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Architecture Sections
At Dietz & Co. Architects, Sustainability Is a Way of Life
Kerry Dietz

Kerry Dietz, says the design work her firm does must meet clients’ needs and budgets and also create a sustainable and comfortable environment for the people who will occupy or work in the buildings.

Kerry Dietz was talking about sustainable building design.
And although many people associate the concept with ‘green’ construction, to Dietz, the word ‘sustainable’ encompasses a wide range of considerations.
“Design is critical and happens at many levels, and the word ‘sustainable”’means a lot of different things to our clients,” said the principal of Springfield-based Dietz and Co. Architects Inc.
At Dietz, it includes the comfort and health of those who will live and work in a structure, the aesthetics inside and out, and the costs to maintain a structure during its life cycle, which is especially important to nonprofits that may not have the resources to do maintenance work in the future. “It also includes the materials, the context a building sits in, and the image the client wants to project, because a building can become a brand (more about that later). “It is all critical to us,” she said.
Her company’s tagline is “design that looks good, does good,” and that value has remained key to the way the firm has approached its projects for the past 25 years.
“People know they can count on us to do quality work and do it right,” Dietz told BusinessWest, adding that the entire staff believes their designs should make a difference in the community. “We have never faltered from that initial desire to create architecture that also serves. We are a company that pledges to be a responsible citizen in everything we do.”
Their projects range from affordable housing, which has always been a mainstay of the firm, to education, health care, commercial, institutional, and historic-preservation work. Part of the company’s success is attributed not only to having employees who are experts in their fields, but also to the fact that everyone working on a project is well-versed in its finances.
“We are an open-book company, and my employees know the budgets on our projects, which includes how much money we are making and how many new jobs there will be,” said Dietz, adding that, when there is a profit, everyone shares in it. “People who come here from other firms are surprised at this, but I believe my employees need to know the rules of the game and what the parameters are in terms of hours and months allocated to it.”

Blueprint for Success
Dietz said architectural firms in Western Mass. have to be generalists. “There is not enough work here to be a niche operator unless you are global in scale,” she explained.
However, one of the firm’s challenges is competing with Boston-based companies. “Every time the economy goes south, they come here. And sometimes they bring a level of expertise we don’t have,” she explained. “For example, we haven’t designed 50 schools, and we have never designed a library, so we will never get one. People want to hire someone who has done the job before.”

Michael Erickson, an architectural associate at Dietz & Co. Architects Inc.,

Michael Erickson, an architectural associate at Dietz & Co. Architects Inc., works on a design for one of their many projects that range from affordable housing to education, health care, commercial, institutional, and historic preservation.

The firm has several specialties, but its bread and butter has always come from work in the affordable-housing industry. “We understand the funding cycles and the regulations. Very often, it means scrambling to put together an application, then having to wait, but we are very familiar with that. Our core value is about serving the community.
“Architectural firms are altruistic to begin with, but for this firm, serving the community is at the core of our values,” she continued. “We tend to attract employees whose desire is to serve, and we do a lot of work for nonprofits. We understand the pressures they are under in terms of funding.”
Another niche for the company is education, especially colleges and universities, said Dietz, adding that the firm is also well-versed in the challenges, fiscal and otherwise, facing both public and private institutions. “Their decision-making and funding sources and flow are totally different from affordable housing.”
When schools receive grants, the work has to be done right away, and most institutions are dependent on state funding and bonding, so any time a financial crisis hits, it affects their budgets immediately, she went on. “But we like doing the work. It ranges from designing new environmental centers to cafés in science buildings, to work in their libraries.”
Banks are also a specialty. The firm designed Easthampton Savings Bank’s new main office and is renovating some of its branches. “We have also done work for United Bank and have been involved in master plans and studies,” Dietz said.

Staying Afloat
In recent years, the firm’s focus has shifted. It is designing less affordable housing and has broadened its base, in part because the economy has made it difficult for nonprofit developers to get funding.
“The heart of the recession was horrid; it was an equal-opportunity destroyer, and we were lucky to survive it. In 2008 and 2009, we had the worst two years we have ever had. Then in 2010 we had the best year we have ever had in our history,” Dietz said.
She attributes the firm’s success to carefully crafted strategic planning, and said its forecasting tools yielded indications that the recession was imminent. “By October of 2008, it was clear we were headed toward a major disaster. And we knew 2009 would be horrible and we were unlikely to get any new work.”
Although many architectural firms laid off employees or closed their doors, Dietz chose to keep all 19 employees on staff. She cut her own salary and reduced employees’ hours, taking advantage of a graduated program within the state’s unemployment system.
“It allowed us to reduce hours without substantially penalizing our employees, which was important, because we still had projects we were working on,” Dietz said. And although it would have cost less to lay employees off, she knew that, by keeping them, the company was positioned well, as there would be clients who would want to take advantage of declining construction prices.
The company has won a number of awards, and individuals within it have also earned accolades. Dietz said one of the firm’s architects received an e-mail from the Department of Public Health stating that her submission for the Caring Health Center, a recent project in Springfield delayed by the June 1 tornado, “was the best she had ever seen in her history.”
“The ability to make these people happy is a huge selling point for us,” Dietz said, adding that it takes a lot of expertise and work to meet complex and detailed requirements.
She added that much of the housing design they do is dependent on low-income tax credits, and they are also knowledgeable about those requirements due to their 25-year history in that arena.

Attention to Detail
An architectural design contains many elements and can become a “brand,” said Dietz, as she talked about the building the firm created for the YWCA of Western Mass. about 10 years ago.
“The organization almost died about 25 years ago,” said Dietz. “They came to us when they were on their last legs and had sites scattered in a variety of office buildings. They told us they wanted a new facility that looked corporate and would let people know their importance as one of the largest human-service agencies in the area.”
So the firm designed a building for the YWCA that “became a reflection of who they are and their vision for the future. Sustainable meant a lot of things to them, including choosing a high-efficiency heating and air-conditioning system as well as exterior materials that wouldn’t require maintenance,” she said.
Dietz said it’s critical to her company’s mission to think about who will use the buildings they design. Office workers need to have enough light and should not be distracted by noise or each other, for example.
“We really try to integrate our philosophy about sustainable design into everything we do; it’s not new to us, and some of the folks who work with me have been thinking this way for 20 years — sustainability is like religion,” she told BusinessWest, explaining that, although the U.S. Green Building Council developed a system of measurements for green building and Dietz and some of her employees are LEED-certified, there are a variety of measures that can be used to promote sustainability.
“We look at the human cost in terms of materials, rather than just the dollar cost,” she said. For example, although many buildings contain vinyl floor tiles, maintaining them requires expensive chemicals, which are not good for the environment; the people who work with them or the employees who will inhale the fumes of the cleaning solutions.

Unchanging Goals
“Since we opened our doors in 1985, we’ve worked to provide an environment that’s both challenging and nurturing,” Dietz said, adding that this begins within the company and extends to the nuances of every project.
“We never lose sight of our ultimate goal: to interpret our clients’ personal vision and create spaces that look great, feel great, and serve the needs of the people who will use these spaces,” she added.
And they do so in a way that creates comfort — and sustainability — now and for generations to come.

Construction Sections
Forish Construction Marks Another Milestone in Its Long History

Eric Forish says  he has always taken a slow and steady approach to growth.

Eric Forish says he has always taken a slow and steady approach to growth.

Eric Forish is a man of contrasts.
On the one hand, the man at play is a passionate and dedicated seeker of extreme winter sports. His adventures on ski slopes that few will ever traverse would give just about anyone a head of gray hair.
But the man at the helm of Forish Construction, the second-generation owner and current president, considers himself a conservative businessperson. “I always have been,” he told BusinessWest recently, “and I’ve always taken the attitude of slow and steady growth. That’s how we’ve been able to maintain ourselves over the last few years, which we have done despite the economy. We reinvest in our company — whether that’s tools or employees and staff. We continue in a controlled-growth mode.”
That approach to his family’s business is clearly a good blueprint for success in an industry that has taken some hard hits in not only this recession, but every other in its seven decades of operation. Since Forish Construction celebrated its last milestone, 60 years in business, the company’s founder (Forish’s father) passed away.
“That’s been the biggest change,” he said. “Dad’s no longer here. He was the one who created and developed this company, and of course there’s a void with his absence.” After the succession of operations to his son, Leonard Forish still came to work every day, and his legacy of how the business developed is one that the new generation credits for its success.
“Dad was always someone who embraced new technologies,” Forish explained. “But he did it with machinery and tools for doing certain operations. We always had the newest equipment to be able to increase productivity, to have the ability to do a better job, to be one step ahead of the next guy.
“And we’ve pretty much continued that tradition,” he continued. “When dad was here, he saw that, and I know he enjoyed that I was doing the same as he, in a different way — in my own field of interest.”
To that end, he said that, in construction, it is a mandate to stay current with not only the newest technology, but also training, education, regulations, licensures — all the products of an industry that is constantly changing.
“Staying current, no matter what your profession, is essential,” he said, “or else you really are moving backward.”
But as the company’s 65th year in business came to a close, and Forish looked ahead to his next milestone, it’s clear the business his dad built is headed onward and upward. “I know for a fact we’ll be here in another five years,” he joked. “So I guess the next milestone is 75 years.”

Industrial Revolution
Sitting in front of a wall of framed photographs showing the structures his firm has built over the last half-century, Forish said that a big difference in the scope of its work has come from the changing nature of the area’s business sector.
“We were living in a region of different industry,” he said. “There were still paper mills up and down the Connecticut River Valley. My dad focused on maintaining and working on all those paper mills and factories.
“We are still fortunate, though,” he was quick to add. “Our region has high-tech tooling, medical-related manufacturing, and many other types of industries that still prosper. And we still participate in activities at those sites and businesses. However, we have also focused and increased our volume of building construction over the years. Years ago, where we might have been more involved in a maintenance style of construction, now we have increased our volume of building-related activities.”

Framing goes up for the new Curry Honda in Chicopee.

Framing goes up for the new Curry Honda in Chicopee.

As an adjunct to building services, Forish has also added design services. “By self-performing the design aspect, we are able to keep a tight control on the final product and the ultimate cost. Design/build services often save time as well as money for the end user.”
Over the past decade, Forish has made a foray into publicly funded works, also. It is this facet of the construction industry that he said has not only helped his own firm, but, in many ways throughout this downturn, helped to keep his industry alive.
That changing face of the construction industry was a common refrain in his conversation with BusinessWest. And with so many years of growth and development, Forish said that his business has had a chance to perfect what it takes to not only get the job done right, but to get that job in the first place.
“Clearly in the private sector, the volume decreased,” he said. “Therefore, whatever activity is out there is highly sought. We’ve been successful because of the team we assembled over the years.
“As much as we’re diversified in our activities,” he continued, “my personnel is also diversified. Some are very well-versed in public sector, others in private, but overall, it’s a very strong team. That’s what is necessary in any business through difficult times. You need a strong staff to complement your organization.”
That team is vital to Forish’s own perspective on the concept of legacy. “I don’t have someone within my immediate family ready to follow me,” he said. “So what I’ve been doing is surrounding myself with good people, finding that team that can carry us forward.”

Solid Build
Forish cited another legacy that gives him a great deal of pride — the finished projects that dot the region.
“I’m proud to drive through areas and see buildings that my father completed, and then projects that we did after. Everyone in the organization feels a similar pride in our finished products. When they pass a facility that they worked on, they proudly tell their families, and their families proudly tell their friends. We all work together to create something that will last a very long time, and take great pride in doing so.”
He listed the names of several clients that have been repeat customers — Dirats Laboratories, Governor’s America Corp., as well as numerous auto dealers, public and private colleges, banks, municipal offices, and many others. Most recently, Forish completed the Steve Lewis Subaru expansion on Route 9 in Hadley, and is currently undertaking the full rebuilding of Curry Honda in Chicopee into that brand’s Generation 3 image program.
Like many other current owners of a family business, Forish said he knew early on that one day he would enter the profession of his father. The earliest address for Forish Construction was the homestead, he said, and his Tonka trucks were overshadowed by their real-life counterparts across the yard.
“I’ve always enjoyed being around construction projects and construction equipment,” he said. “It was just always part of my life. I became a civil engineer in order to gain the skills and knowledge to actually be able to go to the next level within the industry — to be the conductor of the orchestra, putting these projects together.”
He chuckled when he told the story of a recent late evening, when he stopped off at the School Street Bistro in Westfield for dinner before heading home. As he sat alone, “in walks John Reed, 95 years old, the owner of Mestek,” he said. “There’s a man who built himself a legacy.
“John told me again the story of how my grandfather worked for him, my father worked for him, and so did I,” he continued. “Not only has he used Forish Construction services for 65 years, but those of my grandfather, who was a stonemason before that.”
Forish clearly swells with pride in retelling and remembering the buildings that were built by his forebears. He calls it “an emotional connection” to the work and the region.
“Whether it’s the legacy of the family company,” he said, “or those who have worked with us, who helped us create these structures that go on for many years, I’m proud of what we do. Everyone here is proud of what we do.
“I’m thankful that we’ve had such good customers, good employees, and good opportunities,” he continued. “I’m thankful for everything that we’ve been blessed with in the past 65 years. Now let’s sit here and talk again in 10 years.”

Opinion
A Victory on Many Levels

The recent announcement that Thing5 LLC will be creating a new call center in One Financial Plaza, thus bringing 500 new jobs to Springfield, is a positive story for the city and the region — on a number of levels.
Let’s start with the jobs. That’s priority No. 1 in the Greater Springfield area, and it has been for many years now. Some might look at this and say, ‘it’s only call-center jobs,’ or words to that effect, but these opportunities come on many levels, from entry positions to management slots, and, in many cases, they can be handled by those who do not possess a college education. The region needs those high-quality jobs (call them white-collar, if you like), but it also needs employment opportunities like these, especially in such large volume.
Beyond the employment factor, there are many other aspects to this story, all of them positive. First, this company started here, in the Technology Park at Springfield Technical Community College — which was created to spur this kind of tech-related enterprise — and thus provides solid evidence that we can incubate ventures and grow them into major employers.
Also, this company stayed here. Indeed, when it reached that proverbial next level, there were, quite obviously, opportunities to take Thing5 almost anywhere — because there isn’t a city or town in the Commonwealth or well beyond it that wouldn’t fight, and fight hard, for 500 jobs. But management chose to stay in the City of Homes, largely because of the lower cost of living, available workforce, access, quality of life, and affordable commercial real estate.
This shows that our various assets are tangible — and sellable.
But perhaps the biggest benefit will come in the form of greater momentum downtown. First, this move gives a substantial boost to the office tower known as One Financial Plaza, which has had several dark floors for many years, but has been staging something of a comeback recently.
Beyond that, though, the 500 new employees working downtown will provide a larger critical mass of people needed to spur additional investments, be they in support businesses, hospitality-related ventures such as restaurants and clubs, or badly needed retail.
And there is another component — the possibility that some of these employees may soon be working and living downtown, thanks to a program that will offer reduced lease rates to Thing5 employees at the nearby Morgan Square apartments, managed by the same company (Samuel D. Plotkin) that also manages One Financial Plaza. This additional residential piece could further stimulate investment in the central business district and be a key contributor to the kind of vibrancy that other Northeast cities have enjoyed.
As we said, there are many angles to this positive story for Springfield and its downtown. The headlines were all about the jobs coming to the city — and that’s an important aspect of this — but there are many other elements that bode well for the City of Homes.

Architecture Sections
Recent Projects Embody Firm’s Commitment to ‘Preserve, Adapt, Renew’

Stephen Jablonski (right) and Brian DeVriese.

Stephen Jablonski (right) and Brian DeVriese.

Architects Stephen Jablonski and Brian DeVriese have crafted an impressive legacy of projects involving schools, libraries, museums, parks, and a host of other structures. But rarely have they been tested by the time constraints they faced last summer when Springfield College tapped them for repairs of three tornado-damaged residence halls. The resulting success story is a lesson in teamwork, setting goals, and adapting to change.

When Stephen Jablonski and Brian DeVriese arrived at Springfield College on June 2, the morning after a devastating tornado ripped through the city, they were shocked by the extent of the damage on campus.
But they had no time to lose.
Due to a relationship that stretches back a decade and includes the award-winning Stitzer YMCA Center, college officials quickly tapped Jablonski DeVriese Architects to work with Erland Construction of East Windsor, Conn. to repair three hard-hit residence halls — International, Reed, and Massasoit — as well as a damaged power house.
There was one big question, however: could the job be done in a mere 10 weeks, or would students expecting to live in those dorms need to find other lodging for the start of the fall semester?
“We worked very carefully with the Springfield Building Department because we didn’t want anyone saying we were going too fast,” Jablonski said, looking back on a hectic summer that, indeed, saw all three dorms ready for students by mid-August.
“The Building Department worked excellently with us,” he recalled. “They could easily have said, ‘are you kidding? The whole city was hit by a tornado; we’re not going to approve anything for six months, but we’ll take it under advisement.’ They were there on site the first day.
“As far as we know, International Hall was the tallest building completely damaged in Springfield,” Jablonski added. “We’re not aware of another taller one in the direct path of the tornado, and it was completely repaired in two months.”
Jablonski and DeVriese sat down with BusinessWest recently to explain how that came to pass, and how the project fits into the philosophy of a firm committed to preserving the past while adapting to the often-harsh winds of circumstance.

Plan of Attack
The first step, of course, was turning that initial shock into a well-defined strategy.
“We had to do damage assessment of the dormitories,” DeVriese said. “We went through every room in every dorm and itemized all the damage. In all three, we had a list of every room and all the categories of damage that we could use as a starting point, helping the contractor develop an estimate for what it was going to take to repair the damage.”
Erland personnel secured broken window openings with temporary closures. But a big thunderstorm rolled through less than a week after the tornado and damaged most of those quick fixes. Meanwhile, Jablonski said, “we had to ask, ‘can we salvage these buildings at all?’ We had an intuition that they were definitely salvageable.”
DeVriese, who recently forged a business partnership with Jablonski, noted that the tornado had blown many of the windows out of the building, ripped solid-core doors off the hinges, and damaged much of the furniture. “Light fixtures were hanging down from the ceilings, and there was a tremendous amount of water inside the building. That was mainly International Hall; there was some of that damage in Massasoit and Reed, but to a lesser degree.”
Once they decided the structures, even International, were salvageable, the architects and contractors had a significant challenge: to complete the work in time to house returning students.
Even as cleanup crews were just starting to remove fallen trees, Jablonski said, meetings were quickly convened involving college officials, insurance carriers and agents, and the architects and builders, during which all parties agreed to cost estimates and orders of new doors, windows, furniture, exterior metal panels, and other materials.
Jablonski credited the college’s insurance carriers for acting quickly — though they did have a financial incentive to do so.
“We said to the insurance company, ‘do you want to approve this list right now and get this stuff ordered, or run the risk of students going to the Sheraton to live off-campus?’” — an insured expense no one wanted to trigger, he said. “Even though they brought in their own experts, we shared a lot of our analysis with them, and that was the success of it. We hit the target and did not have any delayed openings at all.”
After seeing several architectural renderings, the college decided to go beyond simple repairs by replacing the original exterior of the building with higher-quality, better-insulated panels than what had existed before, Jablonski said.
“Most people feel it looks a lot better now than it did, no question,” he added. “The windows are much more high-quality, and we put in much better insulation; there was no insulation behind the enamel, so we put in a nice air barrier. It used to get a lot of wind-driven leaks.”
R&R Windows of Easthampton provided the aluminum replacement windows and new aluminum panels, while the new doors came from Hardware Specialties of West Springfield, Collins Electric of Chicopee made electrical repairs, and Harry Grodsky Co. of Springfield repaired damage to the HVAC system.
“One thing I’ve been impressed with about Erland — they don’t just order windows and start installing them,” Jablonski said. “They put one in, test it for water penetration, for air leakage; actually an engineering company comes to look at it and blast it with moisture and high wind pressure. And if it doesn’t pass, they have a meeting with everyone about what they did wrong, and keep doing different configurations until they pass the test.”
As new windows, doors, and exterior panels were installed, floor tiles were replaced in only a portion of rooms in order to stay on schedule (floors in other rooms were repaired, cleaned, and waxed). And 10 weeks and $5 million after the twister ripped through, little evidence remained of anything other than a summer remodeling job.

Study in Teamwork

YMCA Center at Springfield College

The design of the Stitzer YMCA Center at Springfield College has earned multiple awards for Jablonski DeVriese Architects.

