The Ranger - Nov. 15

department of iron range resources and rehabilitation

The Ranger 

Nov. 15, 2017

Zakobe metal stamping business thriving in Bovey

Zakery and Wade Karnes

A love of family and the outdoors was the driving factor behind Zakobe, a successful family owned and operated metal stamping business in Bovey, Minnesota.

Wade and Teresa Karnes founded Zakobe in 2005, operating it out of Wade’s father’s garage. Twelve years later it is a thriving business that specializes in metal stamping, manufacturing and machining metal fabricated parts for a wide array of industries including fishing, cycling, farm equipment, battery, medical, military, electronics, radiator and computer hardware. Their products are now distributed to companies throughout the United States.

“Our journey to where we are today was a humble one,” said Wade. “Teresa and I have worked very hard, and our family, friends and employees are helping us expand this business even further.”

Wade graduated from Central Lakes College in Staples as a machinist in 1993, then began his career in Park Rapids, Minnesota after marrying his high school sweetheart, Teresa. He and Teresa had two sons, and when the oldest son, Zakery, turned five they returned home to northeastern Minnesota to raise their sons in the same northwoods where Wade loved to hunt deer when he was young. 

Upon their return home, Wade worked as a machinist in the region, experiencing several layoffs during economic downturns while simultaneously trying to grow his own company. Teresa is a long time employee of UPS.  

“Teresa and I both saw a need for quality metal stampings with great customer service,” said Wade. “We started Zakobe in my father’s garage, and had our first order within a few days of opening the doors.” 

Metal Stamping

The products made at Zakobe are used every day in homes and businesses. The small metal battery clasp in a TV remote control, or the metal eye hook on a fishing lure could have been tooled and shaped at Zakobe. The company designs and produces all of its tooling in-house, using a variety of metals and other materials such as nickel, aluminum, brass, pvc, bronze, copper, stainless steel and fiber board.

In 2016 the business took another stride when it bought the 6,500 square foot former KMDA facility in Bovey, adding additional press capacity. Zakobe further expanded when it recently purchased Cast & Color, a custom lead casting and painting company that makes fishing tackle. Jigs and lures are now made and painted at Zakobe.

The company name, Zakobe, is a combination of the Karnes’ two sons, Zakery and Kobe. Wade explained that Zakobe was a “handle name” the father and sons used to play video games when the boys were younger. 

Along with the Karnes’ two sons, Zakobe has several full time, part time and telecommuting employees. Both sons are also interested in welding, creating yet another potential expansion opportunity on the horizon. 

Iron Range Resources & Rehabilitation supported Zakobe with a low-interest bank participation loan which helped purchase its current building.

Pictured above (right): Zakery and Wade Karnes in the new Zakobe metal stamping facility

Pictured above (left): Examples of the metal stamping work produced at Zakobe

Visit Zakobe's website.


Make a healthy career move at Blue Cross

Blue Cross Employee

Due to recent growth, Blue Cross and Blue Shield of Minnesota is seeking new employees at its Iron Range-based Operations Center.  

The Eagan-based health plan will have over 40 job openings for customer service representatives at its call centers in Virginia and Aurora over the next few months.

The Iron Range Operations Center handles calls from Medicare and Medicaid members and from health care providers.

“If you want to make a healthy difference in people's lives, a customer service role at Blue Cross is a great career choice," said Penny Erchul, director of service delivery at the Iron Range Operations Center. "Our service representatives guide our members with making choices about their health care services and create a customer experience that is easy and meaningful for our members and providers.”

Applicants should possess a high school diploma or equivalent and one year of customer service experience. Ideal candidates should be empathetic, positive, dependable, motivated, detail-oriented professionals who enjoy a dynamic, fast paced environment. Excellent phone presence and intermediate computer skills also are required, as well as availability for an 8-hour shift between 7 a.m. and 8 p.m.

A job fair is scheduled for Saturday, Dec. 2 from 10 a.m. to 2 p.m. at the Blue Cross and Blue Shield center located at 1303 West Chesnut Street in Virginia. Interested applicants are encouraged to stop by to learn more and apply for the available positions.    

