prairie business western north dakota july 2011

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Western North Dakota Business News

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Page 1: Prairie Business Western North Dakota July 2011

www.prairiebizmag.comPhoto courtesy of North Dakota Tourism/Willard Clay

Page 2: Prairie Business Western North Dakota July 2011

2 WNDPB July 2011

RRV Table of Contents

to the new western North Dakotaedition of Prairie Business magazine!

You might be thinking “Well wait a minute, what’s different?”The short answer is that it’s not so much different...just more. Thismonth’s introductory launch of our zoned western North Dakota issue

includes our regular editorial coverage of the business news that affects ourshared regional economies and business leaders. What is different is that now,for our selected subscribers with a concentrated interest in the western NorthDakota business area, there is more of what you are looking for in terms offilling that business news hole.

We’ve been busy as we head into our second decade. Busy updating thelook and feel of the magazine, busy expanding our readership, and mostlybusy listening to what our subscribers and sponsors are looking for in abusiness magazine.

The introduction of the western North Dakota zoned edition of PrairieBusiness Magazine also affords us the opportunity to give advertisers theability to more effectively, and economically target that hard to reachbusiness-to-business marketplace, with specially priced advertising rates andnew strategic placement options that go well beyond just being competitive.

The better news is that we are not done listening. As a matter of fact, ourexpanded presence in western North Dakota gives us a greater reach intolistening to what business leaders are looking for in a business publication.

Again, welcome to our latest efforts to provide the stories and marketingopportunities that you have been asking for and we look forward to workingwith all of you in the future.

And, if you are not currently a subscriber or would like to see more peopleat your place of business get Prairie Business Magazine, it’s free and you canhave the magazine sent to your home or office by going to our website,www.PrairieBizMag.com, and at the very top right look for the “Click here tosubscribe” link. It’s easy and free!

Welcome Not sochallenging timesin architectureand engineeringout WestArchitects and engineers around the nationhave had a challenge finding work.However, with what is happening in the oilfields in western North Dakota, architectsand engineers in that region are seeing aboom in the field.

Challenging times’ takes on a different connotationin western North Dakota,” says Janet Prchal, AIA,Hulsing and Associates Architects in Dickinson,

ND. “Instead of being in a recession, the challenge is theboom. Our quiet existence has become frantic.”

Prchal adds that contractors that architects trust andrely on in western North Dakota are too busy to bid ourprojects or they can’t find labor to expand theircompanies. “We find ourselves having to do backgroundchecks on contractors and looking into ways to protectour clients from companies with poor performancehistory,” Prchal explains.

And part of the reason many are not having a hardtime finding work is because of diversification. “In thispart of the country you have to diversify,” states DonDavison, President of Davison Larson Associates inMinot, ND. The company was founded in 1951 on schoolwork and in past years it has been a hit or miss. “Now it ismore of a hit because school districts are becomingovercrowded in western North Dakota with the massiveinflux of oil related work forces.”

Davison and his partner, Doug Larson, along with fourother employees, do a variety of projects. The firm doesnot get involved in industrial-type work, but Davison saysthat is growing in the northwest part of the state. Davisonfocuses on hospital work, schools, and commercialbuildings.

While western North Dakota is having loads of work,Davison says he has worked with firms out ofMinneapolis who have been struggling because of theeconomy and the tightness of money. “If the owner can’tget hands on money, they aren’t going to build,” he states.“The financial situation has a huge impact on theconstruction industry. We’re the exception to the rule here

2 Architects & EngineersWestern North Dakota architects and engineers areseeing a boom in the field.

4 Now is the right time to expandWith a positive economic climate out west AmericanBank Center believes it is time to expand.

6 Great Plains Energy ParkProviding access to the oil fields.

8 Award recognizes businessesRecruiting and retaining talent.

“‘

Page 3: Prairie Business Western North Dakota July 2011

WNDPB 3

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in North Dakota. The state has a surplus of money and there is a lot ofwork coming out of state revenue sources. The federal government,however, with its current financial situation, will be slow to respond tothe construction industry.”

Most of the clients for Hulsing and Associates Architects are publicentities, in which lending institutions influence how representatives ingovernment spend tax dollars. “We need to support spending that isworthwhile and beneficial to the public,” Prchal states. “I hope thefinancial institutions are being cautious. If we overbuild ourcommunities and the oil activity subsides, the local taxpayers will beleft paying the bills”

Prchal says the new project type that her company is being exposedto is the ‘man-camp.’ “We are designing the food service and commonsarea for a proposed camp,” she explains. “We were not involved earlyenough in the project to help with the development of the housingunits, which is unfortunate. I believe the assistance of an architect inthese projects could help the image of these camps and make themmore acceptable to the communities that are impacted.”

