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State sees 72 percent increase in farm-based beverage licenses since 2011
The number of New York’s farm-based beverage licenses for distilleries, wineries, breweries, and cideries has increased 72 percent since 2011. That’s according to a statement
Gillibrand, Hanna announce a bill to expand access to pre-K programs
HERKIMER — U.S. Senator Kirsten Gillibrand (D–NY) and U.S. Representative Richard Hanna (R–Barneveld) today announced legislation to expand access to early-learning programs for children from
New York state recovers a record $851 million in improper Medicaid payments
Preliminary calculations indicate New York state inspectors recovered more than $851 million in taxpayer money that was improperly spent in the Medicaid program in 2013,
Cuomo launches Business Mentor NY
Gov. Andrew Cuomo on Thursday announced the formal launch of Business Mentor NY, the state’s first “large scale, hands-on” mentoring program geared to help entrepreneurs and small businesses across New York overcome challenges and spur growth. First mentioned in Cuomo’s State of the State address, the new initiative builds on the volunteer-mentoring efforts that helped
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Gov. Andrew Cuomo on Thursday announced the formal launch of Business Mentor NY, the state’s first “large scale, hands-on” mentoring program geared to help entrepreneurs and small businesses across New York overcome challenges and spur growth.
First mentioned in Cuomo’s State of the State address, the new initiative builds on the volunteer-mentoring efforts that helped businesses following Superstorm Sandy, Hurricane Irene, and Tropical Storm Lee, the governor’s office said in a news release.
The free mentoring program connects volunteers working in the private sector to small businesses and minority and women-owned businesses to help them address specific challenges and obstacles to success.
The U.S. Department of Housing and Urban Development provides some of the funding for the program, while Empire State Development handles the program’s administration, Cuomo’s office said.
The one-on-one guidance and counsel will complement the state’s current network of financial and technical-assistance providers.
“When fully operational, it will function as one of the largest integrated networks in the country that will meet the needs of all businesses across New York state,” Cuomo said in the news release.
The mentoring network includes lawyers, accountants, business consultants, and entrepreneurs, along with experts in the field of finance, retail, communications and information technology, human resources and staffing, public relations, and sales and marketing, according to the governor’s office.
The state says it is conducting the program in partnership with MicroMentor, an initiative of Portland, Ore.–based Mercy Corps
Mercy Corps, to leverage its track record of success nationwide.
Mercy Corps says it works to “alleviate suffering, poverty, and oppression by helping people build secure, productive and just communities,” according the organization’s website.
MicroMentor says it has found that businesses that participate in formal mentoring programs, such as Business Mentor NY, are more likely to increase their annual revenue, create jobs, and launch successful businesses compared to business that don’t participate in mentoring programs.
As part of the second stage of the program, New York will launch the Business Mentor NY website this spring. It’ll allowing small businesses to register for the program online, review mentor profiles, and engage with mentors directly.
Program administrators will also be available to help small businesses identify suitable mentors and ensure program quality.
In the final stage, Business Mentor NY will be available to small businesses throughout New York, the governor’s office said.
Contact Reinhardt at ereinhardt@cnybj.com
Chemung Financial profit slips 30 percent in Q4
ELMIRA — Chemung Financial Corp. (NASDAQ: CHMG), the parent company of Chemung Canal Trust Company, reported net income of nearly $1.5 million, or 32 cents per share, in the fourth quarter. That’s down 30 percent from the $2.1 million, or 46 cents a share, the banking company earned during the same quarter in 2012. Excluding
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ELMIRA — Chemung Financial Corp. (NASDAQ: CHMG), the parent company of Chemung Canal Trust Company, reported net income of nearly $1.5 million, or 32 cents per share, in the fourth quarter.
That’s down 30 percent from the $2.1 million, or 46 cents a share, the banking company earned during the same quarter in 2012.
Excluding certain one-time gains and acquisition expenses, Chemung Financial’s core net income for the fourth quarter was $1.7 million, or 37 cents per share, it reported.
Chemung Canal Trust Co. completed its acquisition of six former Bank of America branch offices located in Auburn, Cortland, Ithaca, and Seneca Falls in the fourth quarter.
