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MAY 2013 Volume 3 No. 6
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WHAT THE REGION IS DOING TO AT TRACT COMPANIES, JOBS // NORTHERN NEW YORK’S PREMIER BUSINESS MONTHLY //
May 2013 | NNY Business
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NNY Business | May 2013
>> Inside MAY 2013
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COVER |
18 PIECES OF THE PUZZLE Checking in with development agencies about initiatives to bring business, jobs to NNY. |
SMALL BIZ STARTUP
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17 DRIVE-IN DELI Old Garage Deli mixes high and low to create something for everyone. |
FEATURES |
24 ENERGY UPGRADE How a National Grid grant helped a farm operation in Rutland expand, modernize. 26 IT’S A TWIN THING Brothers Eric and Ryan Vanderlan continue a lifelong bond with a business venture.
REAL ESTATE |
28 WORKING TO BE WELL New health programs aim to achieve employee and workplace wellness through renewed awareness, focus.
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29 FROM FARM TO DESK Applying a CSA mentality to the workplace a new venture for businesses and farmers.
38 JEFFERSON COUNTY Real estate sales totaled more than $2.7 million over an eight-day period in April.
37 STRONG START TO ’13 Q1 real estate sales are off to a solid start across the region. |
PROPERTY SNAPSHOT |
ST. LAWRENCE COUNTY |
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BUSINESS HISTORY |
34 MILLWORK MIRACLE A donation from a stranger contributes to a Massena custom cabinet business’ ability to bounce back.
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CONSTRUCTION |
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32 CELEBRATING 55 WYBG Radio owners cite milestones in St. Lawrence County communications.
60 FAMILY DRAMA Scandal surrounded an Ogdensburg family who manufactured gloves. 62 BOTTLE CAPS Watertown beverage center comes to life in Arsenal Wine and Liquor building. May 2013 | NNY Business
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NNY Business | May 2013
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INTERVIEW
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ON THE COVER
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40 RESTORING DOWNTOWN Real estate developer Brian H. Murray has a vision for Public Square in Watertown that will bring the one-time hub of business back to its glory days.
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COLUMNS
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44 ECONOMICALLY SPEAKING 45 NONPROFITS TODAY 46 COMMERCE CORNER |
DEPARTMENTS
10 11 12 15 17
47 AGRI-BUSINESS 48 BUSINESS TECH BYTES 49 SMALL BUSINESS SUCCESS
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EDITOR’S NOTE PEOPLE ON THE MOVE ECONOMIC SNAPSHOT BUSINESS BRIEFCASE SMALL BIZ STARTUP
36 50 52 60 62
REAL ESTATE ROUNDUP CALENDAR BUSINESS SCENE BUSINESS HISTORY WHAT’S HAPPENING HERE?
Economic development in the north country is a complicated puzzle comprised of dozens of pieces that work simultaneously to bring jobs, and business, to the region. Johnson Newspapers graphic designer Todd Soules created this month’s cover to illustrate a few of the important parts that fit together to make business work in Northern New York.
May 2013 | NNY Business
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CONTRIBUTORS
BusIness www.nnybizmag.com
Publishers
John B. Johnson Jr. Harold B. Johnson II Michelle Capone is regional development director for Development Authority of the North Country. She writes about the housing situation in Drum country. (p. 44)
Rande Richardson is executive director of the Northern New York Community Foundation. He writes about playing nice with other organizations and sharing. (p. 45)
Lynn Pietroski is president and CEO of the Greater WatertownNorth Country Chamber of Commerce. She writes about the importance of volunteering as a leader. (p. 46)
Jay Matteson is the agricultural coordinator for the Jefferson County Industrial Development Corp. He poses the question “Can IDAs help farms?” (p. 47)
General Manager John B. Johnson
Executive Editor Bert Gault
Managing Editor Robert D. Gorman
Magazine Editor
Kenneth J. Eysaman
Associate Magazine Editor Kyle R. Hayes
Jill Van Hoesen is chief information officer for Johnson Newspapers and a 25-year IT veteran. She gives advice on the proper questions to ask vendors who give their best sales pitches. (p. 48)
Sarah O’Connell is an advisor for the state Small Business Development Center at SUNY Jefferson. She gives advice on planning for a business disaster of any kind. (p. 49)
Lance M. Evans is executive officer for the Jefferson-Lewis and St. Lawrence County Board of Realtors. He outlines what renovations bring the most return at resale time. (p. 36)
Norah Machia is a veteran Watertown Daily Times reporter. She spoke with twin landscape designers from Lewis County about brotherly love and running a business. (p. 26)
Advertising Directors
Karen K. Romeo | Tammy S. Beaudin
Magazine Advertising Manager Matthew Costantino
Circulation Director Mary Sawyer
Photography
Norm Johnston, Justin Sorensen, Jason Hunter, Melanie Kimbler-Lago, Amanda Morrison
Ad Graphics, Design
Rick Gaskin, Brian Mitchell, Heather O’Driscoll, Scott Smith, Todd Soules Kyle Hayes is associate magazine editor for NNY Business. In ‘Small Biz Startup,’ he visits Old Garage Deli. He also writes about worksite wellness and workplace CSAs. (pgs. 17, 28, 29)
Bob Beckstead is a Johnson Newspapers staff writer based in Massena. He writes about a gift that helped a Massena company rebound and a radio anniversary. (pgs. 32, 34)
Ted Booker is a Johnson Newspapers staff writer. He writes about a National Grid program that’s boosting agri-business and first quarter home sales on the rise. (pgs. 24, 37)
MARKETPLACE AAMCO Transmissions ................... 10 Advanced Business Systems ........ 23 All American Real Estate ............... 39 American Paving ........................... 55 AmeriCU Credit Unioni.................... 4 Ameriprise Financial ...................... 14 Bach & Company .......................... 38 Beardsley Design ........................... 62 Beaver Meadows Apartments ..... 39 The Blue Heron Restaurant............ 58 Bond, Schoeneck & King .............. 25 C&M Auto ........................................ 10 Canton Office of Economic Development .................................. 23 Cartier Place Suites ........................ 30 Church Street Diner ........................ 58 Clayton Dental Office .................... 15 Coleman’s Corner ......................... 58 The Computer Guys ....................... 48 Computer Warehouse ..................... 8 Cortel Improvement ...................... 23 CREG Systems Corp. ...................... 15 Dano’s Pizzeria ............................... 58 D Laux Properties ........................... 39 DANC ......................................... 56, 64 Eagle Ridge Village ....................... 39
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Equipment Rentals ......................... 35 EXIT More Real Estate .................... 39 Fairgrounds Inn ............................... 58 First Class Auto Glass ..................... 35 Foy Agency Inc. ............................. 15 GWNC Chamber of Commerce .... 25 HighTower Advisors ........................ 42 Howard Orthotics ........................... 44 IHC Schools ..................................... 20 Innovative Physical Therapy ......... 45 JCIDA ............................................... 61 JFins Restaurant .............................. 58 Kimco Steel Sales ............................. 2 LaClair Family Dental ..................... 29 Lofink Ford Mercury ....................... 54 LTI ..................................................... 46 Macars ............................................ 57 Marceau Paving ............................ 38 Moe’s Southwest Grill ..................... 58 NNY Business.................................. 33 NNY Community Foundation ........ 33 North Country Technology Symposium ................. 6 Northstar Auto Sales ...................... 52 Nortz & Virkler ................................. 10 O’Brien’s Restaurant ....................... 58
NNY Business | May 2013
Papa Tino’s Pizza ............................ 58 Phinney’s Automotive .................... 10 RBC Wealth Management ............ 27 Richard J. Meagher ....................... 14 River Rat Cheese ............................ 53 Schwerzmann & Wise .................... 27 SeaComm Federal Credit Union ..... 7 ShredCon ........................................ 49 Sideline Promotions ....................... 10 Slack Chemical .............................. 47 Succession Partners ......................... 3 SUNY Potsdam ................................ 11 T.I. Bridge Authority ........................ 21 Thousand Islands Real Estate ........ 39 The Three C Limousine ................... 43 Tilted Kilt .......................................... 58 Watertown Daily Times .................. 31 Watertown Dental Group ................ 9 Watertown International Airport ... 16 Watertown LDC ............................... 36 Watertown Savings Bank ............... 22 Wells Communications ................. 35 Westelcom ...................................... 61 Wladis Law Firm .............................. 63 Woodruff Conference Center ....... 37 WWTI-ABC50 ................................... 59
NNY Business (ISSN 2159-6115), is published monthly by Northern New York Newspaper Corp., 260 Washington St., Watertown, NY 13601, a Johnson Newspaper Corp. company. © 2010-2013. All material submitted to NNY Business becomes property of Northern New York Newspaper Corp., publishers of the Watertown Daily Times, and will not be returned.
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12 issues are $15 a year and 24 issues are $25 a year. Call 315-782-1000 to subscribe.
Submissions Send all editorial correspondence to keysaman@wdt.net Advertising For advertising rates and information in Jefferson and Lewis counties, email mcostantino@wdt.net, or call 315-661-2305 In St. Lawrence County, e-mail tbeaudin@ogd.com, or call 315-661-2512 Printed with pride in U.S.A. at Vanguard Printing LLC, Ithaca, N.Y., a Forest Stewardship Certified facility. Please recycle this magazine.
May 2013 | NNY Business
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EDITOR’S NOTE
T
he late 19th century German aristocrat and statesman Otto von Bismarck once said that “Laws are like sausages, it is better not to see them being made.” While most would agree with Bismarck’s assessment of the legislative process, the same could be said for the process by which economic development occurs. Indeed, the business of bringing business to our area is not one for the faint of heart. Attracting companies and jobs to the north country requires a mix of incentives, grants, loans, good timKen Eysaman ing and, if you are an economic developer, a bit of luck. This is especially true in today’s global marketplace. As the world in which we do business continues to shrink, it’s not unreasonable to say that the north country is competing with, well, the rest of the world. To those who say government’s job is to simply set the conditions to help the marketplace thrive and get out of the way, I say Amen — if only it were that simple. The thing is, when cities and counties across the country roll out the welcome mat with fattened deals to lure corporations, it makes the playing field as uneven as Wyoming’s Grand Tetons. In this month’s issue, we examine economic development and what a handful of agencies are doing to attract and retain businesses and jobs. Our cover story begins on page 18. 20 QUESTIONS — This month we sit
down with Brian H. Murray, owner and president of Washington Street Properties and a professor of business at Jefferson Community College. Mr. Murray is a real estate developer who has taken a shine to
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NNY Business | May 2013
Watertown’s Public Square. We ask him what it takes to really succeed in business when the risks are so high. Our conversation with Mr. Murray begins on page 40. BUSINESS SCENE — This month’s Scene
section, which begins on page 52, features 69 faces from nearly four-dozen businesses and organizations from across the north country. On April 12, we joined the North Country Builders Exchange at the Alex T. Duffy Fairgrounds Arena in Watertown for the 37th Annual North Country Home Show. That same weekend, we traveled to Clayton’s Cerow Recreation Park Arena for the Clayton Chamber of Commerce 1000 Islands – Clayton Spring Boat Show. On April 17, we saw the amazing redevelopment that is taking place at Bonnie Castle Resort when we joined the Greater Watertown-North Country Chamber of Commerce for its April Business After Hours. (Our June issue will feature more on all the exciting changes that are taking place at Bonnie Castle.) The next day we were back in Clayton at the offices of Save The River for the Clayton Chamber of Commerce April Business With A Twist networking social. The following week, on April 23, we made our way to Carthage where, at the Elks Lodge, retired Army Col. Terrence L. Roche received the 2012 Elks and Carthage Area Chamber of Commerce Citizen of the Year award. Congratulations to Col. Roche for the very well-earned honor. Later that same week, on April 25, we joined AmeriCU Credit Union as officials cut the ribbon on the Watertown Financial Center at 871 Arsenal St. Finally, that same evening, Magazine Advertising Manager Matt Costantino joined River Day Spa & Salon owner Jenny Bach as she welcomed guests for an open house at her Riverside Drive business. Yours in business,
PEOPLE ON THE MOVE Earns real estate license
Allison Carlos recently earned a real estate salesperson license, completing training with Kaplan Professional Schools. Ms. Carlos is a 2012 graduate of Jefferson Community College, where she earned an associate’s degree in humanities and social science, Carlos and a 2010 Watertown High School graduate. While a student at JCC, she opened a dance and gymnastics supply store, Dance Alley, 345 Factory St., Watertown. She also opened a photo booth business, Allie-Kat Photo Booth, with business partner Kathryn Sparacino. She is employed with Elliott Realty, Watertown, and continues to manage Dance Alley and Allie-Kat Photo Booth while also teaching dance classes for In Motion School of Dance. She is the daughter of Louis and Shelly Carlos, Watertown.
Named law partner
Conboy, McKay, Bachman & Kendall LLP has announced Victoria “Torie” Hasseler Collins as partner in the firm, as of April 1. Ms. Collins joined the firm as an associate attorney in April 2010. She is the daughter of Larry and Ginny Hasseler and a native Hassler-Collins of Carthage. She attended SUNY Cobleskill for agricultural business and graduated summa cum laude from SUNY Cortland in 2003, where she was ranked in the top 10 of her class, with a bachelor’s degree in political science with a concentration in environmental policy. She received a juris doctorate, graduating summa cum laude and eighth in her class, from Albany Law School with a concentration with high honors in estate planning. Before joining Conboy, she worked as an associate attorney with Weber, Perra & Munzing P.C. and then Potter Stewart Jr. Law Offices P.C., both located in Brattleboro, Vt. Ms. Collins practices in the firm’s Watertown and Carthage offices. She is a
Got business milestones? n Share your business milestones with NNY
Business. Email news releases and photos (.jpg/300 dpi) to editor Ken Eysaman at keysaman@wdt.net. The deadline for submissions is the 10th of the month for the following month’s issue. Photos that don’t appear in print may be posted on our Facebook page.
member of both the estates and business practice groups, and her areas of practice include estate planning, probate and estate administration of estates, real estate and social security disability. She is a member of the board of trustees of Meadowbrook Terrace Inc. and has volunteered with Literacy of Northern New York.
Joins architecture firm
Francis A. “Ike” Cook, a former employee at Bernier, Carr & Associates, has joined MRB Group, Engineering, Architecture, Surveying, P.C., located in the Key Bank Building at 200 Washington St., Watertown. The Adams resident will serve as a project manager Cook at the Watertown location for the Rochester-based firm. He will specialize in water and wastewater treatment and system design, serving the firm’s clients in Northern New York and the Adirondack Park regions.
Clarkson names new business school dean
Dayle M. Smith has been named dean of the School of Business at Clarkson University, effective July 1. Ms. Smith is a professor of management at the University of San Francisco’s McLaren School of Business and has held a number of leadership roles during her 20-year tenure at the institution, including current service as the director of the business honors program. She holds her doctoral degree in organizational communication and organizational behavior from the University of Southern California, and has also taught at the University of Southern California and Georgetown University. Timothy F. Sugrue, who has been the dean of the business school since 2000, will
Please see People, page 14
May 2013 | NNY Business
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NNY
Economic indicators Average per-gallon milk price paid to N.Y. dairy farmers March 2013 $1.73 Feb. 2013 $1.77 March 2012 $1.60
8.1%
ECON SNAPSHOT
Vehicles crossing the Thousand Islands, OgdensburgPrescott and Seaway International (Massena) bridges
Source: NYS Department of Agriculture
401,133 in March 2013 316,409 in Feb. 2013 396,385 in March 2012
Average NNY price for gallon of regular unleaded gas
Source: T.I. Bridge Authority, Ogdensburg Bridge & Port Authority, Seaway International Bridge Corp.
March 2013 $3.89 Feb. 2013 $3.92 March 2012 $3.97
U.S.-Canadian dollar exchange rate (Canadian dollars per U.S. dollar)
2.0%
Average NNY price for gallon of home heating oil
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(Percent gains and losses are over 12 months)
March 2013 $4.02 Feb. 2013 $4.08 March 2012 $4.08
1.5%
1.2%
$1.02 on March 22, 2013 $1.02 on Feb. 22, 2013 $0.99 on March 23, 2012
3.0%
Source: Federal Reserve Bank of N.Y.
Average NNY price for gallon of residential propane
Nonagriculture jobs in the Jefferson-Lewis-St. Lawrence counties area, not including military positions*
March 2013 $3.09 Feb. 2013 $3.05 March 2012 $3.49
87,700 in March 2013 87,500 in Feb. 2013 88,300 in March 2012
11.5%
0.7%
Source: NYS Energy Research and Development Authority
Source: NYS Department of Labor
Jefferson-Lewis Board of Realtors single-family home sales
St. Lawrence Board of Realtors single-family home sales
77, median price $135,000 in March 2013 58, median price $133,750 in Feb. 2013 65, median price $136,000 in March 2012
33, median price $70,000 in March 2013 29, median price $68,900 in Feb. 2013 37, median price $75,000 in March 2012
18.5% Sales
0.7% Price
Source: Jefferson-Lewis Board of Realtors Inc.
10.8%
6.7%
Sales
Price
Source: St. Lawrence Board of Realtors Inc.
NNY unemployment rates* Jefferson County
March ’13
11.5%
Feb. ’12
12.2%
March ’12
11.6%
St. Lawrence County March ’13
10.8%
Feb. ’12 March ’12
11.4%
11.3%
Lewis County
March ’13
Feb. ’12 March ’12
12.3%
13.2% 12.0%
Source: New York State Department of Labor (Not seasonally adjusted. Latest available data reported.) * Latest available data reported due to annual data updates at the New York State Department of Labor. Note: Due to updates in some “Econ. Snapshot” categories, numbers may differ from previously published prior month and year figures.
NNY Business | May 2013
NNY
Economic indicators New automobiles (cars and trucks) registered in Jefferson County Cars 469 in March 2013 302 in Feb. 2013 461 in March 2012
1.7%
Trucks 113 in March 2013 86 in Feb. 2013 84 in March 2012
34.5%
Source: Jefferson County Clerk’s Office
Passengers at Watertown International Airport
Open welfare cases in Jefferson, Lewis and St. Lawrence counties
2,950 inbound and outbound in March 2013 2,507 inbound and outbound in Feb. 2013 2,861 inbound and outbound in March 2012
2,080 in March 2013 2,058 in Feb. 2013 1,935 in March 2012
7.5%
3.1% Source: Jefferson County Board of Legislators
DBA (doing business under an assumed name) certificates filed at the Jefferson County Clerk’s office April 10 to May 3, 2013. For a complete list of DBAs filed in past months, visit us at WWW.NNYBIZMAG.COM.
