Business

It's one of the most frequently asked questions from readers of The Batavian: Why is there no Wegmans in Batavia?

Danny Wegman, the company's CEO was at Genesee Community College today and he answered that question for us:

"If we get the STAMP project in, we would probably be very happy to move here," Wegman said.

STAMP is the propposed high-tech manufacturing facility Genesee County Economic Development Center is trying to bring to the Town of Alabama. It could eventually mean as many as 10,000 new jobs.

Though Wegman was too diplomatic to say it, clearly, his view is the current economy in Genesee County couldn't sustain a grocery operation the size and scope of Wegmans.

STAMP is a project of personal interest to Wegman because he's chairman of the Finger Lakes Regional Economic Development Council, one of 14 regional councils statewide assisting local IDAs in economic development.

Wegman is admittedly excited by the possibility of STAMP and believes it is something that could actually come together as an economic growth engine for the entire region.

"The high-tech arena is always exciting," Wegman said. "You always hear about it in California. Wouldn't it be nice if it was right here in our own backyard?"

We also asked Wegman about the GCEDC's $1.8 million in tax subsidies for COR Development and Wegman said he was unfamiliar with the project.

As a general rule, however, he said he opposes tax breaks for retail projects.

"I have to say I'm not real keen on that, since we’re a local business and we wouldn’t want somebody coming in and getting a real tax break..." Wegman said. "I think that’s divvying up a pot that’s already there. If the retailer helps grow jobs in some way that actually makes something, maybe, but most retailers don’t make things. That’s my view on it."

Asked if Wegmans would accept tax breaks to open a store in Genesee County, Wegman said, "I can’t say someone else shouldn’t and that we would. I don’t think that’s right, although we do make a lot of the food we sell, that's why I was giving you that exception."

YNN's Rose Eiklor pointed out to Wegman that there is a Facebook group called "Bring Wegmans to Genesee County." Wegman had never heard of it, but said he would take a look.

Genesee Community College sits high on a hill surrounded by a lot of open space.

Gov. Andrew Cuomo visited GCC today to promote his "New York Tax Free" proposal, which would allow SUNY campuses such as GCC to play host to new businesses or businesses that are creating new jobs.

Up to 200,000 square feet of land around a SUNY campus could also be used for the 100-percent-tax-free zone.

All that open space around GCC, then, might also be described as opportunity.

"That was the vision 10 years ago that we started developing with GCC and Dr. Steiner and now Dr. Sunser," said Steve Hyde, CEO of GCEDC. The agency now has offices across the street from the college campus in what's known as the Upstate Med-Tech Center. "I think we're really well positioned to rock and roll together and really make a difference here."

Cuomo is clearly passionate about his proposal.  Whatever its critics might have to say about it, Cuomo has an answer and at times during his speech and afterward made his points with the fervor of an evangelist for Upstate New York.

Cuomo:

Nobody ever said (speaking of those who have left New York), I didn’t like New York or I didn’t like Upstate New York. Nobody.

We did this (mess up the state and cause 50 years of decline) to ourselves. We did this to ourselves because this state has every asset imaginable.

I spent eight years in the Clinton Administration. I worked in every state in this nation, literally, dozens and dozens of times. I know everything else that’s out there. I’ve seen the best that every state has. No state has to offer what we have to offer in New York. No state has our combination of talents.

Our geography, our diversity, our history, the most beautiful natural resources, mountain ranges, the greatest cities, beaches, we have it all, all in one state – the best of everything with the distillation of the best of America -- in one state called New York.

So it’s not that that they're beating us. We're beating us. We created these conditions. We can reverse these conditions. Reduce the taxes. Make this state as competitive as any state out there from a tax point of view.

"NY Tax Free" would turn SUNY campuses into zones with no state or local taxes of any kind for businesses based on the campuses (or in the 200K zone), and a company's employees, for up to 10 years.

The businesses would have to match the educational mission of the host campus, working in industries of related fields of study.

Cuomo's dream is clearly to incubate the next Apple or Google.

"If you look at the places that are creating jobs, it's the higher education institutions that are doing research and development. It's the 28-year-old who develops the new chip or the new iPhone of the new application, but the schools are actually creating the jobs."

