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March 7, 2014 - 3:36pm
posted by Howard B. Owens in business, GCEDC.

Press release:

The Genesee County Economic Development Center (GCEDC) held its annual meeting at Genesee Community College to unveil the organization’s 2013 annual report. During the meeting, Genesee Community College (GCC) was honored for its collaboration in the community as it received the Economic Development Partner of the Year Award from the GCEDC.

“Because of the strategic leadership of the public and private sectors in 2013, the economy of Genesee County remains strong and the business climate continues to remain positive,” said Wally Hinchey, chairman, GCEDC. “I am confident that the GCEDC, the County, and our municipal partners will continue to work together to make business attraction and expansion a priority for 2014, and am proud to recognize GCC as the GCEDC partner of the year.”

The college was recognized for its role in executing strong economic development and workforce programs for the region. In collaboration with the GCEDC and the Best Center, it has helped more than 80 students graduate with certificates in advanced manufacturing/nanotechnology and food processing technology. These graduates have found local employment in industries they would not have thought to pursue. GCC will continue partnering with the GCEDC by implementing new degree programs to support numerous businesses, industry training programs and attraction efforts, as well as the START-UP NY program run by the college.

The approximately 300 people in attendance also were provided an update on developments at the Science and Technology Advanced Manufacturing Park (STAMP) in the Town of Alabama by Mark Peterson, president and CEO of the Greater Rochester Enterprise and Thomas Kucharski, president and CEO of the Buffalo Niagara Enterprise.  Both participated in meetings last month with representatives from the GCEDC and organized labor to advocate on behalf of STAMP with members and staff from Governor Andrew Cuomo’s office and members of the New York State Senate and Assembly.

The state has listed the STAMP project as a top economic development priority and has released $5 million in funds to move the project forward, but still $33 million is needed to make the project shovel-ready lite. The project, which has the potential to create thousands of new jobs, has the support of labor unions and the business community from Buffalo and Rochester, along with senators and assembly members in the Finger Lakes and Western New York regions.

“Going into 2014, it is critical that we continue to sustain this year’s great achievements and reach the goals we have set for growth and development in the county,” said Steve Hyde, president and CEO of the GCEDC. “We will continue to ramp up our sales and marketing efforts for STAMP to attract large-scale semiconductor and high-tech companies to the site.”

March 6, 2014 - 9:00am
posted by Howard B. Owens in business, GCEDC, STAMP.

There's plenty of reason to be optimistic about the future of the WNY STAMP project in Alabama, Steve Hyde told members of the County Legislature during the Ways and Means Committee meeting Tuesday.

While Genesee County Economic Development Center must still secure a total of $33 million in financing to make the proposed high-tech manufacturing park "shovel-ready lite," there is plenty of buzz about the project among site selectors.

STAMP will be one of only a couple of locations in the nation, if not in the world, that could provide a major manufacturer with both 500 acres of property and up to 500 megawatts of electricity, Hyde said.

One of the nation's leading site selectors was at a conference in Denver recently and told Hyde there may be a very big project in the pipeline and STAMP is in the running.

"He said they have a really monster project developing, that New York will certainly be on the radar, but they said that STAMP is the one site, and maybe the only site in New York, that could probably accomodate it," Hyde said. "We're excited. We hope that comes through, but it's still very, very early at this juncture."

Hyde also said the governor's office is working on landing a project that would be "about the size of Muller" -- the yogurt plant in the Genesee Valley Ag Park -- for STAMP, but that New York is among four states competing for the project.

"It's competitive, but we're in the hunt," Hyde said.

STAMP is Hyde's big dream -- with the potential for hundreds of millions in local investment and 10,000 jobs. He called it "a game changer for our community."

He made his remarks during GCEDC's annual review for the Ways and Means Committee.  GCEDC will hold it's annual meeting at noon Friday at the college.

GCEDC operates on a $1.3 million annual budget, with $597,975 coming from fees paid by businesses that receive GCEDC benefits, $480,000 from the Local Development Corporation (a nonprofit operated by GCEDC that also receives fees for projects) and $215,014 from county taxpayers.

That $215,000 in county funding is perpetually controversial, but Hyde said it's essential to keeping GCEDC operating.

"That county contribution is only about 17 percent of our budget, but it gives about 8.5 professionals work that we hope you think is of value," Hyde said. "It's very important."

In 2013, GCEDC closed 28 projects that resulted in 270 pledged jobs, $29.9 million in capital investments and $1.7 million in grants for business and infrastructure improvements.

The biggest win for GCEDC over the past two years has been the ag park, which has seen the creation of two Greek yogurt plants -- Alpina and Muller.

Alpina pledged 50 new jobs and has already created 47, plus 33 full-time temp jobs that fluctuate based on production needs (and sometimes turn into new full-time, permanent jobs).

PepsiCo. / Muller pledged 186 new jobs in the first three years and 145 have been created so far.

Nearly 50 percent of the new hires at the two plants were Genesee County residents, Hyde said.

March 6, 2014 - 8:30am
posted by Howard B. Owens in business, GCEDC, liberty pumps, bergen, Appletree Acres.

It's going to take a good deal more electricity to power an expanded Liberty Pumps in Bergen and adding more transmission lines to Appletree Acres will cost a bit of money.

To help pay for it, Genesee County Economic Development Center is proposing a financing scheme known as a PIF -- PILOT Increment Financing.

Liberty Pumps already has an approved PILOT (Payment in Lieu of Taxes) for its expansion, and a PIF reallocates some of their PILOT payments toward infrastructure payments.

In this case, GCEDC is proposing a 50-percent PIF, meaning the taxing jurisdiction will get half of the PILOT payments and half will go toward a fund to pay for the additional power lines and poles.

The cost of the electricity project is estimated at $150,000.

