iq magazine - spring 2006

These are remarkable times in healthcare. We have technologies our parentsnever could have dreamed possible. We have a deeper understanding of virtuallyevery aspect of the human body andmind. As individuals, as a society, wehave an all-but-unlimited opportunity to foster healthier, happier individualsand communities. Just imagine what the future holds in store.

At the Cuyuna Regional Medical Centeron the Medical Campus in Crosby, we are excited and optimistic as we applythese new technologies, this deeperknowledge and, (perhaps most important of all), even more imaginationto the effort to envision and build even healthier, happier futures for people and communities region-wide. And we remain dedicated to you. Every day.

For more information, call 218-546-7000. Or visit us online at www.cuyunamed.org.

2 INITIATIVE QUARTERLY

CONTENTSFEATURES10Initiative Foundation UnlockedKeys to Twenty Years of People-Power

DEPARTMENTS4 Beginnings

Portraits

24 KeyNotesThe Foundation Newsletter

32 Inner JourneyBuild on What You Have

34 The Business of BenevolenceBusiness Lending Sets InitiativeFoundation Apart

36 From the HeartThe Grand Experiment

SPRING 2006

• 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 AREASC A S S

C R O WW I N G

M O R R I S O NT O D D

W R I G H T

BENTON

S H E R B U R N E

I S A N T I

C H I S A G O

S T E A R N S

WADENA

P I N E

K A N A B E CM I L L EL 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

12OutstandingCommunity

14OutstandingEnterprise

16OutstandingEnvironmentalInitiative

18OutstandingNonprofit

20OutstandingVolunteers

22OutstandingYouth Volunteer

2006 Init iat ive Foundation Award Winners


Five silent faces watched Melanie pass by our stairwell. They spoke to her from behindwooden picture frames, generations of women who she would resemble more as she grewup. Our daughter never met three of them, but that never stopped her from gazing up inwonderment or catching her reflection in the glass.

When she was young, the stairwell was a favorite place to play dress-up with one of myforgotten flowery gowns. I often wondered why she chose that outfit and that spot, until years

later when she admitted to imitating the picture ofme in the same dress. Today, Melanie’s portraitcompletes a six-generation set of priceless photosin our home.

They remind me of where we’ve been andwhere we’re going.

As the Initiative Foundation celebrates its 20thAnniversary, we look back upon our history,achievements and exceptionality, and we look forward to honoring the six truly outstandingaward winners revealed in this magazine.

On April 7th at the Holiday Inn in St. Cloud, wewill host our Roaring 20s-themed Awards for

Outstanding Community Initiative, recognizing exceptional community service and volunteerism incentral Minnesota. Please make plans to join us.

Melanie was just a toddler when the foundation began in 1986. Twenty years later, thereisn’t a stairwell big enough to display the portraits of all who have chosen to leave their legacieswithin our organization and region. You’ll find six of them right here.

Enjoy the magazine!

Kathy

PortraitsDear Friends,

BEGINNINGS

SPRING 2006 5

Executive Editor & Director of Communications, Initiative Foundation / MATT KILIAN

PUBLISHERSEvergreen Press / CHIP & JEAN BORKENHAGEN

EDITORIALEditorial Director / JODI SCHWEN

Assistant Editor / TENLEE LUND

ARTArt Director / ANDREA BAUMANN

Senior Graphic Designer / BOB WALLENIUS

Graphic Designer / BRAD RAYMOND

Production Manager / BRYAN PETERSEN

Lead Photographer / JIM ALTOBELL

ADVERTISING / SUBSCRIPTIONSBusiness & Advertising Director / BRIAN LEHMAN

Advertiser Services / MARY SAVAGE

Subscriber Services / MARYANN LINDELL

Advertising Manager / KRISTIN ROTHSTEIN

Advertising Manager / LOIS HEAD

IQ EDITORIAL BOARDInitiative Foundation President / KATHY GAALSWYK

Board of Trustees / GLORIA EDIN

Glenn Metalcraft / GINGER GLENN

HatlingFlint / BILL HATLING

V.P. for Donor Services / CURT HANSON

V.P. for Economic Development / JOHN KALISZEWSKI

Board of Trustees / JANET MORAN

V.P. for Community Initiatives / KARL SAMP

United Way of Central MN / BETTY SCHNETTLER

Board of Trustees / GEORGE WALLIN

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. 218.828.6424,

www.evergreenpress.net

For advertising opportunities, contact:

Brian Lehman 218.828.6424 ext. 25, [email protected]

Kristin Rothstein 320.251.5875, [email protected]

Lois Head 320.252.7348, [email protected]

> VOLUME 4, SPRING 2006

Join the Initiative Foundation for a grand evening of class, culture and congratulations.

Come and celebrate 20 years of fabulous foundation feats, and become inspired by the noble undertakings of six

outstanding award winners. Featuring the hotsy-totsy harmonies of the Big Band Era, it’s sure to be the cat’s pajamas!

HOLIDAY INN HOTEL & SUITES, ST. CLOUD

Friday, April 7th, 20065:00 SOCIAL � 6:00 BANQUET � 7:00 AWARDS PROGRAM

$40 includes surf & turf dinner!

Register by March 31: (877) 632-9255

A Dazzling Display of Inspirational Splendor!

OUTSTANDING ENTERPRISETwo Rivers Enterprises,Holdingford (see p.14)

OUTSTANDING ENVIRONMENTALINIT IATIVELeech Lake Association (see p.16)

OUTSTANDING COMMUNITYSebeka (see p.12)

OUTSTANDING VOLUNTEERMyrt Bollenbacher & Bonnie Christenson, Deerwood (see p. 20)

OUTSTANDING NONPROFITORGANIZATIONBig Brothers Big Sisters of Central Minn., St. Cloud (see p.18)

OUTSTANDING YOUTHVOLUNTEERReiko Koyama (see p. 22)

Esteemed Award Sponsors

Platinum Circle Table Sponsors

Business Machines Plus

Central Region Sustainable Development

Partnership

SPRING 2006 11

Twenty years ago, rural Minnesota experiencedan economic crisis not seen since the

Great Depression. Families suffered ascompanies and mines laid off hun-dreds of employees. Between1985 and 1987, employmentat Virginia’s Butler taconitemine dropped from 5,539to 4,875. Family farmswent into a decline, alongwith the business climatein formerly bustling ruraldowntowns. Youth swarmedto the Twin Cities—aPromised Land of higherwages, endless opportunities, andthe chance to escape the financialpain they’d seen their parents endure.

As greater Minnesota struggled to survive,The McKnight Foundation decided it was time to

take action. Long known for its philanthropicheart and strategic investments in the well-

being of Minnesota families,McKnight organized meetings

across the state to present citi-zens with opportunities to

brainstorm solutions. Outof these meetings arose thesix Minnesota InitiativeF o u n d a t i o n s — e a c hcharged with a geographicregion and entrusted to the

care of the people whoknew best—local citizens.

