employ 47 full time workers.

The plant is being built in response to a growing demand for canola oil. More farmers in the northern plains are growing canola. North Dakota leads the nation in canola production and canola is also big north of the border in Manitoba and Saskatchewan.

When it's operating, the plant is expected to produce nearly 300 million pounds of food grade canola oil each year along with tons of canola meal.

There have also been recent expansions of canola processing in Canada as worldwide demand for the oil increases.

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Regional research yields international connections

Posted at 10:44 AM on December 16, 2010 by Dan Gunderson (0 Comments)
Filed under: Economy, Environment, Northwest Minnesota

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MPR photo Dan Gunderson

It's been a fruitful year for the Grand Forks-based Energy and Environmental Research Center. EERC has inked contracts with Israel, India and most recently China to export its research on energy related technology.

The deal with China could be a big one. EERC developed a new system to improve
filtering the emissions from coal fired power plants. I reported on the project when then it was tested at the Big Stone power plant in 2006.

It's called a hybrid particulate collector and it grabs pollution from smokestacks using electrostatic charges and massive filter bags. EERC claims it's the state of the art in
particulate pollution control and apparently Fujian Longking Co., Ltd., an international corporation based in China agrees. The company will have exclusive rights to commercially deploy the technology.

China has been building hundreds of coal fired power plants, so the market for the technology could be huge just in China. Of course if the technology is successfully commercialized, the manufacturing jobs will likely be in China too.

The deals signed earlier this year with Israel and India involve developing hydrogen
technology and infrastructure. EERC is doing a lot of research on ways to use hydrogen as a viable transportation fuel source.

EERC says it now has relationships with more than 50 countries.

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Blandin Foundation CEO says he'll leave in 2011

Posted at 9:13 AM on December 13, 2010 by Tom Robertson (0 Comments)
Filed under: Arrowhead, Economy, Government, Northwest Minnesota

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The Grand Rapids based Blandin Foundation will see a leadership change next year. Foundation president and CEO Jim Hoolihan announced to the organization's board of trustees last week that he plans to return to the private sector by the end of 2011, according to the Grand Rapids Herald-Review.

Hoolihan, a native of Grand Rapids, joined the Blandin Foundation in 2004 following 12 years as a member of the board of trustees

Hoolihan plans to return to his family's multi-generational business, Industrial Lubricant Company of Grand Rapids.

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Tough housing industry squeezes Marvin profits

Posted at 10:37 AM on December 8, 2010 by Dan Gunderson (0 Comments)
Filed under: Economy

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Photo courtesy Marvin Windows


The bad news for the 3,000 employees at Warroad-based Marvin Windows is they won't get a profit sharing bonus in time for the holidays. The good news is they still have jobs.

For the second year in a row Marvin won't have profit sharing with it's employees.
Spokesman John Kirchner says the company is still feeling the effects of the recession and the housing market bust.

In 2009 Marvin cut workers back to 32 hours a week instead of laying off some workers.

Kirchner says for about the past six months most workers have been back to 40 hour weeks. He attributes the increase in work partially to a normal seasonal uptick in construction orders, and to the federal tax credit for energy efficient doors and windows.

That credit could expire at the end of the year so a lot of people have been ordering doors and windows to beat the deadline.

Kirchner says he expects the workers to go back to 32-hour work weeks sometime early next year. He says Marvin is the only major door and window manufacturer that hasn't laid off employees or closed a plant during the current recession.

He says keeping those skilled employees working helps position the company for a time when the construction industry takes off again.

When might that be? Kirchner says Marvin is cautiously optimistic about 2011 but still expects a "very challenging" year ahead.

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