These sorts of companies are getting founded on NY campuses now, Cuomo said, but 75 percent of them leave New York within the first year, taken either by founders or investors to lower tax states such as Florida or Texas.

Yes, the proposal is big and bold, Cuomo said. No other state in the nation has ever dared to take on such an audacious project, but New York does big and bold well, Cuomo said (while a picture of the Erie Canal was projected on the screen behind him).

Big problems, he said, require big solutions.

"People have been leaving," Cuomo said. "Jobs have been leaving. At the same time, we have more and more government and the costs of governing are going up and up while there are fewer and fewer people to pay for the increasing cost of government, which makes taxes higher, making the tax burden higher, which causes more people to leave. That's the dynamic and the longer the dynamic continues, the worst it gets."

Upstate, especially, needs the help, Cuomo said, and with 55 of the 64 SUNY campuses located in Upstate, and 95 percent of Upstate residents living within 30 miles of a SUNY campus, this proposal makes a lot of sense.

In the past several years, there has been only a 5-percent increase in new jobs in Upstate, while New York City has grown jobs at a clip of 16 percent. The 5-percent growth rate doesn't even keep up with the national average.

The proposal would create 120 million square feet of entrepreneurial space in Upstate, Cuomo said, which is more commercial space than in San Francisco and Philadelphia combined, and more than Buffalo, Rochester and Syracuse combined.

Speaking with reporters after his speech, Cuomo said the major criticism he's heard of the proposal is that taxes should be lowered to zero for everyone.

"It's the right idea to have zero taxes across the board," Cuomo said, "but there's some problems with the details."

If the proposal seems unfair, Cuomo argued that the current tax system is unfair.

"There is not a level playing field in the current tax code," Cuomo said. "The more you make, the more you pay. Some businesses get tax breaks that others don't. We have tax breaks for manufacturing. Why? Because we decided we want manufacturing businesses here. We have tax breaks for the film business ... because we want to produce movies here. It's a falsity that the tax code is equal, but for this. The tax code is anything but equal."

He also argued that residents around SUNY campuses will benefit from the job creation, with employees of these companies buying groceries, cars and houses locally.

"There will be economic activity in your community and that will be a good thing for you," Cuomo said.

He added, "We can't sustain what's going on now in Upstate New York. We cannot sustain the population decline. Nobody moving in. Everybody moving out. Fewer and fewer people paying the cost of a growing government.  We cannot continue the trajectory we've been on."

You can make Greek yogurt at home. About all you need is some yogurt culture, a whisk and cheese cloth.

After you strain your batch you're left with a watery white liquid known as whey. You will have about three ounces of whey for every ounce of yummy yogurt.

One Web site lists 18 possible uses for whey in your home, whether as a substitute for other liquids in cooking or as a skin care product. But for Alpina, which produces 245,000 tons of Greek yogurt a week, getting rid of the 455,000 tons of whey a week isn't that simple.

Right now, the whey is hauled to a facility in Wyoming County where it is digested into methane and used to generate electricity, but Alpina is exploring other options for dealing with whey.

Whey has become controversial in media reports over the past week or so. It started with a well-researched and reported story in Modern Farmer about the Greek yogurt boom with an unfortunate headline, given the substance of the story: Whey Too Much: Greek Yogurt’s Dark Side.

The story was far from frightening, but outlets such as Fox News and USA Today turned it into overblown headlines such as Toxic waste from Greek yogurt poses danger to waterways and Greek yogurt's dirty little secret.

What's this dark side, this toxic danger, this dirty little secret? 

If whey goes into a stream or lake, bacteria will boom and suck all the oxygen out of the water, killing all the fish.

But there are no reports of any whey from Greek yogurt being illegally dumped. In fact, the Modern Farmer story details both the responsible methods for disposing of it now and explores research into other possible uses.

Disposing of whey in a responsible manner is important to Alpina, said Roger Parkhurst, director of operations for the Batavia plant.

Labeling whey "toxic waste" is the kind of statement that could be said about a lot of substances, Parkhurst said.

"You could apply the term to gasoline," Parkhurst said. "We put it in our car and it's beneficial, but if it's abused it becomes a dangerous material. We handle whey right and in a responsible manner so that it isn't a danger."