The bank acquired nearly $178 million in deposits and $1.2 million in loans in the transaction.
Chemung Financial expects the acquisition to add to its earnings in 2015. The company now operates 31 branch offices in New York and 3 branches in Pennsylvania.
It’s Chemung Financial’s fourth acquisition over the past five years.
For the entire year, Chemung Financial earned net income of $8.7 million, or $1.87 per share, down 21 percent from $11 million, or $2.38 per share, during 2012, the company said.
As expected, 2013 was an “eventful and challenging” year as earnings came “under pressure” from net-interest margin compression, Ronald Bentley, president and CEO of Chemung Financial, said in the earnings report.
“The single best strategy to combat margin compression is to grow our balance sheet, so we were pleased with the acquisition of six branch offices in contiguous markets during the fourth quarter of 2013. This transaction becomes increasingly accretive to earnings as we channel the acquired deposits into loans over the next few years,” Bentley said.
Besides the acquisition, Chemung Financial generated “solid” organic growth in both loans and deposits during 2013, Bentley said.
“Commercial loans increased $64.5 million, or 14.2 percent, and consumer loans increased $42.4 million, or 17.7 percent. Excluding the deposits acquired in the branch acquisition, organic growth in deposits was $40.9 million, or 3.9 percent,” he added.
As of Dec. 31, 2013, Chemung Financial reported $1.4 billion in total assets and $1.89 billion of assets under management or administration within its Wealth Management Division.
Those figures are up from the $1.2 billion in total assets and $1.74 billion of assets under management or administration within the Wealth Management Group at the end of 2012.
In addition to retail and commercial banking products, Chemung Canal Trust provides wealth-management products, as well as trust, estate, retirement, and investment services.
Chemung Canal Trust currently has 34 total bank branches in Broome, Chemung, Schuyler, Steuben, Tioga, and Tompkins counties in New York and Bradford County in Pennsylvania.
Chemung Financial also operates five branches, under the name Capital Bank, in Albany and Saratoga counties.
Contact Reinhardt at ereinhardt@cnybj.com
GPO Federal Credit Union names Mayhew to president, CEO posts
NEW HARTFORD — The board of directors of GPO Federal Credit Union (GPOFCU) in New Hartford on Tuesday announced it has selected Nicholas Mayhew to serve as president and CEO. Mayhew assumes his new role on Feb. 3. He most recently served as vice president and CFO of Rome Memorial Hospital, GPOFCU said in a
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NEW HARTFORD — The board of directors of GPO Federal Credit Union (GPOFCU) in New Hartford on Tuesday announced it has selected Nicholas Mayhew to serve as president and CEO.
Mayhew assumes his new role on Feb. 3.
He most recently served as vice president and CFO of Rome Memorial Hospital, GPOFCU said in a news release.
Mayhew has also served on the GPO board of directors for 25 years, including his current role as vice chairman.
“I am looking forward to growing the credit union and continuing to stress the importance of member service … treating our members as we want to be treated ourselves,” Mayhew said in the news release. “I have utmost confidence in the GPO team and that we will continue to be a leading credit union in Oneida, Herkimer, and Madison counties.”
Mayhew is replacing John Prumo, who is retiring as GPO’s president and CEO on March 31 after more than 40 years, GPOFCU said.
Prumo provided “outstanding” leadership to the credit union, Leo Callari, chairman of GPO’s board of directors, said in the news release.
“He is recognized for building the credit union into a [more than] $200 million [asset] institution serving 25,000 members with six branch locations,” Callari said. “We are confident that GPO will continue to grow and thrive under Nick’s leadership as well.”
Founded in 1931 and headquartered in New Hartford, GPO Federal Credit Union is a federally insured, member-owned, financial cooperative.
Contact Reinhardt at ereinhardt@cnybj.com
USDA awards Volney $1.7 million loan and grant for drinking-water system
VOLNEY — The U.S. Department of Agriculture (USDA) is awarding the town of Volney a loan and grant totaling $1.7 million to help bring clean drinking water to more local residents. U.S. Senators Charles Schumer (D–N.Y.) and Kirsten Gillibrand (D–N.Y.) today announced the funding from the USDA’s Water and Waste Disposal Loan and Grant program.
