Business

This story is based on information provided by Pavilion-based Syntec Optics.

Syntec Optics is hard at work on a project that could revolutionize the way we interact with computers. It's the nation's largest independent manufacturer of custom plastic lenses whose motto is “Precision Plastic Optics for Tomorrow’s Technologies."

The Pavilion-based company is working on the Eye-Com EC7T™ eye-tracking system -- designed and developed by Eye-Com Corp. This advanced eye-tracking platform uses frame-mounted microcameras to not only record eyelid and pupil activity, but also to track head movement. The integrated, wearable system is a versatile device with all video, lighting, and electronic components encased within the uniquely designed, unobtrusive eye frames.

Even in a universe of lighting-quick technological changes, this stuff is mindboggling. (Perhaps a bit "Borg-like" -- but in a good way.)

Entertainment, transportation and disability-assistance industries are among those expected to be significantly impacted by advancements in eye-tracking and biometric technologies such as this.

In the rapidly emerging "augmented-reality" industry, people are presented with information about their surrounding environment through various visual displays, including computers, TV screens, smart phones, or even through a pair of eye-tracking glasses with a heads-up display.

In the foreseeable future, a user wearing an eye-tracking device could look at a building such as a movie theater and be presented with information like show times or even watch movie trailers.

Imagine driving a car that has eye tracking, augmented reality, biometrics and oculometrics all integrated -- where the system is able to determine if you are in a traffic jam or cruising down the highway -- and selectively allowing phone calls to go through based on your level of fatigue, stress or the amount of attention needed to be devoted to the road.

“In the near term, the EC7T will enable many disabled individuals greater use of computers with a device that can be used in place of a traditional mouse and allows them to use their eyes to select objects on the screen," says Eye-Com Founder William C. Torch, Ph.D.

Syntec Optics has been working with Eye-Com for more than a year and is currently manufacturing and assembling the set of plastic optics used in the EC7T.

Since the device is worn by the user, the optics need to be light in weight. Using plastic as opposed to glass made sense. Syntec was able to produce a set of prototype lens from Zeonex E48R™.

One of the challenges was the size of the lens, which is roughly 3 millimeters in diameter according to Syntec Optics’ VP and General Manager Rick Arndt.

“We have significant experience manufacturing and assembling small optics but as technology progresses, we see parts getting smaller and smaller,” Arndt said.

As for the technology itself, Eye-Com CEO Ky Good says “Eye-Com’s eye-tracking technology has established a new level of biometric performance with both advanced hardware and innovative software, which offers a platform for the future.”

The EC7T provides a mechanism and platform for enhancing applications that have yet to be imagined. Good believes that the device will eventually integrate optical, audio and neural sensors that will drive many applications in the next 10, 20 to 50 years.

“Our intention,” he explains, “is to leverage and collaborate with many companies, ideally bringing those pieces together to provide a cost effective, usable product for a multitude of end-users.”

("Make it so," said the captain.)

To find out more visit <http://www.eyecomworld.com> or <http://www.syntecoptics.com>.

If all goes well, Genesee County could become a foreign-trade zone by year’s end.

That would be a boon for some local companies, including those looking to grow their business in international markets because it evens the playing field with foreign competitors, according to proponents.

The Genesee County Economic Development Center Board has approved a request to take the initial steps to establish a foreign-trade zone (FTZ) here.

Although this has been in the works for some time, new federal rules have made it easier to move forward, according to Chris Suozzi, vice president of business development at GCEDC.

The application process takes about eight months and it’s quite extensive. Applicants are screened by the Foreign Trade Zones Board of the U.S. Department of Commerce.

"The whole county can be deemed a foreign-trade zone, instead of targeted areas of the past,” he said. “We would act as a public utility. There are fees associated with this for filings, attorney fees, application fees, etc. Those numbers aren't known yet. That will be part of the application process.

"Each (business) applicant has to be able to recoup those costs – realize at least $10,000 in savings – to justify participation.”

A business would have to do its own due diligence to determine if the math works in its favor, Suozzi said.

There are several economic advantages of a FTZ, including reduced customs, deferral or avoidance of duties and federal excise taxes, tariff inversions, weekly customs entry and reduced value on scrap, waste and obsolete products.