Beneficial uses for whey include converting it to an energy source -- which Alpina does now -- or using it to supplement cattle feed, which Alpina is also exploring.

Alpina would love to sell its whey, so that the money spent to haul it off can instead become a source of revenue. A Cornell researcher is studying methods for turning whey into a baby formula supplement. That work is promising, Parkhurst said.

Whey could also become a direct energy source for the Alpina plant, saving the company money. 

Parkhurst said the company is interested -- though has no specific plans -- in finding a way to digest whey on site and convert the methane into electricity and convert the heat from the process into heat for Alpina's building.

Mark Masse, vp of operations for Genesee County Economic Development Center, said companies have contacted the agency about building a digester at or near the Genesee Valley Agri-Business Park, including working directly with Alpina, but it has never received a formal application.

"I am not sure why any of those projects haven’t moved forward yet," said Masse in an e-mail response to a question, "but my best guess is that they can’t secure a long-term contract for the waste product, and/or that these digester projects are very capital intensive and they usually try to secure NYSERDA grants to help defer these capital costs to shorten the payback period of the project and can’t secure those grants."

There are also concerns about any environmental risks associated with a digester located at a food processing park that sits above an aquifer.

Experts have told Masse, he said, that whey needs to be mixed with animal waste to be properly digested and any company proposing such a project would have to prove it could be done in a safe manner.

"We never got far enough along with any of the digester companies to have this conversation with them in depth or with our board," Masse said. "That issue would have to be discussed at length if any company wished to use animal waste in their process, and our board would have to approve it."

One local farmer has contacted Alpina about obtaining whey to mix with cattle feed, Parkhurst said. The farmer said he checked with Cargill, which provided him with a formula for mixing whey with his feed and now he would like to find out how to get his hands on some Alpina whey.

"That's just one farmer and he's not capable of taking on the whole thing," Parkhurst said. "But if it helps his business and it helps our business at least some, I would be more than happy to participate."

Alpina is actively exploring all options for whey waste, Parkhurst said, looking for the most economically sensible and environmentally sound solution.

"We've even worked a little bit with RIT and GCC," Parkhurst said. "There is money floating around to help research any practical application."

A local operation that may be able to take on all of Alpina's whey waste is Baskin Livestock.

Baskin, as we've reported before, specializes in taking food company waste and converting it into cattle feed.

Bill Baskin is eager to explore a partnership with Alpina to bring whey waste to his plant on Creek Road in Bethany. 

"We work with food producers all over the Northeast to get rid of their waste," Baskin said. "There’s no reason we can't do it right in our own back yard."

With any food production, there is a substantial amount of waste -- batches get mixed wrong, products are spilled or spoiled or unsold product goes bad. Baskin takes all that waste, dries, grinds it and turns it into cattle feed.

Quaker-Muller is already sending some of its product waste to Baskin, but the way the plant will make yogurt -- the Quaker-Muller plant officially opens Monday -- there is no whey waste.

"Our yogurt is consistently high quality because we add milk protein from strained milk to our yogurt to deliver the same delicious texture and taste every time," said Scott Gilmore, spokesman for PepsiCo.

Until recently, Baskin and Parkhurst hadn't spoken, but yesterday, Baskin's director of business development, Peter Klaich, met briefly with Parkhurst and Parkhurst said he's certainly interested in learning more about how Baskin can help with whey waste.

Parkhurst is proud that Alpina buys almost all of its raw ingredients from farmers in Genesee County and WNY. The potential of working with Baskin fits right in with that philosophy, Parkhurst said.

"We're always interested in working with local companies," Parkhurst said.

A proposal to create tax-free zones around SUNY campuses is intriguing to officials at Genesee Community College, according Rick Ensman, director of development and external affairs, even though it's unclear how it will all work.

Gov. Andrew Cuomo announced the proposal a few days ago. The plan would allow any business on a SUNY campus, or in some cases, in a zone around the campus, to operate completely tax free -- including no state income tax for employees -- for 10 years.

The justification, according to Cuomo, is to spur business growth and innovation in New York.

"This is an exciting and innovative proposal," Ensman said. "It has great potential for job creation and new academic-business partnerships. We’re eager to learn about the details, and about how we can participate."