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VOLNEY — The U.S. Department of Agriculture (USDA) is awarding the town of Volney a loan and grant totaling $1.7 million to help bring clean drinking water to more local residents.
U.S. Senators Charles Schumer (D–N.Y.) and Kirsten Gillibrand (D–N.Y.) today announced the funding from the USDA’s Water and Waste Disposal Loan and Grant program.
The USDA is awarding Volney a federal loan worth $1.2 million and a federal grant worth $500,000 to construct a new distribution system to bring drinking water to residents in Airport Water District Extension No. 2.
This “targeted” federal investment will help Volney improve its infrastructure, enhance public health, and spare local finances, Schumer contended in a news release.
“This investment means a safer, cleaner drinking water supply is coming to the town of Volney; and the town can now use funds it otherwise would have spent on this project for other projects to benefit residents,” Schumer said.
Contact Reinhardt at ereinhardt@cnybj.com
The Beeches: Adapting in the second hundred years
Necessity is the handmaiden of invention. — author unknown ROME — On Dec. 12, 1901, Guglielmo Marconi received the first radio signal transmitted across the Atlantic Ocean. At the same time, Frank Destito was on board a ship bound from Italy to New York City — final destination: Rome, N.Y. Destito, who was newly married,
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Necessity is the handmaiden of invention. — author unknown
ROME — On Dec. 12, 1901, Guglielmo Marconi received the first radio signal transmitted across the Atlantic Ocean. At the same time, Frank Destito was on board a ship bound from Italy to New York City — final destination: Rome, N.Y.
Destito, who was newly married, followed his dream to come to America, the land of opportunity. Four years after his arrival, he brought his young wife, Michelina, and their children to join him. When the cobbler’s daughter arrived in America, she found her Rome house full of boarders, something her husband had forgotten to mention. Michelina cooked breakfast and created original dinner recipes, for which she charged the boarders a dime.
In 1908, building on the experience and reputation of the boarding house, the young couple opened the Savoy Restaurant in downtown Rome, named after the royal family of Italy. Noted for its five-cent schooners of beer, it was a success for more than four decades before the family decided to expand the business. In 1949, a newly married son, Pasquale, and his wife visited the estate of Dr. Frank M. Potter, the vice president of General Cable Corp., hoping to buy one of the cottages on the 52-acre property just north of the city. While his wife focused on acquiring a residence, Pasquale saw a business opportunity. Turning to his brothers Orlando and Rosario, the three convinced their mother that the estate could be become a restaurant.
The Destito family added The (Paul Revere) Lodge in 1955, renamed the Inn at The Beeches, and a 40,000-square-foot office building in 1985 that currently houses nine tenants. Over the decades, The Beeches Conference Center and the Inn on Turin Road have both been expanded and remodeled several times. The third generation runs the family business today: Orlando (Orrie), Frank, and Dominick. Christopher Destito, a partner in the family business, died on Jan. 21, 2010.
From its humble origins as a boarding operation, the Destito family “… now employs up to 140 area residents in-season, and the properties include 225,000 square feet of buildings, which are owned by the Destito Realty Co. [formed in 1989],” says Orrie Destito. “The business … [generates] between $10 [million] and $15 million [annually] … Our facilities include 70 guest rooms and seven, extended-stay suites plus three restaurants. Our banquet facility has 10 rooms and the capacity to seat 800 at one sitting. For decades, we grew with the community. Today our challenge is that the city is only half the size it was in the 1950s and the populace is less affluent. (The Rome census of 2012 counted 32,840 residents.) When we built the Inn in 1955, Rome had a lot of industry: Pettibone, General Cable, and Griffiss Air Force Base. The population shift has forced us to reach outside Rome [for business] and to diversify. We now draw weddings and conferences from up to 100 miles away and catering has become a growing part of our business.
The Beeches is also adapting to industry changes that have boosted competition.