Participants are able therefore to reduce the costs of doing business in the United States – distribution, manufacturing as well as non-manufacturing activities – thereby reducing the attraction or need to do business at a foreign site. Companies also have an opportunity to grow sales through increased exports.

The GCEDC maintains that not only will existing companies stand to benefit from a FTZ, but it will serve as an incentive to attract other companies. GCEDC officials are exploring the possibility of expanding the trade area to the entrie GLOW region, which includes also includes Livingston, Orleans and Wyoming counties.

"A lot of U.S. companies can grow their sales internationally, instead of maintaining the status quo, they can grow both by retention and the attraction of new businesses,” Suozzi said.

Liberty Pumps is an example of one local manufacturer that is keen on establishing a FTZ. Suozzi said he would like to meet with any business interested in learning more about foreign-trade zones.

"We’ll set up a meeting and walk you through it,” Suozzi said. He can be reached at (585) 343-4866, ext. 11, or e-mail to csuozzi@gcedc.com.

City DPW workers were busy Monday night in Downtown Batavia. Crews hauled off a good deal of the snow that was blocking walkways between parking and the sidewalk along Main Street. Tim Walton supplied the picture below of the snow removal.

If you're a landowner with at least 200 acres in the Batavia area, here's your chance to sell it.

The U.S. Department of Veterans Affairs is trying to secure a plot of land that is central to Buffalo and Rochester for a new veteran's cemetery, according to a report in the Buffalo News.

When it was pointed out that most of the land east, west, north and south of Batavia is wide open, he said, “Apparently no one wants to sell.”

At present, the closest VA cemetery for those who have served in the armed forces is more than 100 miles away in Bath.

The parcel being sought by the VA needs to be within seven miles north or south of the Thruway and no farther than 20 miles east of the Thruway and Route 77 or 18 miles west of that rural crossing.

Prospective sellers -- even a mile outside the boundaries -- should call Gary Rothfeld, a VA real estate official at (202) 495-5534.

The deadline for proposals is Feb. 16.

A pair of Batavia hotels are getting some tax relief through the Genesee County Economic Development Center because they are installing new energy-efficient doors and windows.

A GCEDC news release says the project will mean 21 retained jobs.

The Days Inn and Super 8 at 200 Oak St., Batavia, are expected to spend more than $220,000 on the project.

The owners will save about $9,000 in sales tax on materials under terms of the GCEDC arrangement.

Vic Marchese, owner of Main St. Pizza Company, was excited to get an e-mail today of a Sri Lanka resident wearing one of his T-shirts in the country once known as Ceylon. He said a friend sent the Sri Lankan the T-shirt and arranged for the picture.

If Steve Hyde said it once, he said it at least a half-dozen times Tuesday during a public hearing on providing tax incentives for a proposed Holiday Inn Express in Batavia: The Genesee County Economic Development Center wants the input of other hotel owners on the potential economic impact of the proposed project.

"We are most interested in your views on what’s going on in the marketplace so we can share that with the board and they can give it thoughtful consideration," said Hyde, CEO of the GCEDC, near the end of a sometimes slightly contentious public hearing.

About a dozen local hotel operators attended the 4 p.m. meeting.

Typicall at such hearings, members of the public speak, officials listen with little or no response and the meeting ends. But Hyde repeatedly engaged speakers, either with questions or by challenging them to deliver more facts.

"If you have additional facts from validated sources that can justify your position, you should present that to us," Hyde said. "We hear you loud and clear but we need you  to provide us with verified facts."

The meeting opened with Mark Masse, VP of operations for GCEDC, presenting an overview of the proposed project and the proposed tax incentives the GCEDC can help deliver.

The developer is Michael Patel and an investment group, Chase Hotel Group, which operates in four states and eight markets. Previously, Patel owned and developed Comfort Inn in Batavia and he currently owns Hampton Inn in Batavia.

The proposed hotel would have 80 rooms and cost $3.5 million to develop.

When completed, the hotel will employ 19 full-time equivalent staff members.