Last June, DeVriese, who had a company in Shelburne Falls, joined Stephen Jablonski Architects as a partner. “Brian and I worked together for 10 years; he was a consultant with me on projects,” Jablonski said. “But we decided it would be a stronger company to have a partnership, so we formed a corporation.”
“My experience has been mainly restoration and renovation types of projects,” DeVriese said, “and quite a number of municipal projects, which requires familiarity with public bidding laws. So I think that, combined, we cover pretty much the whole gamut, public and private.”
With the name change came a new discussion of where the firm should focus its energies.
“As a young architect, I was trained to design everything, and I guess I believe in that,” Jablonski said. “But when we formed a corporation, we took the opportunity to really look at what our strengths are. And it seems like almost all the projects both Brian and I worked on individually, even going back to being employed by other architects, were renovations and restorations. So we came up with the motto, ‘preserve, adapt, renew.’ I think that has a real selling power in New England because there’s so much that needs preservation, adaptation, and renewal.”
The next natural question, he said, was what types of customers they should focus on.
“We’re identified really strongly with three or four sectors,” he explained, including higher education; municipal and government work, which includes schools, libraries, park buildings, and museums; and historical buildings of all kinds, which can cut across many sectors.
The firm also does some residential work, “but in Western New England, we’ve found it’s very difficult to be successful in residential projects; there aren’t enough multi-million-dollar houses going up — certainly, in this economy, there are zero.”
The firm’s various areas of focus give it a diversity that can withstand economic trends, Jablonski explained.
“The nature of municipal work tends to be ebbing and flowing, and recently there’s been a serious ebb, and we don’t know when it’s going to start flowing again,” he said. “The great thing about higher education is, they’re fueled by tuitions and alumni donations and endowments. They’re not independent of the economy, but they’re often able to do things the other sectors can’t.”
The partners like to talk about ‘adaptive reuse’ when describing projects, and the firm’s design of the Museum of Springfield History at the Quadrangle is a good example. “It was an old Verizon office building,” Jablonski said. “Springfield Museums, because of its location, wanted to acquire it, but how could they use this as a museum? They didn’t want an office building.
“When people talk about sustainability and sound design, we feel that one of the best ways to embody that is to take resources that are already there — the bricks were already there, the wood, the windows, everything was there, but it didn’t have a current use. A lot of it is imagination, when something is transformed into another thing, but making sure it’s up to date with modern building codes.”
That museum project led to Springfield College hiring the firm for its complete renovation of Judd Gymnasia, renamed the Stitzer YMCA Center. For that design, Jablonski DeVries Architects received the Paul E. Tsongas Award from Preservation Massachusetts, as well as the Springfield Preservation Trust Award for Restoration/Stewardship.
The project had a museum component, Jablonski said, and the wife of college President Richard Flynn is a trustee at Springfield Museums. “She was aware of our work at the history museum, and really liked it, and said, ‘why not give these guys a try?’”
When that call came again last summer, under much more trying circumstances, ‘preserve, adapt, renew’ was more than a motto — it’s why students at International, Reed, and Massasoit halls didn’t have to find a new home.

Joseph Bednar can be reached at [email protected]

Bankruptcies Departments
The following bankruptcy petitions were recently filed in U.S. Bankruptcy Court. Readers should confirm all information with the court.

Archer, Cynthia L.
88 Columbus Ave.
Holyoke, MA 01040
Chapter: 7
Filing Date: 12/30/11

Armold, Melissa
121 Joseph Dr.
Pittsfield, MA 01201
Chapter: 7
Filing Date: 12/16/11

Barrett, Patricia A.
97 Rear Homer Ave.
Chicopee, MA 01020
Chapter: 7
Filing Date: 12/16/11

Beauregard, Cheryl Ann
55 Belanger St.
Three Rivers, MA 01080
Chapter: 7
Filing Date: 12/30/11

Bedard, Lise M.
72 Humphrey Lane
West Springfield, MA 01089
Chapter: 7
Filing Date: 12/23/11

Bird, Sarah A.
407 Brookfield Road
Brimfield, MA 01010
Chapter: 7
Filing Date: 12/28/11

Briggs, Laura G.
13 Walpole Road
Haydenville, MA 01039-9751
Chapter: 7
Filing Date: 12/28/11

Broskey, Jason L.
9 Plimpton St.
Sturbridge, MA 01566
Chapter: 7
Filing Date: 12/29/11

Bryant, Raymond F.
Bryant, Carol A.
25 Lincoln St.
Greenfield, MA 01301
Chapter: 7
Filing Date: 12/22/11

Budlong, Carrie A.
4 Opal St.
Wilbraham, MA 01095
Chapter: 7
Filing Date: 12/19/11

Campbell, William P.
Campbell, Lisa M.
150 Fairview Ave.
Chicopee, MA 01013
Chapter: 7
Filing Date: 12/30/11

Carr, Cheryl
34 Adams St.
Easthampton, MA 01027
Chapter: 7
Filing Date: 12/27/11

Chic Spaces Interior Design
Obahi, Hassan
Obahi, Lida
172 High Meadow Dr.
West Springfield, MA 01089
Chapter: 7
Filing Date: 12/30/11

Chittenden, Lindsay Jean
189 East Road
Adams, MA 01220
Chapter: 7
Filing Date: 12/22/11

Christian, Robert H.
1310 South Main St.
Palmer, MA 01069
Chapter: 7
Filing Date: 12/28/11

Clark, Patricia E.
781 So. West St.
Feeding Hills, MA 01030
Chapter: 7
Filing Date: 12/21/11

Collado, Aguedo
136 Prospect St.
Chicopee, MA 01013
Chapter: 7
Filing Date: 12/30/11

Cruz, Tito
Cruz, Patricia C.
16 Banner St.
Indian Orchard, MA 01151
Chapter: 7
Filing Date: 12/27/11

Dendievel, Ronald P.
Dendievel, Virginia M.
71 Benedict Ter.
Longmeadow, MA 01106
Chapter: 7
Filing Date: 12/23/11

Designs by Nicole
Bowers, Nicole R.
a/k/a Barstow, Nicole R.
a/k/a Nicole R. Bowers
120 Hayden St.
Orange, MA 01364
Chapter: 7
Filing Date: 12/23/11

Desmond, David William
215 Windsor St.
West Springfield, MA 01089
Chapter: 7
Filing Date: 12/21/11

DeSousa, Janine D.
81 Cummings Road
Athol, MA 01331
Chapter: 7
Filing Date: 12/21/11

Dessources, Marie K.
616 Armory St.
Springfield, MA 01104
Chapter: 13
Filing Date: 12/21/11

Dunsmoor, James W.
426 Wilbraham Road
Hampden, MA 01036
Chapter: 7
Filing Date: 12/28/11

Fare With Flair, LLC
DiSalvo, Ronald J.
46 Lynebrook Road
Springfield, MA 01118
Chapter: 7
Filing Date: 12/22/11

Fueston, James T.
Fueston, Lisa J.
19 Voltage Ave.
Ludlow, MA 01056
Chapter: 13
Filing Date: 12/30/11

Fuller, Sherri Lee
a/k/a Stevens, Sherri Lee
a/k/a Munster, Sherri Lee
15 Sawmill Plain Road
South Deerfield, MA 01373
Chapter: 7
Filing Date: 12/29/11

Hastings, Mark J.
7 Bradlind Ave.
Wilbraham, MA 01095
Chapter: 7
Filing Date: 12/16/11

Huffman, Marilyn Ann
51 Village Hill Road
Northampton, MA 01060
Chapter: 7
Filing Date: 12/16/11

Jabry, Cynthia M.
158 Corey Colonial
Agawam, MA 01001
Chapter: 7
Filing Date: 12/21/11

Johnson, Maureen Lisa
63 Plain St.
Easthampton, MA 01027
Chapter: 7
Filing Date: 12/27/11

Johnson, Raymond A.
Johnson, Anna C.
585 Sheridan St., Apt. 42
Chicopee, MA 01020
Chapter: 7
Filing Date: 12/30/11

Johnson-Studstill, Theresa D.
17 Los Angeles St.
Springfield, MA 01107
Chapter: 7
Filing Date: 12/20/11

LaBranche, Amy Leigh
a/k/a Dubiel, Amy Leigh
P.O Box 199
Russell, MA 01071
Chapter: 7
Filing Date: 12/21/11

LaVoie, Carol A.
8 Castle Ave.
Athol, MA 01331
Chapter: 7
Filing Date: 12/16/11

LeClair, Suzanne Florence
4496 High St.
Palmer, MA 01069-1500
Chapter: 7
Filing Date: 12/27/11

Lemarier, Mark S.
Lemarier, Jennifer P.
a/k/a Lukert, Jennifer P.
457 Old Dana Road
Barre, MA 01005
Chapter: 13
Filing Date: 12/30/11

Lord, Bill
a/k/a Lord, William G.
134 Silver St.
Granville, MA 01034-9532
Chapter: 7
Filing Date: 12/28/11

Lussier, Melinda Anne
55 North Main St. #45
Belchertown, MA 01007
Chapter: 7
Filing Date: 12/16/11

Malachowski, Christine A.
50 Colony Dr.
Westfield, MA 01085
Chapter: 7
Filing Date: 12/23/11

Marotte, Justine
a/k/a Finn, Justine
1569 Parker St.
Springfield, MA 01129
Chapter: 13
Filing Date: 12/20/11

McNamara, Mary J.
PO Box 546
Wilbraham, MA 01095
Chapter: 7
Filing Date: 12/27/11

Melendez-Oakley, Milagrito
a/k/a Marrero, Milagro
85 Marsden St.
Springfield, MA 01109
Chapter: 7
Filing Date: 12/22/11

Morton, Susan
27 King St.
Westfield, MA 01085
Chapter: 7
Filing Date: 12/28/11

Murphy, Timothy J.
PO Box 821
East Longmeadow, MA 01028-0821
Chapter: 13
Filing Date: 12/29/11

Murray, Patricia A.
30 Lachine St.
Chicopee, MA 01020
Chapter: 7
Filing Date: 12/19/11

Olofson, Norma Jean
45 Mayfair St.
Lynn, MA 01904
Chapter: 7
Filing Date: 12/30/11

Perry, Anthony L.
Perry, Karen A.
64 Treetop Ave.
Springfield, MA 01118
Chapter: 7
Filing Date: 12/28/11

Plucker, Donald R.
Plucker, Donnamarie
26 Berkshire Ave.
Southwick, MA 01077
Chapter: 7
Filing Date: 12/27/11

Potvin, Patricia A.
58 Felix St.
Chicopee, MA 01020
Chapter: 7
Filing Date: 12/28/11

Rothery, John Robinson
257 Redlands St.
Springfield, MA 01104
Chapter: 7
Filing Date: 12/30/11

Rounds, Kevin G.
P.O. Box 75
Greenfield, MA 01302
Chapter: 7
Filing Date: 12/23/11

Salazar, Joel N.
Velazquez-Rodriguez, Maria Santos
187 William St.
Springfield, MA 01105
Chapter: 7
Filing Date: 12/29/11

Santiago, Jose A.
108 Shawmut St.
Springfield, MA 01108
Chapter: 7
Filing Date: 12/20/11

Scharmann, Catherine A.
153 South Longyard Road
Southwick, MA 01077
Chapter: 7
Filing Date: 12/16/11

Senez, Michael L.
Senez, Sharon E.
43 Vincent Dr.
West Springfield, MA 01089
Chapter: 7
Filing Date: 12/21/11

Simmons, John F.
Simmons, Jennifer P.
a/k/a Thomas, Jennifer
51 Shaw Park Ave.
Chicopee, MA 01013
Chapter: 7
Filing Date: 12/30/11

Soler, Jeanette
56 Eddy St.
Springfield, MA 01104
Chapter: 7
Filing Date: 12/22/11

Stone, Melinda Sue
148 Russell St.
Hadley, MA 01035
Chapter: 7
Filing Date: 12/29/11

Suse, James Francis
Suse, Theresa Marie
PO Box 188
Brimfield, MA 01010
Chapter: 7
Filing Date: 12/29/11

Sylvester, David A.
Sylvester, Brenda M.
39 Mattawa Circle
Orange, MA 01364
Chapter: 7
Filing Date: 12/23/11

Taft, Richard R.
PO Box 1371
Warren, MA 01083
Chapter: 7
Filing Date: 12/23/11

Todd Boynton Roofing
Boynton, Todd Joseph
83 Silver St.
Greenfield, MA 01301
Chapter: 7
Filing Date: 12/22/11

Vargas, Iris C.
a/k/a Rivera, Iris C.
192 Lucerne Road
Springfield, MA 01119
Chapter: 7
Filing Date: 12/19/11

Whitfield, Kristine B.
439 Warren Wright Road
Belchertown, MA 01007
Chapter: 7
Filing Date: 12/23/11

Willis, Joseph Theodore
200 Lambert Ter. #46
Chicopee, MA 01020
Chapter: 7
Filing Date: 12/20/11

Wing, Carol T.
146 School St.
Agawam, MA 01001
Chapter: 7
Filing Date: 12/30/11

Company Notebook Departments

Tighe & Bond Launches New Web Site
WESTFIELD — Tighe & Bond recently launched a new Web site aimed at making information on the engineering firm’s core services easier to find and more comprehensive, according to David Pinsky, president. “Part of being a progressive engineering firm that is client-focused means keeping up with technology and making it easier for our clients and others to readily find the information they seek on our Web site,” said Pinsky. He added that the firm wanted to “bring elements of our core business into greater focus and create a fresh design.” Beyond the firm’s traditional core business — civil engineering, water, wastewater, and environmental consulting — the Web site highlights newer areas of expertise. These areas include renewable energy, as well as the latest 3D modeling and GIS technologies. In addition, the Web site offers interactive features such as the ability to ask a question on each Web site page, review current projects that are out to bid, and request a host of technical papers authored by Tighe & Bond staff. The Web site also features a revitalized section on career opportunities and information on the company’s culture. Facebook, Twitter, and LinkedIn are also integrated to keep followers up to date on the latest news. Lastly, the Web site spotlights the firm’s commitment to sustainability, documents the firm’s history, and provides a link to the online commemorative book, Engineering a Century of Progress: The Evolution of Tighe & Bond.

NUVO Bank Unveils No-Catch Checking
SPRINGFIELD — NUVO Bank & Trust Co. is now offering No-Catch Checking, a free account with no hidden requirements, according to M. Dale Janes, CEO. Customers may open a No-Catch Checking account with a deposit of $10; going forward, there is no minimum balance to maintain. Customers will have the benefits of no direct-deposit requirements, no monthly maintenance or activity charges, no service charges, no hidden fees, and no ATM fees. “We simply adjusted the requirements of our original two checking-account options,” said Janes. “We listened to what is going on regionally and nationally and heard consumers demanding simplicity in banking, with no games or hoops to jump through.”

Cooley Dickinson Named High-performing Hospital
NORTHAMPTON — Two independent rating organizations have verified that patients who choose Cooley Dickinson Hospital (CDH) for their health needs receive better quality and safer outcomes, even as the hospital has reduced the cost of care, according to Dr. Mark Novotny, chief medical officer. The hospital is among the 2011 Top Performing Hospitals in the Premier health care alliance’s national QUEST collaborative. In the delivery of evidence-based care, CDH ranked 10 percentage points above the top-performing hospitals’ score of 84%, and its cost per adjusted admission was $780 lower than that of other community hospitals in its size group. This is the first year CDH placed among the top-performing QUEST hospitals. “Being a QUEST member means redesigning the way we provide care so that patients receive reliable, safe, and efficient health care every time they visit Cooley Dickinson,” added Novotny. QUEST, the most comprehensive hospital collaborative (300 hospitals) in the nation, measures, compares, and scales solutions for the complex task of caring for patients. In related news, the Leapfrog Group reported that CDH ranked in the top 10% on overall value, a measure that takes into account the quality of care hospitals provide. This is the second consecutive year that CDH has ranked in Leapfrog’s top 10%. “Achieving high overall value is the key success factor for health systems,” said Novotny. “More than ever, employers and patients expect superb outcomes at low cost.” Among the Leapfrog database of 1,066 hospitals from 43 states, CDH earned roll-up scores of 81 on quality and 88 on resource use in Leapfrog’s 2011 Hospital Survey. The value score combines the quality and resource scores, with quality weighted most. The hospital’s 83 for value is 11 points above the 72 score needed to rank in the top 10%. Leapfrog’s quality score is based on a hospital’s performance on more than 20 national quality standards. The standards measured include care provided for common conditions such as pneumonia and normal deliveries of babies, intensive-care unit physician staffing levels, and performance on preventing conditions such as pressure ulcers and central-line-associated bloodstream infections.

Lord Jeffery Inn Reopens in Downtown Amherst
AMHERST — The transformation of the Lord Jeffery Inn is complete, according to the Amherst Inn Co., an affiliate of Amherst College and owner of the inn. The downtown property features 49 state-of-the-art guestrooms, including three king, three queen, and two double/double suites. The inn has added a 2,360-square-foot ballroom along with a tented garden area that can accommodate up to a 40’ x 80’ tent. The project also included upgrading the 46,000-square-foot building’s internal systems, adding 20 parking spaces, and creating a new restaurant. The renovation and expansion also included significant energy-efficiency improvements that make it one of the greenest inns in the Pioneer Valley, according to Amherst College President Biddy Martin. “The absence of the Lord Jeff over the past few years has shown how important the inn is to the vibrancy of the college and the community,” said Martin. “The Lord Jeff has long served as a beacon, welcoming visitors to the town of Amherst and to Amherst College. We are thrilled that the magnificently renovated inn and restaurant is open to guests once again.” Last June, the Mass. Historical Commission announced that it had voted and approved the expansion of the boundaries of the Amherst Central Historic Business District to allow for the inclusion of the Lord Jeffery Inn. The vote was the first step in recognizing the historical significance of the inn, which is now included on the National Historic Registry along with such notable community landmarks as the Emily Dickinson Homestead, the Evergreens, the Strong House, and the West Cemetery. “The new inn was given a fresh contemporary update representing the spirit of a new generation of modern comfort,” added Rob Winchester, president and COO of Waterford Hotel Group Inc., the inn’s management company. “This renovation addresses the evolving needs of today’s traveler, offering a more contemporary style and the latest technology. We are thrilled to reintroduce the Lord Jeffery Inn to the community as the premier destination for lodging, dining, corporate meetings, and social events.”

Holyoke Community College Going Smoke-free
HOLYOKE — Holyoke Community College will become an entirely smoke-free campus on Aug. 13, college President William Messner announced recently. On that day, smoking will no longer be permitted in any building or outdoor area on the 135-acre HCC campus. Smoking is now allowed only outdoors outside 20-foot buffer zones around entryways. “The decision to establish a smoke-free campus reflects HCC’s commitment to provide an accessible, safe, and healthy environment in which to learn and work,” Messner said in a message sent out today to the HCC community. “It is also a result of the efforts of HCC students and the staff members of the HCC Smoke-Free Committee, who urged us to join the hundreds of other colleges and universities that have already made smoke-free a reality.” The full text of Messner’s statement is available on the HCC Web site at www.hcc.edu/smokefree, along with resources and links for people who want to quit smoking. Counseling and nicotine patches are also being made available through HCC Health Services. “We understand that overcoming the addiction to tobacco is a great challenge,” Messner said. “For students and staff who wish to quit smoking or find ways to manage their cravings on campus, HCC will provide a variety of resources.” HCC will also be holding events throughout the spring semester to raise awareness about the new smoking policy and the health benefits of quitting. Testimonials from people who quit smoking will be going up soon in the main lobby of HCC’s Frost Building. “As with any change, it will take time to adjust,” Messner said. “During the transition to a smoke-free campus, all members of the HCC community must share the responsibility of self-enforcement and of creating an environment that is respectful and cooperative.”

United Bank Supports Several United Ways
WEST SPRINGFIELD — United Bank’s employees and its United Bank Foundation recently contributed a combined totaled of $97,643 in support of the United Ways of Pioneer Valley, Hampshire County, and Central Mass. United’s employee campaign totaled more than $58,000, surpassing last year’s level of giving, according to Richard Collins, president and CEO. In addition, the bank’s foundation contributed $39,000 to the three United Ways. “The participation of our employees is also a reflection of United Bank’s commitment to the communities where we live and work,” said Collins. “It’s particularly meaningful in today’s trying economic times. Our neighbors need our help; our employees stepped up to provide that help.”

First Niagara Donates
$50,000 to Mass Mentoring Partnership
BOSTON – Mass Mentoring Partnership (MMP), a Boston-based nonprofit that is an umbrella organization for youth mentoring statewide, recently announced that First Niagara Bank will donate $50,000 to support the organization’s mentoring efforts, with a focus on initiatives in Western Mass. During Mass Mentoring’s annual Youth Mentoring Forum at State Street, which was held recently at State Street Financial Center, MMP Chief Program Officer Marty Martinez thanked representatives from First Niagara for signing on as the Western Mass. sponsor of National Mentoring Month (January) and for its support of the annual Champions of Mentoring fund-raising event with the Boston Red Sox, which will be held June 7 at Fenway Park. “National Mentoring Month is a time when mentoring organizations across the country come together with a focus on raising awareness of the importance of mentors, acknowledging and appreciating current mentors, and positioning our organizations for future success,” said Martinez. “We’re thrilled to partner with First Niagara to promote National Mentoring Month and expand quality mentoring in Western Mass.” During January, First Niagara supported MMP’s efforts to promote the importance of mentoring through a multi-faceted marketing campaign with a focus on Western Mass. Throughout National Mentoring Month, MMP aims to help Massachusetts mentoring programs celebrate the everyday people who are making a difference for young people in their communities.

