Beadle and Spink Enterprise Communities, Inc. (BASEC) in Doland was established in Dec. of 1994. To celebrate its 30-year anniversary, the organization will hold open houses on Fridays in Dec. Residents are invited to come into the offices to check things out. Executive Director Emily Rodgers and Executive Assistant Samantha Noethlich will be on hand. (Rodgers stated that they stay very busy.)

BASEC is a non-profit corporation. Their focus is on home and business lending, in order to encourage economic growth. The organization’s 501(c)(3) status makes them eligible to receive various grants. Donations from the public can also be received. These donations are tax deductible.

According to Rodgers, the entity was “established by a group of motivated individuals.”  Members of Northeast South Dakota Community Action Program approached residents of Spink and Beadle Counties back in the 90s. It had been found that the area lacked in economic development resources. At the time, Enterprise grants were available under the Clinton administration. The group hoped to be able to utilize one of the grants. The newly formed BASEC organization was awarded $2.97 million in grant monies.

What made BASEC unique was that the original board members were able to create a revolving loan fund with the grant money. (After this, a rule was added to the Enterprise grant paperwork, barring entities from creating revolving loan funds.) Rodgers explained that other organizations who were awarded Enterprise grants received then distributed their monies. BASEC, however, gave out housing and business loans for economic development. “That money then was paid back. It was revolved back into the funds, and we were able to grow that loan fund, with interest, to continue the economic development efforts of our area; as opposed to getting it out and it being done. That's what has allowed us the 30 years of success we have had.” she said.

Loans could be for things such as equipment purchases, up to 30-year mortgages. A special program for youth was created as well. Rodgers said “The Youth Opportunity Loan is available for the youth in our area, ages 12 to 21. The youth is the applicant through our program. An adult willing to support them ‘co-signs.’ The loan does technically, legally go to the adult. But it's the child that we hope to support.”

The low-interest loan program started out as a means for area youth to purchase livestock. The scope of this grew, as it was found that the young people had other interests. For example, if someone wanted to start up a summertime lawnmowing business, they might have used a loan to pay for a lawnmower. While this loan fund could be used for a variety of things, it had to be for something related to business. An example was given of a Doland student who wanted to purchase a truck for their ice cream business. They received one of these loans.

Being approved for a Youth Opportunity Loan entails some thinking. “They have to complete a business plan. They have to fill out the application, supply us with the business plan, have their financials. They have to do record keeping. It really is a nice step into their first loan process.” Rodgers said. “They have repayment records they keep track of. They keep track of their inventory. They do a projected cash flow, which is huge because that's difficult for adults, let alone a child. But we have questions for them to help them understand how to calculate simple interest. We help them learn the ins and outs of a loan while keeping it fairly simple.” she added. Explanations and guidance were provided to loan recipients. Loan payments could be made with cash or checks, “the same as any other loan for anyone else.” she said. The money would usually come from proceeds of the business, or the sale of livestock.

Rodgers emphasized that the loan amounts would not be more than the youth could handle. Livestock loans of up to $10,000 and entrepreneurial loans of up to $5,000 were awarded through this loan fund. A total of 88 of these loans have been given out over the years. These totaled $459,500, and maintained a 100% repayment rate, which, per Rodgers, “in the financial industry, is massive.” She noted “Every single loan that has been lent out to our youth in our area has been repaid in full with no delinquencies or issues. So very responsible youth.”

The loans given out to the adults had repayment rates that were almost as good. Business loans had a 98.3% repayment rate. Housing loans had a 98.37% repayment rate. These included loans for home repair, home purchases, and business needs.

BASEC also worked with the South Dakota Housing Opportunity Fund. This fund was set aside specifically for home repair. Rodgers stated “If you need $20,000 to fix your roof on your home, through this program, $10,000 of that would be grant money and $10,000 would be a loan. So you're only repaying half of that. That's a big deal.” Certain criteria would have to be met in order to be eligible for loan forgiveness. If the homeowner did not stay in the home for the required time, they would have to repay some of that forgivable loan.

Another need that BASEC provided to the communities was technical assistance. Rodgers explained “In this world, it means we help with business planning. We get them in touch with the proper people. Being a part of all these different communities, we have a lot of different connections.” Perhaps they could introduce an experienced worker with someone who’d been in the field for a while. A lot of potential small business owners weren’t quite sure where to start. BASEC helped to point them in the right direction. “That's what we kind of pride ourselves on being able to aid in. While I can't give legal advice, I can say, it's best to legalize your entity. You need to speak with a lawyer. I can kind of explain the difference between an LLC and a corporation of sole proprietorship, and guide them to the right people, the professionals to help them to do things the proper way.” she said.

Growing the workforce was also mentioned as an essential element of economic development. Rodgers said “We're really big on helping workforce development. Whether that'd be - and I never thought of this until I was in the non-profit world - without the jobs, we don't have our communities. Without places for these people to live, and housing, they're not gonna move here to work in those jobs, to then put their kids in our school districts, to help us thrive.”

At its heart, the organization was created to help communities. Rodgers said “We're here to help our communities thrive, whatever that may be. A lot of different things walk through our door. Leadership development: we help people, city councils, and community economic development groups. We like to facilitate a lot of those meetings, when they're looking at maybe a community project or what can be done.” BASEC has also offered financial as well as moral support. They helped to advertise events and meetings, and helped groups find grant monies. BASEC often partnered with other entities, such as Grow Spink, Grow South Dakota, and Northeast South Dakota Economic Corporation, among many others.