“The hospitality industry has really changed,” says Destito. “There is a lot more competition from the fast-food and casual-dining industry. We also need to change the fact that The Beeches is a nine-month operation. The challenge is to attract more activity in the winter months. [Historically], the secret to our success has always been our ability to adapt and to come up with fresh ideas. We look upon hardships as just another challenge. Our parents taught us that complaining about a problem doesn’t … [fix] it. We need to constantly look for new trends and opportunities. For example, in 2010, once we had acquired a state liquor license, we created CD Food & Beverage Co. to provide alcohol to casino customers at Turning Stone.”
Embracing change
The Destitos have long been known for their creativity and for seeing opportunities.”Uncle Pat (Pasquale) was the Cecile B. DeMille of Rome,” asserts Orrie Destito. “We used to have toga parties at The Beeches, including chariot races on the grounds. He always had a creative spark to attract area residents to our facilities.” But creativity is not the only marketing strategy employed by the family. “We are refocusing on attracting more bus tours, something we … [initiated] in 1978. Also, the New York State snowmobile trail goes through our property. We are reaching out to groups from Rochester and Buffalo to join us at the Beeches for a three-day, snowmobile package. In addition, we are working with the new owners at the Snow Ridge Ski Resort in Turin to attract some of the downhill and cross-country skiers, tubers, and snowboarders to stay with us.”
The Destitos have also brought Jay Huggins in to beef up the marketing. Huggins, a native of Lee, Mass., came to Rome decades ago to work as the general manager of the local Friendly’s restaurant. He also managed Carmella’s Café in New Hartford before opening Teddy’s, a very popular, local, family restaurant, in Rome in 1990. Huggins sold Teddy’s in 2005, and joined The Savoy on E. Dominick Street in 2009 as the general manager, before moving to The Beeches nine months ago.
“Jay has some great ideas,” Destito enthuses. “This is the year of big changes, from retooling the menus to [instituting] efficiencies. Jay’s job is to generate more business, to be aggressive in marketing. This means using a variety of promotional … [techniques], including social media to get the word out.” (The Beeches currently has more than 1,750 Facebook followers and relies heavily on Pinterest for promoting weddings.)
“Orrie has already mentioned our growing catering business,” says Huggins. “One of the trends … [propelling] our growth is barn weddings. To many, a barn is a magical setting for a wedding. You may … [instinctively] think of cows, dirt, paper plates, and hay, but a number of couples think a barn is eco-friendly, [chic], and budget-friendly. Area residents have spent hundreds of thousands of dollars fixing up their barns to be attractive venues. It’s really a hot trend, and for us, it has been a real boost to our catering operation.”
Orrie Destito, a native of Rome, received his associate degree in mechanical-engineering technology from SUNY Canton and a B.S. in mechanical engineering from the University of Southern Colorado (now called Colorado State University–Pueblo). Wishing to obtain a masters degree, he instead returned home because his dad was ill. He joined the family business in 1978.
In additional to relying on its staff, The Beeches and The Savoy also utilize area professional services. “We have banked with NBT for years,” says Destito. “For legal services, we turn to the Getty Law Firm [in Rome] and Bond, Schoeneck & King [PLLC]. Our accounting is handled by D’Arcangelo [& Co., LLP].”
The Destitos are in their second century as restaurateurs. “We have seen the good times and the bad times, lifestyle changes, and the ups and down of the economy,” notes Orrie Destito.” But one thing hasn’t changed over the years — our customers’ loyalty. Our parents taught us to follow one basic lesson: Just take care of your customers and that path will lead to your success. But they taught us another lesson — the importance of family.” Every Sunday, the Destito clan gathers at the Savoy for brunch. “We often have 40 members of the family join together for Aunt Yolanda’s chicken cacciatore, Aunt Fannie’s fettucine, Uncle Pat’s zuppa di pesce, and Uncle Orrie’s baked ziti and sausage. It’s the glue that holds the family together.”
The Destitos’ story is an American story. They have lived the American dream here in the land of opportunity. It may not be long before the fourth generation joins the family tradition.
