Allegiant to add direct flights from Syracuse to Nashville

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SYRACUSE — Discount airline Allegiant announced it is adding nonstop flights from Syracuse to Nashville, Tennessee. Las Vegas, Nevada–based Allegiant (NASDAQ: ALGT) said in a news release that the new seasonal jet service from Syracuse Hancock International Airport to Nashville International Airport would start June 14, operate twice weekly, and offer introductory fares as low […]

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Shameless Trucking owners charged with workers’-compensation fraud

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FULTON — New York State Police have arrested the owners of Shameless Towing and Recovery, saying they violated state workers’-compensation law. Amy Stoutenger, 48, and Ralph A. Stoutenger, III, 49, of Fulton were charged with second-degree insurance fraud, offering to file a false instrument, both felonies, as well as separate charges of insurance fraud and

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New York milk production falls more than 2 percent in February

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New York dairy farms produced 1.13 billion pounds of milk in February, down 2.3 percent from the year-ago period, the USDA’s National Agricultural Statistics Service (NASS) recently reported. Production per cow in the state averaged 1,805 pounds in February, down 3 percent from 1,860 pounds a year prior. The number of milk cows on farms

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Grants awarded for downtown projects throughout region

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ALBANY — Downtowns throughout the region will receive millions of dollars to demolish or rehabilitate run-down buildings, the state announced. The fifth round of funding for the Restore New York Communities Initiative will fund everything from redeveloping an old mill in Massena to restoring the former village hall in Waverly, according to a news release

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ALBANY — Downtowns throughout the region will receive millions of dollars to demolish or rehabilitate run-down buildings, the state announced.

The fifth round of funding for the Restore New York Communities Initiative will fund everything from redeveloping an old mill in Massena to restoring the former village hall in Waverly, according to a news release from Gov. Andrew Cuomo’s office and data from Empire State Development (ESD).

Syracuse will receive $4.9 million to rehabilitate or demolish 20 sites to support the Northside Transformation Initiative. New residential units and commercial space are planned.

Auburn will get $1 million to rehabilitate the former Schines Theater, creating a facility for concerts, live theater, movies, banquets and other gatherings.

Cortland will create a hub for not-for-profits in the nearly vacant P&C Plaza with a $1 million grant. Plans call for a year-round farmers market, YWCA childcare center, Cornell Cooperative Extension, and space for other nonprofits.

The Village of Homer is getting $1 million for the reconstruction and renovation of two properties, 23 South Main St. and 1-3 South Main St., to create apartments and commercial space.

The City of Oneida is looking to create eight new apartments on the top two floors of a mixed-use facility at 155 Madison St. with a $700,000 grant.

Penn Yan will receive $500,000 to rehabilitate two buildings for mixed use.

Mohawk Valley

Utica will get $2 million for asbestos-abatement work at the former General Electric facility at 1900 Bleeker St.

Canajoharie will receive $6 million to tear down the abandoned and condemned warehouse space at the former Beech-Nut facility. That will create a 15-acre site ready for development.

Rome will receive $1 million for demolition of the former Rome Cable plant downtown. The money will also pay for remediation for the site, the release said, creating a “clean 40-acre development site for future investment.”

North Country

Ogdensburg is receiving $1 million to rehabilitate the former Newell Manufacturing plant.

Watertown is looking to create mixed-use facilities, including as many as 18 market-rate apartments at 138, 152 and 170 Court St. The state grant for the work is $990,000

Massena will receive $987,000 to transform the Old Mill at 38 Water St. Plans call for the mill, which dates to the late 19th century, to be converted into apartments and a brew pub.

Wilna is receiving $772,000 to rehabilitate a Dock Street building on the Black River waterfront. The plan is to create a restaurant in space that has been empty for 20 years.

The Village of Lyons Falls will demolish and clean up the former Lyons Falls Paper Mill, which closed in 2001. A state grant of $440,000 will help prepare the site for redevelopment.

The Village of Black River will get $263,000 to rehabilitate 102-104 Maple St. It will be converted into a mixed-use building.

Southern Tier

Ithaca will receive $1 million to rehabilitate four underused buildings on West State Street, including reconstruction of one historic property.

Sherburne will get $1 million to undertake the second phase of restoration to the Sherburne Inn.

The Village of Waverly will receive $1 million for the restoration of the former village hall, fire station, and police station at 358 Broad St. ESD said the work will create residential units and renovate commercial space.

