2025-06-25T12:58:33-05:00 2024-12-31 410746749 CLIFTONLARSONALLEN LLP 220 S 6TH STREET SUITE 300 MINNEAPOLIS MN 55402 990 2024-01-01 411801498 MDI COMMERCIAL SERVICES MDIC 6519998200 3501 BROADWAY ST NE 100 MINNEAPOLIS MN 55413 MARVIN HANNON CFO 6519998200 2025-06-22 1 0 ANN NEIL P01817922 6123764500 2025-06-22 2024 2025-03-06 01:10:19Z ERIC BLACK 3501 BROADWAY ST NE 100 MINNEAPOLIS MN 55413 33515083 0 X WWW.MDI.ORG X 1994 MN SERVE PEOPLE WITH DISABILITIES BY OFFERING INCLUSIVE EMPLOYMENT OPPORTUNITIES AND SERVICES. 10 10 159 10 0 0 0 0 31709612 33515083 -13128 0 0 0 31696484 33515083 0 0 0 0 7532304 8416383 0 0 0 19600001 19779909 27132305 28196292 4564179 5318791 9216222 11747493 2787520 0 6428702 11747493 X MDI'S VISION IS MEANINGFUL EMPLOYMENT OPPORTUNITIES FOR ALL PEOPLE WITH DISABILITIES AND IS SUPPORTED THROUGH OUR MISSION TO SERVE PEOPLE WITH DISABILITIES BY OFFERING INCLUSIVE EMPLOYMENT OPPORTUNITIES AND SERVICES. REFER TO SCHEDULE O FOR ADDITIONAL DETAIL. 1 0 26275741 0 33515083 MDI IS A SOCIAL ENTERPRISE BUSINESS MODEL EMPLOYING BOTH PEOPLE WITH AND WITHOUT DISBILITIES. INDIVIDUALS WITH DISABILITIES DEVELOP SKILLS THROUGH TRAINING AND SUPPORT WHICH ALLOWS THEM TO GAIN EXPERIENCE AND EARN MORE THAN MINIMUM WAGE AND BENEFITS. EMPLOYEE DEVELOPMENT IS INHERENT IN OUR WORK WITH EMPLOYEES WITH DISABILITIES, GETTING OPPORTUNITIES TO GAIN SKILLS THAT ALLOW THEM TO APPLY FOR AND GET PROMOTIONS. MDI ALSO OFFERS WORK AND TRAINING PROGRAMS FOR SCHOOLS, COUNTY AND REHABILITATION AGENCIES. MDI'S VISION IS MEANINGFUL EMPLOYMENT FOR ALL PEOPLE WITH DISABILITIES. IN 2024, UNIFIED WORK PROVIDED SOFT SKILLS TRAINING AND EXPERIENCES TO PEOPLE WITH DISABILITIES THROUGH 26 CLASSES WITH 500 PARTICIPANTS. CLASSES ARE EITHER IN PERSON OR VIA ZOOM AND ARE EFFECTIVE NOT ONLY FOR PEOPLE WITH DISABILITIES BUT ALSO PEOPLE WITH OTHER BARRIERS TO EMPLOYMENT. NEW SERVICE OPTIONS INCLUDE: 1. LAUNCHING OF THE UNIFIED WORK ONLINE LEARNING PLATFORM SO PEOPLE WITH DISABILITIES CAN HAVE ACCESS TO SIMILIAR EXPERIENCES AT ANY TIME, ALMOST ANYWHERE. 2. OFFERING VIRTUAL REALITY WORK EXPERIENCES THAT PROVIDE THREE TO FIVE MINUTE OPPORTUNITIES FOR PEOPLE WITH DISABILITIES TO GET EXPERIENCES IN A VARIETY OF INDUSTRIES AND ACTUALLY SEE WHAT IT MIGHT BE LIKE TO WORK IN A JOB THAT THEY HAVE NOT EXPERIENCED. 