Contact Poltenson at npoltenson@cnybj.com
CNY unemployment rates decline, job growth mixed
Jobless rates continue to decline across Central New York, but the region’s job-growth picture remains mixed. Unemployment rates in the Syracuse, Binghamton, Utica–Rome, and Ithaca metro areas fell by an average of more than 1 percentage point when compared to a year ago, according to the latest New York State Department of Labor data released
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Jobless rates continue to decline across Central New York, but the region’s job-growth picture remains mixed.
Unemployment rates in the Syracuse, Binghamton, Utica–Rome, and Ithaca metro areas fell by an average of more than 1 percentage point when compared to a year ago, according to the latest New York State Department of Labor data released Jan. 28.
At the same time, the data indicates a net gain in total jobs in the Syracuse and Utica–Rome regions between late 2012 and late 2013, and year-over-year job losses in the Ithaca and Binghamton regions.
The jobless rate in the Syracuse area was 6.5 percent in December, down from 6.6 percent in November, and well below the 8.5 percent posted in December 2012. The rate in the Utica–Rome region was 6.8 percent in December, down from 6.9 percent in November, and sharply lower than the 8.9 percent of a year ago.
The unemployment rate in the Binghamton region was 6.9 percent in December, down from 7.1 percent in November and below the 8.8 percent posted a year prior, according to figures from the state Labor Department.
The jobless rate in the Ithaca area came in at 4.1 percent in December, down from 4.4 percent in November, and off from the 5.5 percent rate in December 2012, the state Labor Department said.
The data isn’t seasonally adjusted, meaning the figures don’t reflect seasonal influences such as holiday hires.
The New York counties with among the highest unemployment rates in December include Jefferson and Hamilton at 9.1 percent and Lewis at 8.9 percent. Bronx County had the state’s highest jobless rate in December at 10.6 percent.
At 4.1 percent, Tompkins County posted the lowest unemployment rate in New York during December, the state Labor Department said.
The unemployment rates are calculated following procedures prescribed by the U.S. Bureau of Labor Statistics, the department noted.
CNY regional data
The Syracuse metro area generated a net gain of 4,100 total jobs between December 2012 and this past December, an increase of 1.3 percent, according to the state data. The region picked up 3,900 private-sector jobs in the same period, a rise of 1.5 percent.
The Ithaca region lost 200 total jobs year-over-year, a decrease of 0.3 percent. Ithaca’s private-sector employers lost 300 jobs between December 2012 and December 2013, a decline of 0.5 percent.
In the Utica–Rome metro area, the state figures indicate a year-over-year net gain of 1,300 total jobs, or 1 percent. The region also gained 1,600 private-sector jobs, a 1.7 percent increase, in the same 12-month period.
The Binghamton area saw a year-over-year net decline of 1,000 total jobs, or a 0.9 percent decrease. In the same time period, the region’s private-sector job count remained unchanged between December 2012 and this past December.
The state’s private-sector job count is based on a payroll survey of 18,000 New York employers that the U.S. Department of Labor conducts, the state Labor Department said.
The federal government calculates New York’s unemployment rate partly based upon the results of a monthly telephone survey of 3,100 state households that the U.S. Bureau of Labor Statistics conducts.
Statewide unemployment
New York’s unemployment rate declined to 7.1 percent in December, from 7.4 percent in November, hitting its lowest level since January 2009.
That’s according to preliminary figures the New York State Department of Labor released Jan. 23.
The Empire State’s economy added 10,400 private-sector jobs in December, raising New York’s private-sector job count to more than 7.5 million, representing an “all-time high,” the department said in a news release.
The preliminary December unemployment rate of 7.1 percent for New York is down from the 8.2 percent rate in December 2012, according to the state Labor Department data.
In areas of the state outside of New York City, which includes all of upstate and Long Island, the unemployment rate fell to 6.3 percent in December, down from 7.8 percent in December 2012, according to the department’s data.
Educational and health services added the most jobs statewide, more than 52,000, over the last year. The trade, transportation, and utilities sector was the second biggest jobs producer, adding nearly 36,000 positions, according to the state Labor Department.
