Business

A company out of Ohio has been calling businesses in Genesee County selling ads on a map, and Chamber of Commerce officials are concerned that business owners are being left with the impression that the sales effort benefits the chamber.

Lynn Freeman, president of the Genesee County Chamber, sent an e-mail to chamber members yesterday alerting them to the potential confusion.

"I spoke with the company and asked them to desist in tying their promotion to the chamber," Freeman wrote. "Their response was 'We can't control what our customers conclude.'"

The Batavian called the company, Universal Advertising Associates, which is based in Cincinnati, for comment and we have not received a call back.

There is an official map produced for the local chamber by a Rochester-based company, Mapworks, Inc. A portion of the proceeds from ads sold on this full-color map, benefits the chamber.

In the final quarter of 2009, The Batavian was the official sales representative for Mapworks on the chamber map project.

While release of the map is later than expected, it is in production now.

Freeman asks that any time a local business receives a solicitation from a third-party that purports to represent the chamber, business owners contact the chamber office to verify the affiliation.

In an audit of New York's five regional off-track betting operations, Comptroller Thomas DiNapoli warned that OTB wagering has dropped precipitously over the past five years, threatening the viability of the OTBs.

Western OTB comes off a little better in DiNapoli's audit, primarily because the gains in video slot operations are more than offsetting the declines in horse wagering (full Western OTB report (pdf)).

Western OTB Corporate and Branch Operations has experienced a 10-percent ($15.6 million) decline in net handle (total amount bet) over the past five years. And through May 2009, its net handle was down over $5 million compared to the same time the previous year. In addition, live racing and inter-track wagering at Batavia Downs were down 7.6 percent in 2008 from the prior year and have decreased 25 percent since 2005.

However, the corporation’s new video-gaming facility has generated additional revenue for the OTB. As a result, operating revenues increased to more than $21 million in 2008 compared to nearly $17.6 million in 2004, a 19-percent hike. These increases have significantly affected revenue distributions to local governments, which have grown from almost $3.9 million in 2004 to more than $4.9 million in 2008.

In the report on Western OTB, DiNapoli expresses concern that VTL gaming could level off or decline, depending on the economy or changing competitive issues.

The Buffalo News received a written response from OTB President Martin Basinait, who said WOTB is "somewhat more optimistic."

But he said a number of changes can be made in state law to make the OTBs more competitive, such as changing the formula by which revenues are shared with tracks.

Basinait noted other past warnings from the state comptroller's office, including a 2005 report that found the OTB did not properly plan for the possibility of failure of Batavia Downs and the casino. He said the success of the casino has shown it was "not due to happenstance."

Basinait said DiNapoli's red flags about the future economic health of the OTB's casino are "unwarranted."

Brother's International Food Corp., founded in 2001 in Batavia, is relocating its operations to Rochester, the D&C reports.

The 24-employee company has been approved for a sales tax rebate by the County of Monroe Industrial Development Agency to relocate to an empire zone structure at 1175 Lexington Ave.

Travis D. Betters told the D&C that his company, which he co-owns,  outgrew its current location.

It's a civil matter, say local prosecutors, after looking at a recent case of alleged damage done to an apartment at 122 Summit St.

The Batavian reported on May 4 that landlord Willard Preston called in police after viewing holes in walls, broken window frames and piles and piles of trash allegedly left by a tenant recently evicted.

Batavia Police Officer Ed Mileham said this evening, following his investigation into the matter and reviewing the evidence with an assistant district attorney, that there is insufficient proof for a criminal mischief charge.

Mileham said he has successfully brought a case to the district attorney's office involving tenant damage to an apartment. But in that case, there was clear evidence that the damage was done in a short amount of time and after the tenant expressed a desire to break a lease.

In this case, the tenant was in the apartment for a year and a half and there's no evidence that the damage wasn't anything more than carelessness carried out over the entire span of the tenant's residency.

Redevelopment plans first published in 2005 for the area of Wiard Plow factory buildings show the section of buildings destroyed by fire being torn down.

However, when The Batavian spoke with Tom Mancuso of the Mancuso Business Development Group, Mancuso said the fire was a significant set back for redevelopment and the buildings destroyed were a key part of the project.

