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Former radio executive opens Oneida County’s first winery
VERONA — After 28 years in media, Mary Jo Beach retired as the vice president/general manager of four radio stations, at Townsquare Media, in the Mohawk Valley to follow her dream. She fulfilled that dream by opening Oneida County’s first winery on Dec. 19. “In 2004, I took my first trip on a wine […]
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VERONA — After 28 years in media, Mary Jo Beach retired as the vice president/general manager of four radio stations, at Townsquare Media, in the Mohawk Valley to follow her dream. She fulfilled that dream by opening Oneida County’s first winery on Dec. 19.
“In 2004, I took my first trip on a wine trail in the Finger Lakes, and I absolutely fell in love with winemaking,” exclaims Beach, the president of Villa Verona Vineyard. (The incorporated name is Vino Verona, LLC.) “It was fun and gave me a happy feeling. I just felt alive. I knew then and there that I wanted to be a part of this. I also knew I wanted to do something locally. This is how the dream began.”
Beach is no stranger to running a successful business. “I spent several years studying the wine industry, especially in New York,” she continues. “I also studied the demographics of the local market and even the traffic flow to determine the best site. That’s why I chose this location, which is about 1.5 miles west of the Turning Stone Resort Casino [on Route 365]. The traffic study confirms that 10,000 cars pass my door every day. In real estate, they say that the three most important things are location, location, location. That’s why I waited until 2013 before I bought this property. It’s the perfect location.”
Beach’s analysis of the wine industry in New York showed that it is not only a major industry, but also that consumption is trending up. A February 2014 report by the Stonebridge Research Group confirms her conclusions. Using 2012 data, Stonebridge identified 320 wineries statewide with 52 off-premise outlets. A total of 1,631 farms produced grapes on 37,000 acres. New York winery revenues alone totaled $553 million plus another $3.3 billion of non-New York state wines, and wine-related tourism added another $400 million from more than 5 million “wine visits.” Another beneficiary of New York’s growing wine business, which includes grape and grape-juice sales, is state and local government, pocketing $408.2 million in tax revenue.
Fast forward to December 2014, and the number of wineries approached 400, a 25 percent increase in two years. The state issued 41 new winery licenses just in 2014, and Wine Enthusiast magazine designated the Empire State as the “Wine Region of the Year (2014),” beating out the Champagne district of France, the Chianti region of Italy, the Sonoma Coast in California, and the Red Mountain area in the state of Washington. Jim Trezise, writing in his weekly column for the New York Wine & Grape Foundation, also noted that in 2014 “[t]op awards went to 753 New York wines in major international competitions, along with rave reviews of wines rated 90 [points] or above in major consumer publications … $4.8 billion … is how much the New York grape and wine industry generated in 2012. [T]hat figure certainly now exceeds $5 billion … [New York is] the 30-year overnight success.”
A major investment
Beach is all in on Villa Verona. “The property, which includes a 1,500-square-foot house and a 1,600-square-foot barn set on two acres, cost me $115,000 plus another $100,000 to get the project up and running. The Mohawk Regional Economic Development Council helped out with a grant of $100,000, and I took out a loan of $400,000. For me, it’s a major capital investment. We have already made eight wines and are in the process of making four more. Of the 12 wines, seven are white, four are red, and there’s one blush made from a variety of grapes including old standards such as Cabernet Sauvignon, Chardonnay, and Riesling and even new hybrids developed by the Cornell [Cooperative] Extension program,” she says.
Beach continues, “We’re on track to produce 3,000 cases in our first year, with catchy names like ‘BFF’ (Bold, Fun, Fruity) and ‘5.0 Shades of Red.’ Villa Verona is currently buying grapes in juice form from Finger Lakes suppliers and relies on vendors to fill the bottles and print the labels; everything else is done on the premises.” Beach has converted the barn to a winery, which includes a tasting area and retail store. The next addition will be a bistro. Beach is the sole stockholder in the business.
The business plan
Beach’s business plan never relied on profit just from the winery. “I always knew that I would have to make Villa Verona a destination if it were to be profitable,” notes the winery’s president. “That means creating multiple revenue streams, including the retail store, the bistro, craft beers, and especially events. Most importantly, I want to create a wine trail here in Oneida County, because that’s what people really enjoy. I picture an oasis complete with tapas, cheese plates, wine, music, and a lovely setting. I know it’s … [counterintuitive] to encourage competition, but the wine trail is very important to the long-term business plan and will benefit both me and other local wineries.” Beach’s goal is to grow from her present three employees to 25 employees within five years.
To implement the business plan, Beach is relying on three decades of marketing and advertising experience. “I started out promoting via social media to gain area recognition,” avers Beach. “We already have 3,500 followers on Facebook, and we encourage all of our visitors to share their emails. Signage is obviously important, and so are the cards we’ve placed in [New York State] Thruway rest areas. We’re gearing up now for advertising in newspapers and on radio and TV. Another area we are beginning to develop is contacts in the bus-tour business. This region attracts hundreds of thousands of visitors every year, and Turning Stone alone attracts 22,000 vehicles a day. Villa Verona has already been successful in featuring its wines in area restaurants, such as Teddy’s in Rome, Carmella’s [Café in New Hartford] … and I hope soon to announce a relationship with a major New York wine distributor.
The Villa Verona staff includes Beach; her daughter, Jennifer Beach Brillante, as the vice president for marketing; and Amy Fiore as the manager. The company has also retained Barry Tortalon as a wine consultant and head winemaker. Tortalon, who has 35 years of industry experience, is currently the winemaker at Rooster Hill Vineyards in Penn Yan. Lloyd Ploof, a Clarkson graduate with a degree in chemistry, who is Beach’s fiancée, also serves as a winemaking consultant. In addition to the support from her consultants and staff, Beach also relies on professional advice from local professional-services firms: Adirondack Bank assists with financing; Feldman & Company CPAs, LLP of Utica provides accounting; and legal services are provided by Dunn, Bruno & St. Leger, LLP of Oneida.
New York wine-business environment
“The best news is the quality and quantity of wine in this state has improved significantly to the point that we are recognized globally for producing world-class wines,” says Beach. “A large part of the credit goes to New York, which has become a real partner with the industry to help promote its popularity and growth. Back in 2005, New York passed a law permitting the direct shipment of wine. Under Gov. [Andrew] Cuomo’s administration, the state has really streamlined and simplified the process for selling wine, beer, and spirits and lowered the cost of doing business. To bolster smaller producers, Gov. Cuomo introduced the first statewide, surety-bond-assistance program to help women- and minority-owned businesses compete. This was followed by allowing wineries to offer complementary food and to sell additional products. The state has backed up its support of the industry by investing heavily in advertising campaigns and by sponsoring annual marketing events. This administration even set up a one-stop shop to help small producers comply with a blizzard of rules and regulations. I was pleasantly surprised when I applied for my winery and bistro licenses that the process only took six weeks.”
Beach, 60, is not only a Mohawk Valley native, but has also spent her entire vocational career here. She is a graduate of Trocaire College in Buffalo with a bachelor’s degree in business administration. In addition to her dream of creating a winery as a destination and putting Oneida County on the wine map by encouraging others to join her in building an area wine trail, Beach is also determined to seeing her family continue the commitment to the region.
Free community colleges: Getting ahead of the future
The future ain’t what it used to be. — Yogi Berra UTICA — “The world is changing faster than any one of us can comprehend,” says Randall J. (Randy) VanWagoner, Ph.D., president of Mohawk Valley Community College (MVCC), which was the first community college founded in the state. “That means the future
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The future ain’t what it used to be. — Yogi Berra
UTICA — “The world is changing faster than any one of us can comprehend,” says Randall J. (Randy) VanWagoner, Ph.D., president of Mohawk Valley Community College (MVCC), which was the first community college founded in the state. “That means the future is here. Our role at MVCC is to get ahead of the future and plan a curriculum that meets our mission.