The power expansion will benefit all of Appletree Acres, making it more attractive to potential businesses considering the park and Village of Bergen residents, said Mark Masse, VP of business development for GCEDC.

It will also mean ratepayers in the Village of Bergen -- which has its own power utility -- won't see a rate increase as a result of infrastructure upgrade.

Of the 10-year period of the PILOT/PIF, the county will receive nearly $80,000 in PILOT payments and $80,000 will go to the electricity project. For the county, the gain/loss of $80,000 is not currently either a budgeted expense or budgeted revenue.

For the Village of Bergen the split is $17,600, and for the Byron-Bergen School District, it's $287,850.

All three jurisdictions will need approve the PIF.

Masse will explain the project to the Byron-Bergen School Board tonight.

A PILOT is a mechanism to relieve a new or expanding business of some property tax burden on projects expected to create new jobs. The property is either owned or leased by the nonprofit GCEDC so there are no property taxes owed; the business then makes payments in lieu of those taxes during the PILOT period. The payments increase on a graduated scale over a 10-year period, usually started at 20 percent of the increase in assessed value.

A PIF, then, takes those payments and allocates at least a portion to a specific community project.

The County's Ways and Means Committee learned about the PIF plan for Appletree Acres on Wednesday, but was not yet asked to vote on the project.

Liberty Pumps is planning to add 100,000 square feet of manufacturing and office space.

February 6, 2014 - 1:15pm
posted by Howard B. Owens in business, GCEDC.

Press release:

The Genesee County Economic Development Center (GCEDC) will hold its annual meeting on Friday, March 7, at Genesee Community College to unveil the organization’s 2013 annual report to the community.

The attendees at the annual meeting will include Congressman Chris Collins, Senator Michael Ranzenhofer, Assemblyman Stephen Hawley and Genesee County Legislature Chairman Raymond Cianfrini.  

“Because of the strategic leadership of the public and private sectors in 2013, the economy of Genesee County remains strong and the business climate continues to remain positive,” said Charlie Cook, GCEDC chairman. “We will discuss at this meeting our plans to continue making business attraction and expansion a priority for 2014.”

Among the economic development highlights for the region as outlined in the 2013 annual report include:

** Recognition of Genesee County as one of the to five fastest-growing food processing regions in the country by Business Facilities magazine;

** Recognition of Genesee County by Site Selection magazine as one of the top fastest-growing micropolitans in the United States due to continued growth and business attraction;

** Economic growth as a result of projects like Muller Quaker Dairy LLC, a yogurt manufacturing facility in the Genesee Valley Agri-Business (GVAB) Park located on Route 5 in Batavia; and

** An unemployment rate of 5.8 percent during the summer of 2013 according to the New York State Department of Labor, one of the lowest unemployment rates of the 62 counties in the state.

In addition to the GCEDC’s annual report highlights, the recipient of this year’s Economic Development Partner of the Year Award will be unveiled.

For more information or to purchase tickets for the annual meeting, please visit www.gcedc.com. Tickets for the event cannot be purchased at the door and seating is limited.

December 23, 2013 - 4:05pm
posted by Howard B. Owens in batavia, business, GCEDC, Batavia Towne Center, COR Development.

The Town of Batavia Planning Board will hold a public hearing Jan. 7 to consider an application for a subdivision of property in Batavia Towne Center.

The subdivision would make it possible for Kohl's Department Store to own its own property inside the shopping center, much like Target does now.

Kohl's would be purchasing the parcel from COR Development.

In June, the Genesee County Economic Development Center Board approved $1.8 million in new tax abatements for COR (on top of the $4.6 million in tax breaks COR received from GCEDC in 2006), ostensibly to attract new businesses that provide goods or services not readily available in Genesee County.

Kohl's is a department store chain that sells furniture, clothing, bed and bath items and other general merchandise.

The store will be located where Lowe's once had its garden center, just south of the new Dick's Sporting Goods.

To the north of Dick's will be a Five Below and possibly Marshall's; both are discount retailers.

In order for Kohl's to own its own parcel, the property currently owned by COR must be subdivided.

All subdivisions must go through a public hearing, which is a chance for the public to learn the facts of the project relevant to the subdivision and comment on the issue.

The same process was used to subdivide Batavia Towne Center for Target. A portion of the tax breaks secured by COR in 2006 are now applied to the Target property.

While it's possible for Kohl's to apply to transfer tax abatements received by COR to the new parcel, Rachael Tabelski, director of marketing and communications for GCEDC, said the agency has yet to receive an application for the tax abatements from Kohl's.

The hearing will be held at Batavia Town Hall, 3833 W. Main Street Road, Batavia, at 7:30 p.m., Jan. 7. Written comments will be accepted prior to that date.

October 3, 2013 - 6:05am
posted by Howard B. Owens in GCEDC, Yancey's Fancy, Alpina Products.

Press release:

The Board of Directors of the Genesee County Economic Development Center (GCEDC) will consider at its Oct. 3 board meeting final resolutions for tax exemptions related to Yancey’s Fancy’s new processing facility and an expansion project proposed by Alpina Foods.

Yancey’s Fancy is seeking sales tax and mortgage tax exemptions and a property tax abatement to build a new facility within the Buffalo East Technology Park (BETP) located in Pembroke. Yancey’s Fancy plans to purchase approximately 12 acres within the BETP and build a 112,000-square-foot facility. The company plans to keep its artisan cheese operation and retail store in the current location on 857 Main Road in Corfu, while operating the new processing facility for its other product lines.

Yancey’s Fancy currently has 108 full-time equivalent (FTE) employees and expects to add 50 more over three years after the certificate of occupancy is obtained for the new facility.

