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Is Sweden our gateway to the bioenergy world?
By Anne Polta, West Central Tribune
Published Wednesday, May 03, 2006

WILLMAR—Sweden could be the gateway for helping Kandiyohi County gain a toehold in the international bioenergy market.

The country’s burgeoning demand for renewable energy offers a chance for local companies to get involved in everything from methane-based fuels to pelletized wood for heating systems, members of a renewable energy delegation from Sweden told a local audience on Tuesday.

The delegates met with city and county officials and representatives of the Kandiyohi County and City of Willmar Economic Development Commission to explore what’s happening—both in Minnesota and in Europe—in bioenergy.

They also extended an invitation for Kandiyohi County officials to attend the annual Swedish-American Entrepreneurial Days in Lidkoping, Sweden, at the end of August.

The three-day event brings together some 600 industry leaders and potential international partners in cutting-edge fields such as medical devices, renewable energy and home and industry design.

Fruitful partnerships could lead to additional markets in the European Union and its 350 million consumers.

“I really hope you will join us,” said Bengt Erik Lofgren, president and managing director of AFAB, a bioenergy technology company whose headquarters are in Lidkoping in western Sweden. “Look at Sweden as a door opener to the rest of Europe.”

As one of Europe’s leading producers and consumers of renewable energy, Sweden could be a prime place to enter the market, said Lofgren and bioenergy consultant Per Wennerberg.

The country is the world’s leading producer of pelletized wood fuel, which is being used to heat a growing number of homes as well as to generate electricity and run district heating systems.

To meet the growing demand, Sweden must import close to 100,000 tons of wood pellets a year from British Columbia.

“We need to have a supply,” Lofgren said.

Swedish carmakers, such as Saab, are developing flexible-fuel cars that can run on methane. Research and development also is under way on efficient methods of producing methane biogas and distributing it to service stations, Wennerberg said.

“You can actually drive with biogas in a large part of Sweden,” he said. “There’s a lot to do, but it’s catching on. For the long term, we believe firmly in biogas.”

He said renewable energy is increasingly widespread in the rest of Europe as well. In Germany, for instance, biogas has become a leading source of electricity; the fastest growing markets for pelletized wood fuel and stoves are Germany and Italy.

“The energy sector seems to be the promising sector where a lot of resources are being developed,” Wennerberg said.

During a roundtable discussion, information also was shared about what’s happening locally to develop renewable energy.

Duane Hultgren, general manager and CEO of Minnesota Valley Alfalfa Producers in Priam, said his company produces alfalfa pellets for the livestock industry and is interested in exploring the energy market.

“We hope to learn a lot more about the pellet market and the biomass energy market so we can participate in it,” he said.

North America lags far behind the European Union in its use of pelletized wood heat. About 600,000 homes in North America are heated with wood pellet-burning stoves, said Greg Russell, a wood biomass specialist with the Minnesota Department of Natural Resources.

The wood pellet industry also faces competition for raw materials from fiberboard manufacturers, the mulch industry and producers of sawdust litter for poultry, Russell said.

Nevertheless, eight wood biomass projects are in the planning or construction stages in Minnesota right now, he said. “The potential for pelletizing is probably pretty good right now.”

The Swedish delegation’s visit to Willmar was one of several stops in a tour of the state this week. The group’s goal is to develop contacts in the United States and stimulate interest in attending the entrepreneurial conference in Sweden.

Hundreds of business matchmaking meetings occur annually at the conference, said T. Michael Davis of Scandia-Germania-Davis PLLC of St. Paul, an international consulting and legal firm that helped arrange for the Swedish delegation’s visit.

“If you’re looking for something special, we can help set up a meeting,” he said. “It’s a great way to create those international relationships.”

New member named to EDC operations board
By Anne Polta, West Central Tribune
Published Friday, April 28, 2006

WILLMAR—Oliver Hagen, a retired banker from Spicer, has been appointed as the newest member of the Kandiyohi County and City of Willmar Economic Development Commission joint operations board.

He will fill a vacancy that opened in January when former board member Jeff Welker moved to northern Minnesota.