Much of the development occurring in western North Dakota is byoutside developers using in-house designers or design firms they haveworked with in the past, Prchal states. “We are working with a fewinteresting clients from outside the area which is very educational,” sheadds. “However, the oil boom has come and gone before in my careerand my philosophy is to concentrate on the clients that are a stable partof our economy and not to chase the opportunists.”

BOTH COMPANIES SEE THE ARCHITECTURE ANDENGINEERING FIELDS CHANGING

For Davison, the business has become fast paced. When he firststarted, he was drawing designs by hand with lead pencils and usinglots of erasers. Now, technology has changed that.

“The advent of technology has put it at another level - both for theexpectations of the finished product and the time frame to put ittogether,” says Davison, recalling that when he first started doing larger,multi-million dollar projects he would be spending a year on theproject. “Now they want it done in six months.”

Davison says that increased demand in the field of landscapearchitecture is finding its place in the design world. There is increasedawareness of ‘Green’ design and sensitivity to the environment.

But overall, Davison admits it is “kind of wild right now with theamount of work and pace of it in the area. We have a lot of work goingon right now and we’re not very concerned about future work.”

Prchal adds that owners are becoming more aware of Greenarchitecture. “We no longer have to ‘sell’ the concept of sustainabilityand energy conservation,” she says. “The clients are informed and wantto do the right thing.” WNDPB

Alan Van Ormer - [email protected]

Don Davison, Davison LarsonAssociates

Janet Prchal, Hulsing and AssociatesArchitects

Page 4: Prairie Business Western North Dakota July 2011

4 WNDPB July 2011

WND Money

We have always been a western North Dakotacompany and we grow when we serve as aneconomic engine to assist in this growth,” states

Bank President Greg Vetter. “Our success is due to theresult of the continued success of those we serve. Ourcustomers now have access to the expertise and resourcesour 300 professionals provide.”

The American Bank Center is a $600 millionemployee/director owned community bank with fiveoffices in Bismarck, two in Dickinson, and one each inMinot, New England, and Killdeer. The financialinstitution is a member of the American Bancor, Ltd.family of companies (American Bank Center, AmericanTrust Center, American Insurance Center, and ScandiaAmerican Bank and Trust,) and also has a 25 yearrelationship with Investment Centers of America.

“American Bank Center continues to be a strongfinancial services company which is always looking tomake sound investment decisions regarding expansionthat makes sense to both our customers and shareholders,”Vetter states. “We continue to enjoy the successes ourcustomers have enjoyed and the space needed in Bismarckis a reflection of our mutual success.”

The financial institution has developed a brand entitled‘Make Life Easier!’ for its customers. “By combiningresources, we are better able to provide services andproducts in a streamlined manner, one product line-up,

one computer operating system, and one way to meet thelarger credit needs within the communities we serve,”Vetter states. “The more our two banks, trust company,and insurance agency work together, the more ourcustomers benefit in meeting all of their financial needs.”

American Bank Center offers a wide variety oftraditional banking products and services. American TrustCenter and American Insurance Center can provide non-traditional financial products and services to customers forall life stages and beyond. Additionally, InvestmentCenters of America provides a full line of brokerage andinvestment advisory services to customers who desire theseservices. The American Bank Center provides a completefinancial services firm in all the markets it serves.

One of the major challenges is staying ahead of thegrowth that is occurring.

American Bank Center has recently entered into adevelopment and sales agreement with local developerLoran Galpin to purchase a new three story 21,000 squarefoot office facility across the street from the downtownBismarck office. The new facility will house business andhome mortgage lending, American Insurance Center, andAmerican Trust Center.

The facility is slated to be completed by August 2012and will provide the space needed in the future. “It will bea very functional “campus” offering a one stop financialcenter for our customers,” Vetter explains.

This will also help the community bank to providecapital necessary for communities to grow. “Everyprogressive community has a strong and active communitybank. North Dakota is blessed to have many outstandingcommunity banks, and we are one of them,”Vetter says.“Our customers and communities have been good to usand we want to continue to be there for them.”

Vetter adds that much has been written the past severalyears on what went wrong with the national financialsystem. “Community banking continues to be a verybright spot in the otherwise complicated and sometimesmisguided financial services industry,” he states. “AmericanBank Center has stayed focused on our mission and servedthe legitimate financial needs of the communities weserve. We take this privilege very seriously and willcontinue to work for the growth and prosperity of themarkets we live and raise our families in.” WNDPB

Alan Van Ormer - [email protected]

With the positive economic climate in western North Dakota,American Bank Center feels it is the right time to grow and expand.