Under the tax abatement proposal, Patel and Chase Hotel Group would receive $112,000 in sales tax exemption, a mortgage tax exemption of $37,500 and a property tax abatement over 10 years of $400,136.

These are taxes, according to Masse, that won't be generated if the project isn't built. 

There will be no tax reduction -- meaning no abatement of existing taxes -- for existing tax liabilities on the property.

If the project is built, it should generate more than $800,000 in sales tax over 10 years and $38,700 over 10 years in fire district fees.

The total economic benefit to the community over 10 years is estimated at more than $8.5 million.

Local hotel owners took issue with these numbers saying the figures don't account for lost business, not to mention the potential closure, of existing hotels.

"You say after the Hampton Inn opened there was an occupancy increase," said Chan Patel, owner of the Clarion Inn on Park Road (formerly the Holiday Inn). "I can prove to you that over the next two years, my occupancy went down by 10 percent."

The operators who spoke said they've all seen occupancy rates drop as new hotels have come into the market and they don't see how a market with a 48-percent occupancy rate in market with 1,000 rooms will benefit by adding 80 more rooms.

Jayesh Patel, owner of Travel Lodge, Batavia, argued, as did other hotel owners, that more rooms will mean that all of the hotels will wind up charging lower rates. The Holiday Inn Express, he said, with the benefit of tax breaks, would then have an advantage over established hotel owners who are paying all of their taxes.

"If the developer has faith in the market then they should spend money out of their own pockets rather than out of taxpayer pockets," Jayesh Patel said.

Rashi Dev, owner of the Comfort Inn, said if Michael Patel believes there is such a need for more hotel rooms in Batavia, why is he charging rates at his other property, the Hampton Inn, that are as low or lower than similarly priced hotels in the area.

"The Hampton Inn should have rates $5 or $10 (per night) higher than us," Dev said. "If he's so confident in the market, why does he need to decrease his rate?"

There were no GCEDC board members present at the meeting. GCEDC staff will present the feedback from the public hearing to the board prior to the board voting on the proposal at its March 3 meeting.

Hyde said any factual information hotel owners can provide at least two weeks prior to the March 3 meeting will also be presented to the board and that hotel owners will be given a chance to speak at the March 3 meeting.

Today, Town of Batavia also announced a public hearing on the project with the town's planning board at 7:30 p.m., Feb. 15.

Top photo: Steve Hyde; inset, Chan Patel; bottom, Mark Masse opening the meeting.

When building the Upstate Medtech Center, the GCEDC should have ensured prevailing wage was paid to construction workers, according to a state Department of Labor (DOL) letter issued in November.

The letter came to light following an Authorities Budget Office report critical of GCEDC's staff compensation practices.

It was written by John D. Charles, associate attorney for the DOL, and issued in response to an unnamed person who asked that the department look into the matter. It concludes that the department's opinion was based solely on the material provided by that person and should not be relied on as a final answer.

Ask for a response to the DOL letter, GCEDC CEO Steve Hyde issued the following statement:

"While the LDC (Genesee Gateway Local Development Corp.) wholly disagrees with the Department of Labor's initial conclusions, we are actively working with them to ensure that they have all of the facts and circumstances of the Medtech project. A final determination has not been made by DOL with respect to the issues and questions raised."

Longtime local contractor Vito Gautieri is known to be concerned about how the bid for construction of the Medtech Center was awarded. It ultimately went to Batavia-based D.A. Tufts Co.

In an interview last week, when asked if the letter from Charles was addressed to him, Gautieri said, "No comment."

He then went on to complain about GCEDC forming a nonprofit corporation -- Genesee Gateway Local Development Corp. (GGLDC) -- as owner and agency developing the project. He said if that's how government agencies are going to operate on construction projects, then "we might as well pull up our shingles and move out of town."

At issue is compliance with New York's prevailing wage laws, which require employees on public works projects to be paid an hourly rate based on a prevailing wage schedule set by the state.

The DOL letter says that according to information given to the agency, the GGLDC's Medtech project does not meet the standards for waiving prevailing wage.