Alpina Foods is seeking approval of a final resolution for sales tax exemption valued at $40,000 related to its proposed expansion plan. Alpina is planning a $2.5 million investment in new production equipment and $500,000 in interior construction (furniture, fixtures, and non-manufacturing equipment). Associated with this expansion plan, Alpina has committed to adding an additional 15 full-time equivalent employees to its workforce over the next three years after completion of the expansion project.  

A leading South American dairy products company, Alpina Foods constructed its first U.S. manufacturing facility in the Genesee Valley Agri-Business Park in 2011. The facility employs 50 full-time workers on site and has met initial job creation commitments ahead of schedule.

The GCEDC Board meeting will take place at 4 p.m. and is open to the public. Meetings are held at the Dr. Bruce A. Holm Upstate Med & Tech Park -- 99 MedTech Drive, Batavia, second floor, across from Genesee Community College.

September 13, 2013 - 5:47pm
posted by Howard B. Owens in business, agriculture, GCEDC, Bonduelle, food processing.

If you're a vegetable processing company, "growth" better be your favorite word.

It's a word tossed around dozens of times today during an open house for local officials and regional media at Bonduelle's facility in Bergen.

The family-run, France-based firm purchased the plant, along with plants in Oakfield and Brockport, from Allen Foods in March 2012.

It was a strategic purchase. Bonduelle, which specializes in packaging frozen vegetables under the labels of retailers, sees the United States as a place to grow and the Northeast as suitable target market.

Company executives made four trips to Allen's facilities and decided the plants were under-utilized but were in great locations with great employees, said Daniel Viefaure, CEO of Bonduelle Americas.

"When we visited the plants, what we saw were people eager for improvement," Viefaure said. "They were working under a company that was not as eager for growth as we were and the employees realized that. When they saw we were visiting, they were really interested and I got the feeling that they were the right people to do what we really wanted to do."

To date, Bonduelle has invested for $5.5 million in the four former Allen plants (there's also one in Wisconsin), including $3.5 million in the Bergen facility.

Bonduelle was so eager to grow in its first year that it applied for -- but didn't use because the timing wasn't right -- a $250,000 state grant through the Genesee County Economic Development Center.

While Allen was reportedly losing money on the facilities it sold to Bonduelle, Viefaure said his company was profitable its first year of operations.

The company plans to continue growing its WNY operations and Vielfaure said Bonduelle will likely seek out future assistance from GCEDC to assist with that growth.

Steve Hyde, CEO of GCEDC, said Bonduelle is a great success story for Genesee County, helping to shore up the vegetable end of the county's food processing industry.

“This is a game changer,” Hyde said. “The companies that owned this plant previously were really allowing it to decline and they weren’t investing and they weren’t growing, and now what you see is a 180 (degree change).”

The move into WNY by Bonduelle has certainly had a big impact on its employees in Bergen and Oakfield, who were on the cusp of unemployment under Allen. Bonduelle made a point of retaining the 69 year-around employees at the two plants.

The facilities also employ 188 seasonal workers.

Currently, the Bergen facility processes 107 million pounds of corn, carrots, beans and peas, said James Newcomb, facilities manager for Bonduelle.

Newcomb has 42 years experience working for the companies that roll up into the history of the Bonduelle plants.

On one of the tours today, Newcomb repeatedly emphasized the great care for quality Bonduelle has instilled in the plants, making equipment upgrades, improving training and ensuring only the best produce is purchased from family farms within 75 miles of the plants.

"Our customers were asking for more product, but we didn't have the capacity," Viefaure said. "Our customers are very happy to buy more product from us. They are experiencing growth and they needed more vegetables."

Among Bonduelle's clients is Wegmans, which Viefaure said is a great customer for Bonduelle because of Wegmans insistence on quality vegetables for its brand-name frozen foods.

"Wegmans is a state-of-the-art company," Viefaure said.

While Viefaure did not discuss today the specific expansion plans for his company, he did make clear the company is looking to grow its market share in the Northeast and that will mean expansion in Bergen and Oakfield.

James Newcomb demonstrating how corn kernals are stripped from the cob.

A worker sorting through kernals of cut corn, picking out imperfections. Newcomb said this was his first job in the industry and said it's one of the hardest jobs in the plant.

September 9, 2013 - 10:05am
posted by Howard B. Owens in business, GCEDC.

Press release:

The Board of Directors of the Genesee County Economic Development Center (GCEDC) passed a budget for Fiscal Year 2014 at its board meeting today, adopting a balanced budget that totals $1.2 million.

Approximately $1.041 million in revenues will be realized through grant revenue, sale and lease back fees, interest income, and county funding. Another $175,000 in cash payments will be collected through project participation fee annuity streams. Revolving Loan Fund (RLF) interest will generate approximately $22,000 in revenue through 13 active loans in RLF 1 and five active loans in RLF 2. Meanwhile, workforce development activities continue to be self-sustaining due to grant funding. 

“The GCEDC was created to retain and create jobs and generate new revenues for local government by increasing the property tax base,” said Steve Hyde, president and CEO of the GCEDC. “For every dollar of public money that supports the GCEDC, there is an $18 return on investment to the community as a result of various economic development projects supported by our agency.”

As a public benefit organization, the GCEDC generates fee revenues from economic development projects. The GCEDC also projects continued funding from Genesee County as well as other sources to run its operations, programs and services. The funding provided by Genesee County helps the GCEDC with core base-level operational funding while the remaining project revenue is raised through the ongoing work of the GCEDC.

“Genesee County is a vital partner in our efforts to bring new business and growth to our region,” Hyde continued. “We are extremely grateful to the members of the Genesee County Legislature who support the GCEDC’s ongoing growth strategy.”

Expenditures have been controlled and reduced wherever possible, however compliance with New York State mandates continues to cause significant cost increases for the operating budget. For example, a 13-percent increase in health insurance premiums is anticipated based on current estimates from health insurance brokers.