The first phase of the Southern Tier Agricultural Foundry Development, in the Village of Johnson City, will be allocated $942,300. The money will help rehabilitate 19 Avenue B, addressing vacancy and blight in the urban core.

The Village of Elmira Heights will receive $875,000 for the renovation of the building at the corner of Oakwood Avenue and 14th Street.

The Village of Owego will receive $875,000 to rehabilitate vacant buildings at 167 to 169 and 171 Baldwin Street.

The City of Elmira will get $508,400 for the rehabilitation of the former Schreibman’s and Delaney buildings on Baldwin Street to convert the vacant space into mixed-use properties.

Binghamton will get $60,000 to demolish residential properties at 10 Franklin St., 36 Winding Way, and 168 Oak St.

“With our support, cities and towns are tearing down vacant, blighted buildings and rehabilitating outdated structures to help revitalize their community and generate new economic opportunities,” said Howard Zemsky, the president and CEO of Empire State Development.

C2C launches new design-build firm

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UTICA — On Jan. 1, C2C Construction Solutions, LLC (C2C) opened its doors in downtown Utica. The design-build firm is organized to work under a single contract with a project-owner to provide both design and construction services. “Design-build offers our clients a single point of responsibility that combines the creative element with the contractor’s knowledge

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“Design-build offers our clients a single point of responsibility that combines the creative element with the contractor’s knowledge of how to build,” says David L. Kleps, company president. “Our name — C2C — says it all: ‘Concept to Completion.’ The reason for re-incorporating is to better coordinate our services and ensure the integration of the design and construction processes … To be clear, we are not architects or engineers. C2C has in-house draftsmen who prepare detailed architectural proposal-and-construction plans that are closely reviewed for New York State code compliance. The company hires independent architects and structural, site, mechanical and electrical engineers who carry their own professional-liability insurance. Our philosophy is to keep these functions separate for the client in order to assure independent oversight of our plans.”

The new firm employs 32 people, which includes six in the office and a field crew of 26. “The staff has years of experience constructing all types of buildings, including manufacturing, warehousing, and major rehabilitations of old manufacturing plants, auto dealerships, and custom-vacation homes. We are a Butler Manufacturing Career Builder licensed to erect pre-engineered buildings in Oneida, Madison, Herkimer, and Onondaga counties … To date, our team has been responsible for projects totaling more than 3 million [square] feet. Our focus is on serving the private sector within [a radius of] 100 miles of Utica. C2C is off to a good start for the year with bookings for several new buildings worth more than $8.5 million. I project total sales for 2018 at $12 million to $15 million.”

Historically, the idea of splitting the functions of design and construction didn’t appear until the Renaissance, when artists such as Michelangelo began accepting architectural commissions. By the 20th century, architects and general contractors were usually two distinct entities. “I think the move to combine design and building again gained momentum back in the 1970s,” notes Kleps.

“There are some obvious reasons for the increased acceptance of the design-build process. First, it offers a shorter construction timeline and usually lower costs. Second, the use of pre-engineered buildings ensures better quality control and … [enhances] safety on the job site. Third, design-build allows for more flexibility in responding to unforeseen events and changing circumstances. And finally, combining the design and build processes keeps project owners from being placed between the architect/engineer and the contractor, because the design-build company assumes the responsibility for errors and omissions. In other words, the costs and associated risks of the project are transferred to the design/build team. My four decades of experience tell me that owners prefer to avoid any finger-pointing when problems arise by establishing a single point of responsibility.”

The growing reliance on design-build is confirmed by a 2011 study undertaken by RSMeans Reed Construction Data Market Intelligence, which found that 40 percent of non-residential construction in 2010 was completed by the design-build process. RSMeans also found that design-build was used most frequently in the military sector, followed by the commercial-building construction sector, and the medical-building sector.

Obstacles and opportunities

Kleps noted some potential obstacles to the growth of C2C.

“The increasing acceptance of pre-engineered buildings and the ability to utilize conventional materials on the exterior are clearly driving the demand, but the industry is facing labor shortages,” declares the company’s president. “During the last recession, the building trades lost a lot of skilled labor that’s been hard to replace. Finding skilled craft workers is still a struggle, and I believe it’s the number-one issue facing the industry. Young people today don’t seem to have an interest in construction, in part because the school guidance counselors encourage everyone to go to college. C2C is basically looking for people with a good work ethic who like to work outside with their hands and who are eager to be cross-trained in multiple skills. Our best success has come from hiring local residents with farming and military experience. Fortunately, we have a young crew that is very stable, which gives us a competitive edge … Finding qualified superintendents, however, is more difficult. While we already have seven very qualified superintendents who have collectively been on the team for 80 years, C2C is always looking for additional project superintendents.”