3. DEVELOPMENT AND IMPLEMENTATION OF THREE STEM BOXES HAVE BEEN CREATED, STEM CIRCUITS, STEM INVENT AND STEM ROBOT TO GIVE PEOPLE WITH DISABILITIES EXPERIENCES WORKING IN THE INDUSTRY OF ELECTRICITY. THESE AND FUTURE STEM BOXES CAN GIVE PEOPLE WITH DISABILITES ACCESS TO CAREERS THAT THEY HAVE NEVER THOUGHT OF PURSUING. 26275741 1 0 0 0 0 0 0 0 0 0 1 0 0 1 0 1 0 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 1 0 0 159 1 0 0 0 0 0 0 0 0 0 0 0 0 X 10 10 1 0 0 0 0 1 0 1 1 0 0 1 1 1 1 1 1 1 1 0 MN X X MARVIN HANNON 6519998200 3501 BROADWAY STREET NE SUITE 100 MINNEAPOLIS MN 55413 MIKE RAICH PAST CHAIR 0.45 2.55 X X 0 0 0 JONATHAN PALMER BOARD CHAIR 0.45 3.55 X X 0 0 0 STEVE GLIENKE TREASURER & FINANCE CHAIR 0.45 3.55 X X 0 0 0 MEGAN KELIN DIRECTOR 0.45 2.05 X 0 0 0 ANDRIEL DEES DIRECTOR 0.45 2.05 X 0 0 0 FRED KLIETZ DIRECTOR 0.45 2.55 X 0 0 0 ELAINE RASMUSSEN DIRECTOR 0.45 2.05 X 0 0 0 JILL HESSELROTH DIRECTOR 0.45 2.55 X 0 0 0 NICK WILKIE DIRECTOR 0.45 2.55 X 0 0 0 ALAN HUPP DIRECTOR 0.45 2.55 X 0 0 0 ERIC BLACK PRESIDENT & CEO 12.00 43.00 X 0 352038 30487 RODNEY WOOD CHIEF OPERATING OFFICER 10.00 45.00 X 0 231825 61231 MARVIN HANNON CHIEF FINANCIAL OFFICER 10.00 45.00 X 0 186759 36212 JEANNE EGLINTON VICE PRESIDENT OF EMPLOYMENT SERVICES 5.00 50.00 X 0 149943 39683 LAINE SATTER KEY ACCOUNT MANAGER-COMMERCIAL SERVICES 35.00 10.00 X 0 149610 28142 TODD WITHERILL DIRECTOR OF OPERATIONS 14.00 41.00 X 0 167000 30712 LAURA SCHWARTZ DIRECTOR OF HUMAN RESOURCES 10.00 45.00 X 0 147672 42665 BRENT VELENCHENKO STRATEGIC PRODUCT LINE MANAGER-PLASTICS 20.00 20.00 X 0 132001 11342 BARBARA MAJERUS FORMER VP SALES 30.00 20.00 X 0 125301 27313 0 1642149 307787 0 1 1 0 MINNESOTA DIVERSIFIED INDUSTRIES INC 3501 BROADWAY ST NE SUITE 100 MINNEAPOLIS MN 55413 MANAGEMENT SERVICES 1920551 DOHERTY STAFFING SOLUTIONS INC 6940 BROOKLYN BLVD 1 BROOKLYN CENTER MN 55429 TEMPORARY LABOR 452730 ATLAS STAFFING INC 189 7TH PLACE EAST ST PAUL MN 55101 TEMPORARY LABOR 179935 3 MANUFACTURING SERVICES 310000 33515083 33515083 33515083 33515083 33515083 0 0 6592536 6592536 1361285 1361285 462562 462562 1920551 1920551 2136630 2136630 48404 48404 34107 34107 1527 1527 1984758 1984758 29753 29753 968752 968752 COST OF GOODS SOLD 10933827 10933827 SUPPLIES 1343659 1343659 MISCELLANEOUS 370846 370846 EQUIPMENT RENTAL 7095 7095 28196292 26275741 1920551 0 1930793 2411038 1719357 2753035 20414234 14814613 5566072 5599621 0 983799 9216222 11747493 2787520 0 2787520 0 X 6428702 11747493 6428702 11747493 9216222 11747493 5318791 0 X X 0 1 X 1 0 X X 1 MDI GOVERNMENT SERVICES 411801370 7 1 0 26275741 1 0 26275741 