American Bank Center believesnow is the right time to expand

GREG VETTERPresident,

American Bank Center

Page 5: Prairie Business Western North Dakota July 2011

WNDPB 5

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BISMARCK-MANDAN ND MSAECONOMY-AT-A-GLANCE

Bismarck-Mandan Development Association

Page 6: Prairie Business Western North Dakota July 2011

6 WNDPB July 2011

WND Energy

To go along with that belief, the Minot AreaDevelopment Corporation is actively marketing theGreat Plains Energy Center to be that place

providing company’s access to oil and other energy needsin northwest North Dakota.

“It was our core strategy to make a decision to invitecompanies to the area,” says Jerry Chavez, President/CEOof the Minot Area Development Corporation. “Once weidentified the location, it was the quickest and fastestorganized effort I have been associated with.”

The entire 160 acre park is expected to be sold in thenext couple of months. In addition, it is estimated thatmore than 400 jobs will be created and will have morethan a $100 million impact to the community.

Currently, Halliburton Co. has invested in 35 acres tobuild operational and maintenance facilities, parkingareas, and an administrative building. Pumpko Serviceshas garnered another 22 acres for a facility to fill positionsas operators, mechanics, and a variety of other areas ofemployment.

Pure Energy Services has taken up 10 acres and hasrecently expanded its facility, while Magnum Trucking issituated in another five acres with a 5,000 square footramping facility. There are other projects in the works.

Throughout Minot, more than 30 companies in the oiland petroleum industry have provided 1,200 jobs.

The park is tailored to petroleum services companies:it is located within the city limits with city servicesavailable; provides a fast track to starting operations; hasgrade ready infrastructure and land; is located close to

fuel and heavy equipment services; and is located nearHighway 2, which provides easy access to thecommunities in the Bakken.

Chavez states that Minot has always been a regionaltrade center with a good hospital, educationalopportunities, and shopping. Now, because of recentdevelopments in the oil field, the community’s airport hasdeveloped connecting flights to Denver.

“The key connection is corporate jets that are bringingin personnel on a regular basis,” Chavez explains. “We area gateway to the Bakken Formation.”

The energy park is also huge for Minot in economicdevelopment, in particular, sales tax. Last year, with thehelp of the Great Plains Energy Park, Minot increased itssales tax dramatically to more than $100 million.

To date this year, the sales tax has been far above thatnumber, Chavez says. “It is a direct correlation to theactivity in the region,” he says. “We have a larger presencein north central North Dakota for oil companies, access toemployees to build homes, and the ability to expandinfrastructure. It is a challenge.”

Chavez adds that since the community elected to makethis a strategic location to develop land for the petroleumindustry, it has also made a commitment it use it as amodel for developing other energy parks.

“We are thinking about expansion,” he says. “What isdoes for our community is put this type of publicinfrastructure in one location.” WNDPB

Alan Van Ormer - [email protected]

ION

AL

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Minot, ND considersitself a regional tradecenter and now, with theoil play, believes it is inthe Gateway to theBakken Formation.

Great Plains Energy Park:

Providingaccess towesternNorthDakota

Page 7: Prairie Business Western North Dakota July 2011

WNDPB 7

WND Entrepreneurs

Bismarck-Mandan’s Young Professionals Networkrecently named their Top 10 Young ProfessionalWorkplaces. The award recognizes local businesses

committed to recruiting and retaining talented youngprofessionals under the age of 40. This year’s recipientswere selected from a pool of 22 nominees, the largestcompetition since the award’s inception in 2007.

YP Network President Molly Sullivan says companieshave four weeks to complete the application and then anYP Network committee consisting of six members fromdiverse backgrounds take about two weeks to determinethe winners.

“We’re focused on how do they integrate, and whatopportunities do they make available to youngprofessionals,” Sullivan states.

Because the highly coveted award is useful forrecruitment, she explains they receive numerousapplications and it is very competitive. She adds that thecompany names are removed when the committeereviews the applications, so it offers a more neutralplaying field.

National Information Solutions Cooperative (NISC)sits quietly northwest of Mandan, even though itemploys over 400 people in that location.

“We’re kind of an anomaly,” says Kari Reichert, VicePresident of People Services at NISC. “A lot of peopledon’t know what we do.”

The information technology company develops andsupports software and hardware solutions for utilitycooperatives and telecommunications companies acrossthe nation. But they also provide an environment foryoung professionals to shape the working culture withinthe office.

“The things I want out of life don’t require that I makea million dollars. I want work that’s meaningful – wherethe work I do makes a difference,” Reichert explains.

With a median age of 34, young professionals at NISCare involved in developing the values and advancementswithin the organization. NISC offers flexible schedules,opportunities to work from home, and efforts to create ahealthy life. The company offered blood screenings for itsemployees earlier this year. Based on those findings,NISC has offered new wellness programs to encouragemore active, healthier lifestyles. They are currentlywrapping up a six-week fitness competition whichconcludes with a health fair on July 7.