A reader pointed out this seeming contradiction, which we missed at first, so we got a message to Tom Mancuso -- who is traveling -- and Mancuso replied via e-mail:

Our current redevelopment plans for Swan had contemplated demolishing the street front buildings in order to create parking for the mixed use commercial/residential renovation of the 3 story building sections which have now been destroyed.

In view of this loss, we now need to evaluate the condition of the remaining structures, determine what will survive and decide what a feasible redevelopment of those sections might look like (and cost).

In a comment on our previous post, Tim Hens says:

The plan linked from the City Web Site is a "conceptual" plan from 2005. Things have changed in the redevelopment. I have been involved in the process and the Wiard Bldg was not one scheduled to be demolished.

The destruction of one of the Wiard Plow buildings in a massive fire Saturday will have the Mancuso Business Development Group going back to the drafting table, said owner Tom Mancuso on Monday night.

The very structure that was destroyed, despite its deteriorated condition, was a key building in redevelopment plans, Mancuso said.

"There's a lot to sort out and I still haven't processed it all yet," Mancuso said. "We need to understand what steps we need to take. We'll need to take some time and re-evaluate the viability of redevelopment."

Mancuso and the City of Batavia received a grant from RestoreNY for the Masse Gateway Project last year, which is the first phase of redevelopment of the million-plus square feet of industrial buildings that encompass the Harvester Center, the Masse building and the Wiard Plow structures.

Masse Gateway is intended to open an attractive entryway, featuring renovated Masse buildings off of Masse Place, into the entire Masse-Harvester-Wiard complex.

While the fire won't disrupt the Masse Gateway plans, Mancuso said, the building that was destroyed would have been redeveloped as early as phase two, and certainly by phase three.

The building was included in a RestoreNY grant that was rejected by the state a few years ago, Mancuso said, stressing its importance to his redevelopment plans.

"Now we have to move forward," Mancuso said. "I just don't know as we speak what that looks like."

The Wiard Plow building loss was a stunning blow, Mancuso admitted. When the buildings were acquired by the Mancuso Group in the 1980s it was with the intention to eventually redevelop the property, he said.

Mancuso even turned down offers a few years ago from construction firms that wanted to recover the beams in the building. Those developers offered to take the building down at no cost just to remove the heavy timber, but Mancuso turned down those offers because redevelopment rather than destruction was the goal.

"We bought the building to keep it from being torn down, so it is hard," Mancuso said. "It's not the way we wanted to see it go."

As for the bricks, which some people have speculated have some value, he said those evaluations might be overstated, but he would certainly entertain purchase offers for the old masonry.

Even as he takes a look at the viability of redevelopment, Mancuso said he is hopeful there will be a way to move forward.

UPDATE: In a comment on another post, Dennis Wight posted a link to the Masse Swan Village planning document (PDF) available on the City of Batavia's Web site. It clearly shows that the building destroyed in the fire was not intended to be one of the buildings left standing in the renovated complex. When we spoke last night, Tom Mancuso said he was leaving town for a few days. I have, however, left messages for him. I'll try to clarify this issue with him the next time we can talk.

Photo: One of the last photos ever taken from inside the Wiard Plow factory. It was snapped by The Batavian following a 1:40 p.m. fire on Saturday -- six hours before the second, more destructive fire. For the other three final photos available, click here

I was at the Bontrager auction house today talking with Todd Jantzi and looking at all the farm and other equipment being set out for this Saturday's auction when he said, "Come here. I want to show you something."  He said, "I'm really proud of this." and he opened a storage shed and said, "We have a Wiard Plow."

Todd said an Amish gentleman brought it in to be sold at auction, but he doesn't know where the Amish farmer got it from.

As you can see from the picture above, it's in pretty good shape.

Wiard Plows were manufactured in Batavia from the 1800s some time until well into the 20th Century.  You can still find a "Wiard Plow" sign painted on a red building off of Swan Street, behind the Harvester complex.