“I don’t think we antici-pated the degree to which the

MIFs have become so central to thegrowth and development of their region,”

says Louis Hohlfeld, senior program officer atThe McKnight Foundation and MIF liaison.

As greaterM I N N E S O T A

struggled to survive, The McKnight

Foundation decided it was time to take

A C T I O N .

>continued on page 30BY BRITTA REQUE-DRAGICEVIC

ILLUSTRATION BY CHRIS MCALLISTER

B L A Z E R STrail

BY JULIE SAFFRIN PHOTOGRAPHY BY JIM ALTOBELL

Debbie Carlson, Kevin Huhta (top), andJim Rife know that Healthy Communities

leadership training works.

Three years ago, when Debbie Carlson wasmayor of Sebeka, she learned about the

Initiative Foundation’s Healthy Communitiesleadership training program. “I thought, ‘Thisis something Sebeka can accomplish,’” saysCarlson. “Especially when I read that it camewith a $10,000 grant.”

Because of her enthusiasm and leader-ship, residents created a one-and-a-half-miletrail along the city’s Red Eye River, garneringSebeka the Initiative Foundation’s 2006Outstanding Community Award.

“Debbie’s the kind of person every com-munity needs,” says Larry Wannebo, a fieldconsultant for the foundation assigned tooversee Sebeka’s progress. “She’s the spark-plug that makes things happen.”

The Healthy Communities Partnershipprogram provides training to citizens of central-Minnesota cities to engage in and plan for theircity’s future. Meeting in all-day sessions,Carlson, along with ten others from Sebeka—including high school students, a county com-missioner, a banker, business owners, andemployees of the telephone company and thenewspaper—were part of the training. Thegroup named themselves Partners in Planning(PIP) and learned tools and strategies to enhancetheir community, alongside three other citiesinvolved in the two-year program.

Upon returning to Sebeka, PIP drew inputfrom their community by hosting a citywide“visioning” session in June 2003. More than 120residents attended and voiced their desires forSebeka. “The session is for people to dreamabout seeing a difference in their community,”says Wannebo. In September, PIP met again,wondering where to begin implementing the listof ideas generated at the visioning session.

Enter Jim Rife, who owns land along theRed Eye River. At a prayer breakfast in January2004, Rife mentioned to PIP that he had a visionof creating a meditative walking trail along theriver and wanted to donate a portion of his landto the city. Rife granted Sebeka a land easementand work began on Tim’s Trail, named in honorof Rife’s brother who died five years ago. “The

pieces came together,” says Wannebo. “It wasalmost magical. They literally hacked this trailout of the woods.”

Community members worked with theMinnesota Department of Natural Resourcesand the Wadena Soil and Water department.The city engineer rented a brush hog and blazeda trail that had been marked by volunteers.Residents and business owners volunteered,including Boy Scouts, the Minnesota NationalGuard, Todd/Wadena Electric, and dozens ofstudents. More than six hundred volunteerhours were donated to the project.

West Central Telephone employees wereallowed time during their workday to volunteeron the trail. “We contribute to the InitiativeFoundation every five years,” said Geri Salmelaof West Central Telephone, who worked on thetrail and was part of the initial training program.The telephone co-op donated a park bench andfor the second year, Tim’s Trail is featured on thecover of West Central’s directory.

Dick Oehlenschlager, collections managerfor biology and assistant curator of the ScienceMuseum in St. Paul, walked the trail to help thecity make it an interpretive hiking trail.Oehlenschlager discovered wild garlic, hops,balm of Gilead, and hawthorn along the path.

Another local resident, who is a member ofthe national guard, built a multi-purposeamphitheater. The structure has served as anoutdoor chapel on Sunday mornings and stageda living nativity at Christmas as well as servingfor training maneuvers for the national guard.

To advertise the trail and hold interpretive trailbrochures, a volunteer built kiosks at the headof the trail and in town. Grant money fromCentral Regional Partners enabled Sebeka vol-unteers to build a dock on the riverbank.

Since its completion in 2005, Tim’s Trailhas laid the groundwork for optimism inSebeka. “The economic development compo-nent is really taking off,” says Wannebo. “Nowpeople are saying, ‘We can make a difference.We don’t have to sit and let things happen to us.We can make things happen.’” Another futureproject includes building a senior housing com-plex in the downtown area.

In addition to Tim’s Trail, PIP worked withSebeka’s school board to help facilitate neededupdates. The asbestos floor in the gym/cafete-ria, which serves three hundred students daily,was replaced with a rubber floor. The area alsoreceived new basketball hoops. The groupassisted in the passage of a twice-failed referen-dum, which paid for changes such as remodel-ing the kitchen and purchasing a boiler system.

In the summer of 2004, High SchoolersIn Progress (HIP), an offshoot of PIP, gavedowntown Sebeka a facelift. The students,working with the Wadena County board,put in a request for renovation funds. Theyreceived grant money from the InitiativeFoundation for downtown improvements.Ten students spent the summer painting firehydrants and garbage cans along MainStreet. They gave the Caring Hands homehealth services building a fresh coat of yel-low paint and added a mural. In addition, avacant building on Main Street had its sixsoaped windows replaced with the students’free-style paintings.

“Sebeka was struggling,” says Wannebo.“It had its share of empty buildings, butcompleting Tim’s Trail strengthened the res-idents and has given them another shot inthe arm.” He believes the community haslearned the source of resources in their city.“The real value is the human component. It’snot the money, it’s the people. Sebeka isproof of that.” IQ

“Now peopleare saying,

‘We can makea difference.’ ”

SPRING 2006 13

2 0 0 6 O U TS TA N D I N G C O M M U N I T Y SEBEKA

BY CANDYCE HEGSTROM PHOTOGRAPHY BY JIM ALTOBELL

H E A R T E DSteel

Bob Warzecha: The Initiative Foundation has “been behind us 100 percent.”

Two Rivers Enterprises, a custom manufacturer of stain-less steel restaurant and food processing equipment

opened in the small community of Holdingford in 2001.When it began, the company had a staff of three: the twoowners, Bob and Dan Warzecha, and one other employee.Since then, the company has grown to forty-five employees,creating good-paying job opportunities for members of thissmall, rural community, which is located eighteen milesnorthwest of St. Cloud. They have also earned the InitiativeFoundation’s 2006 Outstanding Enterprise Award.

“Everybody is supportive,” says Bob Warzecha, whenasked how the community responded to the Warzechas’plan to locate the new business in Holdingford, their home-town. “At first, we met challenges because no one wants togive up land for development, especially farmers. But theresidents and the city council stood up for us. The Meyers,a local family, sold us land to put up a building.”