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1294195 694273 599922 19120039 14120340 4999699 5599621 INTERCOMPANY RECEIVABLE 983799 983799 X PART X, LINE 2: MDI COMMERCIAL SERVICES IS EXEMPT FROM FEDERAL AND STATE INCOME TAXES UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE. HOWEVER, MDI COMMERCIAL SERVICES IS SUBJECT TO INCOME TAX ON CERTAIN ACTIVITIES NOT DIRECTLY RELATED TO THEIR TAX-EXEMPT PURPOSE AS NET UNRELATED BUSINESS INCOME. THE ORGANIZATION REVIEWS INCOME TAX POSITIONS TAKEN OR EXPECTED TO BE TAKEN IN INCOME TAX RETURNS TO DETERMINE IF THERE ARE ANY INCOME TAX UNCERTAINTIES. THE ORGANIZATION RECOGNIZES TAX BENEFITS FROM UNCERTAIN TAX POSITIONS ONLY IF IT IS MORE LIKELY THAN NOT THAT THE TAX POSITIONS WILL BE SUSTAINED ON EXAMINATION BY TAXING AUTHORITIES, BASED ON THE TECHNICAL MERITS OF THE POSITIONS. THE ORGANIZATION HAS IDENTIFIED NO INCOME TAX UNCERTAINTIES. 0 1 0 1 0 0 1 1 0 ERIC BLACK PRESIDENT & CEO 0 258695 0 93343 0 0 0 8834 0 21653 0 382525 0 0 RODNEY WOOD CHIEF OPERATING OFFICER 0 194823 0 37002 0 0 0 6649 0 54582 0 293056 0 0 MARVIN HANNON CHIEF FINANCIAL OFFICER 0 161511 0 25248 0 0 0 5400 0 30812 0 222971 0 0 TODD WITHERILL DIRECTOR OF OPERATIONS 0 148712 0 18288 0 0 0 5049 0 25663 0 197712 0 0 LAURA SCHWARTZ DIRECTOR OF HUMAN RESOURCES 0 147672 0 0 0 0 0 0 0 42665 0 190337 0 0 JEANNE EGLINTON VICE PRESIDENT OF EMPLOYMENT SERVICE 0 149943 0 0 0 0 0 4719 0 34964 0 189626 0 0 LAINE SATTER KEY ACCOUNT MANAGER-COMMERCIAL SERVI 0 149610 0 0 0 0 0 0 0 28142 0 177752 0 0 BARBARA MAJERUS FORMER VP SALES 0 125301 0 0 0 0 0 3529 0 23784 0 152614 0 0 PART I, LINE 3 THE EXECUTIVE COMMITTEE IS RESPONSIBLE FOR DETERMINING COMPENSATION OF OFFICERS AND KEY EMPLOYEES. THE PROCESS INCLUDES REVIEW AND APPROVAL BY INDEPENDENT CONSULTANT, COMPARABILITY DATA, AND CONTEMPORANEOUS SUBSTANTIATION OF THE DELIBERATION AND DECISIONS. THIS PROCESS WAS MOST RECENTLY UNTERTAKEN IN 2024. PART I, LINE 4B ERIC BLACK- PARTICIPATE IN AND RECEIVED PAYMENT FROM IN THE AMOUNT: $8,834. RODNEY WOOD- PARTICIPATE IN AND RECEIVED PAYMENT FROM IN THE AMOUNT $6,649. MARVIN HANNON- PARTICPATE IN AND RECEIVED PAYMENT FROM IN THE AMOUNT $5,400. JEANNE EGLINTON- PARTICPATE IN AND RECEIVED PAYMENT FROM IN THE AMOUNT $4,719. TODD WITHERILL- PARTICPATE IN AND RECEIVED PAYMENT FROM IN THE AMOUNT $5,049. BARBARA MAJERUS- PARTICPATE IN AND RECEIVED PAYMENT FROM IN THE AMOUNT $3,529. PART I, LINE 5 BARBARA MAJERUS, FORMER VP OF SALES, RECEIVED