Departments People on the Move

Edward J. Garbacik

Edward J. Garbacik

Edward J. Garbacik, Vice President of FSB Financial Group at  Florence Savings Bank, has completed his CFP certification requirements from the Certified Financial Planner Board of Standard. Certification encompasses seven major financial planning areas — general principles of financial planning, insurance planning and risk management, employee-benefits planning, investment planning, income-tax planning, retirement planning, and estate planning. Individuals must also agree to meet ongoing continuing-education requirements and to uphold the CFP Board’s Code of Ethics and Professional Responsibility, Rules of Conduct, and Financial Planning Practice Standards.
•••••
Tina M. Bennett has been named President of Conservation Services Group in Westborough. She runs the company’s day-to-day operations and oversees the executive committee. She also serves as an ex-officio member of the board of directors.
•••••
Cathy Jocelyn

Cathy Jocelyn

Cathy Jocelyn has been promoted to Assistant Vice President/Marketing Manager at Westfield Bank. In this new role, Jocelyn is responsible for day-to-day marketing, promotion, and public relations, along with coordinating community outreach and the Future Fund.
•••••
Michael B. Ginsberg has joined Accenture as a Partner in the life-insurance industry practice. He will work in Accenture’s Hartford office and serve several large insurance customers in Massachusetts and Connecticut in a client-account leadership role.
•••••
David J. Ericson, Physician Assistant, joined Cooley Dickinson Hospital’s Medical Staff and Pioneer Valley Ear, Nose and Throat Surgeons. Ericson treats adults and children for a variety of ear, nose, and throat disorders, including allergy and sinus problems, hearing and balance disorders, and voice and swallowing problems.
•••••
Warren R. LaBerge has been promoted to Manager of Amherst Tire.
•••••
Robert Dellatorre has been named Senior Relationship Manager in the New England Middle Market Banking Group for First Niagara. Dellatorre will manage the bank’s relationships with middle-market companies located in Connecticut, Rhode Island, and Massachusetts.
•••••
Tracey Burke has joined Park Square Realty in its Westfield office as a Sales Associate.
•••••
Janelle Holmboe was recently named Dean of Admissions at American International College in Springfield. Most recently, Holmboe served as Associate Director of Graduate Admissions in Forest Grove, Ore.
•••••
William Dowding has been named Director of Marketing at A.W. Hasting & Co. in Enfield. The firm is a distributor of Marvin Windows and Doors.
•••••
Atlantic Fasteners announced the following:
• Tony Orvis has joined its industrial fastener division; and
• Bruce Bonzey has been named Director of Quality.
•••••
InteliCoat has announced the following:
• Dave Burgos has joined the firm as inside Sales Representative. He is responsible for supporting and growing the firm’s digital-imaging business with key distributor partners.
• Candice Bakke has joined the firm as National Telesales Representative. She is tasked with raising brand awareness for the Magic, Magiclée, and Museo product lines, as well as increasing and improving customer contact and support.
•••••
Julie M. Quink

Julie M. Quink

Burkhart, Pizzanelli, P.C. announced that Julie M. Quink, CPA, has recently joined the firm. Her experience is in the accounting and auditing and forensic and fraud consulting areas of public accounting.  Her past experience includes 16 years with J.M. O’Brien and Co., P.C. in Springfield, and three years with KPMG Peat Marwick, LLP in Springfield prior to its office relocation. She received her bachelor’s degree in Accounting and Business Management from Elms College.  Her professional affiliations include membership in the American Institute of Certified Public Accountants, the Mass. Society of Certified Public Accountants, and the Assoc. of Certified Fraud Examiners.
•••••
Reliable Temps announced that Erin Corriveau has joined the firm as Marketing Manager. She will be responsible for overseeing daily marketing and public relations duties for the three Massachusetts Reliable temps locations: Agawam, Easthampton, and Greenfield.
•••••
Lynda Zukowski, manager of Radiology and Imaging at Baystate Franklin Medical Center, has received the credential of Certified Radiology Administrator (CRA) through the Radiology Administration Certification Commission.

Court Dockets Departments
The following is a compilation of recent lawsuits involving area businesses and organizations. These are strictly allegations that have yet to be proven in a court of law. Readers are advised to contact the parties listed, or the court, for more information concerning the individual claims.

CHICOPEE DISTRICT COURT
DHL Global Forwarding v. Diecast Connections Co. Inc.
Allegation: Non-payment of goods sold and delivered: $5,251.11
Filed: 12/9/11

Viking SupplyNet v. Statewide Mechanical Contracting Inc.
Allegation: Non-payment of goods sold and delivered: $5,059.04
Filed: 1/4/12

HAMPDEN SUPERIOR COURT
A.J.’s Pro Shop v. AMF Bowling Center Inc.
Allegation: Damages resulting from violation of lease agreement: $25,000+
Filed: 12/6/11

David A. Faita v. East Springfield Transportation Inc.
Allegation: Minority stockholder suit seeking equitable relief: $25,000+
Filed: 12/13/11

Iglesia Koinonia Inc. v. Primera Iglesia Cristiana Misionera, et al
Allegation: Fraudulent sale of property: $300,000
Filed: 12/16/11

Reynolds & Reynolds Co. v. Medeiros Williams Inc.
Allegation: Balance remaining on previous judgment: $32,140.88
Filed: 12/14/11

T.D. Bank, N.A. v. Advanced Corp. f/k/a Advanced Petroleum Installation Inc.
Allegation: Default on promissory notes: $159,080.89
Filed: 12/20/11

HAMPSHIRE SUPERIOR COURT
De Lage Landen Financial Services Inc. v. Value Discount Inc. and Abdul Chaudry
Allegation: Breach of lease agreements: $168,699.90
Filed: 12/5/11

Margaret Mercier and Marian Kennedy v. S.E. Sulenski Roofing and Siding Co. Inc.
Allegation: Breach of contract, negligent misrepresentation, and failure to perform remodeling services: $408,789.54
Filed: 12/19/11

Mary Bartoli v. Rolling Green Apartments
Allegation: Negligence in property causing slip and fall: $143,891.45
Filed: 12/14/11

HOLYOKE DISTRICT COURT
James C. McCann, D.C. v. Travelers of MA
Allegation: Claim for unpaid PIP benefits: $1,352.50
Filed: 10/26/11

NORTHAMPTON DISTRICT COURT
Waste Management New England Environmental Transport Inc. v. Northampton Nursing and Rehabilitation Center, LLV
Allegation: Breach of commercial service agreement and non-payment of waste-disposal services: $7,082.23
Filed: 12/2/11

PALMER DISTRICT COURT
Anna Maria Ribas-Dias and Joe Dias v. Adam Quenneville Roofing and Siding Inc.
Allegation: Breach of contract and misrepresentation relating to the installation of a new roof: $7,000
Filed: 11/22/11

Lonnie Desmariais v. Curtis Factory Plus Inc.
Allegation: Negligence and breach of contract: $5,141.39
Filed: 12/7/11

SPRINGFIELD DISTRICT COURT
Liberty Mutual Insurance Co. v. Maillett Development
Allegation: Balance remaining on workers’ compensation insurance policy: $10,212.98
Filed: 12/12/11

Liberty Mutual Insurance Co. v. Peter Amorello Construction and Demolition Inc.
Allegation: Balance remaining on workers’ compensation insurance policy: $7,229.19
Filed: 12/12/11

R.S.M.S., LLC v. T.K.O. Insurance Agency Inc.
Allegation: Collection of remaining balance on commercial rent: $1,250
Filed: 12/16/11

WESTFIELD DISTRICT COURT
Mark Lund v. Reed’s Flooring and Mark Reed
Allegation: Breach of contract for shower installation and misrepresentation: $7,419.30
Filed: 11/14/11

Departments Picture This

Send photos with a caption and contact information to:  ‘Picture This’ c/o BusinessWest Magazine, 1441 Main Street, Springfield, MA 01103 or to [email protected]

Cutting the Ribbon

PicThis 1 0112cAfter an extensive renovation project, the Lord Jeffery Inn in downtown Amherst reopened to the public on Jan. 9. Doing the honors at a ribbon-cutting ceremony are, from left: Robert Reeves, general manager of the inn; John Musante, Amherst town manager; state Rep. Ellen Story; Charles R. Longsworth, chair emeritus of the Amherst College Board of Trustees; Biddy Martin, president of Amherst College; Rob Winchester, president of the Waterford Hotel Group; and Peter Shea, treasurer of Amherst College and president of the Amherst Inn Co.

Third Thursday

YPS2
YPS1The Young Professional Society of Greater Springfield recently staged its monthly Third Thursday event at Nadim’s Mediterranean Grill in East Longmeadow. Top, Nick Gelfand, owner of NRG Real Estate Inc., with Christopher Rinaldi of Excel Technologies Inc. Bottom, board Member Ron Laprise, owner of Laprise Chiropractic, with Laura Judd.









Groundbreaking Development

DevAssocGroundbreakingBW-0112cGroundbreaking ceremonies were recently staged at the site of what will become known as the Northampton I-91 Professional Center, which will consist of two three-story Class-A office buildings designed for professional and medical tenants. The project is being spearheaded by Agawam-based Development Associates. From left are: David Masiello, owner of R.P. Masiello, general contractor, the builder chosen for the project; Travis Ward, operations manager for Development Associates; Suzanne Beck, executive director of the Northampton Area Chamber of Commerce; Eileen O’Leary Sullivan, co-owner of Northampton I-91 Professional Center; Ken Vincunas, general manager of Development Associates; J. Curtis Shumway, co-owner of the Northampton I-91 Professional Center; Northampton Mayor David Narkewicz; Brian Huntley, project manager for Tighe & Bond, the engineering firm consulting on the project; and Pat Levelle, CFO of CSO, a future tenant.

Columns Sections
Understanding the Issues Surrounding Commercial-vehicle Insurance

Corey Murphy

Corey Murphy

Company vehicles are vital assets. They are an integral part of our daily business practice. For many, the expense of keeping these vehicles on the road is a significant cost center for their company. They are also a major insurance liability issue that requires your attention if the matter is to be managed effectively.
A helpful tool for managing your company’s commercial-vehicle insurance program begins with a clear understanding of how insurance underwriters calculate your commercial insurance premium. A better understanding of this process puts you in a better position to lower insurance costs and also gain the confidence that your policy correctly reflects proper protection for your commercial-vehicle liability exposure.
The International Assoc. of Industrial Accident Boards & Commissions reports that commercial vehicles traveling on highways, as a group, are a significant risk of serious injury to employees. They are also associated with some of the most costly workers’ compensation claims. Insurance data confirms that traffic accidents are the source of a large portion of the total number of serious cases involving employee disabilities and fatalities. Within this commercial-vehicle risk group are truck drivers, salespeople, messengers, and collectors.
When pricing business automobile-insurance policies, underwriters generally rely on several considerations. They want to know what do you drive, where you drive, and how well your drivers perform. How you answer these questions has a significant impact upon your commercial-vehicle insurance cost. So it is important to fully consider how you respond to each criterion.
The question of what you drive considers the physical characteristics of the vehicle. It also extends to how you use the vehicle and what or who is carried in or on the vehicle. A vehicles is first classified by its gross weight, which is usually assigned by the manufacturer. This weight assessment indicates the weight of the vehicle when empty, plus the maximum load it is capable of carrying. Vehicles used to transport people are classified by their seating capacity, not vehicle weight. Generally speaking, the higher the gross weight — or, for passenger vehicles, the higher the seating capacity — the more it costs to insure the vehicle.
There are several standard classes of vehicles in the world of underwriting. The classes include private-passenger types, service vehicles, retail, and commercial. Again, the group that best suits your vehicles will determine their insurance ranking. A car that is driven by a salesperson to sell and service clients is considered a private-passenger type. If a vehicle is used to transport tools, equipment, or supplies to and from a job site, it fits into the service-vehicle category. An auto used to pick up or deliver property to individual homes or businesses is an example of the retail class. Vehicles used to transport goods or people are classified as commercial usage. This latter group can be further subdivided depending on the cargo they carry.
Where you most often drive is another consideration taken into account. Underwriters often define this by the ‘operating radius’ your vehicles typically drive within. Most often this is measured from a vehicle’s principal place of garaging. A local radius is considered 50 miles or less, an intermediate radius is 51 to 200 miles, and 200 or more miles is considered a long-distance classification. Interestingly, private-passenger vehicles typically have no radius restrictions assigned to them.
The exception to all of this is if your vehicle is most active in a particular geographic area outside its home-based location. For example, a vehicle that is principally garaged in Chicopee but chiefly operates in the Boston area may be assigned by the underwriter to the much-higher-rated Boston territory.
Depending upon your company’s driving record, you may earn a credit. If the driving record proves better than your industry’s norm, you may qualify for a credit. Conversely, if your driving experience exceeds the norm, your premium will be debited. Typically a business with five or more vehicles is subject to this experience rating. A formula taking into account similar-type businesses or industry standards is applied to measure your performance.
It is important to obtain a copy of the rating to ensure that it is accurate. Review this carefully with your agent to identify potential errors. Inaccurate calculations can cost your business plenty.
Finally, whom you select as your drivers significantly impacts your premium. Business owners must pay close attention to their driver selection. A driver-qualification program is a great and simple tool to manage who is allowed to operate your vehicles. Make certain your drivers remain eligible to operate your vehicles and have clean driving records. It is a great way to avoid driving up your insurance costs.

Corey Murphy is a certified insurance counselor and president of First American Insurance Agency in Chicopee; (413) 592-8118; [email protected]

Construction Sections
Baystate Project Lifted a Troubled Construction Sector

BaystateDPartLate in 2008, just as the economy began to slide into the Great Recession, officials at Baystate Health were having second thoughts about moving forward with their planned $250 million Hospital of the Future expansion. They eventually decided to press on, much to the relief of hundreds of workers in the construction trades — most of them local — who found the project a lifeline at a time when opportunities were scarce.

When the economy fell off a cliff late in 2008, the construction industry was already suffering — and the region’s largest health system had a big decision to make.
The issue before Baystate Health was whether to move forward with a $250 million expansion and renovation project dubbed the Hospital of the Future. Project executive Stanley Hunter said there was real anxiety about breaking ground when the economy was on such shaky ground.

Stephen Hunter

Stephen Hunter says more than two-thirds of construction jobs on the Hospital of the Future went to people who live in Springfield or the surrounding region.

“We were at the point in 2008 when we were set to start construction, and that was the time — in September and October — when the economy took a real dive, and we really thought it through, as a campus, whether we should continue the project or not,” Hunter told BusinessWest.
“We went back to reassess the finances and the long-term medical impact, and through the course of a four-month evaluation, in early 2009, we decided to stay with the project,” he went on. “We held off on going to financing and making a final decision until the board decided to move forward with it, but that was a big decision, and it has really proven to be a huge benefit for the community that we went forward.”
The first beneficiaries — long before patients will reap the benefits of a new, state-of-the-art Heart and Vascular Center and, later this year, a new Emergency Department — were the builders and tradesmen — and women — who have reaped the benefits of steady work for almost three years, at a time when their industry really needed the jobs.
“As the project came along, a lot of the construction industry — union and non-union — was at an all-time high in unemployment,” said Fiore Grassetti, business agent and industry analyst with the Ironworkers Local Union No. 7. “This came at the perfect time for the building trades.”
That’s clear from a look at the numbers.
“Obviously, the crews there were different at various times, but we consistently had 250 to 300 construction workers on the site for more than two years,” Hunter said. “That’s a huge amount of jobs, and what we’ve been able to do is focus on using as much of the local workforce as possible.”

Hire Ground
That was certainly important for Grassetti.
“We wanted to protect our labor agreement with the hospital and guarantee that local workers were put on this project, as well as responsible contractors, meaning companies with health insurance and pension plans, and who actually train with apprenticeship programs,” he said. “The hospital really went out of its way to make sure the reps were contacted and local workers got the jobs.”
To break it down, Hunter tracked four categories of workers who labored on the project: those based in Springfield, those from outside the city but within the Pioneer Valley region, females, and minorities. Two-thirds of all workers over the course of the project to date have hailed from the city or surrounding region — “well beyond the expectations we had at the beginning of the project,” he said — while women and minorities comprised 15% of the workforce.
“That was something we were very pleased with, seeing those jobs stay local,” Hunter added. “We worked with local trade organizations to set that as a priority at the very outset of the project. And they were responsive to that; they wanted to help us, to really emphasize that as an important part of this project.”
Baystate also tracked the businesses it hired to work on the Hospital of the Future, and 40% of them are headquartered locally, while 55% of employers fall into one of the four aforementioned categories (Springfield-based, regional, female, minority).
“It’s been interesting; some guys — and women — worked on the job the whole three and a half years, like the company that did the site work and landscaping, Northeast Contractors out of Ludlow,” Hunter said. “They were here in the beginning, doing excavation, and are still here now doing landscaping.”
Meanwhile, Adams and Ruxton of West Springfield was brought on for casework, millwork, and general carpentry for the project. “They’re a small company that we’ve used before this project on smaller jobs, and when this larger job came up, they were able to help out with part of it.”
Baystate also hired Harry Grodsky & Co. for HVAC work. “Grodsky did mechanical systems and plumbing systems; they’re a pretty common name here, a Springfield company,” Hunter said. “They’ve been a great partner on this job, but also on many jobs.”
The new building is 640,000 square feet in size, which Baystate is fitting out in phases. Just under half the building will house the Heart and Vascular Program, which comprises an ICU floor for the most serious patients, two regular inpatient floors, space for outpatient procedures, and a spacious operating suite with cutting-edge technology and large monitors looming above the surgical tables.
Later this year, Baystate will unveil a much larger, state-of-the-art Emergency Department in the new building, replacing a current ER that was designed to handle much less traffic than it does. Other floors have been left unfinished as shell space so that the hospital can meet future needs that may not be apparent right now — hence, the Hospital of the Future moniker.

Kid Stuff
Hunter said many workers take pride in helping to build a facility they might have visited in the past, or might need in the future.
“This is the hospital they’d go to if there was an issue with their health or their family’s health,” he said. “To have worked here for that amount of time, they’re very proud of that.”
For many of the ironworkers, the project got personal when they started working under the watchful eye of patients and staff at Baystate’s Children’s Hospital. The kids would watch the workers, who in turn started communicating with hospital staff.
“The steward was talking to the nurse and heard a Wii game got broken or stolen from the hospital, so the guys took up a collection to replace the game,” Grassetti said. “it just snowballed from there.”
Indeed, not only did the workers supply a new Wii, but they added a new Xbox for older pediatric patients, several other donations of presents, and about $1,000 from their pockets to purchase whatever else the kids might want. Later, workers discovered that the chidren’s play area was outdated, “so we hit other contractors up, other unions, and some side organizations I worked with, and we collected about $10,000 to help fix up the children’s room.”
“From there,” Grassetti added, “it snowballed even more.”
He was referring to the beams.
Those started with a sign, one of many the children had set to making for the ironworkers. It read, “hello down there from the kids up here.”
The kids started using the signs to introduce themselves, and the workers started spray-painting their patients’ names on the steel beams they sent up into the grid — similar to the well-documented beam-painting effort at the Dana Farber Cancer Institute during one of its expansions several years ago.
“Every day, we’d get a couple new names and put them on the beams, and fly the beams up,” he recalled. “It was all about putting smiles on kids’ faces. Something as simple as a name on a beam could do that.”
The effort even extended to the topping-off ceremony, which incorporated a white beam decorated with the kids’ painted handprints, as well as a pillowcase fashioned into an American flag, teddy bears, and other items.
“It was pretty exciting to be part of that project, to work with the nurses and see the smiles on the kids’ faces,” Grassetti said. “We don’t get a lot of those opportunities, to give back to the community quite like that.”
Hunter appreciates those gestures. “They made some major donations to the Children’s Hospital and made several collections for gifts around Christmas. It was a really positive experience.”
Still, it all comes back to having the opportunity to work at a time when so many in the construction industry are still struggling.
“We had high unemployment in our industry, across the building trades,” Grassetti said, “and this put a lot of our members back to work, in many cases just as their unemployment benefits were running out. Baystate really did the right thing by working with us and with all the building trades and giving us the opportunity to work with them. We formed a good relationship.”