The Initiative Foundation supplied the gap financingthat provided working capital and helped cover construc-tion costs of Two Rivers’ facility in Holdingford. In July2005, the foundation provided additional financing for aten thousand-square-foot expansion the company neededto support increasing sales.

“Our goal is to create living-wage job opportunities incentral Minnesota and diversify the local economic base,”says John Kaliszewski, vice president for economic develop-ment for the Initiative Foundation. “We went with TwoRivers because of its success and the impact it has on a smallcommunity. Twenty employees in a community of one thou-sand is a big impact.” The admiration is mutual.

“They bend over backwards for you,” says BobWarzecha, about the Initiative Foundation. “They’ve beenbehind us 100 percent.”

The Warzechas took a chance by locating theirbusiness in Holdingford, but they have been rewardedwith a dedicated workforce. A believer in fair pay andbenefits for people who work hard, Bob pushed for anemployee retirement plan, vacation pay, and hospital-ization insurance.

“If employees work hard and put in a good day’swork,” says Bob, “they should get paid a fair, equitablewage. They should get benefits.” The company recent-ly added employer-paid, long-term disability insuranceto its roster of benefits.

“Bob and Dan have made a commitment,” adds RonDenning, general manager of Two Rivers Enterprises. “Asthe company grows, they want the employees to growwith it.” The commitment is evidenced by the company’scurrent efforts to hire and train employees who initiallylack precision welding skills. Denning points out that it’sa long-term commitment, typically taking six months ormore of training.

Providing jobs isn’t the only way that Two RiversEnterprises supports the community. “We’re suckers for kidsupport,” says Denning. “There are only so many business-es in this community to support school programs. So we’realways happy to help.”

The company owners are also very involved inHoldingford. They give their time and talents in manyways, including participating in the Initiative Foundation’sHealthy Communities Partnership program. “This is asmall community,” says Bob. “You know everybody, talk toeverybody. It’s good for business for them to know youbelieve in them and believe in the community.”

Bob and other business leaders have met with thetown’s mayor and are exploring ideas for building astronger community. Creating a Holdingford Chamber ofCommerce or expanding the existing Community Clubare two of the ideas Bob mentions. Denning says they’vealso volunteered in-kind services to the city, such asadministrative support.

As the company grows, it’s expected that the com-munity of Holdingford will need to grow as well.According to Bob, one of the challenges is finding hous-ing for new employees. The rural community does nothave any housing developments. Engineers and otherhighly skilled labor that must be hired from outside thearea have a difficult time finding a place to live inHoldingford. In fact, says Bob, one of their recent hireswill have to rent an apartment for a while.

With Bob and Dan Warzecha’s enthusiasm for thecommunity of Holdingford, there is no doubt that theWarzechas and Two Rivers Enterprises will continue tohave a positive effect on the quality of life for the people liv-ing there. And with an established customer base of organ-izations such as Jennie-O Turkey Stores, Huisken Meats,and several school districts, the business will continue togrow and contribute even more to the community. IQ

2 0 0 6 O U TS TA N D I N G E N T E R P R IS E TWO RIVERS ENTERPRISES, HOLDINGFORD

SPRING 2006 15

Next to the Wobegon bike trail and the Wobegon

Café, lies a business that owes its success, in part,

to the community in which it resides.


The crisp September air glistened off thesilken water as the paddle sliced

through the silent evening. The canoe,laden with a full day’s wild rice harvest,headed back to camp. Children gatheredaround the firepit to warm their cold hands.As the sun set over Leech Lake, familiesrelaxed in the evening’s glow.

The time was the late 1800s. The familieswere native to northern Minnesota and the lakewas the center of their lives. In 2006, families ofdiverse ethnic groups still gather around LeechLake. They enjoy a heritage of water, land, andspirit, shared graciously by the Ojibwe over thegenerations with those who have come to fish,hunt, and relax. Until recently, the lake had nocommunity-wide assurance that this heritagewould be protected.

Not until the summer of 2002, whenthe Initiative Foundation partnered with the

Leech Lake Association to develop a lake-management plan. For the association’sremarkable effort of combining diversevoices and interests into a working, lake-management plan, the Initiative Foundationawarded the 2006 Environmental InitiativeAward to the Leech Lake Association.

It began in the summer of 2002, whenthe Initiative Foundation invited the LeechLake Association to participate in its HealthyLakes and Rivers Partnership program. TheMinnesota Department of Natural Resources(DNR) volunteered to fund and implement asurvey of Leech Lake property owners, todetermine what the community consideredto be the key issues for the lake.

The association summarized the resultsand presented them at four town hall meet-ings in communities around the lake. Basedon these visioning sessions, the association

focused on protecting ecological and envi-ronmental features in shoreline develop-ment, while addressing the demands ofincreased usage; completing a vegetationcensus; assuring that the water qualityremains positive; and improving the qualityof sport fishing.

“The association asked me if I wouldwrite the plan,” says Gerald McCauley. Soonafter, he was elected the chairman of theLeech Lake Association’s Healthy LakesCommittee. McCauley, a retired marketingdirector for Medtronic, partnered with JimLohr, who had chaired DuPont’s planningboard, to research and write the plan. It wasfinished in the summer of 2004.

The association faced the task of address-ing and incorporating the concerns of numer-ous entities. Leech Lake covers 112,000 acres,has two hundred miles of shoreline, and lies

“It’s easy forvolunteer

associationsto lose focus—

they never did.”

From left: Jim Lohr and Gerald McCauley wrote the plan.

SPRING 2006 17

Waves of the

BY BRITTA REQUE-DRAGICEVIC PHOTOGRAPHY BY JIM ALTOBELL

within Cass, Hubbard, and Beltrami counties.It is the third largest lake in Minnesota, madeso in 1884 by the construction of a federaldam, which was created to control the level ofthe Mississippi. A treaty in 1855 with theLeech Lake Band of Ojibwe placed the major-ity of the lake within the tribe’s reservation.The treaty grants tribal members aboriginalrights to fish, hunt, and gather, free from stateregulations within the reservation. The lake isalso part of the Chippewa National Forestwith much of its northern forests and shore-line preserved by federal ownership.

The demand for lakeshore ownership hasdriven up property values. With limitedshoreline available for development, the lake’sactivity has increased. These factors promptedthe association to take action, but they alsoposed challenges.

“Their courage stood out to me,” says

Don Hickman of the Initiative Foundation,responsible for nominating the associationfor the award. “They have continuallysought the concerns and goals of variousstakeholders, but ultimately, have chosenthe course that they feel is necessary to pre-serve the resource.”

John Ringle, of the Leech Lake TribalDivision of Fish and Wildlife, agrees. “Weprovided input, reviewed and added tribalinterests into the plan, and overall it was asmooth process,” he says. Some of the tribalinterests were wild rice protection, maintain-ing a shared fishery, and the environmentalprotection of undeveloped shoreline. Thetribal council endorsed the plan.

