Business

There are some years that are better than others for onion growers.

This year is one of the others.

Paul Mortellaro, co-owner of G Mortellaro And Sons in Elba, said this year's harvest will be about 60 to 75 percent of an average year and about 50 percent of a good year.

That sounds about right, said John Torrey, of Big-O Farms, Elba.

Wind, cold and rain either blew away or drowned a good portion of the onion crop this summer.

"The onions were thinned so much by the wind that you're not seeing a lot of small bulbs, but you're not seeing a lot of tonnage because there's not a high enough plant population," Mortellaro said.

Big-O runs a huge onion operation and Torrey agreed that wind and water were a problem this year.

"We've had our challenges during the growing season," Torrey said. "While we're in the midst of a full harvest, we're probably going to have a little below average yield."

The price for onions right now -- a market largely determined by Western growers -- is from $9 to $11 per 50-pound bag, Mortellero said. That's decent, but of course local onion growers would like to see it go higher.

Onions are a slow crop to bring to maturity and harvesting them is a slow process, too. The harvest started in July and will continue through October.

Out on the muck today, I met Elizabeth Buck and Courtney Hill, researchers from Cornell. They are assisting in a project to test four different kinds of possible treatments to combat rhizoctonia. Rhizoctonia is a fungus that goes after the roots of onions. (Pictured above, Hill; Buck is pictured in the slide show below).

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.

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.

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.

Here's a little fact about Genesee County you may not know: Batavia's largest food processing plant is kosher.

Kosher, as in certified by a rabbi.

That means no animal -- except fish -- products are used in the plant's food production, as in no cow or pig parts to make gelatin.

A few days ago as I passed through the Tops check-out line with six containers of Frut Up (I really wish they would sell this in a six-pack container), the cashier said, "did you know there's tilapia in this?"

Heck, up to that point, I didn't even know what tilapia was. Some sort of fish, I recalled dimly.

When I got home, I read the label a little closer. Yup, tilapia is listed. So is "kosher gelatin."

If you know your history of Jell-O (and who doesn't in Genesee County), you know gelatin was originally made with from pork and pork skins, horses, and cattle bones or cattle hides. 

Those are all animals that in a kosher kitchen can't mix, even a single molecule.

As it turns out, you can also make gelatin from tilapia, and since observant Jews can mix fish and dairy, if you want fruity gelatin with your yogurt, and you want it to be kosher, you need tilapia to do it.

Rabbi Doctor David Sheinkopf inspected the Muller Quaker plant in Batavia and as a result, the yogurt products Frut Up and Corner can be sold as "Certified Kosher," according to Scott Gilmore, spokesman for PepsiCo.

"Taste is important and we use the best ingredients," Gilmore said. "We aim to make the best tasting yogurt on the market, but consumers told us it (kosher yogurt) was important to them and we wanted to honor that request."

When you sit down for a meal at Pasquales, Mama Fasano wants it to be just like you're coming over to her house for dinner.

Every dish with be based on family recipes and the ambiance and decor will be designed to give diners an old-time, family Italian restaurant feel.

The Fasano family purchased the red brick, two-story building at the corner of Swan and Ellicott streets at the city's tax lien auction a couple of months ago with the specific intention to open a restaurant.

They've had to completely gut the place and entirely remodel it -- including putting in a new kitchen. The restaurant won't open until late fall, but they're ready to talk about their plans.

Joan Fasano has been in the restaurant and catering business for 40 years and at Pasquales the whole family is joining in.

"Many Batavians and Genesee County residents have been familiar with the Fasano name in conjunction with great food over the years," Maggie Fasano said. "Joan and her husband Jim catered many, many weddings, anniversaries, graduations and other events."

The menu will include homemade ravioli, chicken cacciatore, tripe, pasta fazool, along with other old-country recipes, and once every two weeks, a polish dish.

People go crazy over the polish dishes," Rachel Fasano said. "You can’t get them anywhere."

The kitchen is being designed and set up by Karl Klein, who recently closed his restaurant in Le Roy.

The Fasanos and Ganson have been close friends for 30 years.

Every once in awhile he'll work as a guest chef, making special dishes for the day.

Though the building was most recently a bar, the Fasanos are not setting up a tavern. It's an eatery. There will be beer and wine to go with dinner, but the bar won't be a place to come and sit and just drink.

Meals will be affordable.

