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NYAG: EyeMed to pay $600K after 2020 data breach
New York Attorney General Letitia names has fined EyeMed Vision Care $600,000 in an agreement that resolves a 2020 data breach that compromised the personal information of about 2.1 million consumers nationwide, including 98,632 people in New York. Cincinnati, Ohio–based EyeMed — which provides vision benefits to members of vision plans offered by both licensed […]
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New York Attorney General Letitia names has fined EyeMed Vision Care $600,000 in an agreement that resolves a 2020 data breach that compromised the personal information of about 2.1 million consumers nationwide, including 98,632 people in New York.
Cincinnati, Ohio–based EyeMed — which provides vision benefits to members of vision plans offered by both licensed underwriters and employers — was hit with a data breach in which attackers gained access to an EyeMed email account with sensitive customer information, per a Jan. 24 news release from the attorney general’s office.
The compromised information included consumers’ names, mailing addresses, Social Security numbers, identification numbers for health and vision insurance accounts, medical diagnoses and conditions, and medical-treatment information. The intrusion permitted the attacker access to emails and attachments with “sensitive” customer information dating back six years prior to the attack.
“New Yorkers should have every assurance that their personal health information will remain private and protected,” James said. “EyeMed betrayed that trust by failing to keep an eye on its own security system, which in turn compromised the personal information of millions of individuals.”
EyeMed “neither admits nor denies” the findings of James’ office, per a document detailing the settlement agreement that was posted on the attorney general’s website.
Agreement terms
As part of the settlement, EyeMed has agreed to pay the state of New York $600,000 in penalties.
In addition, EyeMed is required to adopt a series of measures to protect consumers’ personal information from cyberattacks in the future.
They include maintaining a “comprehensive” information-security program that includes regular updates to keep pace with changes in technology and security threats, as well as regularly reporting to the company’s leadership any security risks.
The firm is also maintaining “reasonable” account management and authentication, including requiring the use of multi-factor authentication for all administrative or remote-access accounts, and reviewing such safeguards annually.
EyeMed is encrypting sensitive consumer information that it collects, stores, transmits, and/or maintains. It is also conducting a “reasonable” penetration-testing program designed to identify, assess, and remediate security vulnerabilities within the EyeMed network.
The company is also implementing and maintaining “appropriate” logging and monitoring of network activity that are accessible for a period of at least 90 days and stored for at least one year from the date the activity was logged.
EyeMed is also permanently deleting consumers’ personal information when it has no “reasonable” business or legal purpose to retain it.
About the attack
In June 2020, attacker(s) accessed an EyeMed email account, which company clients used to provide sensitive consumer data in connection with vision-benefits enrollment and coverage.
The intrusion, which lasted about a week, allowed the attacker to view emails and attachments dating back six years, including consumers’ names, addresses, Social Security numbers, and insurance account numbers, per James’ office.
In July 2020, the attacker sent about 2,000 phishing emails from the compromised email account to EyeMed clients, seeking login credentials for their accounts. EyeMed’s information-technology (IT) department noticed the phishing emails and also received inquiries from clients about these emails.
EyeMed then blocked the attacker’s access to its system and began investigating the intrusion.
In September 2020, the company began notifying affected consumers whose personal information was compromised during the breach. As part of the notification, the company offered affected customers identity-theft protection services.
James’ office determined that, at the time of the attack, EyeMed had “failed to implement” multifactor authentication for the affected email account, despite the fact that the account was accessible via a web browser and contained a large volume of consumers’ sensitive personal information. Additionally, EyeMed “failed to adequately implement” sufficient password-management requirements for the enrollment email account given those factors.
The company also “failed to maintain” adequate logging of its email accounts, which made it difficult to investigate security incidents, James’ office said.