“In an increasingly competitive world,” he continues, “America’s economic strength depends on the education and skills of its workforce. In just five years from now, 35 percent of job openings will require at least a bachelor’s degree and another 30 percent will require an associate degree. [Or viewed another way], … jobs requiring an associate degree are projected to grow almost twice as fast those requiring no college education. That means that America’s 1,100 community colleges, which currently enroll more than 6 million students, will need to accommodate another 5 million.”
On Jan. 9, President Barack Obama proposed to make “… two years at community colleges free for responsible students.” Full-time students could save an average of $3,800 in tuition per year. To receive the necessary funding, the community colleges must strengthen their programs by increasing the number of students who graduate, ensure that their programs are transferrable to local, four-year public colleges and universities, and attain high graduation rates that lead to degrees or certificates; the states must invest more in higher education, reduce the need for remediation and repeated courses, and allocate a significant portion of funding based on performance; and the students must attend school at least half-time, maintain a 2.5 GPA, and make steady progress toward completing their program. In addition to the free-tuition proposal, the president also proposed the American Technical Training Fund to establish 100 training centers targeted to help high-potential, low-wage workers. These centers are anticipated to have strong employer partnerships that include work-based learning and accelerated training.
“At first glance, this is a bold proposal,” opines VanWagoner, “that carries a $9 billion annual price tag. But remember that it was only a century ago that America opted for free secondary education not just to promote economic prosperity but also to ensure an educated citizenry, which is fundamental to a democracy. Our country thrived, in large part, because we had the most-educated workforce in the world. In today’s global economy, however, we can’t rest on our laurels. In retrospect, perhaps the president’s proposal isn’t radical at all: it’s just a continuation of our 100-year-old commitment.”
MVCC’s evolution
MVCC’s president then reminded this reporter why community colleges were established. “In 1946, millions of veterans were returning from WWII,” he notes. “The GI Bill guaranteed them free admission to higher education. The leaders in this community established MVCC to respond to the need and to mirror the community’s needs. Community colleges are unique because they are at the nexus where education, business, government, and the community intersect. Our mission included affordable tuition, an open-admissions policy, flexible course schedules, and convenient locations, all designed primarily for local students who are older, working, or need remedial classes. In 1946, MVCC sponsored two program clusters: one in engineering and the other in retail/business. Students in each program spent six weeks per semester in class and the other six weeks in the workforce garnering practical experience. While the curriculum may have changed over the past seven decades, the mission is the same.”
Today, the average age of students at MVCC is 24. “Half of our 7,000 students are on a career path and the other half have plans to transfer to a four-year institution,” states VanWagoner. “Most of them commute, and another 515 students live in residence halls. About 20 percent of entering students transfer on to a four-year college or university. Eighty percent of our students work while attending school. MVCC also serves a large refugee/immigrant population with [approximately] 250 students pursuing an ESL (English-as-a-second-language) certificate. Our graduation rate is 23 percent, which is on par with the average rate among SUNY community colleges. MVCC’s overall success rate rises to 41.7 percent when you include students who graduate or transfer within three years of enrolling full time. About 75 percent of the students are from Oneida County. The Utica campus enrolls 65 percent of our students, the Rome campus serves 12 percent, 12 percent study online, 8 percent take dual-credit classes in area high schools, and 4 percent study at other off-campus sites. The student body is 74 percent white, 6.5 percent African–American, 4 percent Asian, 5.5 percent Hispanic, and the remainder is either multi-racial or unknown.”
Funding
Trends in financial support of community colleges show that the burden is falling increasingly on students. “MVCC receives 27 percent of its funding from New York state, 22 percent from the county, 46 percent from tuition, and the remaining 5 percent from other sources such as grants,” stresses VanWagoner. “Student enrollment is countercyclical to the economy, which means in times of recession our enrollment grows, and when the economy recovers, our enrollment declines. Currently, funding from the state is based on enrollment, but the state share has been gradually shrinking in comparison to county and tuition revenues.
“Now, the state’s reimbursement system based on enrollment is about to change,” observes MVCC’s president, “and so is the federal contribution. New York will soon join 33 other states which have instituted performance-based funding. Government wants the same things we do: to graduate more students within a shorter time-frame; improve student retention rates; enhance job placement; boost post-graduation compensation levels; and create milestones for credits earned, for example, success rates in remedial coursework. A portion of our government funding will be dependent on meeting established goals along these lines. To me, it’s imperative that we meet the new standards without lowering our academic standards, inflating grades, or restricting our open-door policy.”
Partnerships with business
One thing that hasn’t changed is MVCC’s commitment to working with business. “The president’s proposal for free tuition wants community colleges to build partnerships with business to create career pathways,” posits VanWagoner. “We’ve been doing that since we opened our doors. The college works closely with area businesses on worksite-education programs that build essential skills. We design training that is relevant to the local market, including machine shops, the aviation industry, and the health-care community, and likely to lead to employment and careers. We are also designing courses for emerging industries: nanotechnology, which fits into our electronics and semi-conductor curriculum; unmanned aerial systems, which is an extension of our aviation-maintenance curriculum; and cybersecurity, which is a collaboration with Utica College and SUNY Polytechnic Institute. All three are turning the region into a technology center and regional powerhouse. Local employer reps sit on our advisory committees that shape the institution’s curricula, and more than 40 area employers offer paid internships to our students.”
VanWagoner returns to the president’s proposal with these thoughts: “Back in January, I wrote a blog entitled ‘A Big Idea for a Big Problem,’ ” he reflects. “Like most transformative ideas, we need time to consider all of the implications. Free tuition at community colleges would certainly accelerate a better-trained workforce, which will surely benefit the country economically and perhaps even help to close the wealth gap. It will also deal with the ballooning student-loan debt, which now surpasses all of America’s credit-card debt. (February figures put student-loan debt at $1.16 trillion.) The financial wreckage of our higher-education system is on display every day at our admissions office. Getting a degree while working is hard, but we also know that human beings try harder and perform better when they have some skin in the game. Should we ask students to contribute something to their education? In addition, America needs to deal with its … [obsession] that all high-school graduates should attend four-year institutions of higher learning regardless of their interests or level of preparedness. Society has a narrow understanding of success which has significant negative consequences. At minimum, the president’s proposal should begin a national conversation.”
MVCC, which was founded in 1946, operates from two campuses — one in Utica and one in Rome — and from off-campus locations. In the academic year 2014-15, the school enrolled 4,024 full-time and 3,124 part-time students. The full-time faculty and staff numbered 419 and total employment was 733. The projected annual budget was $52.6 million. In-state tuition was $3,810 and room and board cost $9,800. Sixty-nine percent of the students receive financial aid, and the college boasts nearly 44,000 alumni.
VanWagoner serves as the fifth president of MVCC, a position he has held since 2007. He came to the Mohawk Valley, having served as the chief academic officer at Metropolitan Community College in Omaha and as the chief student-affairs officer at Red Rocks Community College in Golden, Colorado. He received his graduate degrees from the University of Michigan. He and his wife, Jennifer, live with their two daughters in New Hartford.
People news: Housing Visions hires Creighton as marketing manager
SYRACUSE, N.Y. — Housing Visions Unlimited, Inc. — a nonprofit development, construction, and property management company focusing on affordable housing — announced it has hired
New trampoline park set to open in Cicero soon
CICERO — Trampoline and game enthusiasts will soon have a new place to play. A new trampoline park, called Get Air Syracuse, is under construction at Circle Road Plaza on Frontage Road in Cicero — in the space where Roberts Office Furniture Concepts Inc. was previously located. The park, developed by the company
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CICERO — Trampoline and game enthusiasts will soon have a new place to play.
A new trampoline park, called Get Air Syracuse, is under construction at Circle Road Plaza on Frontage Road in Cicero — in the space where Roberts Office Furniture Concepts Inc. was previously located.
The park, developed by the company Get Air Syracuse LLC, is expected to be completed and open for business sometime between late March and early April. That was the estimate as of Feb. 24, according to Ryan Wicks, the Get Air Syracuse general manager.