Joseph Bednar can be reached at [email protected]

Agenda Departments

Wine Tasting
Feb. 10: The Wistariahurst Museum in Holyoke will host its annual “I Love Wine Event” from 6 to 8 p.m., sponsored by Liquors 44 and Historic Holyoke at Wistariahurst. Wines will be available from distributors including Bay State Wines, MS Walker, Commonwealth, and United. Light refreshments will be provided. Advance tickets are $25 each or $40 per couple; door admission is $30 each or $50 per couple. Reservations are necessary. For more information, call the museum at (413) 322-5660. The museum is located at 238 Cabot St.

Historical Lecture
Feb. 20: Professor emeritus Alan Swedlund will lecture on his 30-year research on the history of mortality in the Connecticut Valley as part of the Wistariahurst Museum’s Historical Lecture Series. Swedlund’s program is planned at 6 p.m., and there is a $5 suggested donation. Swedlund’s approach incorporates medical history with social history, and he uses documents from valley towns to identify epidemics and causes of death. Diaries, letters, newspapers, and other sources combine to tell the story from any given town. The lecture will be accompanied by historical images from the area. Swedlund is professor emeritus of Anthropology at UMass Amherst. His most recent book is titled Shadows in the Valley: A Cultural History of Illness, Death and Loss in New England, 1840-1916. The Wistariahurst Museum is located at 238 Cabot St., Holyoke. For more information, call the museum at (413) 322-5660 or visit www.wistariahurst.org.

Anthropologist Lecture
Feb. 22: Susan Darlington, a professor at Hampshire College, will discuss her latest book, The Ordination of a Tree: The Thai Buddhist Environmental Movement, as part of the Ovations series at Springfield Technical Community College. Darlington has studied the work of Buddhist monks in Thailand who are engaged in rural development and environmental conservation. The science-based talks, at 10:10 a.m. and 11:15 a.m. in Scibelli Hall Theater, will also include insights into religion and social activism. The presentations are free and open to the public. For more information, call (413) 755-4233.

Author Lecture
March 28: Internationally acclaimed author Tom Perrotta will read from his upcoming novel, The Leftovers, at 10:10 a.m. and 11:15 a.m. in Scibelli Hall Theater, as part of the Ovations series at Springfield Technical Community College. The talks are free and open to the public. Two of Perrotta’s books, Election and Little Children, have been made into movies, and five novels have been national bestsellers. For more information, call (413) 755-4233.

Slam Poet Lecture
April 13: Taylor Mali, a former high-school teacher who has emerged from the slam-poetry movement as one of its leaders, will discuss his performances at 10:10 a.m. and 11:15 a.m. in Scibelli Hall Theater, as part of the Ovations series at Springfield Technical Community College. The talks are free and open to the public. For more information, call (413) 755-4233.

Difference Makers
March 22: BusinessWest will stage its fourth annual Difference Makers Celebration at the Log Cabin Banquet & Meeting House in Holyoke. The program recognizes area individuals and organizations that are truly making a difference in this region. The winners will be announced in the Feb. 13 edition of BusinessWest. The awards ceremony will feature entertainment, butlered hors d’oeuvres, and introductions of the winners. Tickets are $55 per person, with tables of 10 available. For more information or to order tickets, call (413) 781-8600, e-mail [email protected], or visit www.businesswest.com.

Outlook 2012
Feb. 22: The Affiliated Chambers of Commerce of Greater Springfield will stage its annual Outlook program at a new venue, the MassMutual Center in downtown Springfield. The event will feature co-keynote speakers: U.S. Rep. Richard Neal will provide the federal outlook, and Michael Widmer, president of the Mass. Taxpayers Foundation, will provide a state perspective. Tickets are $50 person, with tables of 10 available for $475. For more information, call (413) 755-1313, or visit www.myonlinechamber.com.

40 Under Forty
June 21: BusinessWest will present its sixth class of regional rising stars at its annual 40 Under Forty gala at the Log Cabin Banquet & Meeting House in Holyoke. Nominations are currently being sought for the popular program, which recognizes young people in realms including business, education, health care, nonprofits, government, law, and many others. Nominations, due Feb. 17, will be scored by a team of five judges. The 40 highest scorers will be feted at the June 21 gala, which will feature music, lavish food stations, and introductions of the winners. Tickets are $60 per person, with tables of 10 available. Early registration is advised, as seating is limited. For more information, call (413) 781-8600, ext. 100, or visit www.businesswest.com.

Opinion
Workforce Training Is Good Business

There are 13 million unemployed Americans and approximately 3 million job openings in the U.S. today. According to the Mass. Department of Workforce Development, this 4:1 ratio of unemployed people to unfilled jobs is mirrored in our state as well. Despite high unemployment, a 2011 report found that more than half of business leaders, and 67% of small-business leaders, face a challenge recruiting employees with the right education and training. In Massachusetts, these unfilled jobs in the health care, education, and manufacturing sectors pay between $40,000 and $60,000 per year.
How can this be?
Primarily, it’s the result of a skills mismatch brought on by technological change, structural economic shifts, and decades of underinvestment in the types of basic skills and occupational training that are essential for a thriving economy. We need an education system that focuses not on a college degree, but on preparation for the jobs of today and tomorrow as identified by employers, not politicians and economic forecasters. And with the rapid evolution of technology, we need programs that continually train and retrain adults.
Middle-skill jobs across the country pay well and contribute similarly through income-tax revenues paid by employees and reduced unemployment payments. Many of these jobs involve specialized training on highly complex manufacturing machinery or in hospitals and labs. Regions can achieve economies of scale by partnering with vocational schools and community colleges to do this training on shared equipment with shared curricula.
Western Mass. faces a chronic shortage of skilled machinists in our high-technology, precision-manufacturing industry. This month alone, three companies in Hampden County are looking to hire more than 40 machinists at salaries that average $60,000. Without these workers, companies face unwelcome choices such as subcontracting the work to outside shops or expanding in other states with more skilled machinists.
We’ve had success in Western Mass. by developing public-private partnerships to support this type of skills training, but employers can’t do it alone. The partnership between employers in the Western Mass. Chapter of the National Tooling and Machining Assoc., the Regional Employment Board of Hampden County (REB), the state, and area school systems and community colleges has leveraged resources and created or retained good-paying jobs for over 1,000 Western Mass. residents.
Precision machinists, nurses, elevator mechanics, and EMTs require a foundation of advanced math, metrology, physiology, biology, etc. that employers cannot be expected to provide. Skills training by professional educators combined with on-the-job internships should be part of our public education system. And if properly aligned with available jobs by hiring employers, this will strengthen our economy by putting people back to work.
Congress should examine the business case for skills training:  the above-mentioned 3 million job openings, if filled, could generate over $9 billion in annual taxable income (assuming a low average salary of $30,000 per year). With a federal tax rate of 15%, this would provide more than $1.3 billion in annual payroll taxes as well as state tax revenues and reduced unemployment benefits. With estimated training costs of $2,500 per person, the government would recover its investment in less than a year.
Federal funding for workforce-training programs declined by almost 20% (adjusted for inflation) between 2002 and 2012, with a 29% decrease in funding for Workforce Investment Act programs for adults, dislocated (laid-off) workers, and youth.
Instead of improving the system to help workers enter or return to the labor market and match employers with skilled workers, Congress has proposed eliminating it or consolidating it to the point of elimination. Cuts to federally funded workforce training would hurt Massachusetts’ small-business owners, stifle job creation, and slow economic growth.
Our elected representatives, including Sen. Brown and Sen. Kerry, need to stop their colleagues from acting in direct opposition to the economic interests of Massachusetts and the needs of our state’s workers and employers.
These programs, when properly structured and administered, pay for themselves. The Western Mass. model developed by the local Machining and Tooling Assoc. and the REB can provide the case study for success. v

Larry Maier is president of Peerless Precision Inc. in Westfield and co-president of the National Tool and Machining Assoc. of Western Mass.; [email protected]

Commercial Real Estate Sections
Enterprise Center Has a New Lease on Life

Dan Touhey, a partner in psi 91, which develops and distributes inflatable products for Under Armor

Dan Touhey, a partner in psi 91, which develops and distributes inflatable products for Under Armor, is one of many new tenants in the Springfield Enterprise Center.

One of the main marketing taglines for the Scibelli Enterprise Center at Springfield Technical Community College is ‘Business Building.” This explains both what the facility is — a facility housing small businesses, said Director Marla Michel — and what it does, which is to help certain clients develop, mature, and get to the next level. In recent years, the focus has been primarily on the former, she said, noting that, as the economy sagged, the emphasis was on filling space. Moving forward, the shift will be more to the latter, which has always been the primary mission.

Marla Michel acknowledged that Square One is not exactly the kind of tenant that the creators of the Scibelli Enterprise Center, a business incubator, had in mind when they opened its doors more than a dozen years ago.
The provider of early-childhood-education programs and related services is certainly not a startup (in fact, it’s one of the oldest businesses in Springfield), and it’s not a fledgling outfit looking for advice and technical support on how to get to that proverbial next level — two variations on the desired-tenant profile.
But the institution needed office and operations space after its headquarters and other facilities on Main Street were destroyed in the June 1 tornado, and the Technology Park at Springfield Technical Community College, as well as the so-called SEC, which is part of that complex, provided an attractive, accessible, and affordable option.
“So by taking seven suites in the SEC, Square One has helped forge a classic win-win scenario,” said Michel, the SEC’s director, adding that the company moves into centrally located Class A space not far from where it was before, while the enterprise center gains what she called “much-needed breathing room.”

Marla Michel

Marla Michel says Square One’s arrival at the SEC provides the facility with much-needed breathing room to conduct strategic planning.

Elaborating, Michel said the SEC, through its arrangement with Square One and other recent additions to the tenant roster, has gained a strong measure of financial stability and thus the time and opportunity to conduct some strategic planning, marketing, and other steps to attract more of the type of tenants that those aforementioned creators have in mind.
Companies like psi 91, which moved in just over a year ago.
Started by two former Spalding executives who opted to stay in the region when the corporation left Springfield for Kentucky in 2009, the venture — which takes its name from its function (inflatable products and their unit of measure, pounds per square inch) and its location, off the interstate — develops and distributes products for apparel maker Under Armor. A basketball and football were brought to the market last year, its first in operation, and a volleyball and soccer ball will follow later in 2012 (a rugby ball is also in the works).
There’s also Tickets for Groups, which, as the name suggests, serves groups of 15 or more looking for tickets for everything from Rockettes performances to the current traveling show known as “Bodies: the Exhibition,” touted as a celebration of the human form. Deb Axtell, who started the venture after working as director of group sales for Radio City Music Hall and then Disney Theatricals, and moved into the SEC in 2010, said the King Tut exhibit that was in Discovery Times Square for several months before recently returning to Egypt was a “home run” for the company, and she’s looking for the another show that will fit that description.
Another recent arrival is Barkley Logistics, a third-party logistics company owned by Robin Sauve, that arranges the transportation of shipments between two points, with palletized freight — usually much less than a truckload — comprising much of the business volume. There is a separate division, called My Luggage Valet, which will do the same thing with suitcases, golf clubs, and other items that one may not want to trust to an airline.
The most recent addition, meanwhile, is Sanitas Solutions, a technology partner focused specifically on helping individual physicians and practice groups make the transition to electronic medical records.
To attract more ventures of this type and thus secure long-term sustainability for the SEC, Michel is preparing what amounts to a new strategic plan. As part of that process, the college has hired a consultant, Jim Robbins, a noted expert on business incubators and innovation clusters, to help develop a game plan for the facility as well as implementation processes.
Summing up what Robbins has told the college thus far, Michel said he’s suggested strongly that it undertake revenue-diversification efforts, meaning more income streams — “right now, what we have is the state [through the college] and rent, which is a model that’s not sustainable,” she explained. Also, he has suggested a more regional approach to marketing, greatly increasing the number of incubator tenants, and also providing services outside the walls of the SEC to make it more of a regional resource.
“Once we take location off the table and start shoring up the services an incubator provides, that an enterprise center provides, we can potentially have a much larger economic impact,” she explained, adding that successful incubators around the country have both ‘resident’ and ‘non-resident’ programs, and the SEC will look to emulate those models.

What’s In the Cards?
Like most people in business and education (she’s in both, technically), Michel, who splits her time between the SEC and UMass Amherst, where she serves as executive director for economic development and regional partnerships, has a stack of business cards on her desk. Only, her stack is unlike almost any other.
Her cards are what she calls “three-dimensional.” They fold into small, four-sided cubes, many of which she has sculpted into a multi-level tower. Printed inside the cube are the words ‘business’ and ‘building,’ which, depending on which order they’re arranged, explains both what the SEC is and what it does, said Michel.
And moving forward, it would like to put much more emphasis on the latter half of that equation, and this explains why Square One’s move to the facility is so important.
In recent years, the SEC has suffered from high vacancy rates (near 50% at the low point) that have stemmed from several factors, but mostly the sluggish economy and a lack of aggressive marketing, said Michel. She noted that her initial focus when she arrived 20 months ago, as part of a cooperative agreement between the college and the university, was much more on filling space than the mission of incubating fledgling companies.
Indeed, not long after she took the helm, college administrators gave her the go-ahead to bring in tenants that were non-incubator-related, with the over-arching goal of lessening the financial burden imposed by the center on the college.
She’s added several companies and agencies that fit that description, one of many initiatives designed to help position the center for a stronger, more impactful future when it comes to economic development and all-important job creation.

Deb Axtell, owner of Tickets for Groups

Deb Axtell, owner of Tickets for Groups, says many SEC incubator tenants leave kicking and screaming — and she intends to do the same.

These steps include bringing more space on line, or into the ‘leaseable’ category, by taking some unused or underutilized square footage and retrofitting it for paying tenants. She’s also reduced the rates on suites, from $800 per month to $560, and created what is now known as the E-Zone, located in the former student incubator. It houses cubicles leased by budding entrepreneurs who don’t require a suite but do need some space and an Internet connection to advance their business concept.
Meanwhile, she’s also been building what she calls “business clusters” within the center. There are now three of them — Cleantech, IT, and Education, and the hope is that a growing critical mass will help attract other ventures in each category.
With these and other efforts, as well as the relocation of Square One following the tornado, Michel has built up occupancy to near capacity, with tenants falling into four categories:
• Incubator Clients, now totaling six, including psi 91, Tickets for Groups, and Barkley Logistics;
• Anchor Tenants, including the Mass. Small Business Development Center Network, SCORE, and the Small Business Administration;
• SEC Tenants, or non-incubator clients, including Square One, Alliance Medical Gas, CTC Electric, the Achievement Network, and the Veritas Preparatory Charter School; and
• STCC Tenants, or agencies related to the college, such as T.W.O., the workforce-training initiative undertaken in collaboration with Holyoke Community College, and the MassGreen Initiative, a program designed to train people for jobs in green-energy businesses.
The goal moving forward, Michel said, is to gradually increase that number of incubator tenants, but also enable the SEC to have a greater impact on economic development through both resident and non-resident programs aimed at helping ventures survive their first few years in operation and stay in business rather than failing or selling out.
“Our region is lacking services that help companies that are already in business,”she explained. “We have a fair amount of services for those who want to get into business, but when they’re in business, we have to make services more accessible that will teach companies how to grow rather than sell.”
At the moment, she focused on steps ranging from more aggressive marketing of the square footage to simply telling the stories of the people who now have a business address of 1 Federal St., Building 101.
They are all unique, but with several common denominators, including, in many cases, a need and desire to have a place to bring potential clients other than the corner Dunkin Donuts.

A Fortuitous Bounce
Such was the case with Dan Touhey, a former sales executive with Spalding (and BusinessWest 40 Under Forty winner) who opted not to relocate his family when the corporation that owned the sporting-goods maker moved it to Kentucky.
He took his career in a few directions, including a stint in business consulting and an assignment teaching management at UMass, where he met Michel. Later, after he and former Spalding colleague John Frank decided to launch psi 91 together, Touhey asked Michel if the partners could use one of the conference rooms in the SEC to meet with Under Armor executives.
“We had been meeting at Panera Bread or wherever we could grab a cup of coffee, and it just wasn’t working for us to have confidential conversations in that environment,” he told BusinessWest, adding that, to make a long story a little shorter, he and Frank inked their first contract in that conference room and shortly thereafter decided to move into the SEC. Meanwhile, Michel created a new policy whereby any pre-revenue-stage company can use the conference room at the enterprise center.
Just over a year after opening, Touhey and Frank can claim a number of success stories. For example, if one was to look really hard — and past the new (and many would say garish) uniforms worn by the University of Maryland football team last fall — he or she would notice that the team’s offensive unit uses an Under Armor pigskin.
“That’s how it works in college football — the offensive team can decide what ball it wants to use,” said Touhey, adding that several squads that wear Under Armor apparel are now using its footballs and basketballs as well.
“The beauty of our relationship with Under Armor is that we can come under the umbrella of the master brand of that company,” he explained. “And they have a very strong relationship with about 15 colleges and universities; for example, the University of Maryland is an all-Under Armor school, and it used our football last year.
“In basketball, it’s a little different; you play the ball the home team decides to use,” he continued. “If you go Auburn, Texas Tech, Towson University, LaSalle, Lamar, the University of Utah, and others, they’re playing with our basketball.”
The company has added staffing, including other former Spalding employees, and is already tight on space in its 635-square-foot facility. Touhey anticipates that psi 91 will have to move to larger quarters sometime in 2013, an eventuality he’s not looking forward to, because he likes the building, gains from the expertise of Michel and others, and enjoys sharing war stories with other entrepreneurs.
Axtell can relate. She’s not looking to move out either, although she understands that ‘graduation,’ as it’s often called, is part of the incubation process.

Robin Sauve, owner of Barkley Logistics

Robin Sauve, owner of Barkley Logistics, says one of the main benefits from being an incubator tenant is being able to learn from people who have “been there and done that.”

For now, she’s looking for the next King Tut exhibit, for which she booked a number visits to Gotham. “I could use another blockbuster,” she said, noting that field trips comprise a large part of this business, which she started on a lap-top computer in her bedroom eight years ago after tiring of the commute from Western Mass. to New York while working for Radio City Music Hall and Disney.
She eventually moved into a tiny office in East Longmeadow and quickly outgrew that. Thus commenced a search for larger and better quarters that ended at the SEC; she moved in just before Michel arrived.
She told BusinessWest that she’s now up to six employees — four in the SEC, and two who work out of their homes in New York — and is in the process of “taking a snapshot” of her business and writing a new five-year plan.
Meanwhile, Sauve is focused more on crafting a two-year plan for Barkley Logistics, which she created not long after Premiere Logistics, which she served as vice president of business administration before it lost its line of credit, then its reputation, and then most of its customers.
She bought the equipment (mostly hardware and software) used by Premiere,  and, seeking a clean break from that venture, started Barkley Logistics, which has been growing steadily since its formation, thanks in large part to support from the panel of advisors assigned to the company as part of its incubation experience.
“There’s an enormous sense of affirmation when you’ve met with people who have been there and done that,” she explained. “The people on my panel, designed to meet my specific needs, have been instrumental.
“As much as I have a general business-management background, I’m not an accountant,” she continued, noting that there is one on her panel who has been helpful with the many financial aspects of operating the venture. “The same with marketing — I’m not an advertising person, so some of the tips I’ve been given on that have been tremendous.
“Just hearing from other people who have run their own business and been through many of the same things I’m going through is a great benefit,” she went on. “It’s comforting to hear them tell me I’m on the right track, and also to know that, if I was doing something wrong, they’d be the first to let me know about it and steer me back in the right direction.”

Room for Improvement
Axtel told BusinessWest that she knows how it’s supposed to work in a business incubator.
“You’re supposed to get the support you need, spunk up, and then you’re thrown out,” she said. “I’ve heard stories that people exit here kicking and screaming, and I hope to be one of those.”
But exit she will — eventually — because, while the SEC is indeed a business building, the focus for the future will be more on what the facility does. And with that in mind, Michel intends to take full advantage of the breathing room that she’s been given.

George O’Brien can be reached at [email protected]

Departments Incorporations
The following business incorporations were recorded in Hampden, Hampshire, and Franklin counties and are the latest available. They are listed by community.

AMHERST

Polymer Standards Service-USA Inc., 160 Old Farm Road, Suite 1, Amherst, MA 01002. John McConville, same. Importing and selling chromotology products.

EAST OTIS

Well of Salvation Ministries Inc., 146 Ridge Ave., East Otis, MA 01029. James Wackerbarth, same. To drill water wells and provide safe and clean drinking water.

HOLYOKE

National Deaf Basketball Organization Inc., 7 Green Willow Dr., Holyoke, MA 01040. Donnie Schwebke, 9630 West Coldspring Road, Greenfield, WI 53228. Organization designed to provide eligible players an opportunity to develop their basketball skills and play basketball competitively.

