9. EDSR 01-9-2012ITEM # 9.
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MEMORANDUM
TO: Economic Development Authority
FROM: Annie Deckert, Director of Economic Development
DATE: January 9, 2012
SUBJECT: Discuss Initiative Foundation Request
DISCUSSION
At the August 8 EDA meeting, the EDA voted 3-3 not to move forward with the $2,500
donation request from the Initiative Foundation. At the September 12 EDA meeting, the
EDA requested this item be put on a future agenda for discussion. At the October 10 EDA
meeting, the EDA voted 3-3 not to move forward with the $2,500 donation request.
Commissioner Moon directed staff to consult with City Attorney Peter Beck to determine if
there were a limit of times the EDA could discuss a particular item. Mr. Beck indicated
there was no limit in regard to the number of times an item could be discussed.
Commissioner Zerwas requested this item to be placed in the January EDA agenda.
Prior to 2007, the EDA had made a series of annual contributions of $2,500 to the Initiative
Foundation, however has not contributed since. In the past two years, the EDA has
received $6,500 from the Foundation for the Economic Development Assistant's NDC
training and the branding and marketing project. The Initiative Foundation has also
provided grants to Energy City, Elk River Area Arts Alliance and Sherburne County Area
United Way. If the EDA chooses to approve this request, the $2,500 will be taken out of
the Misc. line item.
For every dollar donated to the Initiative Foundation, $5.49 is invested back into Sherburne
County in the form of grants, business loans and scholarships. In the past 25 years, the
Initiative Foundation has provided the following to Sherburne County:
• 232 grants totaling $972,000
• 391oans totaling $2.5 million
• Over 380 jobs have been secured
ATTACHMENTS:
• Initiative Foundation donation request
PO/EDED 11
NA~'UI~~
Item # 8.
V~Y
MEMORANDUM
TO: Economic Development Authority
FROM: Annie Deckert, Director of Economic Development
DATE: 10 October 201 I
SUBJECT: Discuss Initiative Foundation Request
ATTACHMENTS•
• Initiative Foundation donation request
f,_
DISCUSSION
At the August 8th EDA meeting, the EDA voted 3-3 not to move forward with the $2,500
donation request from the Initiative Foundation. At the September 12~` EDA meeting, the
EDA requested this item be put on a future agenda fox discussion.
Prior to 2007, the EDA had made a series of annual contributions of $2,500 to the Initiative
Foundation, however has not contributed since. In the past two years, the EDA has
received $6,500 from the Foundation for the Economic Development Assistant's NDC
training and the branding and marketing project. The Initiative Foundation has also
provided grants to Energy City, Elk River Area Arts Alliance and Sherburne County Area
United Way. If the EDA chooses to approve this request, the $2,500 will be taken out of
the Misc. line item.
For every dollar donated to the Initiative Foundation, $5.49 is invested back into Sherburne
County in the form of grants, business loans and scholarships. In the past 25 years, the
Initiative Foundation has provided the following to Sherburne County:
• 232 grants totaling $972,000
• 391oans totaling $2.5 million
• C-ver 380 jobs have been secured
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initiative
~ ~ U ~ ~ 1-~T ~ Q N Foundations ~~
www.ifound.org ~~~~ - - ~~~~
July 29, 2011
Catherine Mehelich
Elk River EDA
13065 Orono Ph-wy-
Elk River, ~,~ 55330-5600
Dear EDA Director and members of the Elk River EDA City Council,
~X~e appreciate knowing that the Elk River EDA has made significant financial investments in the Initiative
Foundation since 1989. Thank jTou so much. Together with 14 counties and more than 100 cities, you have
helped to build a local foundation that creates economic motion for businesses and families. Today, I am writing
to ask for your renewed support in 2012.
y~'ith budgeting decisions becoming tougher, many elected leaders have asked us, "1-V/~~ should localgove~~ement invest
in a foundation?" It's a fair question with a straightforward answer: 1) Economic development; and 2) Return on
investment.
The "Great Recession" assaulted Central Minnesota, and we are responding by focusing our resources on
economic growth and recovery. y~Ue are working to enhance quality of life and local government effectiveness
through grants and citizen engagement, and we are creating quality jobs through loans to locally owned
businesses.
An investment in the Initiative Foundation also provides a measurable "ROL" In Sherburne County, every
donated dollar returns an average of $5.49 in local grants, loans and scholarships. The following is a
25-year snapshot of the results aclveved in your county:
232 grants totaling $971,380
39 loans totaling $2,510,000
Created or retained 380 jobs
To help the Foundation address post-recession needs and opportunities, we respectfull,~quest an annual
endowment contribution of $2,500 in 2012. As always, your investment will be matched dollar for dollar by The
McKnight Foundation.
Your contribution will enable us to steadily award more job-creating loans and grants, deepen public-private
partnerships, build aworld-class workforce, strengthen nonprofit safety nets, and enhance environmental and
recreational amenities that support families and business growth.
VUe are your foundation. We exist only to serve your community. If there is anything we can do for you, please
don't hesitate to call on us.