Wicks — a Syracuse native who says his background is in customer service with more than 15 years of managerial experience in the restaurant industry — is currently in the process of hiring between 30 and 35 employees to staff the trampoline park. Most positions will be part time, except for three or four full-time positions for the assistant manager and shift leaders, he says.
The new park is part of a larger expansion into the state by Utah–based Get Air Management, the parent company of Get Air Syracuse. Get Air trampoline parks are planned for Buffalo, Rochester, and possibly Utica, according to Van Stapley, a managing member of SI International, LLC, an investment group (also based in Utah) that is the majority owner of Get Air Syracuse. Stapley says Get Air Syracuse is being funded internally; no line of credit is being used. He would not disclose the project’s costs.
SI International partners with companies that are trampoline-park innovators, says Stapley — companies such as Trampoline Parks LLC, which is building the Get Air Syracuse park. Stapley was formerly the vice president of Trampoline Parks LLC.
He says Get Air Management’s expansion into upstate New York has to do with the market he sees here. “We must believe the [upstate] market is going to be a phenomenal market,” he says, adding that he sees the winter weather as a benefit, since people are looking for something to do [inside].
More than 40 Get Air trampoline parks are either planned, under construction, or open across the U.S.
The Cicero facility
Get Air Syracuse has about 36,000 square feet of indoor floor space, says Wicks. It will boast many different games and features — some that use trampolines and some that don’t. They include Archery Tag, which features foam-tipped arrows; pickleball, a game similar to badminton and tennis; a basketball dunk area with trampolines, as well as a regular basketball half-court; and rock-wall climbing.
The park will have four ninja courses (a type of obstacle course) that will range in difficulty from “beginner” to “extremely difficult.” An arcade game area is on tap, featuring a number of active games such a foosball, ping pong, table hockey, and shuffleboard, as well as a large “kiddie” section for young children.
A mezzanine is being built, which Wicks says will be a lounge for adults, possibly with televisions and coffee. Stapley also sees the mezzanine as a space to bring in DJs, have birthday parties, and for teenagers to spend time in the evenings. “We’re going to be a family-oriented center,” says Wicks. “We’re going to have something for everybody.”
Stapley says the Get Air Syracuse building is one of the best he has seen during his time developing trampoline parks across the country. The high ceiling and large floor plan affords more flexibility than most Get Air locations. He intends to use that flexibility by constantly rotating different features in and out of the park to keep it fresh.
The Sky Zone Indoor Trampoline Park on Erie Boulevard in DeWitt, which opened last year, projects to be Get Air’s immediate competition. But Wicks notes that any place that offers indoor recreation or indoor activities is a competitor, including laser parks and Wonderworks at Destiny USA.
Wicks says some pricing details are still being ironed out, but set in stone are one-hour and two-hour rates for $16 and $25, respectively. Those passes include the use of the arcade area, basketball half-court, and other non-trampoline features, he says. There is a two-hour limit for playing on the trampolines for injury-liability reasons, says Wicks. He also wants to give customers the option of using non-trampoline sections of the park for a lower price.
Wicks says a gaming room is being built as well, with video-game consoles, the use of which will be priced independently from the rest of the park.
In the summer months, he plans to make use of the roughly 15,000 to 20,000 square feet of outdoor space beside the building that Get Air Syracuse has fenced off. Wicks says he is teeming with ideas for how to use the space. “Barbecues, ice-rink, the possibilities are unlimited as to what we can do,” he says. “I don’t turn down any ideas.”
Stapley would also like to take the ninja courses outside, and try out some water-based courses.
Wicks is emphatic about getting the park involved in the community. “Anything that will help the community to grow, we’re all about.” He says he has set into motion a first-responders night for Cicero–area firefighters, EMTs, and police. Wicks wants to make it a yearly event and, depending on the success, expand it to include first responders throughout the county.
He says he has also been in contact with some area nonprofits and charitable organizations, with the hope of utilizing the park’s facilities to host weekly fundraisers. On top of that, Wicks wants to build a network with other local businesses. “We’re going to be involved 100 percent locally with our community,” he says.
New York tackles Medicaid reform with DSRIP
New York state, at Gov. Andrew Cuomo’s direction, continues to implement the most dramatic health-care reform of any state in the country. The state’s reform initiatives directly affect the 25 percent of New Yorkers (6 million citizens) who are eligible for Medicaid. Beginning with the 79 recommendations of the Cuomo-appointed Medicaid Redesign Team (MRT)
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New York state, at Gov. Andrew Cuomo’s direction, continues to implement the most dramatic health-care reform of any state in the country. The state’s reform initiatives directly affect the 25 percent of New Yorkers (6 million citizens) who are eligible for Medicaid.
Beginning with the 79 recommendations of the Cuomo-appointed Medicaid Redesign Team (MRT) in 2011, the state Department of Health has been on an ambitious Medicaid-reform track to try to control the more than $50 billion of annual New York state (NYS) Medicaid expenditures. In March 2014, the state negotiated an agreement with the federal Centers for Medicare and Medicaid Services that requires transformation of the NYS Medicaid program from a fee-for-service (or FFS) to a value / performance-based reimbursement system, commonly referred to as pay-for-performance (P4P). Most health-care experts acknowledge that a transformation of this magnitude should take up to 10 years. New York continues to focus on a 3-5 year implementation plan, with 2015 representing a key transition point toward satisfying the transformational objectives.
As you know, we can’t do anything in health care without creating a few more acronyms. The Delivery System Reform Incentive Payment Program (DSRIP) serves as the umbrella description for the process of Medicaid reform. Under the DSRIP agreement between the state and federal governments, NYS can receive up to $8.5 billion of performance incentive payments ($6.5 billion for non-governmental service providers). The primary objectives of the DSRIP implementation over the next five years are as follows:
– Reduce/eliminate avoidable hospital emergency room visits by 25 percent
– Reduce avoidable hospital in-patient admissions by 25 percent
– Reduce hospital readmissions by 25 percent
Reducing hospital utilization is the same objective that spawned the implementation of managed-care insurance plans some 40 years ago, following the federal Health Maintenance Organization (HMO) Act of 1973. Managed care for the employed population covered by HMOs essentially failed in its objective, which has led us to the proliferation of consumer-directed health plans, employer self-insurance, and medical-cost shifting from employers to employees.
The stated goals of the DSRIP initiative are addressing a monumental challenge. The foundation structure of DSRIP is dependent upon the success of Performing Provider Systems (PPS). A PPS is a coalition of regional health and human-service providers linked to a lead hospital/health system.
The stated goals of DSRIP are:
– Promote community-based collaboration among health and human-service providers working in concert with the PPS lead health-care systems.
– Improve clinical performance, quality, and service outcomes to achieve primary P4P objectives.
– The $6.5 billion of DSRIP performance incentives will require a 25 percent reduction in “avoidable hospital use” over the next five years (i.e., primarily ER visits and hospital admissions/readmissions).
The success of the DSRIP initiative will be dependent upon the unprecedented cooperation and collaboration of hundreds of health and human-service providers in each of the 11 PPS regions of the state.
Last August, 88 applications were submitted for consideration and state approval to form PPS organizations. After approving 42 of the applications, coupled with consolidation of certain applicants, we now have 25 PPS organizations being formed in response to the DSRIP initiative. Each of these 25 fledgling PPSs generally involves hundreds of community-based network providers who will have to learn quickly to “play in the sandbox” together.
The DSRIP design structure identified more than 35 project initiatives for the PPS entities to address in their recently submitted Project Plan Applications (December 2014), in the following areas:
– Health-care system transformation projects
– Clinical-improvement projects emphasizing care coordination
– “Population Health” focused on a preventive-care agenda
The entire DSRIP initiative is proceeding at a break-neck pace. For example, the PPS Project Plan initiatives submitted in December require each PPS to select up to 10 initiatives from the 35 identified by the DSRIP team, These applications are being evaluated in the first quarter of 2015 with approval of project plans and grant awards in April.