“The GCEDC’s budget assumptions are conservative due to uncertainties related to future project activity levels, but we anticipate that 2014 will be another great year,” said Lezlie Farrell, CFO of the GCEDC.

September 6, 2013 - 5:49pm
posted by Howard B. Owens in batavia, business, GCEDC, Batavia Towne Center, COR Development.

Today workers just about completed installing the Dick's Sporting Goods sign on the former Lowe's building.

Syracuse-based COR Development received $1.8 million in local tax breaks in order to retrofit the building so Dick's could come to town and compete against existing locally owned sporting goods stores.

One store, Fisher Sports, has already closed because of the preferential treatment given to COR by the Genesee County Economic Development Center.

Dick's is expected to open within a couple of months.

September 6, 2013 - 9:50am
posted by Howard B. Owens in business, GCEDC, graham corp, Yancey's Fancy.

From Rachael J. Tabelski, marketing and communications director, GCEDC:

Please be advised that the two projects that came before the Genesee County Economic Development Center Board for incentives at the Sept. 5 board meeting passed. The details of the projects are below. Please note that the project summary for Yancey's Fancy has been updated with further details of the project. The board approved an initial resolution which directs the GCEDC to schedule a public hearing on the Yancey's Fancy project and related incentives. As soon as the public hearing for Yancey's is scheduled we will send you the details. Please do not hesitate to contact me with any questions or concerns.

Graham Corporation Expansion
Discussion: Proposed sales tax and property tax abatement.

Graham Corporation would like to renovate the "old" plant area, located at the corner of Harvester Avenue and Howard Street in the City of Batavia. A new bay will be constructed (12,439 square feet) that will enclose the area between two manufacturing bays located facing Harvester Avenue along with renovations of office and manufacturing areas. In addition, a new building (3,800 square feet) will be constructed on the 20 Florence Street campus. This new building will be used for X-ray inspections of welds done during the fabrication process. Graham currently has 311 full-time equivalent (FTE) employees and anticipates adding 30 more over three years after the certificate of occupancy is obtained for these renovations. At the Aug. 1 board meeting an initial resolution was approved to schedule a public hearing. A public hearing was held on Aug. 21 to solicit public comments on the project as the total incentive amount is more than $100,000. No members of the public attended the hearing.

Board Action Request: Approval of final resolution to approve the incentives for the project. The application for the expansion project includes an estimated sales tax exemption of $240,000 and estimated property tax abatement on the incremental increase in assessed value of $243,396.

Historical Look: The last expansion project that Graham undertook and the GCEDC assisted was in 2011. At the time Graham had 278 FTEs and pledged 30 new jobs in three years for a total of 308 FTEs. According to its 2013 application the company exceeded its employment goals and plans to keep growing.

Yancey’s Fancy Project -- *Updated Summary
Discussion: Proposed sales tax and mortgage tax exemptions and property tax abatement.

Yancey's Fancy has updated its project specifications since submission of its original application for incentives. The original application was received by the GCEDC in April. According to the original application, Yancey’s was planning an 112,000-square-foot expansion at its existing facility, 857 Main Road in Corfu. After moving forward with planning and permitting for the expansion, the company has decided to build a new facility within the Buffalo East Technology Park (BETP) located in Pembroke. Yancey’s Fancy would like to purchase approximately 12 acres within the BETP, and build a 112,000-square-foot facility. The capital investment is estimated to be $18.2 million.

The company plans to keep its artisan cheese operations and retail store in the current location (857 Main Road), and to undertake an expansion at this location as well. The second part of the project will include the addition of 3,500 square feet at the 857 Main Road location where they will install a new reverse-osmosis system. The instillation of a reverse-osmosis system will allow whey produced during the cheese-making process to be dried and sold. Currently, whey is transported by local farmers at a cost to Yancey’s. By utilizing reverse-osmosis technology, it is possible to concentrate the solid content enough to sell whey to processors and animal feed operations. Recent technological advances also allow the water removed from the whey to be pumped back into plant operations. These advances, as well as the expansion of the town and village sewer system, have made the reverse-osmosis project a viable opportunity in the overall growth strategy that Yancey’s Fancy in undertaking. The capital investment of this project is estimated to be $2.5 million.

The total capital investment for Yancey’s project is estimated at $20.7 million. The company currently has 108 full-time equivalent (FTE) employees and expects to add 50 more over three years after the certificate of occupancy is obtained for this new facility. Due to the changes in the project, a new public hearing will be held to solicit public comment on the incentives sought by the company, as they are more than $100,000 in savings.

Board Action Request: Approval of an initial resolution to set a public hearing for the Yancey’s Fancy project. The estimated sales tax exemption is valued at $638,608, and the estimated mortgage tax exemption is valued at $233,388. The new building and land located within the Buffalo East Technology Park will have an estimated property tax savings of $686,314, and the incremental increase in assessed value that will apply to the additional square footage at the 857 Main Road location will have an estimated property tax savings of $49,022. The total estimated property tax exemption is valued at $735,336.

August 28, 2013 - 10:46pm
posted by Howard B. Owens in business, GCEDC, liberty pumps, foreign trade zone.

Sen. Kirsten Gillibrand stopped for a tour of Liberty Pumps in Bergen today to promote Genesee County's "Foreign Trade Zone" designation.

Liberty is the first company in Genesee County to apply for the benefits of an FTZ.

Charlie Cook, president and CEO of Liberty Pumps, said the designation will help his company grow and create more jobs.

"It's certainly going to help reduce our costs," Cook said. "We are initially limited to three companies because it's crucial to monitor everything and control the inventory on the floor, so our most expensive components are duty free and there's an advantage there. It's our intent to flow the savings to the bottom line and generate more profits, which fuels future growth."