Hagen’s appointment was approved Thursday by the EDC’s joint powers board.

“He’s anxious to get on board and I know he’ll do a good job,” said Dennis Peterson.

The joint operations board, which meets once a month, oversees the Economic Development Commission’s day-to-day programs and activities. The operations board has seven members.

 

EDC sets its preliminary budget target for 2007
By Anne Polta, West Central Tribune
Published Friday, April 28, 2006

WILLMAR—The Kandiyohi County and City of Willmar Economic Development Commission has set a preliminary target of $500,000 for next year’s budget.

The figure was agreed upon Thursday by the economic development agency’s joint powers board.

It’s still at least three months before the budget process will start in earnest. Board members wanted to nail down a target amount early, however, so that the EDC and its committees can do a better job of planning and setting priorities.

“We need to give that guidance,” said Denis Anderson, chairman of the joint powers board and a member of the Willmar City Council. The joint powers board is comprised of City Council members and members of the Kandiyohi County Board of Commissioners. The EDC also hopes to avoid a repeat of last year, when committee budget requests came in too high and had to be scaled back.

“It made it very difficult for the individual committees and the operations board to know where to go,” Anderson said.

It was the consensus Thursday of the joint powers board to leave the Economic Development Commission’s tax levy at $455,000—the same as this year. The difference will be made up with about $45,000 in unspent money from last year. It’ll be the second year in a row the EDC has dipped into its reserves to meet its budget needs.

The recommended budget amount for next year represents a slight decline in spending. The EDC is projected to spend $533,000 this year on economic development programs and activities.

In addition to the tax levy, revenue is coming from the agency’s reserve fund and from a $50,000 allocation from the city of Willmar that’s earmarked for the Willmar Design Center.

It hasn’t been decided yet whether the EDC will set aside separate funds next year to support the design center, which is working toward the revitalization of downtown Willmar. Joint powers board members said they’ll continue to discuss the issue with county and city officials.

One thing was made clear Thursday: The joint powers board wants results for the money being spent.

By autumn at the latest, “we need to know what level of success there is,” said Harlan Madsen, joint powers board member and a county commissioner. “Scrutinizing of the outcomes is going to be very key as far as what goes into the ’07 budget.”

Kathy Schwantes, assistant director of the EDC, said committee representatives will meet in June with the joint operations board to report on what they’re accomplishing this year.

The committees are aware of the importance of producing a return on the EDC’s investment, she said.

“We are a very frugal organization and our track record has been that we don’t spend the money just because we have it,” she said. “We try to be very good stewards of the taxpayer dollars.”

 

Officials, Chinese delegation talk renewable energy
By Carolyn Lange, West Central Tribune
Published Thursday, April 27, 2006

WILLMAR — On one of the nicest spring planting days of the year, Myron Behm’s work on his family farm near Atwater was interrupted for a couple hours on Wednesday.

Instead of loading seed corn for customers, he helped plant the seeds for a future partnership between Kandiyohi County and China for renewable resource projects.

Apologizing for his denim work shirt and jeans, Behm welcomed a dozen members of the Chinese delegation during a luncheon meeting at Ridgewater College. Present were local community leaders and members of the Kandiyohi County and City of Willmar Economic Development Commission, which worked to bring the Chinese group here.

Behm, a member of the EDC’s agribusiness and renewable resources committee, was a member of Gov. Tim Pawlenty’s trade trip to China last year.

Wednesday’s visit brought the promise of collaboration full circle.

“Once these ties are established they’re hard to break,” said Behm, in an interview.

He said he’s eager to make good on a signed memorandum of understanding that he brought back from China to develop a partnership project to use a methane digester to turn agriculture products into energy.

From what he’s seen, Behm said the Chinese may have more advanced technology than Americans do.

Both countries, he said, have high energy costs and the need to develop alternatives to fossil fuels.

A cooperative project between China and Kandiyohi County isn’t a pipe dream.

When asked if a project would materialize, Yifeng Shou, deputy director of the rural energy office of Hangzhou, said “I believe it.”