Identity fraud predicted to grow in 2022
The Identity Theft Resource Center (ITRC) predicts that cyberthreats will shift from identity theft to identity fraud in 2022, especially through pandemic-related identity crimes. “In 2021, we saw threat actors become more targeted and strategic,” Eva Velazquez, president and CEO of ITRC, said in a release. “We saw them strike with social engineering scams like Google Voice
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The Identity Theft Resource Center (ITRC) predicts that cyberthreats will shift from identity theft to identity fraud in 2022, especially through pandemic-related identity crimes.
“In 2021, we saw threat actors become more targeted and strategic,” Eva Velazquez, president and CEO of ITRC, said in a release. “We saw them strike with social engineering scams like Google Voice and Instagram account takeovers, using psychological tactics instead of technical expertise to manipulate people’s behavior. We also tracked a record number of data breaches and a steady flow of new victims of unemployment benefits identity fraud long after the enhanced benefits ended.”
Based on this, she says, the ITRC expects an increase in identity fraud that will change consumer behaviors, revictimization rates, and pandemic-related identity crimes for the next several years. In addition, alternative digital-payment methods such as payment apps, digital wallets, and peer-to-peer services will be a focus of cybercriminals.
The six trends ITRC expects to see in 2022 include:
• The shift from identity theft to identity fraud — the accumulation of personally identifiable information (PII) to the misuse of PII — will accelerate.
• Identity fraud will drive behavior change as consumers withdraw from certain interactions, transactions, and communication channels — such as online shopping, emails, or certain websites.
• The effects of pandemic-related fraud will continue into 2024, with new types of benefits fraud emerging this year.
• Malware is out and ransomware and supply-chain attacks are in. The ITRC believes ransomware may catch up to or surpass phishing-related breaches as the number-one cause of data breaches while supply-chain attacks will become the third most common.
• Revictimization rates will continue to increase. In 2021, 29 percent of those reporting incidents indicated they were repeat victims. In addition, incidents that target multiple individuals or organizations will impact greater numbers of victims and social-media account takeovers will leverage the followers to create new chains of victims.
• Cybercriminals will shift their focus as consumers turn toward alternative digital-payment forms instead of using debit and gift cards. As cryptocurrency transactions become more common, cybercriminals will focus on finding ways to scam consumers.
With all these trends, consumers and how they behave online play a huge role. Consumers must take the necessary steps to protect themselves from cybercrime through education and data protection.
Founded in 1999, the Identity Theft Resource Center (www.idtheftcenter.org) says it is a national nonprofit organization established to empower and guide consumers, victims, businesses, and government to minimize and mitigate the impact of identity compromise and crime.
Jefferson County hotels see 68 percent increase in occupancy in December
WATERTOWN, N.Y. — Hotels in Jefferson County saw a flood of guests in December compared to the year-prior month, continuing the lodging industry’s bounce back from the pandemic, according to a new report. The hotel-occupancy rate (rooms sold as a percentage of rooms available) in the county climbed 68.4 percent to 41.3 percent in December,
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WATERTOWN, N.Y. — Hotels in Jefferson County saw a flood of guests in December compared to the year-prior month, continuing the lodging industry’s bounce back from the pandemic, according to a new report.
The hotel-occupancy rate (rooms sold as a percentage of rooms available) in the county climbed 68.4 percent to 41.3 percent in December, according to STR, a Tennessee–based hotel market data and analytics company. For all of 2021, hotel occupancy gained 39 percent to 50.7 percent.
Revenue per available room (RevPar), a key industry gauge that measures how much money hotels are bringing in per available room, leaped 86.4 percent to $39.38 in December compared to a year ago. For the full year, RevPar increased 57.1 percent to $52.35.
Average daily rate (or ADR), which represents the average rental rate for a sold room, rose 10.7 percent to $95.45 in December from the same month in 2020. ADR was up 13 percent to $103.26 for the entire 2021 year.
This was the 10th consecutive strong monthly hotel-occupancy report for Jefferson County. These are the first 10 months in which the year-over-year comparisons were to a month hampered significantly by the COVID pandemic. The 12 reports before that each featured double-digit declines in occupancy as the comparisons were to a pre-pandemic month.