The association worked closely with CassCounty Environmental Services and helpedthe county gain support for intra-lake zoning.One controversy was the lake’s cormorants—

an endangered bird that consumes an averageof one-and-one-half pounds of fish per birdper day off the lake. In the end, and with thesupport of the plan, the Leech Lake TribalDepartment of Resource Management, theUnited States Fish and Wildlife Service and theDNR were charged with reducing the birdpopulation by lethal methods.

In less than one year, most of the plan’scalls for action have been completed.

“It was a team effort,” says McCauley,“A lake association by itself can’t do much.You have to have good cooperation withgoverning bodies and citizens.”

“They did a very nice job, worked dili-gently, and did very thorough research,”says Ed Feiler, who at the time worked withDNR lake planning. “It’s easy for volunteerassociations over time and with challengesto lose focus—they never did.” IQ

2 0 0 6 O U TS TA N D I N G E N V I R O N M E N TA L I N I T I AT I V ELEECH LAKE ASSOCIATION

F U T U R E


2 0 0 6 O U TS TA N D I N G NO N P R O F I T BIG BROTHERS BIG SISTERS OF CENTRAL MINNESOTA

R E V E L R YSibling

Jody was a very busy single mom. She was working two jobs and raising two

children. Her three-and-a-half-year-old son,Aaron, required a lot of attention. She alsohad a seven-and-a-half-year-old daughter,Rachael. Jody realized she didn’t have enoughtime in the day to give her young daughter theundivided attention she desperately needed.Rachael Johnson was almost eight years oldwhen she met Paula Eckerman—her newfriend from BBBS. And their lives werechanged forever.

Big Brothers and Big Sisters (BBBS) is thelargest and oldest youth-mentoring programin the United States. It was founded in 1904and serves more than 225,000 youths agesfive through eighteen in five thousand com-munities across the country, through a net-work of 470 different agencies.

BBBS of Central Minnesota has beenmaking a difference and mixing magicalfriendships—matching “Littles” with “Bigs”for many years. Troy Fritz is the executivedirector for the St. Cloud area agency. He saysin 2001, their agency successfully served twohundred kids. In 2005, that number grew toeleven hundred kids.

“I didn’t know what to expect,” saysRachael, recalling her first introduction to Paula.“But I liked her right away.” They have beenfriends for nine years.

“They are so much a part of each other’slives,” says Jody. “It has been a good match.Rachael was involved in Paula’s wedding. Iforesee Paula being a part of Rachael’s.”

According to Fritz, there are currently fifty-five kids on a waiting list to have a Big. “No kidshould have to wait to have a friend in his life,”says Fritz. His primary goal over the next fiveyears is to completely eliminate the waiting list.

Fritz says the BBBS program has evolvedtremendously in the past few years, due in greatpart to their involvement with the InitiativeFoundation’s Healthy Organizations Partnership(HOP) program. HOP is a two-year programthat offers leadership training and grant supportfor executives and board members of nonprofitorganizations. BBBS began in September 2001.

“It is clear they are having an impact in thecommunity,” says Hartle, program manager fororganizational development. She notes BBBSuses creative ways to involve the community atlarge as well as other youth programs. This cre-ativity has brought significant growth to BBBS.

They have an effective and engaging boardof directors that is constantly looking outsidethe box for innovative ways to serve more chil-dren and recruit more volunteers. The centralMinnesota agency is providing matches at a costof half the national average within the organiza-tion. For every child the average agency serves,the central Minnesota agency serves two—serv-ing more kids with fewer dollars.

Fritz says it is important to give childrenwho may not connect well with other adults theopportunity to help them feel comfortable andcared about. Having adult role models andfriends in their lives can help give them the bestchance to become successful caring individualsin our communities. “All any kid wants is some-one in his or her life who will make them feelimportant,” says Fritz.

That is what the program did for Rachael.According to Jody, before her daughter’s matchwith Paula, Rachael was shy and introvertedwith low confidence and self-esteem. WithPaula’s encouragement, Rachael has written andpublished two poems. She also plays the clarinetin the high school marching band. Jody saysshe can’t imagine Rachael having done thesethings without Paula’s support.

“No kid should have to wait to have a friend in his life...”

BY VIVIAN CLARK PHOTOGRAPHY BY JIM ALTOBELL

From left: Tyler Benners, Cassie Kirchner, Troy Fritz.

SPRING 2006 19

Rachael says Paula is the one person whoshe can always count on “to just be there”when things get rough. Rachael’s fatherpassed away when she was ten. “She and herfather had a special relationship. She wasDaddy’s little girl,” says Jody. “It was hardbecause I was dealing with grief as well, butin a different way than Rachael. She neededPaula. She was there.”

Paula says being a Big has helped her togrow personally. She says their relationship is

unique. Rachael is like a blood sister to Paula.“It is so cool, because we are more thanfriends,” says Paula. “I am not her mom, andyet we are family.”

The agency is very supportive of all theirBigs, according to Paula. “Just like any family,there will no doubt be problems. But withBBBS, the staff is there to help you out andguide you to help your Little.”

It is hard to remember what life was likebefore Paula came to be a part of it, Rachael

says. She can’t imagine what it would be likewithout her. Rachael will be sixteen years oldsoon. The program officially ends when theLittle becomes eighteen, but Rachael says sheand Paula have already decided they willalways be a part of each other’s lives.

And Rachael is already planning onbecoming a Big herself. “I know what it didfor my life, to have a Big,” says Rachael. “Iwant to be one, too—to help another kid, likePaula helped me.” IQ

“It’s almost like a miracle... When we need something, it’s there.”

T H R E A D SCommon

BY CYNTHIA MOEPHOTOGRAPHY BY JIM ALTOBELL

From left: Myrt Bollenbacher and Bonnie Christenson.

Meeting people’s needs is not always a matter ofsimply giving money. Sometimes a redistribu-

tion of items can solve problems—for both thosewho give and those who receive. But between gen-erosity and need, there must be a means for turningdonations into good, usable items, and a platformfor distributing them. At Salem Lutheran Church inDeerwood, the Initiative Foundation’s 2006Outstanding Volunteers Bonnie Christenson andMyrt Bollenbacher have become catalysts for gather-ing, preparing, and redistributing used gifts throughthe Salem WEST program.

Salem Lutheran’s WEST program, whichstands for “Welcome, Equip, Send, Toolbox,” beganin 1993 as a social ministry. Christenson andBollenbacher, who have been friends for years, wereinvolved from the earliest days of the outreach. Atthat time, the two ladies, who have three grandchil-dren in common—Christenson’s son is married toBollenbacher’s daughter—focused on makinglayettes for babies. They recycled material to makeblankets and crib sheets by hand, added sleepers,outfits, undershirts, socks, and even a baby toy ortwo, and made the layettes available to area doctors,social workers, and public health nurses. As wordspread of the ministry’s focus on providing practicalitems such as clothing and household items forthose in need, donations began to arrive at thechurch. Bags, boxes, and used furniture filledSalem’s Sunday school classrooms.

