Stay up-to-date on the companies, people and issues that impact businesses in Syracuse, Central New York and beyond.
Report: Most CNY regions gained jobs in the last year
The Syracuse, Utica–Rome, Watertown–Fort Drum, Binghamton, and Elmira regions generated percentage increases in jobs ranging from 1.5 percent to 3 percent between April 2021 and this past April. At the same time, the Ithaca area lost jobs in the same period. That’s according to the latest monthly jobs report that the New York State Department of […]
Become a Central New York Business Journal subscriber and get immediate access to all of our subscriber-only content and much more.
Click here to purchase a paywall bypass link for this article.
The Syracuse, Utica–Rome, Watertown–Fort Drum, Binghamton, and Elmira regions generated percentage increases in jobs ranging from 1.5 percent to 3 percent between April 2021 and this past April.
At the same time, the Ithaca area lost jobs in the same period. That’s according to the latest monthly jobs report that the New York State Department of Labor issued on May 19.
The Syracuse region gained 6,600 jobs in the past year, an increase of 2.2 percent. Elsewhere, the Utica–Rome metro area picked up 1,800 positions, up 1.5 percent; the Watertown–Fort Drum region added 1,100 jobs, a rise of 2.8 percent; the Binghamton area gained 1,500 jobs, an increase of 1.6 percent, and the Elmira area added 1,000 jobs in the past year, a gain of 3 percent.
Bucking the trend, the Ithaca region lost 1,100 jobs in the past 12 months, a decline of 1.8 percent. It was the only metro area in the state to shed jobs in that period, according to the state Department of Labor data.
New York state as a whole gained 449,300 jobs, an increase of 5 percent in the past year. The state economy added 25,900 jobs, a 0.3 percent rise, between March and April of this year, the state Labor Department said.
VIEWPOINT: Can “Business” Activities Ever Be Charitable? N.Y Thinks Not
As we previously summarized in a prior article (https://www.bsk.com/news-events-videos/irs-provides-long-awaited-formal-guidance-on-501-c-3-llcs), the IRS recently brought much-needed clarity for limited liability companies (LLCs) seeking to be recognized as tax-exempt under Internal Revenue Code Section 501(c)(3). (IRS Notice 2021-56). Given this new guidance, we expressed optimism for expanded use of 501(c)(3) LLCs, which can have significant advantages over nonprofit corporations
Become a Central New York Business Journal subscriber and get immediate access to all of our subscriber-only content and much more.
Click here to purchase a paywall bypass link for this article.
As we previously summarized in a prior article (https://www.bsk.com/news-events-videos/irs-provides-long-awaited-formal-guidance-on-501-c-3-llcs), the IRS recently brought much-needed clarity for limited liability companies (LLCs) seeking to be recognized as tax-exempt under Internal Revenue Code Section 501(c)(3). (IRS Notice 2021-56). Given this new guidance, we expressed optimism for expanded use of 501(c)(3) LLCs, which can have significant advantages over nonprofit corporations in a variety of contexts. Unfortunately, however, where the IRS has provided a roadmap for tax exemption, New York has responded by closing off the roads.
On March 10, 2022, the New York State Attorney General [Letitia James] issued comments in response to the Notice 2021-56 (as requested by the IRS) advocating that “[w]here state law, as in New York, does not authorize creation of an LLC for charitable purposes, the IRS should refuse to authorize 501(c)(3) eligibility for LLCs domiciled in that jurisdiction.” This statement is based on the attorney general’s interpretation of Section 201 of the New York Limited Liability Company Law (governing formation of LLCs) which permits LLCs to be organized only for and to engage in “lawful business purposes.” In the attorney general’s view, this precludes formation for “charitable” purposes because Section 102(e) of that law defines business as “every trade, occupation, profession or commercial activity.”
In practice, we have seen immediate implementation of the attorney general’s view by the New York State Department of State, which now appears to be enforcing the “business purpose” requirement. For example, in response to our efforts to amend LLC articles of organization to comply with the notice, the Department of State has issued rejection letters stating the following: “please note that a limited liability company may only use business purposes” and “note that the charitable purposes are unacceptable.”
In our experience and from reviews of publicly available filings, the Department of State did not take this position in the past. Articles of organization have successfully been filed for many years with expressly charitable purposes, including direct references to Internal Revenue Code Section 501(c)(3) and similar language. As far back as 2007, the New York City Department of Taxation and Finance issued a letter ruling which required that the LLC that requested the ruling, apparently a New York LLC, meet the following requirement: that the “articles of organization and/or operating agreement of the LLC, as appropriate, must state there will be no pecuniary profit and the LLC will operate for not-for-profit purposes consistent with section 420-a” in order for property held by the LLC to be exempt from real property tax. This is consistent with the larger recognition under New York law that modern nonprofits can and do engage in “business” activities. Thus, for example, the Court of Appeals ruling in Consumers Union of U.S., Inc. v. New York recognizing that the so-called “business judgement rule,” with its origins in business corporations, which protects from judicial scrutiny judgments by boards about “business” decisions, also extends to the decisions of nonprofit corporate boards.