May 3: Sir Bounce A Lot, 201 N. Orchard St., Watertown, James Wood, 201 N. Orchard St., Watertown.
Mike’s Drywall, 15193 County Route 155, Adams Center, Michael S. Floetenmeyer, 15193 County Route 155, Adams Center.
DiPrinzio’s Italian Market and Catering, 240 Cartier Ave., Clayton, Christopher DiPrinzio, 240 Cartier Ave., Clayton.
Danick Home Improvements, 142 Union St., Watertown, Daniel Jones, 142 Union St., Watertown.
May 2: Augustine K9 Training, 8526 Spraight Loop, Fort Drum, Kimberly Augustine, 8526 Spraight Loop, Fort Drum.
April 19: Sackets Support, 209 Edmund St., P.O. Box 125, Sackets Harbor, Daryl K. Giles, 209 Edmund St., P.O. Box 125, Sackets Harbor.
May 1: Precision Landscaping, 17011 State Route 3, Watertown, Vincent G. Puccia, 17011 State Route 3, Watertown.
Rydolph’s Restaurant and Lounge, 13430 County Route 123, Henderson Harbor, Linda Sue Johnson, 12529 County Route 72, Henderson.
Kindermusik with Alicia Manning, 8520 LeRay St., Evans Mills, Alicia Marie Manning, 9744B Washington Loop, Fort Drum.
April 18: Musical U, 21601 Floral Drive, Lot 16C, Watertown, Rodger Carr, 21601 Floral Drive, Lot 16C, Watertown.
April 30: 5 J’s Trucking, 27342 County Route 49, Watertown, James M. Turck, 27342 County Route 49, Watertown.
RR Contracting, 20046 County Route 63, Watertown, Richard L. Roach, 20046 County Route 63, Watertown.
April 29: A&M Enterprises, 13651 County Route 156, Watertown, Amos Blood, 13651 County Route 156, Watertown.
King Consultancy, 15755 Pheasant Run Road, Watertown, Steven King, 15755 Pheasant Run Road, Watertown.
April 26: 5 Memory Lane, 23563 Turkey Hollow Drive, Dexter, Amy L. Langa, 23563 Turkey Hollow Drive, Dexter.
April 17: DAVCO Contracting, 17120 County Route 53, Dexter, David W. Collins, 17120 County Route 53, Dexter.
Priority One Landscaping and Lawncare, 645 Burlington St., Watertown, Douglas H. Thomas Jr., 324 Gale St., Watertown, Timothy Thomas, 645 Burlington St., Watertown, and Paul E. Carpenter II, 1005 Superior St., Watertown.
Kuntz Rentals, 32672 Route 11, Philadelphia, Jacob R. Kuntz, 8725 Artz Road, Castorland, Nathan Richard Kuntz, 200 Seventh Avenue, Chenoa, Ill.
C&D Hubbard Construction, 19 E. Church St., Adams, Claude W. Hubbard, 19 E. Church St., Adams. L&B Services, 7978 Seven by Nine Road, Copenhagen, Laurie A. Barber, 7978 Seven by Nine Road, Copenhagen. Steele’s Driveway Seal, 18530 Mooney Gulf Road, Adams, Kyle Steele, 18530 Mooney Gulf Road, Adams. April 24: Northwestern Mutual North Country, 220 Washington St., Suite 202, Watertown, Mark J. Schnobrich Jr., 113 Mill Creek Lane, Sackets Harbor.
April 16: Cory Gardner Excavating, 24090 Route 11, Calcium, Cory M. Gardner, 24090 Route 11, Calcium. Twisted Creations, 21521 Pork Hill Road, Rodman, Sarah J. Monroe, 21521 Pork Hill Road, Rodman. Sarah Jane Photography, 21521 Pork Hill Road, Rodman, Sarah J. Monroe, 21521 Pork Hill Road, Rodman. Bill Ease Books, 16627 State Route 178, Adams, Billie J. Ward, 16627 State Route 178, Adams. April 15: Doggy Style Hot Dogs,129 Bartlett Road, Sackets Harbor, Christy Windover, 129 Bartlett Road, Sackets Harbor.
Woodyhollow Hay, 31402 County Route 18, Theresa, Susan L. Warner, 31402 County Route 18, Theresa.
April 12: Bright Minds Child Care, 618 Franklin St., Watertown, Valerie Chapman, 618 Franklin St., Watertown.
Castor Property Management, 8200 Route 11, Adams, Dorothy A. Castor, 8200 Route 11, Adams.
Ties N Tiaras Beauty Bar A Day Spa, 101 Public Square, Watertown, Christina Shultz, 4 Institute St., Adams, Robin Porter, P.O. Box 337, 2400 County Route 194, Copenhagen.
April 23: C R Construction, 8440 Willow St., Evans Mills, Christopher J. Palmer, 8440 Willow St., Evans Mills. CoolFishArt, 43681 First St., P.O. Box 2, Redwood, A. Scott Mueller, 43681 First St., P.O. Box 2, Redwood.
Under the Camphor Tree, 335 E. Joseph St., P.O. Box 47, Cape Vincent, Artemas and Melissa Rookman, 335 E. Joseph St., P.O. Box 47, Cape Vincent.
Bio Tec Enterprise, 31440 Route 11, Philadelphia, Luke K. Martin, 31440 Route 11, Philadelphia.
April 11: PS Enterprise, 24736 County Route 138, Calcium, Peter M. Stewart, 24736 County Route 138, P.O. Box 137, Calcium, and David C. Griffiths, 24751 County Route 138, P.O. Box 57, Calcium
April 22: Patterson Aerial Construction, 7C S. Main St., Adams, Dean Patterson, 7C S. Main St., Adams.
April 10: Health Solutions, 745 James St., Clayton, Juliet E. Salazar, 745 James St., Clayton.
Aguilar Property Services, 809 Bigham Ave., Watertown, Maribel Aguilar, 809 Bigham Ave., Watertown.
Patriot Property Services, 10657 County Route 77, Adams, Robert A. Denney, 10657 County Route 77, Adams.
TRANSACTIONS
DBAs
Source: Social Service Depts. of Jefferson, Lewis and St. Lawrence counties
May 2013 | NNY Business
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PEOPLE ON THE MOVE BRIEFCASE, from page 15 step down June 30 to focus on serving as CEO of the Clarkson subsidiary Beacon Institute, Beacon, which he has led since 2011.
Insurance agents take education course
Twenty four local insurance agents recently learned about fungal remediation practice and guidelines during a continuing education training course taught by Rainbow International of Watertown, a firm owned by Betty Grandjean. Continuing education class credits are required every two years for agents to keep their licenses. The class, taught by Ron Clawson, Rainbow International System Sales Manager, was in conjunction with the Professional Institute for Real Estate Training.
Named senior fellow
Steven G. Horwitz, Canton, a St. Lawrence University economics professor, has been named a senior fellow for the Fraser Institute, an independent conservative think-tank based in Canada. Mr. Horwitz, who also serves as the economics department chair at St. Lawrence, is the author of two books: “Monetary Evolution, Free Banking and Economic Order” and “Microfoundations and Macroeconomics: An Austrian Perspective.” He has written extensively on political economy, economic and social theory of the family, monetary theory and macroeconomics. He is also a contributing editor at The Freeman and recently received honorable mention in the Reason Foundation’s 2012 Bastiat Prize for Journalism. The Fraser Institute has active research ties with similar independent organizations in more than 80 countries around the world and publishes peer-reviewed
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NNY Business | May 2013
research into critical economic and public policy issues including taxation, government spending, health care, school performance and trade.
Peebles Realty news
Jessica Dorr, a license real estate salesperson at Peebles Realty Inc., Adams, has been awarded the Housing Our Military with Excellent Service certification by the New York State Association of Realtors. She received the certification after successfully comDorr pleting 15 hours of real estate education developed specifically to train Realtors to assist military personnel, families and veterans in securing suitable and affordable housing. Peebles Inc. also Lowe hired two real estate salespersons. Lisa Lowe, Adams, a native of Palmerton, Pa., and Ryan West, Sandy Creek, a native of Henderson, have joined the firm. Mrs. Lowe received a degree West in journalism and marketing from Lock Haven (Pa.) University and has lived in Adams with her
husband, Lt. Col. Erik Lowe, since 2005. They have three children. She will specialize in real estate in the Southern Jefferson County area. Mr. West is a graduate of SUNY Oswego and a former carpenter and fine home builder specializing in Jefferson, Lewis and Oswego counties. He lives in Sandy Creek with his wife, Leann.
CPH adds specialist
Dr. Mohammed “Zaman” Aktaruzzaman has joined Canton-Potsdam Hospital, Potsdam, as an allergy and immunology specialist. He began treating patients at the CPH Allergy, Asthma and Sinus Center at E.J. Noble Professional Building, Canton, in mid-March. Dr. Aktaruzzaman Aktaruzzaman received his medical degree in Bangladesh and treated patients in rural areas of the country, serving as medical officer in a rural medical complex. Following his medical studies, Dr. Aktaruzzaman completed a residency and fellowship training in pathology and immunopathology at Bronx-Lebanon Hospital Center in New York City. He then completed his residency in internal medicine at Mount Sinai Medical Center/Case Western Reserve in Ohio, followed by a fellowship in allergy/ immunology at East Carolina University Medical School in Greenville, N.C. Dr. Aktaruzzaman is board certified and joins CPH from an allergy and immunology group practice in Missouri. Prior to that he was in private practice in Raleigh, N.C., and Vero Beach, Fla.
BUSINESS BRIEFCASE
Craft brewery plans opening in Lowville
A pair of Lowville entrepreneurs are trying out a new business venture in the village, and creating quite the buzz. Dean and Shay Richards, a husbandwife team who owned Wildroot Bookstore and WaySeeker Custom Picture Framing, before it was lost to fire damage two years ago, have launched BarkEater Craft Brewery. The brewery will be considered a nano brewery, meaning it is a small brewing operation defined by a less than four U.S. beer barrel brew system. Following the fire that damaged a considerable portion of the historic Times block in Lowville, Mr. Richards said he began working as a carpenter in Old Forge while his wife finished a bachelor’s degree through Pennsylvania State University online. He forged a business plan while commuting to and from the Adirondacks. BarkEater is the English translation of the Adirondack region. While still completing required paperwork, permits and licensing requirements, Mr. Richards is renovating space and a tasting room for the brewery at 5411 Shady Ave. Mr. Richards hopes to begin serving customers by late summer. The brewery will produce New York state labeled beer and hard cider under a new farm brewery license and expand its existing hop yard, which has been established on a local community-supported agriculture farm. Mr. Richards’s charcoal drawings will be used in labeling and brand development. In April, the brewery announced on its social media sites that it would partner with Michael and Susan Maring, owners of Tug Hill Vineyards, to start growing hops at the vineyards for the brewery this spring. As a farm brewery, BarkEater Craft Brewery will utilize locally grown grains, hops, apple cider, maple syrup and sap and honey in the brewing processes. Once open, Mr. Richards said that the tasting room will be used for sampling the brewery’s array of English and American style ales, stouts and porters as well as
regional meats, cheeses, sauces, mustards and pretzels. It also will feature a retail gift and product sales space. In an email, Mr. Richards said that in two years he hopes to expand the operation and purchase new equipment. Between five and eight years from now, he hopes to open a large production facility in the region. Follow updates about the business at www.Facebook.com/BarkEaterCraftBrewery, www.instagram.com/barkeaterbrew or www.twitter.com/barkeaterbrew.
Citizens Bank honored
Citizens Bank of Cape Vincent has been recognized as a five-star rated bank by BauerFinancial Inc., a national bank rating and research firm. The five-star rating from Bauer indicates that Citizens Bank of Cape Vincent excels in areas of capital, asset quality and profitability. The bank also earned the highest rating for the most recent 93 consecutive quarters, which qualifies it for a group of “Sustained Superiority Banks.” According to BauerFinancial, five percent of the nation’s banks can claim this distinction with such consistency.
Consulting firm nationally recognized
Diane H. Leonard, president and owner of DH Leonard Consulting and Grant Writing Service, Clayton, has earned a nationally recognized credential in the grants field. Ms. Leonard is one of nine certified grant professionals nationally who were Leonard designated a Grant Professional Certified title by the Grant Professionals Certification Institute Inc. This professional certification makes Ms. Leonard the 12th grant professional in the state to achieve this certification and the 352nd in the country.
Potsdam Business of the Year announced
The Potsdam Chamber of Commerce has announced LaValle Transportation and Body Shop Fitness & Salon as the recipient of the 2013 Business of the Year Award. Penny and Randy LaValley own
Please see Briefcase, page 16
May 2013 | NNY Business
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BRIEFCASE, from page 15 the businesses. Randy LaValley founded LaValle Transportation Inc. in 1994 with one car carrier. Today, the truckload transportation business performs regional and long haul transportation services. LaValle now operates 135 trucks, 500 trailers and employs 135 drivers and a support staff of 35. The Body Shop Fitness & Salon opened in 2007. The business features a full-service salon alongside a fitness center that features cardio equipment and resistance weight training equipment, a “Step It Out!” dance studio and Zumba classes. The LaValleys were presented with the award on May 7 at the Potsdam Chamber of Commerce spring luncheon at the Potsdam Town and Country Club.
COR increasing footprint in Northern New York
COR Development Co., a Fayettevillebased developer, announced in mid-April that it had gained control of the former Mercy Hospital on Watertown’s Stone Street, would demolish the complex and redevelop the site. COR has invested millions of dollars in the Watertown area in the past decade,
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developing the Towne Center shopping complex, which includes Target and Kohl’s department stores, and the nearly 300-unit Beaver Meadows Apartments behind the center on Route 3 in the town of Watertown. Company president Steven F. Aiello told the Watertown Daily Times that the downtown location in the city has potential. “We’re trying to combine our expertise in retail, office and residential development to help revitalize urban areas, to take advantage of the trend to revitalize downtown markets,” he told the Times. Mr. Aiello said that COR is hoping to start demolition in the late summer and begin construction of multiple buildings next year. He said some buildings should be ready for occupancy in late 2014 or early 2015. Meanwhile, potential plans to develop a 364-unit apartment complex in West
Carthage were scrapped in early January, according to Mr. Aiello. A partnership with Carthage-based Lunco Cop., owned by Michael E. Lundy, was meant to build a residential and retail hub in the area. Mr. Aiello said that a market study commissioned by COR resulted in some serious concerns for financiers.
Foy Agency Inc. honored
Foy Agency, an insurance agency based in Deer River, has been named to Kemper Preferred’s Inner Circle of Independent Agents. The inner circle is a group of 262 independent insurance agencies nationwide that represent Kemper Preferred. Kemper sells home, auto and package plus policies through a select network of independent agents. Inner circle membership is awarded to approximately 7 percent of all independent agents that represent Kemper in 38 states and the District of Columbia and is based on the amount of business written as well as the quality of business. Foy Agency Inc. has been in business in Deer river since 1950 and employs 11 professionals. The business is owned by Tom Foy and has locations in Croghan and Lowville.
S M A L L B I Z S TA R T U P BUSINESS
Old Garage Deli THE INITIAL IDEA
Jaime L. Short, owner of Watertown’s newest though maybe most unexpected lunch spot, knew when it was time to go out on her own. After working in kitchens and offices for local businesses for 20 years or more, it was time to start her own business. She’d worked for Dry Hill Ski Area for 16 years and spent last summer in the kitchen at the Crescent Bay Yacht Club, Chaumont. But when the former Ames Bros. Service Center left its longtime home on outer Washington Street vacant, her vision came to life. “It’s the perfect location and the right time,” Ms. Short said. “I don’t know what it is about this building, but I knew I could make it work.” She began formulating her business plan in October and about six months later she opened her garage doors on April 22.
TARGET CLIENTELE
It’s evident that Ms. Short has worked in the restaurant industry for most her life: she knows her customers, and she knows what they expect in terms of quality and variety. “The menu is a little bit hippy, a little bit yuppy,” she said. Meaning that there’s a little bit of something for everyone. Ms. Short said that she’s developed a menu that would please both white collar and blue collar workers. “The Edison [sandwich] has [bean] sprouts on it and goat cheese, my father the blue collar guy wouldn’t touch that, but his wife, who runs a bank, probably would love it.” The menu, which is handwritten on a chalkboard below the service counter, features an array of sandwiches with a twist, including flavors like chipotle to zest things up a bit.
THE JOURNEY
The process of turning a former body shop and vehicle service center into a retro-themed deli was not always an easy one. The first task to tackle was cleaning the premises from top to bottom. “Everything had to be cleaned and
JUSTIN SORENSEN | NNY BUSINESS
“I want to see this succeed. I want people to enjoy themselves when they come. That’s the main thing.” — Jaime L. Short, owner, Old Garage Deli painted, I bought all the equipment and we built out all of the service counter,” Ms. Short said. “We did everything because there was nothing here.” Further renovations included adding new bathrooms for customers. The location itself is prime real estate, Ms. Short said. “There’s really not a lot on this side of town,” she said. “There is Subway and Harby’s, which are great, but there’s not much else for the people who drive by here every day.” Owning a deli that is open from 10:30 a.m. to 4 p.m. Monday through Saturday is exactly what Ms. Short was looking for when she was brainstorming her perfect business. With three children, ages 4, 12 and 15, she needed something that allowed her flexible hours while still being there for her kids and customers. “I have a 12-year-old and a 15-year-old both of whom have their activities and a 4-year-old who still needs his mom, but I knew I would be able to handle it with running my own place,” she said.