Speaking through an interpreter during an interview, Shou said the delegation was “sent by the government” and the government is giving renewable energy and the new relationship with Kandiyohi County a lot of attention.

The delegation included officials from the Hangzhou Municipal peoples Government’s agriculture, finance and management areas and experts from a research institute and Zheijiang University.

The visit Wednesday involved a good deal of show and tell, including a tour of the Bushmills Ethanol plant, Behm Seed Company, Ridgewater College and MinnWest Technology Campus and presentations on methane digesters and other renewable energy projects.

“We hope that what we take away here can happen with a real project,” said Shou. Seeing is one thing, he said. “But more important, do something.”

Willmar Mayor Les Heitke delivered a welcome in Chinese–which garnered appreciative smiles and applause from the guests–issued a proclamation endorsing friendship, business and international cooperation on renewable energy.

“You honor us by coming to our city,” said Heitke.

 

Making space for agriculture in Kandiyohi County
By Carolyn Lange, West Central Tribune
Published Friday, April 21, 2006

WILLMAR—Before people build a new home in the country, they should know a few things about farming—like the noise, odors and slow seasonal traffic that’s part of doing business in the country.

To help increase understanding between longtime rural residents and new country dwellers, a Kandiyohi County ag committee wants information about agriculture to be given to individuals when they apply for permits to build a home in the country.

The Agribusiness and Renewable Energy Committee, which is part of the Kandiyohi County and City of Willmar Economic Development Commission, voted Thursday to recommend that the two-page documents be given out when people apply for building permits in rural areas.

The committee will be asking the Kandiyohi County Board of Commissioners to make the document called, “So you are moving to the country. . . .What can you expect?” a mandatory part of the application process. If the County Board agrees, the 14-point document would be given to anyone applying for a building permit outside the city limits. The applicant would be asked to sign his name to the document to acknowledge reading it.

The effort is part of the committee’s goal to make it easier for agriculture, especially livestock agriculture, to grow in the county. The committee has also hired Kim Larson to meet with all 24 townships in the county to discuss the economic value of agriculture to the county and the process for siting livestock operations in townships. The Minnesota Department of Agriculture has also hired an individual, Rob Sip, to help counties and townships work through livestock siting issues. Sip was at the ag committee’s meeting to lend his support to Kandiyohi County’s ag committee.

Larson said part of the process of working with townships includes addressing the responsibility of the producer who wants to develop a feedlot. Larson said producers should meet with township officers to address issues like soil, water and air-quality issues, the impact to natural habitat and the community image of a feedlot proposal.

Larson said he also encourages township supervisors to outline areas on their township maps that don’t have residential growth and could be preserved for agriculture.

Currently, none of the county’s townships has adopted a livestock ordinance. Larson said a township in a nearby county, which he declined to identify, adopted such an ordinance that imposed wide buffer zones around homes that left only a few small dots of land available for livestock agriculture.

Larson said that kind of “knee-jerk” reaction can be devastating to farmers who want to expand their family livestock operations.

“As time marches on, these agricultural zones will continue to shrink,” said Bob Meyerson, a committee member. “Do we throw up our hands?” he asked. “Or can something be done?”

Two years ago, at the recommendation of the ag committee, the Kandiyohi County Board adopted a livestock-supportive policy. That policy, current zoning regulations and working with townships will help livestock agriculture retain space to grow in the county, said Larson.

But Steve Renquist, executive director of the EDC, said urban sprawl will continue to happen and agriculture will continue to be at risk in Kandiyohi County unless a more “militant” step is taken to prevent residential housing in some areas.

He said it’s happened in traditionally rural communities across the country and it will happen here too unless the county specifically tells people where housing can happen and where it can’t. He said cities spell out where industrial, business and multifamily dwellings can happen and counties need to do the same kind of zoning or risk losing their agricultural land.

“But I don’t know if we have the political will to do that type of zoning,” said Renquist. “No one likes to be told what to do.”