This leaves many existing “nonprofit” LLCs (with or without 501(c)(3) exemption, including disregarded entities relying on the exempt status of a 501(c)(3) sole member) with many questions about the wide-ranging impact of this change and with no realistic reorganization or reformation options in New York. These questions include, most fundamentally, what does this new interpretation mean for existing New York LLCs that have charitable purposes? Are they not validly existing under New York law, since they do not have “business” purposes, such that their activities will be viewed as being conducted directly by their members? Or is it only that their charitable/501(c)(3) purposes are void? Will the New York State Attorney General attempt to provide answers to these questions, or will the Department of State? Or will it be left to the courts? Will the IRS agree with New York’s view, or will it rely on its own capacity to interpret federal tax laws and reach a different conclusion?
One thing is certain: while the value and path to exemption for the 501(c)(3) LLC has never been clearer, you clearly can’t form one in New York.
Thomas W. Simcoe is a member and Delaney M. R. Knapp is an associate in the Albany office of Syracuse–based law firm Bond, Schoeneck & King PLLC. Contact Simcoe at tsimcoe@bsk.com, and contact Knapp at dknapp@bsk.com. This Viewpoint article is drawn and edited from Bond’s website.
OPINION: New York Headed in Wrong Direction and Legislature Fails to Address it
Public-opinion polls repeatedly show New Yorkers believe their state is headed in the wrong direction. After five months of legislative work and $220 billion in taxpayer money spent, that wrong direction hasn’t changed. The 2022 legislative session only served as a reminder that state government is as expensive and dysfunctional as it’s ever been. The
Become a Central New York Business Journal subscriber and get immediate access to all of our subscriber-only content and much more.
Click here to purchase a paywall bypass link for this article.
Public-opinion polls repeatedly show New Yorkers believe their state is headed in the wrong direction. After five months of legislative work and $220 billion in taxpayer money spent, that wrong direction hasn’t changed. The 2022 legislative session only served as a reminder that state government is as expensive and dysfunctional as it’s ever been.
The Assembly completed its work with the State of New York still mired in crises on affordability, crime, and outmigration. The sad reality is, nothing we did this year even began to scratch the surface on addressing those issues.
New York lost a Congressional seat and more than 300,000 residents. Crime and violence have risen in our cities without any corrective action. Skyrocketing inflation has stressed household budgets like never before, and Democrats in Albany have failed to address it in any meaningful way.
Opportunities for real change were there, but those opportunities were wasted. On too many occasions, Democrats rushed to serve their own interests rather than the public’s. As legislators return to their districts, Assembly Republicans will continue to fight for common-sense policies that improve the quality of life of their constituents and put New York on a better path.
William (Will) A. Barclay, 53, 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. The Opinion article is drawn from a statement that Barclay issued on June 4.
OPINION: The Supreme Court’s Evolution
In the wake of the leaked draft opinion by Supreme Court Justice Samuel Alito overturning Roe v. Wade and holding that there is no constitutional right to an abortion, there has been a tidal wave of commentary on the Court’s politicization. Much of it recently has come from the left or from abortion-rights advocates, arguing that
Become a Central New York Business Journal subscriber and get immediate access to all of our subscriber-only content and much more.
Click here to purchase a paywall bypass link for this article.
In the wake of the leaked draft opinion by Supreme Court Justice Samuel Alito overturning Roe v. Wade and holding that there is no constitutional right to an abortion, there has been a tidal wave of commentary on the Court’s politicization.
Much of it recently has come from the left or from abortion-rights advocates, arguing that the Supreme Court has fallen prey to the same partisanship and polarization that have marked American politics in recent decades.
It’s entirely possible that this alarm over the Court’s drift is simply a measure of the level of scrutiny on its decisions. Certainly, over the course of my career I have seen rising public interest in what the Supreme Court does and how it affects American social and political life as the justices have rendered controversial decisions that touch on the most intimate aspects of Americans’ lives — from contraception and abortion to gay marriage. They have also ruled on the workings of American politics in a divided age — I’m thinking particularly of the Citizens United decision and Bush v. Gore, though a series of redistricting decisions also come to mind.