"We want people to be able come and enjoy dinner and not empty their pockets, so to speak," Dave Fasno said. "Our menu will be based on good Italian food, what Mom likes to call peasant food."

Family photos and old photos of Italian immigrants will hang on the walls.

"We want people, when they walk in, to feel like the restaurant's been here forever," Joan said.

Photo: Rachel, Joan, Maggie in the front and David and Jimmy John behind the bar.

Rep. Chris Collins stopped in Oliver's Candies today, but it wasn't for the famed Molly Pops. He was making one of his regular visits to small local businesses in his district.

Oliver's is also famed for -- among other things -- sponge candy, which Collins discussed at some length with Deborah Palmer, left, and Jeremy Liles. Sponge candy is another of WNY's unique foods that is little known in other parts of the country. Liles said it's probably a candy that was brought to WNY by Polish immigrants.

Anita Strollo submitted this photo of Collins at the lunch at the Senior Center today. Her mother, Serena Strollo, celebrated her 91st birthday today and Collins presented her with a Congressional certificate.

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."

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.

Tonight at T.F. Brown's I met Howard Johns, who retires after five more days of work from a 43 1/2-year career at Graham's. Johns was at Brown's with a group of coworkers celebrating his career as a set-up helper, supervisor and manufacturing engineer. Pictured with Johns, at the front of the picture are, from left, Justin Stramitis, Carrie Bell, Pete Corbelli, Pete Brade and Steve Censak.

A picture of the marquee under the Oliver's Candies sign has been making the rounds on Facebook. Is "Molly Pops" a mistake, people want to know.

It is not.

A molly pop, according to general manager Jeremy Liles, is a "peppermint molasses sucker covered with chocolate." And he adds, "Very good stuff!"

That's a nominee for understatement of the year.

I stopped by late today to get a picture and as I left, an Oliver's employee offered to let me take a sample sucker.

I took my first bite as I walked through the parking lot toward my truck. I immediately turned on my heel and headed back into the store. I bought a package of eight. Tonight, I shared one with Billie. She insisted that I share the rest.

"It's terribly delicious," she said.

Rochester media is buzzing today about a purported announcement by the Seneca Nation looking to open a casino in Henrietta.

WHAM 13 is among the stations reporting that the tribe wants to expand to the Rochester suburb.

Michael D. Kane, president and CEO of Western Region OTB, said this afternoon, there will be no Seneca-owned casino in Henrietta, at least not any time soon.

"Under the current statutory scheme, they will not be able to put a casino in Western New York," Kane said. "Without a statutory change, which isn't likely to happen in today's environment, they cannot do what they're looking to do."

Kane said he isn't really sure what prompted the Seneca's to announce an interest in a casino in Henrietta when something like that happening at this time is more of a dream than even a hope.

"If casino gaming became regulated in New York State rather than prohibited, then perhaps they could fashion some agreement with the federal government to do it," Kane said. "From my point of view, there's no change in enforcement from today than there was yesterday."

Western OTB runs Batavia Downs Racetrack and Casino which, under terms of an agreement between the Senecas and Gov. Andrew Cuomo, is blocked from expanding into a full-fledged casino.

According to WHAM, the Senecas have hired Flaum Management to "coordinate the development" of a casino.

"This is an exciting day," CEO David Flaum said. "I am profoundly grateful for Seneca Nation for choosing me. I hope to assist them in bringing a casino here."

Kane said Flaum has been a consultant for the Senecas for 12 years.

Also, see the Rochester Business Journal: Seneca Nation to work with Flaum on gaming, hospitality development here.

Genesee County's unemployment rate improved slightly from June to July, according to data released today by the NYS Department of Labor.

The rate for July was at 6.1 percent, a tick lower than June's 6.2 percent. Both numbers are more than a percentage point better than the 7.5 percent rate in July 2012.

Only Ithaca, at 5.6 percent, has a lower unemployment rate than Genesee County. Glens Falls is also at 6.1.

The labor department reports 2,000 people without jobs in the county, compared to 2,400 a year ago.

Elsewhere in GLOW:

• Livingston: 6.8 percent
• Orleans: 8.5 percent
• Wyoming: 6.7 percent

The state's rate is 7.6 and the nation's is 7.7.

At Monday's meeting, the City Council rejected on a 6-2 vote a plan to spend $35,000 to build a dumpster enclosure on School Street.

City administrators have been looking for a way to clean up the collection of dumpsters used by nearby businesses and sought approval to use VLT money (money from slot machines at the Batavia Downs Casino) for the project.