The leisure and hospitality sector was third on the list, adding more than 14,000 jobs. The professional and business-services sector followed, picking up more than 11,000 jobs.
The government sector led the way in job losses in December, declining by more than 13,000, in the last year, according to the state Labor Department.
Contact Reinhardt at ereinhardt@cnybj.com
Credit Union Classic is a truly global event
DeWITT — The 2014 Credit Union Classic, a Symetra (formerly Futures) Tour “Road to the LPGA” event, will attract 144 U.S. and international women golfers to Drumlins Country Club in DeWitt this summer. Organizers announced details on Jan. 10 at Drumlins. “You’ll see around the putting green … 35 different flags from different countries. It’s
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DeWITT — The 2014 Credit Union Classic, a Symetra (formerly Futures) Tour “Road to the LPGA” event, will attract 144 U.S. and international women golfers to Drumlins Country Club in DeWitt this summer.
Organizers announced details on Jan. 10 at Drumlins.
“You’ll see around the putting green … 35 different flags from different countries. It’s a worldwide tour,” Bill Motto, director of the Credit Union Classic, said in his remarks at the Jan. 10 announcement.
The golf tournament, scheduled for the week of July 28 through Aug. 3, has an annual economic impact of more than $350,000, Motto said.
The Credit Union Classic golf tournament, the third longest running event on the Symetra tour, is the largest professional sporting event in Syracuse, he added.
“Last year, we had 60 companies involved with the event in different aspects of the event, which is so important for us,” Motto said.
Syracuse–based Empower Federal Credit Union, Rochester–based Summit Federal Credit Union (FCU), and Albany–based SEFCU are partnering with Wegmans, a Rochester–based grocery store chain, as the presenting sponsors for the third consecutive year.
The Symetra Financial Corp., a financial-services firm headquartered in Bellevue, Wash., serves as the naming sponsor on the futures tour.
The tournament is scheduled a week later this year, Mike Vadala, Summit FCU president and tournament chairman, said in his remarks.
“That’s just to accommodate the entire schedule for the Northeast swing [of the futures tour], which traditionally has gone through New Hampshire, Albany, then over here to Syracuse before the girls finally get a week off,” Vadala said.
The participants, Vadala notes, are competing for status on the LPGA tour.
“It really makes this event special,” he adds.
About 100 of the golfers coming to Syracuse will stay with host families for the week of the tournament, Motto said. Organizers are looking for additional volunteers to host the golfers and will conduct a screening process for those interested, he added.
“There’s a need for that, and the people that have stepped forward, I think, have gotten a lot out of this event, too,” Motto said.
Calle Nielson, a 2011 graduate of the University of Virginia and a third-year pro on the Symetra Tour, called Syracuse one of her “favorite stops” on the tour.
Nielson spoke at the Jan. 10 announcement. She didn’t name the person she stays with during that week but says she has remained in touch with the individual.
“And that’s life on the tour. This tour is taking me to where I want to be, hopefully, one day,” Nielson said.
Participating in the Symetra Tour requires “a lot of traveling,” Catherine O’Donnell, a second-year pro on the tour, said in her remarks.
“It took me a while to get used to … You have to plan each week, and once I figured that out, it was good,” she said.
O’Donnell is a graduate of the University of North Carolina.
The organization The First Tee of Syracuse, which operates at Drumlins, is the Credit Union Classic’s primary beneficiary.
Founded in 2007, The First Tee aims “to impact the lives of young people by providing learning facilities and educational programs that promote character development and life-enhancing values through the game of golf,” according to the organization’s website.
The First Tee isn’t just a golf program and a golf camp, Peter Webber, executive director of First Tee of Syracuse, said in his remarks.
“We have 330 kids [between ages 7 and 17]. We’re about 60 percent minority. We’re also 40 percent girls,” Webber said.
The tournament has raised nearly $500,000 for charities since its inception, organizers said.
The 2013 Credit Union Classic was won by Olivia Jordan-Higgins of the United Kingdom.
Contact Reinhardt at ereinhardt@cnybj.com
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