At the same time, this is hardly the first time that the Court’s politicization has become a hot topic. It came up repeatedly during the hearings on President Donald Trump’s nominations of Amy Coney Barrett and, before her, Brett Kavanaugh, with their supporters on the right deploring the extent to which critics on the left were doing their best to undercut support for the nominees. It came up during George W. Bush’s administration, when the appointments of Alito and Chief Justice John Roberts created a bloc of four conservatives who voted consistently with one another, creating an obvious ideological divide on the Court. In fact, it’s come up repeatedly during our history — all the way back to 1801, when John Adams and the Federalists passed a law shrinking the Supreme Court from six members to five upon the next vacancy so as to keep Thomas Jefferson, who succeeded Adams, from getting the chance to name a new justice.
To be sure, it seems inarguable that the Supreme Court is more polarized than it was a few decades ago. This is, in the end, largely a reflection of the polarization of the U.S. Senate. In the past, presidents often sought to nominate justices who could command the broad center of that institution: people like John Paul Stevens, who was a liberal Republican, or Lewis Powell, a conservative Democrat. But those days are over, at least for now. When President Obama sought to nominate Merrick Garland — a judge who at that time enjoyed support on both sides of the aisle — Senate leader Mitch McConnell blocked the move in a bid to ensure a justice purely to Republicans’ liking. It was a gamble that culminated in President Trump’s success naming three reliably conservative justices.
I have never bought into the idea that the Supreme Court is above and beyond politics. Justices can’t help but have their political biases. I think that, at least in the past, they worked hard to put them aside, but doing so completely is an impossible task. They do not check their politics at the front door, although most justices do try to be impartial and to decide a case as the law requires — at least, as they see it.
In this day, can the Supreme Court regain some of the respect it has lost among Americans at large? A lot, I believe, will depend on the justices’ behavior. They have to be good listeners. They have to be prepared to learn from one another and to possess enough humility to recognize that they don’t have the answer to every question. The justices need to pay attention to experts in the field they’re considering. Obviously, they should have a deep respect, if not reverence, for the law and for precedence. They should pay attention to what the Congress says in its legislation and its legislative history. And, I would suggest, they need to balance the framers’ points of view with the experiences of the ordinary Americans whose lives will inevitably be affected by every decision they make.
Lee Hamilton, 91, 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.

ABC Creative recently welcomed DEVIN NEGRETE to its account management team. Negrete joins ABC with a strong background in public relations, journalism, and social-media marketing as well. The University of Central Missouri graduate started out as a broadcast journalist with stints in St. Joseph, Missouri; Savannah, Georgia; and Binghamton, as an anchor and reporter. A
Become a Central New York Business Journal subscriber and get immediate access to all of our subscriber-only content and much more.
Click here to purchase a paywall bypass link for this article.
ABC Creative recently welcomed DEVIN NEGRETE to its account management team. Negrete joins ABC with a strong background in public relations, journalism, and social-media marketing as well. The University of Central Missouri graduate started out as a broadcast journalist with stints in St. Joseph, Missouri; Savannah, Georgia; and Binghamton, as an anchor and reporter. A digital-media production major in college, Negrete’s primary marketing experience revolves around social-media management, PR, and the organization and execution of numerous campaigns. She identifies most with and is excited to join the team of creatives at ABC. She’s an expert communicator who looks forward to taking on her account-management role at ABC, where she’ll handle day-to-day communications with clients as well as project management for several accounts.

Beardsley Architects + Engineers announced that NATHAN B. STULTZ has joined the firm as plumbing and mechanical designer in its Auburn office. He has 13 years of experience with the design of plumbing and fire-protection systems and has been responsible for developing designs for new construction, investigating on-site conditions, and reviewing existing documentation to create
Become a Central New York Business Journal subscriber and get immediate access to all of our subscriber-only content and much more.
Click here to purchase a paywall bypass link for this article.
Beardsley Architects + Engineers announced that NATHAN B. STULTZ has joined the firm as plumbing and mechanical designer in its Auburn office. He has 13 years of experience with the design of plumbing and fire-protection systems and has been responsible for developing designs for new construction, investigating on-site conditions, and reviewing existing documentation to create virtual models of existing building systems. Stultz is highly proficient utilizing building information modeling (BIM) applications for the Revit software, having implemented Revit systems companywide and serving as a BIM and Revit resource for staff.
Erie Materials, a regional distributor of building materials in New York and Pennsylvania, has made several promotions and new hires. WAYNE CHAPMAN has been promoted to territory manager at the Syracuse branch. Chapman has been with Erie Materials for a total of 16 years, starting as a warehouse employee in 2004 then promoted to inside
Become a Central New York Business Journal subscriber and get immediate access to all of our subscriber-only content and much more.
