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| Albany Mayor Dennis Sand (left) and Wells Concrete President Jim Rivisto listen while Gov. Tim Pawlenty speaks.
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Gov. Tim Pawlenty praised the local efforts that brought jobs and the biggest capital investment in Albany's history when he visited Wells Concrete Tuesday, Jan. 26, and spoke to local government officials, business leaders and employees.
A concrete panel proclaiming the governor's visit served as a back-drop for the governor, Albany Mayor Dennis Sand and Wells Concrete President John Rivisto, who spoke on how local businesses, the city of Albany, Stearns County and the state collaborated on bringing an investment totaling $20 million to the area.
Wells Concrete began production in its new facility September 2009, after breaking ground in May 2008 in the Albany Business and Industrial Park. The 185,000 square foot facility has created 50 jobs, with an additional 100 expected in the next three to five years.
In his remarks, Gov. Pawlenty said, "This is precisely the kind of investment and forward thinking strategy and commitment that we want for economic development in the state of Minnesota."
Rivisto, who spoke prior to the governor, also praised the local efforts. He said, "This community supported our growth. We wouldn't be here today if it wasn't for Tom Schneider (Albany clerk/administrator), Mayor Sand and all the area business partners who supported what we wanted to do here. You guys are what made this work."
When Wells Concrete, which has plants in Wells, Minn., and Grand Forks, N.D., was looking to expand, the company decided to stay in Minnesota, Rivisto said.
Project Start
Sand said that the project started in early 2007 when Paul Nelson from Wells Concrete Products visited Albany and met with city staff to discuss a possible site for a new manufacturing plant.
After eight months of discussion, on Oct. 31, 2007, Wells Concrete selected Albany for its expansion.
Sand cited four reasons he believed made the project possible.
"1. A tremendous local business community - Business individuals, who showed up any time they were called upon to help welcome the company, help company representatives learn about the community and its business culture. These business individuals showed up not only to show their moral support for the project, but were also willing to put their money where their mouth was to support an investment in the project.
"2. A team to put the deal together - from the land owner, City staff, professional staff, DEED staff, Stearns Electric Association, the Stearns County HRA, Stearns County Highway Department and County Commissioners, everyone came to the table to contribute to a winning package.
"3. A willingness of public officials to make a tremendous investment in the City of Albany's future through an unprecedented financing structure.
"4. The integrity of Wells Concrete - who never approached the site selection with a 'how much can you give us attitude' but with an honest assessment of their needs and how well their business model fit with the community, the resources available and the fabric of this community."
The collaboration that Sand mentioned was also echoed by Rivisto.
That collaboration, he said, "should be written as a text for future business schools."
Even after the decision was made to build in Albany and the economy went into a tailspin, "we decided to press on," Rivisto said. "We knew that the reasons we decided to grow in Minnesota would be back again."
What it takes to grow in Minnesota "is what happened here," Rivisto said. "It takes a business making a decision to grow, a regional bank supporting that, along with our own capital and local and state government doing what they can do to help us resolve issue The result of that collaboration is what we have today."
Local leaders congratulated
Gov. Pawlenty said, "I want to congratulate the mayor, the county leaders, all of the stakeholders and contributors and partners to this effort. This is a very substantial project, a very substantial economic contribution and engine for the city of Albany and the surrounding community."
Also thanked for their dedication were the employees of Wells Concrete.
Rivisto said, "Several dedicated employees uprooted their families and their lives to come here and start the nucleus for what we have now. I can't thank these employees enough."
"Those in hard hats, and steel-toed boots, you are the heartbeat of this company; you are the backbone of our corporation. I thank each and every one of you.
"If you look at this plant, this is not a testament to me, or anybody else in a suit and tie, but a testament to you folks out there. I mean that with all my heart," Rivisto said. It was the plant employees who built the building, Rivisto noted. No outside workers were brought in to do that.
Another theme Gov. Pawlenty touched on was the importance of being pro-business and pro-jobs.
Our quality of life goes out the window "if we don't have jobs," he said.
"We all have to be about the business of being pro-jobs and asking ourselves on the local level, regional level, state level, national level what are those things that we can do to make it more likely that somebody is going to start a new business, grow a business, add jobs, build a building, buy capital equipment, and do all the things it takes to keep our economy moving forward in your region, our state and our nation.
"The answers reside within people who do it day in and day out," he said, the people who take risks, make investments, and build buildings. That means the state has to be competitive so businesses want to grow.
Gov. Pawlenty also said that getting Wells Concrete to expand in Albany speaks well of the community. It's not random that someone (a major employer) ended up in Albany, he said, and that makes a statement about Albany, its local officials and partnerships.
Sand said that the final structure to bring Wells Concrete to Albany included:
Establishment of a JOBZ Zone
Approval of Tax Abatement
A federal grant for infrastructure through the MN Investment Program
A state loan/grant through the MN Investment Fund for a pass-through loan to the company
County funding for highway improvements
A direct loan from Rural Development - sponsored by Stearns Electric Association
A direct loan from the local Economic Development Group represented by business individuals in the community commonly referred to as Albany Area Industries.
The City of Perham for providing the City with JOBZ acreage for the project
Key individuals
Sand also thanked the following who were very instrumental in making this project become a reality:
Carol Pressley, an employee for the Department of Employment and Economic Development, who assisted with the State programs.
Traci Ryan, with David Drown Associates, a city consultant who structured the assistance package, completed the application process and has worked with the City to implement the programs.
Don Otte, Stearns County commissioner, County HRA and Highway Department who were instrumental in approving the financing to be upgrade the county roads to 10-ton capacity.
Dave Gruenes, district manager, Stearns Electric Association who assisted with the Rural Development loan.
Leo Sand, Bryan Schiffler, and other members of the Albany Area Industries.
Roger and Dorcus Dowell, developers of the Albany Business and Industrial Park.
Council and EDA members and other advisory members.
Tom Schneider, city administrator, who coordinated this massive undertaking with great enthusiasm that was contagious.
Sand also said, "The impact to our local businesses has been enormous, to say the least, and the additional spin off benefits that include new homes being purchased by employees of the plant, more students in the school district and increases in the tax base after release from the JOBZ Zone. We are extremely proud and excited for the success of your company."