IN FIVE YEARS
Ms. Short has big plans for the location that she’s in. In the coming months she would like to put in
an ice cream parlor, which certainly fits in with the retro design that Old Garage Deli is decorated in. “Again, there’s nothing like that on this side of the city, there’s no ice cream shops, there’s no place to take your family for something like that,” Ms. Short said. There is also an annex off the back of the current deli that Ms. Short dubbed the “back garage.” For the space she would like to see a wine bar with performance space for bands and musicians. “I don’t want anything too rowdy and crazy, but I think it’d be perfect for a wine bar with musical space, that way there is something for everybody at this location,” she said. Ms. Short has ambition but keeps things in perspective. “I want to see this succeed. I want people to enjoy themselves when they come that’s the main thing.” Old Garage Deli is open 10:30 a.m. to 4 p.m. Monday through Saturday at 19059 Route 11, Watertown, next to Widrick Auto Sales. Contact the deli at 681-6520 or oldgaragedeli@gmail.com. — Kyle R. Hayes
WHERE Watertown | FOUNDED 2012 | WEB www.Facebook.com/OldGarageDeli
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COVER STORY
ROLLING out the
RED CARPET ECONOMIC DEVELOPMENT IN NORTH COUNTRY TAKES MARKETING SAVVY, RIGHT MIX OF TOOLS
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IN THE CUTTHROAT BATTLE toattract companies and jobs to the region, economic development officials must rely on a myriad of tools such as low-interest loans, bonds and tax incentives while also marketing the strengths of the north country such as quality of life and schools. Firms that want to relocate or expand quite often find that tax breaks, reimbursements and grants are good reasons to locate a business in a particular area of the state or country. Economic development directors also cite more than a basket of tricks to attract jobs. Companies want a well-trained workforce, governments and agencies that work well together and a quick permitting process. Take the redevelopment of the Woolworth building in Watertown, for example. For years, the high-profile structure on Public Square has stood empty, deteriorating into an eyesore while hopes for an overhaul all but vanished. Earlier this month, it was announced that developers of the Woolworth build-
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NNY BUSINESS STAFF
ing would receive a $1.85 million financial boost from the state to restore the Public Square landmark into rental housing. Developers David Gallo and Erich H. Seber were awarded $1.073 million in housing tax credits and another $750,000 in Housing Trust Fund money for the $15.4 million project. Mr. Seber said he and his partner now can proceed with plans to convert the vacant building into 50 affordable lowerincome apartments on the upper floors and commercial space on the ground floor. The business partners will now focus on bank financing and other funding sources. If all goes well, the project could begin as soon as this fall, Mr. Seber said. The two developers will now go to Empire State Development officials to work to reinstate a $2.5 million Restore New York grant since the original recipient and developer, Michael A. Treanor, backed out of the project last year. Last year, Empire State Development had informally agreed to transfer that Restore
New York grant for their project. The project will feature a mix of one- and two-bedroom apartments, geared mostly toward young professionals and older residents. Corridors on each floor would stay intact, but all other interior walls will be removed and replaced with a new configuration for the apartments. The 11,000 square feet of commercial space on the ground floor may include retail or office space, or possibly a restaurant. The Woolworth building is but one example of several projects in the north country that requires collaboration among economic development offices to achieve a collective greater good for the region, a sentiment that Jefferson County Industrial Development Agency CEO Donald C. Alexander shares. And if the Woolworth project demonstrates one thing, it’s the fact that putting together the pieces of any project that is dubbed economic development can be a frustrating puzzle to solve. “It takes many tools to make all the
CLAYTON HARBOR HOTEL
RENDERING COURTESY HART HOTELS
Buffalo-based developers Krog Corp. and Hart Hotels last month moved a step closer to starting work on the $22.5 million four-story facility that they hope to open by Memorial Day 2014.
pieces fit,” Mr. Alexander said. “When people criticize us for rolling out incentives and accuse us of corporate welfare, I remind them that we are competing with the rest of the world.” What’s more, as Mr. Alexander notes, the playing field is far from level. “We aren’t the first to use tax incentives to structure a development deal and we won’t be the last,” he said. For those who might ask why economic development is such big business in the north country when the largest military installation in the Northeast anchors the region, Mr. Alexander and others say it’s important — and necessary — to build a well-diversified regional economy. While Fort Drum stands as a community asset unmatched by any singular corporation, Mr. Alexander maintains the region should never be “lulled into feeling forever secure because we have the post.” “We should work as hard as we can to further secure this asset and determine how the post can serve as a stimulus for
other, more diverse economic activities throughout our region,” he said. The Development Authority of the North Country, in partnership with the Jefferson County and St. Lawrence County Industrial Development Agencies, Lewis County Office of Planning and Economic Development, Fort Drum Regional Liaison Organization and National Grid are promoting the region’s economic assets through the regional marketing initiative Drum Country Business. Agencies are working together to market directly to site selectors and business leaders, and advertising in trade publications to locate targeted businesses in the north country. County IDA’s are also marketing across the border in Canada to attract businesses to grow here. “While benefiting from Fort Drum, the local economy needs to diversify and continue to recruit manufacturing, processing and production companies,” said Michelle L. Capone, director if regional development for DANC.
So what makes economic development successful in the region? “Partnerships among employers, educational institutions, lenders and local governments make economic development successful in the region,” Ms. Capone said. “When everyone is working off of the same page, businesses see a coordinated effort that encourages them to invest in the community and region.” In Clayton, officials are poised to celebrate the groundbreaking of the region’s first destination resort hotel in years. Clayton Town Supervisor Justin A. Taylor points to the project as an example of what can happen when all the pieces of the economic development puzzle come together. He has called the $22.5 million riverfront development “the most important thing to happen in Clayton.” “The landscape of Clayton will change for the better,” Mr. Taylor said recently. Buffalo-based developers Krog Corp. and Hart Hotels last month moved a step closer to starting work on the fourMay 2013 | NNY Business
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COVER STORY story facility that they hope to open by Memorial Day 2014. A payment-in-lieu-of-taxes agreement that gives the hotel owners a 50 percent property tax break over 15 years was approved by taxing entities at the end of January. The ownership of roughly 7 acres of the 8.4-acre Frink site was transferred to Clayton Harbor Hotel LLC — formed through a 50/50 partnership between Krog and Hart Hotels — by Clayton’s Local Development Corp. with the consent of the town government. Krog is the general contractor for the $22.5 million project and Hart Hotels will be in charge of the planning, marketing, management and operation of the 105room hotel and conference center. The full-service destination hotel will include a 275- to 300-seat ballroom and conference center, an 80- to 100-seat restaurant, an indoor pool with a Jacuzzi, a business center and a fitness room with a view of the St. Lawrence River. There also will be two large outdoor fire pits. Clayton Harbor Hotel plans to hire roughly 90 employees, most of them locally, and the developers have been contacting a number of local contractors for the construction project. Additionally, the developers are planning an approximately $3.5 million project to build a dozen townhouses on the east side of the Frink site. ST. LAWRENCE COUNTY
The St. Lawrence County Industrial Development Agency works to promote, attract and develop jobs, commerce and industry in the state’s largest county that stretches north from the Canadian border, west to the St. Lawrence River, east to the Adirondacks and south to Jefferson County. It builds and owns industrial sites and buildings, administers loan packages and industrial revenue bond financing and provides a variety of tax-reduction incentives. Financing incentives are available from federal, state and local agencies to help businesses start or expand in the county. Incentives include industrial revenue bonds, long-term, low-interest loans and loan guarantees to acquire property, construct buildings and buy equipment. In addition, St. Lawrence County and the state offer a variety of tax credits, deductions, and exemptions on property and business income. The agency and its staff, led by CEO Patrick J. Kelly, advises potential businesses that are looking for a location for expansion on the programs, packages
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COVER STORY Recent economic development activites / Jefferson County JCIDA MICRO-ENTERPRISE LOANS n FEBRUARY 2012: $46,000 micro loan to North Branch Farms, Belleville, for installation of an irrigation system and high tunnel for raspberry production. n FEBRUARY 2012: $40,000 micro loan to Jake’s WayBack Burgers to establish a franchise in Watertown. n APRIL 2012: $20,000 micro loan to An Apple A Day Care, to be used to open a day care center. n AUGUST 2012: $20,000 micro loan to Staie on the Seaway, Alexandria Bay, for working capital to enable the business to move to a new location outside the owner’s home.
JCIDA REVOLVING LOAN FUND LOANS n DECEMBER 2011: $241,343 loan to Guilfoyle Ambulance Services to purchase the former Covidien medical device manufacturing facility, 1291 Faichney Drive, Watertown. n JANUARY 2012:, $125,000 loan to Watertown Industrial Center Local Development Corp. for working capital n MAY 2012: restructured existing loans to benchmark Family Services and approved additional $47,429 for working capital.
n JUNE 2012: $250,000 loan to Hi-Lite Markings, Adams Center, for working capital. n AUGUST 2012: $250,000 loan to Meadowbrook Terrace, Carthage, for working capital to assist Carthage Area Hospital with an assisted living building project.
FOREIGN TRADE ZONE EXPANSION n In April 2012, the JCIDA’s application to expand the county’s Foreign Trade Zone was approved. That enabled and extension of the boundary lines to include all of the Jefferson County Corporate Park, City Center Industrial Park and a future corporate park being planned at Watertown International Airport. The inclusion allowed companies located in the business parks to defer or eliminate duty payments on foreign goods used to manufacture their products.
PAYMENTS IN LIEU OF TAXES AND TAX ABATEMENT TRANSACTIONS n JANUARY 2012: PILOT and sale leaseback to COR Watertown Company, Watertown, for a 296-unit multi-family rental housing project and related buildings. n FEBRUARY 2012: sale leaseback to Wright Brothers (Guilfoyle Ambulance) for renovations to the former Covidien medical device manufacturing facility, 1291 Faichney Drive, Watertown. n JUNE 2012: sale leaseback to Bay Broker-
age to acquire land and build and equip a trade center and warehouse at 42832 state Route 12, LaFargeville. n JUNE 2012: a PILOT and sale leaseback to Morgan Watertown Townhomes, Watertown, to build 394 units of multi-family rental housing and related buildings. n JULY 2012: PILOT and sale leaseback to ReEnergy Black River, for the Black River generation Facility Project on Fort Drum. n JULY 2012: PILOT and sale leaseback to Lawlor Realty for nine multi-family apartment units for a total of 90 apartments and related buildings in Madison Barracks, Sackets Harbor.
BONDS n JULY 2012: Accepted an application for a multi-family housing revenue bonds not to exceed $5.4 million from Maple Court Preservation LLP Project to acquire and improve five buildings with 92 housing units at 540 Kieff Drive, Watertown.
JEFFERSON COUNTY LOCAL DEVELOPMENT CORPORATION n MARCH 2012: $99,000 rural business enterprise grant to help establish Clayton Distilling Company, a micro-distillery in Clayton that is expected to create five new jobs. Source: JCIDA Annual report 2011/2012
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COVER STORY and incentives available that can lower initial start-up costs. Additionally, the St. Lawrence County One-Stop Career Center will test, screen and refer qualified job applicants. “That’s one more way to help businesses hit the ground running,” Mr. Kelly said. “We also can help coordinate interactions with local, state and private entities that can make growth as efficient as possible.” Along with its affiliated agencies and development partners, the IDA provided assistance to a number of employers, com-
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munities and stakeholders in St. Lawrence County during 2012, including: n Financing assistance for Curran Renewable Energy, which acquired land in the Massena Industrial Park to provide the company with additional space to meet its expanding business needs. n Sales and use tax exemptions helped Kinney Drugs with a fire suppression project in Gouverneur, Affinity Potsdam Cottages with a housing project in Potsdam, A.J. Missert with a warehouse expansion in Ogdensburg and St. Lawrence Brewing
Company with a micro-brewery startup in Canton. n St. Lawrence Brewing Company, Fockler Industries and Curran Renewable Energy each also executed payment-in-lieuof-taxes agreements. n Helped High Peaks Winery, Hopkinton, secure grant money through the USDA’s Rural Business Enterprise Grant program. The money was used to upgrade equipment to increase the winery’s capacity, which will help it meet growing demand for its products.
COVER STORY The agency continues to develop the Canton Industrial Park and completed the first light industrial building in the park at 19 Commerce Lane. It presently houses the IDA offices and the St. Lawrence Brewing Company, and has space available for additional business occupants. These are but a few examples of efforts under way to bolster business development in St. Lawrence county. One project that officials hope will be a magnet for sustainable industry and business is the expansion of a broadband initiative led by SLIC Network Solutions. Nearly 800 miles of fiber-optic lines ate being connected, which will give more than 6,500 households in St. Lawrence and Franklin counties access to cable television, Internet and enhanced telephone services. Mr. Kelly has said that expanding high-speed Internet access to rural areas will provide a major boost to economic development. “Broadband is a necessity, “Mr. Kelly said in a September interview with NNY Business magazine. “It’s night and day. It’s literally a giant leap forward in terms of accessibility and content.” For businesses, broadband access allows them to compete more effectively in a global economy and competitively market themselves to new markets that were not previously possible. “Without the infrastructure, you are at a disadvantage in drawing people and businesses,” Mr. Kelly said. “Community by community, it’s allowing them to catch up to the rest of the world. The majority of project funding comes from the USDA Rural Development’s Rural Utilities Service, which provided $2.5 billion to invest in expanding highspeed Internet access to rural America. Locally, the IDA and its St. Lawrence River Valley Redevelopment Agency have also provided financing. “This is a major project for the Northeast,” Mark Dzwonczyk, president and CEO of Nicholville Telephone Co., SLIC’s parent company said in an interview last fall. Microenterprise loan funding is another area of work that is crucial for the IDA, as it proves an effective tool to help smaller firms and local entrepreneurs retain and add jobs. Last year, the St. Lawrence County Local Development Corporation micro loan fund authorized loan financing to a number of small firms across the county, including businesses in Waddington, Madrid, Potsdam, Rensselaer Falls, Massena and Colton.
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AGRI-BUSINESS
Cow 4006 gets friendly with Dr. John W. Ferry, partner at Milk Street Dairy, during a visit from National Grid Economic Development program manager Joseph E. Russo, last month at the farm in Tylerville, town of Rutland. JUSTIN SORENSEN | NNY BUSINESS
A much-needed boost Energy grant helps Milk Street upgrade, expand
By TED BOOKER
H NNY Business
igh-tech modern equipment at large dairy farms can’t be operated without enough electricity. But farmers often can’t afford to upgrade their electrical service to provide three-phase power — a predicament that sometimes stops them from expanding operations to boost milk production. But when the three partners at Milk Street dairy farm in Rutland decided to expand in 2011, they found out National Grid was willing to provide a $50,000 grant from its 3-Phase Power Incentive Program. That financial assistance from
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the utility helped the farm to finish a $2 million expansion project last year. Five new buildings were erected on the farm at 17272 County Road 161, including a free-stall dairy barn that will allow the farm to nearly triple its herd. The move nearly tripled milk production at the farm, where co-owner Dr. John W. Ferry and officials from National Grid hosted a press conference earlier this month to tout the project. The conference was held inside a high-tech milking parlor, in which Dr. Ferry said workers can milk 200 cows per hour. “Single-phase equipment couldn’t power this facility,” Dr. Ferry said. “It feels good when you take risks on
investments like this and see them pay off.” The parlor will support the addition of 800 more cows over the next two years, he said, which will expand the herd size to 1,600. Dr. Ferry and two partners at Milk Street, Michael W. Hill and Michael Griep, will have invested about $10 million when the multiyear project is finished in 2015. The farm plans to nearly double its staff by that time, adding about 15 workers to its current 19. Milk Street is the third farm in Jefferson County that National Grid has assisted, customer manager Gerald J. Haenlin said. North Harbor Dairy in Sackets Harbor and Woods Farm in Cape
AGRI-BUSINESS Vincent also have secured grants from the energy provider in recent years. “We created this grant program because farms and businesses in rural areas needed three-phase power to grow,” Mr. Haenlin said. Jefferson County agricultural coordinator Jay M. Matteson said acquiring three-phase power is a common hurdle that prevents dairy farmers from expanding at a time when milk is in high demand statewide. By addressing that need, he said, the energy company’s program highlights the fundamental role agriculture plays as an economic backbone. A study from Penn State University estimated that on average, one cow generates an economic impact of about $13,737 per year. When multiplied by 800 cows, that figure translates into an impact of nearly $11 million. “That’s the total impact of the milk generated on this farm, to the cheese that’s packaged and sold in stores,” Mr. Matteson said. “What other industry here, besides government, has that kind of economic impact in our region?”
On a practical note, the expansion at the farm will mean milk tankers will haul away more milk each day. Right now, one 7,000-gallon load of milk leaves the farm each day. But “by the end of this year, we should be at three loads every two days,” Dr. Ferry said. Following the press conference, Dr. Ferry gave local reporters a tour of the new 73,200-square-foot barn. Screened walls that span the length of the barn allow air to flow freely, and large fans to be installed this summer will keep the barn cool. The triangular ceiling, which peaks at a height of 50 feet, enables warm air produced by cattle to be pushed out of a gap in the roof. Dr. Ferry said the large, high-tech design is an uncommon sight at farms in the north country. The enormous barn “makes the farm easier to manage, because the cows can eat and be milked at the same time,” he said. n TED BOOKER is a Johnson Newspapers staff writer. Contact him at 661-2371 or tbooker@wdt.net.
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FA M I LY B U S I N E S S
Identical twins Eric J., left, and Ryan J. Vanderlan take a break from a job off Deer Run in the town of Watertown last month. The Lewis County twins launched their landscaping firm together while in college. In 2007, they incorporated as an LLC as N.V. Landscaping. NORM JOHNSTON | NNY BUSINESS
SEEING DOUBLE
Twin brothers continue lifelong bond in business By NORAH MACHIA
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NNY Business
dentical twin brothers Eric J. and Ryan J. Vanderlan graduated from the same high school, the same college and started a landscaping business together, complete with two dump trucks and two trailers. Even more impressive, they’re still talking to each other. “We’re pretty laid back,” said Eric, the “older” brother born 10 minutes before Ryan. “We even hang out sometimes on the weekends.” The brothers, who are 27 years old and live in Lewis County, graduated from Holland Patent Central High School and SUNY Cobleskill. Eric earned a bachelor’s degree in Plant Science with a specialty in Landscape Contracting, and Ryan obtained his degree in Agricultural Business. They took the information gained from
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their college classes and combined it with “real-life” training in both landscaping and outdoor masonry work. They actually started their company, New Vision Landscaping, part-time while still in college. When they became an LLC in 2007, the name was changed to N.V. Landscaping. In order to finance the equipment and at the same time, continue to pay for their tuition, the brothers took on another job while in college. They both worked night and early morning shifts at a WalMart distribution center warehouse. “When we first started, I think people wanted to support us because we were two young, motivated and ambitious brothers,” said Eric. “People saw the drive in us.” Growing the business involved “a lot of trial and error,” but they’ve figured out how to make it work, said Ryan. While both brothers could have
pursued other career opportunities after college, “it’s just not what we wanted to do,” said Eric. “We wanted to run our own business,” he said. Eric and Ryan both live in Lowville, although they have separate apartments. Eric is married to wife, Renee. Their work includes landscaping and masonry, specializing in “outdoor living spaces” such as patios, kitchens and fireplaces. This type of work has become more popular in recent years, they said. “A lot of people have told us instead of spending money on travel, they want to put it toward their homes,” said Eric. The brothers work throughout the north country and also in the Albany and Rochester areas. Some of their jobs have come through connections made with former classmates at Cobleskill, while others have been “word-of-mouth” advertising by customers.