Christenson and Bollenbacher gathered bagsof clothing and took them to Christenson’s housefor laundering, repairing, and sorting. “Bonniebasically gave up use of many parts of her house,”says Greg Meyer, Salem Lutheran’s associate inministry and the one who nominated Christensonand Bollenbacher for the award. “There wereclothes everywhere.”

Late in 2002, Salem Lutheran was given a won-derful Christmas gift—a building directly acrossfrom the church was donated to the social ministryprogram. The building needed a great deal of work,and Christenson and Bollenbacher helped by scrap-ing, painting, scrubbing, and providing food for theother workers. New siding, windows, a furnace, andan air conditioner were donated and installed byvarious companies. Soon the building was ready,and two sets of donated washers and dryers weremoved from Christenson’s home to the store.

When the social ministry was new, fundraisingattempts involved holding spaghetti dinners in aprivate home. Those early fundraisers were success-

ful and helped Salem WEST get off the ground, buteventually the demand for services grew beyondthe ministry’s simple budget. The InitiativeFoundation became involved with Salem WEST in2002 and has provided a number of grants toadvance the work, including $10,000 in 2005. Thatgrant provided a VISTA volunteer to help identifythe strongest areas of need in the community andhelp keep the resource store open full time.

“The Salem WEST program truly representsthe essence of grassroots community developmentand service,” says Linda Kaufmann, the InitiativeFoundations program manager for early childhoodand grants development. “It was developed and isrun entirely by generous volunteers giving of theirtime, talents, and resources.”

Salem WEST primarily serves Crow Wing andAitkin counties, but as the ministry spreads itswings, needs are being felt in surrounding countiesas well. It is becoming more and more common forrequests for items to come from other areas. Butwith each step in the program’s growth, resourcesappear to keep meeting the needs.

“It’s almost like a miracle,” says Christenson.“When we need something, it’s there.” Salem WESThas developed a network of volunteers to pick up,repair, clean, and deliver items where they are need-ed. Now the ministry can furnish an entire house-hold when called upon to do so, including beds,tables and chairs, household goods, and clothing.

Christenson and Bollenbacher work long days,sometimes twelve hours or more, in order to keepthe ministry growing—a remarkable feat for womenwho have each celebrated more than eighty birth-days. Their energy and enthusiasm are contagious.

“Both Bonnie and Myrt would never ask any-one to do something they would not do them-selves,” says Meyer. “I often hear people say, ‘Howcan I say no to them, knowing how hard they areworking?’” But volunteers in the program need notmake huge time commitments in order to help.

“We have people who come in for a few hours,whenever they have time,” says Bollenbacher.

The pair agree that though being recognized bythe award is wonderful, the real awards come whenpeople’s needs are met in the most basic ways.

“We gave one little boy a brand-new pillow,and he said, ‘You mean that pillow is for me? I’venever had one!’” says Christenson. “It makes youthink beyond yourself and your own needs.”

Bollenbacher agrees. “It does your heartgood.” IQ

SPRING 2006 21

2 0 0 6 O U TS TA N D I N G V O L U N T E E R SBONNIE CHRISTENSON & MYRT BOLLENBACHER, DEERWOOD

Reiko Koyama is a perfect example of howone voice can multiply into many voices.

She has a knack for opening people’s minds andinitiating dialogue about powerful topics, suchas discrimination and other social injustices.Forums she has initiated require people todebate, think, explore, reason, and problem-solve. Oh, yes—Koyama is seventeen years old.

The recipient of the 2006 OutstandingYouth Volunteer Award, Koyama was nominat-ed by Jessica Horning, manager of partnershipsand services at the United Way of CentralMinnesota. Koyama is being recognized for thework she has done with Horning and Youth asResources (YAR)—an organization supportedby the Initiative Foundation that empowersyouth to bring about positive change in com-munities. Koyama likes to make changes forthe better and she doesn’t just take on small,day-to-day issues. She seeks to make a differ-ence in things that matter globally.

Her father, Steve Koyama, was ofJapanese-American descent and was a profes-sor at St. Cloud State University. He died whenReiko was only eight months old. Koyama’smother, Sudie Hofmann, also a professor, is themost important influence in her daughter’s life.Hofmann says she has always encouraged herdaughter to speak up for issues she believes in.

“Reiko has always asked a lot of questions,”says Hofmann. “She always wants an explana-tion if she sees some injustice, if someone isbeing treated unfairly, or different from everyoneelse. From early on, she was concerned aboutthings, such as racism and sexism. She is onewho always looks out for the underdog.”

Chris Fastner, program manager for youthdevelopment & VISTA at the InitiativeFoundation says, “What struck us was the

nature of the things she’s been involved in. Herpassion for inclusiveness.” Her body of workand volunteerism speaks for itself.

“She has tremendous insight, maturity, andenthusiasm,” agrees Horning. Koyama is nowon the YAR board of directors and Horning saysher presence will bring about exciting things.“She has such good energy and brings a lot ofnew ideas to the table. She acts on her heart andher values. When others may not feel comfort-able or know how to reach out to someone, shewill do that. It’s impressive that at her age she’sthis aware of what is going on around her. Idon’t know if she fully realizes all the ways thatshe impacts our community.”

Koyama is on the student-planning com-mittee for the Center for Service-Learning andSocial Change. Last year, she organized aYouth Forum on Racism in conjunction withMartin Luther King, Jr. Day. She wrote thegrant proposal and secured the funds fromYAR for the event. She also promoted and ledportions of the forum, which encouraged dis-cussions on racial issues and how everyone isaffected by them.

Kevin LaNave, director of the Center forService-Learning and Social Change, says theforum brought together twenty youth from thearea with various backgrounds (African-American, Caucasian, Asian, West African, andSomali) and gave them an important opportuni-ty to share their experiences with one another.“Even though her convictions are strong aboutsomething,” says LaNave, “and she feels thingsdeeply, she doesn’t let that keep her from explor-ing other viewpoints and having an open mind.”

“Most of the things I do are to help peoplewho don’t have a voice themselves,” saysKoyama. “If I can help change something and it

will make life better for someone, why not? Idefinitely inherited that from my mom. Stickingup for the little guy.”

She knows that sometimes making impor-tant changes begins in politics—a place fewteenagers dare to tread. Koyama spends electionyears volunteering and assisting at campaignheadquarters, lobbying for candidates shethinks can make a difference in her community.She calls herself a radical-conservative. “I feelthe political side is a main factor in determiningif important issues get heard.”