Standen & Gallagher Insurance Agency Inc., 1763 Northampton St., Holyoke, MA 01040. Paul Gallagher, 1763 Northampton St., Holyoke, MA 01040. Insurance Agency.

LEE

Skyline Ridge Homeowners Association Inc., 10 Park Place, Lee, MA 01238. Sean McGlone, 49 Turtlecove Lane, Huntington, NY 11743. Managing the affairs of Skyline Ridge subdivision in the Town of Becket, MA.

LEEDS

Soldier On Development & Management Company Inc., 421 North Main St., Building 6, Leeds, MA 01053. Taylor Caswell, same. Development of housing for veterans, consultation and management of developments.

LONGMEADOW

Locivi Corp., 138 Longmeadow St., Longmeadow, MA 01106. John Kole, same. Development and sales of mobile-orientated platforms.

MIDDLEFIELD

RWB Farms Inc., 92 Skyline Trail, Middlefield, MA 01243. Laurence Kenneth Shorter, same. To provide shelter and care for homeless and unwanted animals.

NORTHAMPTON

West Street Properties Inc., 82 Coles Meadow Road, Northampton, MA 01060. Patricia Giangregorio, same. Residential property rentals.

PALMER

Yanming Inc., 16 Cedar Hill St., Palmer, MA 01069. Michael Yan, same. Restaurant.

PITTSFIELD

Omvistech Inc., 20 Meadow Ridge Dr., Pittsfield, MA 01201. Srinivas Lingutla, same. Software products and services, online services, and information-technology products.

SPRINGFIELD

Maahi Petrolium Corp., 491 Allen St., Springfield, MA 01118. Rakeshkumar Vyas, 8 Bulhill Road, Pittsfield, MA 01201.

R.B.C. Foundation Inc., C/O Sabrena Brantley, 40 Delmore St., Springfield, MA 01109. James Jiles, 504 Fort Pleasant Ave., Springfield, MA 01108. Provides youth services and athletic opportunities to at risk youth in the Western Mass. area.

Rana Supplies Inc., 337 East Columbus Ave., Springfield, MA 01105. Harbhajan Singh. 191 Elm St., East Longmeadow, MA 01028. Whole supplier for convenience stores.

S.A.E. Records Inc., 61 Keith St., Springfield, MA 01108. Denroy Morgan, same. Corporation is involved in all aspects of the music industry.

Seabrooks Inc., 47 Overlook Dr., Springfield, MA 01118. Christopher Seabrooks, same. Marketing services.

Shaili Love Inc., 500 Page Blvd., Springfield, MA 01104. Suresh Patel, 176 Rolling Green, Amherst, MA 01002. Convenience store.

St. Sauveur Associates Inc., 72 Sterling St., Springfield, MA 01107-1339. Michael James McMann, same. Manufacturers sales agency.

T3KDAD Inc., 692 Carew St., Springfield, MA 01104. Zachary Lamour, same. Software application development with sales.

The Corporation for Epiphany Development Corporation, 339 State St., Springfield, MA 01105. Timothy Baymon, 57 Thompson St.  Springfield, MA 01109. Establish ventures for other corporate entities.

Vann Group Resources Inc., 819 Worcester St., Springfield, MA 01151. Michael Vann, 149 Pitroff St., South Hadley, MA 01075. Employee staffing and management services.

WEST SPRINGFIELD

Vision Source West Inc., 180 Westfield St., West Springfield, MA 01089. Brian Wadman, 100 Meadow Lane, Greenfield, MA 01301. Optical services.

WESTFIELD

Perfect Climate Inc., 649 Montgomery Road, Westfield, MA 01085. David Gourley, same. HVAC and mechanical systems.

Vellano Servistar Inc., 199 Servistar industrial Way, Unit One, Westfield, MA 01085. Joseph Vellano, 7 Hemlock St., Latham, NY 12110. Municipal water, sewer, and drainline supply house.

Chamber Corners Departments

ACCGS
www.myonlinechamber.com
(413) 787-1555

• Feb. 1: February Business@Breakfast, 7:15 a.m., Ludlow Country Club. Networking beginning at 7:15 a.m., breakfast buffet opens at 7:30 a.m., and program begins at 7:55 a.m. Cost: $20 for members, $30 for non-members. Seaso• tickets sponsor: Freedom Credit Union. Sig• sponsor: FastSigns. Coffee bar sponsor: YMCA of Greater Springfield. The chamber is still looking for sponsors for this breakfast.  Contact Cecile Larose at (413) 755-1313 or [email protected] for information.

• Feb. 7: Springfield Chamber of Commerce Executive Directors’ Meeting, 12-1:30 p.m., EDC Conference Room, Springfield.

• Feb. 8: Professional Women’s Chamber Critical Thinking @ Problem Solving Symposium, 11:30 a.m. to 1 p.m., Max’s Tavern, MassMutual Room, Springfield. Cost: $25 for members, $25 for non-members.

• Feb. 8: February After5, 5-7 p.m., Chez Josef. Joi• fellow chamber members for a• evening of networking, food, and a cash bar. Cost: $10 for members, $20 for non-members. Sponsorships are available. Contact Cecile Larose at (413) 755-1313 or [email protected] for more information.

• Feb. 10: ACCGS Legislative Steering Committee, 8-9 a.m., TD Bank Conference Center, Springfield.

• Feb. 15: ERC Board of Directors’ Meeting, 8-9 a.m., the Gardens of Wilbraham, Community Room, 2 Lodge Lane, Wilbraham.

• Feb. 15: ACCGS Ambassadors Meeting, 4-5 p.m., EDC Conference Room, Springfield.

• Feb. 16: ACCGS Executive Committee Meeting, 12-1 p.m., TD Bank Conference Room, Chamber Offices.

• Feb. 16: Springfield Leadership Institute begins. For information, contact Lyn• Johnso• at [email protected].

Amherst Area Chamber of Commerce
www.amherstarea.com
(413) 253-0700

• Feb. 2: Chamber After Five, 5-7 p.m., Lit Mezze Lounge and Nightclub. Cost: $5 for members, $10 for non-members.

• Feb. 8: Chamber Breakfast, 7:15-9 a.m., the Lord Jeffery Inn. Guest Speaker: Biddy Martin, president, Amherst College. Cost: $12 for members, $15 for non-members.

Chicopee Chamber of Commerce
www.chicopeechamber.org
(413) 594-2101

• Feb. 15: Chicopee Chamber Salute Breakfast/Annual Meeting, 7:15-9 a.m., Castle of Knights, 1599 Memorial Dr., Chicopee. Cost: $19 for members, $26 for non-members preregistered.

• Feb. 22: Chicopee Chamber Business After Hours, 5-7 p.m., Hu Ke Lau, 705 Memorial Dr., Chicopee. Joint networking event with the Massachusetts Latino Chamber of Commerce. Cost: $5 for members, $15 for non-members pre-registered. Sig• up online at www.chicopeechamber.org, or call (413) 594-2101.

Frankli• County Chamber of Commerce
www.franklincc.org
(413) 773-5463

• Feb. 24: Breakfast Series, 7:30-9 a.m., Chandler’s at Yankee Candle, Deerfield. Topic: “I Love My Job” — a panel of local speakers happy i• their work. Sponsored by Yankee Candle Co. Cost: $12 for members, $15 for non-members.

Greater Holyoke Chamber of Commerce
www.holycham.com
(413) 534-3376

• Feb. 15: Chamber After Hours, 5-7 p.m., Mrs. Mitchell’s Kitchen, 514 Westfield Road, Holyoke. Sponsored by Holyoke Credit Union. Cost: $10 for members, $15 cash for non-members. Make a reservatio• by calling the chamber at (413) 534-3376 or online at holycham.com.

• Feb. 17: Legislative Luncheon, 12-2 p.m., Log Cabi• Banquet & Meeting House. Keynote speaker: Therese Murray. Cost: $36. Purchase tickets by calling the chamber at (413) 534-3376 or online at holycham.com.

Northampto• Area Young Professional Society
www.thenayp.com
(413) 584-1900

• Feb. 9: February NAYP Networking Event 5-8 p.m., the Clario• Hotel & Conference Center, One Atwood Dr., Northampton. For more information, visit www.thenayp.com.

West of the River Chamber of Commerce
www.ourwrc.com
(413) 426-3880

• Feb. 2: Nighttime Networking event, 5 p.m., BMW of West Springfield, 1712 Riverdale St. Cost: free for members, $10 for non-members. For more information, contact the WRC at (413) 426-3880 or e-mail [email protected].

Greater Westfield Chamber of Commerce
www.westfieldbiz.org
(413) 568-1618

• Feb. 6: Mayor’s Coffee Hour, 8-9 a.m., Elm Street Diner, 266 Elm St., Westfield. Mayor Knapik welcomes you to hear about our the city and to bring any questions, concerns, or ideas. The event is free. Call Carrie Dearing at (413) 568-1618 to register.

• Feb. 15: February WestNet, 5-7 p.m., Tekoa Country Club, 459 Russell Road, Westfield. Guest speaker: Rich Rubin, executive director of the America• Red Cross Westfield Chapter. Cost: $10 for members, $15 cash for non-members. Networking, cash bar, and free hors d’oeurvres. Call Carrie Dearing at (413) 568-1618 to register.

Restaurants Sections
Success at Fitzwilly’s Comes from a Carefully Crafted Atmosphere

Fred Gohr

Fred Gohr says Fitzwilly’s was an immediate success in the 1970s, and it has remained popular despite much stiffer competition in Northampton today.

When Roger Kirwood purchased Mike’s Tavern in 1974, the seedy bar near the railroad tracks was going out of business.
“It was an awful place,” he said. “And there was nothing happening in Northampton at the time. But I always had a burning desire to own a casual restaurant, and the city had caught my eye.”
Today, the eatery he named Fitzwilly’s (after the 1967 movie starring Dick Van Dyke) has not only stood the test of time, but has become a destination in its own right that continues to draw patrons of all ages who appreciate the comfortable, eclectic atmosphere, the good but inexpensive food, and the jovial staff. Many have worked there for more than 30 years and carried on the tone set by Kirwood, who was nicknamed ‘Captain Fun’ by his employees.
The pub-style décor that has charmed patrons for decades was carefully staged. Kirwood visited antique shops and purchased items he believed would become conversation pieces, along with a number of enormous, shining brass planters. He kept the tavern’s original bar, exposed the brick walls, and established a uniform for waitresses that consisted of form-fitting Danskin tops and full-length wraparound skirts.
He also had art pieces made for his restaurant, including a funky submarine emblazoned as the ‘U.S.S. Fitzwilly’ that hangs from the ceiling and was once a gas tank in an old airplane.
“He had a great eye for those sorts of things and a real talent for decorating,” said Fred Gohr, who was hired by Kirwood in 1978 to run the kitchen and today owns Fitzwilly’s with three partners.
But Kirwood takes no credit, and said the funky atmosphere wasn’t an original idea. “T.G.I. Friday’s was just starting up in New York City, and it was an overwhelming success. So I copied everything they did,” he explained. “I put junk and interesting stuff on the walls, created an inexpensive menu, and hired a neat staff. And the place was a raging success from the time it opened. There was nothing like it in town. It was jammed, and everyone in it was laughing all the time.”
Staff members were happy because they were making money, the patrons loved the silly names and odd combinations of foods on the menu, and the fun-filled, friendly ambiance proved to be contagious.
Kirwood said word of mouth spread quickly, and he soon had patrons driving from as far away as New Haven. Many skiers stopped on their way to the northern states, and the college crowd and their parents also loved the establishment. In fact, Fitzwilly’s brought a new crowd of people to Northampton, which encouraged other young entrepreneurs to open clothing stores and boutiques.
“Many people credit Fitzwilly’s and Roger Kirwood with the beginning of the turnaround in downtown Northampton,” Gohr said. “Fitzwilly’s was opened as an exercise in comfort and informality that, coupled with good food and drink, would make a lot of people happy. It worked, and continues to make people happy today.”

Learning Curve
Kirwood may have gotten the idea for the décor from the T.G.I. Friday chain, but his belief system played a major role in the mood of his new restaurant.
“When I bought the place, I had the idea that no one liked to go out and eat formally. It’s expensive, and you’d better know which fork to use, which impinges on the comfort zone,” he said. “I wanted to create a place that had no rules — just quality, good food, and personality. And everyone I hired was very friendly.”
Fitzwilly’s was not his first venture in the restaurant business. In 1967, at age 25, the former insurance salesman bought a building on Memorial Drive in West Springfield and created a restaurant that he named the Red Gertrude. “At the time, the Red Garter was a popular chain across the country, and I had a banjo fascination,” he said.
His budget was very limited, so he created tables from sawhorses and sheets of plywood and promoted the banjo music. The concept worked well for a while, but when Gertrude’s popularity began to wane, he changed the name to Sweet Charity’s and hired a different rock ‘n’ roll band each week. “But eventually that bombed,” he said.
His next venture was Fitzwilly’s, and he did his best to ensure that customers received outstanding service. There were also special trademarks, such as napkins sewn from kettlecloth that became so popular that patrons took them when they left to use as headbands or scarves.
Kirwood also relied on colorful and unusual marketing, such a full page newspaper ad he ran with just one word — “Delicious” — on the entire page, and included nothing else but his logo in small print at the bottom.
The rules for staff were simple — all of the brass railings had to be shined every morning, and anyone who answered the phone had to identify themselves by name. “The real charm came from the people I hired,” he said, adding that bartender Jeff Spooner was among them and still has a very strong following.
As time went on, Kirwood opened other Fitzwilly’s sites in a New Haven firehouse and in Bridgeport and Danbury, Conn. He also purchased the entire building the Northampton eatery was housed in and expanded the establishment, adding two more dining areas, a second bar, and a loft.

Attention to Detail
When Gohr took over, he changed little about Fitzwilly’s, although he continued to scour antique shops for unusual pieces. “Art is important in this town. We are proud to say that Northampton was voted the best small arts town in America a few years back,” he said.
“It’s also like a family here. We have customers we see many, many times each week. We don’t try to pretend to be a fancy, upscale restaurant. But people can be assured that, when they come here, they will get excellent food, quality and service. “
The back bar has been nicknamed ‘Spooner’s Bar,’ due to the beloved barkeep, who has developed a large following on Friday and Saturday nights. “This has really become a local gathering place,” Gohr said, adding that patrons start out as college students, get married, bring their families there, and also use the restaurant for business lunches.
“We are one of the few places in town that serves lunch with table service where people can get waited on,” Gohr said. “But lunch has always been one of our fortes. The majority of our lunch patrons are here on business.”
Gohr has watched Northampton change since he began his career there decades ago. “I remember when Fitzwilly’s was very busy in the late ’70s. At that time, Northampton didn’t have the shops and art scene it has today,” he said. “We relied on the locals and college students and staff, and although they are still a large part of our clientele, folks from out of town have become a big part of our customer base today.”
Although the number of excellent restaurants in Northampton has grown and the scene has changed dramatically, it hasn’t affected Fitzwilly’s.
“We do a lot to make sure we maintain consistent service,” said Gohr. “And I can’t say enough about how the longevity and success of this restaurant has been fueled by the staff.”
People have their favorite nooks, but a focus that has been maintained is the ample space between tables, designed to afford diners a good deal of privacy.
“It’s another reason we are successful,” Gohr said. “We could probably squeeze in at least another 40 seats, but it would take away from the comfort of the dining experience. And we understand and respect the fact that business folks need privacy.”
The most popular spot is the loft, which holds two tables. It’s known as ‘the roost,’ and it’s regarded as the best seat in the house, giving patrons a birds-eye view of the entire restaurant. But no matter where people sit, the experience is the same. “It’s fun here,” Gohr said.

Bottom Line
The atmosphere in the building originally built as a Masonic temple remains informal, and the chairs at Fitzwilly’s still don’t match. But generations of people have found a home there and have formed relationships with its longstanding employees.
“There really is something on the menu for every occasion,” said Gohr. “You can have a beer and share an appetizer or sit at a table and have a great filet mignon or the finest seafood available; we also have burgers and reubens and serve food until midnight. Folks know that, when other restaurants are closed, you can still get a bite at Fitzwilly’s.”
In short, it has never lost its style. “It’s the kind of place that is just a lot of fun,” Kirwood said. “It has stayed consistent since I opened it years ago. And that’s the whole story.”

Restaurants Sections
Restaurant Owners Hope to Emerge from Recession Stronger

Gina Campiti

Gina Campiti says the economics of the restaurant industry may have changed, but its focus on customers should not.

Area restaurants report increased numbers of people dining out. But is this a sign that the industry is out of the weeds? Numerous restaurant closures have been on the front pages for the past year, but most owners and managers say that, if a business has come this far, the year ahead promises to put a little more on their plates.

Reflecting on the three high-profile restaurants that have closed within a scone’s throw of her restaurant in the last year — Sitar, Onyx, and Pazzo — Gina Campiti said, “it was scary. It is scary.”
Campiti is the general manager of Samuel’s Sports Bar at the Basketball Hall of Fame, and for her, such closures aren’t good for her business and the spirit of healthy competition — but, most importantly, they’re not good for the city of Springfield.
“I feel terrible for those people that went out of business,” she said. “That’s an incredible loss of money for the owners, a loss for the staff, and a loss for those people who enjoyed the restaurants. It’s depressing in such high-profile parts of the city.”
But the space formerly housing Onyx isn’t dark anymore. The Spoleto Group, owner of seven area restaurants, including their namesake Italian dining room in Northampton, unveiled their latest “concept,” as Bill Collins calls them, this past summer. And with three bars and 450 seats, this second Mama Iguana’s location is anything but quiet.
Collins is the chief operating officer of the Spoleto Group, and he and owner Claudio Guerra both say this location has been one of the most exciting for the pair. “It’s our busiest location out of all our restaurants,” Collins said.
“The reason why is that, if you take a look at what has closed there,” he said, “places were selling food at $25 to $28 a plate, with $12, $15 martinis. And here we are, selling a quality house margarita for $7.50. We’re selling entrees for $9 to $12. Our focus is keep it cheap, keep it fun, and they will come. We’ve had great success with people reacting to our prices in this downturn.”

Bill Collins (right, with Claudio Guerra)

Bill Collins (right, with Claudio Guerra) says patrons respond to reasonable prices and a fun atmosphere.

Springfield isn’t alone in high-profile closures along all price points in the restaurant industry. As it navigates Chapter 11 bankruptcy, Friendly’s closed four regional branch locations in January, with another 37 shutting their doors across the country — all this in addition to 63 locations that closed nationwide in October. And Northampton has one fewer fine-dining choice, as the longtime haunt Green Street Café is set to close at the end of January.
At the same time, the nation’s restaurateurs are claiming a rebound in 2011 after two lean years. The National Restaurant Assoc. reports that restaurants added a net 230,000 jobs during 2011, their strongest performance since 2006. In addition, the restaurant industry finished the year only 20,000 jobs shy of fully adding back the 366,000 jobs lost during the recession. Complete recovery is expected in early 2012.
In talking to area restaurateurs, their news was more like fine wine than sour grapes, and in addition to some strong sales numbers, most offered that the gradual crawl out of the economic downturn has given them hope for the year ahead. If they made it this far, they said, 2012 holds the promise of a rebounding marketplace along with the business acumen honed from staying afloat through the Great Recession.
So, what’s on the menu for 2012? BusinessWest sat down with chefs and operators of area restaurants and gathered some food for thought.

Dish Network
Campiti unfolded the leatherbound menu on the table in front of her, which now offers 51 tapas dishes to choose from.
“This menu is a big change for us,” she explained, “and I think it’s headed in the right direction. We were successful with half the number of tapas that we had on there before. I’m hoping for even half of the excitement that we had after we changed our menu the last time.”
She explained that the little dishes are a different concept in dining, and the past year’s successful operations at Samuel’s are a direct result of that.
“Some would say, if you give people too much choice, they’ll never make up their mind,” she explained. “But you don’t need to make up your mind! A tapa is a small plate. Instead of concentrating on one entrée in front of you, you’ve got a bunch of different plates on your table that you pick from. You talk, you share. You put a big entrée in front of someone, and that’s the center of their attention. Put a variety of plates around the table, and it promotes conversation.”
Her restaurant’s location in the Hall of Fame building is a slam dunk, she said, even with the number of other eateries in close proximity.
“People go where people are,” she continued. “If it’s a busy area, people will come out. It’s an attraction. It’s not competitive to us. It can actually complement the businesses around it. Everyone has their own brand, and customers want variety.”
Ralph Santaniello, co-owner of the Federal in Agawam, agreed with that sentiment. “I’m of the belief that there aren’t just a set number of restaurants that can survive. If you do a good job, there’s room for everyone.
“At the end of the day,” he went on, “the more diners that we can keep in the Springfield area, that’s a good thing for all of the restaurants around us — not to lose them to Northampton or West Hartford.”
He and Mike Presnal, his business partner and head chef, said that 2011 was a strong year. “Not only were we up around 20% over the year before, saleswise,” Santaniello said, “but our gift-certificate sales were up even higher. In December, that was around 35%.”
Asked for the secret ingredient to their success, Santaniello said it was simple: consistency and quality.
“Number one, we have never had a different chef,” he said. “And the fact is, we’re a chef-owned restaurant, a chef-driven restaurant. It’s hard to make it when you’re an owner but not an operator. We know what goes in and out of the kitchen and bar and dining room every night of operation.”