N.V. Landscaping LLC WHO: Twin brothers Eric J. and Ryan J. Vanderlan, Lowville. SPECIALTY: Outdoor living spaces. PHONE: (315) 292-6262 or (518) 332-2118. ONLINE: www.nvlandscapingllc.com
The brothers have continued their education since graduating from college. They are ICPI (Interlocking Concrete Paver Institution) certified installers, and NCMA (Nation Concrete and Masonry Association) certified installers of Segmental Retaining Walls and Steps. The two organizations set standards for installation, material quality and techniques used for building. The brothers also recently became Techo-Bloc Certified Professional contractors as well. During the busy season, they employ two other people. But one of the brothers is usually at the project at all times, they said. That’s one advantage to being in business together, said Eric. “We have so much expertise together,” he said. “Because there are two of us, we can always have an owner on site. I can leave for a meeting, and Ryan can stay on site. Or it can be the other way around.” The brothers are so used to being mistaken for each other, that they typically answer for whatever name may be called. They have gone to meetings and customers aren’t always sure which one is which, but it doesn’t really matter, Ryan said. They share all the information needed to complete the project, he said. “We do have people do a lot of double takes” on the job site when they first discover there are two of them, Eric said. In fact, they were so often mistaken for each other when they were growing up that their mother started dressing Ryan in red clothes and Eric in blue clothes. “I don’t own anything red in my closet,” Eric joked. If one brother got in trouble, it wasn’t unusual for the other one to get blamed as well. It was just all part of growing up as identical twins, they said. “My parents said if he did something, I probably would have done it, too,” Eric joked. n NORAH MACHIA is a freelance writer who lives in Watertown. She is a 20-year veteran journalist and former Watertown Daily Times reporter. Contact her at norahmachia@gmail.com.
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H E A LT H
Anne Marie Snell of WorkWell Investments and St. Lawrence Health Initiative stands next to a sit-stand work station in her Potsdam office. MELANIE KIMBLER-LAGO | NNY BUSINESS
Working toward wellness Handful of initiatives take aim at healthier workplaces By KYLE R. HAYES
W NNY Business
ith sit-stand workstations, a treadmill desk, results-oriented work schedule and getting to hang out with a puppy all day, the St. Lawrence County Health Initiative and WorkWell Investments work environment sounds like fun. Though, according to Anne Marie Snell, the chief operating officer for WorkWell Investments, it’s not all about having a trendy, forward thinking workplace. It’s about having a healthy one. As Americans continue to battle health conditions like obesity, heart disease and diabetes, the health community has turned its focus to the workplace. Given the increasing number of hours that Americans spend at work, and sit inactive at a desk, new initiatives are emerging to help change that. May marks Global Employee Health
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and Fitness Month, an international initiative started in 1989 and founded by the National Association for Health and Fitness and the non-profit ACTIVE Life. Following in June is National Employee Wellness Month, which began in 2009 and was created by Virgin HealthMiles in partnership with Strategies to Overcome and Prevent Obesity Alliance. The workplace at the St. Lawrence County Health Initiative is an example of one that is geared toward lowering stress, blood pressure and increasing activity. Ms. Snell said that she can burn 300 calories by walking at the treadmill workstation checking emails and tweaking a spreadsheet at the same time. Co-workers who raise seeing eye dogs bring the puppies into the office, which help reduce blood pressure and stress. “We have a results-oriented work schedule, too, which means that you are welcome to work from wherever, whether it’s at home, outside or in the office, you
are productive as long as you get the work done,” Ms. Snell said. “We are extremely productive with the added fun.” Both the St. Lawrence Health Initiative and WorkWell Investments work with local businesses large and small in the effort to develop workplace wellness programs that fit employer needs. WorkWell Investments is a division of the nonprofit Health Initiative that offers fee-for-service programming. “We learned that employers locally need to have that one-on-one interaction,” Ms. Snell said. “The wellness services offered nationally are web-based. While that works, 99 percent of New York State employers have fewer than 50 employers and are seemingly less receptive to those online programs.” One of the biggest topics in workplace wellness is return on investment. Ms. Snell said that employers are always looking at what they’re getting for the money they’re spending on healthy lifestyle programming.
H E A LT H “It’s difficult to directly associate programs with cost savings unless you start early on,” she said. “It takes time to evaluate that. People are recognizing that certain health behaviors are costing more money.” Ms. Snell said that it’s difficult to say what activities will most impact things like absenteeism, but notes that things like obese employees or smokers will inevitably be costly, with employees being absent more often and having increased health care claims. WorkWell and the Health Initiative work to make small and large changes to a workplace. Ms. Snell said that doing something as simple as standing up at your desk and raising your monitor and computer will reduce your risk of what is called the “sitting disease,” or the negative impact on the body of sitting at a workstation for too long. Changing vending machine options and smoking policies are other easy ways of improving the overall health of a workplace environment. The American Heart Association of Central New York has joined the bandwagon when it comes to workplace wellness. In 2012 the association locally launched the Fit-Friendly Worksite program, which works with employers to identify opportunities to establish wellness programs on-site for employees. “It works in two ways, we can work with employers to get to the level of being a Fit-Friendly workplace, or we recognize companies who are already working on wellness initiatives and we can honor them,” said Kristy Smorol, communications director for the American Heart Association. Last year the Heart Association honored Jefferson Community College and Stebbins Engineering & Manufacturing Co. with gold-level designations as Fit-Friendly Worksites. In April, it was announced that Cornell Cooperative Extension of Jefferson County, Credo Community Center for the Treatment of Addictions and Jefferson Community College received gold-level status. “One of the best examples of incorporating healthy living into the workplace is what Cornell Cooperative Extension is doing with their healthy vending machine,” Ms. Smorol said. “It’s a central spot for fruit and healthy snack options with low prices. It’s the little things and the little changes that make a difference.” Cornell Cooperative Extension of Jef-
From farms to desks n Farmers bring community supported
agriculture into the local workplace By KYLE R. HAYES
F
NNY Business
rom farm to table, farm to fork and now from farm to workplace, members of the local food movement are constantly busy identifying new markets. While relatively late to adopting the community-supported agriculture, or CSA, way of thinking, Northern New York farmers and agriculture organizations are taking to the even newer idea of worksite CSAs. “Community supported agriculture is fairly new to the whole agri-business paradigm,” said Laurie Davis, coordinator for Adirondack Harvest and an educator for Cornell Cooperative Extension of
Essex County. “It started nationally in the late 1980s and early 1990s, but not even up here. We’ve been late to the party. It’s gaining traction and we are seeing more and more farms joining in every year.” In a traditional CSA, an individual or family will purchase a “share” of a farm, which guarantees them fresh, locally grown produce for a set period of time during harvest season. The business model proves effective for farmers who are looking for start of the season funds, but also guarantees them a market come harvest time. Shareholders are guaranteed fresh food right from the source on a regular basis. Adirondack Harvest, a program of
Please see CSAs, page 30
Please see WORKPLACE, page 31
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H E A LT H CSAs, from page 29 Cornell Cooperative Extension of Essex County, is a regional campaign in the Adirondack region with a goal of connecting farmers and consumers. The organization recently launched an initiative to educate the public on worksite CSAs, and the buzz is spreading. “The interest in establishing a program where worksites could come together to purchase CSA shares for a large group came from CSA farmers who wanted to target a large group all at once,” Ms. Davis said. “They could make one delivery to a hospital or a workplace and they could get all of the workers together to participate.” In a perfect world, Ms. Davis said there would be little to no cost for an employer, simply allowing employees to take the time to participate, establish a drop-off area for the fresh produce and providing awareness for the program. “All a business would need would be one person to organize the worksite,” she said. “It’d be a major benefit for the business since the employees would be eating
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local, fresh, healthy food. I haven’t seen any official studies, but hopefully this would make employees healthier, with fewer sick days and the like.” Steven W. LeDoux, the local foods community educator for Cornell Cooperative Extension of Jefferson County, said that he has heard some chatter about worksite CSAs and interest coming from local organizations. “We are trying to get [workplace CSAs] going, it’s just now lighting a fire with local foods,” he said. “I think we can get that done. We are in the beginning stages of working with local hospitals to get involved. They seem interested.” Delta A. Keeney, who owns Windswept Meadows Farm, Burrville, with her husband, Tom, has a unique perspective on CSAs. She sees the entire experience from a farmer’s perspective. “We have a very unique situation because Windswept Meadows is part of a six-farm cooperative that grows for one CSA group,” Mrs. Keeney said. “We’ve worked as a partnership for 13 years and have worked with several organizations
and businesses to bring our produce to them in their business environments.” Among the organizations that Miracles by the Acre, the six-farm cooperative, has served in the past are the Jefferson County Office for the Aging, Jefferson County Public Health, Cornell Cooperative Extension and the North Country Children’s Clinic. “It’s about the outreach for us to promote our products, we can say to our customers that this was picked this morning and it doesn’t get any fresher,” Mrs. Keeney said. “A lot of people can’t get to a farmer’s market because of their schedules, or lack of transportation and the only produce they’re exposed to is right in the grocery store. That is another selling point, Mrs. Keeney said. With business men and woman getting consistently busier with their everyday lives, having a shipment of fresh produce brought directly to them at work cuts out the added step of going to the grocery store or farmers market after work. “The financial impact for the farm
H E A LT H is that of a guaranteed sale,” she said. “You can plan your harvest and pick everything at the prime of the product and you know that it’s not going to sit on a market table somewhere in hopes that someone will buy it.” Mrs. Keeney also said that the start of the planting and growing season is the most difficult for farmers. Farmers need to gauge what and how much to plant based on weather and soil conditions but also what consumers buy. “It’s a no-brainer,” she said. “On an average Monday at the Monday Farmer’s Market at Cornell Cooperative Extension in Watertown our group of farmers, with CSA shares and shoppers, see about 700 people.” Anne Marie Snell, of WorkWell Investments and the St. Lawrence Healthy Initiative, said that getting worksite CSAs to catch on is about awareness. “I know multiple businesses in St. Lawrence County that have incorporated agriculture into their wellness programs, whether it’s a worksite garden or that give incentive gifts to the farmer’s market,” Ms. Snell said. According to Ms. Snell, one the ways that the St. Lawrence Health Initiative is fostering a business-farm relationship is by educating employers on the options available to them for incorporating agriculture in the workplace. “Our organization can act as salesmen for the farmers to sell the healthy benefits of local foods,” she said. “When you’re going into a business, you are becoming a salesman; you have to think along those lines. But not all farmers think along the lines of salesmen. They have to hit the high points and benefits of what they can provide and how that impacts a business’s employees.” The St. Lawrence County Health Initiative partnered with GardenShare, a St. Lawrence County-based nonprofit organization, to produce an educational video about CSAs. The video can be viewed at www.youtube.com/healthinitiative. For information about Miracles by the Acre, a six-farm CSA, visit www.water townmondaymarket.com.
WORKPLACE, from page 29 ferson County additionally received the AHA’s Innovation Award. Jefferson Community College has for two years received gold-level recognition. Jayne M. Perry, the college nurse, has played an integral part in the campus’ recognition. “We realized that heart disease is the number one killer of women and so many people just sit at their desk all day,” Mrs. Perry said. “We thought to ourselves, what could we do with cardio health to help people be more active at work.” The college publicized an indoor walking route inside the Jules Center and outdoor walking trails around campus that total more than two miles and are accessible year-round. “We hung up laminated signs near elevators to encourage people to take the stairs, and made sure stairs were in good condition with sufficient lighting, things like that,” Mrs. Perry said. “Other things included having pedometers available to sign out in the fitness center and Jeff Wiley, the college’s director of athletics and physical education, offered free membership to the college fitness center
for faculty and staff.” Mrs. Perry pointed out that several of the initiatives that the college was recognized by the American Heart Association for were already in place. “It was more making everything visible and making people aware of the options on campus; awareness was what we needed,” she said. “JCC has such a good reputation and we’re now getting input from other companies in the area that want to get with the program, too. It’s neat to see one company ready to help another.” Going forward, Mrs. Perry said that she anticipates that the college will pursue platinum status in the Fit-Friendly Workplace program, which requires additional data on wellness programming and the kinds of effects programming has on the campus community. The deadline to apply for the next round of Fit-Friendly Worksite programming and recognition is Friday, Nov. 1. For information, visit www.startwalking now.org. n KYLE R. HAYES is associate magazine editor for NNY Business. Contact him at khayes@wdt. net or 661-2381.
n KYLE R. HAYES is associate magazine editor for NNY Business. Contact him at khayes@wdt. net or 661-2381.
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S T. L AW R E N C E C O U N T Y
BOB BECKSTEAD | NNY BUSINESS
WYBG Radio celebrated 55 years on the air this year, as well as 25 years under the ownership of Wade Communications Inc. Pictured at the station are owners Dorothy and Curran Wade.
WYBG celebrates 55
Local owners enjoy 25 years of success since purchase By BOB BECKSTEAD
R NNY Business
adio station WYBG 1050 AM signed on to the air 55 years ago this year, and for the past 25 years it has been under the local ownership and operation of Wade Communications Inc. Today, the station that started as WSTS in the former Slavin’s building and played music for several years is housed on Andrews Street and offers a talk format. And, owner and general manager Curran Wade said, it is still live and locally owned and operated. “We keep people in our studio all the time,” he said. Wade Communications purchased the station in 1988 and kept the former music
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format for a while before deciding to make the switch. “In ‘91 or ‘92 we decided we’d better do something different,” as some stations were playing the same types of music, Mr. Wade said. Listeners to WYBG will find talk shows hosted by Bill Bennett, Laura Ingraham, Dennis Prager, Michael Medved and Roger Hedgcock, as well as national, regional and local news coverage. The station also features sports, including Syracuse University football and basketball and Major League Baseball, as well as live weather updates 12 times a day from the National Weather Service in Burlington, Vt. There are also shows about history trivia, automobiles, computers, homes, pets, travel and health.
Mr. Wade said over the years, the owners have been heavily involved in promoting the area. “When we first bought the station we started a Massena High School report,” he said. “We pick one high school kid from Massena every year. She or he comes over and does a two-minute report every Saturday morning at 9 o’clock. They talk about anything and everything, and sometimes they bring guests.” “Several of the kids have gone on to do really good things,” Mr. Wade said. A cooking show was also part of the programming. The former P&C supermarket provided gifts and another company supplied baked goods. “People came in and did cooking. We had a whole bunch of ladies come in,” he said.
Sports have also been a big part of the programming. Mr. Wade said they used to carry professional games such as the Ottawa Rough Riders in the Canadian Football League and local sports such as Little League Baseball in Massena and Louisville and high school basketball games. “This year we’re carrying professional baseball,” Mr. Wade said. “Seven of them are Yankee games and the rest are coming from other places.” Mr. Wade, an Alabama native, graduated from the University of Alabama and is a former Gouverneur mayor. He got his start in the media business when, as captain of a football team that went 28 games without a defeat in 1953, he was asked to take part in a sports show on the Montgomery, Ala., radio station WJJJ. “They interviewed us. A lot of people heard us and said we had a personality for radio,” he said. Mr. Wade attended the University of Alabama to study communications and later took a job at an educational television station in Alabama. “I worked my way up through the educational station and ended up operations manager,” directing about 26 shows a week, he said. Following a stint in the Army in which he broadcast sports, weather and a children’s show for the American Forces Korea Network, Mr. Wade worked in Mobile, Ala., and a station outside Chicago before taking a job at a television station in Jamestown. That station, however, was on the UHF dial and did not do well before shutting down. Eventually Mr. Wade and his wife, Dorothy, who served as a producer and host at WYBG, found themselves in Gouverneur, where he was advertising director for Kinney Drugs before starting his own advertising agency. And, when WYBG became available in 1988, the Wades decided to purchase it and haven’t looked back. Among their accolades are the New York State Broadcasters Association Award in 2007 for an hourlong salute to veterans. It featured 11 local veterans talking about their military experience in Korea, World War II and Vietnam. The association named the show the best public affairs program. “It’s the first time I know of that anybody has won north of Watertown,” Mr. Wade said. n BOB BECKSTEAD is a Johnson Newspapers staff writer based in Massena. Contact him at bbeckstead@ogd.com or 769-2451.
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S T. L AW R E N C E C O U N T Y
A gift leads to recovery
n North Country
Millworks back in business after devastating fire By BOB BECKSTEAD
A NNY Business
December 2010 fire destroyed North Country Millworks, a custom millshop owned by Creig L. and Barbara Donnelly on South Raquette Road,
Massena. An equipment donation from a stranger in Virginia helped them get back on their feet. North County Millworks primarily produces cabinetry and moldings that can’t be bought in a traditional retail store. It’s something it has done for 17 years, according to Mr. Donnelly, who follows in his father’s footsteps and has more than 30 years of experience in cabinet building. “He builds high-end items,” Mrs. Donnelly said. But on Dec. 29, 2010, their business went up in smoke. “We lost everything in the shop,” Mr. Donnelly said. There was a loud boom that night and then the fire struck. Volatile fumes in the shop’s painting booth combusted and caused the blaze. Paint thinner, varnish and other flammable liquids in the shop, along with piles of wood used to make cabinets, made it difficult to extinguish the blaze. The road back wasn’t easy. Mrs. Donnelly said they had paid their insurance through an escrow account with their mortgage company, and that company let the insurance policy lapse, unbeknownst to theDonnellys until after the fire. Their policy ended up canceled, and they were getting nowhere in trying to recover their losses, she said. “They kept putting us off and putting us off,” she said. Then they received a letter that the policy had been sold to another mortgage company. Meanwhile, they were unable to touch the pile of rubble that had been their business, she said. “We wanted to dig right in,” Mrs. Donnelly said.
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MELANIE KIMBLER-LAGO | NNY BUSINESS
North Country Millworks owners Barbara and Creig L. Donnelly have rebuilt their high-end cabinet business in Massena with equipment from a fellow cabinetmaker in Virginia after a fire destroyed the business in December 2010.
They eventually got the situation ironed out and were able to begin thinking about reopening their doors. But all of their equipment was still a loss. All hope wasn’t lost, though, thanks to a stranger in Manassas, Va.
“
We wouldn’t have been able to get back into operation if it wasn’t for the help of friends, family and a ‘stranger’ in Virginia. — Barbara Donnelly North Country Millworks
The Donnellys were members of the Cabinet Members Association, as was the Manassas man, Matt Sbitani. After the fire, the Cabinet Members Association president saw a news clipping about the blaze and posted it in the annual newsletter. That’s when the Donnellys heard from Mr. Sbitani, who had an offer. An email message he sent the Donnellys expressed regrets about the fire.