Profits, Cook, explained, means more research and development and more funds to bring new products to market, which means expansion.

Liberty Pumps is surrounded by three parcels of land that are suitable for expansion and Cook mentioned that the company is considering it options and will almost certainly expand in the next couple of years.

The FTZ allows Liberty Pumps to buy some of the parts it needs to build products without paying tariffs, but then it can also avoid tariffs on its exports.

Cook wanted to note, however, that not every component it could buy overseas is imported.

"We really try to limit our foreign purchases of components," Cook said. "If we can buy it domestically, we always prefer domestic components, but the fact is, these particular motors you can't get from a U.S. manufacturer anymore. They've all closed down these lines. Other components, like castings, we could do that, but we're trying to contain that business, a lot of it, to domestic sources rather than foreign."

Gillibrand said FTZs are important to help New York's economy grow.

"I encourage all manufacturers who can benefit to apply," Gillibrand said. "We make some of the most amazing things in the world right here in New York. We produce some of the greatest agricultural products of anywhere in the world. We want to be able to increase the world markets for our goods and services. We want to keep local busineses in a position of strength."

August 26, 2013 - 1:08pm
posted by Howard B. Owens in business, GCEDC.

Press release:

For the fourth year in a row, Genesee County, New York has been recognized as one of the fastest growing Food Processing Industry Metros by Business Facilities, a national site selection publication.

The Agricultural and Food and Beverage Sector employs more than 1,500 workers in Genesee County, and throughout the Western New York and the Finger Lakes Region there are more than 20,000 employees within the Food and Beverage Cluster. This number has increased significantly in recent years with the opening of Alpina Foods, LLC, and Muller Quaker Dairy along with the expansion of other food processors in the County.

“The recent construction of two new food processing facilities demonstrates a substantial return on our investment in our Genesee Valley Agri-Business Park,” said Steve Hyde, president and CEO of Genesee County Economic Development Center (GCEDC). “We are honored to be once again recognized by Business Facilities as it keeps us on the radar screen for site selectors throughout the United States and the world.”

The Genesee Valley Agri-Business Park encompasses 211 shovel-ready, pre-permitted acres strategically located between Western New York and the Finger Lakes region in Batavia, NY.  On site, there is access to low cost process water via a local aquifer, a short and main line rail access to move products, and large capacity municipal sewer and water. Through the support of National Grid and National Fuel the site has an enhanced utility infrastructure.

“Genesee County and our strategic partners, GCEDC, GCC, our utility companies, Farm East and other local governments like Batavia, Pembroke, Bergen, etc., made sure that nine-plus years of planning and preparation are paying off in terms of infrastructure, shovel-ready site, employment and training opportunities and good paying, long-term employment options for our community and the region,” said Mary Pat Hancock, chairwoman of the Genesee County Legislature. “The vision and collaboration necessary to make this happen and to sustain development and progress is what our community has always been about.”

Alpina Foods, LLC, a leading dairy producing company in Colombia and South America, recently opened its first specialty yogurt manufacturing plant at the Genesee Valley Agri-Business Park. This is Alpina’s first United States facility and the company recently exceeded their original job commitments of 50 employees. PepsiCo, in a joint venture with German dairy company Theo Müller, also recently opened its own $206 million yogurt manufacturing facility, Muller Quaker Dairy, and as of June 2013 have hired 110 employees for their Batavia facility. 

“Food manufacturers value our region’s abundant milk supply and access to fresh water,” said Mark S. Peterson, president and CEO of Greater Rochester Enterprise. “These assets are just some of the reasons Genesee County has become a magnet for leading yogurt manufacturers such as Alpina Foods and Muller Quaker Dairy.”

“A wealth of agricultural assets, shovel-ready sites, transportation infrastructure and access to major U.S. and Canadian markets have helped to establish Genesee County as a leading location for the food processing industry,” said Thomas A. Kucharski, president and CEO of Buffalo Niagara Enterprise.

“Leading dairy companies like Alpina Foods, Muller Quaker Dairy, Yancey’s Fancy and O-AT-KA Milk are among the almost 400 food processing companies that have grown and prospered in Genesee County and the surrounding area,” Kucharski added.

August 1, 2013 - 8:45am
posted by Howard B. Owens in batavia, business, GCEDC.

Rachael J. Tabelski, communications director for Genesee County Economic Development Center, released the following details on the four projects that will be considered by the GCEDC board this afternoon. The board meets at 4 p.m. at the MedTech Centre, 99 MedTech Drive (across from the college).

1. (GCEDC) Proposed sales tax and property tax abatement -- Graham Corp.
Graham Corporation would like to renovate the "old" plant area, located at the corner of Harvester Avenue and Howard Street in the City of Batavia. A new bay will be constructed (12,439 square feet) that will enclose the area between two manufacturing bays located facing Harvester Avenue along with renovations of office and manufacturing areas. In addition, a new building (3,800 square feet) will be constructed on the 20 Florence St. property. This new building will be used for X-ray inspections of welds done during the fabrication process. Graham currently has 311 full-time equivalent (FTE) employees and expects to add 30 more over three years after the certificate of occupancy is obtained for these renovations. Board Action Request: Approval of an initial resolution to accept the application, and schedule a public hearing as benefits exceed $100,000. The application for the expansion project includes a sales tax exemption ($240,000) and property tax abatement on the incremental increase in assessed value ($243,396). Historical Look: The last expansion project that Graham undertook and the GCEDC assisted was in 2011. At the time, Graham had 278 FTE’s and pledged 30 new jobs in three years for a total of 308 FTEs. According to its 2013 application the company has exceeded its employment goals and plans to keep growing.