Schumer visit to JMA Wireless spotlights region’s tech push
SYRACUSE, N.Y. — The Central New York region’s technology push was front and center as U.S. Senate Majority Leader Charles Schumer (D–N.Y.) and U.S. Department of Commerce Deputy Secretary Don Graves visited the new Syracuse location for JMA Wireless on Jan. 24. The new 5G (fifth generation) manufacturing facility that JMA Wireless built at 140
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SYRACUSE, N.Y. — The Central New York region’s technology push was front and center as U.S. Senate Majority Leader Charles Schumer (D–N.Y.) and U.S. Department of Commerce Deputy Secretary Don Graves visited the new Syracuse location for JMA Wireless on Jan. 24.
The new 5G (fifth generation) manufacturing facility that JMA Wireless built at 140 Cortland Ave. in Syracuse (just south of downtown) will be opening soon.
The JMA Wireless facility, which will open in the next month, “will be the only U.S.-owned 5G manufacturing facility in the country,” John Mezzalingua, CEO of JMA Wireless, said.
“We are energized by what that means because this country used to be a leader in wireless technology, but the U.S. has not played a meaningful role in wireless technology in the last two decades,” he added.
The JMA facility will manufacture all of the firm’s 5G equipment. It will employ more than 200 people at the Syracuse site, in addition to the 500 people employed at 7645 Henry Clay Blvd. in Clay.
Mezzalingua spoke inside his firm’s new facility as it hosted Schumer and Graves.
Schumer used the appearance to discuss how the recently passed Build America, Buy America Act — a provision of the Infrastructure Investment and Jobs Act (IIJA) — is a “boon” for Syracuse and will “ensure American taxpayers dollars buy American-made products for any federally funded infrastructure projects,” his office said.
Schumer noted that the investments in the IIJA include $65 billion to expand high-speed internet across the country and will support American manufacturing and workers, like those at JMA Wireless in Syracuse. The Commerce Department will distribute the funding, he added.
By harnessing funds from the IIJA and the ‘Build America, Buy America’ requirement, the radios and antennas made at JMA’s new Syracuse factory will be “positioned to supply efforts to help bridge the digital divide while also creating high-tech manufacturing jobs in Central New York,” Schumer’s office said.
In his remarks, Mezzalingua also noted that Graves will oversee the implementation of the infrastructure law and “play a key role” in supporting 5G innovation more broadly.
Schumer is also pushing for final passage of his U.S. Innovation and Competition Act (USICA), which provides $1.5 billion in emergency appropriations for next generation telecommunications technology development, “which can further accelerate JMA Wireless’s expansion,” his office said.
The U.S. Senate has already approved the USICA legislation, Schumer said, and anticipates the House of Representatives will pass its version soon.
Technology push
Besides JMA Wireless’ effort in manufacturing 5G equipment, Schumer also noted that CenterState CEO is also working to get Central New York designated as a tech hub.
His office announced in mid-December that CenterState CEO will use a $500,000 federal grant to develop its proposal to expand the region’s semiconductor industry and the existing unmanned-aircraft systems (UAS) and quantum-computing industries.
The U.S. Department of Commerce’s Economic Development Administration (EDA) selected CenterState’s Smart Systems Cluster project as a finalist and phase 1 award recipient for investment through the American Rescue Plan’s (ARPA) Build Back Better Regional Challenge.
As a finalist, the project will have the exclusive opportunity to compete for up to a $100 million federal award through the EDA to implement the proposed projects.
“So, there are now 60 [proposals] chosen; about a third of those will actually get chosen for the $100 million,” Schumer said in answering a reporter’s question on what’s next in the region’s technology push.
“The combination of that … the combination of our desire to [recruit] a major chip fab company to come here and manufacture; and the kinds of things that JMA [is] already doing … [is] really the best news Syracuse has had in a long time in terms of jobs,” he added.