“The most important thing is that no one was hurt,” he wrote. And then he offered assistance. “If you have not found a replacement for your equipment and machinery, we would like to offer you our equipment from our previous workshop,” he wrote. “All is in good working condition and you are welcome to just come with a large truck to pick it all up. We would like to offer it at no cost to you in hopes that you will find a new beginning.” Friends and family made donations and raised moneyfor the trip. “One of the tools in his old shop was a sliding table saw,” Mrs. Donnelly said. “Creig always dreamed of having one. He got his dream tool.” Today, the business is open and offering everything from motorized cabinets and touch systems for drawers to custom moldings and cabinetry. “We aren’t totally back on our feet, but we wouldn’t have been able to get back into operation if it wasn’t for the help of friends, family and a ‘stranger’ in Virginia,” Mrs. Donnelly said. “We owe him and his wife everything.” n BOB BECKSTEAD is a Johnson Newspapers staff writer based in Massena. Contact him at bbeckstead@ogd.com or 769-2451.
BIO-MEDICAL
Lacona firm uses its technology to help build trachea
Equipment aids Korean tot
B
ioSpherix, a company based in Lacona, provided a cell incubation system used by an international team of surgeons at Children’s Hospital of Illinois to create and implant a windpipe into a 32-month-old Korean toddler born without a trachea. Hannah Warren, who was unable to breathe, talk, swallow, eat or drink since birth, was the youngest patient in the world to benefit from the experimental treatment, conducted at the hospital April 9. The toddler had spent her life in a neonatal intensive care unit at a hospital in Seoul, South Korea, before the ground-breaking operation.The trachea was created using the toddler’s own stem cells. BioSpherix’s Xvivo cell incubation system played a critical role in producing the engineered trachea, enabling doctors to manufacture it completely within a surgical suite at which it was implanted, according to a release from the company. “The BioSpherix system for cells was the answer to our prayers,” Dr. Mark Holterman, professor of surgery and pediatrics at the University of Illinois College of Medicine, Peoria, said in a release. “Their technology allowed us to safely build a new trachea for our patient and virtually eliminated the risk of contamination at no cost.” The BioSpherix technology was particularly helpful because without it the patient would have had to be transported to a hospital 150 miles away, putting the live cells at risk, said Randy A. Yerden, owner and CEO of BioSpherix. “This proves regenerative medicine can take place in any hospital,” Mr. Yerden said in a statement. “Aspiring cell therapists are no longer dependent on the limited number of multi-million-dollar clean rooms, usually only found in large tertiary hospitals and research centers. Now other brilliant surgeons, like Dr. Holterman and his team, can begin engaging in organ engineering wherever they practice.” The cell incubation system produces cells inside a series of flexible, interconnected chambers that integrate instruments and processing tools. Cells and supplies enter one side, and waste is expelled during the process. A clinical-grade cell product emerges when the process is finished. — Ted Booker
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R E A L E S TAT E R O U N D U P
How remodeling affects values
P
roperty owners often wonder how different interior and exterior changes and updates affect home value when it is time to sell. Some of the answers may be found in the 2013 Cost vs. Value Report. This annual overview of the cost of different home remodeling projects and their resale value is a collaboration between the National Association of Realtors, REALTOR Magazine and Remodeling Magazine. It compares construction costs with resale values for different remodeling projects. According to the report, the highest return on investment at resale comes from exterior replacement projects that enhance “curb appeal.” These do not have to be costly. The report compares national rankings alongside regional rankings. In the mid-Atlantic region (New York, Pennsylvania and New Jersey), the cities surveyed were Albany, Buffalo, New York City and Rochester in New York, as well as Allentown, Harrisburg, Philadelphia and Pittsburgh in Pennsylvania. In terms of percentage of cost recouped, the national rankings show the number one improvement, and least expensive, was replacing the home’s entry door with a steel door at an average cost of $1,137 and 85.6 percent of that recouped. Another inexpensive project, and third on the national list, was replacing a garage door. The cost is about $1,500 with about 75 percent recouped in a re-sale. Both of these topped the list of home improvements in the mid-Atlantic region in terms of amount recouped at 83 percent and 71 percent respectively.
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Number 3 in our region was adding vinyl siding. However, this carries a much higher initial job cost. Among the top interior changes both nationally and in the mid-Atlantic Lance Evans region were a “minor” kitchen remodeling, averaging $19,400, and adding an attic bedroom, about $51,000. About two-thirds of the costs of these projects were recouped in a sale. The costs in the report are based on itemized estimates of imaginary projects. It cautions that “When comparing the data in this report to actual remodeling costs in a particular geographic area, small differences in the size or scope of a project, or in the quality of finishes and accessories the homeowner chooses, can dramatically affect the price.” The report also says that the value of a project at resale is difficult to predict. For instance, a project that meets one homeowner’s needs, may not meet a prospective buyer’s wants. Other re-sale factors include the house’s condition, the value of neighbor properties and stability of area property values. Another resource on re-sale is the National Association of Realtors’ 2013 Profile of Buyers’ Home Feature Preferences. This surveyed included about 2,000 qualified households that had bought a home between 2010 and 2012 and still owned the property as of October 2012.
Out of the 33 home features in the survey, 65 percent of buyers said central air conditioning was the most important. Second on the list with 39 percent of buyers was a walk-in closet in the master bedroom. This was followed by a home that was cable, satellite TV, and/or Internet ready, as well as an en-suite master bathroom. Waterfront is also a premium feature with 32 percent of buyers willing to pay a median of $5,420 more for a waterfront property. Thirty-three percent of buyers were willing to pay a median of $3,200 more for a basement and 20 percent of buyers willing to pay a median of $2,920 more for an in-law suite. Fifty-five percent of buyers nationally thought it was very important to have a living room, although buyers in the Northeast placed more importance on a dining room. People ages 55 and older placed more importance on a bedroom on the main level of the house. Those between ages 35 and 54 rated a laundry room higher and buyers with children placed more importance on a family room. It is plain to see that many items go into a buyer’s decision to purchase a property. Before selling, it is important for the seller to talk to a Realtor about the types of features that will increase the curb appeal. Buyers should also consult a Realtor before planning big changes to a property they are purchasing, especially if they expect to re-sell it in less than five years. n LANCE M. EVANS is the executive officer of the Jefferson-Lewis Board of Realtors and the St. Lawrence County Board of Realtors. He has lived in the north country since 1985. Contact him at levans@nnymls.com. His column appears monthly in NNY Business.
R E A L E S TAT E
Home sales strong in first quarter By TED BOOKER
N
NNY Business
orth country home sales made a strong showing in the first quarter of 2013, as median prices jumped from last year in Jefferson and St. Lawrence counties. A total of 165 houses in Jefferson County were sold at a median price of $152,000 in the first quarter. That’s an increase of $12,250, or 9 percent, from last year’s median price of $139,750, based on 166 houses sold in the same quarter of 2012. In St. Lawrence County, 108 houses were sold compared with 101 during the first quarter of 2012; the median home price increased $1,000 year to year, or about 1 percent, from $75,500 to $76,500. In contrast with Jefferson and St. Lawrence counties, Lewis County saw the median home price drop from last year by $20,000, or 17 percent, from $117,500 to $97,500. Thirty units were sold, up from last year’s 26. Though the first quarter in 2012 had produced strong results in Jefferson County, agents reported selling houses even earlier this year during the traditionally slow month of January, said Lance M. Evans, executive officer for the Jefferson-Lewis Board of Realtors and the St. Lawrence County Board of Realtors. “I’m hearing from our members that their phones were ringing earlier in 2013,” he said. “I think it’s as good, if not better, than last year. Our median home price is higher than a lot of places in the area.” As a whole, Mr. Evans said, the median price of houses has climbed steadily in Jefferson, Lewis and St. Lawrence counties over the past decade. The median price of a house in the tri-county area was about $68,000 in 2003, he said, which gradually climbed to $139,500 by the end of 2012; 930 units were sold in 2003, while 1,223 were sold in 2012. That long-term trend, Mr. Evans said, is largely due to the arrival of the 3rd Brigade Combat Team at Fort Drum in 2004, when more than 5,000 soldiers were added to the post. Demand among military families seeking to purchase houses is expected to remain strong this year, he said, despite the handful of large rental housing projects that broke ground in 2012. Major projects include the 394-unit apartment complex by Morgan Management LLC, Rochester, on County Route 202, and the 296-unit project completed by COR Development Co., Fayetteville, off outer Arsenal Street in the Towne Center Plaza. The housing market in the region could change drastically next year, Mr. Evans said, depending on how Fort Drum is affected by a request for a Base Realignment and Closure Commission effort in 2015 announced by the U.S. Department of Defense. The department aims to reduce the Army’s number of soldiers
First-quarter 2013 residential real estate sales 2013 Q1 2012 Q1 2011 Q1 JEFFERSON COUNTY Sales 165 166 125 Median price $152,000 $139,750 $133,500 LEWIS COUNTY Sales 30 26 23 Median price $97,500 $117,500 $81,800 ST. LAWRENCE COUNTY Sales 108 101 87 Median price $76,500 $75,500 $65,000 Source: Jefferson-Lewis Board of Realtors, St. Lawrence County Board of Realtors
by 80,000 by the end of 2017, but Fort Drum could lose or gain troops under the plan. “I think we have enough housing here to absorb an increase,” Mr. Evans said. “And I think housing projects that are on the bubble right now could move forward.” But if Fort Drum loses 8,000 troops, for example, “it would be a disaster in a lot of ways for the economy, not just for realtors. There’s a lot of economic spin-off in real estate, because as the number of homes sold drops, it
affects every industry.” Statewide, residential sales during the first quarter of 2013 increased from 17,898 last year to 18,251, according to the New York State Association of Realtors. The median home price climbed from $210,000 to $218,000 over the time frame. n TED BOOKER is a Johnson Newspapers staff writer. Contact him at 661-2371 or tbooker@ wdt.net.
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R E A L E S TAT E / J E F F E R S O N C O . The Jefferson County clerk’s office recorded the following property sales in April 2013: APRIL 26: City of Watertown: 428 Dimmick St., Jerri W. Seavolt and Susan K. Seavolt, Mannsville, sold to Khristian F. Lavere and Linda J. Lavere, Watertown $28,000 n Town of Champion: Two parcels, 23.100 acres, 1 acre, Hall Road, Theodore L. Trudeau III and Bobbie Jo Trudeau, Carthage, sold to Ross M. Virkler and Caitlin M. Virkler, Watertown $140,000 n Town of Adams: 0.35 acre, state Route 178, Ralph C. Overton, Watertown; Carole Newell, Bolton Landing; and Patricia Jones, Wilmington, N.C., sold to Raymond Carley, Adams $30,000 n Hamlet of Henderson: Mechanic Street, Leon Schilling, Watertown, individually and as executor, will of Hortense Hughes, late of town of Henderson, sold to Roy Fulkerson Jr., Adams $55,000 APRIL 25: Town of Clayton: 37.97 acres, Herbretch Road, Brian Fry and Birgit Fry, Watertown, sold to Scott J. Freeman and Samantha M. Strader, both of Watertown $208,000 n Town of Rutland: 0.36 acre, Route 12, Bruce A. Aubin, Carthage, and Sherie E. Foster, Black River, sold to Alayne Widrick, Black River $60,000 n City of Watertown: 0.242 acre, Barben Avenue, US Bank NA,ND, St. Paul, Minn., sold to Nicholas D. Morgia and Dedra M. Morgia, Watertown $86,500 n Village of Mannsville: No acreage or address given, Mark A. Wiggins, aka Mark Wiggins, Henderson, sold to Norman L. Kepner Sr. and Christine R. Kepner, Copenhagen $145,000 n Town of Ellisburg: 0.593 acre, County Route 52, Mercedes F. Meaney, Murrieta Calif., administrator, estate of David W. Meaney, late of Murrieta, Calif., sold to Barbara J. Kolbe, Henderson $125,000 APRIL 23: Town of Lyme: 159.02 acres, County Route 179, Logan Properties LLC, Chaumont, sold to Gregory Watrous and Angela M. Watrous, Deep River, Conn. $112,500 n Town of Champion: Lewis Loop, Jason N. Brown and Mary A. Brown, Carthage, sold to Paul M. Petani and Sandra E. Petani, Brentwood, Tenn. $350,000 n City of Watertown: 0.379 acre, LeRay Street, Chris R. Burritt, Oswego, sold to Raymond E. Luttmann, Watertown $137,500 n Village of Philadelphia: Three parcels, 1) no acreage given, 2) 0.03 acre, 3) no acreage giv-
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On the Web
n Visit us at WWW.NNYBIZMAG.COM for current real estate sales from Jefferson, Lewis and St. Lawrence counties, updated weekly. Click on ‘Data Center’ to access transactions.
en, no addresses given, Laurie E. Smith, Philadelphia, sold to Jacob Kuntz, Castorland $35,000 n Town of Cape Vincent: Two parcels, 0.6 acre, 0.64 acre, state Route 12E, Edward Dolan and Barbara L. Dolan, New Hartford, sold to Charles Northrup and Rosemary E. Northrup, Herkimer $261,000 n Town of Theresa: 5.7 acres, County Route 46, Matthew J. Narrigan and Heather M. Narrigan, Theresa, sold to Louis J. Benware, Philadelphia $65,000 n Village of Adams: 29 Hungerford Ave., Shaun Donovan, Secretary, U.S. Department of Housing and Urban Development, Washington, D.C., sold to George Andrew Cummings and Sara Elizabeth Clark, both of Adams Center $88,000 n Town of Clayton: 1.80 acres, Depauville Road, Marco C. Vaillancourt and Melissa A. Vaillancourt, Chaumont, sold to Vicente Perez Jr., APO, AE $185,000 APRIL 22: City of Watertown: South Hamilton Street, Phyllis G. Johnson, Camillus, sold to Ghislaine Swem, Watertown $146,000 n City of Watertown: 0.129 acre, South Pearl Avenue, Raymond M. Navarro II, Watertown, sold to Graham R. Ives and Samantha S. Ives, Carthage $131,000 n City of Watertown: 432-434 Flower Ave. E., Northern Federal Credit Union, Watertown, sold to H20 P&L Enterprises Corp., Port Jefferson Station $48,000 n Town of Ellisburg: 1.01 acres, U.S. Route 11, Ramco Inc., Adams Center, sold to Travis Kuder, Henderson $249,000 n Town of Champion: Three parcels, 0.75 acre, road from Copenhagen to Watertown; 22.5 acres, Old Plant Road; 10.42 acres, road to Copenhagen, Michael T. Reed, Copenhagen, sold to Jasin F. Carroll and Cynthia L. Carroll, Copenhagen $88,000
$2,773,500 County real estate sales recorded over 8-day period, April 22-26, 2013
R E A L E S TAT E / S T. L AW R E N C E C O U N T Y The St. Lawrence County clerk’s office recorded the following property sales in April 2013: APRIL 16: Town of Canton: 0.92 acres more or less, in Lot 6 of Mile Square 7, bounded by County Route 14, North Country Savings Bank, Canton, sold to Patrick and Michelle Downing, Rensselaer Falls $33,000 n Village of Massena: Unknown acres, bounded by Woodlawn Avenue, Giovanni and Carolyn Jermano, Massena, sold to Douglas E. Gormley, Massena $34,000 n Village of Massena: 0.223 of an acre more or less, bounded by Amherst Road, Kenneth J. and Cherie L. McGown, Massena, sold to Joseph R.
Granger II, Massena $63,000 APRIL 15: Town of Madrid: Two parcels, 1) 1.94 acres more or less, and 2) 0.25 of an acre more or less, both in Lot 52, bounded by County Route 14, Bradley L. Ward, Swannanoa, N.C., sold to Timothy Burcume, Madrid $74,250 n Town of Hopkinton: 1.96 acres more or less, bounded by Converse Road and County Route 49, Bryan and Virginia Burnett, Winthrop, and Dale and Irene Burnett, Winthrop, sold to Dustan and Carlyn McKee, Potsdam $41,000 n Town of Stockholm: 1 74/100 acres more or less, in Lot 60, bounded by state Route 11, Natalie H. Mattot, Fulton, sold to Timothy A. Vollmer, Potsdam $109,500
APRIL 12: Town of Lisbon: Unknown acres, in Lot 3, bounded by Route 37, Joseph R. and Donna J. Maloney, Ogdensburg, sold to George W. and Susan M. Robinson, Hancock, Mich. $129,000 n Town of Potsdam: Two parcels, 1) 90 acres more or less, and 2) 13.24 acres more or less, both in Mile Square 34, bounded by Morgan and Waite roads, Randy Martin, Potsdam, sold to Adon Farms, Potsdam $100,000
$583,750 County real estate sales recorded over 5-day period, April. 12-16, 2013
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20 QUESTIONS
SUCCESS
R
eal estate developer and Jefferson Community College business professor Brian H. Murray has his hands full. When he is not shaping young minds, he is brainstorming ways to revitalize downtown Watertown and Public Square. His latest purchases, the Lincoln Building and the Hospice of Jefferson County Building on Washington Street have garnered him increased interest from the community eager to know his plans. We sat down with Mr. Murray to talk about his plans for both buildings and his future in the north country.
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NNYB: You moved to the north country in 2004 from Reston, Va. What was it about Watertown that drew you to the area? MURRAY: I was living in the Adirondacks and I took some time off and enjoyed some substitute teaching and an opportunity came about at Jefferson Community College in the business division. I applied , took the position and moved to the Watertown area.
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NNYB: You teach business and entrepreneurship at JCC. If your students only take away one thing from you, what is it? MURRAY: One of the primary goals is for the students to get a better understanding of the risks and rewards of being an entrepreneur. Oftentimes they aren’t familiar with the sacrifices or lifestyle changes a startup might entail. There are a lot of myths and misperceptions about entrepreneurship. It’s important to bring in as many entrepre-
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NORM JOHNSTON | NNY BUSINESS
on the
SQUARE
n For Washington Street Properties developer, risks lead to big rewards
neurs to tell their story and share with them what it was like for them. Some might come in thinking they want to start a business but realize it’s not for them. Some come in thinking they wouldn’t want to do it but change their mind. They have a much better understanding what starting a business is like and if it’s for them. That’s the primary goal.
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NNYB: Are there thing about entrepreneurship that can only be experiential and not taught? MURRAY: Yes, but I think the same thing could be said about any area. One of the nice things is if you can give students exposure to an entrepreneur. Every student at the end of the semester has to have a detailed interview with an entrepreneur in the community. That allows them to sit down for an hour and ask questions and see the business first hand and they come back and share what they learned with the rest of the classmates. In effect we hear the wisdom of 30 or 40 entrepreneurs as they report back during their case study.
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NNYB: What are the qualities needed to be a successful entrepreneur in today’s business environment? MURRAY: It takes a lot of work. So a strong work ethic, together with that you need a lot of motivation and that comes from a passion for what you’re doing. If you’re passionate about what you’re doing and you love it enough, it will
give you motivation to put in the work to be successful or maximize your chances of being successful. You stack the deck in your favor when you have that passion and motivation.