The proposal has not yet been through the legislative process. It seems to have Republican and Democratic support so far, but in the process some details could change or refined.

"As I understand the proposal, businesses would be eligible for the tax-free zone if their products or operations are related to programs of study on the campus," Ensman said. "So it’s possible that businesses related to any of our programs (e.g. technology, health care, office tech, etc.) could locate in the area."

Issues such as where businesses would be located and how they would fit into the campus, or just off campus, won't be explored until and if the proposal becomes law.

"We’re anxious to learn more about the program," Ensman said.

Earlier this week, we e-mailed 10 questions to Steve Hyde about the approval of the COR Development Project. Below are the questions and his responses verbatum.

Q. According to the best available information, at the time the GCEDC board passed the resolution finding that COR's project would provide goods and services not readily available, only one of the proposed tenants was known and two others were in negotiations. How can such a finding be made without a certainty as to the exact tenants? What if COR were to change the tenants to include, say, a liquor store and/or a jewelry store (two business categories well represented in Batavia)?

A. We cannot comment on private negotiations between a developer and prospective tenants.  Like every project that is presented to our board, we have to rely on the information provided to us by the applicant which included a confidential disclosure of not only the known Dick’s project but two additional tenants as well. If the tenants that ultimately reach an agreement with the developer fail to fulfill the new criteria as defined by state law, we would ask our legal counsel for an opinion as to whether the applicant is living up to their end of the agreement and initiate appropriate claw backs. We are confident that COR will fulfill their obligations as they are a reputable developer.

Q. GCEDC has asserted that the COR project is bringing in retail with goods and services not readily available in Genesee County, but there's never been any specific information from GCEDC to substantiate this claim. What exactly is it about the known COR tenants that provides goods and services not readily available in Genesee County? Beyond the assertion, what are the facts to back up the assertion?

A. Again, we are relying on information provided by the applicant that the tenants both know and where private negotiations are occurring will provide goods and services that are not readily available in our community. We confident that COR will fulfill their commitments as it pertains to the GCEDC board’s finding which allows for GCEDC participation in the project under the retail exception as a part of the new state law.

Q. Does GCEDC have any obligation to provide mitigation for the tax breaks given to COR to the existing retailers, be they an independent business such as Batavia Marine or long-standing national chains such as Kmart (which also sells sporting goods)?

A. Any business in the community can submit an application for assistance to our agency and if they fulfill criteria such as the creation of new jobs and investment then they may be eligible for assistance. Our goal is to help businesses create jobs and bring new investment to our community and we stand ready to do everything we can to do that. We encourage businesses to learn more about the incentives provided by our agency. Information about these incentives as well as an application for assistance are available on our Web site at www.gcedc.com.

Q. Calculating from COR's own sales tax estimates, their tenants will generate somewhere in the neighborhood of $26 million in annual sales. On what basis are we to believe that Batavia is a marginal market in need of tax incentives in order to attract these retail businesses? The figures appear to be right in line with Dick's per store gross sales average, which means they should be able to project $500,000 in net annual profit. At that kind of return, do these retail stores really need tax breaks in order to come to Batavia? Aren't the things that make Batavia an attractive place to do business -- centrally located in a large rural area, Thruway proximity, promising economic growth -- sufficient for retail without tax breaks, and if it not, what will keep these business in town when the subsidies run out?

A. The fact that we do not have large retailers like Dick’s indicates that Batavia is a marginal market, however as we grow our economy through projects like Alpina and Muller Quaker and longer term STAMP, we will become a destination market. The fact remains, the developer applied for tax relief to conduct an adaptive reuse and expansion of the property at Batavia Towne Center that will create jobs and new investment in our community and just as important the application submitted fulfills the criteria for retail under the new state law.

Q. According to COR, the stores will invest a collective $11 million in opening their stores. If a retail business is willing to make that kind of financial comment to a community, how can we believe that tax incentives are critical to attracting national retail to Batavia?