When she isn’t busy working on boardsand committees, Reiko is a typical teenager.She is a junior at St. Cloud Tech High Schoolwhere she participates in soccer, track,National Honor Society, Spanish Club,speech, and organizations including FutureProblem Solvers, and Cultural Awareness andRacial Equity (CARE). She also works hard tomake sure everyone fits in.

“I know if she sees someone alone, shewill seek them out and make sure they feelwelcome,” says Horning. “That’s a really pow-erful thing in high school.”

The causes that she already feels sostrongly about may just be the tip of the ice-berg for Koyama. This summer she plans toattend Peace Jam in Denver and is currentlyworking on a new endeavor. She is doingresearch and taking personal measures to savethe environment. “Even little things make a dif-ference,” she says, “like taking staggered show-ers (running the water only when it’s needed),drinking free-trade coffee, using public trans-portation, and not driving, if you can walk.”

Yes, little things can certainly make adifference. But when it comes to ReikoKoyama, expect big things. IQ

“Most of the things I do are to help people who don’t have a voice themselves.”

2 0 0 6 O U TS TA N D I N G YO U T H V O L U N T E E R REIKO KOYAMA, ST. CLOUD


SPRING 2006 23

Mountain of

Y O U T HBY SHEILA PETERSON HELMBERGERPHOTOGRAPHY BY JIM ALTOBELL

When the subject of charita-ble giving comes up, many

of my clients are motivated bythe thought of doing something,“meaningful but doable.” Theirreasons for dedication to anygiven charity are highly personal.They often stem from heartfeltconcern for an organization’sfinancial well-being and a beliefthat supporting a charity canachieve a lasting impact in ourcommunities. Some people hesi-tate to act because they assumethe amount they can afford mightnot make much of a difference.That is, until I tell them aboutgifts of life insurance.

Suddenly, expecting a mod-est gift to make a dramaticimpact may actually have somemerit! If you are interested inleaving your legacy through atrusted, effective charity like theInitiative Foundation, gifts of lifeinsurance might be the rightchoice for you, too.

The gift of life insurance is apractical and affordable way toachieve philanthropic goals. Bestof all, donors need not be wealthyto make a meaningful gift. Thereare a number of ways to accom-plish this with life insurance.

Typically, a donor appliesfor a permanent life insurancepolicy and names the charity asboth the owner and beneficiaryof the policy. Since the charity isthe owner, the donor’s annualpremium qualifies as a charita-ble gift and may be tax-deductible. Upon the donor’sdeath, no complex probate pro-cedures will be required to settle

a life insurance claim, and thedonor’s estate will not be subjectto gift or estate taxes on theamount of the death benefit.

For those who may wish toaccess a policy’s cash value duringtheir lifetimes, donors may retainownership of the policy and sim-ply name a charity as the benefici-ary. In this case, the downside isthat the premiums do not qualifyas a tax-deductible contribution,since the charity does not own thepolicy. The insurance proceedswill also be included in theirestate, but may qualify for anestate tax charitable deduction.

If the charity is the beneficiaryof the policy, it will receive the pro-

ceeds on a tax-free basis upon thedonor’s death. If the charity is alsogiven ownership of the policy, itwill have access to the cash valuethroughout the donor’s lifetime. Ifthe donor ever chooses to discon-tinue premium payments, the char-ity may have the option of makingthe policy “self-supporting.” Theaccumulated policy value may pro-vide a valuable resource to thecharity as an emergency fund or ascollateral for a loan.

If you are like many of myclients, planned giving throughlife insurance may prove to bevery rewarding for you, your fam-ily and certainly for those whobenefit from charities like the

Initiative Foundation. By replac-ing modest annual contributionswith life insurance premiums, weall possess the ability to make ameaningful difference and leave alasting legacy. IQ

Jim Czajkowski is a financial rep-resentative with NorthwesternMutual Financial Network withoffices in St. Cloud. Contact Jimat (320) 251-6711 or [email protected].

> D O N O R S E R V I C E S

LARGER THAN LIFE BY JIM CZAJKOWSKI, NORTHWESTERN MUTUAL FINANCIAL NETWORK

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> E A R L Y C H I L D H O O D U P D A T E

Noreen Dunnells knows thatthere are thousands of par-

ents who want their preschool-ers to be better prepared to enterkindergarten. As United Way ofCentral Minnesota’s chief profes-sional officer, she led the effortto enroll 6,500 children in theSuccess by Six early childhoodprogram in less than one year.

Now, joining forces with the Initiative Foundation’sMinnesota Early ChildhoodInitiative (MECI), Brainerd,Sartell and St. Cloud will reachmore young children and their

families than ever before.According to the MinnesotaDepartment of Education, fewerthan half of all children enteringkindergarten are fully preparedto succeed.

“We want to give ouryoungest citizens a voice and theresources necessary to becomehealthy, productive adults,” saysDunnells. “The Early ChildhoodInitiative is a wonderful partnerfor us.”

Building on the success ofthirty-six other MECI communi-ties, the Initiative Foundation

will provide training, staff assis-tance and a total of $75,000 ingrants to help form citizen-ledcoalitions to make young chil-dren a top priority. The founda-tion will also help to transformaction plans into projects withfuture grants.

“We’ve been doing this forthree years, and we’ve learned whatworks well,” says Linda Kaufmann,the Initiative Foundation’s programmanager for youth and grantsdevelopment. “We’re in a goodposition now to reach out to largercommunities.” IQ

Contact Linda Kaufmann [email protected].

EARLY ADDITIONSMajor Communities Selected to Early Childhood Initiative

SPRING 2006 25

> H E A LT H Y L A K E S & R I V E R S

HEADSABOVE WATERFoundation, Isanti Lakes Share Clear-Thinking

When the ear of Tami Crea’s daugh-ter began to bleed after swimming

in Isanti County’s Long Lake, the singlemother and lake association volunteerconsidered it a call to action. “We neededa plan, some way to combat this growingproblem,” says Crea. “I mean, some daysthe lake is like pea soup.”

Long Lake is like thousands ofMinnesota waters that face pressure fromincreasing shoreline development,destructive exotic species and humaninteraction. Since 1999, the InitiativeFoundation’s Healthy Lakes & RiversPartnership (HLRP) has helped shoreline


“We needed a plan,some way to combatthis growing problem.”

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leadingat the Pace of change

associations understand these pressuresand enact citizen-led plans to preserveMinnesota’s greatest natural resources.

Passionate volunteers such as Tamipropelled the Initiative Foundation’sfirst HLRP effort in Isanti County. Withtraining, staff assistance and a grant of$20,000, the foundation invested ineight neighboring lakes. Each lake asso-ciation will be eligible for another$5,000 after plans are completed.

“What excites me the most is theirlevel of volunteer leadership,” says DonHickman, foundation program managerfor planning and preservation. “Thatgives me confidence that their momen-tum will produce tangible results.”

