Leo Augusta gets $250K donation

A new academy for childcare slated to open in Blooming Prairie next spring may not have its nonprofit status yet, but that isn't stopping the organization from raising money to make the center a reality.
In a unique partnership, Leo Augusta Academy has teamed up with Southern Minnesota Initiative Foundation (SMIF) to help with its fundraising goals. Until Leo Augusta is granted 501c3 status as a nonprofit organization, which has been delayed because of COVID-19, SMIF is shepherding the money donated to the academy.
Last week Leo Augusta received its second major donation -- a $250,000 anonymous check, which SMIF received and will in effect hold onto for the academy.
"We are the tax-exempt entity to take the contribution," said Tim Penny, SMIF president. "We are the host for the community funds. We will be here until they get nonprofit status."
In accepting the $250,000 check last week, Penny said, "Two million dollars a year is invested in childcare across southern Minnesota. We have a lot of experience."
Besides helping with the fundraising, SMIF also assists with training for teachers, technical help and resources to keep state licensure.
From its beginning stages more than two years ago, Leo Augusta has utilized SMIF's resources to develop the childcare center, which is expected to serve more than 100 children. Recognizing that not all models fit all communities, Leo Augusta worked with SMIF to determine the best fit for this particular center.
Penny said SMIF worked with 59 communities throughout its service area on daycare last year alone. "It's really a complicated industry," he said, adding safety is extremely important and parents demand quality.
Rae Jean Hansen, vice president of Early Childhood for SMIF, said families want choices when it comes to daycare. She said having a center is not necessarily better than in-home daycare, but it gives people another option.
Hansen said she expects Leo Augusta to pull families from the neighboring communities around Blooming Prairie.
Childcare has become a big issue for businesses over the past eight years, according to Hansen. "We've had plants close down on certain days of the week because their workers don't have childcare," she said, adding the conversation of childcare has "really grown" in recent years.
Both Penny and Hansen agreed that it's tough for manufacturers and other businesses to attract workers without quality childcare available in the area.
"Solutions have to come from the community," Penny said, adding quality childcare is important to lifelong success.
Penny said he is impressed with what he is seeing with the Blooming Prairie facility. He said it's unusual from other centers because it plans to offer before- and after-school care.
Sara Winzenburg, who provides childcare and serves on the academy board, said Blooming Prairie has amazed her since she moved to the area. "Blooming Prairie does what it needs to provide opportunities to grow and stay here," she said. "There is unbelievable support."
With a $3 million fundraising goal, Leo Augusta has raised $1.25 million to date. In June, the Kruckeberg family donated the buildings and property in addition to a monetary donation totaling more than $1 million. It is the largest single donation in the community's history.
"We're getting there. We're 35% of the way there already," said Amy Hinzmann, chairperson of Leo Augusta. "In two years, we would like to be free and clear of any debt."
Hinzmann, who also serves as CFO for Kruckeberg Industries, said operating a childcare center is "very different from other industries." She said SMIF is helping to implement financial and business ideas for the academy.
Meanwhile, renovation has begun at the former Minimizer corporate office on the north end of Blooming Prairie. Metal fencing has also been added around the building to allow for outside play areas for children.
The academy, which is expected to open on April 1, will be 18,000 square feet on 3 acres of land that includes a full-sized gym and commercial kitchen area, classrooms and work areas for teachers.