As a taxpayer, it is hard to argue with the concept and stated objectives of the DSRIP initiative. The timing and coordination of Project Plan implementation, along with provider collaboration, will be a critical component of success. For many health and human-service providers, these project initiatives represent a seismic restructuring of the service-delivery system which has been carefully developed by NYS over the past 50 years since the enactment of Medicaid and Medicare legislation in 1965.
As a nonprofit board and/or management team member, the DSRIP PPS initiative will require timely evaluation and decision-making processes. Organizations that serve one or more of the high-cost vulnerable populations will be most significantly affected:
– Elderly — nursing-home residents/home-care services
– Mental health — Community-based integration coupled with case management to avoid hospital utilization
– Substance abuse — Rehabilitation in community-based program sites
– Intellectual/developmentally disabled — provide services in the least-costly, community-integrated location emphasizing independence and self-sufficiency
– At-risk youth — increased use of foster care in the home while diverting services away from institutional-based services
Services to these vulnerable populations will require effective strategic positioning of your organization to achieve success in this transformational restructuring of Medicaid service delivery. –
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Gerald J. Archibald, CPA, is a partner in charge of the management advisory services at The Bonadio Group. Contact him at garchibald@bonadio.com
Woodbine begins construction on student-apartment complex Skyler Commons
SYRACUSE — Construction is underway on Skyler Commons, a student-apartment building at 908 Harrison St., between University Avenue and South Crouse Avenue — near the Syracuse University campus. The Woodbine Group, which owns and will operate the 42,000-square-foot complex, announced the start of construction in a news release on Feb. 5. The construction
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SYRACUSE — Construction is underway on Skyler Commons, a student-apartment building at 908 Harrison St., between University Avenue and South Crouse Avenue — near the Syracuse University campus.
The Woodbine Group, which owns and will operate the 42,000-square-foot complex, announced the start of construction in a news release on Feb. 5.
The construction site is just east of the Hotel Skyler, which the Woodbine Group also owns and operates.
The Woodbine Group operates at 505 E. Fayette St. in Syracuse.
The four-story Skyler Commons building, which is scheduled to open for the start of the 2015-16 academic year, will include 80 apartments specifically designed for the university market.
College students have told the Woodbine Group “over and over” that they want to live in either one-room or “flat-style” apartments, says Thomas Fernandez, director of business development at the Woodbine Group.
“That’s something that really isn’t in the market right now. There’s only a handful that are available. They seem to be the most sought after,” he adds.
The Woodbine Group also owns Copper Beach Commons, which is located across from the Genesee Grande Hotel, another Woodbine property. Copper Beach Commons opened in 2012, representing Woodbine’s first project targeting student housing, says Fernandez.
The Skyler Commons project costs about $5.2 million. The Syracuse Industrial Development Agency approved a sales-tax exemption worth $96,000 on construction materials and a mortgage-recording tax exemption worth $52,000 for a total savings of $148,000, according to Fernandez.
Woodbine started planning for the project about a year ago, says Fernandez.
Syracuse Woodbine Associates is the firm handling project construction. Woodbine also works with Edwin Harrington, a local architect who has previously worked with Woodbine on Copper Beach Commons, the Genesee Grande Hotel, and Hotel Skyler.
The studio, single-occupancy apartments will be “fully furnished” with a kitchen and a flat-screen television. The 400-square-foot units will have high ceilings and offer built-in cabinetry storage.
The Skyler Commons apartments will rent for $1,250 per month on 11-and-a-half month leases with utilities, cable television, and Wi-Fi Internet service available.
“We’re one block from the core of campus, so we really become the closest non-SU student housing in the area, so I think that’s really something that’ll draw a lot of attention,” says Fernandez.
Norman Swanson is president and owner of the Woodbine Group, which launched in 1978.
The company has named the upcoming student-housing facility after Swanson’s grandson, Skyler, whose name is also on the nearby Hotel Skyler that Woodbine opened in 2011. –
CNY Construction Projects 2015
In the past year, numerous commercial construction projects — some just started, some ongoing, and some completed — give evidence to the fact that Central New York is still building and growing. They include the retail, hospitality, education, health care, municipal, nonprofit, and sports sectors. See what Central New York is building. Projects are arranged
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In the past year, numerous commercial construction projects — some just started, some ongoing, and some completed — give evidence to the fact that Central New York is still building and growing. They include the retail, hospitality, education, health care, municipal, nonprofit, and sports sectors.
See what Central New York is building. Projects are arranged in alphabetical order by the name of the construction, architecture, or engineering firm.
Note: Not all companies we surveyed submitted projects and not all submissions could be printed. –
Ashley McGraw Architects, D.P.C.
Onondaga Nation Fire Station and Community Hall
– Project Location: Nedrow
– Approximate Square Footage: 1,200
– Start Date: February 2014
– Completion Date: March 2015
– Building Owner: Onondaga Nation
– Architect: Ashley McGraw Architects
– Engineer: IPD: Engineering
– Landscape Architect: Environmental Design & Research
– General Contractor: Onondaga Nation
– Primary Subcontractors: St. Germain & Aupperle (Structural)
Southern Tier High Technology Incubator
– Project Location: Binghamton
– Total Construction Cost: $19 million
– Approximate Square Footage: 35,000
– Start Date: October 2014
– Expected Completion Date: September 2016
– Building Owner: STHTI
– Architect: Ashley McGraw Architects
– Engineer: Pathfinder Engineers & Architects
– Landscape Architect: M.J. Engineering and Land Surveying
– Primary Subcontractors: Ravi Engineering (Structural)
Aubertine and Currier Architects, Engineers & Land Surveyors, PLLC
New Office Building for Bowers & Company CPAs
– Project Location: Watertown
– Total Construction Cost: $750,000
– Approximate Square Footage: 7,500
– Start Date: September 2014
– Completion Date: December 2014
– Building Owner: Bowers & Company CPAs
Thousand Islands Inn
– Project Location: Clayton
– Total Construction Volume: $1 million
– Approximate Square Footage: 7,800
– Start Date: October 2014
– Expected Completion Date: March 2015
– Building Owner: Thousand Islands Inn LLC
Barton & Loguidice, D.P.C.
Ithaca Falls Overlook Environmental Restoration Project (Ithaca Gun)
– Project Location: City of Ithaca
– Total Construction Cost: $1.5 million
– Start Date: July 2011
– Completion Date: 2015
– Building Owner: City of Ithaca
– Engineer: Barton & Loguidice, D.P.C.
– General Contractor: Paragon Environmental Construction
– Financing Source: Clean Water/Clean Air Environmental Bond Act ERP State Assistance Contract USEPA Brownfield Cleanup Grant
Eastern Shore Water System
– Project Location: Towns of Richland and Sandy Creek
– Total Construction Volume: $14 million
– Approximate Square Footage: 40 miles
– Start Date: December 2009
– Completion Date: 2014
– Building Owner: Town of Sandy Creek/town of Richland
– Construction Manager: Barton & Loguidice, D.P.C.
– Financing Source: NYSEFC DWSRF
BCA Architects & Engineers
Dialysis Center and Main Entrance
– Project Location: Lowville
– Total Construction Cost: $1.5 million
– Approximate Square Footage: 5,000
– Start Date: July 2013
– Completion Date: July 2014
– Building Owner: Lewis County General Hospital
– Construction Manager: BCA Construction Managers
– Architect & Engineer: BCA Architects & Engineers
– General Contractor: Northern Tier Contracting
Beardsley Architects + Engineers
Verona Beach State Park Bathhouse and Concession Building
– Project Location: Verona Beach
– Total Construction Cost: $3 million
– Approximate Square Footage: 10,000
– Start Date: November 2012
– Completion Date: November 2014
– Building Owner: New York State Office of Parks, Recreation and Historic Preservation
– Architect/Engineer/Landscape Architect: Beardsley Architects + Engineers
– General Contractor: Diamond and Thiel Construction Company, Inc.
