Community members team up with EDA on Vergas Daycare
News | Published on October 7, 2025 at 3:19pm EDT | Author: frazeevergas
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By Robert Williams
Editor
The Vergas Economic Development Authority (EDA) / Housing Redevelopment Authority (HRA) met with four members of the community to continue examining solutions for daycare in Vergas Wednesday, Oct. 1.

The group, including Community and Economic Development Associates (CEDA) representatives Jordan Grossman and Maddi (Petrick) Clavin, were joined by Tom Bunkowski of St. John’s Lutheran Church, Vergas Lions District Governor Jay Norby and residents Greg and Ruby Schmid.
Clavin reported that a successful application was made to make Vergas a candidate for the Rural Child Care Innovation Program (RCCIP), an innovative community engagement process designed to increase the supply of high quality affordable child care in rural communities.
“They got a lot more applications than they anticipated,” Clavin said. “They decided they are going to accept three into the program this year and we should know by October 6, in the next week or so.”
If Vergas is not accepted, another community that utilizes CEDA, has recently completed the program and will make available all the materials, different events they did and marketing materials to replicate.
“We’ll cross that bridge when we get there,” she said.
RCCIP provides funding and assistance to complete childcare goals in each community, according to Clavin.
“Our application focused on establishing childcare and what that entails,” she said.
Other funding sources include the Childcare Economic Grant through Minnesota Department of Employment and Economic Development (DEED). That grant is significant in amount at $300,000 for one location or $600,000 for multiple locations.
The program had two rounds of funding over the past year and has yet to be guaranteed to open this year.
CEDA is preparing for the grant opening by having Vergas’ application “shovel ready,” according to Clavin.
Talks with the church began approximately a year ago. EDA member Paul Sonnenberg and City Council Liaison Bruce Albright met in the last six weeks with Tom Bunkowski to hear how the St. John’s Lutheran Church council can assist.
“They said it didn’t go with the building we have (Jesus Little Lambs Preschool) to run the two things together,” said Bunkowski.
However, there was property next door for sale, an empty lot owned by Greg and Ruby Schmid. It was determined the church does not own enough property to add an addition to the preschool or another building, so more land would be needed.
“The council said, yeah, let’s move on this,” said Bunkowski. “And it would be advantageous to us and to the mission of the church to have the two side-by-side, if everything would work out.”
The church is not interested in running the daycare; it is interested in purchasing the land and providing the facility. The church would then lease to the daycare providers.
“It would not be a money-maker,” said Bunkowski. “It would be to cover our costs and mostly to provide something for the community and it would be ideal. There would be a whole room of kids coming over to preschool.”
Norby provided information on the Lions International matching grant program. The minimum that can be applied for is $10,000 and a maximum of $150,000.
“It’s a 50-50 grant and we cannot give the money to any city entity,” Norby said.
A church or other non-profit would be eligible for the Lions funds. Norby stated he had just received the information on the future project but was able to state that the Lions could provide a full, commercial kitchen or playground equipment or potentially both.
“The big focus, when we apply for this grant, is it has to be for the benefit of children,” said Norby.
The Lions would manage their portion of the project.
Going forward, Norby is going to present the plan to the Vergas Lions Board to seek approval to apply for the grant.
“We have to vote on this as a club because we have to raise 50 percent of that money,” Norby said.
Much of the discussion on the Schmid’s property was whether they could retain ownership and lease the property, or sell directly to the city or the church.
Of those options, selling to the church was the most favorable, according to Grossman.
“We understand the importance of it and definitely want to work something out to get something done because we have grandkids that might have their families here in the next five years and we want a daycare available for them too,” Greg Schmid said.
“If we did own it and we put a building on it we also want to make sure that it is a building that is going to work; we want to make sure that it gets everything it’s supposed to get in it,” said Ruby Schmid.
EDA President Ditterich described the discussions stating it’s a good starting point for all parties.
Initial discussions on the building have not been very specific, other than that it is desired that it can house two separate daycare providers that could share some aspects of the building, like a commercial kitchen.
“Then, you’re talking about 24 kids instead of 12 kids,” said Lammers.
“Top quality daycare in Vergas would be a true asset; it would be great for the city,” said Albright.
Ditterich closed the discussion by thanking the guests for their willingness to assist in helping bring daycare back to Vergas.