OPINION: Gov. Hochul’s Budget Features Record, Out-Of-Control Spending
The recently unveiled executive budget proposal should be no surprise to anyone who has lived in New York state in the last decade. Spending is looking again to be record-setting, and the $216 billion proposal on the table would represent the largest in the history of the state if passed as it stands. As history has
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The recently unveiled executive budget proposal should be no surprise to anyone who has lived in New York state in the last decade. Spending is looking again to be record-setting, and the $216 billion proposal on the table would represent the largest in the history of the state if passed as it stands. As history has shown, that number could very well go up depending on the budget negotiations of a legislative majority that has shown zero interest in fiscal prudence.
Gov. Kathy Hochul’s proposal ignores a self-imposed 2 percent spending cap the state had been previously operating under. It is also more than twice the spending plan proposed in Florida, which has more residents than New York, and is approaching California’s $286 billion plan. Keep in mind, California has almost twice as many people living there than New York.
Texas, which has close to 10 million more residents and crafts its spending plan over a two-year period, is proposing only $248 billion. What does this all add up to? Simply put, New York should not be in the same class of spending as a state with double its population and one that prepares its spending over a period twice as long. The New York governor’s proposed numbers are cartoonish.
The budget proposal before the New York Legislature does, though, rightfully include investments in the health-care workforce, education, and infrastructure. These are useful and necessary especially considering there are significant sums of money from the federal government included. However, this budget offers no direct answer to the worst inflation in four decades since accelerated income-tax cuts will not go into effect until 2023. New Yorkers need relief now. Taxpayers need protection now.
Families across the state know they cannot simply throw unlimited sums of money at every issue under the sun and expect a favorable outcome. I hope the final product provides more restraint and protection for New Yorkers than the liberal majorities have demonstrated in recent years. Case in point, last year’s executive budget started at $196 billion, and by the time progressives in the legislature were done, taxpayers were asked to write a $212 billion check.
The fact remains, the cost of living here is unbearable, the business climate is toxic, and our taxes and regulations are burdensome. This state budget does not address any of these issues with direct action. It does not take a degree in finance to see the trajectory we are on is unsustainable.
William (Will) A. Barclay, Republican, is the New York Assembly minority leader and represents the 120th New York Assembly District, which encompasses most of Oswego County, including the cities of Oswego and Fulton, as well as the town of Lysander in Onondaga County and town of Ellisburg in Jefferson County.
OPINION: Defending democracy is our defining challenge
We Americans share a common faith in democracy as the best and most-just system of governance. We treasure government “of the people, by the people and for the people.” With the founders, we believe that governments derive their authority from the consent of the governed. For generations, we have seen the United States as the world’s champion
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We Americans share a common faith in democracy as the best and most-just system of governance. We treasure government “of the people, by the people and for the people.” With the founders, we believe that governments derive their authority from the consent of the governed.
For generations, we have seen the United States as the world’s champion of democracy. We challenge and criticize authoritarian regimes and cheer the spread of democratic movements. We defend human rights and promote international cooperation.
There are troubling signs, however, that the light of our democracy no longer shines as brightly as it once did. A recent report by Freedom House said democracy was “under siege” and worldwide freedom had declined for 15 straight years. Surveys last year in Europe and Asia found most people thought American democracy was once a good example to follow, but no longer.
What can we do to strengthen democracy and restore its appeal? I believe we are most effective and convincing when we demonstrate that our system can govern, that it can solve big problems — in short, when we show that democracy works.
This happens when we recognize the need for social and political change in our own country and pursue it. When we work to secure a free press and freedom of conscience. When we participate in elections and agree to abide by their results, whether we win or lose. When we oppose efforts to erect barriers to democracy or dismantle it, at home or abroad. When we make clear that democracy is not negotiable but that it is bedrock to our system.
Our example shines forth when we are in the front of the line standing for justice, the rule of law, freedom of speech, freedom of assembly, and freedom of religion. When we promote democracy, consistently and without reservation, as the best way to peacefully resolve problems.
