In recent years, the flow of boys into the residential treatment facility has slowed from an annual average of 50 to 39. Because their budget requires 11 kids per day, they can't sustain the loss of revenue. With only four boys in residence now and a skeleton crew to manage them, administration struggles to run the facility as it has since 1975.
"This, by far, has been the toughest [downturn] we've ever seen," said Mark Engebretson, executive director. "It doesn't seem to be rebounding."
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During his annual budget report, Engebretson told Wilkin County commissioners Tuesday he has enough in reserves to cover this year's cost. But if dramatic improvements are not seen next year, the facility may be celebrating its 35 anniversary by shuttering its doors.
"We're basically asking for kids to show up at our door," he said. "If things don't change, I won't be back here asking for a per diem... we'll be done."
Part of the problem is the lack of court referrals. At a time of statewide budget tightening, judges are listening to county boards complain they can't afford to send kids to treatment facilities, he said. When counties are forced to look at where they need to cut, home placement finds itself inevitably on the chopping block.
The four boys currently at Valley Lake represent less than half of what they normally draw in.
"It's like a hospital," he said. "You don't want people sick, and you don't want kids out of their home, but it has to be there when you need it."
After 33 years of being in the business, Engebretson said no financial downswing he's witnessed compares to the current one. But the staff, who have gone without a raise in the past two years, are so dedicated to Valley Lake they want to stay on.
"They're not out here just to make money," he said. "People are staying because they want us to succeed and be a viable institution for kids."
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