Kleps’ concern about the labor shortage is shared by the Associated General Contractors of America, which recently issued a study showing that 75 percent of member firms surveyed were planning to increase their headcount in 2018 and 78 percent of the same respondents were having difficulty filling skilled-labor positions.

In addition to the problem of potential labor shortages, Kleps is also concerned about rising material costs.

“We’re seeing price increases for our building materials,” he emphasizes. “In recent years, pre-engineered buildings across the industry have typically seen increases of 1 percent to 2 percent annually. But this year, steel-material suppliers have announced an 8 percent increase. To avoid the price increase, one of our clients hurried to place his order, which saved him around $40,000. We’re obviously concerned about the rising costs already announced and uncertain what might happen if the … [current administration] initiates a trade war because of the recently announced [steel and aluminum] tariffs. Equipment costs and rental prices are also increasing, so that’s another area of concern. Thus far, it hasn’t been an impediment to new construction, and interest rates are still historically low.”

Despite industry obstacles, Kleps is optimistic about C2C’s position in the Mohawk Valley. “I think the new tax-reform legislation has given a real boost to business optimism,” he opines. “Lowering the corporate rate has a bigger impact on small corporations, which now have more money to invest back into the business. I’m also bullish because of the resurgence of downtown [Utica], driven by the decision to move the new hospital into the city center. In addition, the potential of the nano-center in Marcy and the drone development being done in Rome will have a huge impact on new construction for the long term. C2C anticipates continued growth, and we’re well positioned to handle it.”

About Kleps

Kleps grew up in New Hartford and graduated in 1976 from Canton ATC (renamed SUNY Canton). He worked for a year in the Mohawk Valley with a local contractor before taking a position in San Francisco with a large firm doing design-build just as the concept was gaining acceptance. While in San Francisco, he worked on the design of two Butler buildings which were shipped to Riyadh, Saudi Arabia. Kleps followed the shipment and spent 16 months supervising the erection of the structures. Returning to Utica in the summer of 1979, he joined Charles A. Gaetano Construction Corp. and spent the next 38 years guiding the design-build division before assuming the position of president with C2C.

C2C scheduled to build new JBF Stainless manufacturing facility

C2C Construction Solutions is under contract to build a new 38,000-square-foot production and corporate-office sited on 5.7 acres in the Herkimer County Rte. 5S South Industrial Park in West Frankfort. The project owner is JBF Stainless, which is in the process of closing on the property next to the Heidelberg Baking Co. The project owner manufactures stainless-steel equipment for the food, beverage, dairy, and cosmetics industries. The JFB project specified a Butler building that includes a building height of 60 feet with capacity for up to 10-ton bridge cranes and up to 5-ton gantry cranes. Construction is slated to begin in April with a scheduled completion in the fall.

JBF Stainless was founded by Jake Feldmeier in 2011. Before founding JBF, he was the president of Feldmeier Equipment, headquartered in Syracuse. JBF Stainless received a $680,000 grant from round-7 of the New York State Consolidated Funding Application process, which represents about 20 percent of the building cost.

— Norm Poltenson

State OKs more than 3,000 acres for hemp cultivation

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ALBANY — More than 60 farms and businesses have received research permits under New York’s Industrial Hemp Agricultural Research Pilot program. “There is a renewed interest in industrial hemp production and processing throughout the country, and with our strong grower community and innovative researchers, New York is in a great position to lead,” Gov. Andrew

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ALBANY — More than 60 farms and businesses have received research permits under New York’s Industrial Hemp Agricultural Research Pilot program.

“There is a renewed interest in industrial hemp production and processing throughout the country, and with our strong grower community and innovative researchers, New York is in a great position to lead,” Gov. Andrew Cuomo said in a news release. “By providing an alternative crop for our farmers, industrial hemp has the potential to change the landscape of our agricultural economy, create jobs and drive growth across the Southern Tier and throughout New York.”

The Industrial Hemp Agricultural Research Pilot Program received applications from more than 100 farms and businesses, 62 have received research permits for the 2018 growing season, according to a release from the governor’s office.

Additionally, 18 New York companies have registered to process industrial hemp.

Going forward, applications for food and fiber research will be accepted on a rolling basis, subject to no deadline. The application is available on the state Department of Agriculture and Markets website.