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NNYB: Do you see yourself as a person that helps people move into a vocation that’s best for them? MURRAY: I don’t look at it that way. My judgment isn’t infallible. I’ve learned that along the way. I’m not in a position to be a judge of who should do what. I really encourage students to pursue whatever will make them happy. I don’t generally try to discourage someone or encourage someone if they don’t have the motivation. As a professor you have to be careful about that. The last thing I would want to do is get everyone excited about entrepreneurship and they think they’re going to accomplish great things and it’s not the right fit for everyone.
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NNYB: You have said that your career combination as a professor and an investor took you a couple decades of soul-searching to finally pin down. What was the missing piece that you found to finally set you on this path? MURRAY: Every career and work experience allows you to develop a skill set and learn about yourself. That skill set can be transferable to something that on the surface seems entirely
20 QUESTIONS different. When I think about the things that help me to succeed in business today most of it was developed in my experience in other areas of business or engineering prior. I think that I had an interest in real estate for a long time but it was a peripheral interest. When I came to the Watertown area it wasn’t long before I recognized the opportunity that existed here.
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NNYB: The years you spent as an executive earning a six-figure salary taught you that you weren’t cut out for the job? What made you walk away from the rat race? MURRAY: I think what I learned as a management consultant and an executive is that to excel in those fields you lose the work-life balance. It’s almost impossible to maintain a work-life balance and be a high achiever as a management consultant or senior executive. That [work-life balance] is important to me. That’s one of the things I’ve learned and I do my best to practice and I’m busy balancing my work as a professor with my company. I always carve out time to take care of myself and spend time with the people that are most important to me.
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NNYB: How many properties do you presently hold and what are they? MURRAY: Nine properties that include the Agricultural Insurance Co. building, Lincoln Building, Hospice Building, a parking lot next to the Solar Building, the Top of the Square plaza, Freedom Plaza, two apartment complexes and City Center.
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NNYB: What do you look for when scouting commercial properties? MURRAY: I’m really looking for unrealized potential and oftentimes you find that in a property that is well located and perhaps not well managed. That is evident in landscaping and the state of the finishes. For instance when I first purchased the former Agricultural Insurance building I was appalled by the trash in the front yard and lack of landscaping. The first thing I did was hire a landscaper to redo the front of the property. Every morning when I opened the building I would walk around and pick up all the trash. I think that’s important. If you have pride in the property like that, it shows. You can’t stay on top of everything but it makes a difference.
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NNYB: At 44, you are still very young. How have you managed to build such a wide ranging portfolio of properties in such a short time? Is there an end game? Do you reach an “enough” point? MURRAY: I think you need to use good judgment and don’t be committed to growth, but pursue it opportunistically if the right opportunity presents itself and you can pursue it. There are a lot of opportunities that continue to emerge in Watertown and Jefferson County. Unless that changes, I expect to continue to grow my company. It’s not a matter of just arbitrarily growing to some specific size. It’s rewarding to create jobs. I have six employees now and it’s rewarding to be able to make a difference in the revitalization of downtown in Watertown. NNYB: What drew you to the Lincoln Building project?
NORM JOHNSTON | NNY BUSINESS
Brian H. Murray, Washington Street Properties owner and president, in the lobby of the former Agricultural Insurance Co. building, Watertown.
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MURRAY: We looked at that and the needs downtown and really tried to figure out the best possible end use for this property. What we came up with was to support retail, stabilize it now so the businesses in there now can continue to conduct business but raise the funds necessary to completely renovate the building. From my vantage point there is a shortage of business space in downtown, particularly in two areas. If you are a business looking for a large space, like you need 5,000-square-feet of office space, you probably won’t find any. The other people that are challenged to find office space are startups looking for one or two offices with a reception area. One of the things I didn’t anticipate was the people that would come forward and share stories about the Lincoln Building and the experiences in their life that made a big impact on them. That building holds a tremendous amount of significance in history in this community. That becomes an additional motivational factor to do what’s right with the property. If everything were to go the way we hope that we would be able to begin renovation next year.
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NNYB: Can you elaborate on your plans for the Lincoln Building? MURRAY: Mark Purcell is my partner on that project. I’d never partnered with anyone before and I consider it an honor to have him as my partner on this. We will keep retail on the ground floor and the first floor. On the second floor and third floor we are planning on putting an incubator space that will be designed to meet the needs of small businesses and artists. We will have expanded common areas that would possibly include a conference room, a copy room, a reception area or a classroom even and all the tenants can share. Now we are evaluating a possibility of including some market rate apartments on the top floors. NNYB: What can the local economic development agencies do to help you be successful with the revitalization of the Lincoln Building?
The Brian H. Murray file AGE: 44 JOB: Owner and president, Washington Street Properties and professor of business at Jefferson Community College, Watertown. FAMILY: Daughter, 13; son, 12. HOMETOWN: Watertown EDUCATION: Bachelor’s degree in environmental engineering from Syracuse University; master’s degree in environmental engineering from John’s Hopkins University, Baltimore, Md., and a master’s degree in business administration from Darden School of Business, University of Virginia, Charlottesville. EXPERIENCE: Previously worked for Stearns & Wheler, Cazenovia, before serving in the Peace Corps in the Dominican Republic for two years. LAST BOOK READ: “Rich Dad, Poor Dad: What the Rich Teach Their Kids About Money That the Poor and Middle Class Do Not” by Robert T. Kiyosaki.
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MURRAY: There are a variety of ways. The people who work at these agencies like Neighbors of Watertown, Watertown LDC, JCIDA, DANC, etc., have a tremendous amount of experience in development projects. They know what types of funding sources that might be available. The No. 1 thing is to give a lot of advice and general support for the project. As we move forward their advice and support will be important when we try to secure financing for the project, whether it’s debt or grants. We’ve had some great conversations with the SBDC because we see all kinds of synergy there with the incubator space and the services they provide. They are supportive and would like to cooperate with us. NNYB: What’s the status and plans for May 2013 | NNY Business
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20 QUESTIONS the Hospice building, which you recently offered more than twice the initial offer by another developer for?
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MURRAY: That closing should be within the next few weeks and will be fixing that up and leasing it out as office space. It’s that simple. It’s in very good shape but it’s dated. There is some cosmetic work and landscaping that needs to be done. It’s not a major renovation. We’ve had some interest expressed from potential tenants.
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NNYB: What has made you successful here? MURRAY: I think that to be fair the local economy has done better than the national economy. I attribute most of the success to the people who
work for me, I have a superintendent who has been with me for about five years now and he oversees all the properties and I have a property manager and she manages the properties. They do a fantastic job. I also hired a CEO to maintain a work life balance I needed to bring someone else in. That is working out really well. She has been working full time for a couple of months now and that’s helping a lot.
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NNYB: For quite some time there has been the issue of shortage of Class A office space. Are you helping to fill that void? MURRAY: There has been a huge transformation particularly in downtown Watertown from when I first started here. There was a fairly low occu-
pancy rate in the buildings downtown. That has changed quite dramatically to the point where when a larger company or small entrepreneur wants to be located in downtown they have limited options. Rents have started to rise because of that. Some tenants are prepared for that, some are not. I’ve been able to identify underutilized spaces that would fit those needs. For example, when I purchased the ground floor of the Stream building it was only half occupied. Most people didn’t realize there was 20,000 square feet of vacant space behind the storefronts. We are in the process of renovating that and leasing that to small businesses.
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NNYB: Are you seeing a resurgence of business downtown? MURRAY: I think so. The downtown area has emerged as the business district. A lot of professional firms have a desire to be downtown. A lot of them serve other businesses or have clientele that work in the downtown area. The Lincoln Building is really an important next step in the redevelopment of downtown. I would consider it a linchpin that could lead to further development and take downtown to the next step. That’s part of why we decided to pursue this project. With the jobs and business it could create, there is a trickledown effect that could bring more people into downtown. Combine that with the restoration of the Woolworth building that will generate tremendous amount of momentum in downtown and everyone will benefit.
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NNYB: You are a runner with several marathons under your belt. How does that help you find focus in business? MURRAY: I’ve done 10 marathons, two Boston marathons. Running is just a healthy outlet. The physical exercise helps me stay in shape and think more clearly, accomplish more in the day and get a better night’s rest. I find it be a very healthy activity that gives me more energy. When I’m not training for a marathon I’m usually running about 20 or 30 miles a week.
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NNYB: Do you see yourself settling down in the north country? Are you here to stay? MURRAY: I think the north country has a lot to offer. I’m glad I ended up here. In the last couple of years I’ve made trips to the Washington, D.C., area and you see the traffic and some of the other aspects of it that are a good reminder of why I decided to move here. That said that’s an area we’re looking at for potential expansion. But my plans are to stay here.
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NNYB: What lessons did you learn from failure that has made you more successful today? MURRAY: There are small failures every day. Just some are bigger than others. I fail all the time but I find that it is just not beneficial to second guess yourself. A lot of time it’s easy to look backwards and say that was a wrong decision even if the information you had indicated otherwise. If you can’t accept you are going to fail sometimes probably being an entrepreneur isn’t for you. — Interview by Ken Eysaman. Edited for length and clarity to fit this space.
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E C O N O M I C A L LY S P E A K I N G
Community housing makes strides
I
t has been nearly 30 years since the announcement was made to bring 11,000 soldiers with the newly re-activated 10th Mountain Division (L.I.) to Fort Drum. The announcement was the result of community leadership positioning the north country for the type of economic growth 11,000 soldiers and their dependents would bring to the area. Today, the continued growth at Fort Drum and in our communities can be attributed to consistent leadership in overcoming obstacles associated with growth, like having a healthy housing market. Leadership is not simply concerned with housing soldiers and their dependents, but housing the indigenous population in quality, affordable housing as well. It is a continuous balancing act to achieve a stabilized housing market where there is a balance of market rate and affordable rate quality, multi-family housing. In 2004 the Army announced the addition of over 5,000 soldiers to Fort Drum bringing its end-strength to around 15,740 soldiers. In 2006 the end-strength at Fort Drum was revised to 17,532 soldiers by 2008. For the better part of the last five years, there have been around 20,000 soldiers stationed at Fort Drum. The Fort Drum Regional Liaison Organization commissioned GAR Associates, Amherst, to determine the number of new multi-family housing units that would be needed to meet Fort Drum’s growth. The first study completed in March 2005 confirmed a need for close to 1,500 new multi-family housing units within a 20 mile radius of Fort Drum. In 2006, GAR Associates updated its report and confirmed the need for 3,161 units based upon the increase in soldiers. Finally, in 2011 when GAR Associates last updated its Fort Drum Housing
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Study, the community and Fort Drum leadership agreed to target 1,035 as the number of new multifamily rental units still needed to meet Fort Drum’s housing needs. This number was net of units either proposed or alMichelle Capone ready built between 2005 and 2011. As noted, GAR’s housing studies have focused on meeting the need associated with the addition of soldiers and their families. As evidenced in recent years, our local housing market has seen vacancy rates of less than 1 percent indicating an extremely tight rental housing market. Basic supply and demand dictates that as supply decreases, prices and therefore rents are able to increase. To address these issues, the community has funded several mixed-income housing projects. Beaver Meadows, the Franklin Building, Starwood, Summit Wood and Creekwood Apartments, Watertown, among others, offer a mix of bedroom sizes and rents to meet a variety of income levels. These projects, along with other projects like the Preserve at Autumn Ridge, Watertown, Eagle Ridge Apartments, Calcium, Emerald Acres, Pamelia, and Millcreek Townhouses, Sackets Harbor, among others, are comprised of entirely market rate units. Today, people are concerned with whether the community is over-building multi-family housing. Beaver Meadows and the Preserve at Autumn Ridge are under construction. These are phased projects. If these projects do not lease-up their first
phases, their second phases of construction will not start. This would result in 280 units that would not be built. Second, private financial lenders require market studies to be conducted prior to funding a project. These studies consider the qualifications of the developer, the feasibility of the project to include the number, type and rent levels of the units proposed, and the location of the project, among other considerations. A lender will not make a commitment unless these conditions are satisfied. Third, the discussions surrounding sequestration and the positioning of Army personnel at the national level are playing a role in developer’s and lender’s decisions in taking on new projects within this market. It is not to say that they will not build new projects here, but will be patient in making their decision. Fourth, there is continued demand for affordable housing units as documented by waiting lists. The Watertown Housing Authority has documented more than 300 persons on their waiting list. Many of Neighbors of Watertown’s projects in the city also have waiting lists. This shows continued demand for affordable housing options in the market. Finally, there is always a need for additional multi-family housing to replace the substandard units currently occupied in the market. The goal of community leaders has been and will continue to be to achieve a stabilized market of quality, affordable multi-family housing for all residents in the north country.
n MICHELLE L. CAPONE is regional development director for the Development Authority of the North Country. Contact her at mcapone@ danc.org. She is a member of the Greater Watertown Jaycees and Sunrise Rotary
N O N P R O F I T S T O D AY
Seize smart opportunities to share
D
o you remember one of life’s early lessons? Most of our parents instilled the importance and responsibility of sharing. Airbnb, Lyft, Vayable, TaskRabbit, Exec, RelayRides and SnapGoods took that lesson seriously. They are a sampling of at least 100 companies that have figured out that sharing can be good business. Forbes magazine recently estimated that the “share economy” will see revenues surpassing $3.5 billion this year. Entrepreneurs have found ways to share everything from homes, cars, tools, sporting goods, strollers, errands and office chores using “online clearinghouses” to capitalize on the unused capacity of things they already have. What does this have to do with nonprofits? Everything. This trend in sharing wouldn’t be on the cover of Forbes if there wasn’t inherent value embedded for anyone trying to do more with less. We often wait to see business validate both the need and value of something before the “other” sectors see how that the only “losers” are those that fail to recognize the need to adapt to change. One of the themes in the coverage of the “share economy” is trust. Think of it. Sharing is a reciprocal relationship. It’s a big deal. It requires a willingness to step a bit outside of your comfort zone? Sound familiar? For these reasons and others, to date, there are too few examples of successful public sector partnerships. Unfortunately, some of those holding on for fear of loss of identity may be asking to be soon identified with watching over their own insolvency.
Recently, the boards of the Northern New York Community Foundation and the United Way of Northern New York convened a joint meeting with seven area nonprofit Rande Richardson agencies who participated in a shared services study the Foundation and United Way collaboratively funded. I believe the most important byproduct of
successful entrepreneurs in the “share economy” is that it is not just about the cost savings, it is also about the “experience.” There is something beyond the transaction of sharing that can be mutually beneficial to those involved. After the successful merger of the former Credo Foundation and the former Community Center for Alcoholism 13 years ago, director James Scordo reported that, in addition to the cost savings, there was much better coordination between providers as a result of their merger. Knowing I’m nearing the risk of “beating a dead horse,” I think those who are in nonprofit work for the right reasons see the benefits to those they serve and the community at large to be on a much grander scale than dollars and cents. Even the least pragmatic of us, though, realize that mission without adequate resources is akin to no mission at all. To borrow a phrase: “In the long history of humankind, those who learned to most effectively collaborate and improvise have prevailed.” It really is about finding a way that we all can “win.” If we don’t, whether it is human services, arts, culture, history, education, health care or whatever the interest, it’s our community and each of us living here that end up short. As tough as it may have been to hear at the time, mom and dad were right after all.
A time of crisis is not the most ideal time, so recognizing and seizing opportunities that appear when sharing makes the most sense will be essential. that study was a formal declaration on the part of those organizations that they are ready, willing and able to be a resource to each other and the greater nonprofit community. I believe that this is not just lip service. I sensed a sincere desire to see our community do better both with charitable dollars and government funding. The conversation has now moved into a more formalized stage. I think we all hope that our eyes and ears will be more open to the thought of collaborating. A time of crisis is not the most ideal time, so recognizing and seizing opportunities that appear when sharing makes the most sense will be essential Another thing to be learned from those
n RANDE RICHARDSON is executive director of the Northern New York Community Foundation. He is a lifelong Northern New York resident and former funeral director. Contact him at rande@nnycf.org. His column appears every other month in NNY Business.
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COMMERCE CORNER
Volunteering has intrinsic value “You make a living by what you get. You make a life by what you give.” — Winston Churchill
H
ealthy communities depend on volunteers. Volunteerism can be one of the most fulfilling experiences an individual can encounter. With the fast pace of life, work, family and personal priorities, it can be hard to find the time to commit oneself to something. Volunteering comes in so many forms and can consist of hours, days and years or it can be a single event. How do you define a volunteer? It can be defined in a multitude of ways that include giving, contributing, helping individuals, organizations and making a meaningful contribution to your community. Volunteering is offering to do some form of work for no compensation; however, there is usually some personal meaning that gives an individual fulfillment. Volunteerism can have a lasting effect on individuals and all the positive benefits from doing something to support others. I began volunteering early on in my career as a means of networking, to gain experience and as an opportunity to expose myself to professional organizations that I may not encounter in the course of my daily job responsibilities. Furthermore, volunteering in a particular area can expose an individual to a field that may not ever have thought they were interested in. While volunteering, individuals develop relationships, and these relationships are keys to success both personally and professionally. When an individual
volunteers they receive the guidance of employees who are specialist in their fields and a value cannot be placed on this experience. Volunteering, much like leadership, has Lynn Pietroski to come from within and with a purpose. People volunteer for an endless variety of reasons. Aside from wanting to gain experience and networking,
not always be taught in a classroom. Among the many positive experiences an individual may gain from volunteering, networking is a crucial one that can assist professionals in building a professional network that will be of value far beyond a professional career. There is an intrinsic value that is associated with helping others. Many large corporations and even small businesses are faced with the challenge of motivating employees to sustain strong business performance, by encouraging employees to feel like there is a larger purpose to their lives than just meeting financial goals. Businesses will offer programs that encourage employees to work as volunteers for others organizations in their community that will offer extra benefits to make employees feel pride and satisfaction, which in turn makes them happier and more productive employees. So what is the next step? How can you get involved in the community? Look for various organizations that are seeking volunteers and determine if the mission is something you want to support. Selfreflect and determine what abilities and talents that you can bring to volunteering and connect with the opportunities that mirror your interest. Volunteering can include being a member of a board of directors, advisory group, participating in fundraisers, mentoring, public service or even a one day community clean up.
Volunteering, much like leadership, has to come from within and with a purpose. People generally begin volunteering for something they believe in.