George Wiard was one of the leading citizens of Batavia in the 19th Century.  This biography says:

Mr. Wiard is one of the progressive men of this town. He has always been foremost in promoting enterprises that tended to the advancement of the educational, moral and religious interests of Batavia. He was for many years a member of the board of education and served five years as its president. He was chairman of the building committee that erected the Baptist church and was one of the committee having in charge the construction of the city water-works. He has been a director of the Genesee County Permanent Loan and Building Association since its organization in 1878 and for the last eighteen years has been the president. Politically he has always been a Republican.

Harness racing isn't want it used to be and probably never will be again, according to newly elected Chairman of the Western Region Off Track Betting Board of Directors Dick Siebert.

In an interview with WBTA, Siebert characterized harness racing as "the cost of doing business." It's the loss leader that under state law allows Batavia Downs Casino to keep its doors open for the much more profitable video slot machines.

"The people that used to come to our parlors, the 55 and older men, are no longer 55 years of age," Siebert said. "Unfortunately, they're dying off. The newer group of people, it doesn't have the interest to them that it did with the old bettor. ... I honestly can't see where harness racing is going to turn around and ever be back where it was in the '50s, '60s and '70s."

He said in 2009, Batavia Downs lost $1.5 million on harness racing while the video lottery terminals brought in $3 million in profits.

To help reduce harness racing costs, more bets will be placed at electronic terminals rather than at the traditional caged window with a person taking the bet.

Meanwhile, Siebert said the Downs continues to work with state regulators on a plan to address deficiencies in some administrative procedures. He said the board is looking to hire a consultant to help address the state's concerns, rather than bring in a management company to take over the Downs' operations, which is one of the state's other suggestions.

Full interview available here (mp3).

One of my favorite parts of Spring in Batavia is charcoal-cooked hot dogs at Jerry Arena's pizzeria on Lewiston Road. I made my first stop of the season there today.

Vintage Reserve partners Tim Walton (left) and Rob Credi (right) are pictured with Elefunk Clothing founder Jeff Birge.

Rob Credi is not shy to owning and managing businesses in downtown Batavia and he is at it again. Credi recently teamed up with Tim Walton, to open Vintage Reserve retail clothing at 214 East Main Street, inside the building that houses TopLine Shirt Company, a screen printing and embroidery company that Walton owns.

Credi, who was the owner and founder of Main Street Coffee, and most recently the manager of The Daily Grind coffee shop owned by Ken Mistler, said "The timing worked out perfectly. Tim approached me and told me that he had space that he needed to fill and I always wanted to get into the screen printing and clothing business so it was perfect".

Vintage Reserve currently offers three full clothing lines and has styles for both men and women. The store's self named brand, Vintage Reserve, a line developed by Credi is a line that offers retro styled clothing that is themed on music and the rebirth of our culture. Walton developed Narrabeen Surf Co., a beach styled lined that represents the surfer and beach theme. The last line is an urban styled line, Elefunk Clothing Co., that was originally established in 2002, by founder Jeff Birge and Tim Torrey.

"We want to be the clothing store where you want to go when it's time for clothes shopping. We hope people give us a look before traveling to the mall to buy their outfits." Walton said. "Our prices are competitive and our styles are ones that people want to wear".

Currently the store offers a variety of shirts and has plans to expand to pants, hoodies, bags and other clothing accessories.

Credi and Walton celebrated their official grand opening of Vintage Reserve on April 10 and have had an overwhelming response from the local community. They recently launched their online webstore, www.vintagereserveonline.com, and have been able to expand their customer base to as far as California and Montreal.

Photo courtesy of Nate Oaksford/ NMO Photography

The Batavia Business Improvement District held its annual meeting and awards luncheon today at the Homestead Events Center in Batavia City Centre.

Top photo, Rick Mancuso, co-owner (with his brother Ben) of T.F. Brown's accepts proclamations from Sen. Mike Ranzenofer and Assemblyman Steve Hawley. Also pictured, Don Burkel, executive director of the BID, and BID President Victor Gautieri.

Bottom photo, William Parker, winner of "Spirit of Downtown Community Volunteer Award," Mary Valle, "Spirit of Downtown BID Volunteer Award," and Rick Mancuso, "Spirit of Downtown Business Award."

Not able to attend, Ken Mistler, owner of Next Level Fitness & The Daily Grind, winner of "Spirit of Downtown Business Award" for a newly established business.