It may not be surprising that surveys found a lack of faith in American democracy in the months after a mob stormed the U.S. Capitol, trying to overturn the 2020 election. Our deeply polarized politics and the partisan dysfunction in Washington do not inspire confidence in our system.
President Joe Biden is right when he says preserving and strengthening the role of democracy is the defining challenge of our time. The U.S. must be the global leader in championing democracy, and commit to this fight to determine the direction the world takes in the decades ahead.
All of this requires constant effort. Democracy is not a given; it’s not static but dynamic, always aborning, in Woodrow Wilson’s phrase, and it always needs defending. American democracy remains a work in progress. In Biden’s words, defending it requires an ongoing struggle to live up to our highest ideals.
In foreign affairs, the U.S. must counter authoritarianism, fight corruption, support human rights, and encourage accountability. We shouldn’t do this arrogantly, insisting that we always know best, but we should lead by example and encourage those seeking freedom and democracy.
At home, we need to promote civic engagement and put democratic participation at the center of our public life. We need to protect our elections and make it easier, not harder, to vote. Our commitment to democracy should shine through in all that we say and do.
Obviously, we will not always agree. When we don’t, we should rely on democratic means to settle our differences and help define, over time, the course of generations to come. We believe democracy is the best system of governing. We should always promote our core values, even as we try to live up to them and constantly strive to do better at fulfilling our ideals.
Lee Hamilton, 90, is a senior advisor for the Indiana University (IU) Center on Representative Government, distinguished scholar at IU Hamilton Lugar School of Global and International Studies, and professor of practice at the IU O’Neill School of Public and Environmental Affairs. Hamilton, a Democrat, was a member of the U.S. House of Representatives for 34 years (1965-1999), representing a district in south central Indiana.
CEO FOCUS: NYS, CenterState CEO Legislative Priorities Align for Progress in ‘22
Gov. Kathy Hochul [recently] outlined the state’s FY 2023 executive budget, which commits to investing in some of our state’s most pressing needs. Likewise, the priorities outlined in the governor’s State of the State will better position New York to be more competitive and accelerate economic growth as we emerge from the pandemic. Tax relief for small
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Gov. Kathy Hochul [recently] outlined the state’s FY 2023 executive budget, which commits to investing in some of our state’s most pressing needs. Likewise, the priorities outlined in the governor’s State of the State will better position New York to be more competitive and accelerate economic growth as we emerge from the pandemic.
Tax relief for small businesses, rebooting the state’s workforce-development initiatives, and large infrastructure investments will deliver immediate and long-term dividends. New York State must also be ready to compete for new opportunities that will emerge across the country as companies re-shore operations and develop new assets within the U.S. We believe the state’s plan will drive impact.
Many of Hochul’s priorities also align with CenterState CEO’s annual legislative agenda, which sets the organization’s state and federal legislative and policy priorities for the year. Our priorities for 2022 are developed with input from the CenterState CEO’s Government Relations Committee and reflect issues identified by members, as well as key initiatives under consideration in Albany and Washington, D.C. The top five issues we are tracking, in addition to others, include the following.
Accelerated preparation of New York’s shovel ready development sites: New York State must be ready to meet market demand for siting new manufacturing facilities. CenterState CEO supports renewed investment in identifying, planning, and infrastructure for the state’s top development sites.
U.S. Innovation and Competition Act / CHIPS for America / The FABS Act: Central New York is well prepared to meet this need, however, passage of this legislation is crucial to domestic expansion of the semiconductor industry. CenterState CEO supports this vital legislation.
Climate Leadership and Community Protection Act implementation: CenterState CEO advocates for market-based solutions, supports energy-intensive and trade-exposed industries, and urges tools to promote and fund New York–based environmental-technology innovations.
New York State Historic Rehabilitation Tax Credit: CenterState CEO supports expansion of eligibility for this credit to include all central business districts in municipalities with fewer than 1 million residents.