NISC employees can develop community within theorganization through unique offerings like the “GreenTeam” which works to make the company more

environmentally friendly, or a Benevolence Committee,an employee funded group that helps fellow employeesin need. They even maintain their own internet socialplatform, much like a private Facebook called “NISCCommunity.”

With a mentoring program, educational assistanceand its own learning center, NISC strongly promotespersonal development. These opportunities allowemployees to gain the knowledge to move throughoutthe company and allow for advancement.

NISC boasts a low turnover rate, which Reichertbelieves is attributed to the nature of the organization.

“At the end of the day it’s, ‘Do the right thing.Always’,” she states.

Though large companies like NISC may have greateraccess to the resources that appeal to youngprofessionals, a smaller business like Silicon Plains, LLCrelies on a unique environment for job satisfactionamong its employees.

“Our young professionals have helped to drive theculture of the organization,” explains Dan Polk,President. “We do a good job of keeping each other incheck.”

In business for just a year, Polk said Silicon Plainscan’t compete with the benefits offered by a largecorporation, but he believes the flexible, personal, andprofessional atmosphere makes up for it.

“We try to make it like a Silicon Valley company.We’re very forward-driven thinkers,” Polk adds.

Silicon Plains gives employees the option of workingfrom wherever and whenever they want. It’s apparentlyworking, as the company asserts it has become knownregionally as the place to call for timely and economicalIT support.

Polk was quite honored to receive the YP Networkaward.

“It affirms that we’re doing it right,” he says. “It makesa huge difference in how we’re perceived – that we’remore driven, and sharper.”

Barr Engineering is also a newer company, havingopened in Bismarck just under three years ago. They feelthey made the YP Network’s top 10 list becauseemployees experience a sense of ownership, whereeveryone is responsible for themselves, working theirown schedules, and picking their own career path.

“We have a self-employed feeling,” says Troy Warner,an electrical engineer at Barr Engineering. “After you’vedeveloped a client base, you really gain a personalconnection with them.”

Award recognizes businesses committedto recruiting and retaining talent

Big paychecks and perks may sound good to a job seeker, but they aren’tnecessarily what keeps an employee loyal to an organization.

“Hopefully [theaward] helpsattract young

talent that wantto be here,”

-Troy Warner,Barr Engineering.

Page 8: Prairie Business Western North Dakota July 2011

Warner adds being employee-owned offers a lot ofbenefits versus a public-owned company, and the staffenjoys a hierarchy-free environment. As years of serviceroll by, they earn more ownership of the company throughan Employee Stock Ownership Plan.

“We’re basically a nonprofit because all of our profitsgo back to the employees…to reinvest into the company,”Warner explains.

Barr Engineering has seven regional offices, employing500 people. Ten of those work from the Bismarck office.The company offers a variety of engineering servicesincluding industrial, civil, mechanical and water resources.Warner says multi-disciplinary projects sometimes requirebringing in staff from other offices, and those connectionsbring further opportunities to expand their services.

The company is a self-proclaimed “jack-of-all-trades,”and Warner finds North Dakota’s expanding needs withinmines, power plants, and environmental assessments keepsthe demand for Barr Engineering’s work force strong.

He says Barr Engineering encourages young people tostay in Bismarck-Mandan to further their career, and theYP Network award is a great step in that direction. HisBismarck office hopes to double the number of employeeswithin the next couple of years.

“We’ve been trying hard to grow our office, so winningthis award helps get our name out there,” Warner adds. “Itis a great honor.”

The Bismarck-Mandan Young Professionals Networkawards each recipient with a plaque for their place of

business and use of the Bismarck-Mandan Top 10 YoungProfessional Workplace logo for display on promotionalmaterials. WNDPB

Maxine Herr is a Bismarck, ND-based freelance writer.She can be reached at [email protected].

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8 WNDPB July 2011

“It’s a reallyrewarding

experience tobe a part ofsomethinglarger thanyourself,”

-Kari Reichert, NISC.The 2011 Bismarc

k-Mandan’sYoung

Professionals N

etwork recipient

s are Barr

Engineering, Ba

sin Electric Pow

er Cooperative,

Bismarck State

College, Capita

l CreditUnion,

Coventry Health

Care, Kadrmas,

Lee & Jackson,

NDSU Extension Servic

e, National Informati

on

Solutions Coope

rative, SIA Marketing

, and

Silicon Plains, LL

C.

Criteria: While the

selectionconsider

s

compensation a

nd benefits,it is also

based on

factors like oppo

rtunity for advan

cement,compan

y

programs, qualit

y of lifeand work en

vironment,

community involv

ement, and how young employe

es

are involved in strate

gic planning and executiv

e

decisions.