Alexandra Reigle, 11, and her 8-year-old brother Devyn, spent the day at Pauly's Pizza on Ellicott Street learning more about what their father does for a living. Kevin Reigle, in the back at the far right, has been a manager at Pauly's for five years. He brought his children into the shop today for "Take Your Kids to Work Day." 

They started when the doors opened in the morning and stayed until nearly 5 p.m. doing many of the same tasks their dad does.

Above, they help get pizza dough ready for rolling with the help of Jake Laverick.

Kevin said the day was really eye opening for them. He said they gained a real appreciation for what it is that Dad does for a living.

Kathy Pettinella says in November 2008, she almost lost her business -- a business started and built by her late husband and late son 15 years ago.

Her business, Dave's Produce, relies on cash in the bank so she can buy product at farmers' markets and deliver it to local restaurants.

So when one local restaurant allegedly stiffed her for nearly $70,000, it really hurt.

"Oh, my God -- I am done. I’m absolutely done." Pettinella said were her first thoughts when she learned of the original Pontillo's Pizzeria closing. "Looking at all that money, I went through all my bank statements, my deposit slips, I was in trouble. I couldn’t cut back anything anymore out of my household budget."

How and why Pontillo's was allegedly able to run up all that debt is something Kathy still can't fully explain, but until last week, when The Batavian wrote about the debt in a story on  financial issues surrounding the Pontillo family and their legendary pizza business, she said nobody in Batavia knew about the debt. It was something she wanted to keep secret.

She said she was shaking the first time she answered a call from The Batavian asking about the debt.

"I was petrified," Pettinella said of her long-standing fear of people finding out about the debt. "I was was afraid people would think, ‘What a stupid woman. That’s why women don’t run businesses because they would drive it into the ground.'"

"That was my initial thought -- that I just made a bad example for the rest of women who are working so hard to run their own small businesses."

Kathy Richardson and Dave Pettinella -- Big Dave, as she calls him -- were together for 27 years. They would eventually have two children together, but never marry. She said Dave was a strong, capable businessman who was good with numbers and taking care of his customers.  He founded Dave's Produce when he happened to come across a local restaurant that needed deliveries from farmers' markets in Rochester and Buffalo. 

It didn't take long for the business to grow and bring in more clients.

Who hasn't seen the big "Dave's Produce" truck driving around town?

Big Dave died in in July 2007, though, just two years after Dave and Kathy's son, Dave, Jr., died in a car wreck at Daws Corner. 

A week after Big Dave died, it was Kathy taking the orders, writing the bills, buying the produce and delivering the product in that big white truck.

She's run Dave's Produce as a one-woman business ever since.

So when Pontillo's managers started calling on her to deliver more than just lettuce and eggplant in March 2008, she couldn't help but think that taking on more responsibility for such a big local business would be a feather in her cap.

She had heard Pontillo's had lost some of its suppliers over unpaid bills, she said, and at that point, there was at least an unpaid balance of $10,000 owed to Dave's Produce, but she wanted to believe that eventually Paul and Sam Pontillo would get caught up and pay off what they owed.

"That’s the sad thing about it," Kathy said. "Yeah, by the time summer came around, Pontillo's was way in debt with me, but then the other vendors shut them off. And I felt bad. Why I felt bad, I don’t know. But I did want to see the business run and I was their main supplier."

Starting in March 2008, Dave's Produce was not just making two deliveries a week to Pontillo's in Batavia, but three, and the average monthly order went from $2,000 to $3,000 range to more than $10,000, according to invoices Kathy Pettinella provided to The Batavian for review.

Some of the invoices were paid -- usually for only a few hundred dollars, at most, but all of April 2008 was paid.

Dave's Produce went from delivering fruits and vegetables to within weeks of the first time of being asked to pick up some wings and BBQ sauce to bringing in just about all the product Pontillo's needed, including all the meat and mozzarella.

"I could get them anything they needed," Kathy said.

What she couldn't understand was, Pontillo's was obviously bustling with business, so why wasn't she getting paid?