Click here to purchase a paywall bypass link for this article.
Erie Materials, a regional distributor of building materials in New York and Pennsylvania, has made several promotions and new hires.
WAYNE CHAPMAN has been promoted to territory manager at the Syracuse branch. Chapman has been with Erie Materials for a total of 16 years, starting as a warehouse employee in 2004 then promoted to inside sales in 2008. After a brief hiatus, he returned to work in the warehouse, general contracting department, and inside sales.
BLAINE DRAKE has been hired as an inside sales representative at the Syracuse branch. He has a broad range of experience in the retail building materials industry.
MICHAEL CADY was promoted to territory manager at the firm’s Binghamton branch. Cady has been with Erie Materials for nearly 22 years, starting as a driver in 2000. He was promoted to inside sales in 2002.
ANTHONY BARTON was promoted to inside sales representative at the Binghamton branch. He joined Erie Materials in 2018 as a driver.
TIMOTHY DENNIS has been promoted to inside sales at the Utica branch. He began his career with Erie Materials in 2011 as a driver.
DAN ZACHOLL was promoted to manager of the general contracting department, which is based in Syracuse. He is responsible for all day-to-day activities and personnel in the department. Zacholl has been with Erie Materials for 19 years, starting as a driver in Auburn in 1993. He was quickly promoted to inside sales at the Syracuse location. Zacholl moved out of state in 1997 then returned to Erie Materials in 2006 as an inside salesperson. In 2013, he joined the general contracting department as an estimator.

Preferred Mutual Insurance Company
JESSIE REMILLARD has been appointed director of human resources at Preferred Mutual Insurance Company. Prior to this, she was the manager of human resources. In her new role, Remillard will help Preferred Mutual Insurance advance the company’s people strategies and approaches, ensuring they are creating a culture aligned with a “people first” commitment. Remillard will
Become a Central New York Business Journal subscriber and get immediate access to all of our subscriber-only content and much more.
Click here to purchase a paywall bypass link for this article.
JESSIE REMILLARD has been appointed director of human resources at Preferred Mutual Insurance Company. Prior to this, she was the manager of human resources. In her new role, Remillard will help Preferred Mutual Insurance advance the company’s people strategies and approaches, ensuring they are creating a culture aligned with a “people first” commitment. Remillard will represent the human resources function as part of Preferred Mutual Insurance Company’s senior leadership team and will build and drive the policies and practices that are the foundation of their business. Remillard holds a master’s degree in organizational management from Sage Graduate School and a bachelor’s degree from SUNY Oneonta.
SHEENA MOSHETTI has been promoted to director of strategy execution at Preferred Mutual Insurance. Prior to her new appointment, she was the manager of enterprise project management for the company. In her new role, Moshetti joins the strategic leadership team and works to ensure enterprise visibility and understanding of the company’s operations. She will also help build and execute comprehensive operational strategies to achieve the company’s strategic plans. Moshetti holds a bachelor’s degree in business administration from SUNY Geneseo.

The Children’s Home of Jefferson County (CHJC) has introduced the newest addition to its executive team, appointing LISA MCCARTY as human resources director. She is a critical member of the nonprofit agency’s leadership team, participating in strategic change initiatives. McCarty will provide leadership and supervision for the agency’s human resources department, including staff development and
Become a Central New York Business Journal subscriber and get immediate access to all of our subscriber-only content and much more.
Click here to purchase a paywall bypass link for this article.
The Children’s Home of Jefferson County (CHJC) has introduced the newest addition to its executive team, appointing LISA MCCARTY as human resources director. She is a critical member of the nonprofit agency’s leadership team, participating in strategic change initiatives. McCarty will provide leadership and supervision for the agency’s human resources department, including staff development and training personnel, recruiting, and daily oversight. Additionally, McCarty will conduct research and analysis of organizational trends and monitor and ensure the agency’s compliance with federal, state, and local employment laws and regulations. She received her bachelor’s degree in human-resources management from SUNY Empire State College and is an alumnus of Jefferson Community College. McCarty worked in human resources began in the staffing industry and successfully moved into the engineering, manufacturing, and healthcare industry. She has worked in the human-resource profession for over 25 years. McCarty is a certified human resource professional through the Society of Human Resource Management (SHRM) and instructs SHRM certification courses at Jefferson Community College.

Mohawk Valley Health System launches new brand, logo
UTICA, N.Y. — The Mohawk Valley Health System (MVHS) has unveiled a new brand and logo as it draws closer to next year’s opening of
Stay up-to-date on the companies, people and issues that impact businesses in Syracuse, Central New York and beyond.