All the best,
Matt Kilian
Vice President for External Relations
405 First St. SE Little Fails, MN 56345 320.632.9255 Equal Opportunity Lender, Provider and Employer
Our time is now
The economic recession of 2007-2009 assaulted Central Minnesota. The economy-sustaining
sectors of manufacturing and construction lost more than 10,000 jobs. More than 92,000 homes
foreclosed statewide. Regional unemployment still ranges from 6.5% to 12.5%. For many families,
the recession isn't over.
25 years ago, the Initiative Foundation was created to counteract a similar economic crisis by
helping people to help themselves and diversifying the regional economy. Today, we are Central
Minnesota's only regional entity that focuses on economic growth and opportunity.
There is no doubt that the decisions we make today will determine the future of
our communities, families and businesses.
INITIATIVE FOUNDATION
Mission: Unlock the power of Central Minnesota people to
build and sustain thriving communities.
Service Area: We are proud to serve the 14 counties and 160
cities of Central Minnesota.
Key Tools:
• Provide loans to businesses that create quality jobs
• Award grants to nonprofits, governments and schools
• Build public-private partnerships that lead to action
• Help generous people give back to their communities
• Publish information on local trends and solutions
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Five-year Strategy & Goals
We believe that a quality job is the most essential
element of a stable family and a thriving community.
"By supporting the
Foundation, we invest
in programs to help
.individuals, companies,.
and our communities
build a stronger economic
and social environment
for long-term success."
-Larry Korf
Genola Mayor ~ Foundation Trustee
Through our 2010 Key Stakeholder Survey and regional focus groups,
more than 1,200 leaders indicated that economic .and workforce
development should be the Initiative Foundation's top priority.
Creating economic opportunity requires a total Quality ofLife approach
that goes beyond traditional business development efforts. This
includes providing targeted business financing, deepening public-
: private partnerships, preparing the current and future workforce,
strengthening nonprofit safety nets, and enhancing environmental and
recreational amenities that support families and business growth.
Resilient Businesses
• Invest in economic drivers like technology and manufacturing
• Secure 1,500 quality jobs that pay at least $35,000 per year
Thriving Communities
• Build a world-class workforce, starting with early childhood and youth
'. • Enhance quality of life, natural resources & recreational amenities
Effective Organizations
• Strengthen nonprofit ability to reduce employment barriers
• Improve fiscal health of nonprofits that provide critical safety nets
Local Philanthropy
• Create community, agency and donor funds that benefit local projects
• Raise $14.6 million in endowment and external funding
4F~,'. `~' `~~ "Jobs"are top priority right now Counties don't create jobs in the
privatesector, but we can support those who do. The Foundation is
a-.key strategic partner in helping us to keep our economies vibrant,
diverse, and grOWing. -Tim Houle ~ C~•ow Wing Countyfldministrator
R'; artw
zF
,~
Every. donated dollar is matched by The McKnight Foundation and
returns an average of $5.55 in grants, loans and scholarships to
Central Minnesota communities.
Return on your i n vest m e n t
enton
Donations* to
'! Initiative Foundation
$297,000 uuuauve ruwiuauvii
Investments** in
Local Communities !; ROI
$3,231,000 988%
Cass $502,000 $3,468,000 591%
Chisa o ! $333,000 $2,461,000 638%
i
Crow Win $1,076,000 $8,219,000 664%
Isanti ~ $1,062,000 $2,588,000 ' 144%
Kanabec i $112,000 .$922,000 727%
Mille Lacs ~ $520,000 $3,070,000 - 490%
Morrison $1,083,000 $4,836,000 347%
Pine __$525,000 $2,414,000 I 360%
Sherburne $658,000 $3,613,000 ~ 449%
Stearns _
$993,000 _ $11,453,000 I 1,054%
Todd ~:i~, i)i)r_~ `?, ~ ~?7?.OOi ~ 321%
Wadena ~_'q,,i)~~n I ~' n0. Ul)0. ~~1~, ~; ,
Wri ht _
$4i3:,.UUi ~ ~ ~
~ -~ `b 1:;F;~~,~ )Or) :. ~ ,~.z3U~ o
~
TOTAL $8,643 000: ~ ~ ~
*Rounded numbers include individual, business, government and utility donations, 1986-2009.
**Rounded numbers include nonprofit grants, business financing investments and
scholarships, 1986-2009.
YOUR CONTRIBUTION IS WORKING
Since 1986, we have invested nearly $60 million in the region
through targeted grants and business financing investments.
• 10,511 quality jobs created or retained
• 858 business financing investments totaling $38 million
• $242.9 million in private business investment leveraged
• 3,500 grants totaling $21.1 million
• 660 scholarships totaling $528,372
• 6,007 community leaders trained
-Wayne Wolden
Wadena Mayor
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We're YOUR FOUNDATION, and we're here to serve 405 First St SE ~;
YOUR COMMUNITY. If there is anything we can do Inltlative~~~ Little Falls, MN 56345
for you, please don't hesitate to call on us. F O U N I~ AT I O N 877.632.9255
www.ifound.org
.~, ...~
"Following a devastating
tornado in June of 2010,
We Were a COmmUnlty
in crisis. The foundation
made resources available
immediately to address
our critical and basic
needs. We are deeply
grateful for their
continuing efforts
to support the
long-term effort of
rebuilding Wadena."