EDA ponders whether City should set up foundation
November 20th, 2008Who should set up a community foundation in Gaylord? That seemed to be the question that came out of Gaylord’s Economic Development Authority meeting last week.
City Administrator Kevin McCann had asked the EDA to look into establishing a community foundation. A community foundation often grows out of the interest of a few community members, often leaders, who have been exposed to the concept elsewhere.
Two groups, The Southern Minnesota Initiative Foundation and Region Nine Area Inc., have expressed interest in serving as a fiscal agent for a community foundation here.
By allowing another nonprofit organization administer a foundation, local units of government and small organizations can access resources for programs and projects within the community.
Jennifer Nelson, development coordinator with the Southern Minnesota Initiative Foundation, said that her organization administers 13 community foundations within southern Minnesota. She said that the foundation is a “great vehicle for bequests for the community.”
Southern Minnesota Initiative Foundations charges .97% on endowment investments only. When project funds are “in and out,” there is no fee charged, she said.
To encourage communities to build an endowment fund, Southern Minnesota Initiative Foundation matches 50¢ for every dollar raised, up to $10,000, Nelson said.
She also said that it has been her experience that a group of citizens starts a foundation, rather than the city.
Sarah Reichwald Beiswanger, Resource Development Coordinator with Region Nine Area Inc., that her organization started five years ago as a nonprofit in order to help communities access grants. She has worked with Sherburn and Kiester for specific projects. She also writes grants.
“A community foundation is a good idea, but I don’t know if the EDA should do this,” Chuck Klimmek, EDA president, said. “I think that it would be better if it would be run by private citizens rather than the city itself.”
In other business, the EDA:
• Was informed by director Troy Bonkowske that he received a “mixed message” from the League of Minnesota Cities’ attorney on a legal review about changes to the mobile home park ordinance. The Gaylord Mobile Home Park is grandfathered in for zoning. One option the city could do is to enforce the hazardous building act and issue complaints through the Department of Health. The EDA supported enforcing the city’s nuisance ordinance or working with the Department of Health.
• Was informed that an out-of-state business has expressed interest in the Entegris building. Representatives of the business are expected to visit next week.
Similar Articles:
