East End example - Rochester Business Journal

Transcription

Small Business
For Peter Buckley,
Rochester-area
construction is a
family tradition.
Page 22
VOLUME 25, NUMBER 51
Photo Page
Snap Poll
A full page of photos
from the Health
Care Achievement
Awards event.
Page 12
Readers voice their
opinions on who
should be Eric
Massa’s replacement.
Page 43
WWW.RBJDAILY.COM
Ward Norris
merges with
Philly firm
Lawyers expect the
combination to be
completed on April 1
MARCH 12, 2010
Pay falls
at health
insurers
East End example
Popular with developers, businesses
and city dwellers, the neighborhood
could be a model for other parts
of downtown. Special Report
starts on page 27.
Compensation down
42% for MVP’s Oliker
By WILL ASTOR
Ward Norris Heller & Reidy LLP plans to
merge with a Philadelphia-based law firm to
create a four-state civil litigation practice.
Ward Norris ranked 10th on the Rochester Business Journal’s most recent list
of local law firms
with 25 lawyers. Both firms are
Its merger with the civil litigation
eight-attorney Daller boutiques
Greenberg & Dietrich started by
LLP is slated to be
completed April 1. trial lawyers.
The merged firms plan to take the name
Ward Greenberg Heller & Reidy LLP.
The merger has been in the works for
several months, said Ward Norris partner Thomas D’Antonio. As of April 1,
the merged firm’s geographically distant
locations would be electronically linked
MVP Health Care CEO David Oliker
saw his compensation fall from seven figures to six in 2009 after a 42 percent pay
cut that made him the company’s secondhighest-paid employee.
Oliker’s 2009 pay package totaled
$648,982, some
$460,000 less than the The top six
$1.1 million that MVP executives saw
paid him in 2008, double-digit
documents filed with pay declines
the state Insurance
in 2009.
Department show.
The region’s top six health insurer executives, ranked by 2009 pay, all had doubledigit drops in compensation last year.
Excellus BlueCross BlueShield president and CEO David Klein saw his compensation take a $700,000 hit, declining
Photo by Kimberly McKinzie
By WILL ASTOR
Continued on page 14
“We are in a very different place this year than we were
a year ago,” Reeves-Collins said.
Rich Products logs annual sales of some
$2.8 billion and sells more than 2,000
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$1.75
Donna Reeves-Collins is
expanding her cookie dough
snack into the national market
after partnering with a multibillion-dollar dessert business and
a well-known cookie seller.
Reeves-Collins, founder and CEO
of Cole & Parks Bakery Cafe & Coffee Co.
in Victor, has partnered in a joint venture
with Buffalo-based Rich Products Corp.
and inked a licensing agreement with Mrs.
Fields Original Cookies Inc. in Utah to sell
Mrs. Fields Cookie Dough Snacks.
A push is under way to market the cook-
6
By ANDREA DECKERT
products in 73 countries. Mrs. Fields
is one of the largest retailers of freshly
baked, on-premises specialty cookies and
brownies in the United States. The deals
with Rich Products and
Mrs. Fields have been
signed over the last two
years.
In 2006, Reeves-Collins launched DoughNuggs, a raw cookie
dough snack that is eggfree, as an extension of
the Cole & Parks business
she started in 2003 with her
husband, William Collins.
Aware that people love to
eat the dough—it is the second-most-popular fl avor of ice
cream at Ben & Jerry’s Homemade Inc.—
Reeves-Collins realized that some have
74470 77330
ie dough snacks across the United States in
various retail outlets. Starting next week,
the treats will be sold in 250 Wal-Mart
Stores Inc. locations in the Southeast.
WEEKLY
No matter who replaces Eric Massa in
the U.S. House of Representatives from
New York’s 29th District, the Rochester
area will be important to that person, political analysts said this week.
Massa, D-Corning, resigned Monday in
the aftermath of an ethics investigation of
allegedly inappropriate behavior. Massa
said he resigned because he was forced
from offi ce by Democratic leaders for
not supporting their health care reform
proposal and because of a possible recurrence of cancer.
State Assemblyman David Koon, DFairport, said he would run for the 29th
Victor firm links with
Rich Products; treats
to hit Wal-Marts soon
0
By THOMAS ADAMS
Joint venture takes cookie dough national
11>
Monroe County
in play after
Massa’s move
RBJDAILY
This is a recap of news reported first on the Rochester Business Journal’s Web site. To receive the Daily Report e-mail, go
to www.rbj.net/dailyreport.asp.
Bankruptcy filings drop 15 percent
Rochester-area bankruptcy filings fell some 15 percent last
month, according to statistics released by the U.S. Bankruptcy
Court clerk for the Western District of New York.
In February, 198 petitioners sought Bankruptcy Court protection in the Western District’s nine-county Rochester division. In
the same month last year, 233 Rochester-area individuals and
businesses filed bankruptcy petitions.
The Bankruptcy Court’s Rochester division includes the counties of Monroe, Ontario, Wayne, Livingston, Seneca, Yates,
Schuyler, Steuben and Chemung.
Rochester-area bankruptcy filings last month included 132 Chapter 7 petitions and 66 Chapter 13 filings. No businesses sought court
protection to reorganize under Chapter 11 in February.
RCSD graduation rate dips to 46%
The graduation
rate for the Rochester
City School District
fell to 46 percent for
students who entered
high school in 200506, data released
Tuesday by the state
shows.
The rate dropped
from 52 percent the
previous year.
No other district in
Monroe County had less than 71 percent, the rate for the East
Rochester Union Free School District. The Pittsford Central School
District had a 97 percent graduation rate, best in the county.
For the entire state, nearly 72 percent of students who entered
ninth grade in 2005 graduated four years later.
UR, residents may get $26M tax refund
The University of Rochester and medical residents who served
in medical center programs in some years could be in for a federal tax refund of more than $26 million.
The refund is the fruit of a longstanding dispute between U.S.
medical schools and the Internal Revenue Service over whether
medical residents should be eligible for a student tax exemption.
After debating the issue with the IRS for years and filing a
lawsuit March 2 in U.S. District Court in Rochester to seek a
refund of $26.4 million plus interest, UR got word the same day
that the federal tax agency would accede to at least some of the
university’s demands.
While the IRS has agreed to pay refunds to medical schools,
UR has not withdrawn its lawsuit yet, URMC spokeswoman Teri
D’Agostino said. The tax agency has stipulated that URMC and
other medical centers and teaching hospitals would be due refunds,
but the IRS has not yet agreed to the university’s calculation of
the amount, she said. Other issues also might remain unsettled.
The tax dispute centers on the Federal Insurance Contributions
Q4: Roger Battaglia,
Q: Last week you announced plans to retire.
A:
What went into your decision, and what
do you plan to do in your retirement?
Because the members of St. Joseph’s
Villa’s senior management team are
all very close in age and experience, I
worked together with the board of directors to develop a thoughtful and responsible corporate succession plan that will
best carry the agency into the future.
Very simply, it would present a challenge
for the agency if all of its senior leaders
retired at the same time. My retirement
this year enables a new president to
transition within the current leadership
environment. It also gives that person the
opportunity, at a future time, to create
a new leadership team that is consistent
with the mission, vision and values of the
agency. This is a succession plan that
the board and senior management have
been developing for some time, and the
timing for me personally to step back
and devote more time to my family also
made ideal sense. I feel very confident
this will be a very smooth and positive
PAGE 2
MARCH 12, 2010
ROCHESTER BUSINESS JOURNAL
Act tax. Commonly called the payroll or employer tax, FICA goes
to fund Social Security and Medicare. Employers and employees
pay equal amounts of FICA tax, with employers matching the
amounts withheld from workers’ checks.
In a March 2 statement, the IRS said it had made an administrative decision to grant FICA exemptions to medical residents
but would allow residents to claim a student exemption only for
tax years up to 2005.
ESL begins move to downtown
The move of ESL Federal Credit Union to new offices downtown has begun, with its operations department and information
technology coming to Chestnut Street on Monday.
The move of some 350 workers will be done in three stages,
with the second and third moves coming from Irondequoit over
the next two weekends, the company said.
The $50 million project includes a new six-story building and
parking garage across Chestnut Street from the Strong National
Museum of Play.
CEO to retire, Torvec announces
Torvec Inc. co-founder, CEO and interim chief financial officer James Gleasman will retire on Sunday, the company announced last Friday.
Gleasman—who founded the automotive technology company
with his father, Vernon, and brother, Keith—also will retire from
its board of directors.
“All of us at Torvec owe a tremendous debt of gratitude to
Jim for providing Torvec with a rock-solid financial foundation,” said Keith Gleasman in a statement. “Torvec not only
has weathered the 2008-2009 economic tsunami but, because
of Jim’s foresight, we are poised to ratchet up the commercializing of our products in 2010, thus creating needed employment
for the Rochester area.”
Torvec did not disclose who would replace Gleasman as CEO
but said the appointment of a CFO will be announced “in the very
near future.” Keith Gleasman will continue to lead the company
as president and chief technology officer, with assistance from
a newly created projects and finance committee composed of
management and members of the company’s engineering team,
Torvec officials said.
FROM THE ONLINE ARCHIVE
Twelve years ago
ACC Corp. terminated its merger agreement with US WATS
Inc.
Company offi cials said, however, that the firm’s proposed
merger with Teleport Communications Group Inc. remained on
target to be completed during the second quarter.
ACC officials said the move was necessary because of delays in
the completion of the merger with US WATS. The delays, which
the company did not detail, made it impossible to conclude the
merger prior to the March 31 termination date.
ACC declined to grant an extension of the merger agreement
because it would delay the bigger merger with Teleport.
Separately, AT&T Corp.’s proposed acquisition of Teleport
remained on track.
president and CEO, St. Joseph’s Villa
transition that will ensure the new leadership continues the Villa’s legacy of serving kids and families with caring, respect
and hope. Supported by a dedicated,
passionate staff that is second to none, I
have no doubt the future of the Villa will
be very bright.
Q: How has St. Joseph’s Villa grown during your 27 years with the agency?
A: I’m very proud to have witnessed the
agency’s transition into what is now a
highly regarded mental health agency
for children and families. Today the
Villa’s unique expertise at working with
children who have serious emotional
issues and diagnoses is widely understood, and we hold a position of trust in
the community. We are known for our
skill at building respectful relationships
with kids and families that help them
overcome difficult and often traumatic
circumstances. We have earned high
levels of Joint Commission accreditation
through a meticulous commitment to quality care and the development of collaborative, individualized treatment plans that
rely on excellent communication and
teamwork
among the
child, family
and all of the
child’s care
providers.
Perhaps most significantly, in the mid’90s we developed a new strategic
plan that shifted our focus from providing high-end residential treatment to
more community-based services. As a
result, the number of kids and families
we serve has grown from 250 a day to
800 a day. We have also developed
specialized residential programs to serve
unique and vital needs such as chemical
dependency, teenage mothers, eating
disorders and severe mental illness, as
well as diversion programs like the Juvenile Reporting Center, which serves teens
with delinquency and school truancy histories. Because our staff now works
THELOOP
Sober as a Rochesterian
With apologies to the late Curt
Gerling, who penned the book
“Smugtown USA,” Rochester might better
be called Sobertown USA.
A list by Men’s Health, which grades
cities across the nation each month in its
Metrogrades section, ranks Rochester as
the 98th drunkest of
100 metro areas.
Rochester’s
component rankings
include: deaths
from liver disease,
98th; deaths in
DUI crashes, 84th;
binge drinking,
92nd; DUI arrests,
69th; and harsh DUI laws, 32nd.
Rochester gets an overall grade of A+
from the magazine.
Teetotaling ahead of Rochester are
No. 99 Yonkers and No. 100 Boston.
The home of the Bull & Finch Pub of
“Cheers” fame is a surprising finisher.
What would Sam Malone say? Another
surprise is that Milwaukee, which at one
time produced the most beer of any city
in the world and was home to several
breweries, landed at No. 58.
New York City ranked 93rd. Buffalo
ranked 66th but was 14th in binge
drinking.
Fresno, Calif., was rated the nation’s
drunkest city, with the second-highest
death rate from liver disease and a No.
4 ranking in DUI arrests. Reno, Nev., and
Billings, Mont., filled out the top three.
Gridiron star
Former Penn Yan Academy football
standout Tony Collins, who
went on to star at East
Carolina University
and for the New
England Patriots
in the NFL, is
scheduled
to speak
in Geneva
tonight.
Tony is talking
at DeSales High
School on what
student athletes need to know to get
recruited, and he also will share his
experiences with the college recruitment
process. He aims to clear up myths and
misconceptions about the process in this
National Collegiate Scouting Association
seminar, “College Recruiting Simplified.”
Tony, who works for NCSA and gives
talks on recruiting across the country,
plans to share “Five Things You Need
to Know to Get Recruited” with student
athletes and their families.
One of those things is that the
recruitment process does not begin
during the athlete’s junior or senior year
of high school or when a college coach
calls or writes; it can start as early as
seventh or eighth grade.
Collins ran for some 4,600 yards for
the Patriots before drug issues sidelined
him. He played briefly again with the
Miami Dolphins and then in the Arena
Football League.
Student athletes and their families
who are interested in the seminar should
contact Jaclyn Thomas at (312) 624-7446.
Send tips, rumors, inside information or
strange tales for the Loop to Managing
Editor Mike Dickinson at [email protected].
MARCH 12, 2010
ROCHESTER BUSINESS JOURNAL / RBJDAILY.COM
Executive
details keys
to marketing
Differentiation critical
for success, growth at
Constellation Brands
By ANDREA DECKERT
Start up.
Begin.
Make it happen.
Woods Oviatt Gilman.
Advice, not arrogance.
Providing assistance
to start up businesses:
entity options,
formation
and organization,
name selection
and protection,
financing alternatives.
Helping you decide
© 2010 Woods Oviatt Gilman LLP, 700 Crossroads Building, Rochester, NY
As executives at Constellation Brands
Inc. began creating a marketing campaign
for its Svedka brand vodka, they found
themselves in a tight spot.
“How do you differentiate vodka, a
product that is odorless, tasteless and always mixed with something else?” said
Lou Applebaum, Constellation Brands’
senior vice president of strategy and business development. “How do you reinvent
a category that talks about filtering and
distilling?”
The answer was to
look to the future.
The company created
a female robot,
dubbed Svedka grl,
and began marketing
the drink as the No. 1
s e l l i n g vo d k a o f
2033, a claim no one Lou Applebaum
can contest, at least for 23 years.
While other vodka campaigns focus on
the past, Svedka lays claim on the future
and puts the fun back into the category,
Applebaum said.
Today, Svedka is the fourth-best-selling
imported vodka in the United States and
is growing in the double-digit range, Applebaum said. A television ad featuring a
new “bot” girl dance is scheduled to make
its debut this month.
Applebaum made his remarks as the
speaker at last week’s Rochester New York
Chapter of the American Marketing Association event, held at Constellation’s
headquarters in Victor. In addition to the
talk, attendees received a tour of the first
floor and sampled Constellation’s liquid
offerings.
Applebaum spoke about how the world’s
largest wine company differentiates its
products from competitors’ and stays relevant to an audience that is growing younger due to the Internet and global travel. Its
brands include the iconic Robert Mondavi
and Black Box, premium wines sold in a
box.
“Modernizing and becoming relevant to
today’s consumers is the goal of all marketers,” Applebaum said.
He joined Constellation Brands in 2004
as the vice president of business development. In 2007, he was promoted to his current position, where he oversees the U.S.
sales council, focusing on commercial aspects of mergers and acquisitions and strategy, as well as leads the company’s global
marketing council.
The firm’s Kim Crawford wine brand is
another example of how Constellation tries
to reach beyond the traditional wine image, he said. The New Zealand-based
brand has had a successful track record
because it excels at differentiating itself.
For example, people can log onto the
Kim Crawford site and enjoy Internet wine
tastings with the company’s co-founder.
Tastings may include themes or take place
at midnight.
“It’s something that is relaxing and fun
and not done by a lot of other wine
where you want to go.
Woods Oviatt Gilman.
Open for business
since 1852.
business attorneys
5 8 5 . 9 87. 2 8 0 0
w w w. wo o d s ov i a t t . c o m
PAGE 3
PAGE 4
MARCH 12, 2010
Rochester Business Journal
ENVIRONMENTAL
LEADERSHIP SYMPOSIUM
Tuesday, April 13, 2010
■
Rochester Riverside Convention Center
— 2010 HONOREES —
Keynote speaker
Long-Term Commitment
Bausch & Lomb Inc. • Zotos International Inc.
Monroe Community College
Pollution Prevention
SUNY College at Brockport • LPA Systems Inc.
Gates Automotive Center
Recycling/Reuse
Hammer Packaging Corp. • University of Rochester
Resource Reduction
Kevin Surace
Coating Technology Inc. • SUNY College at Geneseo
President & CEO
Serious Materials
Make your reservation today!
Inc. Magazine’s
$95 per person for full day (breakfast, symposium & luncheon)
$50 per person for awards luncheon only
$500 per table of 10 for awards luncheon only
For information & reservations, visit go.rbj.net/ela.
Supporting Sponsors:
Harter Secrest & Emery LLP • Turner Engineering PC
Questions? Contact Kerry McGlone at (585) 546-8303, ext. 102, or [email protected].
2009 Entrepreneur
of the Year
MARCH 12, 2010
PAGE 5
Sales put Lexus at top
among pricey vehicles
Import pushes GM
out of the lead here for
vehicles over $30,000
By VELVET SPICER
Rochester-area drivers returned to the
Lexus RX series as their near-luxury vehicle of choice last year, unseating 2008
favorite GMC.
Ranked by the number of new vehicles
registered in Monroe County in 2009, the
Lexus RX 350 outpaced the GMC Acadia and BWM 3-Series for the top spot.
The Lexus RX series last topped the list
in 2008 for vehicles sold in 2007, and it
ranked fifth last year.
Luxury vehicles generally range from
$35,000 to $40,000, with anything priced
in the $30,000 to $35,000 range considered
near-luxury. With a base price of roughly
$30,000, some 176 new RX 350s were
registered here last year, up 10 percent
from 160 in 2008.
The list of best-selling new vehicles
over $30,000 appears on page 9.
The RX series appeals to drivers because
of its sophisticated look and feel, Dorschel
Group president Richard Dorschel said.
“In its current iteration it’s a larger car
inside and a slightly larger car outside,”
Dorschel explained. “It is a passenger car
platform, not a truck platform. It has a very
highly appointed interior and it is also a
very intuitive car. It’s a car that anyone
can get in and figure out.”
In addition, while the crossover vehicle
is available in front-wheel drive, the cost
increase for all-wheel drive is insignificant, adding to its appeal locally.
“This year they made the car a little bit
more masculine, so it now appeals to a wider range” of drivers, Dorschel said. “It has
been primarily a ladies’ car, but with new
styling, bigger tires and wheels, a larger exhaust pipe, a little sheet metal change, the
car now appeals to men and women.”
The appeal is not just local, Dorschel
said. Some 40 percent of Lexus’ volume
nationwide is in the RX series.
“I would say it is the car that defines the
near-luxury sport utility market,” Dorschel
said. “It’s a powerhouse.”
The GMC Acadia ranked second among
the most popular luxury and near-luxury
vehicles in the Rochester area last year.
Some 156 were registered in Monroe
County in 2009, down nearly 21 percent
from 197 in 2008.
The vehicle is popular among area car
buyers for several reasons, said Vice President Mark Pennella of Patrick Pontiac
Buick GMC Jeep.
“I think the option of either front-wheel
or all-wheel drive is appealing, along with
the 100,000-mile powertrain warranty,” Pennella said. “The quality is right up to par with
some of the higher-end imports. We have
very few problems with that vehicle.”
The Acadia also offers a navigation
package, rear parking assist, heated and
cooled seats and rear seat entertainment
systems, among other options. The vehicle
ranked fourth on the 2009 list of best-selling new vehicles over $30,000.
Rounding out the top three luxury and
near-luxury sellers last year was the BMW
3-Series. Some 148 were registered here
in 2009, little changed from the 146 in
2008. The 3-Series ranked seventh on the
2009 list.
The Buick Enclave remained in the top
five sellers last year, though sales fell from
209 in 2008 to 131 in 2009. The Jeep Grand
Cherokee ranked fifth among the top-selling luxury and near-luxury vehicles. Some
114 were registered in Monroe County last
year, down from 157 in 2008.
Each of the top three sellers in 2008—
GMC Envoy, Buick Enclave and Cadillac
CTS—sold more than 200 vehicles. Last
year none of the top luxury vehicles had
sales of more than 200. And among the
top 25 luxury and near-luxury vehicles
last year, sales declined for 18.
That is an indication of where the market
has been headed, both locally and nationally, in the last few years, said Bradley
McAreavy, president of the Rochester Automobile Dealers’ Association Inc.
“A couple of things come to my mind as
fairly significant factors,” he said. “First
of all, new car sales in 2008 (nationally)
were over 16 million units; in 2009, just
over 13 million; 2010 roughly 10.5 million (anticipated). The majority of those
are going to be in the midsize car range,
but when you have that kind of a decline,
it affects all the levels.”
The economy and the financial collapse
of numerous industries also played a role
in declining luxury and near-luxury car
sales, McAreavy said.
“You’re talking luxury cars, so let’s talk
about who that person is: fairly successful, affluent, probably has significant financial wherewithal in many cases, probably somebody who took a pretty heavy
hit on their financial investments,” he
said. “When you think about that buyer
and what they might be going through financially, they’re probably waiting.
“They’re waiting for things to get back to
a level where they’re comfortable to go out
and make a $40,000 or $50,000 purchase.”
Pennella said: “Last June when GM and
Chrysler announced their bankruptcies,
that’s when sales went down everywhere.
It wasn’t just GM (and Chrysler); it also affected other manufacturers. I think it numbs
everybody to where they don’t know what
to do and what to buy, so they just wait.”
Dorschel added that luxury car buyers
are not need buyers but want buyers, and
that makes a difference in sales when the
economy weakens.
“They are people who go out and get the
car when they feel like they can do that.
Their stock portfolio is down,” Dorschel
explained. “This is going to be referred to
as the Great Recession.”
“They say a recession is when your neighbor loses his job and a depression is when you
lose yours,” he added. “We all know people
who have lost their jobs, who have been
downsized. This one is a real crusher, and
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Special Olympics Chair
Timothy Shriver
Inclusive Communities:
Working Together to Improve
the Health of People with
Intellectual Disabilities
DATE
PLACE & TIME
March 24, 2010, Luncheon and Keynote
Hyatt Regency Rochester, 12:30 p.m.
Timothy P. Shriver, PhD, is the Chairman and CEO of Special Olympics International, which serves 3.1 million athletes and their families in 175 countries.
Shriver has created new initiatives in health, education, and family support
including Special Olympics Healthy Athletes®, the world’s largest public health
screening and education programs for people with intellectual disabilities.
Continued on page 6
The luncheon is part of the 5th Annual Kirch Conference, which focuses
on wellness and developing healthy lifestyles for transition age individuals
with developmental disabilities.
CORRECTIONS AND
AMPLIFICATIONS
An article in the Feb. 26 Health Care
Achievement Awards section contained an
error. Soldiers & Sailors Memorial Hospital is a critical access hospital.
A photo caption for the Best of the Web
event in the March 5 issue incorrectly stated that Mark Stevens works with Atomic
Design. Stevens is with Vincent Associates. Atomic Design, headed by Chris Hanna, developed the Web sites for Vincent
Associates’ Uniblitz, Seneca Park Zoo and
Miller Brick Co.
TICKETS
RESERVATIONS
INFORMATION
SPONSORED BY
$50 per person, discounts for students,
and people and their families with disabilities
Carolyn King, 585-275-6605, [email protected].
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PAGE 6
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District effort to raise
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rbjdaily.com
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Join Children Awaiting Parents to savor delicious
wines, sample tasty hors d’oeuvres and bid on some terrific
silent auction items at our Toast to Spring Wine Tasting.
Gatherings at the Daisy Flour Mill
1880 Blossom Road ,
Friday, March 26th
6:30 - 9:30 pm
The cost for this event is $60.00 before March 12
and $75.00 after that date.
To RSVP for this event or more information go online at
www.ChildrenAwaitingParents.org or call 585.232.5110.
Sponsored by:
ChamberlainD’Amanda • MRB Group Consulting Engineers
MGM Associates Insurance
Wines provided by
Four Seasons Spirits & Wine Cellar, Southern Wine & Spirits of Upstate NY,
Opici Wine Group and Empire Merchants North
The Rochester City School District is
adding specifics to its strategic plan intended to improve school offerings by giving more autonomy to high-performing
schools and providing more structure for
those failing to meet standards.
Superintendent Jean-Claude Brizard
outlined the plan to improve poorly performing schools at a school board meeting
Thursday. It included substantial changes
for seven city schools, including phasing
out John Marshall High School.
The plan was announced two days after
the state released figures showing that the
district had a 46 percent graduation rate for
students who entered high school in 2005.
District officials said the strategic plan details were meant to coincide with this announcement in an effort to build support for
the plan to improve student achievement.
“It was perfect timing,” said Mary
Doyle, RCSD senior director of school
innovation. “We’ve developed strategies
to be proactive, but it’s good timing in a
sense to be able to say we recognize the
problem and we’re working on it.”
In his report, Brizard said the graduation
rate shows the district is not preparing students for college. The state report shows
that 10 of the city’s 18 secondary schools
had graduation rates at or below 50 percent
and seven were below 40 percent.
“Looking at our district’s data, the need for
change is clear,” the report states. “We must
focus on improving our school options.”
Earlier in March the district identified
the four schools selected as pilot autonomous schools and given increased decision-making power for budgets, staffing
and scheduling. The schools will begin
the program in the 2010-11 academic year
with plans to implement the autonomous
system districtwide in 2011-12.
At that time all schools will be identified
as either autonomous or “dream schools,”
the district’s term for those in need of more
support from the central office.
For schools identified as poorly performing, the district will use several intervention models. The turnaround model would
AUTO SALES
Continued from page 5
frankly, if you have transportation that
meets your needs, this is a very deferrable
(purchase).”
To make up for stalled sales across the
board, Dorschel said, manufacturers and
dealers have tried to create excitement
around existing products. But he added,
“All these manufacturers are keeping the
pedal to the metal as far as bringing new
offerings to the table.”
McAreavy said there is light at the end
of the tunnel and the industry is beginning to recover from the turmoil of the
past few years.
“I think it’ll improve. We’ve gotten past
a couple of bankruptcies. The product lineup is very good for many of the manufacturers. There’s a lot of pent-up demand for
people who have held off buying a car, that
either phase out a school over time or allow
the school to continue after a redesign. The
restart model would convert a school to a
charter or replace a public school with a
new charter school that serves students who
would have attended the public school.
The transformation model identifies a
school as persistently lowest-achieving until it improves academic results. Under this
model, teachers and principals would be evaluated by a “rigorous and equitable” system.
Those who increase achievement and graduation rates will be rewarded, while those who
do not will be identified or removed if after
professional development they still have not
improved student achievement.
Each strategy is measured by school performance data, with district officials continually reviewing indicators such as student promotion rates and school demand.
The plan announced Thursday also detailed how the district will address its lowest-achieving high schools through redesign
or gradual closure. Under the plan, John
Marshall High School would be phased
out entirely beginning with grade seven in
2010. In its place would be two new schools
beginning in the 2011 school year.
At Edison Technical and Occupational
Education Center, high schools focusing
on applied technology; engineering and
manufacturing; business, finance and entrepreneurship; and imaging and information technology would be phased out. In
their place two schools would open that
focus on the design and construction trades
and the disciplines of science, technology,
engineering and math.
Franklin High School would phase out its
three schools in favor of an integrated arts
and technology school and another focusing
on college preparation. There is also a proposal to open a charter school at Franklin.
Other changes would convert two middle schools to house kindergarten through
grade eight, a format the district is trying to
use more frequently. One of the schools, Dr.
Charles T. Lunsford School No. 19, is changing from kindergarten through grade nine to
kindergarten through grade eight as part of
its transition to an autonomous school.
“K-8 is a better transition point for students. And parents want that because it
provides more time in a middle school setting,” Doyle said.
The plan must obtain board approval and
be accepted by the state Education Department before it can be implemented.
[email protected] / 585-546-8303
eventually they’re going to have to come
into the market,” he said.
Pennella said the industry already has
hit bottom and should continue to climb
unless there is a catastrophic event.
Dorschel expects new-vehicle sales on a
national level to improve to the 12 million
to 13 million level by next year, with sales
of 14 million by 2012. That will do wonders for the local market in both luxury and
lower-end vehicle sales, he said.
“Anything short of 10 or 11 million and
we’re living off our own fat. It’s not a
healthy place to be,” he said. “As retailers
we put our emphasis on used cars, product,
service and body shop, and we’ve had to
reduce head count to reduce our expenses.
Most of us are working with less staff than
a year or two ago. That’s the reality of the
business. If you don’t do that, you’re not
going to be around.”
MARCH 12, 2010
2
0
1
0
Nominate your healthy
company today.
Promote your business or organization to 72,000 readers – free!
Send in your Wealth of Health Award nomination.
Get credit for holding walking meetings, placing fruit in the vending machine –
anything you’ve done to encourage your workforce to live healthier. Final honorees will be
featured in a Rochester Business Journal Special Report that will be read by 72,000 people.
Entering is free and easy, so don’t delay. Deadline for submissions is March 15, 2010.
entry information
Visit go.rbj.net/wealthofhealth to download an application. E-mail your entry to [email protected]
Please answer each of the following in 500 words or less:
Excellus BlueCross BlueShield is a nonprofit independent licensee of the Blue Cross Blue Shield Association
1. What does your business or organization do to encourage employees to improve their health?
2. What is the total number of employees in your organization? How many employees participate in your efforts
to improve their health?
3. How have you been able to impact measurable improvements in your employees’ health
(for example, presenteeism or smoking cessation)?
4. How do you make sure that the efforts are sustainable?
5. Do you track your results? If so, how and what are your outcomes?
Businesses and organizations of all sizes accepted regardless of health insurance affiliation.
In addition to the RBJ Special Report, businesses and organizations will be recognized at a special
awards luncheon on June 10, 2010, at the Hyatt Regency Rochester. Awards will be given in
categories based on number of employees of the recognized businesses or organizations.
Please direct questions to Kerry McGlone at 585-546-8303 or [email protected]
For helpful hints online, visit go.rbj.net/wealthofhealth
Co-sponsored by:
PAGE 7
PAGE 8
MARCH 12, 2010
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PAGE 9
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PROFILE
PAGE 10
MARCH 12, 2010
Telecom exec went old school
Michael Daley became
president of his alma mater,
Aquinas Institute, in 2002
By NATE DOUGHERTY
n the wall in Michael Daley’s office
is an aerial photograph of Aquinas
Institute from decades ago, one with
only a passing resemblance to the campus
that stands on Dewey Avenue today.
In the picture there is no performing arts
center and no athletic complex. The football field is covered in grass, save for a few
bare spots, and looks nothing like the $5
million artificial turf stadium that stands
there now.
By any measure, it is during the eight
years of Daley’s tenure as president that
the school’s physical plant has grown the
most. His role in planning, building consensus and bringing the necessary people
on board to accomplish that growth is undeniable. But Daley will be the first to say
that the accomplishments are not due to
him or to any one person.
“When I came into the chance for this job,
I prayed about it and reflected, and it just felt
like a real calling to be here,” says Daley, 48.
O
“It’s been wonderful, my vocation.”
Now Aquinas is overseeing one of its
biggest changes yet, a partnership with
Nazareth Schools that will merge the Nazareth high school with Aquinas and create
a separate school for prekindergarten
through sixth grade as well.
For a president who graduated from
Aquinas in 1979—when girls could not
attend and the priests who ran the school
practiced corporal punishment—the transformation has been extraordinary.
Aquinas today is the area’s largest private school by enrollment, with 888 students. The school has 110 full-time employees, including 65 faculty members,
and also 65 to 70 part-time coaches. The
school’s budget has grown from less than
$7 million when Daley started to more
than $8 million today.
Growing Aquinas
Daley came to Aquinas more by happenstance than by design. He left Mpower
Communications Corp. in 2002 as executive vice president and chief financial officer. As a member of the Aquinas board
of trustees, he had the right skills and
availability when the presidency came
open that year.
His oldest child, Daniel, had just started
at Aquinas at the time, and as president
Daley would get to see both of his younger children, Erin and Patrick, attend as well.
For a father who had always been involved
in their lives and activities—coaching basketball and soccer teams—being there as
his children advanced through high school
was an important consideration.
The Greece resident did not come with
the typical background of an academic
leader. But rather than allowing his lack of
experience in academia to be a detriment,
Daley turned his business-sector experience
into a boon for himself and Aquinas.
At Mpower and at ACC Corp. before that,
Daley had a role in investor relations, so
when it came time to raise funds at Aquinas, he knew how to present the vision for
the school in a way that donors wanted.
Once he was able to secure some large
donations, others quickly followed.
“Momentum is a big thing in terms of
donations,” Daley says. “Bob Wegman,
who went to Aquinas, was instrumental in
helping create that momentum for us. Early on he helped commit $10 million to a
number of projects here, and even after
they were completed he continued to support Aquinas.
“That allowed other donors to see Aquinas as a viable institution with tremendous
opportunity.”
Growth came fast as the school raised
close to $25 million. It added the football
stadium and fine arts center, and last spring
it opened a two-story library and renovated auditorium. Aquinas also improved
its existing building, renovating the roof,
doors, restrooms and locker rooms and
adding a new HVAC system.
“There was a joke on the board that he
had a construction hat on for the first six
years of his presidency,” says Robert Porretti, a former chairman and current board
member who also is founding partner and
chairman of EFP Rotenberg LLP.
After the closure of many of the local
Catholic schools in 2008, Aquinas also
opened its own junior high school in the
same building as the high school.
The junior high has been a great success
for Aquinas, helping it to buck a trend of
declining enrollment in Catholic schools
and maintain the same number of students
today that it had 10 years ago. The revenue
from nearly 200 students in the junior high
also helped Aquinas withstand the effects
of the recession and stabilize the financial
model for the entire school, Daley says.
Aquinas gets 76 percent of its revenue
from tuition.
The investments in the school improve
the experience for students already at
Aquinas and also make the school more
Continued on next page
MARCH 12, 2010
Continued from previous page
competitive for the ever-shrinking pool of
potential students in the area.
“The money we invested in facilities has
gone a long way to enhancing the well-rounded education of our students,” Daley says.
“In Rochester the demographics have changed
and the number of kids coming through the
education system is declining. That’s not
unique to Catholic schools; it’s everywhere.
“The opportunity for Aquinas is that
while other schools are facing similar financial challenges, our enrollment remains
high. The state is cutting support for their
schools, and while Aquinas has financial
pressures, it’s not as great. We need to get
families to see us as a great investment for
their child’s education.”
Aquinas has boosted its financial assistance to ensure that more families are able
to send their children to the school. It provides nearly $1 million each year in aid,
three times what it gave out 10 years ago.
In all, 45 percent of families receive some
level of financial aid.
Daley says there is more room to grow,
and he has plans to nearly double the
school’s $11.2 million endowment, which
will be used to increase financial aid.
20 Sisters of St. Joseph worked and taught students who decide to go to another
at Aquinas.
school, Aquinas will offer whatever assisCreating the new partnership will have tance it can, Daley says.
its challenges, Daley says. To assuage the
Together, the grade school on Lake Avraw feelings of Nazareth parents and stu- enue and high school on Dewey Avenue
d e n t s wh o
will have a
“In Rochester the demographics have
may feel that
co-branding
the identity
to
changed and the number of kids coming strategy
of the alllet parents
girls acade- through the education system is declining.” know there
my has been
is collaboralost, Aquinas will have a member of the tion across all grades, Daley says.
Sisters of St. Joseph at the high school and
“There will be marketing and other plans
will create a women’s leadership and de- to promote the whole system, not one
velopment program. Many of the programs school over another,” Daley says.
popular at Nazareth, such as a competitive
With the facility and infrastructure needs
dance team and an after-school robotics of Aquinas already met, developing a
club, will be brought to Aquinas.
strong partnership with Nazareth will be
Aquinas held a series of town hall meet- a major focus for Aquinas over the next
ings to address questions about the merg- few years, Daley says.
er and also organized events that would
His transition
bring Nazareth students to Aquinas to beIn the telecommunications world, Daley
come familiar with the school. For those
PAGE 11
was used to a fast pace with leadership
teams that could make decisions and implement them quickly. Consensus building
was preferred but not imperative.
Academia, he found, did not operate the
same way.
“It’s easier to move fast on relatively
small decisions in the corporate world,”
Daley says. “In academia everyone has an
opinion and wants a say, and it’s a process
in decision making that I had to become
comfortable with. That was one of my
learning curves.”
Daley says he learned that in an academic setting, teachers are the rulers of
their classrooms, and their input is important, especially in decisions that might affect day-to-day learning. It was not without
a few missteps that he learned how his role
in academia would differ from the one he
had in the telecom world.
Early in his tenure as president, a stuContinued on page 13
Partnership with Nazareth
For the last six years or so, Daley and
Aquinas administrators have met with the
leadership team at the Nazareth Schools
and the Sisters of St. Joseph, the order that
operates those schools, to discuss ways to
work together.
The timing was never right to move forward on any plans, Daley says, but with
Nazareth facing fi nancial pressures because of declining enrollment, the process
accelerated over the holidays and came to
a head in February with the announcement
of the partnership.
The schools agreed on a system that
would be known as Aquinas Institute and
Nazareth Schools, with a prekindergarten
through sixth-grade school at the Nazareth
campus on Lake Avenue and grades seven
through 12 at Aquinas Institute. The partnership made sense especially because of
the schools’ interwoven histories and their
proximity within the city of Rochester, says
Michael Nuccitelli, president and CEO of
Parlec Inc. and chairman of Aquinas.
“If you read the history, beginning in the
late 1800s for Nazareth and early 1900s
for Aquinas, the initial ties of the institutions show how connected their histories
and missions are,” Nucitelli says.
When Aquinas opened in 1902, the Sisters of St. Joseph were assigned to the faculty along with priests and nuns from other orders. For the next 50 years, more than
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Family: Wife Maureen; sons Daniel, 21,
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Residence: Greece
Activities: Golf
Quote: “The opportunity for Aquinas is
that while other schools are facing
similar financial challenges, our
enrollment remains high. The state is
cutting support for their schools, and
while Aquinas has financial pressures,
it’s not as great. We need to get
families to see us as a great investment
for their child’s education.”
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99812
PAGE 12
A crowd of nearly 300 was on hand at the Rochester Plaza Hotel on Thursday, March 4,
for the eighth annual Rochester Business Journal Health Care Achievement
Awards. The event—co-sponsored by Advantage Federal Credit Union, EFP
Rotenberg LLP, Getinge Group, Roberts Wesleyan College and Rochester
Health—featured a keynote speech by Walter Brooks M.D. on providing
medical care in Third World countries. Honorees were recognized in five
categories: Innovation—Michael Apostolakos M.D., the Early Nursing
Intervention Team at Rochester General Hospital; and Timothy Stevens
M.D.; Management—James Dooley, Timothy McCormick and Mark Taubman M.D.; Nurse—Lori Dambaugh R.N., Gail Ingersoll R.N., and Ann Marie
Pettis R.N.; Physician—Gerald Gacioch M.D., Brian Heppard M.D. and Daniel
Ari Mendelson M.D.; Volunteer—Joseph Gomez M.D.; Gary McIntyre and Warren Webster.
MARCH 12, 2010
Health Care
Achievement
Awards 2010
Front row, from left: Gary McIntyre, Joseph Gomez M.D., Brian
Heppard M.D., Lori Dambaugh R.N., Ann Marie Pettis R.N.;
middle row, from left: Jose Acevedo M.D. (representing James
Dooley), Mark Taubman M.D., Daniel Ari Mendelson M.D., Tina
Dickinson R.N. (representing the Early Nursing Intervention
Team), Gail Ingersoll R.N.; rear row, from left: Michael Apostolakos M.D., Kelly McCormick-Sullivan (representing Timothy
McCormick), Sharon Palmiter (representing Warren Webster),
Gerald Gacioch M.D. and Timothy Stevens M.D.
Daniel Ari Mendelson M.D., Gerald Gacioch M.D.
and Brian Heppard M.D.
Photos by
Kimberly McKinzie
Keynote speaker
Walter Brooks M.D.
From left: Michael Apostolakos M.D., Cindy
Apostolakos and Gerald Gacioch M.D.
From left: Mark Taubman
M.D., Bradford Berk M.D.,
and Lois Taubman
From left: Timothy Stevens M.D.
and Gail Riggs M.D.
From left: Ann Marie Pettis R.N., Lori Dambaugh R.N.
and Gail Ingersoll Ed.D., R.N.
From left: Jacquie Delamarter,
Gary McIntyre and Lori Weed
MARCH 12, 2010
DALEY
dent’s parent who knew Daley called him
at home to talk about a problem the student
was having with a teacher. Daley gave the
parent the teacher’s home phone number
and suggested they work out the problem.
“I learned quickly that was a no-no,”
Daley said. “You don’t give parents a
teacher’s home number to call them. That’s
not a good approach.”
When Daley took over at Aquinas, the
principal-president model of running a
school was a fairly new concept. The standard was to have a principal who filled all
roles—running the day-to-day operations
of the school while also taking care of budgeting and planning.
When religious orders became less involved—as the Congregation of St. Basil
did at Aquinas when it left in 1998—more
schools turned to a model in which the
principal focuses solely on academics
while the president takes on strategic planning, fundraising, alumni development and
even athletics.
Even though Daley was the second president of Aquinas, he was the first to come
directly from the world of business. His
predecessor, Patrick Hanley, was a former
priest with a background in education.
The trend toward people with business
experience leading academic institutions
has gained momentum, especially at the
post-secondary level. Still, it was a relatively new idea when Daley became president.
“We’re facing financial challenges to run
schools independently and keep them viable,” Daley says. “What’s been called for
in many places is a businessperson who
can run the institutions with the experience
they take from the business world.”
To Daley, Aquinas is the school he and
his children attended, a place he loves, but
also a business with an $8 million budget
and needs for marketing and development.
It took time for everyone at Aquinas to be
able to see it the same way, Daley says.
“Faculty who have spent their life teaching endear themselves to people who understand the mission of academics,” he
says. “When you bring a businessperson
in for the first time, there’s a little shock
to the system.”
Some teachers would be upset when he
talked about making decisions in the best
interests of customers, Daley notes. He
stressed to them that these decisions helped
increase enrollment, with the revenue this
brought in being used to fulfill the academic mission and improve the overall
quality of the school.
After eight years in which the school has
invested more than $25 million in the campus, the case has been easier to make, Daley says.
Daley’s enthusiasm for the school and
deep connections helped as well, Porretti
says. While he was president, Daley also
was an active alumnus and parent of three
students whose activities at the school he
cites as his main hobby—along with
golf.
“He really demonstrates a passion for
the school, and that spills over to the whole
administrative staff and teachers,” he says.
“When you see a leader as passionate as
he is, naturally you have the same passion
for the school and its success.”
For all the similarities to the business
world, Aquinas still could never operate in
the same way as MPower, Daley says.
When Aquinas wanted to add a junior high,
it sought the permission of Bishop Matthew Clark, who initially said no. Though
Clark leads the Diocese of Rochester,
which ultimately has no say over independently run Aquinas, Daley says the school
respected his authority and did not move
forward at the time.
“We felt it was an important to maintain
an appropriate relationship with Bishop
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to operate efficiently in large part because
of the capable work of Principal Dennis
Sadler, Daley says. Sadler has worked at
the school on and off for 35 years and was
among Daley’s teachers when he attended
Aquinas.
But when Daley is asked what makes
the school thrive, what is the focus of its
Catholic mission, the answer is clear: the
students themselves.
“The students are the lifeblood of this
school, the reason we’re in existence,” he
says. “I’m so impressed with the faithfulness of the community here in our adults,
and even more impressed with how our
students can share our faith with us. We
have crises here in our own school—
deaths, diseases, job loss—and to hear how
our children grow through it and attribute
their faith to God in managing through
those difficult times has been extremely
rewarding.”
Lifespan’s 14th
APPLEBAUM
(brands),” Applebaum said.
The Black Box line is marketed heavily
on the Internet, with its own Facebook
page and an online advertising contest that
rewarded the winner with a party for 25
people.
Constellation also has spent the past
three years promoting a Robert Mondavi
Discover Wine program that brings the
brand to the consumer through cooking
demonstrations, tastings and seminars.
“People love to have great-tasting wine
to enjoy every day,” Applebaum said.
Matthew Clark,” Daley says. “The partnership with the Sisters of St. Joseph is another where we approached the bishop for
his blessing and approval.”
Daley has become known as something
of a consensus-builder, Nucitelli says. The
decade of growth at Aquinas came from
the collaboration of donors, administrators
and other members of the school community, with Daley helping to keep them all
moving in the same direction.
Nucitelli points to the partnership with
Nazareth as an example.
“It’s a very emotional time for Nazareth
and its 19,000 alumni,” Nucitelli says.
“There were lots of ways we could have
collaborated with Nazareth, and certainly
once Nazareth and Aquinas started the discussion on how to do so, he made sure to
sit back and listen to everyone, taking the
great things Nazareth has and making the
whole system stronger.”
The entire system at Aquinas continues
PAGE 13
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PAGE 14
HEALTH INSURER PAY
26 percent from $2.7 million in 2008 to
just over $2 million in 2009. Klein is the
highest-paid executive among the region’s
health insurers.
Edging out Oliker as the Schenectadybased insurance carrier’s highest-paid employee was Chief Marketing Officer David
Henderson, whose compensation totaled
$657,170 last year. Henderson also took
a substantial pay hit last year; his total
compensation fell 43 percent from $1.1
million in 2008.
In 2008, Excellus reported a loss of $54
million and MVP a loss of $26 million.
The red ink was reflected in generally
lower 2009 pay for most top and midlevel managers of both insurers, officials of
the companies said.
In 2009, compensation for MVP’s 10 highest-paid officers totaled $4.5 million. A year
earlier, the company’s 10 highest-paid employees collected a total of $6.1 million.
Excellus’ top 10 earners collected a total
of $7.6 million in compensation last year,
down 25 percent from $10.1 million paid
to the 10 highest earners in 2008.
Lesser-paid managers also saw pay drops,
the insurance carriers’ state filings show.
The total amount Excellus paid to employees earning $160,000 a year or more
fell 19 percent from 2008 to 2009, going
from $22.1 million to $17.8 million. MVP’s
total payout last year to workers who made
$160,000 or more was $18.8 million, down
11 percent from $20.9 million in 2008.
Excellus and MVP, which acquired the
Rochester-based Preferred Care HMO in
2007, write most of this area’s commercial
health insurance, controlling more than 90
percent of the local market.
MVP has some 700,000 enrollees, roughly 360,000 of whom are in the nine-county
Rochester region. Its territories cover Upstate New York from the Capital District to
the Rochester area. It also sells health insurance in Vermont and New Hampshire.
Excellus, which does not publicly reveal
enrollment figures by region, is thought to
insure most of the balance of the Rochester
WARD NORRIS
by single voice and data systems.
D’Antonio characterized the merger as
a joining of equals rather than an acquisition of one firm by the other.
Both firms are civil litigation boutiques
started by trial lawyers who gave up partnerships in larger firms to found smaller,
more concentrated practices.
Ward Norris dates to 2000, when several
of its founding partners left Nixon Pea-
MARCH 12, 2010
What they earned in 2009
Excellus president and CEO David Klein’s 2009 compensation took a $700,000 hit, but
he remained the highest-paid insurance executive.
Executive
2009 pay
% change since 2008
1. David Klein, president and CEO
$2,015,882
–26
2. Emil Duda, senior executive vice president
and chief financial officer
$1,401,235
–20
$1,091, 007
–27
3. Christopher Booth, executive VP and
chief operating officer
4. David Henderson, MVP chief marketing officer
$657,170
–43
5. David Oliker, MVP president and CEO
$648,982
–42
6. Virginia Parysek, senior VP, executive performance
$519,022
–23
7. Daniel Sauer, MVP VP, sales
$466,092
481
8. Nelson Braslow M.D., MVP chief medical officer
$460,172
15
9. Stephen Sloan, senior VP and
chief administrative officer
$448,785
–3
10. Thomas Combs, MVP treasurer and
chief financial officer
$430,574
–22
11. Paul Eisenstat, senior VP, health care and
network management
$427,762
NA
12. Mark Rusczyk, senior VP, marketing and sales
$422,554
16
13. Martin Lustick M.D., senior VP and
corporate medical director
$422,068
–8
14. Anthony Tardugno, senior VP, information technology,
and chief information officer
$415,611
4
15. William Simmons, senior VP, finance
$413,484
–25
16. Tracy Tadero-Ott, MVP VP, sales
$402,069
1
17. Lisa Brubaker, MVP executive VP, government programs $401,841
–20
18. David Mack, senior VP, corporate relations
$376,252
–9
19. Denise Gonick, MVP chief general counsel
$370,536
26
20. Kathleen Faulk, senior VP, customer operations
$363,709
4
21. Christopher Henchey, MVP CFO
$362,063
7
22. Barry Thornton, senior VP, transformation management $353,314
–12
23. Stephen Cohen M.D., MVP VP, medical affairs
$337,529
–25
24. Carl Cameron M.D., MVP VP and medical director
$328,769
21
25. Alfred Gatti, MVP VP, planning
$316,131
–20
Sauer was promoted to vice president of sales in 2009.
Unless otherwise noted, executives are Excellus employees.
1
region’s commercial health insurance enrollees. It insures some 1.7 million people
in 31 upstate counties ranging from Erie and
Niagara to Monroe and surrounding counties and stretching to the Finger Lakes, Syracuse, Utica-Rome and Watertown areas.
body LLP. Daller Greenberg dates to 1994,
when its three partners left Philadelphiabased Rawle & Henderson LLP.
Both the Rochester and Philadelphia
firms’ lawyers have had longstanding relationships with counterparts in the opposite firm.
“When our clients had needs in Pennsylvania or New Jersey or Delaware, we
would refer them to Daller Greenberg or
work with their lawyers,” D’Antonio said.
“They would do the same with us when
their clients had needs in New York.”
The two firms’ lawyers had “worked
closely for many years and have a similar
approach in how we use litigation skills,”
Ward Norris partner Harold Kurland said.
The merger will provide new opportunities for both firms, he added.
Daller Greenberg partner Edward Greenberg concurred. In addition to making
more cross-state business possible for both
firms, the merger would add new litigation practices and depth to existing ones
for Daller Greenberg in areas including
education, employment and intellectual
property, he said.
The management structure of the conjoined firms is expected to remain largely
as informal as it has been for the last decade at Ward Norris, Kurland said.
Ward Norris has committees—a personnel committee to vet new hires, for
example, and a finance committee—and
one of its founders, Alfred Hallenbeck,
serves as managing partner. But all major
decisions are reached by consensus among
partners, a system that has been used since
the firm’s founding, Kurland said.
Daller Greenberg has maintained a similar
management structure and would have no
trouble adjusting to a somewhat larger partnership cohort, Edward Greenberg said.
Neither firm had been looking to expand,
D’Antonio said. The idea of melding the
Philadelphia and Rochester-based litigation practices arose some months ago in
conversations between him and Greenberg
A new Insurance Department reporting
rule requires the health insurance companies this year to break out executive compensation into base pay and other components, including bonus payments. The state
rule does not call for the level of detail
that Securities and Exchange Commission
rules impose on public companies, but it
does give some idea of what role bonuses
played in the non-profit insurance companies’ executive pay policies.
Oliker’s bonus and non-salary compensation last year came to $76,530, while his
$572,452 base pay accounted for most of
his $648,982 pay package.
By contrast, Henderson’s pay package
was pushed past Oliker’s by a $238,540
bonus and non-salary compensation payment that came to more than half of Henderson’s $418,630 base pay.
The company’s highest-ranking Rochester employee, Executive Vice President
Lisa Brubaker, collected $95,222 in nonsalary payments, with most of her 2009
compensation coming from her $370,536
base salary.
Except for incentives tied to membership growth and retention, MVP did not
pay out 2008 performance incentives in
2009, spokesman Michael Traphagan said.
The company considers the reasons for any
other 2008-09 compensation changes to be
confidential, he added.
Excellus’ filing shows that $966,074—nearly half of Klein’s roughly $2 million 2009
compensation—was bonus and other nonsalary compensation, with Klein collecting
slightly more than $1 million in base pay.
Excellus Chief Financial Offi cer Emil Duda’s bonus added $509,408 to his
$891,827 salary to complete his $1.4 million pay package.
Excellus Chief Operating Officer Christopher Booth’s 2009 compensation broke
down to $733,846 in base pay and $357,161
in other compensation.
In a statement, Excellus said its board
decides how much to pay executives based
on “a thorough analysis of comparable positions in the health insurance and health
care industries by independent outside
consultants selected by the board.”
and among other partners of both firms after one of Greenberg’s partners announced
plans to retire at the end of last year.
Partners of both firms predicted that the
merger would not bring further major expansion.
A desire to leave behind the more rigid management structures that larger and
more diverse firms need to maintain order
Partners say they want the newly
merged firm to remain relatively
small and managed by consensus.
was a large part of why the founding partners started their respective firms.
“I’m sure we all feel that’s something of
a negative,” Greenberg said of more rigid
management.
The fluidity of firm management that partners of both firms had become accustomed
to in their smaller and more concentrated
practices would not be easily given up, he
said. Ward Greenberg will remain as small
as it practically can, he predicted.
If opportunities arise for further organic
growth at any of Ward Greenberg’s locations, the firm would not shrink from them,
Kurland said. But it would not be on the
lookout for acquisitions or plan to be in
merger talks with firms in distant cities.
MARCH 12, 2010
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PAGE 15
PAGE 16
MARCH 12, 2010
New York politics: It’s Rod Serling meets Lewis Carroll
y Chicago-area brother and I engage in a friendly competition over
whose political culture is more entertaining. It is a contest I would like to
lose, although my hopes have been dashed
in recent months. Even with former Gov.
Rod Blagojevich competing in the new
season of “The Celebrity Apprentice” (begins Sunday!), New York is winning handily. The best capsule summary belongs
to Baruch College’s Doug Muzzio, who
dubbed New York politics “Rod Serling
meets Lewis Carroll.”
The hapless Eric Massa complained over
the weekend that he’d been assaulted (verbally, thank goodness) in a congressional locker
room by a naked Rahm Emanuel, President
Barack Obama’s chief of staff. Don’t we
get enough bad melodrama on the floor of
the House? And why did he feel compelled
to tell us about it? Apparently the pending
ethics probe is part of a big conspiracy to
prevent Massa from opposing the president’s
health care plan. Politico.com’s report of
“unwanted advances” toward a young male
staffer must be part of the plot.
Yes, conspiracy is back. With problems
M
POLICY WONK
Kent Gardner
confronting both Charlie Rangel and David Paterson, Harlem Assemblyman Keith
Wright said, “I don’t believe in conspiratorial theories, but it seems as though the
conspiratorial gods (came down today).”
I can see his point. The charges against
Rangel are certainly trumped up. Four rentcontrolled apartments? What’s the problem? Forgetting to report a few hundred
thousand in income from property in the
Dominican Republic is just so American.
And who could blame him for accepting
free trips to the Caribbean? Hustling earmarks for projects named after you is business as usual, particularly in New York
(home of the Joseph L. Bruno Stadium).
Charges that David Paterson solicited
MASSA
District seat if asked. Monroe County Executive Maggie Brooks, a Republican, said
she is considering a run.
Monroe County District Attorney Michael Green was approached by county
Democratic Chairman Joseph Morelle but
released a statement Monday saying he is
not interested.
Thomas Reed, a Republican and former
mayor of Corning, announced last summer that he would seek Massa’s seat. He
has already lined up the support of several
Republican county leaders in the district.
“There’s probably some advantage (for
the Rochester area) if the representative
comes from Monroe County, but I think
the advantage would be slight,” said Gerald
Gamm, chairman of the political science department at the University of Rochester.
“Representatives respond to their constituents. As long as they have constituents in Monroe County, they’re going to
be attentive to those people.”
Dena Levy, an associate professor of political science and international studies at
SUNY College at Brockport, agreed.
“I would imagine that anybody who is
representing the district is going to think
about Rochester and Monroe County, regardless of whether they’re from here or
not, just because it’s a major employer in
the district,” she said.
“I would also imagine, though, that
someone who’s based out of Rochester
or Monroe County would have a little bit
more empathy or sympathy or understanding of the needs of Rochester than someone who’s from the Southern Tier.”
Gov. David Paterson said Tuesday that
he would call a special election as soon
as possible to fill the seat, but he offered
no details.
The 29th District includes the Southern
Tier counties of Allegany, Cattaraugus,
Chemung, Schuyler and Steuben. It also
includes Yates County and parts of Monroe and Ontario counties.
Four congressional districts include
parts of Monroe County. The 29th includes
southern portions.
Louise Slaughter, D-Perinton, whose
28th District stretches from Fairport to
southern Erie County and includes a narrow stretch along the Lake Ontario shore,
is the only representative who lives in
File photo
Democrat Eric Massa had held offi ce only
a year when he quit, saying he was being
forced out by his own party over health care
reform.
Monroe or an adjacent county. In Monroe, Slaughter’s district includes all or
part of Brighton, East Rochester, Fairport,
Greece, Hamlin, Hilton, Irondequoit, Penfield, Perinton and Rochester.
Daniel Maffei, D-DeWitt, represents
the 25th District, which stretches from
the Syracuse area into northeastern Monroe County.
Christopher Lee, R-Clarence, represents
the 26th District, which stretches from
northeastern Erie County to the northwestern suburbs of Monroe.
“The concern after the last redistricting was that Rochester—which had always had a single, unified congressional
district—was now split between four congressional seats,” Gamm said.
“The concern was who would pay attention to Rochester if we don’t have our own
person there anymore? What turned out to
happen was you had four members of Congress who cared about Rochester, not just
one. In many ways, splitting metropolitan
Rochester between these four members of
Congress has helped the city.”
Monroe County outlook
The 29th District had 418,262 registered
voters as of Nov. 1, data from the state
Board of Elections shows, and 137,261
are in Monroe County.
Republicans are in the majority in the
World Series tickets from the Yankees
seem, well, minor-league in comparison.
Yet if the governor did attempt to dissuade
Sherr-una Booker from testifying in court
against his aide (and her ex) David Johnson,
he’s guilty of extraordinarily bad judgment.
Did he think no one was watching? That’s a
lesson he should have learned from former
Gov. Eliot Spitzer, aka Client No. 9.
“Chauffeurgate” drove Alan Hevesi from
his post as state comptroller in 2007. But
using a state driver for his ailing wife was
nothing compared to the level of corruption
that has been revealed since: Hevesi and
associates have been accused of steering
investments from the state pension fund
(then worth about $150 billion) in exchange for cash and favors. As the New
York Daily News opined in December,
Hevesi was “either a monumental fool or
a big-time crook.” The Securities and Exchange Commission and Attorney General
Andrew Cuomo are still investigating.
The FBI finally caught up with Joe Bruno after years of rumor. Convicted in December on corruption charges, he’s to be
sentenced at the end of this month.
Then there’s Hiram Monserrate. A state
senator from Queens, he was convicted of
assaulting his girlfriend and was expelled
from the Senate by his colleagues.
Aside from “winning” the mock contest
with my brother, my only consolation is
that democracy and a free press do work, if
slowly and belatedly. Joe Bruno might yet
go to prison, although he lived to a ripe old
age in power before investigations of his
past got serious. The facts finally caught
up with Charlie Rangel. Yet while he has
lost his Ways and Means Committee chairmanship, he’s still in office.
Yes, the state Senate had the guts to kick
out Monserrate. But don’t count him out
yet; he’s running in the special election
to fill his seat. If the voters in his district
want to re-elect a guy like that, they get
the chance on Tuesday. The people who
lived under the thumb of folks like Joseph
Stalin, Mobutu Sese Seko, Papa Doc Duvalier, Pol Pot, Saddam Hussein—where
to stop?—didn’t get that opportunity.
Kent Gardner is president and chief
economist of the Center for Governmental Research Inc.
district, with 175,465 registered, the data shows. There are 129,622 Democrats,
27,256 people enrolled in other parties and
85,919 not enrolled in any party.
“Obviously, the Southern Tier has concerns about agriculture issues, dairy farming, as well as jobs and businesses as you
have in Monroe County,” said William
Reilich, R-Greece, who represents the
134th District in the state Assembly and
is chairman of the Monroe County Republican Committee.
“But still and all, to have somebody
who’s from Monroe County to understand
the issues that are important to Monroe
County is certainly an asset.”
Brooks would be that advocate for county Republicans, as would Koon for county
Democrats, party leaders said.
“I want to make sure that we have someone who can represent the district, twothirds of which is not in Monroe County,”
said Joseph Morelle, D-Irondequoit, who
represents the state Assembly’s 132nd District and is chairman of the county Democratic Committee.
“As a Monroe County resident, I suppose selfishly I would hope that if it’s not
from Monroe County that it is certainly
someone who has sensitivity to Monroe
County’s needs.”
A number of Democrats from Monroe
County have expressed interest in replacing Massa, Morelle said.
“We’ve been trying to cast as broad a
net as we can, both with traditional people
like a Dave Koon, who’s been in elected
office, as well as people who are not traditional,” he said. “We’ve consulted with a
lot of business leaders. I reached out to the
district attorney to inquire about his interest. We’re trying to find the right person
who has something to contribute.”
Hornell Mayor Shawn Hogan, a Democrat who was asked by Massa to consider running, announced this week that he
would not.
“On the Democratic side, it’s all up in the
air right now,” Gamm said. “None of the
Democrats expected Massa to step down,
so none of them were preparing to run.”
Brooks is the Republican frontrunner in
Monroe County, although GOP leaders in
Southern Tier counties have thrown their
support to former Corning mayor Reed,
who also is backed by former Congressmen
Amory Houghton and William Paxon.
“Whether you’ll be located in Corning
or whether you’re located in Rochester or
places in between, the common issue is we
need jobs, and our people pay among the
highest taxes in the nation,” Reilich said.
“These are issues we’re aware of, and one
ties in with the other.
“It doesn’t really matter if you’re in Cattaraugus County or Monroe County; the issue
is still the same throughout the district.”
Special election
Representatives from both parties are
waiting to see if Paterson, a Democrat,
calls a special election as he said he would.
If he does, the election must occur 30 to
40 days after being called.
“I have not spoken to the governor about
it,” Morelle said. “I don’t know what the
likelihood is that there will be a special
election. My instinct would be to recommend a special election because I would
not want to see the residents in that district
go nine months without representation.”
A special election favors Reed, Gamm
said.
“If Gov. Paterson doesn’t call a special
election, that sets up an open race for a primary,” he said. “Under those circumstances,
Maggie Brooks would have a much better
chance to contest the nomination and possibly get the Republican nod for the seat.”
The 29th District campaign was considered competitive before Massa resigned.
It is more so now, Levy said.
“I think Maggie Brooks is right to recognize that it’s an opportunity,” she said.
“Whenever the seat opens up, it’s an opportunity for anybody to come in who’s
not an incumbent. This makes it a much
more competitive, a more viable seat.
“I don’t really have an opinion about
her, per se, just that she has the characteristics of a quality challenger because
she has previous political experience and
name recognition. But so do a couple of
other people whose names have been mentioned. Regardless of who it is, it’s going
to be a competitive election.”
Whoever is elected will be placed in a
difficult position, Levy said.
“It leaves a gap whenever you have an
absence like a resignation that sudden,”
she said. “It makes it hard for whoever is
coming in next. It means there’s not going
to be representation for the district for a
while, until that position is filled. I think
that’s unfortunate.”
MARCH 12, 2010
PAGE 17
Tomorrow’s CEOs
Made Today
First Annual Junior Achievement Titan of Business Challenge
3IMON'RADUATE3CHOOLOF"USINESSs!PRIL
Each year thousands of young people benefit from Junior Achievement’s financial literacy, workforce readiness and
entrepreneurship programs. Now JA presents students with the opportunity to test these skills in a live business simulation
where teams will compete for scholarships and prizes, with one team becoming the Titan of Business.
Support the JA Titan of Business Challenge and help create the Titans of Tomorrow who will continue to make our community
strong.
For sponsorship information call the JA office at (585) 327-7400 or visit our website at www.jarochny.org
Special thanks to the Rochester Business Hall of Fame Laureates, the Titans of Rochester’s business community, both past and present, and their companies who have
been supportive of this inaugural event which will prepare the next generation of Rochester’s Titans.
Rochester Business Hall of
Fame Laureate Sponsors
George Eastman, Eastman Kodak Company, Class of 2001
Ronald Fielding, Oppenheimer Funds, Class of 2005
James Hammer, Hammer Packaging, Class of 2008
David Kearns, Xerox Corporation, Class of 2007
Walter Parkes, O’Connell Electric Company, Class of 2006
Honorary Chair and Keynote Speaker
Dennis Kessler
Event Sponsors
Lunch Sponsor
E.G. Sackett Co., Inc.
Scholarship Sponsors
Bryant & Stratton
Monroe Community College
Roberts Wesleyan College Simon Graduate School of Business at
the University of Rochester
St. John Fisher College
Prize Sponsors
Bryant & Stratton
Unity Health
M&T Bank
Alesco Advisors LLC
Lily Pond Ventures, LLC
Metric Edge
Richard Warshof
Titan of Business
Challenge
Tomorrow’s CEOs Made Today!
Team Sponsors
CB Richard Ellis
E-chx Inc.
Deloitte
Base is Loaded
Security Mortgage Inc.
Howe & Rusling Inc.
Woods Oviatt Gilman LLP
Frontier Communication
PAGE 18
COOKIE DOUGH
File photo by Kimberly McKinzie
Donna Reeves-Collins launched the cookie dough snacks as an extension of Cole & Parks
Bakery Cafe & Coffee Co., which she started in 2003.
concerns about the raw eggs in the dough,
so she set out to create a recipe that eliminated them.
Reeves-Collins set up shop at the Cornell Agriculture and Food Technology
Park Inc., also called the Technology
Farm, in Geneva.
The snack garnered local buzz, especially since it was made without eggs. Food
safety related to raw cookie dough had
been an issue in the industry, she said.
Last year, for example, Nestle USA issued
a raw cookie dough recall due to possible
salmonella contamination.
Shortly after being introduced into the
marketplace, the treats required more manufacturing space and a bigger distribution
push, so Reeves-Collins looked to partner
with a large corporation.
Financial
2010
Presented by
Deadline extended to March 19
This spring the Rochester Chapter of Financial Executives International and
the Rochester Business Journal will present the third annual Financial
Executive of the Year Award. Any financial executive who has
made an outstanding contribution to his or her organization and to the
Greater Rochester community is eligible to be nominated. Finalists will be
featured in the May 7 edition of the Rochester Business Journal.
Winners will be announced at a luncheon on May 20, 2010.
Nomination forms available at go.rbj.net/events.
Nominees should have excelled in both business and civic leadership.
Nominations are due to the Rochester Business Journal by the
close of business on Friday, March 19, 2010, and must be submitted
using the form at go.rbj.net/events.
Please e-mail the completed nomination form and supporting materials to [email protected]
or deliver your application to Kerry McGlone, Events Coordinator,
Rochester Business Journal, 45 East Ave., Suite 500, Rochester, N.Y. 14604.
—Platinum Sponsors–
—Gold Sponsors–
—Silver Sponsors–
Empire Valuation Consultants LLC • Mengel Metzger Barr & Co. LLP
Robert Half
MARCH 12, 2010
She met with Rich Products executives
on a suggestion from Dennis Mullen, the
Rochester-based chairman and CEO-designate of the Empire State Development
Corp. and former head of Birds Eye Foods
Inc.
Rich Products and Cole & Parks started
the joint venture in early 2008 for the cookie
dough snacks, with Rich Products being the
majority owner. The Buffalo firm took over
manufacturing and distribution operations.
Reeves-Collins joined Rich Products,
working for its Consumer Brands division. A year later, she signed a licensing
agreement with Mrs. Fields.
Rich Products has no ownership stake
in Cole & Parks.
Reeves-Collins said the joint venture
with Rich Products never would have occurred without her start at the Technology Farm, which allowed her to hone the
product, test recipes and procedures, and
establish a reputation in the industry.
Susan Noble, the Technology Farm’s executive director, said Reeves-Collins is the only
tenant to graduate out of the facility so far.
The Technology Farm’s incubator building
was created to help startups in fields of agriculture, food science and bio-based industries
grow and expand into bigger facilities.
Reeves-Collins also was an exemplary
model of having business leaders use the
park as a resource, Noble said. She partnered
with scientists at the Food Venture Center
next door at Cornell University’s New York
State Agricultural Experiment Station, which
helped bring the product to market.
With Rich Products’ backing, the cookie
dough snacks have a wide distribution reach.
Reeves-Collins now is working on getting
the product into movie theaters and convenience stores where she can hit her target audience of children and teens, who can sample
the snacks there and ask their parents to buy
them at grocers and big box locations.
The refrigerated nuggets of cookie dough
are available in all 75 Wegmans Food Markets Inc. locations and Tom Wahl’s Restaurants, as well as at Cole & Parks.
The bite-sized treats are available in
chocolate chip and brownie chocolate chip
varieties, each with a chocolate drizzle
topping. They average 110 calories per
seven pieces. The product comes in a variety of sizes from 2.25-ounce snack packs
to food service size.
Reeves-Collins declined to disclose revenues for the cookie dough snacks, but likened
the sales growth to a hockey stick curve.
Many convenience stores are picking
up the product after seeing it at the National Association of Convenience Stores
show in Las Vegas in November and on
the cover of Prepared Foods magazine in
October, Reeves-Collins said.
William Grieshober Jr., vice president
and deputy general counsel at Rich Products, said Reeves-Collins’ frozen treats
were a good fit with Rich’s New Ventures
division, which features products beyond
the scope of its normal offerings.
Grieshober loved the product and said
it was the first time such a concept—eggfree cookie dough snacks—was marketed
for retail sales.
“It was a different spin on a product that
people were craving,” he said.
Grieshober said that because Rich Products is a dessert company, indulgence is a
key part of its business plan.
“This is an indulgent product,” he said about
the Mrs. Fields Cookie Dough Snacks.
What also drew Rich to the product was
Reeves-Collins, a former telecommunications executive. Grieshober said she was not
a typical entrepreneur, largely because of her
experience as a senior business executive.
“She understands how business works,”
Grieshober said.
MARCH 12, 2010
PAGE 19
In a time of such uncertainty, learn to follow your heart
any people, maybe even you, are
wandering and wondering what will
happen next. People ask me: What
should I do now? What are the risks? What
are the rewards?
Many of you have no idea what to do
because times are uncertain (and that’s
an understatement). Times actually are
tougher and more challenging than they
have ever been in our history.
Think back to other life-changing decisions that you made or that were made for
you—the decision to leave home, to pursue higher education (and what kind, and
where), to get married, to have a child, to
buy a home, to choose a career, to accept
a job offer, or maybe even to start your
own business. All of these decisions had
an emotional basis, a logical justification
and some reward or consequence.
In the middle of all these decisions is
life—your life. And every time you take an
action, you’re helping yourself see more
light.
You’re asking yourself: Am I doing the
right thing? Am I doing the best thing for
others? Am I doing the best thing for myself? Do I love what I am doing? Would I
rather be doing something else? Should I
be doing something else? What else could
I be doing?
Here is a personal story of mine worth
sharing. In 1981 I was sitting at a table,
talking with people from a business I was
consulting for in Richmond, Va. I had just
divorced, separating from my wife of 10
years and my children of 8, 8 and 3.
As I sat at that table, I suddenly realized that I needed to be someplace else. I
needed to be with my family. It had taken
me more than a year to come to that re-
M
SALES MOVES
Jeffrey Gitomer
alization.
During that entire year, I had struggled
without really understanding why. But sitting at that table and thinking to myself,
“Should I be talking to these people, or
should I be playing with my kids?” was a
wakeup call I could not deny, a clear and
defining moment.
Within one week, we had reunited.
I guarantee you that the story I just told
has reminded you of a similar situation.
That’s the reason I chose to tell it.
Think about your moments of decision,
your moments of clarity, and you will see
that what happened in response to that
decision, what happened in response to
that clarity, has led you to greater heights,
greater happiness, greater success and
maybe (but not so importantly) greater
wealth.
Obviously not all decisions create this
much impact. But at this moment in time,
you and I are faced with economic uncertainty. I’m challenging you to recognize
that now is the time to take a close look
at who you are, where you are and what
you could be doing or should be doing
that would give you more of what you are
hoping for.
The reason I’m giving you this challenge
at this moment in time is that all rules of
the game as we have known them have
changed or disappeared. When that happens, it creates the best opportunity for
each one of us to change and win.
The secret is to make change or decide
to change based on what you feel in your
heart is best for you, and all the rest will
fall into place.
Another secret: This decision must be
made when it becomes apparent that it’s
time to make it, without delay or procrastination. And the basis for making the decision must be your happiness and your
peace of mind, not someone else’s.
When you decide on what’s best for
yourself first, all the people in your life
will be better as a result (even if they initially oppose your decision). Be happy in
your world, so that you can be happy in
their world and in the world.
Jeffrey Gitomer, president of BuyGitomer Inc. in Charlotte, N.C., gives seminars, runs annual sales meetings and conducts training programs on selling and
customer service.
Construction projects wanted
In the April 16 Special Report on Real
Estate & Construction, the Rochester Business Journal is planning again to feature
local “works in progress”—construction
projects that have broken ground in the sixcounty region but are not yet completed.
If you would like your projects to be
included, please send a contact name,
your company name, street and e-mail
addresses, and telephone and fax numbers by April 9 to the Rochester Business Journal, 45 East Ave., Suite 500,
Rochester, N.Y. 14604, along with the
information described below.
Entries also may be faxed to (585) 546-
3398, or e-mailed to [email protected].
A photo or artist’s rendering must be
mailed or e-mailed with each project. The
following information is also required,
if applicable: owner; location; total
project cost; a description of the project,
including number of buildings, number of
lots, square footage; start date; expected
completion date; general contractor or
construction manager; architect or designer; contractors and subcontractors.
The Editorial Department will publish
this informaion as space is available.
If you have any questions, contact Velvet Spicer at (585) 546-8303.
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NON-PROFITS
PAGE 20
MARCH 12, 2010
Need for homeless services keeps growing
Agencies searching for
new revenue sources
to meet the demand
By NATE DOUGHERTY
arrie Michel-Wynne knows there are
more homeless people in the Rochester area now than at any other time
in recent memory, and the number is still
growing. She can see it in the infl ux of
calls from people who need to stay at the
YWCA of Rochester & Monroe County,
where she is housing director.
She also sees that more and more people
who once were in the middle class, with
housing and steady jobs, have been unable
to fi nd work for so long that they have
spent their savings and been evicted from
their apartments or lost their homes to
foreclosure.
And if the filled-to-capacity shelter was
not evidence enough, Michel-Wynne could
see to the root of the problem when she
posted a job opening for a position at the
YWCA. It was a case management position, something that normally brings between 10 and 20 applications. She got hundreds of resumes.
“We ended up hiring someone with a
master’s degree for a position that in the
case management field is considered moderately experienced,” Michel-Wynne says.
“Those without a degree or with an associate’s degree won’t fi nd a job because
they’re competing against people with
great resumes and profiles.”
C
Carrie Michel-Wynne, housing director for the YWCA of Rochester & Monroe County, says layoffs and long-term unemployment have made formerly working-class families homeless.
As the number of local homeless individuals and families has increased, the
non-profit organizations that provide shelter and other temporary assistance are
looking for ways to increase revenue to
accommodate them all. Providers also have
taken a collective approach, working together so organizations with strengths in
certain areas can help other groups that
may not offer those services.
The recent increase comes in the midst
of a larger trend of homelessness, a cycle
within a cycle that local providers say is
stretching their services and budgets. An
annual report on homelessness compiled by
Monroe County shows that 9,139 people
were placed in emergency shelters in 2008,
the most recent year for which data is available. That is double the figure from 10 years
before; 4,541 people were placed in 1998.
Because of the lag in data, the worst effects of the recession will not be evident
for another year or two. Michel-Wynne
says the increase is clear in the volume of
calls for service.
“We’re working twice as hard to field
calls, and certainly a lot of people are seeking housing now, but it is too early to see
what the full impact on the community
will be,” she says.
At the Catholic Family Center, the number of individuals served by the men’s shelter rose from 778 in 2008 to 783 through
the first eight months of 2009 alone. Lisa
Lewis, director of the homeless and housing department for CFC, says the need has
continued to rise through late 2009 and
early 2010.
The demographics of the homeless have
changed as well, Michel-Wynne says.
Many of the calls are coming from lowermiddle-class families or the working poor,
those who in other times would not be
homeless but have been hurt by long-term
unemployment.
“A lot of times these middle-class families have the resources to patchwork a
solution for a short period of time, so if
they lose a job they can survive a couple
of months,” she says. “But the jobs they
lost haven’t recovered, and we’re starting
to see more and more of an impact from
the recession as time goes on.”
The Rochester Area Interfaith HospitalContinued on next page
For long-term success, organizations must plan and communicate well
“The apple doesn’t fall far from the tree.
—Ralph Waldo Emerson
om and Dad are both gone now,
moved on to what we all hope is
eternal life and happiness. Even
though they have left this earth, I still think
about them every day.
This past Valentine’s Day, I wondered if
I had ever sent them a valentine card. I
don’t recall that I did. So my first recommendation is that if you are still able, send
your parents a valentine each year.
I have written about my parents many
times over the years. Mom was steady and
consistent. Anger and hate never entered
her vocabulary.
Dad was persistent with a tremendous
work ethic. The only one in his family to
attend college, he went to the University
of Rochester at night from 1947 to 1959.
He graduated first in his class, at age 47,
and had five kids along the way.
Memories such as these have provided
the topic for this column. You see, Dad
always emphasized the importance of communication, and Mom was the planner.
Our continuing economic malaise
threatens the viability of many non-profit
organizations. Federal, state and local
budget deficits have created uncertainty
about future funding levels, particularly
after the federal stimulus spending comes
to an end. So communication and planning
are key elements for long-term organizational success.
With your future success in mind, I will
provide answers to the most frequently asked
questions that every non-profit must address
in these uncertain and unstable times.
In your experience, what attributes are
M
NON-PROFIT
MANAGEMENT
Gerald Archibald
most critical to the success of a non-profit organization?
Three attributes rise above all others:
■ A competent and progressive management team with effective succession planning
and emphasis on leadership development.
■ A committed and dedicated board
with a nucleus of leaders who understand
risk, leadership and the importance of
good governance.
■ The drive and ability to generate significant private-sector fundraising income.
Declining revenue from government
sources will inevitably separate the successful non-profits from those that fail in one
or more of the respects described above.
What is the most common financial issue
facing non-profit organizations?
For too many years, non-profi ts have
routinely subsidized the deficit-producing
programs of their organizations. Every organization must have board and management agreement regarding the level of subsidy that is affordable and appropriate for
defi cit-producing programs. Those programs that cannot be supported should be
modified, eliminated or transferred to another service provider.
What is the most significant challenge
facing today’s non-profit organizations?
Developing, implementing and maintain-
ing technology solutions that create cost
efficiencies and “best in class” services.
What is your opinion on the need for consolidation of non-profit service providers?
Just look at virtually every industry sector in the country over the past 30 years—
banking, airlines, automobiles, etc. Nonprofit human service, educational and governmental entities have yet to experience
the extraordinary pressures driving mergers and consolidations of duplicative service providers.
What types of non-profit organizations are
most likely to be successful in the future?
In my experience, there are four organizational types among non-profit organizations. Thoroughbred racehorses train hard,
leave nothing to chance and take calculated risks. Turtles are slow and reactive;
when the going gets tough, they can’t get
going. Coyotes typically are small with
few capabilities, inclined to run from problems. Ostriches are disorganized and in
denial about the need for change. Obviously, the most successful organizations
strive to be thoroughbreds.
What areas offer the best opportunity
for improving revenue in the typical nonprofit?
Thoroughly review procedures and controls in the following areas to prevent revenue leakage: billing and collection procedures; customer or patient eligibility for
insurance benefits, government support
programs, etc.; adequacy of service documentation; accuracy of coding for services
provided; customer credit approval process;
and maintaining adequate internal controls,
particularly when cash is involved.
What can be done to reduce payroll
costs, which represent more than two-
thirds of operating expenses for most nonprofit organizations?
Consider the following:
■ Reducing or eliminating the annual
salary increase and replacing it with a
lump-sum enhancement or retention incentive, typically payable in the fourth quarter
of each year.
■ Flexible work schedules. For example,
how many employees would opt for a fourday work week with an appropriate compensation reduction?
■ If programs could operate and produce revenue on what are now holidays,
such as President’s Day or Columbus Day,
adopt a policy that replaces those holidays
with some floating days off.
What about employee benefit reductions?
Employee benefits will continue to be a
significant challenge, since cost increases
frequently exceed inflation on a percentage basis. Consider these options:
■ Workers’ compensation. Implement
safety programs to avoid the incident giving rise to a claim.
■ Health insurance. Change benefits,
use wellness programs, implement cost
sharing for premium increases, etc.
■ Maximize benefits derived from retirement plan contributions.
■ Paid time-off programs.
■ Reduction of overtime costs.
What are the areas of primary focus for
controlling costs commonly referred to as
OTPS, other than personal services?
Look closely at a telecommunications audit, a technology audit, joining a group purchasing cooperative, using state contract pricing wherever possible and maximizing the
Continued on next page
MARCH 12, 2010
HOMELESSNESS
ity Network, which operates a shelter for
up to five families or 14 people, also has
seen the weak economy push more families
toward the brink of homelessness. The organization is able to accept families and
even single fathers with children—making
it more inclusive than many women-only
shelters—so the need has been greater as
it serves as a last resort for many families
with no other options, officials say.
RAIHN also has seen its resources
stretched as the result of gradually increasing demand for services. A greater number
of families are facing eviction as they go
months without jobs, officials there say,
creating conditions only expected to continue as unemployment remains high.
The loss of well-paid manufacturing
jobs also played into the 10-year upswing
in unemployment, Michel-Wynne says.
Many families settled in Rochester over
the past few decades to take jobs with the
area’s large employers, and as they lost
those jobs through layoffs, many could not
recover. The layoffs had other effects as
well, she says, with some of the unemployed leaving the city, causing the housing stock to deteriorate and also contributing to urban sprawl.
Budget cuts
The strain facing homeless shelters
could be compounded by proposed state
budget cuts that would take money away
from programs intended to aid people on
the verge of homelessness.
With less stability in state funding, many
organizations are looking for other sources of revenue to meet the increasing need
for service. The Catholic Family Center,
which relies on church donations but has
seen that funding drop from previous levels, has increased its applications for
ARCHIBALD
benefits from employee training activities.
What are the primary opportunities in
capital purchases and related planning?
Access to capital fi nancing in today’s
banking environment is a significant challenge for many non-profi ts. Every nonprofit should have a three- to five-year
capital replacement, renovation and repair
plan. The capital plan should focus not
only on the costs but also on the source of
f inancing or funds to purchase capital
items. Pay particular attention to technology needs to ensure the effective use of
grants. The Rochester Area Interfaith Hospitality Network is seeking to expand the
number of congregations from which it
receives financial support.
Lewis says funding priorities at the state
and federal levels have shifted toward affordable housing, so providers of emergency shelters are left with a gap.
“It’s getting tougher and tougher to find
monies for operational costs,” she says.
The situation could become more dire
if cuts proposed in Gov. David Paterson’s
budget go through, Michel-Wynne notes.
The budget includes cuts for programs intended to prevent homelessness, and those
cuts would actually increase costs for the
system as a whole, she says, because it is
more expensive to provide services for
people once they become homeless.
There also is the challenge of fulfilling
the organization’s mission of serving the
homeless, Michel-Wynne says. Even with
a greater strain on its services and the
prospect of revenue cuts, the YWCA is
going ahead with plans to add beds.
To remain responsive, the many local
agencies offering services for the homeless often act in concert. The Homeless
Services Network of Rochester, a group
of more than 50 individuals and organizations, meets regularly to discuss issues and
works to address unmet needs.
In the current economic climate, this
cooperation has risen to a level not seen
before, Lewis says.
“If I’m working with Baden Street Settlement, we both do emergency services but
they don’t have a shelter, and they might
call to ask for a place to stay for someone
they’re working with,” Lewis says. “That’s
the kind of relationship we all have.”
“We collaborate more and more with
each other to get things done,” she adds.
“Some of us provide similar services and
some different, but we always try to find
what we can utilize to help each other.”
equipment.
The planning process for non-profits can
and will represent a differentiating factor
in the future success for your organization.
Timely communication among board, management and staff will help you achieve
long-term success.
Gerald J. Archibald, a CPA, is a partner
in charge of management advisory services at the Bonadio Group and is known
for expertise in non-profit and tax-exempt
accounting, management and governance
issues. He can be reached at (585) 3811000 or [email protected]. Download podcasts of his articles at http://viewpoints.bonadio.com.
PAGE 21
Riedman Foundation
Opening Day
Trout Derby
Powder Horn Lodge, Powder Mills Park
Thursday, April 1, 2010
7 a.m. to noon
Proceeds to benefit
T he Fish Hatchery
at Powder Mills Park
Prizes will be awarded
in several age categories, including
youth, and features the
Bank of America Angler Award
for the biggest brown trout.
Registration is required.
There is a $5 fee per angler over eight years
of age. Download an entry form at
www.fishpowdermill.org
or visit the Hatchery office at 115 Park Road, Pittsford.
Special thanks to:
Metro area keeps losing jobs
By VELVET SPICER
The Rochester-area economy continued
its descent in January with an increase in
the unemployment rate and a drop in private-sector and non-farm jobs.
The unemployment rate increased to 8.7
percent in January from 8 percent in December and 7.8 percent in January 2009. Since
January 2009, the area has lost 9,100 nonfarm jobs, or 1.8 percent, and the private
sector has lost 10,600 jobs, or 2.5 percent.
Revised data from the state Department
of Labor also shows that from 2008 to 2009
the region lost 2.5 percent of its non-farm
jobs, compared with 0.3 percent from 2007
to 2008. The private-sector job loss from
2008 to 2009 was 3.2 percent, compared
with 0.1 percent from 2007 to 2008.
The number of unemployed people in
the Rochester area in January was 46,400,
up from 42,200 in December and 41,600
a year ago.
Unemployment rates in January for
counties in the Rochester metro area:
■ Monroe County—8.3 percent, up
from 7.7 percent in December and 7.3 percent a year ago;
■ Genesee County—9.1 percent, up
from 8.l percent in December and 8.8 percent in January 2009;
■ Livingston County—10.1 percent, up
from 8.9 percent in December and 9.1 percent a year ago;
■ Ontario County—9.2 percent, up from
8 percent in December and 7.9 percent in
January 2009;
■ Orleans County—11.1 percent, up
from 9.4 percent in December and 10.1
percent a year earlier; and
■ Wayne County—10 percent, up from
8.5 percent in December and 9 percent in
January 2009.
S & R Bait and Tackle Co., B-E Fishing Tackle,
Avon Anglers Unlimited Inc., Walmart
For more information, call the hatchery at 585-586-1670.
SMALLBUSINESS
PAGE 22
MARCH 12, 2010
Structure is both the method and the product
Company can be either
manager or contractor
for construction work
By MARY STONE
eter Buckley’s job as a construction
manager at the Buckley Group Inc. is
at once straightforward and complex.
For the workers he oversees, Buckley
analyzes and prioritizes myriad factors, orchestrating the specialized work of architects, engineers, contractors and tradespeople. In reporting to owners, Buckley provides a reality check, separating the possible from the PROFILE
impossible and saving
Buckley
money wherever he can.
Not every client appre- Group Inc.
ciates the reality check,
Buckley says. Being candid creates the
risk of squashing someone’s dream. But
being realistic is part of his job and his
character, he says.
“People pay me to recognize the challenges, figure out solutions to those challenges
and ensure they have a successful project:
I’m not going to sugarcoat things, and I
won’t sweep stuff under the rug,” Buckley
says. “If there’s a design issue or a construction issue, I’m going to bring it to you.
“I’m not going to wait and hope it goes
away, or let it become bigger. I’m going
to point it out as soon as I know about it,”
he says.
As a former project architect for the city
of Rochester and project manager at the
P
Peter Buckley says Rochester-area construction is a family tradition: He’s a fourth-generation contractor and got into architecture
because an uncle piqued his interest.
Pike Co. Inc., one of the area’s largest
commercial builders, the 44-year-old
Buckley has an unusual mix of design and
construction competencies.
From age 11, he knew he wanted to be
an architect.
“I had an uncle who was an architect.
Being a young person, and seeing his models that he did when he was in college, it
captured me at a very early age,” Buckley
says.
Lineage and education were the drivers
behind Buckley’s own career in the field,
which built on a wide range of experiences and a knack for problem solving.
“I went to McQuaid, and I think the Jesuits have a certain way of educating you;
part of it is the Socratic method of questioning—questioning not necessarily authority, but asking why,” Buckley says.
“Question and analysis, those are the two
big tools that the Jesuits gave me.”
Buckley attended architecture school at
New York Institute of Technology. Soon
after graduating in 1995, he went to work
for the city. He spent six years there before
he went to work at Pike. The pervasive
sense of autonomy at Pike, combined with
the management experience he got overseeing a project team of 15, provided the foundation for Buckley to start his own firm.
In 2007, he left Pike to concentrate full
time on his business, which started with
education projects, one of his areas of focus at Pike.
Since its inception, the Buckley Group
has managed projects for clients such as
Monroe Community College and the Fairport Central School District, and it has doubled gross revenue year over year. In 2010,
the firm expects to log roughly $2 million.
The group, with headquarters in Fairport
and a staff of eight, is meant to be small and
nimble, never allowing process to become
more important than results, Buckley says.
Work is not focused exclusively on construction management; 40 percent is general contracting. That mix of services provides the company with its own reality
check. As a contractor, Buckley says, the
firm can maintain its perspective on the
ground when dealing with other contractors and tradespeople.
Construction always has had more allure
than architecture for Buckley anyway, he
says. One reason for that is probably that
he is a fourth-generation contractor: His
father was a site contractor; his paternal
grandfather was a city engineer.
“My grandfather’s biggest project that he
would talk about was the Veterans’ (Memorial) Bridge over the Genesee River gorge,”
Buckley says. “My great-grandfather had a
company. Around the turn of the century in
Rochester, they did probably 20 to 25 percent of the sewers in the downtown area.”
Construction provides a distinct sense
of accomplishment, since the product is a
legacy in itself.
Buckley was reminded of that recently
during a trip to pick up his son from the
Pittsford Library, which he helped build
while at Pike. It had been five years since
his last visit there, and he could not help
but be impressed to see the final product
being used by the public.
It was good, he says, to take a step back
and observe the long-term result of careful
planning.
“Everything we planned, all of the considerations we took during the planning
process, to see them all in use, it kind of
blew me away,” Buckley says.
Small Business is a weekly feature focusing on entrepreneurs. Send suggestions for
future Small Business stories to Associate
Editor Smriti Jacob at [email protected].
With cameo appearances by Rochester celebrities
Tues., March 16 and Thurs., March 18
5:30 pm Networking, 6:30 pm Performance
Nextstage at Geva Theatre Center, 75 Woodbury Blvd
$7 per ticket. Call the Geva box office at (585) 232-Geva
The weekly Rochester Business Journal is available as a readable
PDF file, providing you with timely, in-depth local business
coverage even when you are out of town. An e-mail alert tells
you when the most recent issue is available for download.
Start a PDF subscription for only
$79.00 per year, or add this option to
your print subscription for just $26.00.
Contact the circulation department
at (585) 546-8303
or at [email protected].
www.rochesterbusinessethics.com
time out
03.12.10
PAGE 23
Take a chance
Craft art, past …
ABBA, the 1970s Swedish
pop sensation, below, will
be inducted into the Rock
and Roll Hall of Fame later
this month. Just a few days
later, look for its re-creation
in a tribute show with the
Rochester Philharmonic
Orchestra.
The arts and crafts
movement—led by names
like Stickley, Steuben and
Hubbard—has solid roots in
this part of the country. A
new coffee-table book
published by the Memorial
Art Gallery is the first to
explore the international
movement as represented
in this region.
ABBA: The Music
features two original ABBA
band members: Ulf
Andersson on saxophone
and flute and Roger Palm
on drums. Singers Camilla
Dahlin Hedren and Ann
Gyllner will be joined by
vocalists portraying Bjorn
and Benny, along with a
backup band and the RPO.
Michael Butterman will
conduct.
ABBA: The Music is
known for its uncanny
resemblance to the original
band in both looks and
sound. The musicians have
been perfecting their ABBA
act for years. No less than
the official International
ABBA Fan Club calls this
concert “absolutely the best
ABBA since ABBA.”
The RPO shows will be at
8 p.m. March 19 and 20 in
Kodak Hall at the Eastman
Theatre.
Hockey playoffs
Division I men’s hockey
comes to Blue Cross Arena
March 19 and 20 with the
Atlantic Hockey Association
Tournament.
Two semifinal matches
will be held Friday, the first
at 4:05 p.m. and the second
at 7:35 p.m. On Saturday, a
Section V high school allstar game will be played at
2 p.m., followed by the
tournament championship
at 7:05 p.m.
The champion receives
an automatic bid to the
NCAA tournament.
Get tickets at the Blue
Cross Arena box office or
through ticketmaster.com.
GOOD IDEAS
The Rochester Home & Garden Show
will have plenty to inspire homeowners
and apartment dwellers, since 120
exhibitors are slated. But organizers are
hoping visitors will take in a seminar or
two as well. Learn common decorating
mistakes. Get tips on how to design with
tile, and consider ecologically sensitive
options. Learn ways to save energy, make
compost, envision a kitchen remodel and
use lighting as a design element. The
show is March 27 and 28 at the Rochester
Riverside Convention Center. See
rochesterhomebuilders.com for details.
PATCHETT COMING HERE
EASTMAN TAKES N.Y. STAGE
Ann Patchett’s “Bel Canto” is the book of choice for the
2010 “If All of Rochester Read the Same Book” series,, and
e
the author will visit the
area for events March
24 to 27.
Patchett will have a
whirlwind of readings,,
book signings and
interviews around town
wn
while she’s here,
including a mixer from
m
5:30 to 7:30 p.m. March
h
26 at the University of
Rochester. The next
morning, she’ll
conduct a master class
s
for writers of all ages
and experience levels
at Writers & Books,
the host of “If All of
Rochester. ...”
“Bel Canto” won
both the PEN/
Faulkner Award and the
he Orange
Prize in 2002 and was a finalist for the National Book Critics
Circle Award.
Mercury Opera Rochester will stage a performance of
arias mentioned in the novel at the Rochester Academy of
Medicine on March 21. The 2 p.m. concert will feature
sopranos Danielle Frink and Holly Corcoran, with Richard
Masters accompanying on piano.
Opera screenings, book discussion groups and panel
discussions around the themes in the book are already
under way. Some of the author events require registration.
Download a complete schedule at wab.org.
For the first time since the early 1980s, an Eastman School
of Music faculty ensemble will perform in New York City.
Eastman faculty are no strangers to world concert halls as
soloists
and chamber musicians. But a performance by
s
Eastman
E
Virtuosi will mark the school’s official re-entry into
one
o of the world’s leading cultural centers. The group will
perform
March 27 in Merkin Concert Hall at Kaufman Center.
p
Local audiences will catch a glimpse of the concert in a
performance at 8 p.m. March 20 in Kilbourn Hall. The group
p
will play a portion of its New York program, including
w
w
works by Telemann, Dvorak, Currier and Eastman
ccomposer David Liptak.
The ensemble, founded in 1994, performs two or three
ffree local concerts a year. The group is similar to Lincoln
Center Chamber Players, whose members change
C
d
depending on the repertoire and concert, says artistic codirector and flutist Bonita Boyd.
d
Bassoonist John Hunt and guitarist Nicholas Goluses are
artistic co-directors with Boyd. Also slated to play in New
a
York are Ulrika Davidsson, harpsichord; Kathryn Denny,
Y
oboe; Steven Doane, cello; Kenneth Grant, clarinet; Richard
o
Killmer, oboe; Mikhail Kopelman, violin; Peter Kurau, horn;
K
Barry Snyder, piano; James Thompson, trumpet; and
B
Phillip Ying, viola.
P
Edited by journalist
B b
Barbara
L
Lovenheim,
h i
“Breaking Ground: A
Century of Craft Art in
Western New York”
examines arts and crafts
pioneers as well as 29
current artists. It contains
interviews with
contemporary masters
Wendell Castle, who works
in wood; Albert Paley,
metal; Michael Taylor, glass;
and Wayne Higby, clay, and
it devotes 50 of its 156
pages to photos of art by 25
other contemporary artists
who live in the region.
The gallery will present a
panel discussion about the
past and future of Western
New York craft art in the
auditorium at 2:30 p.m.
March 21. Castle and Higby
will be on hand, along with
Paul Smith, director
emeritus of the American
Craft Museum, and artists
Linda Sikora, Leonard Urso
and Robin Cass. Suzanne
Ramljak, editor of
Metalsmith magazine, will
moderate.
… and present
Speaking of artists, the
talented individuals who
work in studios in the
building next to Village
Gate will throw open their
doors March 13.
More than 20 working
studios of Anderson Alley
Artists will be open for 2nd
Saturdays from noon to 4
p.m. Jewelry, paintings,
stationery, sculpture,
textiles and art photography
will be on view and for sale.
Visit andersonalleyartists.
com for details.
Kurt Brownell
EBFPQPFPEBOB
&MFDUSPOJDBOEQSJOUWFSTJPOTBWBJMBCMF
>II¦UQLLOABO
PAGE 24
MARCH 12, 2010
The NCAA is mad enough to grab for even more money
t’s that time of year again, and as usual,
I’m a nervous wreck. My pulse rate
has almost doubled. I’m wringing my
hands a lot. Having trouble sleeping,
even breathing. I’m having anxiety attacks. Can’t concentrate for more than
six, seven minutes at a time.
No, no, it’s not because winter is winding down and I can’t wait to break out the
golf clubs. It’s not because the Masters is
less than a month away and we still don’t
know if Tiger Woods will come out of
hiding and tee it up at Augusta. And it’s
not because this is tax season. Heck, it’s
always tax season in New York.
My problem is March Madness. The NCAA
basketball tournament starts next week, and
I’m already getting stomach cramps. I can’t
figure out if I should call in sick every Thurs-
I
ON SPORTS
Rick Woodson
day and Friday for the next four weeks or just
take vacation days. Whatever works, because
I couldn’t live with myself if I missed even
one minute of one game.
At least there will be timeouts and commercial breaks, so I can throw together
a sandwich or run to the restroom when
necessary. Or maybe I’ll camp out at a
local sports bar where there are umpteen
HD television sets and I can chow down
on burgers and chicken wings.
OK, that’s enough. Are you buying all
that? If so, you would definitely be interested
in a gold mine I have for sale out west.
Look, the NCAA basketball tournament
is a pretty cool event. But if my alma mater,
Northwestern State of Louisiana, isn’t in the
field or I don’t have an interest in some other
particular team, I can take it or leave it.
Sure, I was wired a couple of years ago
when Jermaine Wallace made a 3-pointer as
time ran out and the NSU Demons upset Big
Ten champion Iowa 64-63 in the first round.
I watched the entire game and cheered when
Wallace hit nothing but net.
Otherwise, I am not addicted to the tournament. I’m somewhat interested, yes, but
that’s about it. I don’t fill out the brackets
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Admissions at (585) 385-8161 or email [email protected].
and agonize over my picks.
Sure, it would be great to see Syracuse
win the national championship, and maybe
that 78-68 loss to Louisville last Saturday
will get the Orange off cruise control and
cranked up to make a run at the title.
Otherwise, my favorite teams in the
tournament are the doubled-figure-seeded
teams—10th to 16th. I pull for the underdogs, the nobodies of college basketball, to
beat the big-time bullies of the game. And
if it’s convenient to watch one of those,
I will. But whether I do or don’t, if “my”
team loses, my response is “Oh well,” not
deep depression.
I would love to see, say, Morehead State
and Chattanooga in the finals. Of course,
that won’t happen unless one day the sun
rises in the west and sets in the east.
Meanwhile, on a related subject, the National Collegiate Asinine Association is
well on its way to making March Madness
even madder by expanding the tournament
field to 96 teams. That supposedly would
add 31 games to the tournament and bring
in more cash from television, etc.
It has been reported that the NCAA is
negotiating contracts with some of the networks. Shocking news, huh?
Of course, the NCAA, one of the phoniest organizations on our planet, will not allow even an eight-team Division I college
football tournament to decide the national
champion. It’s OK, though, for the Division II and III schools to have a tournament.
Adding two weeks to the college football
season would be too demanding for the “student athletes” because they would miss too
much class time, the NCAA has said.
Ah, but expanding the D-I basketball
tournament from three weeks to five weeks
makes perfect sense! Why? The NCAA
would never admit it if you tied it to a tree
and beat it with a rubber hose, but it’s all
about money. Money not only talks, it provides excused absences from class, does
homework and takes exams.
A 96-team tournament would not only water down the regular season but also
provide more pushover opponents for the
aforementioned bullies to beat up. It’s almost a cinch to happen, though, no matter
who approves or disapproves, as long as the
keeper of the NCAA coffers approves.
Anyway, all you hoop lovers out there,
enjoy March Madness. I’ll be pulling for
St. Mary’s, Wofford, Siena and Old Dominion, four of the 98-pound weaklings
who have qualified for the tournament.
Rick Woodson’s column appears each
Thursday on the Rochester Business Journal Web site at www.rbjdaily.com. His
book, “Words of Woodson,” is available
at www.authorhouse.com/bookstore. Listen
to his weekly program, “The Golf Tee,”
at 9 a.m. Sunday on WHTK-AM 1280 and
FM 107.3.
Seeking non-profits
The Rochester Business Journal profiles non-profit organizations in human
services, the arts and culture, environmental protection and other fields whose
work benefits the Rochester area. If you
would like to suggest an organization
to be featured in the Non-Profit Report,
please call Jim Leunk at 546-8303, ext.
116, or e-mail [email protected].
Suggestions from employees or supporters of particular non-profit groups
are welcome. If your organization has
never been profiled in the Non-Profit Report, or if you believe it has been more
than two years since the last report, we
invite you to contact us.
MARCH 12, 2010
PAGE 25
Hospitals’ reporting of quality data doesn’t measure up
ur hospitals could do a better job of
making information about the quality
of their care both available and understandable on their Internet sites. As a community we also should consider a common
data set so that quality measures could easily be compared for the various hospitals.
Recently I had occasion to help a friend
evaluate the quality of cardiac surgery at
the University of Kansas Medical Center.
A report of various quality measures for
all of 2009 was readily available on the
center’s Web site, only two months after
the year’s end.
To be sure, the information was presented in a graphically attractive format and
had many marketing purposes in addition
to just providing quality data. Good presentation, however, can make data easier to
understand. Based on that information, the
medical center seemed to be a good choice
for the surgery my friend may require.
That set me to wondering how our local
hospitals would measure up, both on cardiac surgery and other quality measures,
since my friend had the option of coming here for the surgery. New York’s Department of Health has issued a cardiac
quality report for many years. It sets forth
data on volumes of particular procedures,
a recognized marker for quality, and mortality, both for hospitals and individual
physicians. That report is issued only every three years, to deal with the problem
O
HEALTH CARE
Rene Reixach
of swings in outcomes from year to year
and to get significant data from hospitals
with smaller cardiac volumes. While that
was a useful tool, I wanted to see how our
hospitals themselves were reporting.
The results of that search were decidedly
mixed. To my surprise, I could not find any
data, whether about its vaunted cardiac services or anything else, on Rochester General
Hospital’s Web site. Maybe it is there, but I
could not find it in several searches; it isn’t
very helpful if it can’t be found readily.
Not surprisingly, the hospital featured
the fact that it had again been rated among
the top 100 heart hospitals and that its cardiac surgery program is affiliated with the
highly respected program at the Cleveland
Clinic. But that simply reiterates what the
hospital already touts throughout the community. Any more detailed information
was not there.
The University of Rochester Medical
Center did better, both for Strong Memorial Hospital and Highland Hospital, and
so did Unity Hospital.
The information for Unity Hospital was
presented in a more useful format than was
the data for the university hospitals. For
particular services, such as cardiac care or
joint replacement, or for conditions, such
as pneumonia or stroke, there was a separate document that showed various quality
measures in a tabular format broken down
over the last three years, including all of
2009. It was easy to understand and use.
By contrast, the data for Strong Memorial and Highland Hospitals was neither
as current nor as easy to use. For Strong
it covered 2009 only through the second
quarter, and the data for Highland covered only 2008. If other hospitals can track
and report data for an entire calendar year
by early the following March, why can’t
Strong and Highland?
The information for Strong was more
detailed than for Highland, but for both
it was cumbersome to access. The Strong
data generally was accompanied by comparative national and state averages, although the data was simply described as
“not available” for many of the comparative figures. To the extent that there are
such benchmarks, it certainly is helpful to
be able to compare a particular hospital’s
performance to those norms. Obviously,
it is not terribly helpful to know that the
mortality rate for a particular procedure
at a hospital is X percent without know-
ing how that compares with the rates of
its peers.
The difficulty with the format of the data for both Strong and Highland was that
each quality measurement was displayed
as a separate document. To get data on
cardiac services, you had to check separate pages for heart attack mortality rate,
30-day readmission rate, angioplasty volume, etc. The same was true for data on
other services and conditions. It took a
lot of time and scrolling back and forth to
print out what had been compiled into a
single PDF file by the University of Kansas Medical Center.
Quality data is important, but it also can
be misleading. Each of the hospitals that
posted data used different measures and
different benchmarks. Without consistent
reporting of the same measures, the information may be unhelpful or deceptive.
While we cannot standardize the data
reported for all New York hospitals, much
less all those in the nation, at the very least
we should be able to have our local hospitals agree on a common data set and commit both to keeping the data current and
to displaying it in a common and userfriendly format.
Rene Reixach is an attorney with Woods
Oviatt Gilman LLP, where he concentrates
his practice on health law. He formerly
was executive director of the Finger Lakes
Health Systems Agency.
To escape coming layoffs, display your strengths for top management
’m a manager in a company that
will be laying people off within
the next few months. I supervise a
group working on a project that seniorlevel managers have been very interested in. I’m worried, however, that I might
be included in this layoff round because
I have been working a flexible four-day
work schedule, which, at the time it was
approved, was considered a special perk.
I’m afraid now, however, in light of all
the cutbacks, that my schedule situation
will be perceived negatively. How can I
improve my chances of survival?”
Even if things are beginning to improve
a little in this economy, companies are still
laying people off, and managers like you are
not exempt. Not only do you enjoy a flexible
schedule but you are probably paid more than
the average worker in the company. You are
working on a high-profile project, but at the
same time, you’re not at the top of the organization. So you could be vulnerable.
Obviously, you can’t control what others are going to do, but you can have some
control of others’ perceptions of you, which
will matter in the layoff process, wrote Janet Banks, co-author of a Harvard Business
Review article from 2008 called “How to
Protect Your Job in a Recession.”
In essence, if you want to be perceived
as a survivor in a time like this, you will
need to make sure that you are acting like
one. “The ability to have a positive attitude
is critical, as opposed to a person who’s so
fearful that they take everyone in the downward spiral with them,” she told MSNBC.
“You’re in good shape if you can project
positive energy and look at what is most
relevant in terms of the work at hand.”
This is not an easy task during times
of uncertainty, but that positive attitude is
crucial, nonetheless, says Vaughan Evans,
a consultant, career strategist and author of
“Backing U! A Business-Oriented Guide to
Backing Your Passion and Achieving Career Success.”
“If avoiding the unemployment line is the
“I
MANAGERS
AT WORK
Kathleen Driscoll
main reason you are hanging onto your job,”
he says, “you are at risk of losing it at any
time—to someone who is more enthusiastic
and passionate about work. Think about it: If
you were a boss, wouldn’t you be more apt
to hang onto the employee with a sunny disposition and a positive-enthusiastic attitude?
Employees who lack this kind of passion at
work are prime targets for layoffs.”
Evans says your flexible four-day schedule will matter less to others in the long
run if you can successfully work out your
“true value” to the company and let people
know what that is. He outlines a five-step
process for doing that:
■ Identify the strengths your company requires. “Think of yourself as a business,” he
says. “Who are your competitors, inside and
outside the firm? What are your customers’
(upper management’s) needs from service
providers such as yourself? Do an analysis
on several criteria, including effectiveness
(skills, qualifications and experience); efficiency (how quickly you deliver); range
(what range of services/skills you offer);
relationship (level of rapport, communication and quality of attitude) and price (How
much are you costing the company? Would
you be willing to take a pay cut?).”
“Which of these strengths are most important to your employer?” Evans asks.
“Write them down and rank them in order
of greatest importance to the success of
your employer.”
■ Identify your top strengths. List the
half dozen strengths, qualities or skills for
which you have been praised by upper-level managers in your performance review
and at other times. “They are the areas in
which you feel masterful,” Evans says.
■ Rank your strengths. Put these half
dozen or so strengths in order of strongest
to weakest by ranking them on a scale of
1 to 5, where 1 is highest and 5 is “strong
but still developing,” he says.
■ Compare the two lists. “Which topranked strengths on your personal list intersect with top-ranked strengths in the
company’s required list? Use your judgment to pull out the most promising top
two,” Evans adds.
■ Invest in these top two. “For now, forget your weaknesses,” he says. “Instead,
invest all of your energy in becoming a
superstar in your top two strengths, ones
that are also most critical to the success
of your company.” You should take a creative approach: take classes, read books,
attend conferences, do research, join professional groups, find a mentor, do whatever it takes to become “an unparalleled
leader” in these two key skills.
Finally, Evans says, do what it takes to
make sure that senior managers know about
your strengths. “Beat your drum! This is no
time to be shy in self-promotion,” he says.
Managers at Work is a bimonthly column exploring the issues and challenges facing managers. Contact Kathleen
Driscoll with questions or comments by
phone at (585) 249-9295 or by e-mail at
[email protected].
BATTAGLIA
understanding that family members play a
vital role in a child’s long-term well-being
and their investment and participation in
their child’s treatment is essential in order
for that treatment to work and for the child
to continue to make progress.
Q: Do you foresee challenges for human
services organizations like St. Joseph’s
Villa, given drops in state revenue or other
financial impacts?
A: Yes. The non-profit sector is no different from for-profit businesses in terms
of the recession, and we are particularly
vulnerable to these economic fluctuations
as our charitable donations diminish, and
we must do more with less. The Villa especially depends on the timely and responsible decisions of our state government to
ensure that we are able to provide the most
appropriate care for the growing number of
at-risk children in our community.
However, I’m very optimistic and hopeful that our Albany leaders will make the
right decisions, based on the firm knowledge that the future of our community depends on helping at-risk kids and families
break out of negative cycles, build valuable
strengths and skills and become meaningful contributors to our community.
—Nate Dougherty
so closely in the community, we have
unique insight into the factors—poverty,
violence, gangs, substance abuse—threatening kids and families, and we continue
to collaborate with others and enhance our
services to better help those struggling
with these issues.
Q: What role do you see St. Joseph’s
Villa playing in Rochester in the future?
A: I don’t see residential services ever going away. However, I believe they
will gradually become more specialized
to serve carefully identifi ed needs. The
development of the Villa’s eating disorders program, Harmony Place, is the most
recent example of this.
I also see our community services continuing to grow, with an increased emphasis on strengthening kids and families
within their communities, empowering
them with new skills and coping mechanisms, and connecting them with the ongoing support needed to remain cohesive
and resilient over the long term.
I think all of our programs will continue
their focus on providing strength-based,
family-driven care that is grounded in the
PAGE 26
B S & K Announcement
David L. Pieterse and Kevin V. Recchia Have
Joined the Firm’s Rochester Office
David L. Pieterse is a graduate of the
University of Massachusetts at Amherst (B.A.,
cum laude, 1994) and Fordham University
School of Law (J.D., 1999).
Mr. Pieterse focuses his practice on construction
and real estate law. He regularly represents
Fortune 500 corporations, universities and
developers throughout the country in the negotiation of complex
design, construction and development agreements. He has extensive
experience structuring construction and development projects, and
counsels clients in all types of construction disputes. He is co-chair of
the New York State Bar Association’s Construction Law Committee
and regularly lectures on construction-related topics.
Mr. Pieterse also has extensive experience in real estate matters,
with a particular focus on the acquisition and disposition of
commercial real estate and commercial leasing transactions.
Kevin V. Recchia is a graduate of the State
University of New York at Binghamton (B.A.,
1983) and the University of Michigan (J.D.,
cum laude, 1986).
Mr. Recchia has a broad base of experience in
real estate matters. He represents tenants and
landlords in commercial leasing transactions
throughout the country. Mr. Recchia has also led complex purchase
and sale projects.
Mr. Recchia has represented both lenders and borrowers in a
variety of commercial real estate loans, including construction
loans, securitized loans and non-recourse loans. Mr. Recchia
also represents parties involved in condemnation and zoning
proceedings, as well as real estate litigation matters. He is listed in
Super Lawyers®*.
* Copyright New York Super Lawyers 2009.
Mr. Pieterse and Mr. Recchia Join our Rochester Office Attorneys
Timothy M. Fitzgerald, Real Estate / Lending
William Greener, Intellectual Property
James C. Holahan, Labor & Employment Law
Edward P. Hourihan, Jr., Construction / Litigation
Peter A. Jones, Labor & Employment Law
Catherine A. King, Business Transactions & Securities
Robert H. Kirchner, Business & Corporate Law
Brian Laudadio, Litigation / Labor & Employment Law
Peter C. Lutz, Real Estate / Lending
Gregory J. McDonald, Commercial Litigation
Joseph S. Nacca, Commercial Litigation
Ingrid S. Palermo, Business Restructuring, Creditors’ Rights & Bankruptcy
James J. Pergolizzi, Real Estate / Environmental
BOND, SCHOENECK & KING, PLLC
ATTORNEYS AT LAW NEW YORK FLORIDA KANSAS
B S&K
345 Woodcliff Drive, Fairport, NY 14450 585-362-4700 www.bsk.com
MARCH 12, 2010
Banks remain willing to lend,
help small businesses grow
espite the widely reported “credit
crunch,” banks have money to lend,
especially banks that depend on their
deposits to make loans. Actually, banks must
lend money; that’s how they make money.
Meanwhile, the demand for small-business loans is currently down because of
economic uncertainty. Even banks’ best
borrowers, those with the greatest liquidity, are not expanding because revenue is
weak for them. Businesses expand—and
borrow to expand—only when revenue is
growing or when the prospect for growth
is strong.
In short, this is a good time for you to
consider what investments can help make
your small business more competitive and
to look to your bank for financing for those
improvements.
It’s important to recognize that banks must
follow procedures they have developed to establish trust, to demonstrate that you can pay
back the loan. Here are the key elements.
Application form: During high-volume
periods in good times, banks use formal
application forms to capture your company’s basic financial information efficiently
and ascertain how you plan to use the loan
and pay it back. With larger loans, bankers like to gather information firsthand, by
visiting clients’ workplaces, observing operations and interviewing key people. The
application form is only the beginning of
building a relationship.
Personal credit report: Have you reviewed your personal credit report lately?
Banks still use these to assess business
owners’ finances, because the owners’ personal financial condition and that of the
business may be closely intertwined. Bill
Gates or Warren Buffett would likely get
a perfect 800 credit score, but anything
above 750 is considered superior.
Business credit report: The counterparts of the consumer credit bureaus—such
as the Small Business Financial Exchange
run by Equifax—tell banks how a potential
borrower is paying its utilities and suppliers. If your company is late in paying bills,
that information will surface here.
Tax returns: You’ll be asked to provide
personal and business tax returns for three
years, at most; some banks need only one
year’s returns. Banks rely on these to validate a borrower’s financial data. However,
tax returns may not be required if you provide three years of CPA-prepared “reviewed”
financial statements. High-quality financial
information prepared by a CPA can bring
better credit terms, interest rates and fees.
Financial statements: Some startups
may not have these, but banks will want
to see projections, particularly to analyze
the assumptions on which your company
bases its projections.
Bank statements: Provide these for the
past 12 months.
Accounts receivable and payables aging: Provide these for the latest month.
Collateral: The information you provide must be current and detailed enough
to make your case for the value of your
collateral. For mature companies, this information may be in the financial statements and may include the value of real
estate, equipment and inventory.
Resumes of owners, officers and
managers: These are important but can
be brief, a single page. Most lenders also
will want to meet a borrower personally.
They’ll want to visit your workplace to
gain insights about your operations and
interview key people.
D
CORPORATE
FINANCE
James Carriero
Business plan: More important for startups than for mature companies, this helps on
both sides of the table. Writing a plan helps
you think through your company’s objectives
and how you plan to reach them. It also enables you to control how lenders view your
company, because lenders keep these plans
on file. Banks review these to verify that you
have thought through all the business elements that can affect your company’s success. Remember, briefer is usually better.
SBA forms: If your company is a startup, you should consider fi nancing with
U.S. Small Business Administration loan
guarantees. SBA loans provide financing—often at reduced rates—to companies
that might not qualify for conventional
bank loans. Mature, profitable companies
should also consider using SBA financing
to expand significantly—but not for cash
flow problems. Approximately 30 percent
of KeyBank’s small-business loans are
SBA-guaranteed, and that is an increase
over recent years because of the economic
downturn.
Legal documents: These include your
articles of incorporation, leases, supplier
and customer contracts, franchise agreements and employment contracts. They
may help your banker understand your
company’s management and ownership,
but bankers don’t consider them critical
once they decide to make a loan.
Even during a supposed “credit
crunch,” banks must lend to make
money. Small businesses needing
capital for improvements might
well discover that this is an
opportune time to borrow.
All this paperwork helps banks understand your company and your financials, to
know your managers and operations. This
understanding is best built through a banking relationship that inspires trust, which
is why banks prefer to lend to customers
that use their other services.
The most important thing banks want
from the paperwork is an understanding
of cash flow: They need to see where your
company is generating cash and where it’s
going.
Banks also like to understand why new
potential borrowers left relationships with
previous banks. If you’ve left one bank and
want to build a relationship with another,
explain why. Be candid; maybe the reason
was rates and fees, maybe service. Honesty
about this can help build a relationship
with your new bank and clearly identify
your expectations for working together.
That’s really what small-business financing is all about, and it’s easier than
you might think—even now.
James Carriero is Rochester market
president of KeyBank N.A. He can be
reached at (585) 238-4181 or [email protected].
MARCH 12, 2010
SPECIALREPORT
SPECIAL
Commercial Real Estate and Design
Success
story
BY MARY STONE
Rochester’s East End continues
to attract developers, businesses
and city dwellers.
Story begins on page 28
Cover design by Melanie A. Watson; cover photo by Kimberly McKinzie
ROCHESTER BUSINESS JOURNAL / SPECIALREPORT
PAGE 28
MARCH 12, 2010
East End resurgence hints at broader downtown revival
Milestone projects in the
last decade have helped
cement the area’s viability
By MARY STONE
ochester’s East End and the resurgence
it has undergone in recent years hint
at downtown’s potential for revival.
The East End is the city’s success story,
with continuing popularity for developers,
businesses and city dwellers. Over the last
decade, milestone development projects
have helped cement the neighborhood’s viability, which is expected to be reinforced
by a new marketing campaign.
Physically, what defi nes the East End
depends on whom you ask.
Sean Phelan, vice president of the Rochester Downtown Development Corp., says
the area extends to include East Avenue and
Alexander Street to the east, goes north to
Richmond Street on Alexander and south to
Gardiner Park and Park Avenue. The East
End extends westward on East Avenue all
the way to Main Street, over to the Inner
Loop and south of East near Broadway.
Phelan regards the Strong National Museum of Play as being in the East End.
The marketing campaign aims to represent a unified East End. It includes a new
Web site—designed by Martin Edic and
launched in November—and a plan to install 40 7-foot-tall banners to outline the
geographic area in April.
Sponsored by local businesses, the
banners are intended to link the East End
along East Avenue from Alexander Street
to Main Street and dot certain key side
R
agent and two employees
from Xerox Corp.
Representing the East
End Business Association and Upper East/
East and Alexander Association, the East End
Marketing Committee
was formed last year to
initiate projects meant to
unify the area.
Its f irst idea was a
beautification project for
the East Avenue bridge
over the Inner Loop.
The possibilities, Phelan
says, included decorating the bridge with paint
or lights. But because of
the number of parties involved, including the state
Department of Transportation, the city of Rochester and Monroe County, the committee decided
that project was too involved to start with.
“So, we thought, ‘How
can we symbolically and
then visually link the two
Michael Philipson, left, and Lewis Stess, principals of the Philipson Group, will design and manage banners that will dot the neighborhoods, and the
activity all along East
East End.
Ave.?’” Phelan says. “You
streets. This is the first part of a two-phase do have that sort of gap there, so the banner
process initiated by the new East End Mar- project was really an effort to symbolically
keting Committee, Phelan says.
link the whole of East Ave., from East and
Alexander all the way to Main Street.
Dotting the area
“By putting the banners up you visually
The banners will feature portraits of 15 shrink the distance,” he says.
Rochesterians, including a waitress at the
So far 28 banners have financial sponHighland Diner, a local actress, a real estate sors. Sponsor names will appear on the
A VAILABLE F OR L EASE
banners underneath photos taken by Walter Colley of Rochester. Sponsorships sell
for $500 to East End association members
and $600 to non-members. Funds will go
to future neighborhood beautification projects and other marketing efforts.
The banners are expected to go up next
month, starting at the Inner Loop and moving east and west.
The designers and managers of the
banner project are newcomers to the East
End. Philipson Group Inc., at 137 East
Ave. above Rochester Contemporary Art
Center, is a creative design consulting and
production firm that opened last year.
Michael Philipson, principal and creative director of the Philipson Group, and
Lewis Stess, principal, client and nonprofi t services director, recently moved
to Rochester from Miami.
Philipson, originally from Ionia, south
of Mendon, returned to Rochester a year
after Stess moved here to be close to the
Finger Lakes.
“When he moved here we decided to join
forces; he had been a contractor of mine
in Miami,” Stess explains. “We both had
worked in major urban areas. The reason
we came back was for the opportunities
we saw here.”
And the East End, with its restaurants,
culture and easy access from the suburbs,
is where they wanted their office. They are
not alone. In the RDDC’s latest published
survey of office space, the number of vacancies across the East End’s 1.1 million
square feet decreased 7.7 percent to 16
percent last year.
RDDC’s Phelan introduced the Philipson
Group to the East End Marketing Committee
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MARCH 12, 2010
PAGE 29
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Yourself
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Call
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Accomplishments
“This building lent itself to customization because it was in such bad shape. So we had
kind of a blank palette to do what we wanted,” says Chris Harrison, co-owner of Sassafras
Flowers, which is in a roughly 100-year-old property. With him is wife Maura.
Retailers transform residences,
create cozy ambiance for patrons
Renovations can be complex,
but the results are satisfying,
area business owners say
By PATRICIA BEGGS
ransforming a residence into a retail
space presents a variety of design opportunities and challenges.
A store in a house can be distinctive, but
the efforts required to renovate or meet
building regulations can be daunting. The
result, however, is often reason enough for
owners who choose this route, since they
can appeal to customers in a unique way.
“It’s more charming and it’s interesting,” says Danielle Lewis, co-owner of
Chocolate and Vines LLC on University
Avenue. “When people come into the restaurant, they feel like they’re coming into
someone’s home.”
Chocolate and Vines is a sit-down chocolate and wine bar that Lewis and co-owner Michael Goldberg recently opened after
18 months of extensive renovations for
what previously was a two-family home.
Lewis says creating an inviting, comfortable atmosphere is an important part of
their business plan.
“Having the restaurant in a house tends
to put people at ease,” Lewis says. “Our
restaurant is all about enjoying your experience; it’s not about turning tables.”
She says they strived to keep in mind
the age of the house, which was built in
1907, and used elements from that era to
decorate the space.
“We wanted to create an environment
that honored the architecture and the era it
came from,” Lewis says. “We used antique
gold, gilt-style paint on the walls, classic
chandeliers and antique Tiffany lamps to
help keep the original charm.
“But we also wanted it to be comfortable in a modern sense. So we have things
like microfiber chairs to give it a little bit
more of a modern edge.”
Another area that Lewis says she and
Goldberg had to modernize were the bathrooms, which are all new construction. The
owners, however, did not want to violate
T
the house’s style.
“We spent a lot of time making sure that
all the tiles, faucets and fixtures complement
the original design, and a lot of people think
they’re original bathrooms,” Lewis says.
The design process is not always simple,
she notes. Being flexible and understanding the building are important when the
options are sometimes limited.
“I think part of what helped on the design aspect is really letting the house speak
to us,” Lewis says. “For example, the tone
of the chairs is derived from the stained
glass windows.
“You have to work with your environment
and your building, you have to work with
limited space and you can’t always build
out the way you want, so you have to get
creative. But if you let the house tell you
where things need to be, it’ll work out.”
Another consideration when converting a
home into a store is its location. Chris Harrison, co-owner of Sassafras Flowers Inc.
on East Avenue, knows all about that.
“We really had to understand the limitations and codes. Our building is in a
preservation district, so we had to present
what we wanted to do to the preservation
board,” he explains. “It really helps uphold
the look of the neighborhood but can add
quite a bit of cost to the project.”
Sassafras Flowers, on East near the eastern
end of Park Avenue, also sells gifts and jewelry. Harrison and his wife, Maura, bought
the roughly 100-year-old property some three
years ago and converted it from apartments
to a first-floor retail shop with their home
occupying the second and third floors.
“It was quite a rundown building, and it
was our first project for renovations,” says
Harrison. The project was especially difficult because they had never done anything
like it before.
The Harrisons needed an architect for
the structural changes but did most of the
work themselves, learning as they went.
“This building lent itself to customization because it was in such bad shape. So
we had kind of a blank palette to do what
we wanted,” Harrison says.
“We really wanted to build a brand look,”
he says. “The building has a lot of characContinued on page 31
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If you remember
Woodstock,
tell a child.
These Kids Have
Friends Like You.
These Kids Need Friends Like You.
Visit RochesterMentors.org/tellachild
to see more kids and their friends, and to find
an information session you can attend (or call
585.271.4050).
If you’re an adult who has experienced school,
work, relationships and/or parenting—if you
lived through the joy of Woodstock or the
emotion of Vietnam, you have what it takes to
be an adult friend to a Rochester City School
District child. These are kids who (in the words
of Carole King) need you to tell them “you’ve
got a friend.”
Space donated to the Ad Council
as a public service of this publication.
©2010 All rights reserved.
PAGE 30
EAST END
and its plans to unify the neighborhood.
Renewed interest
It is not that the East End needs promoting. The neighborhood already is well-established, successful and attracting interest, Phelan says.
That renewed interest in the area started
with the residential development Chevy
Place, he says, roughly a decade ago.
The $10.6 million project, built by
Home Properties Inc., included 77 apartment units and townhouses at 200 East
Ave. Located on the site of the former
Hallman’s Chevrolet dealership, the development represented one of Rochester’s
most successful brownfield cleanups.
Some five years later, Christa Development Corp. further tested the public’s interest in the East End by building luxury condominiums at nearby Sagamore on East.
The seven-story, $13 million mixed-use
project initially was met with skepticism.
People doubted downtown’s ability to attract high-end homeowners. But when the
property’s 23 condominiums sold out for
prices ranging from $400,000 to $700,000,
interest in the East End was confirmed.
“Before deciding to do for-sale units (at
Sagamore), we did a tremendous amount of
focus groups,” Christa CEO David Christa
recalls. “Originally, we were going to do
Sagamore as a rental project. In the focus
group process, there was certain need or
want to own and be in that area.”
To own their own homes in the East End
despite the limited variety and inventory,
two businessmen have purchased commercial buildings instead.
Giovanni LiDestri, president and CEO of
LiDestri Foods Inc. in Fairport, is recon-
structing a former recording studio at 230232 East Ave., at the corner of Winthrop
Street and next door to the Little Theatre.
Purchased in April 2008 for $375,000, the
5,600-square-foot building is undergoing
a $3 million transformation. Renovations
are slated for completion this spring.
The allure of the East End drove developer John Nolan to start building two condominiums and retail space at 250-254
East Ave., next to Arena’s Florist Inc.
Nolan and his wife plan to move into one of the condos. He purchased the
8,000-square-foot building in 2007 for
$445,000, city records show.
For renters there are 681 units in the East
End—more than double any other downtown district. Of the 626 units that RDDC
surveys there, only 39, or 6.2 percent, were
vacant last year. Rents in the East End,
according to RDDC’s 2009 report, range
from $375 to $2,800.
Development opportunities
A handful of high-profile development
opportunities exist in the East End, one of
which is the 267-unit apartment building at
111 East Ave. The property was put into a
receiver’s control Oct. 29 after a mortgage
holder filed a foreclosure action alleging
that a company controlled by local real
estate developer Jason Palmer had fallen
behind on payments.
With the loan in default, the Cabot Group
last year was named receiver and manager
for East Avenue Commons. Meanwhile a
number of local investors, who asked not to
be identified, have expressed a keen interest
in the building and its potential to attract
student tenants from the Eastman School
of Music. For now, a special servicer has
been appointed to watch the loan.
Another property with a lot of interest is
a city-owned parking lot on the north side
of East Main Street. A selection committee,
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including representatives of the Cultural
Center Commission and the city, has been
reviewing proposals for the property.
The property at 420 E. Main St. is owned
jointly by the city and the commission. It
is bordered on the north by Grove Street,
on the east by Gibbs Street and on the west
by Chestnut Street.
The project has been reopened for proposals twice since the cultural commission
rejected four proposals a year ago. It was
awarded to a team headed by Ferrara Jerum
International LLC in November 2008, but
the commission rejected the Rochesterbased group in 2009 because of financing
problems.
Christa Development and DeWolff Partnership Architects LLP each submitted
a proposal in 2008. Most recently, they
combined to submit one proposal. Morgan
Management LLC also is involved.
James Vazzana, chairman of the Cultural
Center Commission, said the selection committee would review the project this week
and meet later this month to decide whether
to accept the combined proposal.
Since 2008, the Inn on Broadway has
had plans to expand its 23-room boutique
hotel on the existing parking lot, visible
from Chestnut and Broad streets.
And after the success of Sagamore on
East, Christa was developing plans in 2007
for a 32-condo project on the north side
of Charlotte Street, on the block between
Scio Street and Haags Alley. The plans
included five four-story buildings for the
condos plus four two-unit town houses to
be built around a courtyard. The buildings
were to be constructed on top of a singlestory parking structure.
Plans for that project are on hold now as
Christa Development focuses on the Midtown Plaza site, adjacent to the East End.
“In the East End, we haven’t really looked
at any other opportunities there recently,”
MARCH 12, 2010
Christa says. “Three years ago, we were
looking at Charlotte Square; that project is
not dead, but it’s kind of on hold right now.
We’re focusing our efforts on Midtown.”
With Midtown, Christa wants to build on
momentum that Sagamore on East helped
to create.
The $71 million renovation of the
17-fl oor Midtown Tower will be a team
effort involving Christa Development and
real estate development company Morgan
Management LLC. Plans call for commercial space on the first three floors of the
tower, with 186 market-rate apartments on
floors four through 13 and 24 condominiums on the top floors.
For those, Christa Development already
has 15 people on a waiting list.
Prices for the apartments and condominiums have not been determined. Rental units
could go for $1.30 per square foot; the condos likely will be in the $400,000 range,
similar to the cost of condos at Sagamore.
Ideally, the East End’s popularity will
continue to expand, to fill in the pockets
that separate one successful downtown
neighborhood from another, experts say.
Downtown has a lot of underutilized assets,
Christa says. As the offi ce and residential
space at Midtown is connected to the hustle
and bustle of the East End, the tide for downtown change definitely is building, he says.
Christa, who lives in the East End, says
the area running from the Sagamore, down
Chestnut, Monroe, Alexander, and back up
East is very safe, even at night.
“We’ve got a really solid area; we have
to create connections from Park Ave. to
Alexander, Alexander to East, East Ave.
to Midtown, and hopefully Midtown working west down to High Falls,” Christa says.
“People deserve a safe, bustling, exciting,
thriving downtown.
“East End proved it was possible.”
MARCH 12, 2010
PAGE 31
Future of suburban office market hinges on economy
Though vacancies grew
last year, brokers are
cautiously optimistic
report maintains. The report defines Class
B space as having average rents, adequate
systems and fair-to-good finishes, but unable to compete against Class A space at
the same price.
Some areas of Rochester have a mixture
of Class A and B properties, such those on
the Route 96 corridor.
Robert Lucchesi, principal of Ardent
Commercial Real Estate Advisors LLC
in Fairport, maintains that 200,000 square
feet of positive net absorption, or the net
change in the amount of space leased in the
market, would lower the suburban office
vacancy rate by 5 percentage points.
“I believe that the vacancy rate can correct itself with one good year of leasing,”
he says.
Yet individual examples of large-scale
net absorption rarely occur here because
established tenants typically vacate one
property for another, Lucchesi says.
“Oftentimes in this market we kind of inch
forward because we see existing tenants expanding … by 10 or 20 percent,” he says.
That is positive for a new landlord, but an
infusion of tenants entering the market for
the first time would be more beneficial.
“When you start talking about bringing
down Class A vacancy rates, the question
really becomes at what expense,” Lucchesi
says.
Weary of carrying vacancies, some Class
A landlords here have become more aggressive with their rents, enticing Class B
tenants to trade up.
“Naturally, that has a fallout on the
(Class) B market. … But I do think that
there’s a reasonable amount of growth in
that (Class B) marketplace, where some
of that space that gets vacated will be released in a reasonable period of time,”
Lucchesi says.
Hunt’s Oehler does not find the current vacancy level in suburban office space alarming. He has seen a few examples of $30-persquare-foot rates in villages like Pittsford
and regards those as being too high.
In spite of the economic downturn, large
numbers of Class A tenants here have not
moved to Class B space. There may be
isolated exceptions, “but I would not call
that a trend,” Nole says.
Little new offi ce space is percolating
on Rochester’s west side, he says. One exception is South Pointe Landing, a project
by Brighton-based Gallina Development
Corp. with a medical office building and
a flex-space building at Long Pond Road
and Gates-Greece Town Line Road.
Gallina Development also has expanded
in Rochester’s eastern suburbs. One of the
firm’s most recent projects is Cambridge
Place on South Winton Road in Brighton,
which landed Buffalo-based Medaille College last summer as a primary tenant after
it outgrew its prior location at Corporate
Woods in Henrietta.
The developer is building the second
part of Cambridge Place’s expansion, a
20,720-square-foot building zoned as medical and general office space, on a speculative basis. The property has already attracted an undisclosed tenant that will occupy 5,700 square feet.
Other examples of Class A space have
come online recently. Last year, Constellation Brands relocated its headquarters to
Victor-based High Point Business Park, a
RainBros Associates LLC development
slated to have a residential component.
Constellation occupies all 120,000 square
feet of the site’s first building, which boasts
hilltop views, underground parking and
thermo-reflective glass.
Lucchesi, whose firm facilitated the subleasing of Constellation’s former headquarters in Woodcliff Office Park to CooperVision Inc., says he is talking with other
prospects for High Point.
In other activity along the Route 96
office corridor, Morrell Builders Inc. is
working on a small offi ce building in a
wooded setting near Eastview Mall. Some
4,600 square feet on the second floor of
the structure, which has cathedral ceilings
and curtain walls of glass, remains available for occupancy in April.
Despite the activity, commercial real estate brokers say the outlook for the suburban off ice market boils down to the
strength of the overall economy. Oehler
notes that New York State’s fi scal woes
have made incentives such as payment-inlieu-of-taxes agreements scarce here.
“Unfortunately, we’re not a businessfriendly state,” he says.
Lucchesi agrees that the future of the
suburban office market hinges on the economy’s health.
“Office space absorption and vacancy
rates are tied to one thing: job growth,”
he says. “It’s that simple.”
Sheila Livadas is a Rochester-area freelance writer.
the atmosphere that is created by the layout and lighting. It is cozier and more intimate, Muto says, making the shopping
experience more personal.
She does caution, however, that renovators need to be architecturally sensitive.
For example, when changing or removing
parts of the building, their architectural
importance should be evaluated to determine how the work will affect the future
of the building. She warns against ever
throwing items away, because they may
turn out to be irreplaceable.
Mary Bassett, owner of Mae Beads on
Park Avenue, chose to work with the architecture of her building rather than trying
to modernize it. Her jewelry shop is in an
old Victorian home, circa 1900. She has
decorated it to match the era, using rich
colors, lace curtains and oriental rugs. Mae
Beads also has several antique pieces that
are used to display Bassett’s designs.
“I think it’s a unique shopping experience for people,” Bassett says. “The bou-
tique atmosphere creates more intimacy
when selling products, and being in a
house makes people feel like they’re invited into your living room.”
She did not have to do extensive renovations on the property, since it was already
commercially zoned when she purchased it in
2008. Bassett, however, still had to keep her
customers in mind when setting up shop.
“I wanted a space that was street-facing
and didn’t look like a typical commercial
building,” she says. “I wanted something
with character that had neat things like
a bay window and hardwood floors that
make it unique.
“I wanted an area where people walk in;
being in a mixed residential-business area
is helpful because my shop doesn’t have
to be a destination.”
Despite challenges such as abiding by
regulations and codes, making sure there is
ample parking and investing the time and
money required, Sassafras Flowers’ Harrison
says, renovating a home for a place of busi-
ness is an extremely satisfying endeavor.
“There was definitely more upfront work,
but I couldn’t be happier with the results,”
he says of his experience. “Go in with your
eyes open, be patient and know that in the
end you’ll have a beautiful place that you
can look at and be very proud of.”
Chocolate and Vines’ Lewis could not
agree more.
“It was interesting when we got to the
end of this project, because we had all of
these little ideas that we were trying to
piece together and we didn’t really know
what the puzzle was going to look like at
the end,” she says. “We just trusted the
architecture, the colors and the tones and
rolled with each decision as they came.
“In the end we came up with a beautiful
home that is also a wonderful restaurant
that people really seem to feel welcome
in and enjoy the ambiance—and that was
really the main goal.”
Patricia Beggs is a Rochester-area freelance writer.
By SHEILA LIVADAS
ommercial real estate insiders voice
cautious optimism about Rochester’s
suburban office market, though they
say the overall economy will largely determine results for 2010.
On the plus side, the market recently has
seen a few landlords do some speculative
building. But an influx of tenants that do
not have a prior connection to or presence
in Rochester has not occurred.
The suburban office market in the first
quarter clearly is chugging along better
than in the fourth quarter of 2008 and the
first quarter of 2009, says Angelo Nole,
executive vice president of CB Richard
Ellis Inc. in Rochester.
“I mean, at that point we were in very uncertain economic times, and everything that
didn’t have to be done for contract probably
came to a screeching halt,” Nole says.
More local tenants now feel less skittish about committing to standard-length
leases, he says.
Current conditions still make this a tenant’s market, says Gregory Oehler, chief
operating officer of Hunt Commercial Real
Estate.
“Tenant retention is almost as important as getting new tenants,” says Oehler,
whose firm has offices across New York
and one in Florida.
According to the 2010 market outlook
report from CB Richard Ellis, the 8.8 million square feet of multitenant Class A
office space in suburban Rochester had a
13.8 percent vacancy rate last year, rising
4.2 percent from 2008. The 2009 figure
mirrors rates seen here from 2002 to 2005,
but it is an increase from rates that were
below 10 percent in 2006 through 2008.
Still, the vacancy rate is in line with the
national average.
The report defines Class A space as offices within prestigious buildings, commanding above-average rents for the area and
having high-quality finishes and systems,
exceptional accessibility and market presence. Pittsford, Victor, Perinton and Brighton have clusters of such properties.
Local Class B suburban office space had
21.9 percent vacancy in 2009, but that figure would likely fall to 13 percent if one
unidentified property became occupied, the
C
RETAIL RENOVATIONS
ter, and with work we knew we could make
it fit within that brand look.”
Sassafras Flowers’ look is based on colors,
something that Harrison says his wife has a
real eye for. The couple did a lot of modeling and testing to establish a cohesive look
that highlighted the business’s merchandise,
using soft tones to set off the floral creations
and gift offerings. Their color palette is soft
blue, white and brown with silver accents.
The shop also features bursts of bright color
that attract customers to certain displays.
Cubby-like wall units throughout the shop
exhibit merchandise and some artwork.
In retail, highlighting products is essential. Interior and lighting designer Robin
Muto, owner of Positive Environments, says
the business of retailing is all about displays
and drawing people to certain items.
She says some of the advantages of
adapting a house for retail use come from
The suburban office market in the first quarter clearly is chugging along better than in the
first quarter of 2009, says Angelo Nole, executive vice president of CB Richard Ellis.
Office space absorption and
vacancy rates are tied to one
thing: area job growth.
MARKETWATCH
PAGE 32
MARCH 12, 2010
PORTFOLIO
LOCAL STOCK PERFORMANCE
COMPANY (EXCHANGE)
AT&T Inc. (NY-T)
Bank of America Corp. (NY-BAC)
Biophan Technologies Inc. (OTCBB-BIPH)
Bon-Ton Stores Inc. (NAS-BONT)
CVS Caremark Corp. (NY-CVS)
Ciber Inc. (NY-CBR)
Citigroup Inc. (NY-C)
Constellation Brands Inc. Class A (NY-STZ)
Constellation Brands Inc. Class B (NY-STZB)
Constellation Energy Group Inc. (NY-CEG)
The Cooper Cos. Inc. (NY-COO)
Corning Inc. (NY-GLW)
Danaher Corp. (NY-DHR)
Document Security Systems Inc. (AMEX-DMC)
3
Dr Pepper Snapple Group Inc. (NY-DPS)
Eastman Kodak Co. (NY-EK)
EnPro Industries Inc. (NY-NPO)
Exxon Mobil Corp. (NY-XOM)
Fairport Savings Bank (OTCBB-FSBC)
Financial Institutions Inc. (NAS-FISI)
First Niagara Financial Group Inc. (NAS-FNFG)
Frontier Communication Corp. (NY-FTR)4
Gannett Co. Inc. (NY-GCI)
GateHouse Media Inc. (OTCBB-GHSE)
Genesee & Wyoming Inc. (NY-GWR)
Global Crossing Ltd. (NAS-GLBC)
Graham Corp. (AMEX-GHM)
HSBC Holdings PLC (NY-HBC)
Harris Corp. (NY-HRS)
Harris Interactive Inc. (NAS-HPOL)
Hartmarx Corp. (OTCBB-HTMXQ)
Hewlett-Packard Co. (NY-HPQ)
Home Properties Inc. (NY-HME)
IBM Corp. (NY-IBM)
IEC Electronics Corp. (AMEX-IEC)
ITT Corp. (NY-ITT)
J.C. Penney Co. Inc. (NY-JCP)
JPMorgan Chase & Co. (NY-JPM)
Johnson & Johnson (NY-JNJ)
Kohl's Corp. (NY-KSS)
Kraft Foods Inc. (NY-KFT)
M&T Bank Corp. (NY-MTB)
Macy's Inc. (NY-M)
Monro Muffler Brake Inc. (NAS-MNRO)
NaturalNano Inc. (OTCBB-NNAN)
Newell Rubbermaid Inc. (NY-NWL)
Nortel Networks Corp. (OTCBB-NRTLQ)
Pactiv Corp. (NY-PTV)
Paetec Holding Corp. (NAS-PAET)
Parker Hannifin Corp. (NY-PH)
Paychex Inc. (NAS-PAYX)
Performance Technologies Inc. (NAS-PTIX)
Robbins & Myers Inc. (NY-RBN)
Rural/Metro Corp. (NAS-RURL)
SPX Corp. (NY-SPW)
Sears Holding Corp. (NAS-SHLD)
Seneca Foods Corp. Class A (NAS-SENEA)
Seneca Foods Corp. Class B (NAS-SENEB)
Stantec Inc. (NY-STN)
Staples Inc. (NAS-SPLS)
Stewart Information Services Corp. (NY-STC)
Target Corp. (NY-TGT)
Thermo Fisher Scientific Inc. (NY-TMO)
Thomson Reuters Corp. (NY-TRI)
Time Warner Cable Inc. (NY-TWC)
Tompkins Financial Corp. (AMEX-TMP)
Torvec Inc. (OTCBB-TOVC)
Transcat Inc. (NAS-TRNS)
Tyco International Ltd. (NY-TYC)
Ultralife Corp. (NAS-ULBI)
United Technologies Corp. (NY-UTX)
Veramark Technologies Inc. (OTCBB-VERA)
Verizon Communications Inc. (NY-VZ)
VirtualScopics Inc. (NAS-VSCP)
Vuzix (CVE-VZX)
Wal-Mart Stores Inc. (NY-WMT)
WindTamer Corp. (OTCBB-WNDT)
Xerox Corp. (NY-XRX)
Harbinger Group Inc. (NY-HRG)
1
PERCENT
NET
CLOSING CLOSING CHANGE CHANGE
IN
IN
PRICE
PRICE
03/08/12 03/02/10 PERIOD PERIOD
25.28
25.00
0.28
1.12
16.74
16.71
0.03
0.18
0.01
0.01
0.00
0.00
11.71
10.06
1.65
16.40
34.83
34.41
0.42
1.22
4.13
3.66
0.47
12.84
3.56
3.39
0.17
5.01
15.78
15.26
0.52
3.41
15.84
15.15
0.69
4.55
36.63
35.35
1.28
3.62
39.25
40.71
-1.46
-3.59
18.35
17.77
0.58
3.26
76.60
75.35
1.25
1.66
3.88
4.40
-0.52
-11.82
32.85
31.18
1.67
5.36
5.95
5.97
-0.02
-0.34
28.54
28.81
-0.27
-0.94
66.48
65.40
1.08
1.65
9.00
9.00
0.00
0.00
14.87
13.56
1.31
9.66
13.91
14.11
-0.20
-1.42
7.49
7.75
-0.26
-3.35
16.16
15.93
0.23
1.44
0.18
0.19
-0.01
-5.26
33.03
32.31
0.72
2.23
15.50
14.26
1.24
8.70
16.77
16.50
0.27
1.64
53.20
51.58
1.62
3.14
46.24
45.08
1.16
2.57
1.22
1.06
0.16
15.09
0.01
0.01
0.00
0.00
51.73
51.54
0.19
0.37
46.14
45.65
0.49
1.07
126.41
128.57
-2.16
-1.68
5.66
5.46
0.20
3.66
53.00
51.89
1.11
2.14
30.61
27.92
2.69
9.63
42.59
41.83
0.76
1.82
64.20
63.39
0.81
1.28
54.46
53.94
0.52
0.96
29.17
28.72
0.45
1.57
78.73
77.80
0.93
1.20
21.04
19.78
1.26
6.37
35.04
34.88
0.16
0.46
0.02
0.02
0.00
0.00
14.64
13.82
0.82
5.93
0.04
0.04
0.00
0.00
24.69
24.92
-0.23
-0.92
4.37
4.06
0.31
7.64
63.02
61.71
1.31
2.12
31.25
30.29
0.96
3.17
2.74
2.61
0.13
4.98
27.14
25.13
2.01
8.00
6.34
5.96
0.38
6.38
62.37
61.10
1.27
2.08
101.87
95.90
5.97
6.23
27.73
27.48
0.25
0.91
28.00
26.93
1.07
3.97
25.55
25.71
-0.16
-0.62
22.75
25.86
-3.11
-12.03
13.77
13.88
-0.11
-0.79
53.48
52.24
1.24
2.37
49.93
48.65
1.28
2.63
35.49
35.22
0.27
0.77
49.00
47.17
1.83
3.88
38.49
36.69
1.80
4.91
0.39
0.42
-0.03
-7.14
7.10
7.30
-0.20
-2.74
37.30
36.74
0.56
1.52
4.42
4.05
0.37
9.14
70.76
69.64
1.12
1.61
0.44
0.40
0.04
10.00
29.63
28.99
0.64
2.21
1.12
1.25
-0.13
-10.40
0.12
0.12
0.00
0.00
54.15
53.90
0.25
0.46
0.60
0.57
0.03
5.26
9.91
9.55
0.36
3.77
7.10
7.35
-0.25
-3.40
Earnings per share are for the company's most recent four quarters.
2
Annual dividend rates are annual disbursements based on the last
P/E
RATIO
11.80
LOSS
LOSS
LOSS
13.70
18.20
LOSS
LOSS
LOSS
1.70
18.20
14.20
22.20
LOSS
14.90
LOSS
LOSS
16.70
228.10
14.70
30.70
19.10
10.80
LOSS
21.80
LOSS
18.00
31.20
21.00
LOSS
LOSS
15.60
82.10
12.70
10.60
15.10
28.60
19.10
14.60
17.00
14.40
27.10
24.80
23.80
LOSS
15.00
LOSS
10.80
LOSS
36.30
22.80
LOSS
19.80
82.10
26.80
48.50
7.62
7.60
21.70
22.80
LOSS
16.20
24.60
36.10
15.90
13.20
LOSS
47.90
LOSS
LOSS
17.30
LOSS
22.70
LOSS
LOSS
14.50
LOSS
17.90
LOSS
EARNINGS ANNUAL
DIVIDEND
PER
RATE2
SHARE1
2.12
-0.03
-0.09
-10.18
2.55
0.22
-0.28
-1.18
-1.18
22.07
2.12
1.28
3.46
-0.34
2.17
-1.03
-6.97
3.98
0.04
0.99
0.45
0.38
1.50
-12.38
1.55
-2.56
0.93
1.72
1.50
-0.13
-0.40
3.34
1.04
10.01
0.55
3.50
1.06
2.26
4.40
3.22
2.03
2.90
0.82
1.47
-0.03
0.97
-6.87
2.43
-0.20
1.73
1.37
-0.91
1.34
0.05
1.29
2.08
3.64
3.64
1.18
1.02
-3.05
3.30
2.01
1.01
3.04
2.89
-0.10
0.15
-3.76
-0.55
4.12
-0.10
1.28
-0.09
-0.01
14.50
-0.03
17.90
-0.52
52 - WEEK
HIGH
LOW
1.64
0.04
NONE
NONE
0.30
NONE
NONE
NONE
NONE
0.96
0.06
0.20
0.12
NONE
NONE
NONE
NONE
1.68
NONE
0.40
0.56
1.00
0.16
NONE
NONE
NONE
0.08
NONE
0.88
NONE
NONE
0.32
2.68
2.20
NONE
0.85
0.80
0.20
1.96
NONE
1.16
2.80
0.20
0.28
NONE
0.20
NONE
NONE
NONE
1.00
1.24
NONE
0.16
NONE
1.00
NONE
NONE
NONE
NONE
0.33
0.10
0.68
NONE
1.12
NONE
1.36
28.73
19.10
0.02
14.47
38.27
4.50
5.43
17.56
17.50
36.99
41.24
20.85
78.02
4.50
32.45
6.94
29.16
76.54
9.95
15.99
14.86
8.57
17.33
0.45
34.26
15.52
21.84
64.42
49.67
1.55
0.06
52.95
49.23
134.25
7.69
56.95
37.21
47.47
65.95
60.89
30.10
80.31
20.84
35.94
0.09
16.10
0.35
27.71
4.52
63.66
32.88
3.22
26.63
6.83
65.23
106.06
34.40
33.71
29.53
26.00
23.37
53.50
49.94
36.07
57.25
47.27
21.62
3.00
0.01
1.00
23.74
2.03
0.99
10.72
10.50
15.05
17.58
9.86
47.73
1.57
11.83
2.01
13.36
61.86
5.65
3.60
9.48
5.32
1.85
0.06
16.42
5.06
7.41
22.89
26.11
0.15
0.00
25.39
23.35
83.02
1.15
31.94
13.71
14.96
46.25
33.26
21.09
29.11
6.65
21.66
0.00
4.51
0.01
10.62
1.04
27.69
20.33
2.48
13.01
0.50
40.22
34.27
18.85
19.73
14.19
14.35
8.45
25.00
30.83
22.02
20.19
29.14
NONE
NONE
0.80
NONE
1.54
NONE
1.90
NONE
NONE
1.09
NONE
0.17
NONE
1.10
8.55
38.88
9.80
72.94
0.53
34.13
1.95
0.22
55.20
2.60
9.90
7.66
0.33
3.81
17.25
3.42
37.40
0.20
26.10
0.69
0.12
47.16
0.40
4.12
5.00
A weekly report compiled from the proxy statement and annual report of a publicly held
company with local headquarters or a company with a major division in the area
New York Stock Exchange-HME
Based in Rochester, Home Properties Inc. is a self-administered and self-managed real
estate investment trust that owns, manages, acquires, rehabilitates and develops apartment
communities. As of Dec. 31, 2009, the company operated 107 apartment communities with
36,947 units. The company’s geographic focus includes the Northeast, Mid-Atlantic and
southeast Florida markets. The six major metropolitan areas the company focuses on are
Washington, D.C.; New York City; Baltimore; Philadelphia; Boston; and southeast Florida.
The company did not have any acquisitions in 2009. However during 2008, the company
acquired two communities with a total of 813 units, one in suburban Baltimore and the other
in suburban Washington, D.C. Home Properties also sold five communities—a total of 1,333
units—during fiscal 2009. Home Properties has approximately 1,100 employees companywide and approximately 175 local employees.
The company reported total revenues of $503.6 million during fiscal year 2009,
representing an increase of 1.9 percent compared to 2008. Net income was $47.1 million, or
$1.04 a share, a 49.5 percent decrease from the previous year’s net income of $93.2 million,
or $2.07 a share. The company’s annual dividend rose 3 cents to $2.68 a share. Net cash
provided by operating activities was $149.6 million; net cash used in investing activities was
$47.6 million; and net cash used in financing activities was $99.8 million.
The company’s most recent fiscal year ended on Dec. 31, 2009.
Common shares outstanding as of March 8 .......................................................34,967,000
Price per share of common stock on March 8 .......................................................... $45.80
Total market value on March 8...................................................................... $1,601,488,600
Controlled by all directors and officers as a group ............................................ 1,596,5001
(4.6 percent)
Performance Record
(Dollars in thousands except per-share data)
2009
2008
Revenues
$503,609
$494,043
Net income
47,078
93,205
Net income per share
1.04
2.07
Dividends paid per share
2.68
2.65
Total assets
3,268,034 3,317,207
Total debt
2,302,281 2,317,500
Shareholders’ equity
661,112
650,778
Operating cash flow (loss) 149,624
160,081
Investing cash flow (loss) (47,565)
(80,584)
Financing cash flow (loss) (99,817)
(79,039)
3
Formerly Cadbury Schweppes PLC
Formerly Citizens Communications Co.
2006
$408,946
110,485
3.20
2.57
3,240,418
2,110,820
765,051
162,996
159,653
(209,828)
Directors
2005
$356,966
81,512
2.35
2.53
2,977,870
1,924,086
656,812
136,466
(179,944)
40,944
1
Number of common shares
Edward Pettinella, 57, president and CEO ....................................................................577,834
Nelson Leenhouts, 73, board co-chair ..........................................................................106,379
Norman Leenhouts, 73, board co-chair...........................................................................78,131
Leonard Helbig III, 63 ......................................................................................................67,063
Amy Tait, 50, CEO, Broadstone Ventures LLC, Broadstone Real Estate LLC
and Broadstone Net Lease Inc.; CEO and secretary,
Broadstone Asset Management LLC .........................................................................58,042
Clifford Smith Jr., 62, professor, University of Rochester
Simon Graduate School of Business .........................................................................54,492
Alan Gosule, 68, partner, Clifford Chance U.S. LLP .......................................................33,245
Paul Smith, 73 .................................................................................................................12,559
Joshua Fidler, 53, founding partner, Boulder Ventures Ltd.,
principal, Macks Group.................................................................................................8,663
Stephen Blank, 63, senior fellow of finance, Urban Land Institute ...........................................0
Executive Compensation
Officer
2008 cash compensation2
Edward Pettinella, president and CEO .....................................................................$2,445,828
David Gardner, executive vice president and chief financial officer ...........................1,127,091
Ann McCormick, executive vice president, general counsel and
secretary...................................................................................................................930,782
John Smith, senior vice president .................................................................................957,475
Scott Doyle, senior vice president .................................................................................955,697
Above executive officers as a group ....................................................................$6,416,873
Footnotes:
1
Includes shares that may be acquired by exercising stock options; does not include shares in
certain of the listed individuals’ accounts pursuant to the company’s deferred bonus plan and the
director deferred compensation plan
2
Includes salaries, bonuses, value of stock and option awards, non-equity incentive plan
compensation, value realized from stock options exercised and all other compensation.
Compensation figures are for fiscal 2008; 2009 compensation data were unavailable.
Stock Performance
Five- Year Cumulative Tota l Re tur n for Home Properties
Comm on Stoc k (ver sus NAREIT Equity Index and
S&P 5 00 Index)
$175
$155
$135
$115
$95
$75
2004
2005
Home Prope rties
monthly, quarterly, semiannual or annual declaration.
4
2007
$472,973
82,509
1.71
2.61
3,216,423
2,178,305
675,683
162,558
(87,553)
(187,108)
Researched by Ashley Coon
2006
2007
NAREIT Equit y
2008
2009
S&P 500
ECONOMYTRACK
Want to be an entrepreneur?
OK, first get some chutzpah
couple of months ago, I read “StartUp Nation” by Dan Senor and Saul
Singer. The book examines the phenomenal success of Israel in starting new
companies, attracting venture capital and
fostering an entrepreneurial economy.
In 2005, Israel had 70 companies listed
on Nasdaq, more than any other country
except the United States. From 2000 to
2006, Israel’s share of the global venture
capital market doubled from 15 percent
to 31 percent. Senor and Singer dug for
causes to explain the dynamism of Israel’s
entrepreneurial system and identified one
trait that resonated with me: chutzpah.
Leo Rosten in “The Joys of Yiddish” defines chutzpah as “gall, brazen nerve, effrontery, incredible ‘guts,’ presumption plus arrogance such as no other word and no other
language can do justice to.” This definition
has both negative and positive connotations.
But over time, chutzpah has evolved into a
most admirable attribute. Senor defines it
approvingly as “gall, initiative, tenacity.”
Here are some of the examples Senor
and Singer write about:
■ Shvat Shaked went to California to
convince PayPal’s Scott Thompson and
eBay’s Meg Whitman that his small company, Fraud Services, could analyze customer fraud data better than they did. He
did such a good job that eBay wanted to buy
the company. But Shaked thought his company was worth more than twice what eBay
offered. He held out until the offer came
close to what he wanted—$200 million.
■ Shai Agassi was a senior executive with
SAP, the German software giant. He quit to
form a company called Better Place, with the
audacious goal of taking “one country off
oil” by using electric cars. Agassi convinced
former Israeli Prime Minister Shimon Peres
to come out of retirement, the Israeli government to support the experiment, Carlos
Ghosn of Nissan to design the car and a billionaire to invest more than $100 million.
■ Gavriel Iddan came up with an idea
that others told him was crazy—placing
a camera in a pill to take pictures inside
the human body. His company, Given Imaging, went public in 2001. Today, wellknown companies such as Olympus have
followed in his footsteps.
Ask successful entrepreneurs you meet
in Rochester and you will hear similar stories. Kitty Van Bortel wanted to sell cars
A
PAGE 33
MARCH 12, 2010
National interest rate index
PRIME RATE
(percentage)
FEDERAL FUNDS RATE
0.25
3.50
0.20
3.25
0.15
3.00
INNOVATION
EDGE
F
M
A
M
J
J
A
S
O
N
D
J
F
3-MO. TREASURY BILLS
0.10
F
M
A
M
J
J
A
S
O
N
D
J
F
J
A
S
O
N
D
J
F
A
S
O
N
D
J
F
1-YEAR TREASURY BILLS
0.50
0.75
0.25
0.50
Ashok Rao
but was told it was a man’s job. Yet Kitty
had chutzpah. She asked to meet with each
of the salesmen and persuaded them to give
her a chance. Kitty was so successful that
she now owns a couple of dealerships.
When David Koretz of BlueTie Inc. was
17, he wanted exclusive distribution rights
for a wireless home automation system from
a Singapore company. It was the hottest technology and the first of its kind. Koretz spent
nine months calling almost daily, trying to get
the deal done. Finally the company gave him
a 20-page list of questions—the last of which
was “How old are you?” He sent a 50-page
reply with dozens of references explaining
why age shouldn’t matter. Three weeks later
Gall, initiative and tenacity
have helped to make Israel
an entrepreneurial hotbed.
0
F
M
A
M
J
J
A
S
O
N
D
J
F
10-YEAR TREASURY NOTES
0.25
4
2.5
3
2.0
2
F
M
A
M
J
J
A
S
O
N
D
J
M
A
M
J
F
1.5
F
M
A
M
J
J
Convention
attendance
Bankruptcies and
new corporations
BANKRUPTCIES (in numbers)
200
F
25+-YEAR TREASURY BOND
40,000
30,000
Chapter 7
Chapter 11
Chapter 13
20,000
10,000
he signed the deal.
Tom Golisano worked for Electronic Accounting Systems Inc., preparing payrolls
for large companies. He saw an opportunity to provide the same service to smaller companies. His bosses didn’t agree, so
Tom quit. With money from his family and
credit cards, he started Paychex Inc.
Look for the root causes of entrepreneurial success, and time and again you
will find the attitude Senor and Singer call
chutzpah. But it’s not something you learn
from a textbook or a lecture. You develop
chutzpah by working with, listening to and
networking with successful entrepreneurs.
In college, you get it by participating in
student associations and business plan
competitions, by finding and networking
with entrepreneurially minded people.
Ashok Rao is dean of Rochester Institute
of Technology’s E. Philip Saunders College
of Business.
100
0
F
0
DEC
JAN
M
A
M
J
J
A
S
O
N
D
J
FEB
Median prices
of houses sold (in dollars)
NEW CORPORATIONS (in numbers)
110
250,000
200,000
100
150,000
100,000
ROCHESTER, NY
NATIONAL AVERAGE
50,000
90
AUG
SEPT
’09 1st quarter
OCT
’09 2nd quarter ‘09 3rd quarter
‘09 4th quarter
Home sales
GENESEE COUNTY
LIVINGSTON COUNTY
140
160
140
120
120
100
100
SPOTLIGHT
80
Job openings up nationally, down in Northeast
60
20
Change in job openings, December 2009 to January 2010 (percentages)
2,000
8
1,500
‘09 1st
quarter
‘09 2nd
quarter
‘09 3rd
quarter
‘09 4th
quarter
500
-10
0
Midwest
South
West
Northeast
Source: U.S. Bureau of Labor Statistics
Job openings increased 7.6 percent nationwide in January, rising to an estimated 2.7 million
from 2.5 million in December, according to new data from the Bureau of Labor Statistics. But
openings declined 14.4 percent during the month in the Northeast, which includes New York,
falling from 547,000 to an estimated 468,000. The West also saw a decline of 2.8 percent from
December to January. The Midwest had the largest increase at 11.5 percent, up from 495,000
to an estimated 552,000. The South had the most job openings with an estimated 953,000.
—Ashley Coon
60
‘09 2nd
quarter
‘09 3rd
quarter
‘09 4th
quarter
‘09 2nd
quarter
‘09 3rd
quarter
‘09 4th
quarter
‘09 2nd
quarter
‘09 3rd
quarter
‘09 4th
quarter
300
250
200
150
100
50
‘09 1st
quarter
‘09 2nd
quarter
‘09 3rd
quarter
‘09 4th
quarter
ORLEANS COUNTY
0
300
100
250
80
200
60
150
40
100
20
50
‘09 1st
quarter
‘09 1st
quarter
WAYNE COUNTY
120
0
‘09 1st
quarter
ONTARIO COUNTY
1,000
-4
-16
80
MONROE COUNTY
14
2
F
‘09 2nd
quarter
‘09 3rd
quarter
‘09 4th
quarter
0
‘09 1st
quarter
PAGE 34
Community Events
A Weekly Listing of Upcoming
Non-Profit and Community Events
calendar
FRIDAY, MARCH 19, 2010
19th Annual St. Patrick’s Day Gala: Join Catholic Family
Center at the Rochester Riverside Convention Center for an
event that celebrates the caring and generous Rochester
community. This year’s event will honor the Napier family
with the 2010 CFC Award. The black-tie-optional evening
starts with a complimentary cocktail reception at 6:30 p.m.
and progresses to an elegant evening of dinner and dancing
beginning at 7:30. Individual tickets are $175 per person, the
patron level is $200 per person and tables of 10 are $2,000.
For more information, please call 262-7172 or e-mail [email protected].
SATURDAY, MARCH 20 –
SUNDAY, MARCH 21, 2010
35th Annual Antique Show: Join the Genesee Country Antique Dealers Association at Nazareth College’s Shults Center as more than 50 dealers showcase a variety of fine antiques. Parking is free, facilities are handicapped-accessible
and free child care for ages 2 to 10 will be available from 1
to 3 p.m. each day. A $5 donation will be collected at the
door; proceeds enable the association to fund scholarships
for Nazareth College students enrolled in the arts curriculum
and to give grants to historical societies for specific projects.
For more details, contact Fran Fadden, show committee
chairwoman, at [email protected] or 248-0376.
SATURDAY, MARCH 27, 2010
Classical Idol IV: Seeking the best emerging vocal talent in
the classical music genre, the Rochester Oratorio Society
invites you to a juried competition with audience participation. Following in the footsteps of the popular TV show
“American Idol,” the annual vocal competition invites singers to perform opera, oratorio, art song or musical theater
before a panel of judges and a live audience. Cash prizes are
awarded to the top three winners and an audience favorite.
The competition begins at 7:30 p.m. at the Hochstein Performance Hall, 50 N. Plymouth Ave. General-admission tickets
are $30 per person, $15 for students. Tickets are available at
Parkleigh and other fine retailers. Visit www.ROSsings.org
and www.ROSclassicalidol.org for more details.
SATURDAY, APRIL 10, 2010
Family-Building Dinner & Silent Auction: Join Parenthood for
Me Inc. at the first annual gala event to support the mission
of fulfilling people’s dreams of parenthood. The event’s proceeds will provide emotional support, educational tools and
financial support to those adopting or pursuing assisted reproductive technology to try to conceive. The hope is to ease
some of the burden on people who desperately want to be
parents. The event is from 6:30 - 10:30 p.m. at the Rochester
Yacht Club. Tickets are $100 per person or $900 per table of
10, including table signage. For more ticket information or to
purchase online, visit www.parenthoodforme.org.
Sponsored by:
If you are interested in listing
your non-profit fundraiser in the weekly
Community Events Calendar and Clearinghouse,
please contact Kerry McGlone at (585) 546-8303, ext. 102,
or by e-mail at [email protected].
MARCH 12, 2010
NON-PROFITREPORT
A Weekly Profile of a Local Non-Profit Organization
The Center for Dispute Settlement Inc. promotes nonviolent conflict resolution by offering services including fact-finding, mediation,
arbitration and training in these processes.
The center was founded in 1973 by the
American Arbitration Association in response to conflict resulting from desegregation
of Rochester public schools. As its services expanded and evolved, the center was independently incorporated in 1979.
The center uses trained volunteer mediators and focuses primarily on interpersonal and
minor criminal and civil disputes. Much of its work results from referrals by police agencies, probation departments and various courts in the eight counties of New York’s 7th Judicial District: Cayuga, Livingston, Monroe, Ontario, Seneca, Steuben, Wayne and Yates.
The Center for Dispute Settlement provides services for several kinds of conflicts.
Families: divorce, child custody and visitation mediation; divorce arbitration; mediation of disputes over wills and estates.
Youths and schools: mediation of parent-child disputes, juvenile justice matters, cases involving persons in need of supervision, and disputes about special education or
early intervention services. The center also offers training in peer mediation at schools.
Law enforcement: mediation of cases from municipal courts involving minor felonies, misdemeanors and violations. The center also provides civilian oversight when
there are allegations of misconduct involving Rochester police and Monroe County
sheriff ’s personnel, reviewing investigations and recommending findings.
Other disputes: mediation of small claims such as those involving consumers and
merchants. The center also mediates disputes related to the vehicle Lemon Law and conflicts involving elections for unions, housing authorities and community organizations.
In addition, the center provides training in skills such as mediation, arbitration, negotiation, anger management and resolving workplace conflicts.
The organization has 32 paid staff members and 150 volunteer mediators; Sherry
Walker-Cowart is president and CEO. The office is at 16 E. Main St., Suite 800, and
the Web site is www.cdsadr.org.
Financial record
Year ending March 31, 2009
Revenue
%
New York State Unified Court System . . . . . . . . . . . . . $621,755 . . . . . . . . . . . . . 38
Family Court, 7th Judicial District . . . . . . . . . . . . . . . . . 493,399 . . . . . . . . . . . . . 31
In-kind contributions . . . . . . . . . . . . . . . . . . . . . . . . . . . 122,333 . . . . . . . . . . . . . . 8
Program service fees . . . . . . . . . . . . . . . . . . . . . . . . . . . 114,957 . . . . . . . . . . . . . . 7
City of Rochester . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 86,329 . . . . . . . . . . . . . . 5
Other local and county support . . . . . . . . . . . . . . . . . . . . 75,025 . . . . . . . . . . . . . . 5
State surrogate decision-making funds . . . . . . . . . . . . . . . 27,600 . . . . . . . . . . . . . . 2
United Way aid, Wayne and Steuben counties . . . . . . . . . 24,270 . . . . . . . . . . . . . . 2
Youth bureaus, Livingston and Steuben counties . . . . . . . 24,014 . . . . . . . . . . . . . . 1
Donations and annual support . . . . . . . . . . . . . . . . . . . . . 13,571 . . . . . . . . . . . . . . 1
Foundation grants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,530 . . . . . . . . . . . . . . 1
Total revenue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,615,783 . . . . . . . . . . . . 100
Expenses
%
Program services . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,311,740 . . . . . . . . . . . . . 81
Support services. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 305,572 . . . . . . . . . . . . . 19
Total expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,617,312 . . . . . . . . . . . . 100
Excess (deficiency) of revenue over expenses . . . . . . . . ($1,529)
Board of Directors
Mary Williamson, chairwoman; mediator and retired registered nurse
David Stone, vice chairman; Realtor, ReMax Realty Group, and Xerox Corp. retiree
Vincent Carfagna, treasurer; retired finance director, city of Rochester
Patricia Donnelly, secretary; mediator and Corning Inc. retiree
Leonard Freedman, immediate past president; mediator, management consultant and
retired executive director, Jewish Community Center of Greater Rochester Inc.
Theodore Kantor, executive committee member; partner, Bilgore, Reich, Levine &
Kantor LLP
Tim Mains, executive committee member; principal of School 50, Rochester City
School District
Jack Ascher; financial consultant
Terry Fauth; consultant and retired program director, WHEC-TV
Sandra Fink; president and co-founder, ThinkFink Solutions
Collette Noel; community liaison, Center for Community Health, University of Rochester Medical Center
Flo Paxson; mediator and retired publications manager, Landmark Society of Western
New York Inc.
Jean Ticen; human relations management consultant
George Vito; retired principal of Athena High School, Greece Central School District
Bridgette Jones-Waters; education and evening program coordinator, Wilson Commencement Park
James Waters Jr.; site manager, Community Place of Greater Rochester Inc.
Luis Zamot; mediator and financial adviser, Zamot & Zamot Associates
—Researched by James Leunk
If you are interested in having your group featured in the
Non-Profit Report, please contact Rochester Business Journal
at (585) 546-8303, ext. 116, or e-mail [email protected].
MARCH 12, 2010
seen
PAGE 35
Mercy Flight
Sock Hop
February 20: More than 160 people attended
the 12th annual Sock Hop for Mercy Flight
Central, sponsored by Legends 102.7 at
Holiday Inn Airport. The event raised more
than $3,000 to support the life-saving
services of Mercy Flight Central.
Denise Francione and
John Francione
Marie Borelli and Jan Peartree
Cynthia Jason and emcee Paul Jason
Sunshine Kids Gala
February 27: The Rochester Automobile Dealers’ Association and the Rochester
Rotary hosted the 2010 Sunshine Kids Gala at the Rochester Riverside Convention
Center. The event netted nearly $40,000 for the Sunshine Campus and the
Rochester Auto Dealers Charitable Foundation.
Auto Dealership Employee of the Year
Scott Sweet and Brad McAreavy
Sitting: Former Houston Oiler and speaker Dan Pastorini, Brad
McAreavy, Doug Phillips and Diane Phillips; standing: Larry Argento,
Victoria Argento, Bob Wiesner and Maggie Brooks
Brad McAreavy, Scott Perkins, Joe Floreano and Dan Pastorini
Interested in submitting photos featuring
people at your non-profit events?
Please contact Ruth German at [email protected] or 546-8303, ext. 103, for guidelines on
submitting event photos and details.
PEOPLE
The Rochester Business Journal welcomes photos with press releases three
weeks before the desired publication date.
Prints of digital photos cannot be used,
however. If you would like your photos
returned, please include a stamped, selfaddressed envelope. Send digital submissions to [email protected].
PAGE 36
MARCH 12, 2010
practice on complex construction and commercial matters, including construction
disputes, contract claims, mechanic’s lien
claims and labor law defense matters.
documentation, coordination with clients
and consultants and management of inhouse teams.
Griffith
Kelly
Ritchie
Buskey
Baldwin
B C C S o f t wa re
Inc. announces the
following promotions: Mitch Carpenter, product manager;
Pat Buskey, senior
programmer/database
administrator; Shawn
Baldwin, director of
Fountain
architecture; and Nadine Fountain, data services specialist.
Costich
Costich Engineering has added Michael Ritchie and Sarah Costich to its
staff. Ritchie’s focus areas include municipal design, traffic and transportation
and stormwater management. Costich will
focus on planning, site design and landscape design.
Epic Advisors Inc.
has added Deborah
Bleier as human resources manager. She
will oversee and administer human resources policies and
procedures while coordinating activities
Bleier
related to staff ing,
compensation, employee benefits, performance management and training.
Five Star Bank announces the appointment of Michael Burneal as senior vice
president. He will be responsible for loan
servicing, support of the bank’s core processing platforms, branch operations and
the banking center. Scott Bader has been
appointed information security officer and
senior vice president. He will be responsible for providing technology vision and
support within the organization.
D av i d s o n F i n k
LLP announces that
Dennis Annechino
has been named partner. Annechino joined
the firm in 2002 and
previously was an
associate attorney in
the litigation group.
He concentrates his
SWBR Architects
& Engineers P.C.
has appointed Dan
Glading as project
architect. Glading
brings 12 years of
experience to the position. His responsibilities will include
project design and
Annechino
Burneal
Totin
The Outreach
Center at Rochester
School for the Deaf
has added Matthew
Kelly as coordinator of Promoting Relationships Involving Deaf Employees.
Stephanie Siro ToMatthews
tin has been added as
PRIDE program employment specialist,
while Kelly Matthews has been added as
PRIDE’s case manager/job coach.
Bader
Glading
Iannoli
Lakeside Health System has added
Jennifer Griffith M.D. and Pasquale Iannoli M.D. to its medical staff as part of the
Westside Surgical Associates.
Christa Construction LLC
has hired Tamara
O’Donnell as an
administrative assistant. She brings
more than 10 years
of experience to the
role.