Long Lake’s plan will includestrategies for eliminating curlyleafpondweed, an exotic underwater plant,and for educating property ownersabout water-friendly landscaping prac-tices. Sustained efforts learned throughHLRP should gradually improve thewater quality.

“Everyone is willing to work hard,”says Crea. “There are a lot of devoted peo-ple who really care about our lakes.” IQ

Contact Don Hickman [email protected].

SPRING 2006 27

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> M E T H A M P H E T A M I N E

METHFORCES RALLYFoundation Helps to Mobilize Nine Counties

Count Benton, Cass, Crow Wing,Kanabec, Mille Lacs, Morrison,

Stearns, Todd and Wadena Countiesamong the places that methamphetamineis no longer welcome. Partnering withlaw enforcement, schools, healthcare,business and government, the InitiativeFoundation has helped form citizen task-forces in all of them.

The foundation’s anti-meth initia-tive, dubbed Minnesota ICE(Intervention, Care and Education—atwist off the most common street name

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for meth), was launched last Novemberwith a statewide conference that broughtin 2,400 concerned leaders, citizens andstudents from across the state. Sincethen, it has earned $500,000 in supportfrom The McKnight Foundation andBush Foundation.

“Our goal is to forge partnershipsbetween the professionals on the frontlines and the citizens in the community,”says Ed Minnema, program manager formethamphetamine. “This has proven tobe a problem that law enforcement can’thandle alone.”

Minnesota counties have bore thebrunt of more than $130 million inmeth-related costs in 2005. Recent sur-veys conducted by the NationalAssociation of Counties revealed a five-year escalation of meth-related emer-gency visits and a growing need foraddiction treatment programs.

In central Minnesota, meth labbusts have declined in Morrison andStearns Counties. “As more of usbecome aware of the dangers and takeactive roles in our communities, we willcontinue to see more positive signs,”Minnema says. IQ

Contact Ed Minnema [email protected].


“They were first started to create jobs, toalleviate pain and suffering, to create long-term endowments for their regions, and tocreate a leadership base to face future chal-lenges. It started out as a regular charitablemodel. But over time, it has evolved so thatthe MIFs are almost an essential structure intheir regions. That’s amazing.”

Kathy Gaalswyk, the president of theLittle Falls-based Initiative Foundation,agrees that the unique partnership works.

“McKnight opened the discussion out ofconcern for rural Minnesota,” saysGaalswyk. “Rural people responded withideas, willingness to work, and long-termcommitment.”

The purpose was to increase rural grant-making, find ways to strengthen communi-ties, diversify the economies, and give youthopportunities so they wouldn’t have to leaveto get jobs. But unlike many organizationsthat come into communities and dictate howthey will benefit the area, the MIFs had a dif-ferent philosophy: Let the local people decidehow the foundations will work.

“Our approach has been that local peopleknow best,” says Gaalswyk. “That’s why eachfoundation has different goals and priorities—based on its regional needs.”

“Their success has been that they under-stand how communities work, they listenwell, reflect what they hear, and engage thecommunity,” says Bill King, president of theMinnesota Council on Foundations. “Theyare able to create partnerships within a com-munity that bring resources together.”

The foundations took on an unprece-dented role by distributing not only grants,but by making business loans that had thepotential to create “living wage” jobs, thosethat pay between $13 and $19 per hour plusbenefits. Foundation funding often fills thegap between what traditional lenders can pro-vide and what a developing business needs.

It was a revolutionary concept—one thatproved that when local people are respectedfor their creativity, passion, and faith, mira-cles happen. The Initiative Foundation inLittle Falls is living proof.

Since 1986, the Initiative Foundationhas created nearly eight thousand jobs in its

>INITIATIVE FOUNDATION UNLOCKEDcontinued from page 11

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fourteen-county service area. It has awardedmore than two thousand grants totaling$15.4 million and more than seven hundredloans totaling $23.8 million.

“The Initiative Foundation providesleadership training and gives a communitythe opportunity to use its own skills andresources to work toward what they want,”says Pat Spence, the chairman of the foun-dation’s board of trustees. “It’s a veryunique concept—the Minnesota InitiativeFoundations are the only ones like this inthe nation. We started as a small, unknownentity and have grown into a recognizedfixture in Minnesota.”

While McKnight continues to providekey funding, the foundations were soon chal-lenged to raise funds from other sources. TheInitiative Foundation worked at raisingendowments—originally a goal of $5 million.Today it has a total endowment of $25.9 mil-lion with assets totaling $38.5 million.

“The Initiative Foundation is able toleverage more resources than most founda-tions would,” says King. “Its greatest strengthis that it can bring regional players together tostrengthen communities and provide fundingthat would not be available elsewhere.”

As it celebrates its twentieth anniversary,the Initiative Foundation’s future looks bright.

“McKnight has been unusual in our rolein that we made a very long-term commit-ment to support the MIFs,” says Hohlfeld.“The longest foundation commitment that Ihave heard of is five years. We’ve been at thisfor twenty. And it’s working beautifully.”

The increasing strength and cohesive-ness of greater Minnesota communities canattest to that. IQ

“We’ve been at this forT W E N T Y Y E A R S .And it’s workingB E A U T I F U L LY . ”

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eing “inside-out” is good when itapplies to the Initiative Foundation’s

community development programs. The foun-dation utilizes an inside-out approach, whichempowers local citizens to change their com-munities for the better. The direction andimpetus toward community improvementcome from the inside—the people who live andwork there—and move outward.

“The Initiative Foundation does not comein and tell you what to do. They teach you howto develop your own plan and do it yourselves,”explains Pat O’Regan, mayor of Motley and afield consultant for the foundation. “Citizenscome together and everybody has input as towhat they feel is important. They develop ashared vision in the community, then work ataccomplishing it.”

The Initiative Foundation encourages res-idents to focus on what is good about theircommunities—their assets. Those assetsinclude the skills of their residents, the powerof their associations, their public, private, andnonprofit institutions, and their physical andeconomic resources.

Dan Frank, program manager for communi-ty development, says the foundation’s goal is get-ting community members involved and helpingthem achieve a common vision, get organized,have some success, and then keep the processgoing. To accomplish this, the InitiativeFoundation implements a four-prongedapproach, which includes providing training,funding, ongoing technical assistance, and refer-rals to other resources. This process can take up totwo years—and it yields incredible results.

The city of Motley serves as a successfulexample. Mayor O’Regan says the city’s partici-

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pation in HCP led to several projects, includingcreation of a comprehensive plan, adoption ofstate building codes, and local ordinances forland use and zoning. The Initiative Foundationprovided the training and technical assistanceMotley needed to accomplish these goals.

“We’re really attempting to do two mainthings,” says Karl Samp, vice-president ofcommunity initiatives. “We think that if webuild people’s capacities—teach them how tobe leaders, how to do community organizing,how to focus on assets, and how to carry outprojects—and we help them build relation-ships within their communities, those thingswill have lasting effects.”