About 3,500 acres of farmland is approved for hemp research across New York, the state said. That is up from 2,000 acres last season.

According to the release, research projects will focus on using hemp for food, fiber, and grain for the production of animal bedding, insulation, pellets for heating and other consumer uses. Researchers will also look at wellness benefits of cannabidiol, a chemical found in hemp that is often referred to as CBD.

New York State’s $5 million Industrial Hemp Processors Grant Fund was launched last year to enhance hemp processing and support business development. The program helps cover capital costs related to industrial hemp processing, including construction and the purchase of equipment, according to the release.

Southern Tier Hemp

In January, the state also invested $650,000 through the Regional Economic Development Councils to establish a

$3.17 million industrial hemp processing facility in the Binghamton area. Southern Tier Hemp, the company leading this effort, develops, manufactures, and sells CBD-based health products using a proprietary method of extraction.

Assemblywoman Donna Lupardo (D–Endwell) said, “All around the country people are realizing the vast potential of industrial hemp for farmers, processors, manufacturers, and researchers. I am very proud of the leading role New York State is playing in the buildup of this new industry. All eyes are on New York as we show what can happen when government, higher education, farms and other businesses work together on this groundbreaking effort.”

Sen. Thomas F. O’Mara, (R–Big Flats), added, “We have worked steadily over the past several years to move New York State to the forefront of this new industry with the potential to diversify our agricultural economy, generate revenue and create jobs.”

Nationally, industrial hemp generates nearly $600 million per year in sales of a variety of consumer, industrial, and medical products, according to state figures.

Erie Canalway National Heritage Corridor offers grants

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WATERFORD — Seven education and recreation projects will get off the ground this year with funding support from the Erie Canalway National Heritage Corridor. The grants are aimed at “inspiring people to learn more” about New York’s “legendary canals” and further explore the Erie Canalway National Heritage Corridor, according to a Corridor news release. The

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Drone Film Festival organizers seek applicants for State Fair event

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GEDDES — Calling all drone filmmakers. The New York State Fair’s Drone Film Festival and Competition is open for entries until June 30. The competition, which is in its second year, is open to all amateur, professional, and corporate filmmakers who use video from drones in their work. “Competition is open to anybody in the

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GEDDES — Calling all drone filmmakers. The New York State Fair’s Drone Film Festival and Competition is open for entries until June 30.

The competition, which is in its second year, is open to all amateur, professional, and corporate filmmakers who use video from drones in their work.

“Competition is open to anybody in the world,” says Michael Massurin, managing director of the New York State Fair Drone Film Festival. “Last year, we had worldwide submissions.”

The competition “highlights and complements” the state’s investment in growing the unmanned aerial vehicle industry, according to the office of Gov. Andrew Cuomo.

Rules, categories, fees, and other details for the competition can be found on the event website at FilmFreeway.com (search for NYS Fair Drone Film Festival), where filmmakers can also upload their videos for consideration.

The drone competition complements Central NY Rising, the region’s “comprehensive strategy to grow the economy,” according to Cuomo’s office. Central New York and the Mohawk Valley are home to New York State’s drone corridor, a 50-mile area “devoted to cutting-edge” research and development for the “fast-growing” drone industry.

The New York State Fair wanted to present an event about drones that would highlight “in an entertaining way” to help people understand what they’re all about, says Dave Bullard, marketing and public relations manager for the New York State Fair.

“We started talking about a number of ideas that we could execute before last year’s fair,” says Bullard, noting that the talks generated the idea for the film festival.

Both Bullard and Massurin spoke to CNYBJ on March 22.

Bullard notes the discussion included representatives from the NUAIR Alliance, which says it is a “nonprofit coalition of more than 200 private and public entities and academic institutions working to operate and oversee testing of unmanned aircraft systems in New York, Massachusetts, and Michigan.” NUAIR is short for Northeast UAS Airspace Integration Research Alliance.

Submissions

Filmmakers can submit videos in eight categories, including “New York State Drones” for films made only in New York.

“It’s got to be made here in the state somewhere,” says Massurin.

The categories also include “Narrative,” in which drone video helps to tell a narrative story; “Landscape/Architecture” for videos highlighting beautiful or interesting scenes; “Showreel,” in which drone videographers show highlights of their best work; “Sports,” for videos about athletic action; “Student,” for works created by high school or college students; “Corporate/Industrial/Business,” for films that feature drones and/or the people who work with them; and “News,” a new category this year, for videos in which drones contribute to coverage of a news story.