A. Think about that for a moment. If you had an opportunity to make a $1.8 million investment over 10 years, which is essentially what our incentive package totals, and the return on that investment was $11 million worth of capital investment, who would not make that deal. On top of that, our investment of $1.8 million is going to be returned in the first year alone based on sales tax revenue generation which will benefit our community and help keep property tax rates down.  Without our assistance, there is no $11 million capital investment and no new sales tax revenue for our community thereby creating additional pressure to raise property taxes which hurt residents and businesses.

Q. GCEDC has asserted that it's bad for the community and bad for attracting business to have Lowe's vacant. In the time since it's been vacant, GCEDC has landed two major tenants and is about to land a third for the Genesee Valley Agri-Business Park. What evidence is there that a vacant Lowe's hurts business development?

A. When both Alpina and Muller Quaker were touring the area, the Lowe’s store was in fact still open which showed the companies that we did in fact have a vibrant retail center immediately located off of the I-90. Moreover, we are trying to take a holistic approach to economic development here in our community. You seemingly are taking the view that the Lowe’s vacancy does not “hurt” business development; we take the view, based on our years of experience in the company attraction business, that a vibrant retail center located at the gateway of our community enhances our ability to attract companies to our community in this very competitive world of economic development.

Q. GCEDC has asserted that it's bad to have a vacant Lowe's, but COR has said that it's bad for the rest of Batavia Towne Center to have a vacant Lowe's. Doesn't COR have a strong motivation to lease that space even without tax abatements?

A. I don’t want to single COR out; they are a prominent developer and like many developers they have options and choices as to where to lure their retail clients. Our decision was based on an application that our board believes fulfills the criteria under the new state law specific to retail projects. We believe the return on investment that will be generated through the tax assistance provided will create a vibrant towne center.

Q. What do you say to a comment such as Mike Barrett's, that tax incentives are like "using your own tax money to put yourself out of business"?

A. Alpina and Muller Quaker and the related economic benefits would not have occurred without the incentives being provided through the GCEDC. To the contrary, we are using incentives to create new jobs and new wealth and subsequently new tax revenues to make our community more prosperous and an even better place to work, live and play. I can assure you that Alpina and Muller Quaker are not putting local dairy farmers out of business.

Q. Based on our polls and nearly daily discussions with people in our community, it's difficult to find local residents who support tax breaks going to COR. Is it appropriate for GCEDC to go against the wishes of the vast majority of Genesee County residents on such an important issue?

A. Genesee County has a population of approximately 60,000 residents. A public hearing was held in the evening which was open to the public; about 30 residents attended and six spoke against the project during the hearing. One letter was received at the offices of the GCEDC opposing the project and was officially included in the transcripts of the hearing. The board was provided a written copy of the transcripts from the public hearing prior to voting to approve the adaptive reuse and expansion project at Batavia Towne Center. I think if we were to start relying on polling that admittedly in not statistically accurate and to use that data to make decisions about economic development, you would not see many businesses even contemplating coming to our community.

Q. Will GCEDC continue to have a policy of providing tax breaks to retail projects even though there is a significant body of research that shows tax incentives to retail have no tangible return to local communities and even though the vast majority of Genesee County residents oppose such tax breaks?

A. The GCEDC as a matter of practice does not pursue retail projects. This is evidenced to our not participating in the Tim Horton’s project locating at the west end of Batavia and the McDonald’s project planned for Aldi plaza in the City on the east end. We will continue to comply with state law while advancing our vision and mission to provide a positive place to do business for all companies. There is a significant body of evidence that shows there is a tangible return to local communities. To claim that the “vast majority” of residents oppose such tax breaks is subjective at best without any real statistically accurate information to substantiate such a claim.

Terry Platt, a landlord who owns numerous properties, says he's done investing in Genesee County.

On Tuesday, the City of Batavia Planning Board voted unanimously to disapprove Platt's proposal to convert a single family home at 316 E. Main St. into a boarding house.

"I hate to say it, because I would love to stay here and spend my money in the city, but after today, I think they've proved to me that Terry Platt's not wanted in this city," Platt said. "Therefore I will be looking to sell some things, but keep many so I can keep the income and take it to a different city that deserves it."

According to Platt, he put down $5,000 on a purchase offer for the property after city officials assured him the parcel was properly zoned for a rooming house and approval of his application wouldn't be a problem.