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some believe in a mission or vision of an organization or charity. People generally begin volunteering for something they are passionate about or believe in. There are several skills that can contribute to making someone an exceptional volunteer — the most important one being commitment. However, may volunteers gain a vast number of skills through training and can build upon the skills one already possesses. In some situations, individuals decide to begin their careers in a volunteer role to gain essential skills for the future. One of the best ways to learn is through experiencing it. Through the years I have learned that many educational experiences can-
n LYNN PIETROSKI is president and CEO of the Greater Watertown North Country Chamber of Commerce. Contact her at ceo@watertownny. com. Her column appears monthly.
AGRI-BUSINESS
Can IDAs help our farms grow?
N
ew York law mandates that it is the state’s policy to “... promote the economic welfare, recreation opportunities and prosperity of its inhabitants and to actively promote, attract, encourage and develop recreation, economically sound commerce and industry, and economically sound projects identified … through government action to prevent unemployment and economic deterioration by the creation of economic development agencies, which are declared government agencies … to grant such industrial development agencies the (necessary) rights and powers.” The law grants counties authority to create industrial development agencies. It also gives IDAs the purposes and powers to “… promote, develop, encourage and assist in acquiring, constructing, reconstructing, improving, maintaining, equipping and furnishing of industrial, manufacturing, warehousing, commercial, research and recreational facilities.” To answer our question about whether IDAs can help our farms grow, we need to define a farm operation. New York State Agriculture and Markets Law defines a “farm operation” as “land and on-farm buildings, equipment, manure processing and handling facilities, and practices that contribute to the production, preparation and marketing of crops, livestock and livestock products as a commercial enterprise.” Note that IDAs are given the authority to assist “commercial” facilities. In the ag and markets law, farms are defined as a commercial enterprise. It seems clear that IDAs can then promote, develop, encourage and assist in acquiring, constructing,
reconstructing, improving, maintaining, equipping and furnishing farms and other agricultural businesses. In Jefferson County, during the early 1990s and then again Jay Matteson beginning in 2000, the Board of Legislators and the Jefferson County Industrial Development Agency board of directors understood that agriculture — especially our farms — were an important part of our economic fabric. Together they created within the JCIDA an intense focus on agriculture and farming. A mission statement was developed for the agricultural project of the IDA, “to assist in the retention, growth and promotion of Jefferson County’s agricultural industry.” When a person reads IDA law, it includes the words “to promote, develop and maintain” commercial facilities. It seems logical then that JCIDA mission of agricultural economic development follows closely the guidance given by state law to industrial development agencies. Unless, according to the attorneys who advise the JCIDA in its interactions with the state comptroller, there is some question as to whether agriculture falls within the definition of commercial business. There is concern that our work falls outside the powers of an IDA. As such, our attorneys have advised the JCIDA that it might want to consider altering my job description to remove agriculture from my duties.
Our IDA also was advised that there is legislation pending in Albany to amend the law to include assisting agriculture within the authorities of an IDA. State Senate Bill 946 and Assembly Bill 05501 have been introduced repeatedly in the Legislature during the past decade. Time and again, the legislation passes in the Senate and fails in the Assembly. This year, the Senate unanimously passed its version and the Assembly version is still in question. Our two representatives, Assemblywoman Addie Russell, D-Theresa, and Assemblyman Ken Blankenbush, RBlack River, have indicated they will sign on as co-sponsors. And while this entire question is important to me personally, and to the county’s agricultural industry, it is just as important to agriculture across the state. Shouldn’t our farms, dairy, beef, vegetables, fruit, livestock, poultry and many other agricultural businesses be recognized in the same context as any other commercial business? Don’t you agree that agriculture deserves the same economic development assistance as any other industry? I suggest you tell that to the dairy farmer who employs 30 people and invests millions into our local economy. Maybe someone in Albany should visit a farm winery and suggest to them that the thousands of people who come to our county aren’t visiting a commercial business. For some reason, I think they’d get a strong response.
n JAY M. MATTESON is agricultural coordinator for the Jefferson County Industrial Development Agency. He is a lifelong Northern New York resident who lives in Lorraine. Contact him at coordinator@comefarmwithus.com. His column appears monthly in NNY Business.
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BUSINESS TECH BYTES
Ask your vendors pointed questions
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f your work life is anything like mine, each week you’re flooded with emails and phone calls from product or service vendors trying to get a few minutes of your time. As much as you might think you don’t have the time, a relationship with your core vendors and service providers is crucial to your company and allows you to keep an eye on developing trends in various areas critical to the strategic choices you have made in technology related services. Spending some time on this just makes sense but how do you separate the potential useful contacts from the time wasters? As part of CIO Insight’s Vendor Value Study, a five-question roadmap was developed to help make these meetings worth your time. 1. What do you know about the company I work for? You don’t have time to educate the vendor about your company, operating model and even whether the vendor can help you, that burden is on them. 2. What do you know about the industry I work in? Can you explain our challenges and opportunities? Who else do you work with that could be a reference or even a competitor of mine? 3. Can you support me wherever I might need your product or service? Do you have credible business continuity plans so you will be there when I need you? Where can I see what you have actually working at a company that is similar to mine? 4. What can you do that your competitors can’t? There are very few truly unique products or services, but there are some valid differentiators, and some of these actually matter. Are you trying to displace my incumbent? Do you even
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know that there is an incumbent? Can you explain why I should incur the costs to switch vendors? 5. Does your scale match my scale? I don’t want to be your biggest customer but I also don’t Jill Van Hoesen want to disappear inside some giant sales and service machine. n
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Mark your calendar for Wednesday, June 5, and put the above questions to use. The St. Lawrence County Information Technology Advisory Board will once again host the 2013 North Country Technology Symposium at Clarkson University. This year’s symposium will bring together product and service vendors highlighting some of the latest trends in technology affecting everyone in the north country and beyond. This year’s keynote speaker will be Richard Hodges. Hailing from the San Francisco area, he is the CEO and founder of GreenIT. Mr. Hodges began researching the impacts of technology on the environment in the 1990s while building his consultancy firm ICT. He developed methods for environmentally friendly sustainable ICT planning committed to environmental responsibility, development of appropriate technologies and evolution to a sustainable built environment. GreenIT was established in 2004 as a consultancy to combine those elements into a systemic
and strategic approach to sustainability for information and communications technology systems. GreenIT works with enterprises that take the leadership position needed to approach their sustainable business practices at a systemic level and employ innovative methods of information and computer technology to differentiate them. The GreenIT 360/365 service package is designed to take an organization through the entire process of assessment, planning and execution of a sustainable IT plan, with emphasis on achieving short term results while laying down long term plans for efficiency and innovation. Whether providing basic training with the Green IT 21 seminar or helping redesign process using business process and system design consulting services, GreenIT partners with small and large organizations to get their sustainability programs off the ground. This year’s keynote address promises to be interesting and viable but that is only the beginning. Besides numerous technology vendors you will be given the opportunity to attend hour-long presentations conducted by local professionals ranging from digital data storage, IT and health care, BYOD, mobile applications, Internet marketing, search engine optimization, website design, disaster recovery and many other topics relevant to your business today. Don’t forget your vendor quiz and go to www.clarkson.edu/nctechsymposium for the latest information on the 2013 North Country Technology Symposium. See you there. n JILL VAN HOESEN is chief information officer for Johnson Newspapers and a 25-year IT veteran. Contact her at jvanhoesen@wdt.net. Her column appears monthly in NNY Business.
SMALL BUSINESS SUCCESS
Plan ahead to position yourself well
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n my March column, I wrote a little bit about my experiences in New York City helping small businesses that were trying to obtain disaster relief loans after Hurricane Sandy. I was looking forward to having the opportunity to help these business owners, but we all met with a lot of frustration. So I want to pass along some tips for any small businesses that might run into a situation where you need to try to get some sort of financial assistance. Up here in the north country, it probably won’t be a hurricane or flood, but it might be a severe blizzard, an ice storm, a microburst or a fire. Try to keep copies of all your important documents in a safe place. These would include deeds, insurance papers, inventory records, equipment leases, etc. Review your insurance coverage on a regular basis and don’t skimp on the basic insurances that you need. Consider some type of business interruption insurance. One of the issues that many of the businesses down there ran into was that flood insurance was very expensive. Furthermore, many small businesses that rented space discovered that the building owner wasn’t properly insured. Try to put cash aside for a safety net if needed. I know this is difficult for many small business owners — hey, I was one, too — but an emergency fund that would cover at least six months of regular expenses could save your business someday. The loan conduits in NYC were quickly overwhelmed with applications
so that even 60 days later, some businesses were still waiting to see if their application had been reviewed, much less a loan approved and disbursed. My final point goes for Sarah O’Connell any small business owner, whether you’re trying to get a disaster loan, refinance your business, buy another business or sell your business to
won’t mention the practice of underreporting cash sales to reduce how much profit the business is actually making. What happens, and what I saw in NYC and we see over and over again here in our office, is that if your business does not show enough profitability on your tax return to demonstrate that you can pay back a loan, you are not going to be able to get one. Lenders may know that your profits are actually higher than shown (wink, wink, nudge, nudge), but they must go by what your tax returns reflect. So people who really feel they work hard and have a successful business are turned down flat and are unable to get financing. Furthermore, your self-employment tax, which goes toward your Social Security and Medicare benefits, is figured directly from the profit on your business return. So we’ve seen business owners whose retirement plan was to sell their business end up being unable to find a buyer who can obtain financing for what they feel is the true value of the business, and then also end up with a lower retirement benefit because they didn’t pay into the system. Planning for the future, whether it’s to survive a disaster, get financing for an expansion or sell your business someday, means starting the process now.
Planning for the future, whether it’s to survive a disaster, get financing for an expansion or sell your business someday, means starting the process now. retire. If you don’t put into the system, you can’t get anything back out of it. What this means is, if you don’t report your true sales and profits when you file your business income tax return, it is going to really affect your ability to obtain financing. Obviously, there are many business expenditures that are legally deductible that you can and should take advantage of; of course, no one wants to pay more income taxes than you have to. Unlike payroll taxes, which are automatically withheld, it takes real self-discipline to set your estimated income taxes aside from your profits each month. And I
n SARAH O’CONNELL is a certified business advisor with the New York State Small Business Development Center at Jefferson Community College. She is a former small business owner and lifelong Northern New York resident. Contact her at soconnell@sunyjefferson.edu. Her column appears bi-monthly in NNY Business.
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COMMUNITY / BUSINESS CALENDAR
ALEXANDRIA BAY WEDNESDAY, MAY 22 n Business After Hours, 5 to 7 p.m., River Edge Resort. Sponsored by the Greater Watertown-North Country Chamber of Commerce. Networking, prizes and food. Register by noon Tuesday, May 21. Admission: Registered members, $8; non-registered members, $10; non-members, $12. Register: www.watertownny. com or 782-4400. SATURDAY, MAY 25 n Grape Blossom Festival, noon to 8 p.m., Thousand Islands Winery, 43298 Seaway Ave. Celebrate spring with an outdoor festival featuring live music, local crafters, wine and beer, wine slushies and a pig road. Free admission. Information: 482-9306. WEDNESDAY, JUNE 5 n Citizen of the Year Dinner, cocktails, 6 p.m., dinner, 7 p.m., Bonnie Castle Resort. Information, as it becomes available: Alexandria Bay Chamber of Commerce, 482-9531 or www.visitalexbay.org.
BOONVILLE SATURDAY, JUNE 8 n Best of Boonville, 9 a.m. to 3 p.m., downtown Boonville. Sponsored by the Boonville Area Chamber of Commerce, 122 Main St. Car and motorcycle show, vendors and crafters, chicken wing challenge, family activities, live bands, sidewalk and garage sales. Vendor application available at www.boonvillechamber. com. Information: Boonville Chamber of Commerce, 942-5112.
CAPE VINCENT SATURDAY, JUNE 8 n “Escape to the Cape,” 10 a.m. to 4 p.m., Recreation Park, 602 S. James St. Sponsored by the Cape Vincent Chamber of Commerce, town of Cape Vincent and Assemblywoman Addie J. Russell. A Rediscovering Your Back Yard event for local New York and Ontario businesses to exhibit products and services. All proceeds benefit the Cape Vincent Lions Club and Cape Vincent Food Pantry. Information, register an exhibit: 654-3660 or 654-2481, thecape@tds.net.
CARTHAGE THURSDAYS, MAY 23 — JUNE 20 n QuickBooks Class, 6 to 7:30 p.m., Carthage Free Library, 412 Budd St. Cost: $75. Registration required, 493-2620. FRIDAY, MAY 24 n First Carthage Farmers Market, 7 a.m. to 2 p.m., Carthage Community Pavil-
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ion. Sponsored by Carthage Chamber of Commerce. Runs every Friday from May 24 to Oct. 4. Information: Carthage Chamber of Commerce, 493-3590.
2013 Lewis County Leadership Academy, Carthage Savings and Loan Association and the Pratt-Northam Foundation. Information: Chamber office, 376-2213.
CLAYTON
SATURDAY, MAY 18 n Open House, 9 a.m. to 5 p.m., Lowville North Country Storage Barns, 7038 State Route 812. See season opening specials. Free doughnuts and coffee in the morning. Hot dogs, chips and soda available for purchase in the afternoon for lunch. Information: 376-0135.
THURSDAY, MAY 16 n Business with a Twist, 5 to 7 p.m., River Golf Adventure, 40168 State Route 12. Sponsored by the Clayton Chamber of Commerce. Register: 686-3771. FRIDAY, MAY 17SUNDAY, MAY 19 n Third Annual Two Nations 1,000 Islands Extravaganza, 2 to 7 p.m. Friday, 9 a.m. to 7 p.m. Saturday and 10 a.m. to 4 p.m. Sunday, Cerow Recreation Arena. Cars, trucks, motorcycles, 50-50 raffle, demonstrations, live music on three stages, awards, displays, food and children’s activities. Free admission. Information: Rick Mentry, 771-7807. SATURDAY, MAY 18 n “Broadway’s Next H!t Musical,” 7:30 p.m., Clayton Opera House, 405 Riverside Drive. Tickets: $35 to $50. Improv class with box lunch, 11 a.m. Saturday, $35. Box office: 686-2200.
CROGHAN SATURDAY, MAY 18 n Maple Festival, 6:30 a.m. to 4 p.m., American Maple Museum. Celebrating the opening of the 36th season at the American Maple Museum. Schedule: Pancake breakfast, 6:30 to 9:30 a.m.; outdoor entertainment, 9 to 10 a.m.; opening ceremonies followed by New york State Maple Pageant and Maple Hall of Fame Induction ceremony, 10:15 a.m.; luncheon, 11:30 a.m. to noon. All day craft fair on lawn, museum and gift shop open. Information: 346-1107 or americanmaplemuseum@frontier.com.
FORT DRUM THURSDAY, JUNE 6 n North Country Human Resource Association Annual Conference, 8:30 a.m. to 4:15 p.m., the Commons at Fort Drum. This year’s theme: the role of human resources in health care reform. Breakfast and lunch included. Door prizes. Guest speakers: Michael Sciotti of Hancock Estabrook LLP and Lev Ginsburg, Esq., Business Council of New York State. Cost: Members, $100; non-members, $150.
LOWVILLE THURSDAY, MAY 16 n Business After Hours, 5:30 to 7 p.m., Lewis County Chamber of Commerce office, 7576 S. State St. Sponsored by the
THURSDAY, MAY 23 n Living with a Purpose, 6 to 9 p.m., Lewis County Chamber of Commerce Bateman Boardroom, 7576 S. State St. Professional growth and technology workshop presented by Jefferson Express. Set goals to build the life you want to lead and how to be successful in doing it. Cost: $45, registration required. Register: 786-2233 or continuingeducation@sunyjefferson.edu.
OLD FORGE FRIDAY, MAY 17SUNDAY, MAY 19 n Adirondack Paddlefest, throughout downtown Old Forge and centered around the waterfront near Mountainman Outdoor Supply Co., 2855 Route 28. The nation’s largest on-water paddlesports sale. Information: www.mountainmanoutdoors.com or 369-6672. SATURDAY, MAY 18 n The Gibson Brothers Live in Concert, 8 p.m., Strand Theatre. The 2012 International Bluegrass Musician’s Association’s Entertainers of the Year. Admission: $25. Tickets: Available at Mountainman Outdoor Supply Company, Strand Theatre or by calling 1 (518) 581-1603 ext. 1604. SUNDAY, JUNE 9 n “Success at Publishing and Self-Publishing,” 3 p.m., the View Arts Center. A free lecture with publishing consultant David Hazard as part of the Articulation Writing Workshops at the View. Information provided on the changing world of publishing with tips on how to break in and become successful in publishing. Information: 369-6411 or www.viewarts.org.
OGDENSBURG SATURDAY, MAY 18 n “Angel of Music,” 7:45 p.m., Ogdensburg Free Academy, 1100 State St. The world’s longest running “Phantom of the Opera” Franc D’Ambrosio performs with Glory Crampton, who played Christine on Broadway, and an ensemble cast some of the most famous Broadway show tunes. Tickets: $15-$37. Box office: www. ilovetheatre.org or 393-2625.
POTSDAM WEDNESDAY, MAY 22 n Member Mixer, 6 p.m., UPS Store, outer Market Street. Sponsored by the Potsdam Chamber of Commerce. Highlighted members include Lindt Chocolate RSVP advisor Angela Ballou, Persone Staffing, Harris Medical, St. Lawrence County Arts Council and Save A Lot. Refreshments and door prizes. Open to members and non-members.
RICHLAND WEDNESDAY, MAY 22 n Mixer, 5 p.m., Half-Shire Historical Society, 1100 County Route 48. Sponsored by BAHA, Half-Shire Historical Society and Pulaski-Eastern Shore Chamber of Commerce. Debuting renovations at the Half-Shire and beginning the farmer’s market season for the chamber. Music by “Still Kickin’,” free hors d’oeuvres and cash bar. Information: www.halfshire.org or 298-2986.
SYRACUSE THURSDAY, MAY 30 n Social Media Boot Camp, 8 to 10:30 a.m., the Tech Garden, 235 Harrison St. Sponsored by CenterState Corporation for Economic Opportunity. Attendees have opportunity to attend three 30-minute seminars on Facebook, Twitter and emerging technologies. Sessions focus on how companies can effectively use social media to achieve overall business objectives, engage with customers, promote brand recognition and increase visibility. Cost: Members, $20; non-members, $40. Register: www.centerstateceo.com or 470-1997.