“Drones are increasingly being used to cover news stories,” says Massurin.

In addition, the competition includes a new category: “Drone Photos” for still photographs taken by drones.

“All of the films do not have to be shot completely with drones … a number of them, it’s just a minimal requirement. Most of the films are five minutes in length. The narrative is 10 minutes and corporate industrial is up to 20 minutes,” says Massurin.

Entry fees for most categories are $25. Student entries cost $5 and entries in the corporate category are $50.

Gold, silver, and bronze medals will be awarded in each category. The gold medal winners will also compete for the top prize, Best in Show, which carries a $250 award. Winning videos will be screened at an evening ceremony in the Art & Home Center’s Empire Theater on Sunday, Aug. 26.

The inaugural event attracted 83 entries, 27 of which captured awards, according to Massurin.

Last year’s “Best in Show” video, “Cargo Drones in Amazon: Behind the Scenes,” presented the story of using an unmanned aerial vehicle for the first time to deliver medicine needed to save a snake-bite victim deep into the Amazon rainforest. Other gold-medal videos presented new views of the Erie Canal, took viewers inside an expedition to Alaska, and showed the rugged beauty of Iceland.

“This is a blending of technology and film together,” says Massurin. “It’s really appreciating some of the amazing research that’s being done right here in Central New York.”

Leadership Mohawk Valley honors area individuals, organizations at Follow the Leader Awards dinner

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WHITESBORO — Leadership Mohawk Valley (LMV) held its 16th Follow the Leader Awards dinner on Wednesday, March 21, at Hart’s Hill Inn in Whitesboro. It honored eight individuals and two organizations. The individuals honored were: Lenora D’Apice, Community Wellness Partners; Jacob DiBari, American Building Components; Mark Dudek, The Arc, Oneida-Lewis Chapter; Cathy Newell, Mohawk Ltd.;

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Broome County says coalition will save it millions on prescriptions

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BINGHAMTON, N.Y. — The Broome County government expects to save at least $3.2 million on its health-care spending after joining a pharmacy purchasing coalition. That works out to more than 20 percent in savings on prescription costs for the county, says Thomas Dellapenna, Broome County risk manager. Last year, the county spent about $16 million

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BINGHAMTON, N.Y. — The Broome County government expects to save at least $3.2 million on its health-care spending after joining a pharmacy purchasing coalition.

That works out to more than 20 percent in savings on prescription costs for the county, says Thomas Dellapenna, Broome County risk manager. Last year, the county spent about $16 million on prescriptions for the 6,000 people in its plan.

Those savings come from joining the Keenan Pharmacy Purchasing Coalition, a group of employers and health-care purchasers that says it negotiates better prices for members. Because the coalition represents about 600,000 individuals, it has a lot more leverage, says Dellapenna.

He notes that the county will pay $202,892 to belong to the coalition. Other savings are possible with other programs. A clinical program can save the county an estimated $1.5 million if physicians in the area write prescriptions to maximize value.

Some medications are much less expensive in different doses, so that a medication taken twice a day may be considerably less pricey than the same dose of the medication delivered once a day, Dellapenna explains.

Dellapenna recognizes that change may cause some disruption for people who have to remember to take a second dose and for doctors who will need to check one more thing before prescribing but, he says, the savings are substantial.

“Any time you can talk about saving millions of dollars, it’s a game-changer,” Broome County Executive Jason Garnar said when the program was announced in late February.

Dellapenna says those on county health plans won’t see any change in co-pays. Despite the savings from joining the coalition, health-care costs have steadily increased for the county.

“We’re a rich plan,” Dellapenna says, noting that compared to private-sector employers, the county pays a larger percentage of health-care expenses for plan members.

“Our costs are constantly on the rise so this just helps, he adds. Last year, Broome County spent $49 million on health care, he says, adding that all employees pay a portion of their health-care costs. The cost varies depending on the type of union involved.

About KPPC

The Keenan Pharmacy Purchasing Coalition says it delivers cost savings and prescription management-capabilities for self-funded clients through its group negotiating power. This leads to volume discount pricing, manufacturer rebates, lower dispensing fees, and increased use of lower-priced generic drugs.

KPPC says it is “powered” by Express Scripts (NASDAQ: ESRX), the largest pharmacy benefit-management services company in the United States. Express Scripts generated revenue of $100 billion in 2017.

Contact McChesney at cmcchesney@cnybj.com

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