All of BASEC’s operational expenses were paid out of the revolving loan fund interest. The organization also applied for and received loans for re-lending. Donations were also accepted. Rodgers said “You can earmark your donation. If you would like to donate money for our Youth Opportunity Loan, that is how it will be earmarked and specified. We do have different categories.”

BASEC had been subject to audits over the years. “Because of our revolving loan fund, we're audited. We do an annual audit. We are also reviewed by who we get funds from.” Rodgers said. United States Department of Agriculture Rural Development funds were borrowed each year, and lent back out to residents. If more money was needed, entities could apply for more. The application process was lengthy, and there was competition for the funds. Part of the application involved putting together a work plan stating what would be done with awarded funds. Applications would take months to process. Sometimes there would be additional questions for organizations to answer before they could get approved for funding. Other funders included the Dakota Resources Fund, a provider for non-profits, and the Rural Electric Economic Development Fund.

BASEC had to be licensed by the state in order to maintain a revolving loan fund. The South Dakota Department of Labor and Regulation’s Division of Banking was one more entity doing audits. Along with the audits and reviews, BASEC also has done an independent audit yearly. “Lots of checks going on. Lots of oversight.” Rodgers said.

BASEC is also overseen by its 9-member board. Members include: LeAnne Bawek, Doland, President; Dane Lambert, Frankfort, Vice President; John Tschetter, Yale, Secretary/Treasurer; Tony Haarstad, Iroquois; Bailey Coats, Doland; Adam Hahler, Ashton; Matthew Teel, Wolsey; James Hulbert, Iroquois; and Kathy Micheel, Cavour. Rodgers stated that they’d had “a lot of longevity” on the board. The task of making sure the organization had enough funds was put on Rodgers and the board. Monthly meetings were held to monitor things. “There’s a lot to go into managing that revolving loan fund.” Rodgers said.

BASEC was set up to facilitate economic development in Spink and Beadle Counties - with the exception of Redfield and Huron. This exclusion came down to resources. Rodgers said “We stay out of those city limits.” She offered gratefulness for Grow Spink and Greater Huron, entities that serve Redfield and Huron and surrounding areas. BASEC cannot assist farmers, also due to expense. Equipment is expensive, and they cannot offer lines of credit. They do, however, assist a lot of smaller agri-business development.

Rodgers estimated that BASEC’s interest rates were roughly equivalent to that of banks. But she emphasized “We do not try to compete with the bank. That is not our purpose. We like to partner with banks.” She stated that a misconception was that BASEC only assisted lower-income households. ” We will help all walks of life.” she added. Rodgers explained that BASEC had different underwriting criteria than banks did. Also, they could loan out up to 100% of collateral value, whereas banks would generally loan out 60 to 80% of collateral value.

The organization wanted to help communities thrive. Each community varied in what it needed in order to thrive. What that meant would vary from town to town. One important factor was having citizens that were willing to put the effort in. “You’ve gotta have the doers, not just the idea people.” Rodgers said. She expressed appreciation for the support that communities would offer. Communities would also support other communities. For example, “I see the Redfield Clinic has an outreach clinic in Doland, making sure that the people here are taken care of just as well as the people over there. A lot of positive things come from that.” she said.

Another program that’s had several beneficiaries is the Community Enhancement grant. These $500 grants were set aside for beautification projects. Projects have been things such as planting trees or putting in new town signs.

A couple of home development opportunities were available as well. The South Dakota Governor’s House program was one. Rodgers said “We're basically constantly on that list to get governor's homes. The city of Frankfort just put one up with our help. The homes are constructed at the prison by inmates, and then they get moved.” These homes were for purchase, and had certain qualification requirements. A household would have to have enough money to afford the home, yet not too much money, lest they be unable to qualify. Rodgers said “There is tricky, very shrinking, sweet spot.”

Another partnership was set up with Northeast Technical High School in Watertown, as well as Cashway Lumber of Watertown. Students, under the guidance of professionals, built spec homes. “We built the first one in 2023. It was placed in Iroquois and sold. The next one is going to go to Tulare, and will be there in the spring of 2025.” Rodgers said. She said that there were 2 big benefits to this project. The first was that it offered youth a learning opportunity. The second was that building a home in that way helped to cut costs.

Economic development involves more than business support. It can have far-reaching effects for communities. Rodgers said “It's the growth of our schools. It's our housing. Without the housing, people don't come into your small towns to work. We don't get those kids into the smaller school systems. It's the chicken or the egg scenario. It's a whole revolving circle, constantly. You can't have one without the other. So, we're here to aid in all of that. Even just down to being a part of our local parades. The quality-of-life aspect is huge.”

Community involvement is important. “You only get out of your community what you put into it.” she said. She also expressed appreciation for the uniqueness of our towns. “We don't have a Target or a Starbucks down the street. But we have a Simply Charming and our Ace store right here. There's an amazing coffee shop in Wolsey. We have a lot of really neat and talented things within our communities.”

Rodgers was optimistic about the future. She said “We did a recent expansion, and I think it’s not the fear of the unknown anymore.” She said that she’d like to be able to perhaps assist with senior housing, or with first-time home buyers. She looked forward to many more years of BASEC. “Hopefully down the road, if BASEC can continue with amazing successes and support from people entrusting us, we can continue to grow and expand even further. It would be wonderful to be able to reach even more people.” Rodgers said.

She again invited people to come visit. “We're gonna have an open house every Friday through the month of December. We would love to have people come and check out our wonderful office space, 'cause it's pretty cool. We're very proud of it.” The BASEC organization had 30 years’ worth of things to be proud of.