"It would have been so much less of a headache," Kathy said,  "to shut them off and say, ‘you know, you treated the guys in Buffalo and other areas real bad. Your checks are bouncing for them as much as they are for me. All this money I’m paying for the product, these other vendors are paying for the product, and you’ve got all these customers paying for the product – where’s the money going? Where is the money going?'"

It's the same question John Pontillo said he's put to his brothers, Sam and Paul, but he's never gotten an answer either.

Paul, however, says Kathy Pettinella is lying.

"I don't care what she confirmed, she's lying," Paul Pontillo said when first asked about the debt a week ago. "Ly-ing. Lying. OK? It's nonsense. We spent three hundred bucks a week with her. Produce. How many weeks would she let us go to come up with this number?"

The invoices show that even before Dave's Produce became the main supplier for Pontillo's, the restaurant was putting in orders for $500 to $600 per week.

Paul Pontillo apparently signed one of the invoices, and Sam Pontillo appears to have signed another, but the rest were signed by managers.

It was Paul, though, according to Pettinella, who was responsible for making payment.

According to Pettinella, if she ever got a check it would bounce, and then she would spend three weeks trying to get in touch with Paul, who would then pay off some of the bounced check with cash and issue a new check for the next invoice, but then that check would bounce.

"Pauly would say, ‘you’re going to get $1,000,'" Pettinella said.  "Well, by the time I get the money from the night manager, there’s not $1,000 in that envelope. There’s $500. But you try to call Paul and there’s no way he’s going to pick up the phone."

Shortly after Kathy Pettinella sat down for an interview with The Batavian on Saturday, she stopped in at Wilson Farms on East Main Street, across the road from the recently reopened Pontillo's Pizzeria, and as she was leaving the store, she stopped Paul Pontillo walking on the sidewalk.

She approached Paul -- talking to him for the first time since the original Pontillo's closed -- and asked him about calling her a liar.  She then called me and said Paul wanted to talk some more, but rather than try to arrange a three-way interview over the phone, since I was already in my truck and in the area, I just stopped by to talk with both of them. 

When I arrived, Kathy and Paul were yelling at each other. Paul was heatedly denying the extent of the debt Pettinella said Pontillo's owed Dave's Produce.

Paul Pontillo said there was no way the restaurant ran up that much debt to Dave's Produce, and he also accused Kathy of not being fully cooperative in settling the debt.

"I asked you for copies of the invoices six months before we closed," Pontillo said.

Just an hour before, The Batavian had reviewed invoices provided by Pettinella. The allegedly unpaided invoices spanned from January 2008 to October 2008. Six months prior to the closing would have been May 2008. 

A good portion of the $67,750 in bad debt the invoices allegedly show occurred after May 2008, with the entire April 2008 debt being paid off, according to Kathy.

The Batavian first became aware of this alleged bad debt because of a document provided by John Pontillo. He said it was prepared by Sam Pontillo after the restaurant closed, to show just how much debt the business had wrung up. Of the suppliers with outstanding balances, Dave's Produce was by far the largest.

The document lists the amount owed at $68,421.75. 

Paul Pontillo vehemately disputed that figure, and has continued to dispute it, since first being showed the document. He said that at most, Pontillo's owed Dave's Produce $3,000 or $4,000.

In another interview this week, Paul said the level of debt Pontillo's had at the time it closed would be normal for a business that just shut its doors. He said if the financial figures were available for South Beach, when it closed, or Cristina's, when it burned down, those documents would show a similar amount of unpaid bills.

"That's just what happens when you go out of business," Paul said.

The debt, he said, is really an old issue. He thinks The Batavian should be paying closer attention to the conduct of the estate's administrator, John Forsyth.

While Paul Pontillo is clearly the one Kathy Pettinella blames -- she said John did try to repeatedly warn her -- for the bad debt, she said Sam Pontillo knew what was going on (he did apparently sign one of the invoices), and she also had her own problems with Sam at his Le Roy restaurant.

Pettinella produced a copy of an allegedly bounced check from Sam and said it was shortly after that -- in March 2009 -- that she stopped deliveries to the Le Roy Pontillo's, though the bounced check and other debts associated with the Le Roy store were eventually paid, she said.

She said Paul Pontillo was well aware of her situation and that he and Sam "saw her coming."  They took advantage of her, she said.