2. (GCEDC) Proposed sales tax and mortgage tax exemption and property tax abatement -- Guthrie Heli-Arc, Inc. 
Guthrie Heli-Arc, Inc., is a federally certified repair facility for transportation vessels. For the past 22 years its has operated out of a rented facility in Bergen. That facility has been sold, and the lease will terminate. CLR Industries, LLC, real estate holding company, has purchased a facility at 6276 Clinton Street Road in Stafford. The company plans on moving into the Stafford facility after a 7200-square-foot addition to the existing structure is completed. The addition is necessary to accommodate workflow. Board Action Request: Approval of a final resolution to approve incentives for the proposed project. The application for the expansion project includes a sales tax ($14,400) and mortgage tax exemption ($3,750) and property tax abatement on the incremental increase in assessed value ($58,902).

3. (GCEDC) Proposed RLF  for business expansion Pellegrino Auto Sales
The company is seeking a 16’x48’ expansion to the current facility and office renovation of 12’x38' at 4060 Pearl Street Road in the Town of Batavia. This will allow for three times the office space for future growth. The company is investing $150,000 and pledging 2.5 FTEs and retaining 5.5 FTEs. Board Action Request: Approval of a $75,000 from the revolving loan fund.

4. (GGLDC) Proposed RLF from the Batavia Micropolitan Area Community Redevelopment Loan Fund -- Jackson Square, LLC.
The former Carr's warehouse was built around 1880 in what is today known as Jackson Square. The company is looking to convert the former warehouse into a mixed-use, commercial and residential site. The ground floor will have flex office/light industrial and four new market rate apartments on the second and third floors. The City of Batavia is current owner of building and will transfer the title to the Batavia Development Corporation for sale to 13 Jackson Square, LLC. It is our understanding that the City of Batavia is looking to assist the project with its 485-A real property tax exemption. Board Action Request: Approval of a $100,000 from Batavia Micropolitan Area Community Redevelopment Loan Fund. Historical look: Board approved final resolution in July 2013 for sales tax ($24,816) and mortgage tax exemption ($2,994) contingent upon 13 Jackson Square, LLC, purchasing the building.

July 31, 2013 - 10:07am
posted by Howard B. Owens in batavia, business, GCEDC, graham corp., Guthrie Heli-Arc.

Press release:

The Board of Directors of the Genesee County Economic Development Center (GCEDC) will consider two projects at its Aug. 1 board meeting. The board anticipates reviewing two revolving loan fund applications at this meeting as well.

Graham Corporation is seeking sales and property tax abatement for an expansion of its existing facilities. A new bay will be constructed (12,439 square feet) that will enclose the area between two manufacturing bays facing Harvester Avenue along with renovations of office and manufacturing areas. In addition, a new building (3,800 square feet) will be constructed on the 20 Florence St. property. This new building will be used for X-ray inspections of welds done during the fabrication process.

The total capital investment of the project is estimated to be approximately $5,500,000, with the proposed tax incentives contributing $483,396. Graham currently has 311 full-time equivalent (FTE) employees and expects to add 30 more over three years after the certificate of occupancy is obtained for these renovations.

The estimated economic impact of the project is 17.30:1. For every dollar of tax relief granted, the company will invest $17.30 into the local economy. Because the proposed incentives exceed $100,000, the board will first consider an initial resolution to be followed by a public hearing.   

The last expansion project that Graham undertook – also with assistance from the GCEDC – was in 2011. At the time Graham had 278 FTEs and pledged 30 new jobs in three years for a total of 308 FTEs. According to its 2013 application, the company has exceeded its employment goals and plans to continue growing.

Guthrie Heli-Arc, a federally certified repair facility for transportation vehicles, is seeking sales and mortgage tax exemption and property tax abatement for an expansion and relocation project. For the past 22 years, the company has operated out of a rented facility in Bergen. That facility has been sold, and their lease will terminate. CLR Industries, LLC, a real estate holding company, has purchased a facility at 6276 Clinton Street Road in Stafford. Guthrie Heli-Arc plans on moving into the Stafford facility after a 7200-square-foot addition to the existing structure is completed. The addition is necessary to accommodate workflow.

The total capital investment of the project is estimated to be approximately $300,000, with the proposed tax incentives contributing $77,052. Guthrie Heli-Arc estimates that the project will allow the company to create two new jobs while retaining six others. The estimated economic impact of the project is 9.4:1. For every dollar of tax relief granted, the company will invest $9.40 into the local economy. 

All GCEDC Board meetings are open to the public. Meetings are held on the second floor of the Dr. Bruce A. Holm Upstate Med & Tech Park, located at 99 MedTech Drive in the Town of Batavia, across from Genesee Community College. The meeting is anticipated to convene at 4 p.m.

July 30, 2013 - 2:26pm
posted by Billie Owens in business, GCEDC.

Press release:

The Genesee County Economic Development Center (GCEDC) is offering a second round of applications for its Food Processing Training Program. The program provides individuals with a certification to work in the food-processing industry, including the yogurt companies in the Genesee Valley Agri-Business Park. The deadline for submitting applications is Sept. 1.

Up to 25 individuals will be accepted for the class. Members from first graduating class are already working at local companies.

Applications can be picked up at the Genesee County Career Center at 587 E. Main St., Suite 100, Eastown Plaza in Batavia. The application also is available at the GCEDC Web site <http://www.gcedc.com>. Applicants also will need to complete a Customer Registration Form as well as submit an up-to-date resume with their application.

“We want to build off the success of the first graduating class and get as many applications submitted as possible in order to enhance the talent pool of individuals with the skills to work and be successful in the food processing industry,” said GCEDC Chairman Charlie Cook.

The training program is being funded by an Area Development grant obtained by the GCEDC from the National Fuel Gas Corporation with additional financial support from the Finger Lakes Food Cluster Initiative — funded by the Department of Labor's Employment and Training Administration in the amount of $38,000 or 28 percent of the program.

