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Ithaca software firm opens new offices in Syracuse, Endicott
SYRACUSE — Ithaca–based software-development firm Envisage Information Systems has new offices in Syracuse and Endicott and is working to tap into the local talent pools in those markets to keep pace with its recent growth. The Syracuse office, located in 4,000 square feet at Presidential Plaza, opened in January. Envisage has had a presence in […]
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SYRACUSE — Ithaca–based software-development firm Envisage Information Systems has new offices in Syracuse and Endicott and is working to tap into the local talent pools in those markets to keep pace with its recent growth.
The Syracuse office, located in 4,000 square feet at Presidential Plaza, opened in January. Envisage has had a presence in Endicott, a 4,000-square-foot office at 306 E. Main St., since September.
Envisage provides recordkeeping systems and other software products for the retirement industry.
Both new offices have about 20 people currently with room to double that total, says Robb Jetty, senior executive vice president at Envisage. The company expects to grow the offices to those levels over the next six months, he adds.
Envisage is headquartered in a 15,000-square-foot building at 31 Dutch Mill Road in Ithaca. The satellite locations launched so the firm could attract talent more easily from those communities, Jetty says.
The business has been growing rapidly in recent years and finding enough people to keep pace has been challenging, he adds.
“That is our biggest challenge and we are happy to have it,” Jetty says.
Around 2009, Envisage had about 30 employees and generated $5 million in revenue. But some new federal regulations that emerged that year started the firm on a path to rapid growth, according to the company.
The rules applied to 403(b) retirement plans. They’re similar to 401(k) plans, but used by colleges, hospitals, and other nonprofits. The regulations mandated new levels of accountability and required a consolidated overall picture of what was happening in the plans.
That meant that a need for new software emerged, according to Envisage. The company built a software product, known as Common Remitter, to help the industry meet the new rules. The firm worked with a client in Kansas to design the product.
The client went live and ran the system for about a year before a national player in the space found out about it and signed on. The product allowed Envisage to grow its revenue and helped the staff swell to its current total of about 200.
Envisage was expecting more than $15 million in revenue in 2012.
The company is just starting to reach out directly to colleges and universities on recruiting, Jetty says. Envisage expects the new offices to help with those efforts.
The initial staff members at both locations already worked for Envisage and either commuted to Ithaca or worked remotely, Jetty says. He adds that the company tries to hire as many local people as possible, but its rapid growth rate has prompted some outsourcing.
“Our growth forced us to attack on all fronts,” he says.
The satellite offices house a mix of employees including software developers, business analysts, project managers, and more. Envisage could look to open more remote offices in the future, Jetty says.
The company also has been hiring in the Rochester market so that could be a future target for a physical location, he says. The firm has about four employees in that market at the moment so that base would have to grow before opening an office there.
Envisage has clients nationwide and has been in business since 1990. The firm has been focusing on the retirement industry since 1998.
Jetty and Envisage President and CEO Steff McGonagle own the firm with several angel investors.
Contact Tampone at ktampone@cnybj.com
Upstate consumer confidence drops for third consecutive month
Consumers in upstate New York had a growing case of the blues for the third straight month in January. An index of overall consumer sentiment for Upstate New York from the Siena (College) Research Institute (SRI) fell 2.5 points during the month to 68.3. The decline, which came after a 2.8-point drop in December and
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Consumers in upstate New York had a growing case of the blues for the third straight month in January.
An index of overall consumer sentiment for Upstate New York from the Siena (College) Research Institute (SRI) fell 2.5 points during the month to 68.3. The decline, which came after a 2.8-point drop in December and a 2-point dip in November, means consumers pulled back on their willingness to spend.
Upstate’s consumer-confidence reading has now slipped firmly below its break-even point of about 76 after flirting with the mark in October. Confidence-index readings above 76 indicate primarily optimistic consumers, while readings below 76 mean more consumers were pessimistic.
Confidence declined regarding both current conditions and hopes for the future. The region’s current-confidence index slipped 1.9 points to 72.4. Its future-confidence index skidded 2.9 points to 65.7.
“We’re almost identical to where we were in January 2012,” says Douglas Lonnstrom, a professor of statistics and finance at Siena College and SRI founding director. “All we did was drift for the whole year.”
In January of 2012, Upstate’s overall confidence notched 69.5. Its current confidence was 73.9, and its future confidence was 66.7.
Back in the current year, consumers in the metropolitan New York City area also lost confidence. The area’s overall sentiment score dipped 3.4 points to 77.9. Its current score edged down 0.8 points to 75, while its future score crumbled 5.1 points to 79.8.
That helped drag down indexes measuring consumer sentiment in New York State as a whole. The state’s overall index eroded 2.8 points to 74.5, its current index ticked down 1.1 points to 74.3, and its future index tumbled 3.9 points to 74.7.