It says that because the project was at first initiated by a public agency (GCEDC wholly owns the GGLDC and is the project's actual owner), it is not just a temporary title holder.  In addition, it is not acting "merely as a mechanism to facilitate financing." If it were just a temporary titleholder and holding title merely to facilitate financing, according to the letter, perhaps paying prevailing wage would not be required.

A plan to open a teen nightclub on East Main Street, Batavia, has hit a snag.

Tim Walton and Mike Marchese Jr., who planned to partner on Impulz Teen Nightclub, discovered through the planning process that their selection location requires a sprinkler system for the planned use.

The building is 7,350 sq. ft. and because the maximum capacity for the building is more than 100 persons, code requires a sprinkler system.

Not just any plumber can install it, said Walton. The cost could top $50,000.

"Right now we got a price and it's looking like it's gonna cost an additional $50,000," Walton said.

The partners are going to look into getting a price for a dry sprinkler system and see what the pricing and regulations would be on that.

"If the price can't drop any lower, then I would have to go back and refigure some numbers. Those numbers would have us into this well over $100,000 and I would have to be sure it would workout."

Walton and Marchese aren't ruling out opening the club, even at the original planned location at 624 E. Main St., but feel that current circumstances will make it difficult.

"If it's meant to happen it will play out." Walton said. "If not, then there will be other opportunities."

Here's a news release sent today from the Genesee County Economic Development Center:

The employment scene in Genesee County for year 2010, despite the Great Recession being in full swing, had positive results with regards to employment and job creation and retention across the county.

According to the latest figures just released from the New York State Department of Labor, Genesee County showed a net increase of 300 private sector jobs in 2010. The growth rate of private sector job creation within the county reflected a 1.8-percent increase for the year.

This type of growth is encouraging as most communities across the state and country have been shedding jobs or are fighting to maintain the status quo during 2010.

“Genesee County continues to succeed and grow even during difficult economic times," said Steve Hyde, president of the Genesee County Economic Development Center.  "This growth has been enabled by our private sector companies being resilient and successful during these tough economic times."

The GCEDC board of directors drove a focus on growth and ensuring we are a “business-friendly” community by way of our economic development strategic plan written in 2003.

Since 2005, GCEDC has participated in 177 economic development projects with area companies. This has fostered capital investment commitments which exceed $430 million and job creation commitments of nearly 1,400 jobs.

“It is encouraging to see that public/private partnerships like the GCEDC has with our business community is contributing to their sustainability and growth, especially in uncertain economic times like we have today," Hyde said. "I’m hopeful for continued growth and success in our local and regional economies in 2011."

Here's a news release from Congressman Chris Lee's office.

Congressman Chris Lee was chosen to serve as a co-chair of the bipartisan Congressional Dairy Farmers Caucus for the 112th Congress

Lee served as vice-chair during the 111th Congress until its adjournment last year. He will lead the caucus with fellow co-chairs Reps. Joe Courtney (D-CT), Peter Welch (D-VT), Timothy Walz (D-MN), Devin Nunes (R-CA) and Thomas Petri (R-WI).

The bipartisan caucus works to aid dairy farmers across the United States, and last Congress worked closely with Agriculture Secretary Tom Vilsack on important issues affecting Western New York’s dairy farmers.

“Western New York has some of the finest family farms in the country, and since coming to Congress in 2009 I’ve been focused on ensuring our region’s agricultural producers have the resources they need to survive,” Lee said.

“Dairy farmers in particular have been hard-hit during the tough economic times, but they are a resilient group of families closely tied to the land they farm and the industry they love. I look forward to working with the other co-chairs and members of the Caucus who share my commitment to strengthening family farms for this and future generations.”

According to the U.S. Department of Agriculture’s National Agricultural Statistics Service, Lee’s congressional district is the 22nd highest dairy producing district in the nation, with a market value nearing $500 million.

New York State as a whole produces about 12.5 billion pounds of milk each year. For more information on Congressman Lee’s commitment to Western New York’s dairy farmers, visit www.chrislee.house.gov/familyfarms <http://www.chrislee.house.gov/familyfarms>.

Organizers were pleased with the early turn out at the debut Bridal Show at Terry Hills today. Vendors from Genesee County were on hand to display for prospective brides, grooms and their parents what they offer to ensure the special day remains special.