– Primary Subcontractors: Bellucci Enterprises Inc.; Patricia Electric; D’Amico Plumbing & Heating
– Financing Source: New York State
Bette & Cring, LLC
New Academic Building at SUNY Upstate Medical University
– Project Location: Syracuse
– Total Construction Cost: $33 million
– Approximate Square Footage: 75,000
– Start Date: November 2013
– Expected Completion Date: March 2016
– Building Owner: SUNY Upstate Medical University
– Construction Manager: Whiting-Turner Contracting Company
– Architect: EwingCole
– Engineer: RMF Engineering, Inc
– Landscape Architect: EDR Environmental Design & Research
– General Contractor: Bette & Cring, LLC
– Primary Subcontractors: Hayward Baker, Raulli & Sons, Henderson-Johnson Co., DS Specialties, CHC Group, Schindler, JE Sheehan, DEMCO, Allied Fire Protection
– Financing Source: State university construction fund
St. Joseph’s Hospital Cogeneration Plant
– Project Location: Syracuse
– Total Construction Volume: $15 million
– Approximate Square Footage: 3,200
– Start Date: August 2012
– Completion Date: December 2014
– Building Owner: St. Joseph’s Hospital Health Center
– Construction Manager: Bette & Cring, LLC
– Architect & Engineer: CHA
– General Contractor: Bette & Cring, LLC
– Primary Subcontractors: Burns Bros. Contractors, Allied Electric Company, Raulli & Sons, Robert H. Law Inc., Josall Syracuse
C&S Companies
Carrier Dome Rainwater Harvesting
– Project Location: Syracuse
– Total Construction Cost: $1 million
– Start Date: May 2014
– Completion Date: October 2014
– Building Owner: Syracuse University
– Engineer: C&S Companies
– General Contractor: The Hayner Hoyt Corporation
– Financing Source: Environmental Facilities Corporation
Griffiss International Airport Gateway Terminal
– Project Location: Rome
– Total Construction Volume: $6.3 million
– Approximate Square Footage: 16,200
– Start Date: May 2014
– Completion Date: February 2015
– Building Owner: Oneida County Department of Aviation
– Construction Manager/Architect/Engineer: C&S Companies
Charles A. Gaetano Construction Corporation
Accelerate Sports Complex Facility
– Project Location: Whitesboro
– Total Construction Volume: $3.7 million
– Approximate Square Footage: 104,527
– Start Date: May 2014
– Completion Date: November 2014
– Building Owner: Accelerate Sports Complex Facility, LLC
– Architect: Mark Domenico Architect PLLC
– Engineers: Delta Engineers, Architects, & Land Surveyors; Almy & Associates; Kernan Consulting Engineers
– General Contractor: Charles A. Gaetano Construction Corp.
– Primary Subcontractors: H.J. Brandeles, abj Fire Protection, Weydman Electric
Liberty Gardens Housing Revitalization
– Project Location: Rome
– Total Construction Cost: $34.7 million
– Approximate Square Footage: 207,363
– Start Date: June 2011
– Completion Date: January 2015
– Building Owner: OMNI Development Company, Inc.
– Construction Manager: Charles A. Gaetano Construction Corp.
– Architect: RIDA Architecture, PLLC
– Engineer: Friedman Fisher Associates
– General Contractor: Charles A. Gaetano Construction Corp.
– Primary Subcontractors: Fred Burrows Trucking & Excavating, Woodcock & Armani, DEMCO New York Corp.
Dalpos Architects & Integrators
Apizza Regionale
– Project Location: Downtown Syracuse
– Approximate Square Footage: 1,900
– Start Date: October 2014
– Expected Completion Date: July 2015
– Building Owner: Great Crust, LLC
– Architect: Dalpos Architects & Integrators
– Engineers: Palucci Engineering PC (Structural); Integrated Design (MEP)
Druger Eye Care
– Project Location: Camillus
– Approximate Square Footage: 9,000
– Start Date: November 2014
– Completion Date: September 2015
– Building Owner: Druger Eye Care
– Architect: Dalpos Architects & Integrators
– Engineers: Palucci Engineering PC (Structural); Argus Engineering PLLC (MEP); Keplinger Freeman Associates (Site/Civil)
– Landscape Architect: Kelinger Freeman Associates
G.M. Crisalli & Associates, Inc.
SUNY Upstate Transitional Care Renovations
– Project Location: Upstate Medical University, Community Campus
– Total Construction Cost: $1.8 million
– Approximate Square Footage: 12,300
– Start Date: December 2013
– Completion Date: June 2014
– Building Owner: SUNY Upstate Medical University
– Architect: CannonDesign
– General Contractor: G.M. Crisalli & Associates, Inc.
Thurston Avenue Apartments
– Project Location: Ithaca
– Total Construction Volume: $3.6 million
– Approximate Square Footage: 28,400
– Start Date: November 2013
– Completion Date: September 2014
– Building Owner: RABCO Highland House
– Architect: HOLT Architects
– General Contractor: G.M. Crisalli & Associates, Inc.
The Hayner Hoyt Corporation
Anaren Clean Room
– Project Location: Syracuse
– Total Construction Volume: $2.5 million
– Approximate Square Footage: 16,000
– Start Date: September 2014
– Completion Date: December 2014
– Building Owner: Anaren Microwave, Inc.
– Construction Manager: The Hayner Hoyt Corporation
– Architect: Bonacci Architects, PLLC
– Engineer: IPD: Engineering
– Primary Subcontractors: Century Heating & Air Conditioning
St. Joseph’s Hospital Health Center
– Project Location: Syracuse
– Total Construction Cost: $92 million
– Approximate Square Footage: 188,000
– Start Date: February 2012
– Completion Date: July 2014
– Building Owner: St. Joseph’s Hospital Health Center
– Construction Manager: The Hayner Hoyt Corporation
– Architect: King + King Architects
– Engineers: John P. Stopen Engineering, Sack & Associates
– Landscape Architect: Appel Osborne Landscape Architecture
– Primary Subcontractors: Huen NY Inc., Burns Bros Contractors, Edward Schalk & Son, J&K Plumbing & Heating
Holmes King Kallquist & Associates, Architects, LLP
Hotel Syracuse
– Project Location: Syracuse
– Total Construction Cost: $57 million
– Approximate Square Footage: 480,000
– Start Date: August 2014
– Expected Completion Date: March 2016
– Building Owner: Ed Riley
– Construction Manager: The Hayner Hoyt Corporation
– Architects: Holmes King Kallquist & Associates Architects and MLG Architects
– Engineer: IPD:Engineering
– General Contractor: The Hayner Hoyt Corporation
Onondaga County Library, Robert P. Kinchen Central Library
– Project Location: Syracuse
– Total Construction Volume: $5.2 million
– Approximate Square Footage: 108,000
– Start Date: August 2014
– Expected Completion Date: April 2016
– Building Owner: Onondaga County
– Construction Manager: 1st Point
– Architect: Holmes King Kallquist & Associates Architects
– Engineer: RAM-TECH Engineers
– Landscape Architect: EDR
– General Contractor: 1st Point
HOLT Architects, P.C.
Cayuga Birthplace
– Project Location: Ithaca
– Total Construction Cost: $9.8 million
– Approximate Gross Square Footage: 18,000
– Start Date: April 2013
– Completion Date: July 2014
– Building Owner: Cayuga Medical Center at Ithaca
– Construction Manager: LPCiminelli
– Architect: HOLT Architects
– Engineer: Sack & Associates
– Primary Subcontractors: T.G. Miller, Sack & Associates, Ryan Biggs I Clark Davis Engineering & Surveying, Health Strategies & Solutions
Library Transformation & Learning Commons
– Project Location: Corning
– Total Construction Volume: $7.8 million
– Approximate Gross Square Footage: 33,800
– Start Date: April 2013
– Completion Date: January 2015
– Building Owner: Corning Community College
– Architect: HOLT Architects
– Engineers: DPC Engineering, Elwyn & Palmer Consulting Engineers, Fagan Engineers & Land Surveyors
– Landscape Architect: HMH Site & Sports Design
– General Contractor: Welliver
– Primary Contractors: Frey & Campbell and Mills Electric
– Financing Sources: Chemung, Schuyler, and Steuben counties, SUNY, USDA Rural Development, Corning Incorporated Foundation, private gifts
Hueber-Breuer Construction Co., Inc.