SRI’s data shows confidence diverging slightly between higher-income earners and lower-income earners in the state. Overall confidence climbed among higher-income residents, moving up 1.1 points to 80.2. It moved down for lower-income residents, crashing 5 points to 68.2.
“Everybody was down except high-income people,” Lonnstrom says. “And they were only up a point, so there was not a lot there.”
Also rising by about a point was a confidence reading for the U.S. as a whole. The University of Michigan’s national Index of Consumer Sentiment edged up 0.9 points to 73.8. Its current index lost 2 points to 85, but its future index gained 2.8 points to 66.6.
Gas and food prices
Food prices became a larger problem for upstate’s consumers in January, according to SRI’s polling. The portion of the region’s consumers naming food prices as a problem leapt 6 points to 72 percent.
Gasoline prices were also cited as a problem by more than half of upstate residents, but the portion pointing to gas prices as an issue rose just 2 points to 64 percent. The portion of residents naming both gas and food prices as a problem jumped 5 points to 56 percent.
“If you look at gas prices, they stayed very level,” Lonnstrom says. “However, food prices took a jump up.”
Statewide, 71 percent of consumers pointed to food prices as a problem, up 4 points from December. Concern for gas prices held even in January at 54 percent, while concern over both gas and food prices hit 47 percent, up 2 points from the previous month.
New York buying plans
Buying plans had a rocky month in January, as consumers cut back on intentions to purchase goods in four of five categories that SRI measures.
But the remaining category, homes, provided some reason for hope, Lonnstrom says. Home-buying plans jumped 1.5 points so that 4.4 percent of consumers intended to purchase a home in the next six months.
“The one bright spot is perhaps home-buying,” Lonnstrom says. “If the housing market could turn around, we could see a better year here.”
Plans to buy cars and trucks deflated 0.9 points to 10.6 percent, and plans to buy computers dialed down 3 points to 14.9 percent. Furniture-buying plans sank 0.1 point to 20.6 percent, and plans to purchase major home improvements edged 0.4 points toward the basement, moving to 16.2 percent.
SRI conducted its monthly consumer-confidence survey by making random telephone calls to 801 New York residents over the age of 18 in January. A margin of error does not apply to consumer-confidence index results, which come from a series of statistical calculations, SRI says. Buying plans have a margin of error of plus or minus 3.5 points.
Contact Seltzer at rseltzer@cnybj.com
St. Joseph’s moves toward new EHR system with Onondaga Tower lease
SYRACUSE — Taking over new physical space in downtown Syracuse was a step toward virtual changes at St. Joseph’s Hospital Health Center. The 431-bed Syracuse hospital and health-care system took over 22,000 square feet of space in Onondaga Tower on Jan. 31. That building, formerly known as the HSBC Tower, sits at the corner of
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SYRACUSE — Taking over new physical space in downtown Syracuse was a step toward virtual changes at St. Joseph’s Hospital Health Center.
The 431-bed Syracuse hospital and health-care system took over 22,000 square feet of space in Onondaga Tower on Jan. 31. That building, formerly known as the HSBC Tower, sits at the corner of South Warren Street and East Jefferson Street.
St. Joseph’s is leasing the tower’s entire ninth floor and most of its 10th floor. It is using the space to house employees tasked with implementing a new electronic health record (EHR) system.
“Whereas in the past, we may have had a specific system dedicated to the operating room or emergency room or a physician’s office, we’ll now have an integrated system that bridges all of those areas more smoothly,” says Jamie Nicolosi, EHR implementation program director at St. Joseph’s. “That will improve patient safety, operational efficiency, and overall quality by providing smoother transitions between care settings.”
St. Joseph’s has 93 employees at Onondaga Tower working on the new system. They are all in new positions, but about 60 had previously been employed in other roles by the health-care organization. The hospital hired about 30 new workers to fill out the implementation team.
The EHR system comes from Wisconsin–based Epic Systems Corp. Epic will be sending between 25 and 35 people to Syracuse to work in the new space at Onondaga tower, Nicolosi says. The exact number of Epic employees at the location will vary week-to-week.
“It will take us about 18 months just to implement it,” Nicolosi says. “And then the refinement of it will be at least another six months, and then it will continue to build and be optimized after that.”
Implementation must be complete by the end of 2014 to conform to EHR “meaningful use” standards. Those standards are tied to reimbursements under Medicare and Medicaid EHR incentive programs.
A new patient portal will likely go online in June 2014, according to Nicolosi. That will give patients access to their appointments and medical history while also allowing them to communicate with their health-care providers.
Patients in certain St. Joseph’s offices may already have some of those EHR capabilities. But the new portal will be more comprehensive, Nicolosi says.
St. Joseph’s views its decision to place the implementation team at Onondaga Tower as a way to support the city of Syracuse and connect with the downtown area, he continues. The hospital, located at 301 Prospect Ave., started looking for a place to put the team in November.
“Space as well as parking are at a premium on our campus,” Nicolosi says. “To create a whole new department, which is essentially what we did — we didn’t have space.”