Antonio DiBenedetto

Antonio DiBenedetto says consistency is one key to keeping diners returning to a restaurant often.

Antonio DiBenedetto said that consistency is not only a key aspect of success in running a restaurant, but one of the main reasons for a house’s success. He’s been the owner of Amedeo’s Restaurant in Holyoke for 11 years, but the business has been in the family for almost 30 years.
“It can be tough out there,” he noted, “but I think that places are closing down because there’s a lack of complete attention. You have to keep an eye on everything going on around you, every aspect of the business, not just food. It’s not one thing, it’s a million things, and consistency is a big one. The same person has made the sauces here for years. There’s no book for recipes; our food has been the same for decades.”
He joked that no one makes meatballs like his mother — “but every Italian cook will tell you that!” — and that his restaurant has weekly specials to offer some variety beyond what people might find locally. “Whatever looks good, or whatever’s in season,” he said — “osso buco, veal chops. One of my favorites is chicken carbonara, since I was a kid and my mom would make it. I try to duplicate it, but of course it’s not as good as hers.”

New World Order
The Farm Table restaurant is the newest business venture from the Kittredge family, owners of Kringle Candle. It’s housed in one of the oldest structures in Bernardston, across from the candle company’s retail flagship, and after a meticulous renovation both historic and green, it opened for lunch and dinner this past October.
Rubén Eduardo is the general manager of the restaurant, and he said that opening a restaurant in what many acknowledge to be a still-sluggish economy offered nothing but uncertainty. “We all know that the national economy was in a pretty low gear,” he added, “so we had no clear idea what would be the response when we opened.”
But what followed exceeded even their highest expectations. “I thought that we would hit about 30 reservations during the nighttime and about the same at lunch, and to my surprise, especially in this economy, it has been quite the opposite direction. Day one, for example, when we were open for lunch, we were expecting 30 or 40 people to join us. We had more than 200. So then we said, ‘OK, maybe that’s more like friends and family.’ But that trend didn’t go down.”
Early on, he realized that his reservation operation needed to be re-evaluated. With one person acting as host and fielding calls for reservations, it wasn’t enough for peak performance, especially for a day with reservations into the triple digits: one Tuesday alone fielded 400 calls for dinner.
Currently more than 60% of his clientele are repeat diners, and some of them are traveling from as far as Connecticut. He said people respond to the restaurant’s mission. “Western Mass. is blessed with amazing products and craftsmanship. In terms of our philosophy, the idea is that the food is, whenever possible, organic and sustainable. And priority is given to local farms. That is reflected in the building as well.”
The ceilings and floors are made from salvaged barn boards, all the stone work comes from within a 50-mile radius, and most of the furniture is made in Vermont. “Even our napkins are made in Hadley,” Eduardo added.
These are the details that make a difference, he said, for the customers and the staff — whom he credits for contributing to a memorable experience. “When our team is serving, they’re proud that these foods are local,” he continued. “These are the things that make a difference in the culture of a restaurant. I think that the enthusiasm from the public comes from the enthusiasm of a restaurant’s team.”
At the new Mama Iguana’s, Collins said a similar level of attention to each restaurant’s physical space has always been a key ingredient to the Spoleto Group’s success. “But the tough part about the economy now is that Claudio and I have had to change how we run the businesses,” he said. “It used to be easy to put up a great atmosphere with great food and service, and you’ve got yourself a busy restaurant that’s making money. It’s now more of a scientific business for us.”
The seven restaurants they oversee are Spoleto’s in Northampton and East Longmeadow; Spoleto Express, Pizzeria Paradiso, Paradise City Tavern, and Mama Iguana’s, all in Northampton; and the newest Mama Iguana’s in Springfield. Collins said this new economy has turned the pair into better businesspeople than they were before.
“We’ve been forced by the times and the economy to do that, and what Claudio and I are finding is that it’s the most exciting thing we’ve ever done,” he said. “We have taken an approach during this downturn to make all our concepts as affordable as possible. We’d rather set a stage where guests could come out two, three times a week and have an affordable, great meal, rather than having them come in once for $150 and not see them again for a couple weeks. Because what do people need at this time more than ever? A release — a place to come for a cocktail and some good food.”
After an entire life spent in the restaurant industry, Guerro agreed, adding that “this is a new world we’re living in. A couple years ago, we were asking, ‘how do we survive this storm?’ Now, it’s more like this is the new reality, and how do we make money in that reality?”
“We’ve been working a tremendous amount on the nuts and bolts of our operation, and streamlining the systems,” Collins said. “With these transitions, when the economy comes back, we’re ready for takeoff.”

Your Serve
Over at Samuel’s, Campiti agreed that the industry she has worked in all her life has been altered. “To me, I don’t look at this as a recession any longer,” she explained. “Now, it’s a change in the way of life.”
But, there’s one thing that doesn’t change, she said — a focus on customers, an idea which everyone who spoke with BusinessWest agreed.
“A customer walks through your door prepared to have a good experience, and they are pleasantly surprised to have a great experience,” Campiti said. “That’s what keeps us all here.”

Banking and Financial Services Sections
Understanding the FASB/IASB Lease-accounting Project

Tony Gabinetti

Tony Gabinetti

Lease accounting has been in a state of flux for almost two years. And while it seems that the standards of lease accounting may be changing again, it’s important to understand them as they stand today.
In 2010, the Financial Accounting Standards Board (FASB) and International Accounting Standards Board (IASB) issued a joint proposal for revising lease-accounting standards. The proposed changes are expected to have a significant impact on companies engaged in substantial leasing activities. The proposal effectively eliminates off-balance-sheet or operating lease accounting for most leases.
The joint proposal would establish an accounting model that would require that assets and liabilities under leases be recognized in the statement of financial position. This differs from the current GAAP accounting model that classifies leases into capital leases (records and asset and liability) and operating leases (does not recognize an asset and liability).
While many of the problems associated with existing lease accounting relate to the treatment of operating leases by the lessee, keeping the current lease accounting by the lessor would be inconsistent with the proposed lessee accounting.

Measuring Assets and Liabilities
The proposal utilizes a ‘right-of-use’ model that would apply to all leases, including those currently classified as operating leases. This model is similar to the current model for capital leases. Both lessees and lessors would be required to record an asset and corresponding liability on their balance sheets.
The lessee would record an asset representing the present value of its right to use the leased asset during the lease term, and record a liability representing the present value of its lease payments. Subsequently, the lessee would measure the asset at amortized cost, and record amortization expense using the ‘effective interest rate method,’ under which lease payments are allocated between principal and interest over the lease term.
A lessor would initially record an asset representing the present value of its right to receive lease payments and recognize revenue over the lease term. Under the initial-exposure draft, the lessor also would select one of two accounting models:
1. Performance obligation. A lessor that continues to be exposed to ‘significant risks or benefits’ associated with the leased asset would use this model. It would recognize a liability (its obligation to allow the lessee to continue using the lease asset) as well as the underlying asset; or
2. Derecognition. A lessor that doesn’t retain such exposure would use this model. It would derecognize its rights to the leased asset as the asset is transferred to the lessee. And the lessor would continue to recognize a residual asset (its rights to the leased asset at the end of the term).
According to recent news, the board appears to have settled on one accounting approach for lessors: the lessors would derecognize the leased asset and record both a lease receivable and a residual asset for the portion retained by the lessor.
The proposal prescribes simplified accounting methods for certain short-term leases and also provides an exception for ‘simple capital leases’ — those entered into before the ‘transition date’ that are classified as capital leases under existing standards but include no options, contingent rents, termination penalties, or residual-value guarantees. Leases that fall within this exception can be accounted for under existing standards for capital leases.

Determining the Lease Term
One challenge for both lessors and lessees under the proposed standards will be determining the lease term. The original proposal called for measurement of assets and liabilities based on the longest lease term that’s ‘more likely than not’ to occur, taking into account all options to renew or terminate.
However, the FASB and IASB tentatively decided to adjust this threshold. Under the boards’ revised definition, the lease term would include the non-cancellable term, plus any extension options if there’s a significant economic incentive for the lessee to extend the lease. The boards also determined that the parties should reassess the lease term only if a significant change alters the lessee’s incentives to extend or terminate the lease.

Assessing the Impact
If your company has a significant number of operating leases, assess the proposed standards’ potential impact as soon as possible. The need to value, track, and report lease-related assets and liabilities may require you to modify or upgrade certain systems, procedures, and controls.
Also, because the new standards would rely heavily on estimates and judgments, they significantly expand financial statement disclosure requirements for leasing activities. The proposal also may have an impact on key measures of financial performance, such as EBITDA, and on financial ratios and other benchmarks used in loan covenants, compensation agreements, and certain contracts. The reason for this is that, under current standards, rent payments under an operating lease are treated as ordinary operating expenses. Under the proposed standards, rent would be replaced with a combination of interest and amortization expense.

Accounting for Services
One difficulty under the new standards being proposed is the need to account separately for distinct service components of a lease.
This isn’t an issue under current standards for operating leases because the lease and service components (such as agreements to provide maintenance or repairs) are treated in basically the same way. But under the proposal, the lease component would be recorded on the balance sheet while the service component would not. Allocating between payments for use of the leased asset and payments for services can be challenging. In future leases, your company may want to ensure that any services to be provided are charged separately.
The FASB and IASB are revising their original proposal and are expected to re-expose the standards for additional comment in the first quarter of 2012. Many believe that the new standards will take effect in 2015.

Tony Gabinetti, CPA, is a senior audit manager at Meyers Brothers Kalicka, P.C. in Holyoke; (413) 536-8510; [email protected]

Banking and Financial Services Sections
It Acts as a Fiduciary ‘Get Out of Liability Free’ Card

Charlie Epstein

Charlie Epstein

In the game of Monopoly, no one ever wanted to get sent to jail and miss out on the $200. Everyone loved to get the ‘get out of jail free’ card. When it comes to managing their company’s 401(k) retirement plan, every plan sponsor fiduciary would love to stay out of the Department of Labor’s (DOL) crosshairs and have a fiduciary ‘get out of liability free’ card.
However, that’s becoming increasingly harder. The DOL has added 300 new employees focused on auditing qualified retirement plans to make sure you, the plan sponsor fiduciary, are meeting your responsibilities under ERISA. With increased government scrutiny, the value of this card has just gone up.
One such card does exist. It’s called a qualified deferred investment account (QDIA). It’s not only good for protecting you, the plan sponsor, but it’s even better for the average 401(k) participant who has little investment knowledge and should not be picking their investments and managing their money.
QDIAs have become all the rage in 401(k) plans, and may account for 60% to 70% of total assets in all retirement plans. So what is a QDIA, and why is it such a good alternative? The following Q & A is meant to assist you, as the fiduciary plan sponsor, to protect you, and to help your employees better manage their retirement outcomes.

Why is it important for plan sponsors to know about QDIAs?
ERISA section 404(c) and the corresponding DOL regulations define how a plan sponsor can establish protective relief as a fiduciary for investment decisions made by employees in participant-directed 401(k) plans. As introduced in the Pension Protection Act of 2006 and effective Dec. 24, 2007, plan sponsors have the option to designate a default fund, qualifying as a QDIA. If the plan complies with the requirements of the regulation, the fiduciary will not be liable for losses that result from investments in the QDIA (your fiduciary ‘get out of liability free’ card).

What is a default investment?
When participants fail to make investment elections and a decision must be made to invest their participant-directed contributions (either employer profit sharing or employee deferrals), plan fiduciaries must step into the decision-making role and invest their contributions in a default investment.

What is an approved QDIA?
The DOL has approved these types of QDIAs:
• Lifestyle or target-date fund: Creates an investment model based on a participant’s age, retirement date, and life expectancy. Is not professionally managed for individual investors.
• Professionally managed account: Is actively managed by investment managers. Provides an appropriate asset mix of equities and fixed income for each individual participant. Takes into account the primary decision factors of age, retirement date, and life expectancy.
• Balanced fund: Offers a mix of equity and fixed-income investments. Is based on group demographics of the plan as a whole. May not consider risk tolerances of individual participants.
A stable value fund, or money market, by definition is not a QDIA because it does not provide investments in equities and fixed income. The DOL was specific in its definition of a QDIA, noting that it is a long-term investment and therefore must have a percentage of its assets invested in equities and fixed-income securities to qualify for protection. A stable value fund product may be used for the first 120 days of a participant’s participation in the plan, but no longer to qualify for relief.

What happens if a plan sponsor doesn’t designate an approved QDIA?
Without an approved QDIA, plan fiduciaries remain potentially liable for losses when a participant fails to actively direct investments.

When is a QDIA appropriate for a plan?
A QDIA is appropriate for any plan with participant assets that lacks participant-investment direction. Plans with automatic enrollment features, obviously, have default investments, but situations frequently occur in the life of a 401(k) that may result in the need for a QDIA, including:
• Incomplete enrollment forms;
• Beneficiary/alternative payee balance;
• Qualified domestic relations order (QDRO);
• Removal of investment options;
• Rollovers;
• Missing persons; or
• Disputes.

What role do plan sponsors play in selecting QDIAS?
Plan sponsors are responsible for prudent selection of appropriate QDIAs for their plan, as well as for monitoring QDIAs. The plan sponsor should also be able to demonstrate the due-diligence process followed when selecting QDIAs. While QDIAs offer a ‘set it and forget it’ investment option for participants, this is not the case for plan sponsors.

How do plan sponsors determine what type of QDIA is appropriate?
Plan sponsors should consider either the age of individual participants or the average age of the group of participants. Participant investment knowledge and education, or lack thereof, is appropriate to consider as well. Today, target-date funds make up the largest percentage of QDIAs in 401(k) plans.

Are cost and fees, as well as performance, important QDIA selection criteria?
DOL regulations specify that cost and fees should be an important consideration in the selection of QDIAs. It is also important that the plan sponsor fiduciaries have an ongoing due-diligence process for selecting and monitoring their QDIA and documenting that process.

How can plan sponsors receive safe harbor relief from QDIAS?
Merely selecting a QDIA alternative alone does not give fiduciary relief to a plan sponsor. Plan sponsors can receive safe-harbor relief from fiduciary liability for default outcomes when default investments are of the three QDIA types discussed above and meet the following criteria:
• Participants and beneficiaries must have been given an opportunity to provide investment direction, but failed to do so;
• A notice must be furnished to participants and beneficiaries 30 days in advance of the first investment in the QDIA and 30 days prior to every plan year thereafter;
• All material — such as investment prospectus and other notices — provided to the plan for the QDIA must be provided to participants and beneficiaries;
• Participants and beneficiaries must have the opportunity to direct investments out of the QDIA as frequently as from other plan investments, but at least quarterly;
• The plan may not impose financial penalties or otherwise restrict the ability of a participant or beneficiary to transfer the investments from the QDIA to any other investment alternative available under the plan; and
• The plan must offer a broad range of investment alternatives as defined in the DOL’s regulation under section 404(c) of ERISA.

When it comes to managing your qualified retirement plan, no plan sponsor fiduciary should leave their fiduciary processes to chance. The QDIA option provides one of the few protective reliefs from liability-free cards under ERISA. Every plan sponsor should take advantage of a QDIA.

Charles D. Epstein, CLU, ChFC, AIF is the founder of the 401k Coach Program, which offers expert training to financial professionals to develop the skills, systems, and processes necessary to excel in the 401(k) industry and facilitate successful retirement outcomes for plan sponsors and participants. He is the author of the book Paychecks for Life, which offers nine principles for participants to turn their 401(k) plans into their paycheck-manufacturing company; [email protected]

Banking and Financial Services Sections
Glenn Welch Takes the Reins at Hampden Bank

Glenn Welch, president, COO, Hampden Bank

Glenn Welch, president, COO, Hampden Bank

Glenn Welch, the new president and COO of Hampden Bank, takes over with an informal philosophy of not trying to fix anything that isn’t broken — and this encompasses most all strategic initiatives at the nearly 160-year-old institution. For now, his primary focus is on seizing opportunities to grow the commercial portfolio presented by improving confidence among business owners and what Welch called “concern with larger-bank relationships and where they’re headed.”

Glenn Welch is one of many area bankers who had his or her name on many different business cards in the late ’80s and ’90s — and usually not by choice.
“I had a lot of them, and I think I still have them … they’re in my desk somewhere,” said Welch, referring to a collection that resulted from a spate of mergers, failures, and downsizings involving names that have long since disappeared from the business landscape — like Third National, Bank of New England West, Shawmut, BayBank, Comfed Savings, and Fleet.
Soon, Welch can add another card to the pile, if he ever finds it. Indeed, the new card identifying him as president and COO of Hampden Bank will be arriving shortly, meaning he won’t need the one he’s still using announcing him as “executive vice president and division executive of the Business Banking Group.”
On Nov. 30, Welch was named successor to Tom Burton, long-time president and CEO at Hampden, who is retiring but taking the title chairman and CEO during a transition period.
Welch believes that, if all goes as planned, this could very well be his last business card. In fact, it’s an unofficial goal to make sure it is. He plans on being here a while, and he believes the Hampden name will endure as well, even as he acknowledged that the institution is certainly the subject of rumors regarding the next local target for merger or acquisition.
“The board of directors, by deciding to go with an in-house candidate, shows that it’s comfortable with the plan we have in place to bring it forward and grow the bank to the level that we need to to satisfy our investors,” he said. “But it’s a crowded market, and there is a lot of capital in this market.”
For now, Welch is focused on continuing a strong pattern of growth knitted by Burton during his 17-year tenure as president, during which the bank doubled in size, from $250 million to more than $500 million, and went public in 2007.
The pace of growth slowed over the past few years, as it did at most all area banks, as the Great Recession took its toll on everything from mortgage volume to commercial lending. Still, Hampden has been on a pace to add roughly a branch a year, with the latest additions coming in Longmeadow (the second office there) and Boston Road in Springfield, and it is has been holding its own in a highly competitive commercial-lending arena.
“The difficulty was, we just weren’t seeing any loan growth — businesses just weren’t able or willing to borrow,” he explained. “We were sitting on a ton of capital, like a lot of other banks in this area, and really found it difficult to put it to good use.”
But as the economy improves, slowly but surely, Welch says he’s seeing signs of progress, especially on the commercial side of the ledger. It comes in many forms, from what he can see — more applications for loans to expand or build new — and what he can sense, namely greater confidence on the part of business owners.
“We’re seeing a lot of loan demand on the commercial side — there’s a huge backlog,” he said, adding that he expects many deals to close over the next several months. “Some of this demand is new business, which is exciting, such as an assisted-living facility that will generate about 100 jobs. There’s an addition to another assisted-living facility, a few precision-machining companies that are looking at new buildings and equipment … things are happening.”
Summing up what he believes his ascension to the presidency at Hampden means, Welch said it represents both continuity and change.
The former comes mostly in a continuation of growth strategies, internal programs — such as ‘Hampden College,’ aimed at building team and leadership skills (more on that later), and philanthropic initiatives within the community that were laid out by Burton and the leadership team, said Welch. Meanwhile, with change comes opportunities, fueled by an improving economy and frustration with regional institutions, to move those strategic initiatives forward.
“There is a sense of urgency,” he told BusinessWest in a wide-ranging interview a month after he took his new office. “We do need to grow and become more profitable; the pressure is there to perform.”