Visit the Blue Cross careers website.


Chisholm offers "55 and over" maintenance-free townhomes

Chisholm Townhome

The new Nelson Addition in Chisholm is a 4-duplex, 8-unit market rate townhome development for citizens age 55 and over. Market rate housing means that the rent is not subsidized and is instead a conventional rental agreement.

Chisholm Housing & Redevelopment Authority (HRA) oversaw and developed the project, and construction is 90 percent complete. Two units are occupied, four are leased and will be occupied by January, and two remain available.

Each unit is 1,100 square feet and has one level with two bedrooms, two full bathrooms, a kitchen with upscale appliances, laundry room, ample closets and storage spaces, a two-stall garage with a floor drain and optional heat, a private patio and yard space. Pets are welcome, and residents will have added security with a surveillance system.

The monthly rent is $1,200 which includes full maintenance services such as general repairs, snow removal, lawn care and plumbing. Residents are responsible for paying their electricity and heat.

“The direct financial impact to Chisholm was very positive,” said Bob Vicari, Chisholm HRA executive director. “Local contractors such as Todd Iverson, a Dynamic Homes representative, are performing the work, and lots previously owned by the City have been developed and will expand the tax base. This project means growth for Chisholm while filling a void in the housing market.” 

Townhome interior

According to the Chisholm HRA, the city is somewhat land-locked with limited available space for new home construction. Families wanting to move to Chisholm sometimes find a shortage of affordable starter homes for sale. When a 55 and over Chisholm resident rents a new market rate unit, their previous home enters the real estate market. Vicari said that this hopefully results in bringing families and individuals to settle in Chisholm through the purchase of one of these homes.

Vicari oversees the Chisholm HRA, which was founded in the 1950’s and was one of the first in the nation. He and his staff oversee the city’s public housing totaling 155 units across the city and now oversee the Nelson Addition as well. The Chisholm HRA does not levy city residents and will not levy for this new project either.

“The new units are very appealing to people who reach a time in life when they want a maintenance-free experience,” said Vicari. “Our staff will even monitor the homes when residents are away for extended periods of time.”

The Nelson Addition is located across the street from Serving Hands assisted living facility.

Iron Range Resources & Rehabilitation supported this project with a $350,000 development infrastructure grant.

Pictured above: Exterior and interior views of the new townhomes in Chisholm


Hibbing connects heart of downtown to Mesabi Trail

Bike Rack

When bicycle season begins next spring, cyclists will enjoy new architecturally clever bike racks, signage and pavement stencils to safely guide them from the Mesabi Trail into the center of downtown Hibbing.

The Mesabi Trail is one of the longest paved trails in the nation that will eventually stretch 155 miles from Ely to Grand Rapids, connecting 28 communities. It is a major tourism driver on the Iron Range. 

“Connecting our downtown to the trail was part of our vision to enhance downtown Hibbing’s economic vitality,” said Lory Fedo, Hibbing Area Chamber of Commerce president. “Our goal is to create an environment that promotes a safe and attractive place for residents, shoppers, workers, businesses and visitors.” 

The bicycle project was led by the chamber’s downtown steering committee with volunteer Henry Djerlev playing a key role. As an avid cyclist and member of Cycle Mesabi Bike Club, Djerlev was instrumental in the bike rack, stencil and signage designs and placement. “We hope these new features will contribute to a sense of community pride and spur future downtown investments,” said Djerlev.

The chamber’s vision also focuses on a demonstration block, enhanced mainstreet lighting, art mural wraps on utility boxes, and other streetscape improvements. “We have a dynamic and creative steering committee who plan and drive the activity,” said Fedo. “Anyone interested in joining us is welcome.”

Iron Range Resources & Rehabilitation supported this project with a Downtown and Business Corridor grant.


The Ranger is a publication of Iron Range Resources & Rehabilitation. Our mission is to promote and invest in business, community and workforce development for the betterment of northeastern Minnesota.