Onondaga Tower is owned by 360 Warren Associates LLC. That company is a partnership of Syracuse’s CBD Cos. and Cadaret, Grant & Co., Inc.
In addition to the 93 employees St. Joseph’s has at the tower working on the EHR implementation project, it is also moving about 40 technology workers there. Those employees are tasked with working on the hospital’s current EHR systems, Nicolosi says.
St. Joseph’s is not disclosing the cost of its EHR implementation project. It employs a total of 4,993 full-time workers and serves patients in 16 counties.
Contact Seltzer at rseltzer@cnybj.com
A pair of Cortland insurance agencies plan merger
CORTLAND — The owners of the George B. Bailey Agency and Place Insurance are trying to merge without losing any name recognition. “It’s two independent agencies, and both names are known well,” says Chuck Spaulding, owner and president of the Bailey Agency. “So why wouldn’t we take advantage of using both names?” On Jan. 31,
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CORTLAND — The owners of the George B. Bailey Agency and Place Insurance are trying to merge without losing any name recognition.
“It’s two independent agencies, and both names are known well,” says Chuck Spaulding, owner and president of the Bailey Agency. “So why wouldn’t we take advantage of using both names?”
On Jan. 31, the two Cortland–area area insurance agencies announced that they plan to merge. They will operate under a new name, Bailey Place Insurance.
Spaulding will be an equal partner in the new firm with Place Insurance owner and President Stephen Franco. Spaulding will hold the title of chairman of the new group, while Franco will be president.
Neither Spaulding nor Franco is disclosing financial terms of the move. It is set to close in the second quarter of this year. Kane Bowles & Moore PC of Liverpool is providing accounting services for the transaction.
For the Bailey Agency, it will be a physical move as well as a structural one. The agency expects to leave its current Cortland location at 18 Tompkins St. and move the six employees working there several blocks into Place’s headquarters at 2 N. Main St.
However, the office changes are limited to Cortland. The Bailey Agency’s 2,600-square-foot office at 5 South Street in Dryden, where six more employees are based, will not be relocating. It will take the Bailey Place Insurance name, though.
“The one thing I think that’s very important is that we are not closing the Dryden office,” Spaulding says. “That office will remain open and operating — business as usual. The Dryden office is a very important part of our plan for the future.”
The Bailey Agency is set to move from about 1,200 square feet it leases at 18 Tompkins St. in Cortland. The agencies decided to combine at Place Insurance’s current headquarters because Franco owns that building.
Franco’s building totals about 16,000 square feet, although Place Insurance is not its only tenant. The agency currently occupies 3,000 square feet. It will grow into an additional 1,000 square feet of space once the agencies’ merger is complete.
Place Insurance has eight employees, meaning a total of 14 people will work at Bailey Place Insurance at 2 N. Main St. Franco and Spaulding do not plan any layoffs, so the merged company will have a total of 20 employees between its Cortland and Dryden offices.
Franco believes the firm could grow beyond that.
“I’m hoping that we’re going to be increasing our staff,” he says. “We’re looking for producers or salespeople.”
Premium volume at Place Insurance has nearly doubled between 2009 and 2012, according to Franco. And the Bailey Agency grew its premium volume by 2 percent last year, Spaulding says. Both Franco and Spaulding decline to be any more specific or share revenue totals.
“Place Insurance has enjoyed tremendous growth over the last three years because we’ve been active in soliciting new business,” Franco says. “I believe we’ll be growing above industry average once we merge.”
The merger comes as former Bailey Agency co-owner John Bailey prepares to leave the business at the end of 2013. He sold his interest in the agency in 2012, but will remain with the merged company through the end of the year.
While Spaulding has no immediate plans to retire, he wanted to partner with some younger blood.
“Chuck was looking for someone to partner with to see the business on to the next generation,” says Franco. “I looked at this as an opportunity to take our agency to a place that I may not be able to get to in 20 years by trying to do it organically.”
George B. Bailey founded the Bailey Agency in 1936. Place Insurance traces its history back to the 1850s. Both companies have wide-ranging portfolios, according to Franco.
“We really tried to get involved in a lot of different types of risks,” Franco says. “We both insure a lot of municipalities. We also have some schools on the books. We have, I think, most of the large commercial businesses in Cortland and Tompkins counties. In Cortland County we have the larger, medium-large businesses.
“The nice thing about both agencies is you’re still working with the owners, you’re still working with the people that live in the community.”
Contact Seltzer at rseltzer@cnybj.com
HealtheConnections RHIO changes HIE software vendors
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Colgate University agrees to buy nursery school building
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Mercy Flight Central files plan for new base east of Utica
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Report details growth, reach at community banks
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HealtheConnections adds new board members
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Payroll service for small businesses available from M&T
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Stay up-to-date on the companies, people and issues that impact businesses in Syracuse, Central New York and beyond.