The Cottages at Garden Grove
– Project Location: Cicero
– Total Construction Cost: $24 million
– Approximate Square Footage: 102,000
– Start Date: March 2013
– Completion Date: July 2014
– Building Owner: Loretto, Inc.
– Construction Manager: Hueber-Breuer Construction Co., Inc.
– Architect: SWBR
– Engineer: Turner Engineering
– Landscape Architect: L.J.R. Engineering
– General Contractor: Hueber-Breuer Construction Co., Inc.
– Primary Subcontractors: General Interiors LanCo
– Financing Sources: Century Health and HUD (Housing and Urban Development)
Dineen Hall at Syracuse University College of Law
– Project Location: Syracuse
– Total Construction Volume: $60 million
– Approximate Square Footage: 200,000
– Start Date: August 2012
– Completion Date: July 2014
– Building Owner: Syracuse University
– Construction Manager: Hueber-Breuer Construction Co., Inc.
– Architect: Gluckman Mayner Architects
– Engineers: M/E Engineering and John P. Stopen Engineering partnership
– Landscape Architect: Clear Landscape and Urban Design
– Primary Subcontractors: Burns Bros., Henderson-Johnson, O’Connell Electric, CHC Construction
– Financing Source: Private
Klepper, Hahn & Hyatt
Bernthal Way Plaza Restoration
– Project Location: Downtown Syracuse (north side of John H. Mulroy Civic Center)
– Start Date: September 2012
– Completion Date: June 2014
– Building Owner: Onondaga County
– Architect: Bell & Spina Architects, P.C.
– Engineer: Klepper, Hahn & Hyatt
– Landscape Architect: Keplinger Freeman Associates
– General Contractor: S.J. Thomas Company
– Primary Subcontractors: Kevin Bruno, Inc. Concrete Construction; Vitale & Robinson Companies; CME Associates, Inc.; E.J. Construction Group, Inc.
– Financing Source: Public
Day Hall Facade Restoration
– Project Location: Syracuse University Campus
– Start Date: October 2013
– Expected Completion Date: August 2015
– Building Owner: Syracuse University
– Engineer: Klepper, Hahn & Hyatt
– General Contractor: Driscoll Masonry Restoration, Inc.
– Primary Subcontractors: Envirologic of New York; CME Associates, Inc.
– Financing Source: Private
LeChase Construction Services, LLC
SUNY Upstate Medical University Cancer Center
– Project Location: Syracuse
– Total Construction Cost: $78.7 million
– Approximate Square Footage: 158,000
– Start Date: March 2011
– Completion Date: May 2014
– Building Owner: SUNY Upstate Medical University
– Construction Manager: LeChase Construction Services, LLC
– Architect: EwingCole
National Structures, Inc.
Metro Matress
– Project Location: Norwich
– Total Construction Volume: $400,000
– Approximate Square Footage: 3,200
– Start Date: September 2014
– Completion Date: December 2014
– Building Owner: Pioneer Companies
– Architect/Engineer: Hogan Engineering
– General Contractor: National Structures Inc.
– Primary Subcontractors: J & C Mechanical of Northern NY Inc., Drain Masters
Planet Fitness
– Project Location: Riverside Mall, Utica
– Total Construction Cost: $900,000
– Approximate Square Footage: 24,000
– Start Date: July 2014
– Completion Date: December 2014
– Building Owner: Planet Fitness, Inc
– Architect: C2 Design | Architecture, PC
– Engineer: C2 Design | Architecture, PC
– General Contractor: National Structures Inc.
– Primary Subcontractors: RML Electric, Direct HVAC, Potrzeba Plumbing and Heating Inc.
– Financing Source: Owner, self-financed
Parsons-McKenna Construction Co., Inc.
McHarrie Towne Expansion Project
– Project Location: Baldwinsville
– Total Construction Cost: $6.6 million
– Approximate Square Footage: 91,200
– Building Owner: McHarrie Towne
– Architect: QPK Design
– Engineer: Sack & Associates
– General Contractor: Parsons-McKenna Construction Co., Inc.
Our Lady of Hope Chapel & Mausoleum
– Project Location: DeWitt
– Total Construction Volume: $2.9 million
– Approximate Square Footage: 8,500
– Building Owner: Catholic Cemeteries of Syracuse
– Architect: Harmony Architectural Associates
– General Contractor: Parsons-McKenna Construction Co., Inc.
The Pike Companies
Utica City School District Capital Project
– Project Location: Utica
– Total Construction Cost: $187.6 million
– Start Date: August 2008
– Expected Completion Date: December 2016
– Building Owner: Utica City School District
– Construction Manager: The Pike Company
– Architect: Stieglitz Snyder Architecture
Pioneer Companies
Homewood Suites Hotel
– Project Location: East Syracuse
– Total Construction Volume: $13.3 million
– Approximate Square Footage: 75,747
– Start Date: October 2014
– Completion Date: August 2015
– Building Owner: 6006 Fair Lakes Hotel, LLC
– Construction Manager: Pioneer Management Group
– Architect: QPK Design
– Engineer: Argus Engineering
– Landscape Architect: QPK Design
– Primary Subcontractors: DEMCO New York Corp.; TES Mechanical; abj Fire Protection
– Financing Source: Berkshire Bank
Le Moyne College Coyne Science Center Phase 3
– Project Location: Syracuse
– Total Construction Cost: $2.2 million
– Approximate Square Footage: 10,230
– Start Date: May 2014
– Completion Date: August 2014
– Building Owner: Le Moyne College
– Construction Manager: Pioneer Management Group
– Architect: Ashley McGraw
– Engineer: Sack & Associates
– Primary Subcontractors: DEMCO New York Corp.; Woodcock & Armani; abj Fire Protection
– Financing Source: Private
Plumley Engineering, P.C.
River Knoll Apartments – Phase III
– Project Location: Town of Lysander (Radisson Community)
– Total Construction Volume: $8 million
– Approximate Square Footage: Buildings (total) 52,000
– Start Date: October 2014
– Expected Completion Date: June 2015
– Building Owner: Baldwin Real Estate Corp.
– Construction Manager: DiMarco Constructors
– Architect: Glasow Simmons Architects, LLP
– Engineer: Plumley Engineering, P.C.
– General Contractor: DiMarco Constructors
– Primary Subcontractors: Bayside Paving
VA Hospital – Sub-basement Construction
– Project Location: Syracuse
– Total Construction Cost: $4.5 million
– Approximate Square Footage: 25,000
– Start Date: January 2014
– Expected Completion Date: June 2015
– Building Owner: Veterans Administration/Syracuse Medical Center
– Engineer: Tolman Engineering, PLLC
– General Contractor: VET4U, LLC
– Primary Subcontractors: Plumley Engineering, P.C., John P. Stopen Engineering, Paragon Environmental Construction, Inc., Erie Mechanical Contractors, Inc., Allied Electric Company
– Financing Source: Public
Robertson Strong Apgar Architects, P.C.
Burdick AUDI
– Project Location: Cicero
– Total Construction Cost: $3 million
– Approximate Square Footage: 1,911
– Start Date: December 2014
– Expected Completion Date: May 2015
– Building Owner: Roger Burdick
– Architect/Landscape Architect: Robertson Strong Apgar Architects
– General Contractor: RLB Development
Ryan Biggs Clark Davis Engineering & Surveying, P.C.