COMPENSATION IN 2024 FOR COMMERICAL SALES GROWTH THAT OCCURRED IN 2023 FROM MDI COMMERCIAL SERVICES, A RELATED ORGANIZATION. PART I, LINE 6 ALL EMPLOYEES, INCLUDING OFFICERS, HIGHEST COMPENSATED AND KEY EMPLOYEES PARTICIPATED IN A DISCRETIONARY BONUS PROGRAMAPPROVED BY THE BOARD OF DIRECTORS. THE DISCRETIONARY BONUS PROGRAM WAS BASED ON TWO COMPONENTS: (1) SEMI-ANNUAL FINANCIAL PERFORMANCE AND (2) MISSION ACHIEVEMENT BASED ON THE NUMBER OF EMPLOYEES EMPLOYED WITH DISABILITIES. THE FIRST HALF YEAR DISCRETIONARY BONUS FOR 2024 WAS ACHIEVED, ACCRUED, APPROVED BY THE BOARD OF DIRECTORS AND PAID OUT IN 2024. THE SECOND HALF YEAR DISCREPTIONARY BONUS FOR FY2024 WAS ACHIEVED, ACCRIED, APPROVED BY THE BOARD OF DIRECTORS AND WILL BE PAID OUT IN 2025. PART I, LINE 7 ERIC BLACK, PRESIDENT & CEO, IS ELIGIBLE TO RECEIVE A MINIMUM ANNUAL DISCREPTONARY BONUS OF 30% OR HIGHER OF BASE SALARY BASED ON JOB AND COMPANY PERFORMANCE. MR. BLACK'S 2023 DISCRETIONARY BONUS WAS REVIEWED WITH THE EXECUTIVE COMMITTEE, ACCRUED AND APPROVED BY BOARD CHAIR IN 2024 AND PAID OUT IN 2024. IN ADDITION, MR. BLACK'S 2024 DISCRETIONARY BONUS WAS REVIEWED WITH THE EXECUTIVE COMMITTEE, ACCCRUED AND APPROVED BY BOARD CHAIR IN 2025 AND WILL BE PAID OUT IN 2025. FORM 990, PART I, LINE 1, DESCRIPTION OF ORGANIZATION MISSION MDI COMMERCIAL SERVICES IS ONE OF FOUR RELATED NONPROFIT CORPORATIONS, WHICH ALSO INCLUDE MINNESOTA DIVERSIFIED INDUSTRIES, INC.; MDI GOVERNMENT SERVICES; AND MDI HIRED HANDS. THESE NONPROFIT CORPORATIONS WORK TOGETHER TO SERVE PEOPLE WITH DISABILITIES BY OFFERING INCLUSIVE EMPLOYMENT OPPORTUNITIES AND SERVICES. THE ORGANIZATIONS FILE SEPARATE FORM 990'S WITH THE IRS EACH YEAR. THE SEPARATE FORM 990'S EACH PRESENT ONLY A PIECE OF THE ORGANIZATIONS' PROGRAMS, AND SHOULD BE VIEWED IN CONJUNCTION WITH ONE ANOTHER TO UNDERSTAND THE ACTUAL OPERATIONS AS A WHOLE. WE RECOMMEND THAT THE READER OF THE FORM 990'S ALSO REVIEW THE CONSOLIDATED FINANCIAL STATEMENTS OF MDI, INC. AND AFFILIATES, WHICH PROVIDE THE MOST MEANINGFUL FINANCIAL REPRESENTATION OF THE ORGANIZATIONS. THE FINANCIAL STATEMENTS ARE POSTED ON OUR WEBSITE, WWW.MDI.ORG, AND ARE AVAILABLE UPON REQUEST. FORM 990, PART III, LINE 2 FOR OVER 60 YEARS, MDI HAS ACCUMULATED A SIGNIFICANT AMOUNT OF INSTITUTIONAL KNOWLEDGE REGARDING HOW TO INCREASE THE EMPLOYABILITY OF PEOPLE WITH DISABILITIES BY INTENTIONALLY DEVELOPING EMPLOYEES' SKILLS, BEHAVIORS AND WORK EXPERIENCES IN OUR INCLUSIVE WORK