"For Pauly Pontillo to turn around and do this to me – I just never would have thought it," Pettinella said. "I just never would have thought, for somebody to be that evil. I wasn’t in the right state of mind. I wasn’t paying attention. I didn’t want to be mean. I didn’t want to hurt anybody. But you can’t be (that way) in a business -- business is business, it’s not personal. I just wasn’t looking out for myself."

Pettinella said no other small business owner in Batavia has even come close to running up any kind of big debt to Dave's Produce, which is part of the reason she said she was so trusting of the Pontillos.

"The people here in Genesee County, in Batavia, they’re wonderful," Kathy said. "They just support local business and they’re so good. We have a strong community. Business owners here in Batavia, their integrity is high. They’re … I’m just at a loss for words – they’re just amazing here.”

When asked again to explain how it happened, how the alleged debt was ran up to $67,750 in just 10 months, Kathy Pettinella tries again to answer and then says, “That still doesn’t answer your question, why did it keep going on so long? I just kept looking for the grace. I just kept thinking, things will turn around. People can’t be that evil. Wrong."

In spring and summer, well-crafted jewlery can really sparkle, so now is a great time to create something special for yourself or a loved one.

A world of dazzling possibilities beckons at Valle Jewelers this week during its semi-annual remounting and custom-design event. It takes place from 9:30 a.m. to 7 p.m. Friday, April 23, and from 9:30 a.m. to 4 p.m. Saturday, April 24.

Enjoy a personal consultation with the store's own custom-design specialist, Mark Berman of Manhattan, who will be there to help you design a special piece or re-craft something you already own. Make something old look new!

Berman will showcase his entire line of Icon Creations, with hundreds of bridal sets to choose from. Free financing is available to qualified buyers.

"He's just incredibly talented -- you tell him what you want and the next thing you know, it's on a piece of paper," Maria Valle said, noting that he uses computer-aided design software to bring ideas to life.

For happy couples who are no longer happy or a couple, Valle has some advice.

"Diamonds left over from love gone wrong are still good diamonds," she said. "You earned them. Reset them and enjoy them."

All fine jewelry needs proper care to ensure its durability and beauty for years to come. With jewelry, it's especially wise to be proactive. This would be a good time to have those gem stones sitting precariously amid your ring's worn-down prongs to be remounted or put into a stylish, new setting.

A lady at my optometrist's office admired my wedding ring one afternoon, which had been on my finger for many years.

"You ought to have a jeweler look at," she suggested.

She was right. I kept thinking "I'll get around to it, but I don't have time now," only to look down one day not long afterward to see a gaping hole where a one-carat diamond used to be.

Walk-in consultations are, as always, welcome, but people wishing to talk with Mark Berman about a design idea, can also make an appointment by calling 343-3372.

A bill that would have instituted new overtime rules, unemployment benefits and allowed farm workers to organize into collective-bargaining units died in the New York Senate's Agriculture Committee today.

On a 6-3 vote, the committee voted down the measure, known by opponents as the "Farm Death Bill."

Opponents said the bill would have increased costs for New York's farmers by $200 million per year.

"It would have killed agriculture in New York State, and that's the state's number one industry," said Sen. Mike Ranzenhofer, who sits on the committee and voted against the bill.

After passage in the Assembly last year, the bill was looking like it would make it to a floor vote in the Senate when Sen. Darrel J. Aubertine, a Democrat who chairs the agriculture committee, lobbied to have the bill reviewed by his committee before letting the full Senate vote on it.

In a statement today, Aubertine said:

"The committee came to its conclusion following a lengthy, open process which included participation from all sides of the issue. The committee worked diligently to cut through the rhetoric, and aggressively pursued the facts of this matter. Toward that end, the committee voted based on the merits of this bill and its impact on farm workers, farmers and consumers; not partisan attacks, half-truths, rhetoric or political polling."

Ranzenhofer said that articles by Batavia Daily News staff writer Tom Rivers, which he collected in a book, helped educate legislative leaders about farm labor and dispel a lot of misinformation being spread by supporters of the bill.

"Tom was  able to bring reality check to what some of the more sensational special interest people were saying," Ranzenhofer said.