“There are a lot of other projectsthroughout the community that have comeout of it,” adds O’Regan. “The InitiativeFoundation is there long-term for the commu-nities, providing help, guidance, and a varietyof assistance. They can help find sources forfunding and assist with applying for it.”

Most importantly, the InitiativeFoundation works to ensure that everyone whowants to be included in the process has a chanceto be heard. Everyone has a voice—an integralpart of the asset-based, inside-out approach. IQ

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lthough established twenty-five yearsago, Pine River’s east side industrial

park had been occupied solely by a baseball dia-mond. Now, thanks to the InitiativeFoundation, a fifteen-thousand-square-footbuilding will house a truss-manufacturing plantthat will provide fifteen new jobs.

“I began working on starting TrussworthyComponents two years ago,” says owner CraigAnderson. “I wanted to locate in Pine Riverbecause it’s my hometown.” The city of PineRiver wanted the jobs. Impeding this opportu-nity was the financing to make it happen.

“The foundation filled a critical role tohelp me secure equipment and inventory,” hesays. By offering gap funding to supplementowner equity and taking a position as a sub-ordinate lender, the Initiative Foundation’sparticipation allowed Pine River State Bank tostay within its collateral requirements andstill offer the necessary funds.

“Most of our leads come from a bank or aneconomic development agency,” explains DavidGruenes, Initiative Foundation board member.“Over the course of this program, there havebeen literally thousands of jobs created, severalhundred businesses that have been financed.”To be considered for one of the four availablefunds—Technology Capital, MicroenterpriseLoan Guarantee, Seed Capital, or DirectBusiness Loan—businesses must first workwith their local economic development spe-cialist or financial institution.

Then, according to John Kaliszewski,vice-president for economic development,the Initiative Foundation conducts its ownevaluation, weighing the strength of theownership/management team, business planviability, and the benefits to the community.

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ECONOMICS

SPRING 2006 35

“Our interests go beyond business financ-ing,” says Kaliszewski, explaining that the foun-dation doesn’t compete with lending institu-tions nor strive to make money. “We’re trying tocreate living-wage jobs, diversify the local eco-nomic base, and create opportunities for youngadults. We want the business to be successfuland have a positive impact on the community.”

To meet these goals, the InitiativeFoundation provides ongoing support through-out the life of the loan. “We actually set up peri-odic site visits to meet with the managementand see firsthand what’s going on,” saysKaliszewski. “We know that if we can identifyproblems early enough, we can resolve them.”

But the unique characteristic of the foun-dation’s business financing is its flexibility. Thefoundation can lend money in situations wherethere is inherent risk, aiding start-up ventures,or technology-based companies that lack suffi-cient brick-and-mortar collateral. Loan termscan also be restructured—helping businessesthrough growth phases or slow-downs.

“I would encourage anyone starting anew business to tap into the InitiativeFoundation as an important resource,” saysAnderson. He exemplifies the talent lyingdormant in our communities: a homegrownentrepreneur waiting for the right time andright combination of resources to take theultimate risk and start a business. IQ

BY TENLEE LUND & ASHLEY VARGO

John Kaliszewski: “We’re trying to create living-wage jobs, diversify the local economic base, andcreate opportunities for young adults.”


sFROM THE HEART

ver the past twenty years, the Minnesota InitiativeFoundations—originally known as the Minnesota

Initiative Funds—have become powerful and valuable regional insti-tutions. By adapting local support to each oftheir own communities, the foundations fos-ter growth and vitality in their regions whilebolstering the economic health of ourentire state. As successful as the InitiativeFoundations are today, it’s interesting tonote that they started out, to some extent,as a grand experiment.

By the mid-1980s, rapidly decliningdemands for farming, mining, and lum-ber had led to the disappearance of entireeconomic markets in Greater Minnesota.The McKnight Foundation had previous-ly funded limited programs to supportfamilies and communities statewide, butMcKnight’s board of directors was becom-ing increasingly aware that citizens in ruralMinnesota were facing unprecedented chal-lenges. McKnight’s board visited small townsand confirmed that the people of ruralMinnesota held the capacity and resilience toaddress their own economic and communitychallenges, given appropriate resources.

The board considered using McKnight’s resources to establish amechanism through which local people could decide and act uponlocal issues. It would need to be sturdy enough to stabilize economiesand communities, but flexible and strategic enough to build capacityand infrastructure to address challenges and opportunities.

McKnight invited sixty rural leaders from around Minnesota toconsider structures and strategies to minimize effects of the econom-ic downturn and prepare for the future. The result was the MinnesotaInitiative Funds. Each of the six funds was to be independent, with itsown geographic scope, board of directors, and identity.

Initially, the funds set out to help individuals and families copewith poverty. Each fund surveyed its own community to identifypressing social needs and strategies for solutions. And the funds did-n’t stop at simply addressing current challenges.

The funds’ boards advocated establishing and nurturing new

BY ERIKA L. BINGER, THE MCKNIGHT FOUNDATION BOARD CHAIR

Erika L. Binger was elected chair of The McKnight Foundationboard of directors in August 2004. Binger, thirty-two and a memberof the board for the past ten years, is the fourth board chair since it

was established in 1953. She is the great-grand-daughter of William L. and Maude L. McKnight,creators of the Foundation. A graduate ofPepperdine University in California, Bingerearned a master’s degree in organizational lead-ership from Bethel College in Arden Hills.

businesses to help protect against economic collapse. The fundscreated six business development and loan programs—customizedto its own region. Now called the Initiative Foundations, they con-tinue to strengthen local communities through work in human

services, employment support, leadership development, andcommunity capacity-building.

McKnight didn’t intend to remain inpartnership for more than twodecades. But year after year theInitiative Foundations have increasedtheir impact, addressing emergentissues and seizing opportunities; for

McKnight, continuing to invest in theInitiative Foundations has made great sense.

Since 1986, McKnight has granted around$200 million to the foundations. They have

translated those dollars into 2,800 business loanstotaling more than $130 million, and made a

combined 12,000 grants totaling $91 million.Together, the foundations’ endowments now

total more than $160 million, with revolv-ing loan assets of nearly $60 million. Thefoundations’ current assets roughly equalMcKnight’s long-term investment. Instrategic local outcomes, however, theirincreased value is incalculable.

At McKnight, we are extremely proud of our early involvementin the development of the Minnesota Initiative Foundations, as wellas our ongoing relationships. The thoughtful leaders and communitypartners of each region deserve full credit—and McKnight’s grati-tude—for more than twenty successful and productive years. IQ

> GUEST OPINION COLUMN

OO

The Grand ExperimentChemistry between McKnight, Local People Yield the Initiative Foundations

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ONOCOLOGY

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iq magazine - spring 2006

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