Hutchings Psychiatric Center Building 8
– Project Location: Syracuse
– Total Construction Cost: $15 million
– Approximate Square Footage: 48,500
– Start Date: June 2011
– Completion Date: June 2014
– Building Owner: New York State Office of Mental Health, Dormitory Authority State of New York
– Architect: Architecture +
– Engineer: Ryan Biggs | Clark Davis Engineering & Surveying, P.C.
– General Contractor: Charles A. Gaetano Construction Corp.
– Primary Subcontractors: Joseph Baldwin Construction Co., Inc., Barnes & Cone, CME Associates, Inc.
Sack & Associates Consulting Engineers, PLLC
Roland House
– Project Location: Aurora
– Total Construction Cost: $1 million
– Approximate Square Footage: 8,500
– Start Date: July 2012
– Completion Date: 2014
– Building Owner: Pleasant Rowland
– Construction Manager: LeChase Construction
– Architect: Holmes King Kallquist & Associates
– Engineer: Sack & Associates Consulting Engineers, PLLC
– Landscape Architect: Reed Hilderbrand, LLC
– Primary Subcontractors: Woodock & Armani, Binder Electric
Westmoreland Ambulatory Surgery Center
– Project Location: Westmoreland
– Total Construction Volume: $6 million
– Approximate Square Footage: 18,000
– Start Date: January 2014
– Expected Completion Date: April 2015
– Building Developer: Hueber-Breuer Construction
– Construction Manager: Hueber-Breuer Construction
– Architect: Alesia & Crewell Architects, P.C.
– Engineer: Sack & Associates Consulting Engineers, PLLC
– Landscape Architect: Keplinger Freeman Associates
– Primary Subcontractors: H. J. Brandeles, Burns Bros, DEMCO New York, Corp.
VIP Structures
Pike Block
– Project Location: Syracuse
– Total Construction Cost: $28 million
– Approximate Square Footage: 150,000
– Start Date: June 2012
– Completion Date: September 2014
– Building Owner: VIP Structures
– Construction Manager: VIP Structures
– Architect: VIP Structures
– Engineers: IPD: Engineering, John P. Stopen Engineering, Napierala Consulting
– Landscape Architect: Environmental Design & Research
– General Contractor: VIP Structures
– Primary Subcontractors: P.A. Leone and Sons, Inc.; Phoenix Electric of CNY; Dwyer Fire Protection, Inc.; KSP Painting of Syracuse; WSW Construction Corporation; Syracuse Commercial Floors, Inc.
– Financing Sources: Community Preservation Corporation for Construction and Permanent Financing, First Niagara Historic Tax Credits and various city and state grants
Whelan & Curry Construction Services, Inc.
Plaza of the Arts
– Project Location: Auburn
– Total Construction Cost: $3.1 million
– Approximate Square Footage: 20,000
– Start Date: July 2013
– Completion Date: August 2014
– Building Owner: WST33 LLC
– Construction Manager: Whelan & Curry Construction Services, Inc.
– Architect: Crissey Architectural, PC
– Engineer: St Germain & Aupperle
– General Contractor: Whelan & Curry Construction Services, Inc.
– Financing Sources: Cayuga County IDA and Empire State Economic Development Agency
TOWNSHIP 5
– Project Location: Camillus
– Total Construction Volume: $3 million
– Approximate Square Footage: 42,000
– Start Date: May 2014
– Completion Date: January 2015
– Building Owner: Cameron Group
– Architect: Holmes King Kallquist & Associates, Architects
– Engineer: St Germain & Aupperle
– General Contractor: Whelan & Curry Construction Services, Inc.
i3 Electronics projects 15 percent revenue growth
ENDICOTT — In mythology, a phoenix is a bird that is periodically reborn, rising from the ashes of its predecessor. It is the symbol of renewal. i3 Electronics, Inc. is the successor to Endicott Interconnect Technologies (EIT), which filed for Chapter 11 bankruptcy in 2013. The company continues as a vertically integrated manufacturer of
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ENDICOTT — In mythology, a phoenix is a bird that is periodically reborn, rising from the ashes of its predecessor. It is the symbol of renewal.
i3 Electronics, Inc. is the successor to Endicott Interconnect Technologies (EIT), which filed for Chapter 11 bankruptcy in 2013. The company continues as a vertically integrated manufacturer of high-performance, electronic-packaging products. Its services include the design and fabrication of printed circuit boards and advanced semiconductor packaging, turnkey services for printed circuit board and integrated-circuits assembly and testing, systems integration, and advanced-laboratory services.
“We serve a variety of markets: aerospace and defense, medical, communications, computing, and industrial. Where A&D (aerospace and defense) once represented the bulk of our business, 50 percent of our revenues now come from the high-performance computing and medical fields,” says Robert L. Nead, company president. “Our technology can be found in the world’s fastest supercomputers; life-saving medical devices (pacemakers, defibrillators, X-ray machines, CT scanners, patient-monitoring systems); complex imaging systems; mission-critical defense applications (avionics, electronic warfare, sensor systems, unmanned systems, intelligence and surveillance); and many other products. The customer base includes high-profile companies such as IBM, Cisco, Northrop Grumman, Department of Defense, St. Jude Medical, and Siemens.”
i3 Electronics currently employs between 415 and 420 people, according to James T. Matthews, Jr., CEO, “and is in the process of hiring another 10. We have one location here at the Huron Complex in Endicott where we lease 800,000 square feet. Last year, the company generated about $80 million in revenue.” Five members of the Matthews family and the estate of Matthews’ father comprise the corporate stockholders.
Reorganization
“Since reorganizing the company, our goal has been to right-size the firm and be competitive,” says Nead. “We needed to stabilize our operation and convince both the employees and our customers that our strategic plan is working. One of our major expenses was the fact that, in 2013, EIT was leasing 1.2 million square feet with a very high energy cost. Much of our effort has been to right-size the facility. Within the next 18 months, we expect to further reduce our footprint from 800,000 to 400,000 square feet. This right-sizing effort has helped to put us on a very competitive footing.”
The reorganization also included a major investment to make the operation more efficient. “Our capital investment from 2013 to 2016 will total $10 million,” notes Matthews. i3 Electronics has run a three-shift operation, 7 days a week, since November 2014.
Highly competitive fields
“This is a very competitive business,” opines Nead. “We compete with a number of international firms in all of our fields. To stay ahead of the competition, we focus on the technology that we put into our products and on their reliability. The fact that we are vertically integrated means that we understand all aspects of making the product and offer a quicker time-to-market for our customers. R&D is at the center of our efforts to reduce the size, weight, and power consumption of our products.
That’s why we employ close to 10 percent of our workforce in that area.”
i3 Electronics holds 107 patents.
“The effort is paying off,” affirms Matthews. “We have stabilized the company and both diversified and expanded our activity and customer base. The confirmation comes from long-term, contract renewals.”
Matthews and Nead ascribe much of the company’s reorganization success to its leadership team. In addition to Matthews and Nead, Jim Thornton is vice president of operations; Mike Cummings is director of engineering; and Matt Neely is the engineering manager. i3 Electronics also recognizes support from professional-service companies: M&T Bank for financial-services support and Davidson Fox & Company, LLP for accounting.
But the CEO and president reserve special recognition for the company’s employees. “We have an exceptional talent base of engineers, scientists, innovators, and operators” stresses Nead, “that we draw on largely from the local community. We collaborate closely with area institutions of higher education, such as Binghamton [University]. The company has had a successful summer-internship program that goes back 20 years. The talent here at i3 Electronics really gives us a competitive edge.”
The company has growth on its mind now that it has righted the operational ship.
“Now that we have stabilized the company and reduced our cost of operation, our strategy is to grow our customer base, revenues, and profit,” states Matthews. “We no longer rely heavily on revenues from large projects in the aerospace and defense industry. To use a baseball analogy, it’s clearly better to rely on hitting singles and doubles consistently rather than to rely on home runs for our success. Our strategic plan calls for organic growth going forward, but we are always looking at opportunities to grow through mergers and acquisitions, if the fit is right. In fact, we have already looked at a few and elected not to proceed. The future is bright: Robert and I are confident that by 2016, i3 Electronics is poised to grow at a 15 percent, annual compounded rate.”