PLACES, EMPHASIZING OUR CORE VALUES OF EMPLOYEE FIRST, CUSTOMER FOCUSED, RESPECT, DO THE RIGHT THING AND EMPOWER INDIVIDUAL ABILITY. WITH THIS KNOWLEDGE, MDI CREATED AND CONTINUES TO GROW AND INVEST IN OUR UNIFIED WORK PROGRAM. AFTER COMPLETING RESEARCH SUPPORTED BY THE CENTER FOR APPLED RESEARCH AND EDUCATIONAL IMPROVEMENT WITH THE UNIVERSITY OF MINNESOTA WE ARE NOW CREATING CURRICULUM SPECIALIZED FOR PEOPLE WITH DISABILITIES. THE GOAL OF THE CURRICULUM IS TO HELP INCREASE A PERSON'S "EMPLOYABILITY", HELPING MDI ACHIEVE ITS VISION OF MEANINGFUL EMPLOYMENT FOR ALL PEOPLE WITH DISABILITIES, WHILE GIVING OPPORTUNITIES FOR THE PARTICIPANTS TO EXPERIENCE SUCCESS. THERE ARE TWO MAIN AREAS OF FOCUS FOR OUR CURRENT PROGRAM: ACADEMY CLASSES 1. CREATE THE CURRICULUM BASED ON THE RESEARCH COMPLETED WHICH WILL PROVIDE A DIVERSE SELECTION OF TRAININGS. THIS CURRICULUM WILL BUILD ON THE EXISTING COURSE ALREADY OFFERED. 2. DELIEVERY OF THE TRAINING THROUGH LIVE IN-PERSON AND VIRTUAL CLASSES AND THROUGH AN ONLINE LEARNING MANAGEMENT SYSTEM. EXPERIENTIAL LEARNING 1. PROVIDE VIRTUAL REALITY WORK EXPERIENCES IN A VARIETY OF INDUSTRIES TO PEOPLE WITH DISABILITIES AND DELIVER THESE EXPERIENCES. 2. OFFER STEM EXPERIENCES TO HELP PEOPLE WITH DISABILITIES SEE THEMSELVES. ALL EFFORTS ASSOCIATED WITH UNIFIED WORK. FORM 990, PART III, LINE 4A, PROGRAM SERVICE ACCOMPLISHMENTS: MDI IS A SOCIAL ENTERPRISE OPERATING WITH A WORKFORCE OF BOTH INDIVIDUALS WITH DISABILITIES AND WITHOUT DISABILITIES. INDIVIDUALS WITH DISABILITIES DEVELOP SKILLS WITH SUPPORT AND TRAINING, GAINING WORK EXPERIENCE WHILE EARNING COMPETITIVE WAGES AND BENEFITS. PLACEMENT OR ADVANCEMENT OF THESE INDIVIDUALS WITH DISABILITIES IN MEANINGFUL COMPETITIVE EMPLOYMENT INSIDE OR OUTSIDE OF THE COMPANY IS INHERENT IN OUR MISSION. MDI ALSO OFFERS WORK AND TRAINING PROGRAMS FOR SCHOOLS, COUNTY AND REHABILITATION AGENCIES IN THE COMMUNITY. MDI'S VISION IS TO GROW THE NUMBER OF JOBS FOR INDIVIDUALS WITH AND WITHOUT DISABILITIES. FORM 990, PART VI, SECTION A, LINE 1A THE EXECUTIVE COMMITTEE CONSISTS OF THE CHAIR OF THE BOARD, VICE CHAIR, TREASURER AND PAST CHAIR. THE EXECUTIVE COMMITTEE SHALL HAVE ALL THE POWERS OF THE BOARD OF DIRECTORS IF ACTION IS REQUIRED BETWEEN MEETINGS OF THE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION A, LINE 2 ALL DIRECTORS AND OFFICERS HAVE A BUSINESS RELATIONSHIP. THE BUSINESS RELATIONSHIP IS AN EMPLOYER/EMPLOYEE RELATIONSHIP AT MINNESOTA DIVERSIFIED INDUSTRIES, INC, A