Then, last Friday, in a meeting with the city, he got the impression the attitude had changed.  Sudden, he said, city officials had found laws that limit the size of the rooming house.

He was told that instead of 12 rooms, he could only have nine, if approved.

At Tuesday's meeting, council members Rose Mary Christian and Kathy Briggs, along with John Roach and two neighboring property owners spoke against Platt's plans.

Christian noted that 316 E. Main St. is next to a pair of well-maintained Victorian-era houses, including one that won an award from the Landmark Society this year.

"These are extraordinary properties that are well maintained and cared for by the owners," Christian said.

Both Christian and Briggs noted that converting a single-family home to a multi-unit dwelling goes against the city's recently adopted strategic plan, which aims to convert many of the existing apartment buildings that were once single-family homes back to single-family homes.

Roach objected to the idea that Platt would likely take in NYS parolees as tenants.

Christian noted that some of Platt's properties have sex offenders living in the dwellings.

April Walroot, Platt's property manager, said out of the 28 rooms the company has rented now, only four are the homes of registered sex offenders.

She also said that because the house is within 500 feet of a school -- St. Joseph's -- NYS Parole won't allow sex offenders to be placed in the residence.

According to this online mapping tool, St. Joe's is more than 800 feet from the house, as is the Richmond Memorial Library. 

Elizabeth Jess, who recently acquired the red brick home next to 316, said she and her husband bought it because the neighboring homes were single family and well maintained. She said she was worried about sex offenders moving into a residence next to her family.

"If there was ever any indication this could happen, we never would have bought this home," she said.

The Bialys, who own the recently designated Landmark home, have invested thousands and thousands of dollars into maintaining their house and they are concerned that putting a rooming house two doors down from their home would diminish the value.

Platt said, yes, his company does work with NYS Parole to find homes for former prison inmates. He also said all of his rooming homes are supervised and there are rules enforced on the residents. There's a strong motivation to obey the rules, Platt said, because offenses get reported back to parole officers.

It's an advantage to the city, he said, to have parolees living at his properties rather than elsewhere in the city because they are expected to follow certain rules and are monitored by the property manager.

The conversion also fits within the city's strategic plan, Platt said, because they city wants more residents downtown.

"We have a location downtown where people will be able to walk to everything and be able to spend their money downtown, keep the traffic downtown," Pratt said. "It will be a positive for the city."

After the application was denied, Pratt talked of possible legal action. He said he will consult with an attorney.

He feels there is an issue with the city giving him indications it would be approved and then, from his point of view, changing the rules at the last minute, and he also feels the city is discriminating against a certain class of people.

"There is a shortage of this type of housing for the good people who need a place to live," Platt said.

The denial is just one more piece of evidence, Platt said, that the city doesn't want him around so he's going to stop investing his money locally.

"It's pretty obvious the City has made many gestures and many ways to let Terry Platt know he's not wanted in the City of Batavia," Platt said.

Asked if the City isn't also making it harder for other landlords to do business, or was he just being singled out, Platt said, "It has lot to do with Terry Platt and his rooming houses, because how can they let a single-family home on Oak Street be converted to a rooming house several years ago and now all the sudden they don't want to see rooming houses near downtown where they need the traffic?"

Even with the opening of Alpina and the ramp up of Muller Quaker in the Genesee Valley Agri-Business Park, Genesee County lost 300 jobs year-over-year for April, according to data released by the NYS Department of Labor.

Even so, the unemployment rate for the county dropped to 7.1 percent, the lowest April since 2008, when the county's unemployment rate was 5.4 percent.

The April 2012 rate was 7.6 percent.

The total number of non-farm jobs in the county hit 21,900 for April 2013, compared to 22,200 in April 2012.

The data does show an increase in jobs from March 2013 when the job count was 21,700.

The unemployment rate in March 2013 was 8.0 percent.

The state's unemployment rate is 7.3 percent, which is an improvement over the previous month and as well as a year ago.

The national unemployment rate is 7.1 percent.

In Orleans County, the unemployment rate is 9.3 and it's 7.8 percent in Livingston and 8.3 percent in Wyoming.