Antitrust reform: CenterState CEO opposes legislation that proposes to change New York’s current antitrust standard from “monopolistic behavior” to an “abuse of dominance” standard.
In addition to these issues, CenterState CEO’s legislative agenda also communicates the organization’s mission and strategic principles with elected and administrative officials on behalf of our members. Our region is incredibly well positioned for economic growth in the year ahead. I believe these priorities, as well as many of those outlined by the state, can help accelerate the opportunities and impact the challenges our members face.
Robert M. Simpson is president and CEO of CenterState CEO, the primary economic-development organization for Central New York. This article is drawn and edited from the “CEO Focus” email newsletter that the organization sent to members on Jan. 20.
DANIEL J. KROL has been promoted to audit partner in the Syracuse office of Bowers & Company CPAs, PLLC. Originally from Whitesboro, Krol obtained his master’s degree in public accounting from SUNY Oswego. After graduation, he joined Bowers & Company. In January 2016, Krol obtained his certified public accountant (CPA) license. He has more than
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DANIEL J. KROL has been promoted to audit partner in the Syracuse office of Bowers & Company CPAs, PLLC. Originally from Whitesboro, Krol obtained his master’s degree in public accounting from SUNY Oswego. After graduation, he joined Bowers & Company. In January 2016, Krol obtained his certified public accountant (CPA) license. He has more than seven years of experience in public accounting. His experience includes concentrations in governmental, railroads, and manufacturing auditing. Krol is also the chairman of the Audit Technical and Procedural Committee at Bowers, where he has an active role in audit and assurance training.
RICHARD I. FARLEY, JR. has been promoted to tax partner at Bowers & Company. He works in the firm’s Syracuse office. Farley, who hails from Syracuse, graduated from SUNY Oswego with a bachelor’s degree in accounting. He was certified as a CPA in 2009. Farley has more than 17 years of experience in public accounting. His experience includes all areas of income-tax preparation and planning, with a focus on the not-for-profit sector, as well as the complex taxation issues related to the construction industry.
SARAH GARRAFFO, of Baldwinsville, was recently promoted to digital-media strategist at the marketing-communications firm, Pinckney Hugo Group. She was previously an assistant digital-media strategist and has been with the agency for over two years. Garraffo is a Google-qualified individual with certifications in Google ads and mobile advertising. She has a bachelor’s degree in marketing from
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SARAH GARRAFFO, of Baldwinsville, was recently promoted to digital-media strategist at the marketing-communications firm, Pinckney Hugo Group. She was previously an assistant digital-media strategist and has been with the agency for over two years. Garraffo is a Google-qualified individual with certifications in Google ads and mobile advertising. She has a bachelor’s degree in marketing from St. Bonaventure University.
DAN SATTERLY, of Syracuse, was promoted to account manager at Pinckney Hugo Group. He was previously an assistant account manager and has been with the agency for over two years. Satterly has a bachelor’s degree in communication and film from Le Moyne College.
BRIAN MURRAY was recently sworn in and installed as the New York State director for USDA Rural Development, based in Syracuse. Rural Development state directors serve as the CEO of USDA Rural Development in the states and territories. In conjunction with the guidance and support of the national office, state directors are responsible for promoting
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BRIAN MURRAY was recently sworn in and installed as the New York State director for USDA Rural Development, based in Syracuse. Rural Development state directors serve as the CEO of USDA Rural Development in the states and territories. In conjunction with the guidance and support of the national office, state directors are responsible for promoting the mission and strategic goals of USDA Rural Development. Murray has spent more than 19 years with Rural Development, prior to his appointment as state director for New York. He started his career with the USDA in 2002 as a loan specialist in the Canton field office. In 2007, Murray became an area director, serving New York from the state’s Southern Tier to the Canadian border. Most recently, he was the associate enterprise director for New York State. Murray is a graduate of SUNY Potsdam, where he received a bachelor’s degree in financial economics.
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