RELATED 501(C)(3) TAX EXEMPT ORGANIZATION. FORM 990, PART VI, SECTION A, LINE 7A THE DIRECTORS ELECTED TO THE BOARD OF DIRECTORS OF MINNESOTA DIVERSIFIED INDUSTRIES, INC.; MDI GOVERNMENT SERVICES; AND MDI HIRED HANDS, ALL RELATED ORGANIZATIONS, ARE ALSO ELECTED TO THE BOARD OF DIRECTORS OF MDI COMMERCIAL SERVICES. FORM 990, PART VI, SECTION B, LINE 11B A DRAFT OF FORM 990 WILL BE REVIEWED AND APPROVED BY THE FINANCE & AUDIT COMMITTEE, WHICH WILL REPORT SIGNIFICANT ITEMS TO THE BOARD. THE FULL 990 IS ALSO MADE AVAILABLE TO THE BOARD BEFORE FILING. FORM 990, PART VI, SECTION B, LINE 12C THE POLICY IS BROUGHT TO THE ATTENTION OF THE BOARD OF DIRECTORS AT LEAST ANNUALLY AT A REGULAR MEETING AND RECORDED IN THE MINUTES OF SUCH MEETING. BOARD MEMBERS HAVE SPECIFICALLY AGREED TO DISCLOSURE OF ANY POTENTIAL CONFLICT OF INTEREST RELATING TO THE SUBJECT MATTER OF A MEETING OF THE BOARD OF DIRECTORS OR A COMMITTEE ON WHICH THEY SERVE, AND WITHDRAWAL FROM SUCH MEETING DURING THE DISCUSSION OF, AND THE VOTE ON, THE SUBJECT MATTER THAT RESULTS IN THE POTENTIAL CONFLICT OF INTEREST. ADDITIONALLY, EACH BOARD MEMBER SIGNS A CONFLICT OF INTEREST STATEMENT. FORM 990, PART VI, SECTION B, LINE 15 THE EXECUTIVE COMMITTEE OF THE BOARD IS RESPONSIBLE FOR DETERMINING COMPENSATION OF OFFICERS AND KEY EMPLOYEES. THE PROCESS INCLUDES REVIEW AND APPROVAL BY INDEPENDENT PERSONS, COMPARABILITY DATA AND CONTEMPORANEOUS SUBSTANTIATION OF THE DELIBERATION AND DECISIONS. THIS PROCESS WAS MOST RECENTLY UNDERTAKEN IN 2024. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION MAKES ITS GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY AND FINANCIAL STATEMENTS AVAILABLE TO THE PUBLIC UPON REQUEST. FORM 990, PART XII, LINE 2C: THE PROCESS FOR OVERSIGHT AND SELECTION OF AN INDEPENDENT ACCOUNTANT HAS NOT CHANGED FROM THE PRIOR YEAR. MINNESOTA DIVERSIFIED INDUSTRIES INC 3501 BROADWAY ST NE STE 100 MINNEAPOLIS MN 55413 410941924 DEVELOPMENT & JOB OPPORTUNITIES FOR PEOPLE WITH DISABILITIES MN 501(C)(3) LINE 12B, II N/A 0 MDI GOVERNMENT SERVICES 3501 BROADWAY ST NE STE 100 MINNEAPOLIS MN 55413 411801370 DEVELOPMENT & JOB OPPORTUNITIES FOR PEOPLE WITH DISABILITIES MN 501(C)(3) LINE 7 MINNESOTA DIVERSIFIED INDUSTRIES INC 0 MDI HIRED HANDS 3501 BROADWAY ST NE STE 100 MINNEAPOLIS MN 55413 411587363 DEVELOPMENT & JOB OPPORTUNITIES FOR PEOPLE WITH DISABILITIES MN 501(C)(3) LINE 11 MINNESOTA DIVERSIFIED INDUSTRIES INC 0 0 0 0 0 1 0 0 0 0 0 0 1 0 1 1 0 0 1 1