Jim Rosenbeck, a member of the Genesee County Libertarian Committee who's planning a run for an at-large seat on the City Council, submitted this response to Steve Hawley's defense of the COR Development tax breaks:

I often agree with Steve Hawley, as Libertarians often do, when republicans champion fiscally responsible positions. But that wasn't the case on May 17th. That day, Mr. Hawley put out a press release lauding GCEDC's successful effort to offer abatement of taxes to COR Development. COR will in turn use those subsidies to offset costs of remodeling their property in the Batavia Towne Center in order to fit the needs of the next tenant, Dick's Sporting Goods. In exchange for tax abatements approaching 2 million dollars, we are promised new local jobs and additional sales tax revenue.

As I recall, we heard that same promise once before when COR received six million dollars in tax abatement to develop their property for among others, the long gone Lowes Corporation. So now, we double down on our bet, while we hope and pray that Dick's Sporting Goods delivers as COR has promised. But let's look a bit closer at these promises. Is COR or Dick's promising full-time jobs? Are they full-time jobs that also pay a living wage? No, of course they aren't. During their public hearing COR talked in terms of full-time job "equivalents." That is corporate double talk for part-time and low-wage jobs, the kind of jobs that are fine for students but don't work so well for single moms who need to pay the rent. That is the dirty little secret that COR won't tell you and Dick's won't tell you, and sadly on May 17th, Steve Hawley also neglected to tell you. To add insult to injury the most handsome job created by GCEDC goes to the guy with the greatest vested interest in perpetrating the illusion of quality jobs. Yes, the best job that GCEDC has created to date is the one that is held by its President and CEO Steve Hyde.

But let's not forget the promise of sales tax revenues. Are we significantly increasing the size of the sales tax pie by subsidizing the development of Dick's Sporting Goods? I wonder. I would like to know what portion of any sales tax revenue produced by Dick's would still have been realized from a similar sale at Olympia, T-Shirts Etc., Barrett's or perhaps Fisher Sports. No one knows. For COR to promise significant increases in tax revenues is at best speculative and certainly self-serving. We should remain skeptical whenever we are promised sales tax revenue and jobs with one hand while the other hand lobbies our County Legislature for nearly a quarter of a million dollars for its own funding next year.

Growing government through Economic Development Corporations (EDCs) in order to address the problems created by big government....high taxes, over regulation, cumbersome bureaucracy is simply counter intuitive. Our economic problems are systemic. They are symptomatic of a state government gone awry. I am unwilling to accept that the answer to big government is to create a whole new bureaucracy with a CEO making close to a quarter of a million dollars a year. We need to stop creating the good jobs on the backs of the taxpayers  while promising a small sliver of the pie to the people who pay the bills. I am not ready to pretend differently. I am not ready to concede hope that we can do better. What we need is more truth and transparency in our government, not more promises that may or may not be kept. I agree with Steve Hawley much of the time. This time, I don't.

Sweet Pea's Cupcakery Café, on Jackson Avenue, has something new just in time for summer: soft-serve ice cream.

It's very good.

Pictured are owners Lyndsey Oliver-Farewell and Travis Farewell.

Press release:

Assemblyman Steve Hawley (R,I,C-Batavia) recently voiced his support for the Genesee County Economic Development Center (GCEDC) and its successful efforts to attract a Dick’s Sporting Goods store to Towne Centre Mall in Batavia. The group was able to secure the store’s move through pro-business tax incentives, which will create local employment opportunities and increase sales tax revenue to support local programs and services. Hawley defended GCEDC against attacks from Buffalo-area Assemblyman Sean Ryan, who has publicly criticized the local economic development effort.

“Here in Batavia and across Genesee County, we deserve access to both consumer choice and employment opportunities. By attracting Dick’s to Towne Centre Mall, GCEDC has helped bolster both,” Hawley said. “Assemblyman Ryan’s attacks on our local economy are completely uncalled for. While he purports to be concerned with the use of state tax dollars, surely he would agree that one of the highest-taxed states in the nation has bigger fish to fry than Genesee County’s legal ability to strengthen its own economy. I believe it is in the best interests of all involved that assembly members focus on their own constituents and that he focuses on revitalizing Buffalo’s economy.”