O’Donnell
K a ro ly n B l a c k
has joined the Keller
Wi l l i a m s R e a l t y
Greater Rochester
Market Center as a
real estate sales professional.
Black
Mirror Show Management has hired
Lynne Melos as an exhibit services coordinator and Megan Alchowiak as a brand
specialist. Melos previously was with Symon Communications, while Alchowiak
was with Roberts Communications.
LeChase Construction Services
LLC announces the
addition of James
Geary as corporate
controller. Gear y
previously served as
group controller of
LVI Services Inc.
Geary
MRB Group announces that David
Lukas has been hired
as a senior process
manager in the wastewater division. Lukas
brings more than 35
years of experience to
the role.
Christopher Torres, a nurse practitioner, has joined the
internal medicine department of Finger
Lakes Medical Associates. He will see patients at the organization’s Geneva office.
Torres
Melos
Alchowiak
Lukas
CALENDAR
The Rochester Business Journal welcomes
press releases. Notices of calendar events
should be submitted three weeks before the
event date to ensure timely publication. Send
digital submissions to [email protected].
FRIDAY, MARCH 12
Brighton’s Best Chapter of Business Network International Meeting—Free—7 - 8:30
a.m.—Flour City Diner, 2500 East Ave.—Also
offered March 19—Call Stephen Papuzek at
802-4956 for additional information.
Insero & Co. CPAs Seminar—“2010 QuickBooks
User Forum”—$295—8 - 10 a.m.—100 Chestnut
St.—Call Debbie Tackley at 697-9614 to register.
Rochester Professional Consultants Meeting—“Business Continuity”—Speaker: Susan
Kastan—$5 for members, $8 for non-members—
7:45 a.m.—Brighton Town Hall, 2300 Elmwood
Ave.—Call 244-1060 for additional information.
SUNDAY, MARCH 14
Toastitarians Toastmasters Club Meeting—
Free—12:45 - 3 p.m.—First Unitarian Church of
Rochester, 220 S. Winton Road, Youth Room—
Also offered March 28—Call Shirley at 482-6640
for additional information.
MONDAY, MARCH 15
RochesterWorks Job Network Meeting—
Free—9 - 11 a.m. and 1 - 3 p.m.—255 N. Goodman St.—Also offered March 17—Call 258-3500
Meeting—Free—7:15 - 8:30 a.m.—255 Woodcliff Drive, Fairport—Also offered March 23—Call
Finger Lakes Works-Ontario Career Club—
Free—9 - 11 a.m.—3010 County Complex Drive,
Canandaigua—Also offered March 15—Call Cathy
Levickas at 396-4020 for additional information.
Mid Day Masters Chapter of Business Network International Meeting—Free—Noon 1:30 p.m.—The Legacy at Cranberry Landing,
300 Cranberry Landing—Also offered March
23—Call Mark Hoffman at 305-7133 for additional information.
Rochester-Genesee Regional Transportation Authority Compensation Committee Meeting—Free—Noon – 1:30 p.m—1372 E. Main
St.—Call 654-0273 for additional information.
TUESDAY, MARCH 16
Early Edition Business Professionals Networking Group Meeting—Free—7:30 a.m.—
Bagel Bin Cafe, 2600 Elmwood Ave.—Also offered March 23—Call 292-1220, ext. 312, for
additional information.
Success Unlimited Chapter of Business
Network International Meeting—Free—Noon
- 1:30 p.m.—Northfield Food & Drink, 3001 Monroe Ave.—Also offered March 23—Call Natasha
Johnson at 329-5566 for additional information.
Peak Performers Chapter of Business Network International Meeting—Free—7 - 8:30
a.m.—Flour City Diner, 2500 East Ave.—Also
offered March 23—Call David Miller at 697-4846
Networking Referral Group of Rochester
Speechcrafters Club 1044 of Toastmasters
International Meeting—Free—6 p.m.—T.C. Riley’s Irish Pub, Rochester Institute of Technology, Park Point—Also offered April 6—Call Kevin Yost at 334-7179 for additional information.
WEDNESDAY, MARCH 17
The August Group Networking Meeting—
Free—9:30 - 11 a.m.—Bagel Bin Cafe, 2600
Elmwood Ave.—Visitors are welcome—Also offered March 18—Call Tracey Aiello at 259-0610
Premier Professionals Chapter of Business Network International Meeting—Free—7
- 8:30 a.m.—Flour City Diner, 2500 East Ave.—
Visitors are welcome—Also offered March 24—
Call (518) 618-1260 for additional information.
The New York Networkers Chapter of Business Network International Meeting—Free—
11:30 a.m. - 1 p.m.—Flour City Diner, 2500 East
Ave.—Visitors are welcome—Also offered March
24—Call Adam Wood at 720-9870 for additional information.
North East Marketers Chapter of Business
Network International Meeting—Free—7 8:30 a.m.—Midtown Athletic Club, 200 E. Highland Drive—Also offered March 24—Call Mark
Dolan at 218-4574 for additional information.
TNT Chapter of Business Network International Meeting—Free—7 a.m.—Forest Park
Retirement Community, 99 Forest Park, Victor—
Also offered March 24—Call Brian Hill at 7328432 for additional information.
Early Birds Chapter of Business Network
International Meeting—Free—7 - 8:30 a.m.—
Carpe Diem Travel, 225 Tech Park Drive—Also
offered March 24—Call David McClellen at 5038598 for additional information.
Canalside Trailblazers Networking Group,
CTN II—Free—7:15 - 8:45 a.m.—Holiday Inn
Express, 7502 County Road 42, Victor—Also
offered March 24—Call Bev at 672-5158 for additional information.
Postprandial Toastmasters Meeting—$18—
6:30 - 9:30 p.m.—Sanibel Cottage, 1517 Empire
Blvd., Webster—Also offered March 31—Call David Pope at 750-6234 for additional information.
Network Ontario Meeting—Free—7:45 - 9
a.m.—Union Hill Country Grill, 1891 Ridge
CALENDAR
PAGE 37
MARCH 12, 2010
Road, Ontario—Also offered April 7—Call Glen
Cone at 727-7806 for additional information.
Call 234-1541 for additional information.
Toastmasters International Impressionist
Club Meeting—Free—7 - 9 p.m.—Legacy Parklands, 2000 Park Creek Lane, Churchville—
Visitors are welcome—Also offered April 7—Call
Marlene Markham at 889-4481 for additional
information.
Notable Networkers Chapter of Business
Network International Meeting—Free—7 8:30 a.m.—Holiday Inn Express, 860 Holt Road,
Webster—Visitors are welcome—Also offered
March 25—Call (518) 618-1260 for additional
information.
SCORE Workshop—“Small Business Startup
and Survival”—$45—8:45 a.m. - 3:30 p.m.—
Federal Building, 100 State St.—Call 263-6473
to register.
Networks Lead Group Meeting—Free—8
a.m.—Golden Fox Restaurant, 1115 Culver
Road—Visitors are welcome—Also offered March
25—Call 254-8710 for additional information.
Central Library of Rochester & Monroe County Business & Social Sciences Division/SUNY
College at Brockport Small Business Development Center Program—“Small Business Startup—Doing It Right”—Free—10 a.m. - 12:30 p.m.—
Central Library of Rochester & Monroe County,
115 South Ave.—Call 428-8130 to register.
Greece A Team Chapter of Business Network International Meeting—Free—7- 8:30
a.m.—Hampton Inn, 500 Center Place Drive—
Call Carolyn Stiffler at 732-0428 for additional
information.
Penfield Chamber of Commerce Lunch
Seminar—“How to Use the Internet to Double
or Triple Business”—Speaker: Bob Britton—$25
for members, $40 for non-members—Noon 2:15 p.m.—Penfield Country Club, 1784 Jackson
Road, Penfield—Call 234-1541 to register.
International Business Council Seminar—
“Incoterms”—$39 for members, $49 for nonmembers—7:30 - 10:30 a.m.—Woodcliff Hotel
and Spa, 199 Woodcliff Drive, Fairport—Call
Heidi at 530-6204 for additional information.
Genesee Valley Chapter of the Society for
Human Resource Management Program—
Presenter: Michelle Pedzich—$25 for members,
$35 for non-members—8 a.m.—Brookwood Inn,
Bushnell’s Basin—Call Tony Coccitto at 2306658 for additional information.
Genesee Valley Chapter of ASTD Program—
“Do You Have a Strategy? The Importance of
Setting Strategies for Learning Professionals”—
$10 for members, $20 for non-members—5:30
p.m.—Wegmans School of Nursing, St. John
Fisher College, 3690 East Ave.—Call 753-1418
Penfield Chamber of Commerce Seminar—
“How to Turn Your Web Site into an Automatic
Marketing Machine”—$25 for members, $40 for
non-members—Noon - 2:15 p.m.—Penfield
Country Club, 1784 Jackson Road, Penfield—
THURSDAY, MARCH 18
Towpath Referrals Chapter of Business
Network International Meeting—Free—7 8:30 a.m.—Pineview Family Restaurant, 2139
Union St., Spencerport—Also offered March
25—Call Chris Smith at 899-2675 for additional
information.
Business Builders Chapter of Business
Network International Meeting—Free—7 8:30 a.m.—Bayfront Restaurant, 1075 Empire
Blvd., Irondequoit—Visitors are welcome—Also
offered March 25—Call David Cook at 872-2050
Rochester Business Connections Lead
Group Meeting—Free—8 a.m.—Jay’s Diner,
2612 West Henrietta Road—Visitors are welcome—Also offered March 25—Call Bill Sweetland at 349-0336 for additional information.
Canaltown Connections Chapter of Business Network International Meeting—Free—7
- 8:30 a.m.—Slayton Place, 54 Slayton Ave.,
Spencerport—Also offered March 25—Call (518)
CTN I—Free—7 - 8:30 a.m.—Midvale Country
Club, 2387 Baird Road, Penfield—Also offered
March 25—Call Bev at 672-5158 for additional
information.
Family Restaurant, 1092 Long Pond Road—
Also offered March 25—Call Bev at 672-5158
Rapid Referrals Chapter of Business Network International Meeting—Free—Noon 1:30 p.m.—Flour City Diner, 2500 East Ave.—
Call Andrew Kernahan at 319-1751 for additional information.
HR Works Supervisor Academy Webinar—
“FMLA: Beyond the Basics”—Free—11 a.m. noon—www.hrworks-inc.com—Call 381-8340
to register.
National Association of Credit Management of Upstate N.Y. Monthly Breakfast
Roundtable Discussion—“Sales vs. Credit—
The Positive Solution”—Free for members, $50
for non-members—9 - 10:30 a.m.—Cracker Barrel, 2075 Hylan Drive—Call (716) 826-9260 for
additional information.
Career Development Services Session—
“How Healthy is Your Career?”—Free—5:30 - 6:30
p.m.—150 State St.—Call 244-0765 to register.
New York State Coalition of Property Owners
and Businesses Inc. Meeting—Free for members,
$15 for non-members—7 p.m.—Wishing Well Party House, 1190 Chili Ave.—Call Mary D’Alessandro
at 381-7444 for additional information.
Professionally Speaking Toastmasters
Meeting—Free for non-members—6:30 - 9
p.m.—Midvale Country Club, 2387 Baird Road,
Penfield—Also offered April 13—Call 704-2825
HR Works Supervisor Academy Webinar—
“Making Tough Conversations Easy(er)”—Free—
11 a.m. - noon—www.hrworks-inc.com—Call
381-8340 to register.
Rochester Regional Community Design
Center Reshaping Rochester Lecture Series—
“Retrofitting Suburbia”—$15—7 - 9 p.m.—Irondequoit United Church of Christ, 644 Titus Ave.—
XRX Pioneer Club Luncheon—$16 - $18—
11:30 a.m.—Green Lantern Inn, 1 E. Church St.,
Fairport—Call Sandy Leary at 872-0975 for additional information.
Sir LinkedAlot Seminar—“LinkedIn for Business, Associations & Non-Profits”—$29—11:45
a.m. - 1 p.m.—Bagel Bin, 2600 Elmwood Ave.—
WEDNESDAY, MARCH 24
FRIDAY, MARCH 19
Rochester Professional Consultants Business Forum—Free—7:45 a.m.—Pittsford Public Library, 24 State St.—Call 244-1060 for additional information.
Fairpor t Public Library Workshop—
“LinkedIn: The Power of Online Networking”—
Free—10 - 11:30 a.m.—Fairport Public Library,
1 Village Landing—Call 223-9091 for additional
information.
Greater Rochester Association for Women
Attorneys Panel Discussion—“Ordinary Injustice: How America Holds Court”—$10 for members, $20 for non-members—12:15 - 1:30 p.m.—
Telesca Center for Justice, 1 W. Main St.—Call
TUESDAY, MARCH 23
CTN III—Free—7 - 8:30 a.m.—Country Village
ing—Free—Noon - 1 p.m.—Toshiba Business
Solutions, 150 Metro Park—Visitors are welcome—Also offered April 13—Call Jeff Fasoldt
at 697-5512 for additional information.
Toasted Sage Toastmasters Club Meet-
Rochester Business Network Meeting—
Free—7:15 - 8:45 a.m.—RochesterWorks, 255 N.
Goodman St.—Also offered April 7—Call Doug
Drake at 352-9777 for additional information.
Royal Alliance Associates Seminar—“There
Is Life After Corporate America”—Free—6 - 7:30
p.m.—290 Woodcliff Drive—Call 794-5195, ext.
8561, to register.
THURSDAY, MARCH 25
Frederick Douglass Toastmasters Club
Meeting—Free—7 p.m.—Baden Street Administration Building, 152 Baden St.—Visitors are
welcome—Also offered April 8—Call 325-4910,
ext. 127, for additional information.
Career Development Services Information
Session—Free—2 - 3 p.m.—150 State St.—Call
244-0765 to register.
THERECORD
Erdman, Anthony and Associates Inc. as one
of the Top 100 Engineering Design Firms in New
York.
APPLICATIONS FOR AUTHORITY
MONROE COUNTY
Heritage Christian
Services has named
Joan Van De Wall to its
board of directors.
B&B Funding LLC
Processing address: 3775 Park Ave., Edison,
N.Y. 08820
Filer: Davidson Fink LLP
Hazen Transport Inc.
Processing address: c/o Sullivan & Leavitt P.C.,
22375 Haggerty Road, Novi, Mich. 48375
Filer: Thomas Welland
Hines
Ryan
Iso Tech Design USA Inc.
Processing address: 10532 N.E. 68th St., Suite
D-101, Kirkland, Wash. 98033
Filer: Morris Nichols Arsht & Tunnell LLP
Phelps Construction Group LLC
Processing address: 315 Wootton St., Unit K,
Boonton, N.J. 07005
Filer: Douglas Phelps
Van De Wall
Runyon
Lee
Rochester Rehabilitation Enterprises Inc.
has named Robert
Freese and Paul Moore
to its board of directors.
The Retirement Plan Co. LLC
Processing address: c/o Lewandowski & Associates, 721 Center Road, West Seneca, N.Y.
14224
Filer: Lewandowski & Associates
Freese
ONTARIO COUNTY
Clear Momentum Inc.
Processing address: 5450 Campus Drive,
Canandaigua, N.Y. 14424
Filer: Harter Secrest & Emery LLP
AWARDS AND ACHIEVEMENTS
Hunt Engineers, Architects & Land Surveyors P.C. has received an Award of Excellence from the Upstate New York chapter of the
National Association of Industrial and Office
Properties.
New York Construction magazine has named
Samuel A. Farina Sr., formerly dba West
Winds Cafe
Address: 366 Hawks Nest Circle, Rochester,
N.Y. 14626
Assets: $111,428.00
Liabilities: $215,889.00
Lawyer: George Mitris
Date: Feb. 26
Chapter: 13
Index Number: 10-20370
BANKRUPTCIES
Mary Louise Boyd, formerly dba Boyd’s
Cleaning Service
Address: 5090 County Road 36, Honeoye, N.Y.
Stephen C. Wren, dba Wren Electrical Contracting
Address: 5570 Main St., Sodus, N.Y. 14551
Zatkowsky
The Alzheimer’s Association of Rochester,
New York, announces its new officers: Victoria
Hines, chairwoman; Bill Ryan, vice chairman;
Charles Runyon, treasurer; Anthony Lee, secretary; and Andrew Cappotelli and Miles Zatkowsky, directors.
David M. Alexander, aka David Alexander, dba
DMA Realtors
Address: 3 Aristocrat Circle, Spencerport, N.Y.
14559-1042
Assets: $233,092.00
Liabilities: $2,322,282.79
Lawyer: Louis Asandrov
Date: Feb. 24
Chapter: 13
James B. Koch Jr., formerly dba O/S Koch
Property Management Inc., dba Spike’s
Address: 277 S. Winton Road, Rochester, N.Y.
14610
Assets: NA
Liabilities: NA
Lawyer: David Ealy
Date: Feb. 27
Chapter: 13
Halco Plumbing & Heating has been named
the Best HVAC Employer in the East by Air Conditioning, Heating & Refrigeration News.
Cappotelli
14471
Assets: $3,285.00
Lawyer: John McKeown
Date: Feb. 24
Chapter: 7
Highland Hospital has received the American
Stroke Association’s Get With the GuidelinesStroke Silver Performance Achievement Award.
THERECORD
Assets: $310,600.00
Lawyer: Richard Reilly
Date: March 2
Chapter: 13
Mary C. Booth, fka Toddler Town Child Care,
fka Mary C. Pestle
Address: 247 Elmwood Terrace, Rochester, N.Y.
14620
Assets: $153,370.00
Lawyer: Douglas Lustig
Date: March 3
Chapter: 7
DEEDS
This information is obtained from the Monroe
County Clerk’s Office.
Monro Muffler Brake Inc.
Amount: $878,100.00
Seller: AA&L II LLC
Location: 965 Jefferson Road, Henrietta, N.Y.
14467
Date filed: Jan. 4
Malcho’s 690 Pittsford Victor Road Holdings
LLC
Amount: $2,500,000.00
Seller: 690 Pittsford Victor Rd. Pittsford LLC
Location: 690 Pittsford-Victor Road, Pittsford,
N.Y. 14534
Date filed: Jan. 4
Matthew Betters
Amount: $372,000.00
Seller: Ketmar Development Corp.
Location: 14-16 Bromsgrove Hill, Pittsford, N.Y.
14534
Date filed: Jan. 6
John Brown
Amount: $250,000.00
Seller: Philip Ciufo
Location: 1631 Dewey Ave., Rochester, N.Y.
14615
Date filed: Jan. 7
DISSOLUTIONS
MONROE COUNTY
4771 Dewey Ave. LLC
Filer: Louis Fessard
Crosby Co. of Rochester Inc.
Filer: Edward Crosby
IPS Systems Co. Inc.
Filer: William Decoste
JEM Properties Inc.
Filer: Jerald Eichelberger
K. Allison & Co. Inc.
Filer: Michael Phillips
Kyra Solutions Inc.
Filer: Schaffer & Co.
Picture Magician Inc.
Filer: Donald A.W. Smith P.C.
R&R Staffing International Inc.
Filer: Richard Hagen
1323 E. Ridge Road, Rochester, N.Y.14623
Lienor: Schindler Elevator Corp.
Amount: $11,460.00
Date filed: Dec. 29
Patric Demarco and North Coast Property
Association
1481-1499 and 1501 Dewey Ave., Rochester,
N.Y. 14615
Lienor: Charles Ingoglia
Amount: $20,000.00
Date filed: Jan. 5
Nor-Web Inc.
166 North Ave., Webster, N.Y. 14580
Lienor: Coccia Electric Inc.
Amount: $1,520.00
Date filed: Jan. 7
MECHANICS LIENS SATISFIED
Mechanics liens are filed against the property
owner. Suppliers listed provided materials.
Longhorn Steakhouse
Lienor: Tradesmen International Inc.
Date satisfied: Dec. 30
MORTGAGES
25 Norton LLC
Amount: $1,050,000.00
Mortgagee: Manufacturers and Traders Trust Co.
Location: 25 Norton St., Honeoye Falls, N.Y.
14472
Date filed: Dec. 28
3171 Chili LLC
Amount: $1,800,000.00
Mortgagee: First Niagara Funding Inc.
Location: 3171 Chili Ave., Rochester, N.Y.
14624
Date filed: Dec. 31
3171 Chili LLC
Amount: $1,600,000.00
Mortgagee: First Niagara Funding Inc.
Location: 3171 Chili Ave., Rochester, N.Y.
14624
Date filed: Dec. 31
1157 LLC
Amount: $604,087.00
Mortgagee: Genesee Regional Bank
Location: 1157 Fairport Road, Fairport, N.Y.
14450
Date filed: Dec. 31
Restaurant Group LLC
Amount: $531,250.00
Mortgagee: Canandaigua National Bank and
Trust Co.
Location: 1500 W. Ridge Road, Rochester, N.Y.
14626; 2047 Chili Ave., Rochester, N.Y. 14624;
and 2130 Fairport Nine Mile Point Road, Fairport,
N.Y. 14450
Date filed: Jan. 4
Malcho’s 690 Pittsford-Victor Road Holdings
LLC
Amount: $2,100,000.00
Mortgagee: Canandaigua National Bank and
Trust Co.
N.Y. 14534
Date filed: Jan. 4
Mantoan Management LLC
Filer: Domenic Mantoan
Malcho’s 690 Pittsford-Victor Road Holdings
LLC
Amount: $400,000.00
Mortgagee: Alyson Guillet, Rebecca Guillet,
MLPF&S Cust and Glen Pezzulo
N.Y. 14534
Date filed: Jan. 4
FEDERAL TAX LIENS
NAME CHANGES
County Clerk’s Office. Federal tax liens are
filed by the U.S. Treasury Department.
MONROE COUNTY
Rush Public Storage Inc.
Filer: Richard Brocklebank
WAYNE COUNTY
Regency Funeral Chapel
Amount: $14,284.05
Date filed: Dec. 29
New name: Eastland Ave Corp.
Old name: FRSteam by Speedy’s Cleaners Corp.
Filer: Silver & Feldman
Creature Comfort Pet Sitters Inc.
Amount: $47,392.50
Date filed: Jan. 5
New name: Ricole Real Estate Management
LLC
Old name: Ricole Real Estate & Property Management LLC
Filer: James Cummings III
MECHANICS LIENS
NAME RESERVATIONS
Mechanics liens are filed against the property
owner. Suppliers listed provided materials.
MONROE COUNTY
Mata Hospitality LLC
Clever Hominid Productions LLC
Filer: Derek Brederson
PAGE 38
MARCH 12, 2010
Filer’s address: 136 Brittany Circle, Rochester,
N.Y. 14616
Date filed: Nov. 9
NEW CORPORATIONS
GENESEE COUNTY
Lakshmi Hotels Inc.
4414 Southwestern Blvd., Hamburg, N.Y.
14075
Filer: Servico Inc.
Shermco Inc.
259 Seven Day Road, Darien Center, N.Y.
14040
Filer: Imelda Vasquez
LIVINGSTON COUNTY
600 Ekaterini Inc.
5739 Demitrios Way, Avon, N.Y. 14414
Filer: Ekaterini Kolokouris
MONROE COUNTY
Active America Corp.
131 Marion St., Rochester, N.Y. 14610
Filer: Bryan Mabee
African American Contractor Trade Association Inc.
P.O. Box 24373, Rochester, N.Y. 14624
Filer: George Parker
Andrea’s Auto Repair Shop Inc.
1720 Lake Ave., Rochester, N.Y. 14615
Filer: Barrett Greisberger Dollinger & Fletcher
LLP
Andy Klein Plumbing & Heating Inc.
P.O. Box 76, Mumford, N.Y. 14511
Filer: Olver Korts LLP
Auburn Theatres Inc.
c/o Dibble & Miller P.C., 55 Canterbury Road,
Rochester, N.Y. 14607
Filer: Dibble & Miller P.C.
Resurrection Security Inc.
8030 Hillcrest Drive, Tobyhanna, Pa. 18466
Filer: Robert White II
Robert G. & Florence E. Van Duyn Charitable
Foundation
5 S. Fitzhugh St., Rochester, N.Y. 14614
Filer: Wiedman, Vazzana, Corcoran & Volta
Rochester Area Buick-GMC Dealer Marketing
Association Inc.
295 Woodcliff Drive, Suite 200, Fairport, N.Y.
14450
Filer: Fix Spindelman Brovitz & Goldman P.C.
Salon A.V.A. Inc.
7 Breechbrook Lane, Rochester, N.Y. 14625
Filer: Philip Silver
TLG Enterprises Inc.
1705 Crittenden Road, Rochester, N.Y. 14623
Filer: Tamara Grastorf
Ultramark Inc.
1431 Lake Road, Hamlin, N.Y. 14464
Filer: Deborah O’Malley
ONTARIO COUNTY
Northeast Relocation Systems Inc.
90 West St., Suite 22, New York, N.Y. 10006
Filer: Mindi Smith
WAYNE COUNTY
Bless God America
6067 Lake Ave., Wolcott, N.Y. 14590
Filer: Keith Ross Newland
STATE/COUNTY COURT JUDGMENTS
Brockport Transmission Inc.
1900 Transit Way, Brockport, N.Y. 14420
Amount: $8,219.68
Creditor: Townsend Oil Corp.
Date filed: Dec. 28
Great Lakes Drywall Inc.
45 Longbow Circle, Spencerport, N.Y. 14559
Amount: $8,792.47
Creditor: Erie Insurance Exchange
Date filed: Dec. 28
Patrick Colville and Homeworks
4260 Longpoint Road, Geneseo, N.Y. 14454
Amount: $2,489.99
Creditor: Regional Pavement Maintenance Inc.
Date filed: Dec. 28
Auto Trim & Tronics Inc. and Don Gay
2779 West Henrietta Road, Rochester, N.Y.
14623
Amount: $75,903.37
Creditor: Directed Electronics Inc.
Date filed: Dec. 29
Argilus LLC
3 S. Main St., Pittsford, N.Y. 14534
Amount: $27,702.74
Creditor: Boylan Brown Code Vigdor & Wilson
LLP
Date filed: Dec. 30
Monroe Homes Inc.
630 East Ave., Rochester, N.Y. 14607
Amount: $11,871.52
Creditor: Five Star Equipment Inc.
Date filed: Jan. 4
Catering Specialists LLC
1555 East Henrietta Road, Rochester, N.Y.
14623
Amount: $690,003.71
Creditor: Air Charter Team Inc.
Date filed: Jan. 4
Mobile Media ADZ Inc.
522 Lake Ave., Rochester, N.Y. 14607
Amount: $6,750.00
Creditor: Workers’ Compensation Board of the
State of New York
Date filed: Jan. 5
Jack Peters and Peters Trucking
4805 Redman Road, Brockport, N.Y. 14420
Amount: $34,440.14
State of New York
Date filed: Jan. 5
Thomas Schuth and T&T Schuth Enterprises
Inc., dba Spencerport Rental
5255 W. Ridge Road, Spencerport, N.Y. 14559
Amount: $30,448.24
State of New York
Date filed: Jan. 5
Catered Elegance Inc.
61 Brookfield Road, Rochester, N.Y. 14610
Amount: $74,750.00
State of New York
Date filed: Jan. 5
Spencerport Pizza Shack Inc.
3027 Buffalo Road, North Chili, N.Y. 14514
Amount: $82,000.00
State of New York
Date filed: Jan. 5
Stratigoula LLC, dba Mykonos Cafe
4 Perinton Hills Mall, Fairport, N.Y. 14450
Amount: $43,000.00
State of New York
Date filed: Jan. 5
Vintage Exteriors & Interiors Inc.
652 Stony Point Road, Spencerport, N.Y. 14559
Amount: $74,000.00
State of New York
Date filed: Jan. 5
Evendition Associates LLC
1925 South Ave., Suite 1, Rochester, N.Y. 14620
Amount: $72,000.00
State of New York
Date filed: Jan. 5
Royal Palace Inc.
452 Parsells Ave., Rochester, N.Y. 14609
Amount: $74,000.00
State of New York
Date filed: Jan. 5
Abbott’s of Park Point LLC, dba Abbott’s Frozen Custard and Delbert Smith
2680 W. Ridge Road, Suite 201B, Rochester,
N.Y. 14626
Amount: $8,000.00
State of New York
Date filed: Jan. 5
Rafiq Medical Services P.C.
20 Westerloe Ave., Rochester, N.Y. 14620
Amount: $84,000.00
State of New York
Date filed: Jan. 5
MARKETPLACE
PAGE 39
MARCH 12, 2010
LEGAL NOTICES
Notice of formation of limited
liability company (LLC). Name:
CAA West LLC (the Company).
Articles of Organization filed
with Secretary of State of NY
(SSNY) on 1/26/10. NY office
location: Monroe County. SSNY is designated as agent upon whom process against the
Company may be served. SSNY
shall mail a copy of any such
process to: 2100 First Federal
Plaza, Rochester, NY 14614.
The Company is to be managed by one or more managers.
No members of the Company
shall be liable in their capacity
as members of the Company for
debts, obligations or liabilities
of the Company. No member
of the Company, solely by reason of being a member, is an
agent of the Company for the
purpose of its business, and
no member shall have the authority to act for the Company
solely by virtue of being a member. Purpose/character of the
Company: any and all lawful
activities.
3/12/10
LEGAL NOTICE
Notice of formation of LLC.
Name: Global Net Positive LLC.
Filed Articles of Org. with the
Secretary of State of New York
(SSNY): 1/13/2010. Office location: Monroe County. SSNY
designated as agent of LLC
upon whom process against it
may be served. SSNY shall mail
a copy of any process to: Corporation Service Company, 80
State Street, Albany, NY 12207.