In addition to receiving a non-credit certificate and certificates in Team Building and OSHA Safety in a Manufacturing Environment from Genesee Community College, participants will receive certificates in Lean Systems Six Sigma Yellow Belt (Rochester Institute of Technology) and Basic Dairy Science & Sanitation Certificate (Cornell University).

“Our goal is to increase the 78 applications we received for the first class and we were encouraged that we received so many applications from outside of Genesee County,” said Steve Hyde, president and CEO of the GCEDC. “It shows that the Genesee Valley Agri-Business Park is a regional economic asset and that people are willing to travel for good jobs.”

July 15, 2013 - 5:26pm
posted by Howard B. Owens in batavia, business, GCEDC, Premiere Credit.

Previously, we published a press release from GCEDC that announced an expansion for Premiere Credit. Here is a press release from Premiere Credit with more information.

Premiere Credit of North America, LLC, a leading national accounts receivable management company headquartered in Indianapolis, Ind., announced today the addition of 50 jobs to its Batavia call center operation on Mill Street.

Premiere Credit will be hiring managers and collection cpecialists. Interested applicants can apply online at www.premierecredit.com and click on the Employment tab. These are solid jobs with good benefits and great earning potential for top performers.

“Premiere Credit opened an office in Batavia 17 months ago and we have been so impressed with the workforce in this location. We are excited to have the opportunity to expand our business here,” said President and CEO Rob Meck. “I am also proud to be part of a team that so willingly gives of their time and resources to this community through their involvement in local charities.”

“Premiere Credit’s expansion of its Batavia office is a testament to a high quality, productive and home-grown workforce,” said Steve Hyde, president and CEO of the Genesee County Economic Development Center. “This announcement builds on the positive economic development continuing to gain traction in Batavia and throughout the county.”

The Mill Street location started with 50 employees in March 2012 and will employ nearly 200 people after this expansion is complete.

July 15, 2013 - 12:28pm
posted by Howard B. Owens in batavia, business, GCEDC, Le Roy.

Press release:

The Board of Directors of the Genesee County Economic Development Center (GCEDC) reviewed and approved four items at the organization’s July 11 board meeting. The projects would create approximately 60 new jobs, including 50 new jobs at Premiere Credit in downtown Batavia while retaining approximately 50 jobs at Leroy Plastics.

The board also approved the sale of 10 acres of land to Alpina for a future use as yet not unveiled by the company. Alpina has already surpassed its commitment to create 50 new jobs to receive benefits from the GCEDC as 55 new jobs have already been created.

Le Roy Plastics received approval for a $100,000 loan fund from the GCEDC in order to purchase a building at 59 Lake St. in Le Roy. The company is seeking to consolidate its processes from current facilities located at 15 Lent Ave. and 7835 E. Main St. The loan would have a term of seven years.

Premiere Credit, which opened operations in the city of Batavia in 2012, received a sales tax exemption of approximately $26,000 in return for an investment of $325,000 to expand the footprint of the company’s existing call center at 1 Mill St. The expansion will create an additional 50 new employees for a total workforce of 135.

Imagination Industries is constructing a 7,015-square-foot facility at 8240 Buffalo Road in the Town of Bergen. The multiuse facility will house an indoor firing range, training center, gunsmith services and a laser engraving business. The company is investing nearly $400,000 and will create 10 new jobs. 

Since this is a retail business, a public hearing was conducted on July 9 for community feedback to the project as part of the passage of new state legislation to determine if the project makes available services which would not be, but for the project, reasonably accessible to residents of the municipality where the project is located. After it was determined that the project fulfilled the new criteria, Imagination Industries received approval for sales tax and mortgage tax exemptions and a property tax abatement.

“These are all very high-quality projects that we believe will have a positive economic impact in the region,” said Steve Hyde, president and CEO of the GCEDC. “While the main function of our organization is to create new jobs, it’s also important to remember that we are here to help existing companies such as Le Roy Plastics retain jobs and keep them here for the long term.”

July 13, 2013 - 9:40am
posted by Howard B. Owens in batavia, business, downtown, GCEDC.

Press release:

Fisher Sports has decided to close its doors. We have thought about the situation and have had many discussions over the last month and we feel with being a new business we just haven’t had enough time to build our business to where we could withstand a hit like the one the GCEDC gave us paying Dick's to come to town.

We would have liked to stay open through the end of the year but with my son Jonathan’s football season at Syracuse starting next month I will be doing a lot of traveling and thought this is as good a time as any to start the closing process. We are having a 50-percent off everything in the store sale to reduce our inventory so please come in and take advantage of the savings.

July 11, 2013 - 11:44pm
posted by Howard B. Owens in batavia, business, GCEDC, redevelopment.

Genesee County Economic Development Center -- through its financing arm, Genesee Gateway LDC -- is committing $500,000 to redevelopment projects in the City of Batavia as well as the business districts of Genesee County's towns and villages.

The money to start the new revolving loan fund is seeded from revenue generated for the LDC by the Genesee Valley Agri-Business Park, which in the last year has seen two companies construct yogurt plants there.

"Fortunately, some of the risks we've taken and some of our strategies we've taken have created some capital," said GCEDC CEO Steve Hyde said during a joint meeting Thursday of the GCEDC and LDC boards of directors. "I'm now recommending to the local development board to say, 'let's take some of the strategic investment money from the success of the ag park and reinvest it to support the redevelopment activities and revitalization here in the city and the business centers in the towns and villages.'"

The board approved the proposal unanimously.

The vote followed presentations by Batavia Development Corp. Economic Development Coordinator Julie Pacatte and City Manager Jason Molino.

The city, which is largely built out and has some aging industrial and commercial buildings, has been developing a strategy to pursue redevelopment, adaptive reuse and in-fill development.