 

New report says annual sales top $1B in Kandiyohi County
Anne Polta, West Central Tribune
Published Tuesday, April 18, 2006

WILLMAR — Cities in the St. Cloud-Twin Cities corridor have a reputation for growing fast, but Willmar has outstripped many of them in the number of home building permits being issued each year.

Kandiyohi County is becoming more affluent as household income rises. And for the first time, annual sales have hit the $1 billion mark.

The information is contained in a report, issued this past month, that outlines the demographic and retail sales profile for the Willmar lakes area.

From real estate agents to economic development officials, the data can help them quantify how the local economy stacks up and strategize accordingly, said Cameron Macht, the regional analyst with the Minnesota Department of Employment and Economic Development who prepared the report. Macht collects and analyzes data for 27 counties in central and southwestern Minnesota.
I’ve found that when you’re presenting this to an audience, it a lot of times opens their eyes,” he said. “It really causes them to change their perceptions of the area.”

The report takes a look at demographics, job and wage growth, new home construction and retail sales.

Macht collected the data from several sources, such as the U.S. Census Bureau, the Department of Employment and Economic Development’s salary and wage program, and regional labor force assessment. Retail sales information was issued by the Minnesota Department of Revenue, which reports sales and use tax data for each Minnesota county as well as selected larger cities.

Among the findings:
• Since 2003, more than 600 building permits for new homes have been issued in the city of Willmar and surrounding areas of Kandiyohi County. The rate of new home construction in Willmar outpaces that of many of the state’s fastest-growing communities such as Rogers, Waite Park, Red Wing and Princeton.
• Retail sales in Kandiyohi County surged ahead by 68 percent from 2000 to 2004, reaching more than $750 million. The city of Willmar accounted for $458 million in retail sales in 2004.
• Total annual sales—the figure for all categories, including manufacturing, the wholesale trade, financial and health care services, hotels, food and beverages—in Kandiyohi County hit $1.72 billion in 2004. The city of Willmar had $1.15 billion in total sales in 2004.
• At a time when jobs declined in the metro area, Kandiyohi County saw job growth. The Twin Cities lost nearly 40,000 jobs between 2000 and 2004, while Kandiyohi County added 350 jobs.

Construction, health care, information, and lodging and food services are the fastest-growing local industries. Manufacturing is the top employer in both Willmar and Kandiyohi County, followed by retail.

Household income still lags behind the state median, but the gap is narrowing.

In the decade between 1990 and 2000, the percent of Kandiyohi County households earning $50,000 or more increased, while the percent of households earning less than $35,000 went down.

Personal income also has been growing faster in Kandiyohi County than in the United States as a whole. From 1993 to 2003 it rose 33.8 percent.

“It seems that Willmar is healthy and growing. Industry and employment seem to be relatively diverse, and that seems to help,” Macht said.

Although manufacturing and agriculture are still king, the local economy is seeing a gradual shift from goods-producing industries to more white-collar and service industries, he said.

Strong annual sales are a positive indication that consumers have job security and are optimistic about future growth, he said. “It shows there is consumer confidence.”

Macht said it’s also an indication of how Willmar has solidified its position as a regional center.

Upcoming Events

Studio Hop

Enjoy touring a variety of artists' studios around New London, Spicer and Willmar June 24 and 25, 2006.  Artists open their studios to the public and showcase their workspaces, provide demonstrations and feature works for sale.  Participants follow a map and enjoy a weekend touring the scenic lakes area while relishing the rich variety of artistic flavor so prevalent in this region.  www.studiohop.org

Spicer's July 4 Celebration

Spicer's fourth of July celebration is "One of the Best in the Area."  Besides an arts and crafts fair with an amusing flea market, everyone will be enjoying volleyball, basketball and softball tournaments, kiddie pedal tractor pull, a competitive 12-mile running race and, of course, all the water fun you could ask for!  The street dance along Green Lake is open to all ages.  On the fourth, the kiddie parade starts early followed by a Grand Day parade, including over 100 participants with lots of entertainment and candy!   To wrap up a festive weekend, watch the dazzling fireworks light up the sky over Green Lake.  For updated information visit www.spicermn.com or call (320) 796-5562.

 

 
 
     
 


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