Interest Bearing
Welch arrived at what was then Hampden Savings Bank in 1998, after accumulating more than a dozen of those aforementioned business cards.
When asked what brought him to the Harrison Avenue institution, he paused for a minute, noting that there was a funny story behind it and he wasn’t sure if he should tell it. (He eventually decided he could, because the party in question was no longer working in the area).
Attempting to make a long story short, he said he was working at what was then Fleet National Bank (now Bank of America) and, following the departure of a colleague, was in line for one of the small corner offices within the Monarch tower, a step up from the high cubicle he was occupying. The last office to be apportioned was awarded based on tenure, but Welch, who led the field in that category, was told that this time, things would be different.
“First, he said, ‘maybe we’ll go by goals,’ which was fine with me because because I hit my goals that year. But then, he said, ‘I was thinking we’d draw cards,’” said Welch, working hard to keep a straight face. “We sat in his office, and three of us drew for high card; I went first and got a 3, the next guy drew a 6, and the winner of the office drew a 9. That was one of the final straws; right around that time I saw an ad — Hampden Bank was looking for an ‘eclectic’ commercial lender.’”
Welch said he had no idea what ‘eclectic’ meant in this context, but he applied anyway, and soon thereafter joined a small but growing commercial-lending department that would play a key role in the bank’s steady growth and the expansion of its footprint in Western Mass.
Backing up a bit, actually nearly 20 years, Welch said he entered Western New England College with the goal of becoming an engineer. “ I think that lasted a semester,” he recalled. “I took a few labs and knew it wasn’t for me. I just happened to be pretty good with numbers and liked the accounting and finance courses I took, and that’s how I ended up with a finance degree.”
Upon graduation from Western New England, he took a job with Household Finance, which, among other things, provided high-interest, real-estate-backed loans to struggling families — “that was a depressing place to start a career” — before joining Bank of New England West as a field examiner in the Commercial Finance Department. In that role, he conducted on-site field examinations of books and records for customers and prospects.
From there, he moved on to to BayBank Valley Trust Co., where he served as a credit officer in the Commercial Loan Department, and then as a secured lending auditing officer. Next came an ill-fated decision to follow a supervisor to ComFed Savings Bank, which had acquired the old Northeast Savings, where he served, briefly, as a commercial loan officer.
“That was my opportunity to get into commercial lending, because he asked me to go with him,” Welch explained. “And six months later, he had to ask me to look for a job, because ComFed was failing and they were eliminating the commercial-lending group.”
He then moved back to Bank of New England, later to fail and be rescued by Fleet, and rose to the title of vice president and ‘relationship manager’ in the Middle Market Banking Group, where he managed an $80 million commercial-loan portfolio consisting of 37 account relationships. During his tenure there, he completed his quest for an MBA at UMass Amherst through its evening program, focusing his capstone course on the demise of Bank of New England and the lessons to be learned from it.
Living through that tumultuous period in local banking history was difficult, especially at BNE/Fleet. “It was tough over there — I survived a lot of different downsizing,” he said of his time in the Monarch tower, which eventually ended not long after he drew that 3.
As for what’s in the cards for Hampden Bank, Welch said he expects a continuation of the programs that have helped fuel recent growth for the institution, especially a hard focus on growth in commercial lending.

By All Accounts
Returning to the subject of continuity, Welch said he plans to carry on with a number of programs initiated during Burton’s tenure to not only grow the bank, but strengthen the team running it.
In that latter category, he mentioned everything from quarterly meetings with the staffs handling the branches to keep them informed and connected — “they tend to feel alienated from the main office” — to Hampden College.
Staged in the spring and summer, this initiative involves after-hours courses (always well-attended) on leadership, diversity, and other timely and relevant issues.
“We had four members of the board of directors speak to employees last year as part of the program,” said Welch, adding that the broad objective of Hampden College is to “build better bankers.”
At the same time, the bank has staged a number of external forums — open to area business owners and managers — on subjects ranging from health care reform to taking a small business to the next level. “There’s an educational component to these, obviously,” he explained, “but these are also great networking opportunities, and for the bank, we are developing relationships with people we may not have relationships with.”
Overall, Welch said his primary goal moving forward is to continue and in many ways accelerate the bank’s ongoing evolution from a true savings bank to a multi-faceted institution with a strong mix of consumer and commercial products.
“We used to be for your home mortgage and grandma’s CD,” he said of the bank’s basic mission until only a few decades ago. “We’re trying to change that.”
He said the timing is good for growth in commercial lending, and for several reasons. The improving economy and pent-up demand he mentioned are big parts of it, but so is the growing sense of frustration many business owners and managers have with regional and super-regional banks, a phenomenon that has led to opportunities for many area banks.
“I think 2012 looks promising for the community banks,” he said. “The reason is we’ve turned the corner, in my opinion — people are starting to get more comfortable and are borrowing for projects. But the other side of it is the fact that community banks have real opportunity, especially in this area, a smaller city like ours — we’re here, and the decisions are made here, and there are a lot of people who are concerned with their larger-bank relationship and where it’s headed.
“There were a lot of people who were waiting to make sure that the light at the end of the tunnel, as they say, wasn’t an oncoming train,” he continued, while noting the recent uptick in business on the commercial side of the ledger. “We’re seeing pretty healthy demand in a lot of different areas.”
In many ways, Welch said, Hampden’s goal is to borrow, in some ways, from the model forged by Bank of Western Mass. (now People’s United), meaning the establishment of broad customer relationships propelled by the business side of such associations.
“What we really want to do is grow the commercial portfolio, along with all the other things we’re doing strategically,” he explained, “and allow the commercial portfolio to drive the growth in residential and commercial deposits, because we’re trying to become the bank for those businesses.”
Meanwhile, the bank intends to continue its strong record of philanthropy, punctuated by a recent $150,000 donation to cover operating expenses incurred by those leading the Rebuild Springfield efforts in the wake of the June 1 tornadoes.
Welch, the current chairman of the board of the Affiliated Chambers of Commerce of Greater Springfield, chair of the Springfield Enterprise Center, and board member of DevelopSpringfield, said he plans to continue these and other endeavors in the realm of community service. But most of his energies will be on the bank and the strategic initiatives he described.
“We have plans in place,” he said, “and we’re comfortable we can carry them out and that they’ll lead to significant growth.”

Making a Statement
Welch noted that Hampden Bank will turn 160 years old in April, joining MassMutual in that milestone of longevity, and reaching rarified air among companies based in this region.
He expects the bank to celebrate many more anniversaries and continue to grow its footprint regionally.
As for his career, well, he doesn’t think he’ll be adding to his business-card portfolio any time soon. He believes he and his bank are in the right place at the right time — and will be for the foreseeable future.

George O’Brien can be reached at [email protected]

Law Sections
Minimize and Manage Your Risk with Written Contracts

Michael Gove

Michael Gove

Written contracts. Too often, they are an overly formal, wordy, inconvenient intrusion into the tenuous relationship between a business and its customer, and they can be seen as making it more difficult for a business to function. But, much like how paying years of homeowners’ insurance makes sense if you have a house fire, using written contracts makes sense if you have a dispute.
A written contract is simply a documented agreement between two or more parties for the performance or lack of performance of some action. Written contracts will also usually include promises (covenants), representations, and warranties. Contracts can capture the details of all types of business transactions, from simple consumer purchases to billion-dollar corporate transactions. In transactions like real-estate or automotive purchases, parties can use written agreements to make, accept, or decline offers.
Written contracts can appear in many forms, from 100-page formal documents to the front and back of an invoice, or an acknowledgment of a proposal. When a contract is well-drafted, it will spell out the entire arrangement between the parties, keeping each party informed and tied to the terms of the agreement. For convenience, many businesses have standard contracts used with all their customers and clients. These are then tailored to specific jobs by filling in blank spaces or providing attachments. Some common elements of written contracts include the following:
• Scope of Work to be Performed. The most common aspect of a written contract is a description of the services or work that will be provided or performed. This will often include language regarding the duration of the contract, the materials or methods to be used, and the autonomy granted to those completing the work.
• Payment for the Work Performed. The other most common element of a written contract is a clause calling for some form of payment or benefit to the person or business providing the service. While often described in terms of money, payment can be made in many ways, including by providing services in return, undertaking other obligations, or making promises to take some future act. In fact, if an agreement does not have some benefit to both parties, it lacks ‘consideration’ and will be unenforceable.
• Warranties. These constitute a way for a party  to  guarantee its product or services and limit its liability. By drafting warranties so that they are specifically and narrowly tailored, or so that express exceptions to warranties are clearly and conspicuously stated, a business can effectively put its customers on notice as to their rights if the product or service is unsatisfactory.
• Remedies. Written contracts can be very helpful when the other party breaches its obligations.  Oftentimes there is language regarding remedies which the non-breaching party will be entitled to if there is a breach. While common and statutory law may contain remedies for specific situations, a written contract can spell out or include other remedies, including the forfeiture of deposits made, the applicability of legal proceedings, or alternative ways in which the breaching party can meet its obligations.
• Costs and Termination. By shifting the burden to customers, language regarding the ability of the business to charge interest on unpaid bills, or to include costs and fees related to the collection of past-due accounts, can help keep billing delinquencies in check. Written contracts will also contain provisions by which the parties can terminate the contract, though not always without penalty.
When developing a written contract, you should use clear language and define any terms which may be vague or subject to dispute. While it may lead to longer documents, you should also try to cover as many situations as are likely to arise.
Statutes and regulations specific to an industry may require additional terms or provisions in your written contract. For instance, contracts for home-improvement services must contain language regarding a homeowner’s right to cancel the contract within a certain period of time.  Because of this, you should always have an attorney draft or review any written contract you intend to use in your business. Additionally, when presented with a contract to sign, you should consider having an attorney review it to ensure it is legally binding, that the terms do not violate any statutes, and that the individuals signing for the other party are authorized to do so.
The thought of using or executing a written contract can be intimidating, but their ability to define the terms of an agreement allows a party to undertake their obligations with confidence that the other party will fulfill theirs.

Michael Gove is an associate with Cooley, Shrair P.C. focusing his practice on assisting clients in the areas of corporate/business, banking, and bankruptcy law; (413) 735-8037; [email protected]
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Features
The EDC Focuses on Promoting the Region and Its Assets
Allan Blair

Allan Blair says quality jobs, public and private investment, and an increase in visitors to Western Mass. are keys to stimulating the regional economy.

Editor’s Note: This is the second in a series of stories spotlighting the work being done by area chambers of commerce and other economic-development-related agencies. For this issue, we profile the Economic Development Council of Western Mass.

The full measure of his organization, Allan Blair will tell you, is pretty straightforward. “Three goals,” he began.
Blair is president and CEO of the Economic Development Council (EDC) of Western Mass., and he explained that those goals to stimulate the regional economy are quality jobs, public and private investment, and bringing in additional visitors. “Those three goals,” he continued, “as broad as they are, contribute to increasing economic development, and there are a number of different strategies for how we go about that, a variety of methods to stimulate economic vitality, and a host of affiliated partners to help make that happen.”
The EDC was created in 1996, when a group of business leaders at some of the larger companies in the region came together in support of a unified organization to make Western Mass. more competitive on a variety of fronts.
“We had a lot of well-intentioned organizations doing a lot of hard work,” Blair said, “but there was little coordination or collaboration between the groups. Therefore, the feeling was that the region wasn’t acting efficiently — we weren’t speaking with one voice on the most important issues of the region.”
The business leadership charter group of the EDC created this organization that initially included the mayors of six cities (now nine) and the presidents of the colleges and universities. The idea was to have in one place a public-private partnership with the common goal of economic development. “We hear about the conceptual importance of such entities all the time,” he added. “They made it real.”
In addition to that group of individuals, a host of business-sponsored organizations were included that are now known as affiliated partners. The names may have changed a bit over time, but those partners now are the Affiliated Chambers of Commerce of Greater Springfield, Westmass Area Development Corp., the Greater Springfield Convention and Visitors Bureau, the Westover Metropolitan Development Corp., and the business-improvement districts (BIDs) in Springfield, Westfield, Northampton, and quite possibly soon to be a fourth in Amherst.
There’s also a board of directors, comprised of elected representatives from the EDC’s membership. Peter Straley, president and CEO of Health New England, is the current chairman of the board. In his assessment of the EDC, there’s never been a more important role for such an organization in this region. “At a time when the economy has not been worse in our lifetimes,” he said, “that’s a real challenge — to stimulate job growth, with good jobs, in our local economy.”
And that means it’s time to get down to business, something the EDC has been doing for more than 15 years in Western Mass. Speaking to BusinessWest recently, both Blair and Straley spoke of the importance of their organization and how its goals are accomplished. “It’s important that there’s a regionally focused board looking down over all of this,” said Blair. “The most essential thing is that we’ve got the right people looking at the potential here.”

Center of Attention
Each year, the EDC assesses the different projects it believes will affect economic development in the region in the year or years ahead, Blair noted, “and then we organize our efforts around those targets.”
And, as they say, there’s strength in numbers.
It’s here that the EDC excels in its mission, and both men described the expertise that so many different affiliate partners can bring to the proverbial table. For example, the convention bureau is the primary player in attracting visitors, Blair said, and the Westmass and Westover entities are the ones responsible for maintaining an inventory of industrial- and business-park land to be available and appealing to both outside investors and companies within the region who are expanding. The chambers of commerce are best in the support and promotion of smaller businesses, and the BIDs are essential in making those local businesses aesthetically attractive and well-kept.
Straley said that such a comprehensive look, from the largest issues down to the smallest details of downtowns, is a key aspect to giving the region a competitive advantage in attracting outside investment. The EDC not only strives to make those details manifest, but to showcase them as well.
Site selectors are employed by companies seeking to relocate or branch out into new markets, and the EDC knows how they operate. “When someone from outside the area is looking to relocate a business, they’ll typically use consultants that will do the legwork for them,” he explained. “Those consultants will start by gathering information about a region, starting with the broadest end of a funnel, and narrowing it down, based on their clients’ requirements.”
The EDC’s Web site is the only dedicated source of information in the region specifically targeting those consultants. “It turns out that it is the primary point of contact for site selectors,” Straley continued. “If a manufacturing or distribution company says it needs a Northeast location, let’s say, obviously they’ve got a lot of places to choose from. What we’re doing is presenting a good face to the outside world for those consultants. They’ll be looking at the demographics of the area, what kind of businesses are in the area, is there a trained workforce in the area that we can tap into, what are the education levels of people in the region … all before they are even going to consider coming to look.
“In a sense, we’re acting as the matchmaker,” he went on. “Quite frankly, in this business, it’s difficult to land a final account. It’s like any sales business; with the economy the way it is, the length of time companies are taking to make final decisions about relocating and expanding is lengthening. More than ever, you need to be on top of that follow-through.”

Focal Point
While each city has its own economic-development team, the EDC works with all of them to get those businesses into “the funnel,” as Straley called it. “They’re all going to be competitive with one another to secure those companies, but it’s our job to get them into this region.”
Civic leaders, college presidents, and CEOs move in and out of the EDC’s purview owing to their own professional trajectories, but Blair said that, almost without exception, each new, incoming leader realizes the organization’s importance. Meeting quarterly with mayors is typically one of the few times they all convene, and it allows them the chance to think about their cities from a macroeconomic perspective.
“The region is entirely interdependent,” Blair explained. “The reality is that every community is dependent on a business’s employees and how they spend money. Yes, the notion of municipal growth is hugely important to every mayor, and how they can make some tactical moves to attract that investment. But it’s just as important for a company to know that they are locating in a region with good regional school systems that are supporting a strong workforce pipeline as it is for the company to know about the taxes and the regulatory environment in its own community.”
There are a few initiatives on the EDC’s radar for the year ahead. The Holyoke Green High Performance Computing Center is an important initiative for not only the Paper City, but the region as a whole. The Ludlow Mills initiative and the Three County Fairgrounds in Northampton are both targeted areas of interest, and Blair said the term ‘Knowledge Corridor,’ now nearly a dozen years old, will be further developed as a brand.
“We need to turn that term into more of a positive action,” he said, “by providing a single point of contact where an outside interest can access everything within those 14 institutions that they would need to know, and to help them focus their attention on bigger issues within the region so that they could collectively make a contribution.”
While the EDC’s agenda has no small number of directives, stimulating the regional economy clearly has some specific targets, including the promotion of entrepreneurship.
“One of the things we all need to be reminded of is that most of the growth the region has had is by companies that were started here,” Blair said. “We’re not a region that has a lot of big companies move here. When you look at our biggest corporate presences — Peter Pan, MassMutual, Smith & Wesson, Milton Bradley — they all started here, and they grew into something important.
“At some point in their history it started as an entrepreneur who took a risk, and who built a culture,” he continued.  “Have we lost that? Do we still have it? And if we still have it, is there something we can do to stimulate it so that we have more innovators, so that there are more people willing to take these risks for the rewards that will come?”
If there’s anything that his organization has managed to do, he went on, it has been the ability to open everybody’s horizons to all the issues that are affecting economic development.
“Before, we could be in our little silos and could miss an awful lot of opportunities coming our way,” Blair said. “Now, everybody’s aware of the landscape and understands their place within it. They have a more wide-angle view, and that’s really an important thing for us to have, for the business leadership to have, to have a wide-angle view of what’s going on and then to focus on the things that need to be done.”

Features
Report Touts Economic Impact of Region’s Nonprofit Organizations

Linda Williams (left, with Kathleen Dowd and Elizabeth Sullivan)

Linda Williams (left, with Kathleen Dowd and Elizabeth Sullivan) says HSHS agencies touch every life in some way.

Many different voices speaking as one.
That’s the goal of the Human Service Forum (HSF), a Western Mass. organization that provides a public platform for a wide variety of human-service nonprofits.
That catch-all term covers literally dozens of different types of agencies, providing services ranging from health care to early education; substance-abuse treatment to homeless shelters; youth recreation to career services.
But when people think of the good work done by these agencies, they often don’t consider the economic impact they have on the region, through job opportunities, local spending, and taxes. Kathleen Dowd, director of the HSF, thinks that should change.
“We felt the need to get our voice out there and talk about how we contribute as businesses, and about the impact we have as employers,” Dowd said. That’s why the Forum commissioned the Pioneer Valley Planning Commission (PVPC) to research those influences.
The report that emerged from that study, “The Economic Impact of Human, Social, and Health Service Organizations in the Pioneer Valley,” may have a cumbersome name, but its findings cut right to the point, and make the case that human-, social-, and health-services (HSHS) agencies do more than help people — they dramatically lift the region’s entire economy.
The numbers are striking. In 2009, HSHS organizations in the Pioneer Valley employed one out of every five workers in the region, paid $1.6 billion in wages, posted revenues of close to $4 billion, and recorded expenditures also around $4 billion.
Those numbers have risen sharply over the past decade. The total number of HSHS nonprofits in the region increased by 18% between 2000 and 2009, and annual per-capita expenditures of those organizations rose from just under $2,000 to more than $2,700 over the same period — and more than twice that total in Hampden County (see chart on page 11).
The sector is also growing more quickly in the Pioneer Valley than statewide. HSHS organizations in the region increased spending by 46% from 2000 to 2009, compared to 40% for all of Massachusetts. Those spending levels have a significant impact on area communities, as nonprofits typically spend more than 75% of their dollars locally.
“We’re part of the fabric of the whole community, and you really can’t separate us,” said Linda Williams, executive director of the Springfield-based Mental Health Assoc. (MHA), a Forum member. “People say our workers touch just about every life in Western Mass. — but I would maintain that we touch every life.”

Spreading the Word
Williams stressed that the PVPC report is not an end in itself.
“This isn’t a one-time deal where we just throw out a study,” she said. “This is a campaign of eduation from those of us providing these services. It’s a multi-year effort, and we need to continue the momentum.”
Part of that effort is a campaign to educate the public and get them talking about the importance of HSHS nonprofits — and, in time, increase support, financial and otherwise, for their services. To that end, the HSF tasked Paul Robbins, president of Wilbraham-based Paul Robbins Associates, to cultivate marketing opportunities.
“We brought Paul in to help us really distill all this data that the Planning Commission was so good at finding,” Williams said. “Some of it tends to be a bit dry, but we wanted to make sure we had the talking points, the bullet points we could articulate, not just to the general community, but legislators and people we do business with.”
One of those opportunities is the Forum’s annual legislative reception, scheduled for Jan. 20 at the Knights of Columbus in Chicopee.
“We’ll actually see legislators sitting at the table with constituents from various organizations,” she said. “It puts our work in perspective for them. We’re voters, and we use this time to get in front of our legislators.”
The reception, like the PVPC report, is a way to distill many different voices in the HSHS world into one clear message, Williams added.
“Even though we call ourselves human-service agencies and organizations, we’re very different, and for us to speak with a common voice is very important. This [reception] is a vehicle I’m passionate about. Whether it’s mental health or disabilities, elderly services, or education, it’s important for us to have a common voice.”
NonprofitHealthServExpendBW0112bAnd the economic value of those nonprofits is the message that needs to emerge, Dowd said.
“Many of our member organizations and businesses focus on their mission and get a little tunnel vision,” she told BusinessWest. “Over the next couple of years, we’ll produce a speakers’ bureau to educate the business community and local chambers, with this big-picture idea that we’re contributors and businesses as well as having a social profit.”
She added that the report is intended to stress the contributions of non-health-related agencies that sometimes get lost when people think of Western Mass. as a strong region for ‘eds and meds.’ “It’s known widely that health care businesses have a very strong workforce, but I think that’s lesser-known about human- and social-services organizations.
“We’re contributors; we have a vital workforce,” Dowd added. “We do professional development and provide career pathways for our peers.”
Nonprofits boast “some of the most creative business people I’ve ever met,” Robbins added. “They have to be creative and inventive in how they raise money and manage their resources.”
Although the human aspect of their work is critical, Dowd said, “at the same time, not-for-profit does not mean we do not run a financially sound business. We do — and we’re a large, vital force in terms of workforce and economic impact, in terms of multipliers like real estate, insurance products we purchase, taxes we pay. We do that every single day.”
She said she prefers the term not-for-profit, rather than nonprofit, when describing HSHS work, because the latter can give the impression that agencies aren’t trying to bring in dollars. The most effective organizations, she said, keep the funds rolling in, even during a recession, but they pump that money back into the organization, rather than lining the pockets of a CEO or stockholders.
“It’s not either-or,” Dowd said of the difference between for-profit businesses and not-for-profit agencies. “It’s not about pointing fingers, them against us. It’s not about making a profit, but what we do with that profit. We provide services as a business, and we have to operate with sound business principles while providing a mission. We’re not nonprofit; we’re not for profit. That’s a capital ‘for’ in the middle.”