“The GCEDC was created to help increase the tax base, create new jobs as well as bring new investment and revenues into our community. This project fulfills all of these criteria and without our assistance, these benefits would not be realized,” said Steve Hyde, president and CEO of the GCEDC. “The project will create jobs, increase sales tax revenue, bring new goods and services into the community, and reinvigorate what is currently a large, vacant space located at the gateway of our community off of I-90.”

Hawley noted the crucial role the GCEDC has played in attracting job creators to Genesee County and keeping them here long-term.

“Between the Genesee Valley Agri-business Park, Oakta Hills and countless other projects, GCEDC has long been at the forefront of job creation and economic development in our community,” Hawley said. “Throughout my time in the Assembly, we have worked diligently to revitalize our local economy, and GCEDC has my full support in its effort to bring jobs to our community.”

Local governments, including Genesee County, that participate in pooling a workers compensation insurance program have a chance to get help reducing workplace injuries using consultants for essentially no cost.

Bill Fritts, president of Lawley Genesee, explained what his company is prepared to do for local governments if Lawley becomes the worker compensation insurance broker.

The possibility came to Fritts's attention, he said, after receiving a request for proposal from the county for a new workers comp plan.

As a broker, Lawley can apply its commissions to provide a variety of services to members of the pool.

Genesee County, along with all of the local school districts and most towns and villages (but not the City of Batavia) are part of a self-insurance pool for workers compensation.

If a worker is injured on the job, the pool will pay the first $500,000 of coverage.

What the county has been shopping for is a new carrier for "excess coverage" -- an insurance company that pays any claims in excess of $500,000.

There are only three such carriers in the nation.

Under the plan presented by Fritts, Lawley will accept bids from the carriers, select one and manage the relationship.

With its commissions, Lawley will then use its own experts to identify areas where worker safety can be improved and look for other cost-saving opportunities.

Lawley's consultants will study claim history, look for departments that have safety records that can improve and then study work that's going on in those workplaces to see what safety improvements can be made.

"We'll look at what members are hurting and helping you," Fritt said. "We send in loss-prevention consultants to those areas first that hare hurting you and see what safety programs are needed. We might create incentive programs if they need to change their culture and help them change their culture."

There is no additional fee for the pool members for the extra services.

"I've seen the results and it's pretty amazing," Fritts said. "It makes you feel pretty good because you're preventing injuries."

At the next Ways and Means Committee meeting, legislators will have a chance to vote on the offer.

Batavia's Business Improvement District kicked off its promotional campaign, "More Feet Downtown," today.

Banners were hung at light poles downtown to help spread the word.

Pictured are Amy Worthington, left, Jeff Gillard, Don Burkel, Paul Marchese, Mary Valle, Beth Kemp and Lusanne Simard.

Here's WGRZ's report on the compensation paid to Steve Hyde, CEO of GCEDC.

Tonisha Price has a growing little bakery business -- so much so that she needed to move Sweet Ecstasy out of her cramped shop in Stafford and find a space closer to her growing customer base in Batavia.

While going through the city's grant process, she had a meeting at Seymour Place, the former Batavia Club building at Main and Bank streets that is home to GO ART!

She'd already scouted several locations in Batavia, but immediately recognized Seymour Place as the perfect quaint locale for what she wanted to do -- expand her bakery business, but also provide a cozy setting for lunches and catered affairs.

"As we were going through the approval process, we ran across this place," Price said. "This wasn't our first choice, but once we saw it, we fell in love and here we are today."

Besides sweet treats, Sweet Ecstasy will offer grilled sandwiches, quiches and soup on a daily basis for lunch. Every Friday is "fresh bread Friday."

Price is also planning "supper clubs," where one night a month, there will be a special dinner served. The first one -- date to be announced -- will feature sushi.

The new location opened Friday and Price has already booked five special events that take advantage of the unique space at Seymour Place and she's looking to book more bridal showers, receptions, birthday parties, tea parties, office parties and other such events.

Sweet Ecstasy is also applying for a liquor license so they can serve wines and craft beers.

Photo: Price, Jean Robbins, and Tonisha's mother Carla Price, seated.

As promised, Paul Berardini opened his new pizza shop today, Big Pauly's. It's in the same location as the former Pauly's Pizza (314 Ellicott St., Batavia).