Registered agent to be the agent
of the LLC upon whom process
against it may be served: Corporation Service Company, 80
State Street, Albany, NY 12207.
Purpose: any and all lawful act
or activity.
3/19/10
NOTICE OF SALE
SUPREME COURT: COUNTY
OF MONROE - WELLS FARGO
BANK, N.A., Plaintiff, AGAINST
KATHY A. BANKS, ET AL.,
Defendant(s). Pursuant to a
judgment of foreclosure and
sale duly dated 9/22/2008,
I, the undersigned Referee
will sell at public auction at
the Front Steps of the Monroe County Office Building, 39
West Main Street, City of Rochester, New York, on 3/22/2010
at 9:30 AM, premises known as
85 ROSEMARY DRIVE, ROCHESTER, NY 14621. All that
certain plot piece or parcel of
land, with the buildings and
improvements thereon erected,
situate, lying and being in the
City of ROCHESTER, County of
Monroe and State of New York,
Section, Block and Lot: 091.833-29. Approximate amount of
judgment $45,846.40 plus
interest and costs. Premises
will be sold subject to provisions of filed Judgment Index
#6694/08. James G. Vazzana,
Referee, Steven J. Baum PC,
Attorneys for Plaintiff, P.O. Box
1291, Buffalo, NY 14240-1291
Dated: 2/11/2010
3/12/10
NOTICE OF FORMATION
KING ROAD PROPERTIES LLC
filed Articles of Organization
with the Secretary of State of
New York (“SSNY”) on January
8, 2010. Principal office location: Monroe County. Principal business address: 244 Lake
Avenue, Rochester, New York.
SSNY is the designated agent
upon whom process against
it may be served. SSNY shall
mail process to Phillips Lytle
LLP, 1400 First Federal Plaza,
Rochester, NY 14614. The pur-
pose of the LLC is to engage in
any lawful activity. The LLC is
managed by one or more managers.
FLOOR RENOVATION PROJECT
Spec Charge: $50.00
April 1, 2010 11:00 am
4/2/10
BP#0307-10
MONROE COUNTY PARK PICNIC GRILLS
March 23, 2010 11:00 am
LEGAL NOTICE
Notice of formation of Limited Liability Company. Name:
Kibler Senior Associates, LLC
(“LLC”). Articles of Organization filed with the Secretary of
State of the State of New York
(“SSNY”) on August 10, 2009.
NY office location is Monroe.
The SSNY has been designated as agent of the LLC upon
whom process against it may
be served. The SSNY shall mail
a copy of any process to the
LLC at c/o Home Leasing, LLC,
630 Clinton Square, Rochester,
NY 14604. Purpose/character
of LLC is to engage in any lawful act or activity.
3/19/10
LEGAL NOTICE
BP#0308-10
AIR CONDITIONING UNIT CITY PLACE
April 6, 2010 11:00 am
BP#0309-10
FLOW METER FEV SLUDGE
PUMPS
April 6, 2010 11:00 am
BP#0310-10
HVAC SOFTWARE & INSTALLATION
April 7, 2010 11:00 am
BP#0311-10
INSTALLATION OF UNDERGROUND CONDUIT, PULL
BOXES, PEDESTALS & APPURTENANCES
March 25, 2010 11:00 am
Notice of Formation of LEEMO
LLC. Arts of Org. filed with
Secy. Of State of N.Y. (SSNY)
on 04/28/08. Office location:
Monroe County SSNY designated as agent of LLC upon whom
process against it may served.
SSNY shall mail process to:
LLC, 572 Lyell Ave., Rochester
NY 14606. Purpose: any lawful activity.
BP#0314-10
LINK BELT GRIT COLLECTOR
PARTS
March 30, 2010 11:00 am
3/26/10
Notice of Organization: NUTEQ
Solutions, LLC was filed with
SSNY on 2/2/10. Office: Monroe County. SSNY designated
as agent of LLC whom process
against it may be served. SSNY shall mail process to: 270
Hibiscus Dr, Rochester, NY,
14618. Purpose: Any lawful
activity.
LEGAL NOTICE
Notice of Formation of M.L.A.A.
LLC Arts. of Org. filed with Secy. Of State of N.Y. (SSNY) on
10/15/09. Office Location:
Monroe County SSNY designated as agent of LLC upon
be served. SSNY shall mail process to: The LLC, 43 Clearbrook
Drive, Rochester NY 14609.
Purpose: any lawful activity.
3/26/10
NOTICE
Name of LLC: N3, LLC. Articles
of Organization filed with NY
Dept. of State on 12/30/09.
Office location: Monroe County. Sec. of State designated as
agent of LLC upon whom process against it may be served
and shall mail process to principal business location: 70
Smugglers Lane, Rochester,
3/12/10
LEGAL NOTICE
Business Visions, LLC. Art. Of
Org. filed by Secy. Of State of
NY (SSNY) on 02/01/2010. Office location Monroe County.
SSNY shall mail process to:
C/O United States Corporation Agents, Inc., 7014 13th
Avenue, Suite 202, Brooklyn,
NY 11228. Purpose: Any lawful activity
4/16/10
NOTICE TO BIDDERS
Monroe County is seeking bids
for the following items and/
or services. Specifications
are available at www.monroecounty.gov. Sealed bids will
be publicly opened at the time
and date stated below. Bids
must be received prior to the
time shown at the Office of the
Purchasing Manager: Room
200, County Office Bldg., 39
W. Main St., Rochester, NY
14614; 585-753-1100.
BP#0304-10
MONROE COMMUNITY HOSPITAL-FAITH BUILDING 5 TH
Dawn C. Staub
Purchasing Manager.
3/12/10
LEGAL NOTICE
4/16/10
LEGAL NOTICE
Notice of Formation of Cailcor
Properties LLC. Arts of Org.
filed with Secy. of State of N.Y.
(SSNY) on 11/11/09. Office
location Monroe County. SSNY designated as agent of LLC
process to: The LLC 1675 Penfield Rd. Rochester NY 14625.
Purpose: any lawful activity.
3/26/10
NOTICE
Name of LLC: PALLADINO
FARMS, LLC. Articles of organization filed with NY Dept. of
State on 12/18/09. Office location: Monroe County. Sec. of
State designated as agent of LLC
may be served and shall mail
process to principal business
location: 70 Smugglers Lane,
Rochester, NY 14617. Purpose;;
any lawful activity.
3/12/10
NOTICE OF FORMATION OF
PEESO ENTERPRISES LLC
Peeso Enterprises LLC Articles
of Organization were filed with
the Secretary of State of New
York on October 29, 2009. Office location: Monroe County,
New York. The Secretary of
State is designated as agent
for service of process against
the Company, C/O Gerald
Peeso. The Secretary of State
shall mail process to: 101 Little Creek Circle Rochester, NY
14616. Purpose: For any lawful purpose.
4/9/10
LEGAL NOTICE
Notice of Formation of Pier-
pont Properties LLC Arts. of
Org. filed with Secy. Of State
of N.Y. (SSNY) on 01/30/08.
Office location: Monroe County, SSNY designated as agent
of LLC upon whom process
Against it may be served. SSNY shall mail process To: The
LLC, 3510 Winton Rd., Rochester NY 14623. Purpose: any
lawful activity.
3/26/10
LEGAL NOTICE
Notice of Formation of a Limited
Liability Company (LLC): Name:
ROCITY PROPERTIES LLC, Articles of Organization filed with
the Secretary of State of New
York (SSNY) on 02/08/2010.
Office location: Monroe County. SSNY has been designated as agent of the LLC upon
be served. SSNY shall mail a
copy of process to: C/O ROCITY PROPERTIES LLC, 74 Villa
Nova Rd, Rochester, NY 14617.
Purpose: Any Lawful Purpose.
Latest date upon which LLC is
to dissolve: No specific date.
3/26/10
LEGAL NOTICE
Notice of Formation of Rochester Ravens FC LLC. filed by
Imelda Vasquez on 2/8/10. Office location: Los Angeles. United States Corporation Agents
Inc designated as agent of LLC
may be served. United States
Corporation Agents Inc. shall
mail process to: The LLC, 4618
Ridge Rd W Spencerport, NY
14559. Pur pose: any lawful
activity.
SRH VENTURES,LLC
SRH VENTURES, LLC filed
Articles of Organization with
NYS on January 19, 2010. (1)
Its principal office is in Monroe
County, New York. (2) The principal business location is 45
East Avenue, Suite 500, Rochester, New York 14604. (3) The
Secretary of State has been
designated as its agent and the
post office address to which the
Secretary of State shall mail a
copy of any process against it
is c/o the Company, 45 East
Avenue, Suite 500, Rochester,
New York 14604. (4) Purpose:
Any lawful purpose.
3/12/10
LEGAL NOTICE
Notice of Formation of Wood
Creek Apartments LLC. Arts.
of Org. filed with Secy. of State
of N.Y. (SSNY) on 3/4/10. Office location: Monroe County.
Principal business location:
200 Buell Road, Rochester,
NY 14624. SSNY designated as
agent of LLC upon whom process against it may be served.
SSNY shall mail process to
NY 14624. Purpose: any lawful acts or activities for which
LLCs may be organized.
4/16/10
NOTICE OF FORMATION
Seyna Properties LLC filed Arts.
of Org. with NY Secy. of State
(SS) on 3/1/10. Office location:
Monroe County. SS is designated as agent of LLC upon whom
process against it may be served
and a copy of any process to
principal business address at
31 Harvest Dr., Rochester, NY
14626. Purpose: any lawful activity.
4/16/10
LEGAL NOTICE
Notice of formation of WALKER-LYAUTEY ENTERPRISES,
LLC. Arts. of Org. filed with
Secy. of State of NY (SSNY) on
02/20/2010. Office Location:
Monroe County. SSNY designated as agent of LLC upon
be served. SSNY shall mail copy
of process to PO Box 24410,
Rochester, NY 14624. Purpose:
Any lawful activity.
3/26/10
REAL ESTATE EXCHANGES
4/2/10
LEGAL NOTICE
Notice of Formation of Rosemont Apartments LLC. Arts. of
Org. filed with Secy. of State
of N.Y. (SSNY) on 3/4/10. Office location: Monroe County.
Principal business location:
NY 14624. SSNY designated as
agent of LLC upon whom process against it may be served.
SSNY shall mail process to
NY 14624. Purpose: any lawful acts or activities for which
LLCs may be organized.
R. J. Gullo Realty Co., Inc.
(585) 473-2630
4/16/10
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MARKETPLACE
PAGE 40
MARCH 12, 2010
LEGAL NOTICES
NOTICE OF ORGANIZATION
Notice of formation of professional service limited liability
company (PLLC). Name: Tripolis Medical PLLC (the “Company”). Articles of Organization
filed with Secretary of State of
NY (SSNY) on 2/3/10. NY office location: Monroe County.
SSNY is designated as agent
the Company may be served.
SSNY shall mail a copy of any
such process to: c/o Phillips
Lytle LLP, 1400 First Federal
Plaza, Rochester, NY 14614.
The Company is to be managed by one or more managers. No member of the Com-
pany shall be liable in their
capacity as a member of the
Company for debts, obligations
or liabilities of the Company.
Purpose/character of the Company: practice the profession of
medicine and any and all lawful activities.
3/19/10
LEGAL NOTICE
LIMITED LIABILITY COMPANY.
NAME: 1763 Empire Boulevard,
LLC. Articles of organization
were filed with the Secretary
of State of New York (SSNY) on
January 20, 2010. Office loca-
tion: County of Monroe at c/o
Royal Dynasty Chinese Restaurant, 1900 Empire Boulevard,
Baytowne Plaza, Webster, New
York 14580. SSNY has been
designated as agent of the LLC
a copy of process to the LLC,
3895 Fennell Street, Skaneateles, New York 13152. Purpose:
For any lawful purpose.
On January 7, 2009. Office location: Monroe County, SSNY
Designated as agent of LLC upon whom process against it may
be served. SSNY shall mail process to: The LLC, 85 Goodway
Drive, Rochester, NY 14623.
Purpose: Any lawful activity.
served. SSNY shall mail copy
of process to 7014 13th Ave,
Suite 202, Brooklyn, NY 11228.
Purpose: Any lawful activity.
4/2/10
4/2/10
Notice of formation of AC Armor, LLC. Arts. Of Org. filed
with Secretary of State of New
York on 10/27/2009. Office
County: Monroe. Registered
agent is United States Corporation Agents, Inc upon whom
process against it may be
Notice of Formation of Dr. M.
Dawood Physician, PLLC. Arts.
Of Org. filed with Secy. Of State
of N.Y.(SSNY) on 01/06/10.
Office location: Monroe County. SSNY designated as agent
of PLLC upon whom process
against it may be served. SSNY shall mail process to: The
PLLC, 550 Lattona Rd., Bldg.
C, Ste. 306, Rochester, NY
14626. Purpose: Profession of
LEGAL NOTICE
Notice of Formation of Canandaigua Lake Luxury Rentals,
LLC. Arts. of Org. filed with
Secy. Of State of N.Y. (SSNY)
LEGAL NOTICE
3/12/10
LEGAL NOTICE
Medicine.
4/9/10
LEGAL NOTICE
Notice of Formation of Napora’s Framing LLC. Arts. Of
Org. filed with Secy. Of State of
N.Y.(SSNY) on 12/16/09. Office
location: Monroe County. SSNY designated as agent of LLC
it may be served. SSNY shall
mail process to: Roman Napora, 5 Balsam Ln., Penfield,
4/9/10
COMMERCIAL PROPERTIES
AVAILABLE FOR LEASE
South Winton Court • 3136 South Winton Road
AVAILABLE UNITS
First floor up to 8,000 square feet
Third floor 1,000 to 2,000 square feet
COMMERCIAL WATERFRONT
118’ West shore Cayuga Lakefront, boat launch.
All municipal services. Also: 2 bdrm cottage on property.
This was formerly a restaurant, 4,000 sq.ft.
Can be converted to home. Many Possibilities!
$
249,000
Mel Russo • 315-246-3997
Licensed Real Estate Broker/Owner
For more information contact:
Aydin Yoruk
585.272.8204
www.yorukdev.com
97 Fall Street • Seneca Falls, NY 13148
315-568-9404
www.senecayuga.com • [email protected]
FOR LEASE
12 AQUEDUCT STREET
• 2,600 SQ FT PER FLOOR
(3 FLOORS PLUS BASEMENT)
• $11 SQ FT-NNN PER FLOOR OR
$10 SQ FT-NNN ENTIRE BUILDING
• AMPLE STORAGE SPACE IN BASEMENT
• INCLUDES PARKING
CONTACT:
FARKEL REALTY
TIM OR JOHN SEIBOLD
For Sale - Price Reduced
TEL: 585.546.4990
F E AT U R E D L I S T I N G
CROW’S NEST RESTAURANT
415 BOODYS HILL RD.
Geneva, NY 13165
City West - 38,000 SF
IRST
E A LT Y
Gary W. Miller
(585)271-1720
Cell: 820-0138
• 18,220 SF HighBay Warehouse
• 4600 SF Plush Office
• 15,000 SF leased for 5 years
• Loading Docks, Grade Level Doors
• Priced Right!
Leasing
Sales
Investment
Lakefront
Restaurant and
Bar on the Seneca
Lake Wine Trail
•
•
•
•
•
•
•
List price: $850K
Total sq. ft. available 3771
Acres: .35 waterfront
Zoned commercial 05
Available parking 100+
Boat slips available
Outside dining & bar
Lori A. Levine
(585) 943-4006 • [email protected]
See my web site for further information.
www.enivelrealty.com
COMMERCIAL PROPERTIES
LEASE
Located on White Spruce Boulevard
at the intersection of I-390 & I-590
at the corner of East Henrietta
and Crittenden Roads and
minutes from colleges and
Strong Memorial Hospital.
EAST SIDE! OFFICE & INDUSTRIAL
5,000 - 30,000 Sq. Ft., Loading Dock,
Drive-In Door, Heavy Electric, Sprinkler
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Other Locations Available
Contact Mark Wishman at 383-1920
PAGE 41
MARCH 12, 2010
Downtown:
4 Corners
Office Space
Reynolds
Arcade and
First Federal
Plaza Buildings
From small office suites to full floors
INDUSTRIAL REALTY
546-8111x106
BROKERS PROTECTED
Currently offering both retail space and office and medical
space from 200 square feet to 4,600 square feet
Amenities include:
• Free, abundant parking
• Restaurants and eateries
• Utilities included for many offices
• Full-time on-site maintenance
0(',&$/2)),&(6
ZLWK5($/9$/8(
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Contact Bill Beach at (585) 246-4115
or [email protected]
OffifiFICe Space AVAILABLE
(585) 546-4866
DŽǀĞƌŝŐŚƚŝŶŽƌ
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AVAILABLE: 320-7,900 Sq.Ft.
Professional office suites with easy access
to busy Brighton-Pittsford business district
• Adjacent to I-390, 490 and 590
• Fiber optics and cable on site
• New renovated upscale lobbies
• On site management & security
• Abundant free parking, park-like setting
In Brighton, on Allens Creek Rd. at Monroe Ave.
Managed by:
Visit our website theparkatallenscreek.com to view floor plans
Call Laura Pearce at 585-244-0720 or [email protected]
Want to sell your property?
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OPINION
PAGE 42
MARCH 12, 2010
A bad idea
We all know that desperate times call for desperate
measures, but one should insist on a modicum of common sense nonetheless. In the state’s plan to tax industrial development agencies, it is conspicuously absent.
As Rochester Business Journal reporter Thomas
Adams detailed in last week’s edition, the eight IDAs
in the Rochester area and more than 100 throughout
the state have been told to pay taxes totaling $5 million by the end of the month. The “cost recovery of
central government services” is a thinly disguised bid
by the state to close a budget shortfall now estimated
at more than $9 billion.
As IDA representatives learned one month ago, the
agencies have been hit with payments equal to 4.72 percent of 2008 gross revenues. Regionally, the Genesee
County IDA is facing a whopping $161,541 payment.
For Monroe County’s IDA, the tab is nearly $87,000. By
contrast, the Ontario County IDA’s bill is $9,884.
What explains the wide variation? Most of the
IDAs’ revenues are pass-through funds such as grants
and payments in lieu of taxes that go to entities such
as municipalities and companies. And for each IDA
these amounts can vary substantially from year to
year.
Whether large or small, a tax bill based on passthrough funds makes no sense.
Further, what’s the logic of taxing agencies whose
sole purpose is to foster economic development? The
state’s dire fiscal situation stems chiefly from the severe recession of the past few years; is taxing IDAs
any way to stimulate the growth of taxpaying businesses?
The New York State Association of Counties has
called on the governor and state lawmakers to repeal
this ill-considered tax, and legislation to do that has
been introduced in Albany. But with the end of the
month—and the state’s budget deadline—looming,
repeal is by no means a sure thing.
Compared with a budget shortfall of more than
$9 billion, $5 million is a drop in the bucket. But
in terms of the harmful impact it would have on the
IDAs’ ability to help create and retain jobs, this tax
looms large.
It should be repealed—now.
President and publisher
E
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Editor and vice president
Managing editor
Associate editor
Copy editors
Special projects editor
Online editor
Photographer
Research director
Reporters
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Paul Ericson
Mike Dickinson
Smriti Jacob
Karen Beadling, James Leunk
Sally Parker
Molly Cappotelli
Kimberly McKinzie
Ashley Coon
Thomas Adams, Will Astor, Andrea Deckert,
Nate Dougherty, Mary Stone
Velvet Spicer
Reporter/editorial assistant
A
Susan R. Holliday
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Director of advertising
Ray Schey
Sales administrator
Lisa Hand
Senior account manager
Linda Covington
Account managers
Frank Stamski, Jaclyn Sutherland
Classified account manager
Alex Bauer
Special publications/contract advertising
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E-mail: [email protected] • www.rbjdaily.com
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Rochester Business Journal RBJ (ISSN 0896-3274) is published weekly (semi-weekly the last
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The Wicks Law protects New York taxpayers
or almost a century now, there has been a mandate contractors that it believes can provide the best work at
for state and local government construction projects the most competitive price. Moreover, as in any indusin New York. The purpose of this law—commonly try, increased competition promotes a price war, which
known as the Wicks Law—is to promote competitive produces an initial bid cost that is lower than for single
bidding and provide full transparency in construction prime projects. The result is a project completed more
projects involving taxpayer dollars.
efficiently and effectively, leading to increased value at
The Wicks Law requires the use of multiple bids on a lower cost.
construction projects above a specified dollar amount. If
Let’s examine some facts. A study conducted by proa public construction project exceeds $500,000 in Up- fessor Eddy Rojas of the University of Washington for
state New York, the public agency is required to solicit ELECTRI International—The Foundation for Electriseparate bids from the general contractor, the electrical cal Construction Inc. compared single and multiple bid
contractor, the heating/ventilation/air condiprojects based on their bid cost and on total
tioning contractor and the plumbing contraccontract cost relative to original bid cost. Three
tor. This is known in the industry as a multiple
ratios were examined in this study: final cost
prime project.
to estimated cost, bid cost to estimated cost,
The dollar threshold varies throughout the
and final cost to bid cost.
state to accommodate each area’s market. WithIn New York, the multiple prime contract
out this law, the public construction agency
agency studied was the Off ice of General
accepts a single bid from a general contractor,
Services; the single prime contract agency
which then subcontracts the work to the spewas the State University Construction Fund.
cialty contractors listed above. This is known
There were 220 multiple prime projects toas a single prime project.
G U E S T taling $1,089,000,000 and 247 single prime
There are arguments for using both multiple
contracts totaling $1,350,000,000 in New York
prime and single prime contracts in public conin this study.
struction. Some of the major arguments in faThe study showed that the average ratio of fivor of single prime contracts include cost and
nal cost to estimated cost was 5 percent higher
quality. Proponents of this approach argue that multiple for single prime contracts than for multiple prime conprime contracts lead to higher original bid costs, ampli- tracts. The ratio of bid cost to estimated cost was 4 percent
fied administrative expenses, more change orders and higher for single prime jobs, and the ratio of final cost to
lower quality in the final project.
bid cost was 1 percent higher for single prime contracts.
In fact, there are clear advantages in using multiple Roughly 80 percent of the savings found were attributable
prime contracts. This method actually lowers bid costs to lower bid costs for multiple prime projects.
and increases the quality of the final project. This is priThe Wicks Law was created to promote competitive
marily due to the bidding process being open to all quali- bidding and provide full transparency in construction
fied contractors in the area, which increases competition. projects involving taxpayer dollars. According to this
Multiple prime projects can avoid the concerns of general national study, using multiple prime contracts saves New
contractors hiring “friends,” marking up the price of the York taxpayers millions of dollars.
project and delaying payments to subcontractors. One of
As a New York taxpayer, I would like my money to
the biggest problems in the industry today for a subcon- be used as effectively as possible, especially in today’s
tractor is payment delays or non-payment, which often economy. The Wicks Law continues to accomplish exleads to higher project costs and expensive litigation. If actly what it was designed to do: protect New York taxyou owned a business and completed a job on time with- payers.
out error, wouldn’t you expect to be paid promptly?
Lawrence J. Bradley is executive director of the RochWith multiple prime contracts, the public construction ester chapter of the National Electrical Contractors Asagency has the opportunity to work directly with specialty sociation.
F
OPINION
“People deserve a safe, bustling, exciting, thriving
downtown. East End proved it was possible.”
—David Christa, CEO of Christa Development Corp.,
whose projects include Sagamore on East
SNAPPOLL
Plurality chooses Brooks
to replace Massa in Congress
PAGE 43
MARCH 12, 2010
Koon, Reed tie for second place with 16 percent support
More than a quarter of respondents to this week’s RBJ Daily Report Snap Poll say Monroe County
Executive Maggie Brooks is their pick to replace Eric Massa as the 29th Congressional District representative.
Massa’s decision to resign from office was effective Monday. He took office in January 2009 after
defeating incumbent John “Randy” Kuhl Jr. in the November 2008 election. Massa had lost to Kuhl
two years earlier. In this week’s Snap Poll, Kuhl received support from 11 percent of respondents.
Brooks was favored by 26 percent of respondents. Democrat David Koon, an assemblyman from
Fairport, and Republican Thomas Reed II, the former mayor of Corning, tied for second place with
16 percent apiece. Reed announced last summer that he would run for Massa’s seat this year.
The 29th District includes parts of Monroe and Ontario counties and all of Allegany, Cattaraugus,
Chemung, Schuyler, Steuben and Yates counties.
Of those who participated in the poll, some 42 percent identified themselves as Republicans.
Roughly 910 readers participated in this week’s poll, which was conducted March 8 and 9.
Who is your pick to replace Eric Massa as 29th Congressional District
representative?
26%
16%
Maggie Brooks (R),
Monroe County
executive
David Koon (D),
state assemblyman
from Fairport
6%
Susan John (D),
state assemblywoman
from Rochester
16%
Thomas Reed II (R),
former Corning
mayor
6%
Ellen Polimeni (D),
Canandaigua mayor
12%
Michael Green (D),
Monroe County
district attorney
2%
11%
Randy Kuhl (R),
former 29th District
representative
7%
Shawn Hogan (D),
Hornell mayor
Other
What is your political affiliation?
42%
Republican
31%
Non-affiliated
COMMENTS:
I must say how disappointed I am in Eric Massa.
If his allegations are true that Obama was forcing
him out because of the health care bill, then why
resign now? It makes no sense. He has totally
abandoned his constituents at a critical time. There
is no guarantee the governor will call a special
election, which means we could lose a vote on this
important issue. Again, what is wrong with this
man? For a veteran who often thumped his chest,
where is his courage to do the right thing? He has
let all of us down yet again. Personally, I don’t
think he ever had the right stuff to represent his
constituents and the fact that he is leaving with
his tail between his legs proves it. Let’s hope the
next representative has the right stuff.
—Robert W. Hurlbut, president,
ROHM Services
The population of the 29th is a complex mix of
rural, small city and upscale suburban communities. Somehow, Massa’s mix of life experience in
the military and liberal ideas made him a viable
candidate. Massa also rode the wave of President
Obama’s and Democratic success in many races
across the nation, which is unlikely to repeat this
year. … Of all the names listed, Ms. Brooks is the
only one to meet those criteria. The real question
is, if Ms. Brooks were to run and win, who would
take her place as county executive?
—Frank Orienter, Rochester
Something just doesn’t make sense about this
whole thing. Something just doesn’t smell right.
I’ve always been opposed to Eric Massa, but I also
had a great respect for him. He held open meetings
with the tea party people and stayed until every
24%
Democrat
4%
Other
question was answered. Why does Mr. Massa need
to leave before the (health care) vote? Something
just doesn’t pass the smell test.
—Clifford Jacobson, WebHomeUSA.com
(Gov. David) Paterson could appoint himself
as the replacement and then resign as governor.
It sounds really crazy, but not any crazier than
anything else going on in Albany.
—Doug Lyon, Lyon Capital Management
I thought I had voted for a good man and a Democrat when I voted for Massa. I’m not sure I was
correct about either assessment. Susan (John) has
been a terrific advocate for women and children in
particular. She has accomplished things in a political atmosphere in which one wonders how anyone
could be productive. She would be a great representative from our district, should she decide to run.
—Emily Neece
It saddens me to see the ongoing “drama” of
our political landscape in New York. We are in
the worst financial condition we have seen for
generations, yet our political “leaders” do slim to
nothing to lift us out of this mess. The residents
of New York are the true victims. It’s a sad day
for New York.
—S. Beaver
Politics in New York is an embarrassment.
—Ian Cunningham
I don’t know all the other players. I trust Maggie Brooks; I don’t want to lose a terrific Monroe
County CEO. I can’t vote for Mike Green because
we need his strength and dedication as DA.
—Bob Miglioratti
For more comments, go to rbjdaily.com. To participate in the weekly RBJ Snap Poll,
sign up for the Daily Report at rbj.net/dailyreport.asp.
Present
audience
your message
to the best
in Rochester.
Join the RPO in celebrating
the inaugural season in
Kodak Hall at the Eastman Theatre.
We are proud to offer
advertising opportunities
in BRAVO, the official
magazine of the RPO, for the
2009/2010 season.
To reserve your
advertising space today,
call Michelle Sanfilippo
at 585.546.8303 or
email msanfi[email protected].
Photo courtesy of University of Rochester
PAGE 44
MARCH 12, 2010
POWER
BREAKFAST SERIES
The Pros and Cons of Mayoral Accountability
for the Rochester City School District
March 23, 2010 • 7:30 - 10 a.m.
Rochester Riverside Convention Center
Participate in this important discussion! Become informed!
These national experts and local leaders will share their views
and answer questions:
Robert Duffy
Mayor, City of Rochester
Margaret Raymond
Director of the Center for Research on Education Outcomes (CREDO), Research Fellow,
Stanford University
Adam Urbanski
President, Rochester Teachers Association
Dennis Walcott
Deputy Mayor for Education and Community Development, New York City
Van White
Rochester City School Board Member
Dr. Kenneth Wong
Chair, Department of Education; Walter and Leonore Annenberg Chair for
Education Policy; Professor of Education, Political Science and Public Policy;
Director of Urban Education Policy Program, Brown University
Act now to make your reservations. This event will sell out!
Tickets are $45 per person, $450 per table of 10
Visit go.rbj.net/education for more information and to reserve your seat!
Sponsored by:
Questions? Contact Kerry McGlone by phone at (585) 546-8303, ext. 102 or by email at [email protected].