Council members said that money should be spent elsewhere or saved.

"That money should be used for other things," said Councilwoman Rose Mary Christian, "like reducing our budget or the fact that we need new sidewalks or resurfacing our city streets, just helping our taxpayers all the time instead of businesses all the time. And I have nothing against businesses, but nobody helped me pay for a dumpster."

Pier Cipollone also said taxpayers should benefit from the VLT money, not private businesses.

"The VLT money will end up in the budget," Cipollone said. "It will end up in a contingency fund that will offset sidewalk construction, infrastructure improvements which would, in the end, decrease the tax levy."

City Manager Jason Molino agreed to try and rework the enclosure to reduce its cost by $10,000 eliminating any direct contribution by either business owners or taxpayers.

The measure defeated Monday night also called for spending $30,000 to mill and resurface the parking lot around the proposed dumpster enclosure.

(Based on story by The Batavian's news partner, WBTA.)

Batavia's new frozen yogurt shop, Yo Twisters, on Jackson Street, officially opened late this afternoon, and as soon as Mercedes Rivera, left, and Tesla Phelinger heard the shop was open they headed right down.

They had sampled the frozen yogurt before and couldn't wait to try it again.

At Yo Twisters, when a customer walks in, he or she is directed to the back the store where the frozen yogurt machines are -- 15 of them. You can mix and match any flavors you like, and then top with any of a large variety of toppings.  You then pay according to the weight of your cup. 

You've heard of ice cream trucks coming down your street, but what if that ice cream truck could also bring you Big Pauly's pizza, or a hot dog, or chips and a soda?

That's kind of the thought Victor Thomas had when he decided to start his new business, the Quick Fix Snack Shack.

It's a snack shop on wheels.

Just like an ice cream truck, Thomas rolls down residential streets playing ice cream truck music (and some modern songs sampled to sound like ice cream truck music) in the hopes you'll want a snack.

Thomas started his new business two weeks ago and has taken it through Batavia, Le Roy and Elba. When we ran into each other today, he was headed to the yogurt plants to see how he might do with the lunch crowd for the first time.

He hopes to add other food items as the business grows, including this winter, soups, hot cocoa and coffee.

Information from Le Roy Christian Community Project:

With fall just around the corner and the new school year quickly approaching, the Le Roy Christian Community Project (LCCP) needs your support!

Local businesses and citizens are asked to be a sponsor or contribute donations for our Annual Live and Silent Auction, which is set for Sept. 21. This is our largest fundraiser of the year. Donations of merchandise or gift cards are greatly appreciated.

These contributions support the children and youth of Le Roy and help them become responsible adults through the work of the LCCP. When you contribute to this event, you are not only contributing to a community organization, you are advertising your company and merchandise.

To make a contribution, contact the LCCP:

• Address -- 7 E. Main St., Le Roy 14482
• Phone -- 768-7540
• Web address -- leroychristiancommunityproject.org

The LCCP is a grassroots organization that has been serving Le Roy and its surrounding communities since 1998. We believe that children and youth are vital community assets that must be nurtured and cared for by their communities.

We offer a variety of programs for them, including an After School Program, Summer Day Camp, and a Teen Drop-In Center. These programs and activities provide a "safe haven" where children and youth can find mentoring, academic support, recreational opportunities (such as dance and theater instruction), social skill building and ways to give back to the community through service projects. The programs are offered at little or no cost to participating families.

Rep. Chris Collins met with a few Batavia business owners today to discuss issues small business. Collins said meetings such as this help keep him grounded and focused on issues that will help grow the economy.

The clear message from today's meeting, he said, was that small business owners are uncertain about the direction of the country, worried about tax codes, health care, availability of capital and finding a well-trained work force.

He noted economic growth has been floundering at 1.6 percent for years.

"There was a confirmation here today that uncertainty plays a big role and that uncertainty is tied directly to Washington," Collins said.

He said the message for small business owners who couldn't attend the meeting is that he's trying to do his part to get the country moving forward in a commonsense way.

That means tax reform that lowers the marginal tax rate for all small business owners to maximum of 25 percent," he said. "(It means) making sure the government doesn't shut down but that we deal with the deficits and debts of our country; bringing a level of certainty to unleash the investment that's waiting to be made if people were confident the government wasn't going to shut down, and I will continue to fight for the repeal of ObamaCare."