The show continues until 4 p.m. For more information, click here.

Above, Steve Valle talks with customers about what Valle Jewelers has to offer.

More pictures after the jump:

Cathy Saile, The Enchanted Florist.

Dave Howe, Charles Men's Shop.

Jeremy Liles, Oliver's Candies.

Press release from County Treasurer Scott German:

Genesee County Treasurer Scott D. German announced today that sales tax was up in Genesee County in 2010 compared to 2009. We are up $723,777 (before distribution) over last year, German said.

We still ended up underbudget, German said. In both 2009 and 2010, the county budgeted $12,500,000 for its share of the 3 percent of sales tax. In 2009, the county ended up short of the budgeted amount by $467,000 and we will end up about $197,000 underbudget for 2010.

For the 2011 budget, the county budgeted $12,200,000 for sales tax, a $300,000 reduction from the previous two years.

One of Batavia's landmark signs has been partially shut off the past few nights, and a new sign has gone up on the historic Pontillo's location. It reads "Batavia's Original."

Meanwhile, an ad in the Le Roy PennySaver this week announced that the Le Roy Pontillo's location will close its doors Thursday. All gift certificates for that location must be used by that date, the ad said.

The owners of the Batavia Pontillo's/Batavia's Original were served with a federal trademark infringement suit in September. There's no word on the status of that lawsuit.

In October, it was disclosed that the Le Roy location is allegedly delinquent in taxes, with $24,261 owed to the county, school district, village and town.  If not paid, the property could go up  for auction in March. UPDATE: County Treasurer Scott German says the property taxes were paid in December.

Sam Pontillo told WBTA that his parent's estate owned a majority share of the Le Roy location.

"I didn't want to be tied to there with the mortgage anymore," Pontillo said. "So, I think it's time for something new for me."

In November 2008, when the Batavia Pontillo's location closed, Sam Pontillo told the Batavia Daily News: "I do not own that one," Sam said, pointing west toward Batavia from the Le Roy Pontillo's. "I own this one."

The estate has been tied up in a protracted lawsuit.

The ladies of the Red Fedora Fanatics, who get together monthly for a social luncheon, met at the Fedora Diner on Ellicott Street Road today. All of the women are Genesee County residents. 

One member said, "without our drivers, many of us couldn't get here," and asked that I take a picture of their drivers, below.

Since the city eliminated a community development director position, downtown retail vacancies have increased to 10 percent of the available space, double what it was in 2007.

At the same time, fewer businesses have applied for assistance through the city's revolving loan fund.

That data, along with responses from a citizen survey, indicate that the city isn't doing enough to spur economic growth. This is the driving force behind a proposal to create a new economic development coordinator position.

While the overall budget for the new position will be $90,000, only $10,000 of it will come from the city. The remainder will come from money currently in the revolving fund program and Micro-Enterprise Program fund.

Both of those programs could fund the new position for two or three years, according to a report prepared for city council, but it is expected that the coordinator will bring in additional grants to make the position self-sustaining.

"If it's not successful after two years, we'll find another approach," said City Manager Jason Molino.

The city is cutting $15,000 from its grant-writing/consulting budget and shifting $10,000 to the new position, for a budgetary savings of $5,000.

Molino said a big part of the new coordinator's job -- the position will have a salary range of $55,000 to $70,000 -- will be to spur small business growth.

The report says a lot of smaller projects, rather than one big project, is what's needed to drive economic growth, especially downtown, which the report says is key to Batavia's economic vitality.

Between 2003 and 2004, according to the report, the revolving loan fund provided $368,500 in loan assistance for 32 projects.

After the previous economic development position was eliminated, from 2008 to 2009, the program provided only $55,000 in assistance for three projects.

The earlier effort created or retained 111.5 jobs, while the job impact in 2008-2009 covered only 34 positions.

The report also notes that in the recent citizen survey, "economic development/job growth" was the number one service-area concern among residents, ahead of public safety. The survey also indicated that economic growth is also where the city is perceived to be having the smallest impact.

City council has yet to vote on the proposed new economic development coordinator position.