News Release: Greater Minnesota economic development initiative touts regional cooperation
June 4, 2004 - A public-private collaborative is promoting a new regional approach to economic development in Greater Minnesota. DEED and MnSCU are among those allocating resources in new ways.
A public-private collaborative is promoting a new regional approach to economic development in Greater Minnesota. The effort was formally announced today at the annual retreat of the Minnesota Initiative Foundations (MIFs) in Brainerd.
The effort is being coordinated under the umbrella of the Regional Economic Development (RED) Group. Members of RED Group include business groups, foundations, education systems, public sector agencies, nonprofits and others. It is funded by The McKnight Foundation and Blandin Foundation. In addition, each of the members of RED Group is committed to contributions of financial and human resources.
"RED is an important advance in the way we approach community economic development because it enables private sector and public and nonprofit community development organizations to concentrate state and local resources more efficiently and effectively," said Jim Hoolihan, president of Blandin Foundation. "RED links powerful public and private resources to the same engine and puts them on the same track, heading in the same direction."
Rip Rapson, president of The McKnight Foundation, called RED Group "economic development with a regional focus. It builds on the economic assets that areas of the state share, bundles the investments in opportunities that can be sustained in a global marketplace and aligns local and state agencies, education systems and other economic development tools in ways that support these investments."
The six initiative foundations are independent, philanthropic organizations that promote economic and social development in Greater Minnesota. Economic development initiatives in the MIF regions already are underway.
There is not a cookie-cutter model for the MIFs' initiatives. In fact, a key to the effort is that a variety of approaches is being tested. However, all of them share principles. These principles have been developed by RED Group in conjunction with the MIFs.
An important RED Group role in the effort is to be a catalyst for the kind of system changes that will more effectively support economic development in Greater Minnesota. Success in realigning systems already can be seen in cooperative efforts with the state's education systems and public agencies. For example, the Minnesota Department of Employment and Economic Development (DEED) recently announced the creation of six new positions for regional workforce and economic development specialists. The regions of the new positions coincide with the six MIF regions.
Another example of RED Group helping to realign systems is in education. The Minnesota State Colleges and Universities system (MnSCU) is dedicating resources to coordinate its customized training network activity in the MIF regions and the Twin Cities metropolitan area. The fund will have at least $300,000 annually. It will be used to help coordinate planning and communication among institutions in a MIF region. The fund also will be used to help connect the activities of MnSCU institutions in the MIF regions with RED Group initiatives, employers and business groups, and DEED and other economic development agencies.
"The fund will help create a single point of contact with MnSCU institutions," said Michael Murphy, MnSCU's associate vice chancellor for strategic partnerships and workforce development.
"Higher education—whether it is at a MnSCU school, the University of Minnesota, a private college or a technical or community college—is a critical component of regional economic development. When these institutions work closely with employers, communities and organizations like RED Group and the MIFs, we can more efficiently and effectively educate and train workers and apply research and technical assistance to economic development initiatives statewide. The fund will help foster this cooperation."
About Blandin Foundation
Blandin Foundation, the state's largest rural-based and rural-focused private foundation, is based in Grand Rapids MN. With net assets of $360 million, the Foundation is committed to strengthening rural Minnesota communities. RED Group aligns with Blandin Foundation's Community Economic Advantage (CEA) which was launched in 2003. CEA focuses Blandin's leadership development, public policy programs and grant making to help communities identify, align and mobilize their assets and opportunities. Visit www.blandinfoundation.org for more about Blandin Foundation.
About The McKnight Foundation
Founded in 1953 and endowed by William L. McKnight and Maude L. McKnight, the Foundation has assets of approximately $1.9 billion and granted about $75 million in 2003. Mr. McKnight was one of the early leaders of the 3M Company, although the Foundation is independent of 3M. For more information about the Foundation or these grants, visit www.mcknight.org.
About the Initiative Foundations
The Initiative Foundations were created in 1986 as a partnership between The McKnight Foundation and the citizens of Greater Minnesota. Set up as independent nonprofit philanthropic organizations with local boards of directors, the six foundations are: the Initiative Foundation based in Little Falls; the Northland Foundation in Duluth; the Northwest Minnesota Foundation located in Bemidji; the Southern Minnesota Initiative Foundation in Owatonna; the Southwest Minnesota Foundation in Hutchinson; and West Central Initiative based in Fergus Falls.
Contacts
Tim Hanrahan, The McKnight Foundation, 612-333-4220
Patrick Marx, Blandin Foundation, 218-326-0523
Kristin Fischer, Himle Horner, Inc., 952-897-8208
Related links
Public-private Joint Development Effort Announced, The Business Journal