WATERTOWN SATURDAY, MAY 18 n Big Band Bash Rock ‘N Roll Edition, 7 to 11 p.m., Watertown Elks Lodge, 728 Bradley St. Sponsored by USO Fort Drum. Proceeds benefit the Wounded Warriors program. Featuring Ruby Shooz, 1950s and 1960s band. Hot and hearty hors d’oeuvres. Poodle skirts and vintage clothing encouraged to mimic a USO dance event from years past. Tickets: $41; early bird tickets until Wednesday, May 1, at Greater Watertown-North Country Chamber of Commerce, Coffee Street, for $30 per person. Contact: 777-8006 or www. usofortdrum.eventbrite.com.
SUNDAY, MAY 19 n French Organ Symphonies, 3 p.m., Trinity Episcopal Church, 227 Sherman St. “Volume 2: Symphony No. 5,” by Charles-Marie Widor, and “Symphony No. 1,” by Louis Vierne. Kyle P. Ramey, organist. Tickets: Preferred, $16, or $14 advance; senior citizens and military, $14, or $12 advance; general admission, $14, or $12 advance; senior citizens and military, $12, or $10 advance. All students, free. Information: 788-6290, ext. 3 or www.trinityconcerts.org. MONDAY, MAY 20 n ServSafe Certification, 9 a.m. to 5 p.m., Jefferson Community College. Eight-hour training that prepares restaurant operations to meet state mandated training requirements for foodservice personnel. Cost: $275. Register: Jefferson Community College Continuing Education Division, 786-2438. SATURDAY, MAY 25 n Jack Hanna’s “Into the Wild” Live, 4 p.m., Alex T. Duffy Fairgrounds Arena. Sponsored by the Disabled Persons Action Organization and Nationwide Insurance. Part of the DPAO Summer Concert Series. Cost: Reserved, $28, $23; general admission, $19. Tickets and information: www.dpao.org/concerts.htm.
Sponsored by the Greater WatertownNorth Country Chamber of Commerce. Information as it becomes available: 7884400 or www.watertownny.com. FRIDAY, JUNE 14 n Father’s Day barbecue and cruise-in, 5 to 9 p.m., Ives Hill Retirement Community, 1200 Jewell Drive. Starring Highway Legends Car Club. Buffet-style barbecue, live entertainment by Larry Stamatel and a variety of raffle baskets. Event proceeds benefit Ives Hill Retirement activities fund. All are welcome to attend the cruise-in at no charge. Bring your classic car, truck or motorcycle. Barbecue buffet is $8; to-go containers available. Information: www. iveshillretirement.org
TUESDAY, JUNE 18 n Social Media in the Workplace, 8:30 a.m. registration and continental breakfast, 9 to 10 a.m. presentation, Ramada Inn, Arsenal Street. Presented by Hancock Estabrook Counselors at Law and the Greater Watertown-North Country Chamber of Commerce. Registration deadline: Friday, June 14. Cost: Registered members, free; non-registered members, $5; non-members, $5. Register: 788-4400 or www.watertownny.com.
WEDNESDAY, MAY 29 n First Farmer’s Market, 6:30 a.m. to 3 p.m., Washington Street. Sponsored by the Greater Watertown-North Country Chamber of Commerce and Watertown Savings Bank. Rain or shine, every Wednesday until Oct. 2. Information: 788-4400.
WEDNESDAY, JUNE 19 n “Analyzing Financial Data,” 1 to 4:30 p.m., Ramada Inn, 6300 Arsenal St. Sponsored by Bowers & Co. CPAs. Part of the QuickBooks training series. Session including creating reports, customizing reports, creating graphs, customizing invoice forms and preparing collection letters. Registration fee: $99, due by Wednesday, June 12. Information, register: www.bcpllc.com.
SUNDAY, JUNE 2 & MONDAY, JUNE 3 n 16th Annual Thousand Islands Golf Classic and Shore Dinner, benefiting the Samaritan Medical Center Foundation of Northern New York. Sunday: St. Lawrence River shore dinner hosted by Lisa and Joe Weber with a special live auction. Monday: 18 holes at the Thousand Island County Club. Information: Michelle Nickles, 785-5745 or mnickles@shsny.com.
THURSDAY, JUNE 20 n Business After Hours, 5 to 7 p.m., A.T. Matthews & Dier, 636 Coffeen St. Sponsored by the Greater Watertown-North Country Chamber of Commerce. Networking, prizes and food. Register by noon Tuesday, June 20. Admission: Registered members, $8; non-registered members, $10; non-members, $12. Register: www.watertownny.com or 782-4400.
MONDAY, JUNE 3 n Jefferson Community College Higher Education Center Partner SUNY Potsdam Information Session, 3:30 to 5:30 p.m., JCC Extended Learning Center, room E-115. Learn more about the graduate degree programs offered by SUNY Potsdam through a partnership with the JCC Higher Education Center. Information: Kathleen Morris-Kortz, SUNY Potsdam coordinator of education programs in Watertown, 786-2373. THURSDAY, JUNE 6 n Jefferson Leadership Institute Graduation Dinner, 6 to 9 p.m., Savory Downtown.
COMMUNITY / BUSINESS CALENDAR
SATURDAY, JUNE 1 n Annual Car-B-Que, 11 a.m., Dobisky Visitor’s Center. Classic car show follows a parade of classic cars from WalMart to the Dobisky Center. More than 20 trophies will be awarded. Live music, craft vendors and a grill raffle. Information: Sandra Porter: 393-3620.
MONDAY, JUNE 24 & WEDNESDAY, JUNE 26 n Social Media Marketing, 5:30 to 7:30 p.m., Jefferson Community College. Using principles of marketing, this workshop will explore the current social media platforms and the best way to utilize them in your Internet marketing campaigns. Cost: $49. Register: Jefferson Community College Continuing Education Division, 786-2438. GOT A BUSINESS EVENT or calendar item? Email nnybusiness@wdt.net. Deadline is the 10th of each month for the following month’s issue. Visit us on Facebook at www.facebook. com/NNYBusiness or www.nnybizmag.com for events calendar updates.
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BUSINESS SCENE Northern New York Builders Exchange 37th Annual North Country Home Show
From left, Tim Meyer and Gary Jeffries, both of Equipment Rentals, Watertown and Plattsburgh.
KEN EYSAMAN PHOTOS | NNY BUSINESS
Clockwise from left, Tami Brass, Mark Thompson, Joe Mac, Ray Cramer, Bob Silver, and Sonna Bourquin, all of Jefferson Concrete. The Northern New York Builders Exchange held its 37th annual North Country Home Show April 12-14 at the Alex T. Duffy Fairgrounds Arena.
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From left, Mike Gaylord and Denise Kacuba, both of Rock Bottom Plowing & Excavation, Adams Center.
KEN EYSAMAN PHOTOS | NNY BUSINESS
From left, Neil Katzman, Soft Water By George, Watertown, Boo Wells, Farm House Kitchen, Sackets Harbor, and Patrick Jareo, P&T Supply, Watertown.
BUSINESS SCENE 1000 Islands — Clayton Spring Boat Show at Cerow Recreation Park Arena
From left, Twyla Webb, Clayton, and Peggy Blackmer, both of the International Water Levels Coalition.
Louise Wright and husband, Randy, Wright’s Marine, Morristown.
KEN EYSAMAN PHOTOS | NNY BUSINESS
KEN EYSAMAN PHOTOS | NNY BUSINESS
Tania Borello-Andre, United Yacht Sales 1000 Islands Division, and Mordy Miltz, United Yacht Sales Treasure Coast Division. The Clayton Chamber of Commerce presented the 2013 1000 Islands — Clayton Spring Boat Show April 12-14 at Cerow Recreation Park Arena.
From left, Bob Marr, Clayton, and Chris Howitt, Kingston, Ont., both of the International Water Levels Coalition.
n LIKE NNY BUSINESS ON FACEBOOK at www.facebook .com/nny business or scan this QR Code with your smartphone for links to exclusive content, daily updates and sneak peeks of coming issues.
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BUSINESS SCENE GWNC Chamber of Commerce Business After Hours at Bonnie Castle Resort
From left, Jill Bach, River Golf Adventures, Clayton, Christian Ives, executive chef, Bonnie Castle Resort, Alexandria Bay, and Andy Bach, Bach & Co., Clayton.
KEN EYSAMAN PHOTOS | NNY BUSINESS
From left, Ajaie Albert and Daniel Shaw, both of 5 Made Men Entertainment, and Tayari Shaw, Kraft Foods, Lowville. Bonnie Castle Resort hosted the Greater Watertown-North Country Chamber of Commerce April Business After Hours April 17.
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From left, Jodi Kemple, River Hospital Foundation, and Marta Beach, River Hospital Foundation and Marta’s Photo Shop.
KEN EYSAMAN PHOTOS | NNY BUSINESS
From left, Cathy F. Garlock, Garlock Realty and Bonnie Castle Resort, Alexandria Bay, Angie Cobb, Bonnie Castle Resort director of events and weddings, and Courtney Igo, Bonnie Castle Resort.
BUSINESS SCENE Clayton Chamber of Commerce Business With A Twist at Save The River
From left, Lee Willbanks, executive director, Save The River, Clayton, and George Kittle, Thousand Islands Property Service.
From left, Kate Breheny, program manager, Save The River, Clayton, and husband, Brian, Greene Structures, Fishers Landing.
KEN EYSAMAN PHOTOS | NNY BUSINESS
From left, Stephanie Weiss, assistant director, Save The River, Clayton, and Dez Stone Menendez, The Possibility Room, Seattle, Wash. Save The River hosted the Clayton Chamber of Commerce April Business With A Twist April 18 at its Riverside Drive offices.
KEN EYSAMAN PHOTOS | NNY BUSINESS
From left, Claire Wakefield, Antique Boat Museum, Clayton, Kassandra Kittle, WWTI-ABC 50, Watertown, and Lora Nadolski, Antique Boat Museum.
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BUSINESS SCENE Carthage Elks & Chamber Citizen of the Year
AmeriCU Credit Union Ribbon-Cutting
Terrence L. Roche, 2012 Elks and Carthage Area Chamber of Commerce Citizen of the Year, and wife, Maria L.
From left, Kelsey Williams, Michelle Curtis, Betsy Nunu, Alisha Vo and Jamie Williamson, all of AmeriCU Credit Union.
KEN EYSAMAN PHOTOS | NNY BUSINESS
Stefano Magro and wife, Toni, Stefano’s Pizzeria & Restaurant, Carthage. Carthage Elks Lodge #1762 and the Carthage Area Chamber of Commerce held their annual Citizen of the Year Dinner at the lodge April 23.
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KEN EYSAMAN PHOTOS | NNY BUSINESS
From left, Jeffrey E. Graham, Watertown city mayor, Joseph J. Turczyn, AmeriCU Board of Directors, Rebecca Mabry, Watertown financial center manager, Mark Pfisterer, president and CEO, and Joseph C. Anderson, chief operating officer. AmeriCU Credit Union held a ribbon-cutting ceremony and reception at its Watertown Financial Center, 871 Arsenal St., April 25.
BUSINESS SCENE River Day Spa & Salon open house, Clayton
From left, Fred Bach Sr., wife, Patty, son, Freddy Jr., Bach & Co., Clayton, and Terra Thomas, Town of Clayton.
From left, Kylie Buker, Carthage Central School, Jill Shultz, Haun Welding Supply, and Patty Buker, Thousand Islands Central School.
MATT COSTANTINO PHOTOS | NNY BUSINESS
From left, Erica Robbins, Kate Evving, Jenny Bach, owner, Lindy Pedigo, all of River Day Spa & Salon, Clayton. River Day Spa & Salon welcomed guests for an open house on Thursday, April 25, at its Riverside Drive location.
MATT COSTANTINO PHOTOS | NNY BUSINESS
From left, Carol Thomas, Angel Rock Cottages, Cape Vincent, Jane Simpson, Clipper Inn, Clayton, and Debbie Taylor, Town of Clayton.
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BUSINESS HISTORY
Glove maker was source of scandal n Ogdensburg
company made big headlines By KYLE R. HAYES
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NNY Business
n the early 1900s, gloves were big business. Mittens, unlined gloves, fleece lined, rabbit fur, lambskin, gloves of all shapes and sizes were the hottest and most practical fashion accessory and there were dozens of options from which to choose. The story of the Dinberg Glove and Mitten Co., which was located on the corner of State and Gilbert streets in Ogdensburg, is one that reads like a modern-day television procedural drama. Alleged arson, murder and a court battle all pepper the history of the Dinberg Glove and Mitten Co., which was the former W.J. McIntosh Glove Co. In late 1934, the Ogdensburg Advance News “unofficially but reliably reported” that Israel Dinberg and his brothers, Harry and Nathan, would be purchasing the McIntosh Glove Co. and all of its assets, machinery and inventory. The W.J. McIntosh Co. was one of Ogdensburg’s most thriving manufacturers and, at the time of the sale to the Dinberg brothers, had been in operation for more than 25 years. It was the former Phair Glove Co., at which W.J. McIntosh was employed. The McIntosh name was well respected in Ogdensburg industry circles. In the early 1920s, it was reported that W.J. McIntosh would be incorporated with a capital stock of $50,000 and would expand its physical plant location in the city. Mr. McIntosh had stated that business had increased to such an extent in years prior to 1920 that it became necessary to enlarge the plant that sat on the corner of State and Gilbert streets. He announced plans to increase the number of employees to at least 100 by summer of 1920. More than a year later, W.J. McIntosh Co. was still floundering as it sought help. In a 1921 Ogdensburg Republican-Journal article announcing the appointment of John T. Hannan as president of the
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JOHNSON NEWSPAPER CORP. ARCHIVES
company it was stated that, “The glove manufacturing plant is doing a flourishing business under the direction of W.J. McIntosh, who is an expert glove man. The factory is rushed with orders but because of the inability to secure sufficient help, the plant has been unable to handle all the work demand.” The Dinberg brothers were not new to glove manufacturing. They had previously operated their own glove business in Ogdensburg and, according to the Advance News, had “developed the industry to such an extent that added space was needed.” Gloves manufactured by the Dinberg brothers were sold nationwide through national distributors. Those contracts and national exposure continued as the company grew into the W.J. McIntosh site. As early as Christmas 1934, advertisements popped up in local newspapers, including the Hammond Advertiser, which promoted the liquidation of the McIntosh Glove Factory stock, being sold
at “manufacturer’s wholesale price.” The Dinberg family did a strong business in Ogdensburg throughout much of the 1900s. Israel Dinberg served as president of the glove company, while his two brothers, Harry and Nathan, operated Dinberg Bros., a shoe dealer also located in Ogdensburg. However, drama in the family story was always evident. Early in 1926, David Dinberg, a Russian immigrant, junk dealer and father to the three Dinberg brothers, was found murdered in his home in Ogdensburg. The killing had all the makings of a murder mystery: a brutal beating, a bloody hatchet that police found hidden in Mr. Dinberg’s junkyard and a vagrant who allegedly committed the crime during an attempted robbery. The elder Mr. Dinberg, billed in newspaper reports, earned a decent wage and police believed that he was killed after a botched robbery. The murder was discovered after a neighbor phoned police to alert them that Mr. Dinberg’s
horse had been wandering his property unattended. Police entered Mr. Dinberg’s home to find him in a pool of blood, footprints in the snow outside leading to and from the home, fingerprints on the walls and a pocket in Mr. Dinberg’s trousers ripped out. Michel Lisowsky, also known as Mickel Lisaur, was suspected of killing Mr. Dinsberg after a hatchet belonging to him had been found hidden in the junkyard. Police also found a pair of khaki trousers belonging to Mr. Lisowsky that had been cut into pieces and scrubbed vigorously in what was believed to be an attempt to hide evidence. In 1941, Israel Dinberg was the center of media attention because of legal trouble.
The Dinberg family did a strong business throughout much of the 1900s. Israel Dinberg served as president of the glove company, while brothers, Harry and Nathan operated a shoe dealer. He was arrested and charged not once, but twice for violating a state penal code the covered wage kickbacks. The charges were the result of an employee strike that lasted nine weeks at the glove factory. On the night of Nov. 12, 1964, a massive fire destroyed much of the glove factory at 215 Gilbert St. The estimated cost of damage exceeded $40,000, a large sum at the time. Police were summoned to the scene of the blaze after fire chief Paul Silver found signs of gasoline at the site. Photographs of the scene showed gasoline containers on the second floor just minutes after the fire was first discovered, around 8:16 p.m. on that night. Firefighters also found at least three gasoline containers on the second floor, with a wick extending out of at least one. When firefighters arrived, all the doors to the building were locked. At age 72, Israel Dinberg died on Nov. 9, 1969, of an apparent heart attack. He had retired in 1965 after the fire that destroyed the glove factory. n BUSINESS HISTORY IS A monthly feature from the archives of the Watertown Daily Times. Visit www.watertowndailytimes.com to access digital archives since 1988, or stop by the Times, 260 Washington St., Watertown to research materials in our library that date back to the 1800s.
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W H AT ’ S H A P P E N I N G H E R E ? BOTTLE CAPS BEVERAGE CENTER WHAT: A beer sales and convenience store with cigar selection, located in the downstairs of Arsenal Street Wine and Liquor, accessible through a separate entrance. OWNER: Mary R. Miles LOCATION: 940 Arsenal St., Watertown. SIZE: 2,400-square-feet of new retail space ESTIMATED COMPLETION: End of May; opening in June DECLARED VALUE: $80,000 GENERAL CONTRACTOR: DMA Construction, Carthage. LOCAL JOBS: About a dozen construction jobs; five retail employees. HOURS: 9 a.m. to 9 p.m. Monday through Saturday and from noon to 5 p.m. Sunday. — Compiled by Kyle R. Hayes
AMANDA MORRISON | NNY BUSINESS
Workers install the framework for the entrance to Bottle Caps Beverage Center, a separate business located in the same building as Arsenal Street Wine & Liquor Depot. The new business will enable all types of alcohol to be sold.
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n our June issue, we examine how Northern New York is branded to attract the thousands of tourists each year who help make tourism one of the region’s top industries. Also coming next month: n GUEST ESSAY: 1000 Islands International Tourism Council Director Gary S. DeYoung shares his insights on the region’s growing tourism sector. n 30 YEARS STRONG: Halletts’ Florist and Greenhouse was born from humble beginnings in Adams. After 30 years in business, the family is still growing its success. n 20 QUESTIONS: An in-depth interview with a north country business leader. n PLUS: Small Business Startup, NNY Snapshot, Economically Speaking, Commerce Corner, Nonprofits Today, Business Tech Bytes, Small Business Success, Real Estate, Agri-Business, Business History, Business Scene. n VISIT US ONLINE at www.nnybizmag.com. Follow us on Twitter for daily updates at @NNYBusinessMag, like us on Facebook at www.facebook.com/nnybusiness, and view eEditions at www.issuu.com/NNYBusiness.
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NNY Business | May 2013
May 2013 | NNY Business
| 63
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