Northwest Minnesota Foundation Helps Provide Free Financial Consultation for Flood Recovery

Family farmers and small business owners in northwest Minnesota that suffered losses due to the 2002 spring floods can receive free financial counseling thanks to a recent grant from the Northwest Minnesota Foundation.

The Bemidji-based foundation's $20,000 grant will enable the Area Ag Information Center and the Western Minnesota Farm Resource Center to provide no-cost financial counseling services including mediation assistance, financial analysis, lender negotiation and professional referrals, and to help with food and shelter emergencies.

Farmers are not allowed assistance under current federal and state flood loss programs. With no grant or loan assistance to cover their losses, farmers need advocates who are experienced and well-trained in agricultural lending practices. Trained staff from AAIC and the Western Minnesota Farm Resource Center will coordinate their assistance efforts, providing financial assistance counseling to approximately 1,500 farm families in northwest Minnesota.

According to John Ostrem, executive director of the Northwest Minnesota Foundation, the grant is a continuation of the foundation's response to flood recovery. "The agricultural sector has not received any help from state, federal or other funding sources. The need for funding for this program is very apparent, and will help our region's farmers find ways to continue operating."

The project is a strong collaborative effort, with additional funding provided by the Beim Foundation, the Otto Bremer Foundation (which has committed $60,000 over two years), Philip Morris, Marshall County Commissioners, Pennington County Commissioners and the Red Lake County Commissioners. Farm Aid also has verbally committed to supporting the effort.

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