An example of redevelopment, Pacatte said, is the Masse Gateway project, which took old manufacturing buildings and turned them into office buildings.

Adaptive reuse would be the project now under way to convert the former Carr's warehouse in Jackson Square into retail, office and apartment space.

In-fill would be the kind of project that Pacatte said needs to take place with the Della Penna property on Ellicott Street where there's one building on the property now and another could be added to create more density and expand the range of uses for the property.

"These projects are very difficult to fund," Pacatte said, "the Carr's warehouse for example. It was a warehouse. It's becoming residential and commercial. The condition of the building today, he (the buyer) would never get a traditional mortgage to do anything with that site, so he needed to start with a lot of equity. He has to look for some other opportunities so he can cash flow the project before the the grants will come in on the back end to reimburse him."

The kind of loans available through the new Batavia Micropolitan Redevelopment Fund could have helped the Carr's Warehouse project.

The loans will need to meet a long list of requirements to be granted and can range from $25,000 to $100,000 at 80 percent of prime.

To qualify, a developer would need to have at least a 30-percent equity stake in the project or already have another traditional bank loan in place. Collateral is required and the developer must make a personal guarantee for repayment.

Legislator Marrianne Clattenburg -- who both while City Council president and as a legislator has been critical of the scant attention GCEDC has seemed to pay to redevelopment in the city -- was pleased with today's decision and was on hand to witness the vote.

"It meets what I'm looking for," Clattenburg said. "It's a start. It's a beginning and it's gratifying to see the culmination of what I believe is a partnership that's forming and a recognition that the county development agency should be into redevelopment while it's doing greenfield development. I'm gratified it's coming about and I look forward to much more in the future."

For more than a decade, at least, GCEDC has been focused on building shovel-ready parks to attract manufacturing and other industrial businesses. Its biggest success so far, with the opening of the Alpina and Muller Quaker yogurt plants, has been the ag park.

The LDC will administer the loan fund. GCEDC could become involved in projects where tax abatements are needed to assist the redevelopment effort, Hyde said.

Molino said it's really been a collaborative effort to develop the new program.

"Developing this over the past few months has been a good opportunity for everybody and hopefully there will be more opportunities where the city, the BDC and the EDC can partner and take advantage of some of the development that's happening throughout the county and really help redevelop and improve some parts of the city," Molino said.

July 9, 2013 - 11:14pm
posted by Howard B. Owens in GCEDC.

The Authorities Budget Office has released an annual report, along with several spreadsheets, that contain a range of data about the state's multitude of public authorities, including industrial development agencies, such as the Genesee County Economic Development Center.

Here's what the report shares about GCEDC:

  • Total staff compensation for GCEDC's 12 employees was $772,360 in 2012, the third highest in the state behind Erie County, with 19 employees at $1.2 million and Yonkers with 20 employees at $1.14 million. Yonkers and Erie also have the largest staff of IDAs in the state, followed by Genesee and Jefferson with 12 apiece.
  • Eighteen authorities in the state paid performance bonuses in 2012, but only three were IDAs, and only GCEDC among IDAs paid bonuses in excess of $10,000. In all, six employees received bonuses of $10,000 or higher, including Steve Hyde, whose bonus of $142,000 put his total compensation for the year at $312,388.
  • The 51 other authority employees in the state that received performance bonuses in excess of $10,000 all work for health care agencies, such as the Roswell Park Cancer Institute, and pulled in total compensation packages two and three times Hyde's compensation. The president and CEO of the Westchester County Health Care Corporation was paid $1.4 million in total compensation.
  • GCEDC has 11 projects that were approved in 2008 with total tax exemptions awarded of $2 million. Those projects were supposed to create 66 new jobs. There were actually only 14 jobs created, according to the ABO report. That's far from the worst performance in the state, however. The Albany IDA's projects came up 2,138 jobs short on promises and 14 other IDAs had greater deficits than GCEDC's projects.
  • In the list of new IDA projects for 2012, GCEDC ranks third with 13. Topping the list is Monroe County's IDA with 33 followed by New York City with 16.
  • On the same list, GCEDC is third in total net exemptions, having awarded  $3.6 million, behind Jefferson County with $5.34 million on six projects and Westchester County with $4.2 million on 11 projects. Monroe's 33 projects received $2 million in exemptions and NYC's $1.5 million.
  • Those 13 projects for GCEDC are expected to net 341 new FTE positions, which is the seventh highest projection in the state. NYC is number one with 1,409 estimated FTEs followed by Monroe County with 501.
  • Jobs created by IDA-funded projects are a self-reported number from the employer to the sponsoring IDA. As the sponsoring IDA, GCEDC reported 244 jobs created for its 2012 projects, which is 137 new FTE positions that didn't exist before the projects were approved, but still 97 fewer jobs than promised by the projects.
  • Those 137 additional jobs are enough to place GCEDC fourth in the state for IDAs creating jobs from approved projects. Tops is Monroe County with 1,369 new jobs, followed by NYC, 206, and Syracuse, 198.
  • Erie County actually lost 56 jobs on its 10 projects that received $1.18 million in exemptions.
  • Orleans County had one project in 2012 that received $3,000 in exemptions that promised three new jobs and three new jobs were created.  
  • The Genesee Gateway LDC gave out $5.8 million in loans for projects expected to create 244 jobs with 99 FTEs positions reportedly created in 2012. That's $58,435 of loan money per new FTE position, 10th on the list for highest loan amount per job. Topping the list is Washington County LDC, which gave out 33 loans totaling $3.4 million and had two FTEs created for an average of $1.7 million per job. At the other end of the scale, Livingston County gave out 16 loans totaling $1.1 million and those projects created 243 positions, for an average of $4,501 loaned per job.

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