Nead has a bachelor’s degree in material science and metallurgical engineering from the University of Cincinnati and an MBA from Dunchurch College in Warwichshire, England. He has more than 30 years of technical and managerial experience working mostly in regulated industries such as the telecommunications and medical fields. His former employers include Atlantic Inertial Systems, Goodrich Corp., GEC Marconi, and International Harvester.
Endicott Interconnect Technologies was formed in 2002 to buy the electronic-packaging business from IBM Corp. The severe recession of 2008 caught the company overly dependent on major contracts with the U.S. Department of Defense and some of its vendors. EIT suffered cumulative, financial losses of $100 million from 2009 to 2012 and filed for bankruptcy protection on July 10, 2013. Papers filed with the court showed assets of $36 million and liabilities of $86.9 million. On Sept. 26 of that year, Integrian Holdings, LLC, a corporation owned by J.T. Matthews, Jr., purchased EIT’s assets by assuming $15 million of secured debt and paying $1.5 million to creditors and another $2.4 million for EIT’s expenses. The purchase was approved by the court on Nov. 1. As recently as 2012, EIT employed 1,000 people and generated $250 million in annual revenue.
While mythology describes the phoenix as a bird of renewal, the Book of Job also calls the phoenix a bird of long life. Matthews and Nead are convinced i3 Electronics is both.
Editor’s note: CNYBJ spoke with Nead and Matthews on Feb. 10. On March 3, the company announced in a letter to employees that Nead is stepping down from his position as president, effective March 6, now that the company’s “turnaround is complete.” Matthews assumes the president’s post in addition to his current CEO job.
Be Heard: Consensus Seeks Input on Future of Governance in Onondaga County
New York is well known for government. We have lots of it. Central New York is no exception, and that’s why I’m proud that Onondaga County is the first in the state to examine whether we have the best structure and the best practices for our governance. Together, we have a unique opportunity to shape
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New York is well known for government. We have lots of it. Central New York is no exception, and that’s why I’m proud that Onondaga County is the first in the state to examine whether we have the best structure and the best practices for our governance. Together, we have a unique opportunity to shape the future of Syracuse and Onondaga County and now is the time for all of us to get involved.
Consensus, the commission on local government modernization, has released its “Preliminary Baseline Review: Who Does What & What it Costs” and is about to kick off a series of vital community conversations about the future of local governance. I strongly encourage you to join Consensus on Wednesday, March 11, from 12:15 to 1:30 p.m. at the City Hall Commons Atrium for this kick-off event to share your thoughts and perspectives. This session will feature a special presentation by Dr. Joseph Stefko, CEO of the Center for Governmental Research, detailing the commission’s findings on Onondaga County’s local government structure, costs, and benefits.
Through the work of Consensus, this community is undertaking the most honest of civic self-examinations and our recommendations will serve as a blueprint for other communities across the state.
I would like to thank the Consensus co-chairs, Neil Murphy, former president of SUNY-ESF; Catherine Richardson, retired attorney from Bond, Schoeneck & King, PLLC; James Walsh, former U.S. Congressman, and government affairs counselor at K&L Gates LLP. The work that they and other commission partners have completed to date is significant, and they remain committed to creating an inclusive process that engages all of our community stakeholders.
At the end of this year, Consensus will release its full set of recommendations. We all share a stake in those outcomes and therefore have a responsibility to be active participants in this process. If you cannot attend a public meeting, you can still share your priorities and ideas for improvement by emailing the commission at info@consensuscny.com.
Robert M. Simpson is president and CEO of CenterState CEO, the primary economic-development organization for Central New York. This editorial is drawn and edited from the “CEO Focus” email newsletter the organization sent out on Feb. 26.
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Did you know Onondaga county has?
– One city, 15 villages, and 19 town government entities
– 36 elected executives and 174 elected legislators
– 28 justice courts: 19 town and 9 village
– Three property-tax-assessment units merged into “Coordinated Assessment Programs” (Camillus/Elbridge, Fabius/Pompey, Lysander/VanBuren)
– 17 property-tax-assessment units, based primarily at the town and city level
– 58 fire departments with coverage areas ranging from 1 to 38 miles
– 36 public works departments; the smallest is responsible for one mile of road; the largest 794 miles
– Onondaga County is highly interconnected — 69 percent of residents commute every day to a different community for work
Job One of our Public Figures is to Lie to You
Now, you could get upset over all the whoppers that public figures fling at you. You could proclaim that evil abounds across the fruited plain. Or, you could become philosophical. The way we did at one of the world’s greatest schools of philosophy — my father’s saloon: the Empire Hotel. I call it the
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Now, you could get upset over all the whoppers that public figures fling at you. You could proclaim that evil abounds across the fruited plain.
Or, you could become philosophical. The way we did at one of the world’s greatest schools of philosophy — my father’s saloon: the Empire Hotel. I call it the University of Bulltweedie.
I am serious. You can spit, sputter, and rail about the lies. You can get angry about the fact that public figures seem to think that job one is to lie to you. Your president lies to you. Your former secretary of state does. So many politicians do. So many senior bureaucrats do. And, your TV news people also lie.
The list is endless. The current attorney general of Massachusetts told whoppers about his time in Vietnam. The head of the Veterans Administration lied about serving in the Special Forces. The vice president has lied about any number of trivial things for years. Senator Elizabeth Warren lied about her Native American roots. Governors and other major figures have listed degrees they never earned
Recently, we discovered New York Gov. Andrew Cuomo arranged for all state worker emails to vanish. Purge them all after 90 days. And gee, he just happened to set that policy weeks before he created the Moreland Commission. That’s the outfit that would look into corruption in state government. Of course, it would want to look into emails. The very emails the governor flushed down the e-toilet.
Why did he do this? To improve efficiency. So sayeth his spokesperson. Now, that would never pass the Bulltest at the Empire Hotel. For two simple reasons: The state has computer capacity to store all employee emails for 30 years. And the purging of emails has to cause havoc in any operation.
Back to the growing list of liars. You have to wonder if everybody lies to you. And, my suggestion comes straight from the Empire Hotel. Don’t wonder if everybody lies. Assume they all do.
One of the regulars was a guy we called Uncle Jack. He carried a bag of golf clubs in the trunk of his car. He told us how he attacked the long fairways at a famous course. And how he blasted out of the sand traps at another.
The problem was: Uncle Jack never played a round of golf in his life. We knew all golfers lie. Uncle Jack lied about being a lying golfer. Lying for him was par for the course.
I said that was a problem. I lie. It was not a problem — because we knew he lied. About his job, his women, his travels etc. He lied about it all.
We also knew a guy named Conrad lied. If you said anything, Conrad had to top you. You climbed Mt. Everest? “Hey, I did it blindfolded,” he’d say. You won a hundred bucks in the lottery? “That’s nothin.’ I won 30,000. Twice!,” Conrad would proclaim.
Now, we could have fretted about this. Actually “fretted” is too delicate a word for a saloon. We could have gotten snarky. We could have blasted these guys as friggin’ bald-faced liars. But, that would have tootled us down the lane to Ulcer land.
We took a healthier route. We assumed the taproom of the Empire Hotel was knee-deep in BS. We assumed most everything we heard in there was less than the truth. What happened in the Empire stayed in the Empire. Because, if you talked about it outside the Empire, nobody would believe you.
So, the next time the lies from public figures get you down, I suggest you remember the Empire Hotel. Remember the pearls of wisdom learned and earned within its smoke-encrusted walls. Ask yourself: What would the regulars down at the Empire do at this stage?
The answer is always the same. They would roll their eyes. And order another round. And, ask who’s payin’ for it.
From Tom…as in Morgan.
Tom Morgan writes about political, financial, and other subjects from his home near Oneonta, in addition to his radio shows and TV show. Contact him at tomasinmorgan@yahoo.com
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