Growth Pattern

Molly Goren-Watts

Molly Goren-Watts says the PVPC report gives the region’s nonprofits the type of marketing tool they have too-often lacked.

Even before the current awareness campaign, HSHS agencies had been proliferating throughout Hampden, Hampshire, and Franklin counties, with most of that expansion occurring in Springfield, Northampton, Holyoke, Amherst, and Greenfield. The 18% growth over the past decade can be explained in a number of ways, Forum members said.
“I would say Western Mass. is a region that focuses on community,” said Elizabeth Sullivan, special projects coordinator for the Mental Health Assoc. “With the closures of Belchertown State School, Northampton State Hospital, and, in the very near future, Monson Developmental Center, we’ve needed to establish human-services organizations to address those needs.”
The aging of the population is also a factor, she added; people are living longer today than in past decades, but often with a more acute need for health and social services.
In addition, Williams said, there’s less of a stigma these days attached to seeking the kind of support HSHS agencies offer. “People are more open to it, whether they’re looking to get help for a husband or wife, an elder, a child, or someone with a disability. That’s come through years of education, communication, and community service.”
Even with the success not-for-profits have had with growing their services and hiring more workers, communication still suffers at times, which is why the PVPC report is so important, said Molly Goren-Watts, principal planner/manager of the commission’s Regional Information and Policy Center.
“It seems that one of the major limits of nonprofits is that you have funding coming from a specific source or for a specific service,” she said. “It’s allocated for you to provide a specific service, and there’s usually not extra money built into the budget for marketing.”
Williams said it will take a cooperative effort to change that.
“It’s so good for the Human Service Forum to bring us all together under this umbrella and bring a common voice and make the message of our contributions heard,” she said. “It’s hard to do that with one voice when we’re all going in different directions. The Human Service Forum has been around for 25 years now, and it’s able to provide that support for all our organizations that we couldn’t achieve separately.”
Sullivan agreed. “This provides us with a forum to discuss what we have in common with the businesses in the community,” she said. “We have not really engaged in that discussion, so that dialogue begins now.”

Joseph Bednar can be reached at [email protected]

Opinion
Work in Progress: Glacial Improvement on Jobs

The December jobs numbers are good news — sort of — for the economy and the Obama re-election campaign. The economy added 200,000 new jobs, and the duration of unemployment is down slightly. Wages and hours worked are up, too. We can anticipate continuing progress between now and November.
But the bad news is that, though the trend is in the right direction, the progress is glacial. As Heidi Sherholz of the Economic Policy Institute (EPI) reports, the deficit of jobs needed to keep up with the normal growth of working-age population is still upwards of 10 million. Even at December’s modestly improved rate of net job creation, it will take until 2019 for the U.S. to recover its pre-recession rate of unemployment.
Moreover, as EPI points out, if we factor in workers who have dropped out of the labor force by looking at the ratio of employment to population (which is still down almost five percentage points since the beginning of 2007), the adjusted unemployment rate would be 9.5%.
The other problem is wages. As the New York Times keeps reporting in its fine “Working for Less” series, some jobs are coming back, but the wages are down by as much as half. And as long as that is the case, the measured unemployment rate can drop, but people still feel as if their own personal economy is in a deep recession. Between June 2009 — when the recession officially ended — and June 2011, inflation-adjusted median household income fell 6.7%, to $49,909, according to a study by two former Census Bureau officials.
This trend has only begun to reverse. Worker productivity is actually increasing at a rapid rate, but nearly all of these gains have been captured by corporate profits rather than worker wages.
As long as household income is down, there is not enough purchasing power to drive a recovery strong enough to generate enough good jobs at good wages. At the bottom of this problem are deep structural trends compounded by the financial collapse. They include a chronic trade deficit, the weakness of labor unions, and economic deregulation that gave corporations the power to batter down wages.
Since the financial crash, these longer-term trends have been compounded by the deflationary drag of the housing collapse and misplaced austerity fever. While the private sector is belatedly adding jobs, a public sector that should be leaning against the winds is still cutting net jobs.
So while the December jobs report is cautiously hopeful news both politically and economically, the administration, should President Obama win a second term, will have to do a great deal more to restore an economy of good jobs at good wages.

Robert Kuttner is co-founder and co-editor of the American Prospect.

Restaurants Sections
Violations of Wage and Overtime Laws Can Come with a Hefty Price

Karina L. Schrengohst

Karina L. Schrengohst

State and federal laws pertaining to minimum wage, tips, overtime, and employing minors are complicated. As a result, these are areas where mistakes are often made. Employers, however, cannot afford these errors because the consequence of not complying with these laws can be very costly.
In fact, in Massachusetts, there are mandatory treble (triple) damages for violations of wage-and-hour laws relating to minimum wage, tips, and overtime. This means that, if an employer is found in violation of state law, at minimum, for every dollar an employer does not pay in accordance with wage and hour laws, that employer will have to pay three times that amount. And violations of child-labor laws bring civil and criminal penalties.
Thus, in order to reduce their risk of liability, restaurant and coffee-shop owners should consult with their employment counsel and familiarize themselves with state and federal laws.
Employers, such as restaurants and coffee shops, who employ individuals who receive gratuities must be familiar with minimum-wage and tip law. In Massachusetts, employees who receive at least $20 a month in gratuities ($30 a month under federal law) may be paid $2.63 per hour, provided that their hourly pay rate and tips together are at least equal to the state minimum wage of $8 per hour.
There are two areas in particular which relate to tips that employers should be aware of: tip pooling and service charges.
Amy Royal

Amy Royal

Tip pooling is permitted under Massachusetts law, but proceeds may be distributed only to waitstaff employees and bartenders. Individuals with any management responsibility may never receive any portion of pooled tips. In February 2011, in Matamoros v. Starbucks Corp., a Massachusetts federal court found that Starbucks’ tip-sharing policy, which divided tips weekly among baristas and shift supervisors, violated state law because shift supervisors have some management responsibility.
Under the Bay State’s tip law, if a restaurant chooses to impose a service charge on an invoice, which serves as the functional equivalent of a tip or gratuity, all the proceeds from that service charge must be paid to waitstaff employees or bartenders as a tip.
Employers may, however, charge a ‘house fee’ or ‘administrative fee,’ which they may use or distribute at their discretion, but only if the employer provides a designation or written description of that house or administrative fee, informing the patron that the fee does not represent a tip or service charge for waitstaff employees, bartenders, or other service employees. This language informs the patron that the fee is not a gratuity that goes to employees. Thus, any fees not intended as gratuities and not paid to employees should not be labeled a service charge.
Under Massachusetts law, restaurants are exempt from paying employees overtime; however, they may not be exempt under federal law. Restaurants with annual gross sales of at least $500,000 are subject to both state and federal law, the latter in the form of the Fair Labor Standards Act (FLSA). If subject to the FLSA, employees working in restaurants must be paid 1.5 times the minimum wage (not 1.5 times $2.63 per hour) for all hours worked in excess of 40 hours per week.

Minor Concerns
Child-labor laws are designed to protect minors from hazardous jobs and allow minors to balance education with employment. They prohibit employment based on age (minors under 14 years old may not work) and the hazardousness of a job. Minors must obtain work permits. And after 8 p.m., all minors must be under the direct and immediate supervision of an adult supervisor who is located and reasonably accessible in the workplace.
Child-labor laws restrict the time a minor may work, setting rules for the earliest permissible hour, the latest permissible hour, the number of hours per day and week, and the number of days per week. Restrictions vary based on age and whether it is a school day, school night, weekend, holiday, school year, or summertime.
Two recent examples of violations of child-labor laws reveal the hefty financial consequence of non-compliance. In June 2011, the owners of five Dunkin’ Donuts franchises were fined $6,000 for violating state child-labor laws. The franchises employed minors without work permits, before the earliest permissible hour, after the latest permissible hour, and beyond the maximum number of daily hours allowed under child labor laws.
And in October 2011, the owners of two Boston-area Chinese restaurants were ordered to pay more than $129,000 in penalties and $52,000 in restitution for violations of state laws, including minimum-wage and child-labor laws. One of the restaurants was cited for employing a 16-year-old for nine months without pay and allowing her to work beyond permissible work hours and in excess of maximum work hours.
Employers who violate Massachusetts wage and hour laws are subject to mandatory treble damages for any unpaid wages. In addition, a prevailing employee will be awarded attorneys’ fees and costs of the litigation. Because the damages are mandatory, even an employer who makes an honest mistake or takes reasonable steps to comply with wage and hour laws will be subject to these hefty damages.
In contrast, under the FLSA, employers may offer a good-faith defense for violations. Under state and federal law, employers who violate child labor laws are subject to civil and/or criminal penalties, including civil citations, civil fines, criminal fines, and imprisonment.
Considering the consequences of violations, restaurant owners should regularly consult with their employment counsel to review their practices and policies to ensure compliance with state and federal law.

Karina L. Schrengohst, Esq. and Amy B. Royal, Esq. specialize exclusively in management-side labor and employment law at Royal LLP, a woman-owned, boutique, management-side labor and employment law firm; (413) 586-2288; [email protected]; [email protected]

Cover Story
New Development Officer Is Focused on the Big Picture

January 16, 2012Kevin Kennedy, long-time aide to Richard Neal while he was both mayor of Springfield and the congressman representing the state’s second district, was recently named the city’s chief development officer. In that capacity, Kennedy said he plans to take full advantage of his knowledge of the city, as well as lessons taken from involvement in projects ranging from the building of Monarch Place to the recent State Street Corridor initiative.

Kevin Kennedy is still settling into his new office on Tapley Street.
He told BusinessWest that he has several blank walls to cover, and is still making up his mind on just how to carry out that assignment. However, there are some items up, and together they tell a lot about the city’s new chief development officer, and also help explain why he’s supremely confident he’ll hit the ground running in his new position.
First, there’s the picture of the U.S. team at the first Nike Hoop Summit in 1995. Kennedy, then the head coach at Cathedral High School, is visible on the far left, just a few spots down from an 18-year-old Kevin Garnett. (The event was staged at the Basketball Hall of Fame, and it wanted a local coach to take part). There’s also a framed poster announcing then-President Bill Clinton’s visit to Springfield on Nov. 3, 1996, the so-called Celebrate Democracy event at which he campaigned for himself, but also for John Kerry in his pitched Senate battle against Bill Weld. Kennedy said he was asked to be “protocol chief” for the president and his entourage on that visit.
Also framed and hanging beside his desk is a rendering of the new federal courthouse on State Street, a project that Kennedy helped see from conception to reality as chief administrative aide to Congressman Richard Neal, who secured the funding to build the facility. And then there’s one that will soon be going up — a frame holding two architect’s renderings of what the Great Hall inside Union Station will look like when it’s renovated. (Kennedy always uses ‘when,’ not ‘if,’ as he discusses Union Station, even though the building has been mostly vacant for more than 30 years.)
Together, the wall art tells of Kennedy’s long involvement in Springfield politics, sports, economic development, and even architecture. Individually, they speak to passions — basketball (he won championships as both a player and coach at Cathedral), public service, and, yes, Union Station. The courthouse rendering? That symbolizes strategic planning, he explained, adding that the facility isn’t simply a building, but rather one part of a much larger initiative involving the State Street corridor (more on that later).
“It’s good to have an institutional memory,” said Kennedy, noting that he’s worked for or with every mayor of Springfield, in one capacity or another, since the mid-’70s. “You don’t want to live in the past, but it’s good to know what’s happened previously, what’s worked, and what hasn’t worked.”
Kennedy said his knowledge of Springfield and all the players there — something lacked by some recent occupants of his office — coupled with his experience taking plans from start to finish and his work on broad strategic endeavors, persuaded him that he was the right person for this job, and especially at this critical juncture in the city’s history.
Indeed, 2012 will be a year when tornado-recovery plans are put on the table, many downtown initiatives could take big steps forward, the Union Station project may actually go to bid, and the casino debate — with a Springfield site among many in contention — will intensify.
“While the hits we took in 2011 were substantial, I foresee a very good year in 2012 — we have enormous possibilities,” said Kennedy. “If we can all work together and coalesce around the plans and come up with the correct strategies to implement what’s there, we’ve got great opportunity. We still have good bones and great institutions, and I think downtown will take on a completely different vitality in 2012.”
For this issue, BusinessWest talked at length with Kennedy about his new position, his thoughts on what’s next for Springfield, and how to transform plans into reality.

Background — Check
When asked why he wanted to take on the high-profile chief development director’s job at this stage in his career, the 58-year-old Kennedy smiled and said, “I thought I was still young enough to take on some more challenges.”
Elaborating, he said he wanted to take some of the lessons — and measures of success — garnered from the courthouse and State Street corridor initiatives and apply them to the broad canvas of citywide development.

site of the former Tech High School

Kevin Kennedy says the state data center now under construction at the site of the former Tech High School is an integral part of a much broader State Street corridor improvement project.

“The thing that’s attractive about this,” he explained, “is that you get to combine thinking about things — which you must do because you really have to think ahead — with actually getting something done.
“When a project comes up, be it large or small, and obviously the larger ones are a little more complicated, you have to be able to develop the plan and execute the plan,” he continued. “And to go along with all that planning and execution is strategy, which is the piece that keeps the planning and execution together; it’s the glue.”
And as he goes about applying this glue, Kennedy said he’ll take every bit of experience from his nearly 40 years of service to the city and Neal with him to his new office in the Tapley Street municipal complex.
That location is only a stone’s throw from where Kennedy grew up, on Melbourne Street, which no longer exists because the property was taken to build I-291 in the late ’50s. From Hungry Hill, Kennedy’s family moved to the East Forest Park neighborhood, and he attended nearby Cathedral.
He graduated from St. Anselm’s during the recession of the mid-’70s and, after a lengthy search for work, found a position with the city through the Comprehensive Employment and Training Act (CETA) in 1974. He started as a personnel assistant and worked his way up to become personnel director in 1978. Soon thereafter, he became the city’s collective bargaining agent and negotiated labor contracts.
He left municipal service to work for a technology-related startup, Data Management Corp., before branching out into individual data-processing consulting. When Neal was elected mayor in 1985, Kennedy joined him as executive assistant (a job now titled chief of staff), and in that position essentially ran the day-to-day operations of the city.
When Neal was elected to Congress in 1988 following the retirement of Ed Boland, Kennedy eventually joined him after first staying behind to facilitate the transition to first interim mayor Vincent D’Monico, and then elected mayor Mary Hurley.
He coached at Cathedral from ’85 to ’97, during what he called “one of the golden eras” for local high-school sports.
“I had Derrick Kellogg, and Howie Burns had Travis Best and Edgar Padilla at Central,” he said, noting that Kellogg and Padilla played at UMass and Kellogg now coaches there, and Best enjoyed a solid career in the NBA. “We used to fill up the Civic Center; we didn’t play our homes in our own gyms because too many people wanted to watch them.”
In recent years, Kennedy’s responsibilities with Neal have involved more work that would be considered economic-development related, including the State Street corridor, the new courthouse, and Union Station, which he described, alternately, as a “personal challenge” and “the next thing we have to do to complete the plan, with that plan being preservation of the central business district.”

Tracking Results
Kennedy said he clearly remembers what he considers the last big event in the Great Hall. It was early in 1977, he explained, when Neal used the facility to announce his candidacy for Springfield City Council.
“It still looked good then,” he recalled. “It had declined somewhat, but it was still in good shape, and it was still a special place, one with a lot of history.
The hall has been seen by only a few people — maintenance crews, journalists (BusinessWest has been inside a few times), economic-development leaders, and representatives of prospective tenants — over the past 25 years, said Kennedy, noting that efforts to revitalize the station do not constitute a project, although many hold that opinion.
Rather, he explained, the initiative is an important part of a much broader plan for bringing more vibrancy to the central business district. That plan involves the full length of Main Street — from the South End, where the equation, not to mention the landscape, has certainly been changed by the June 1 tornado, to the Chicopee border. It also involves State Street and many other arteries, said Kennedy, noting that all but a handful of Springfield’s neighborhoods are included in this plan.
Elaborating, he said Union Station’s transformation into an intermodal transportation center is one of the links in the chain in downtown revitalization. Some have been completed — 1550 Main Street, the new federal courthouse, and the convention center, for example — but most are still in progress. That list includes Court Square redevelopment initiatives (specifically 31 Elm St.); the Paramount and other endeavors involving the New England Farm Workers’ Council and its energetic leader, Herbie Flores; the vacant and partially demolished Asylum building; and others.
Union Station’s redevelopment would be a catalyst for further progress in the so-called North Blocks area, and the North End as well, said Kennedy, who drew an analogy between the current efforts downtown and the ongoing work along the State Street corridor, while returning to the subject of strategy.
The new federal courthouse was a piece of the State Street initiative, albeit a big one, he continued, adding that there were and are many other components to that strategic plan.
Finding a new use for the abandoned Technical High School was another big piece of the puzzle, he went on, noting that this is why Neal fought tooth and nail to put the state data center (now under construction) there, as opposed to the Technology Park at STCC or anywhere else.
“We knew that we wanted to build a new courthouse,” he explained, “and we knew we had to deal with the disposal of the old courthouse. We also knew that, by itself, the courthouse is not a real economic generator, so the congressman came up with the State Street corridor improvement project, which is what really leveraged the investment in the courthouse.
“We also knew that Tech, which had been sitting there since 1986, was a serious issue in terms of both State Street and the new courthouse,” he continued. “So you had to get a plan that was executable to not only build a new courthouse, but dispose of the old courthouse, do something with Tech, and make all the other real-estate transactions that were necessary for this to happen. There were so many moving pieces that had to be put together, you needed a strategic plan to get them done.”
Returning to Main Street and the central business district, he said individual initiatives are part of a broader plan there as well. And he believes that enough pieces of the puzzle are falling into place to generate more private-sector investment downtown.
“Between reuse of the [old] federal building, Cambridge College coming to Tower Square, 31 Elm St., Union Station, and some other announcements to be made soon, we’re starting to aggregate enough people down there to generate economic-development activity,” he explained. “And, frankly, it’s up to the private sector to take advantage of it.”

Pieces of the Puzzle
When asked about his approach to economic development, Kennedy said he’s adopted the philosophy and operating style of his mentor in this realm.
That would be Gerald Hayes, who was the city’s chief development officer in the mid-’80s, and thus worked with Neal and Kennedy to make the Monarch Place project a reality.
“I learned a lot from him about how to manage a large-scale project and a small-scale project, and the biggest thing I took from him is the importance of accountability,” said Kennedy. “You convene regular meetings, with assignments of future tasks, and then report on what you accomplished on those future tasks, so you’re accountable.
“We did that when we did State Street — we sat regularly, twice a month for two years, planning the corridor project,” he continued. “The results were minimal change orders, and the project came in $600,000 under obligation; the same was true with the federal courthouse. If you spend enough time planning what you want to do, and you do it correctly, that’s critical to the project.”
Accountability will be a much-needed character trait moving forward, said Kennedy, noting that there are many large, complex projects — either in progress or in the offing — that will require high levels of coordination between local, state, and federal officials, and could be described as public-private initiatives.
Tornado recovery certainly falls into that category, he said, noting that, while the June 1 twister impacted several Springfield neighborhoods, most of the rebuilding efforts moving forward will involve the South End, Six Corners, and East Forest Park areas.
A recovery plan is expected from the consulting firm Concordia later this month, said Kennedy, adding that it is likely to spell out specific initiatives for each impacted area. For the South End, where much of the speculation is focused, he expects retail and residential components that will enhance but not change the character of that neighborhood.
“I think it needs much of what it had before,” he told BusinessWest, “which means lots of walk-in retail — it used to be the greatest place to go for restaurants — and you still need a housing component to go with it.
“I don’t think the ideas today will be much different than they were,” he continued, “but they’ll be modern, and there are already people out there speculating, which I take as a good sign.”
Union Station is perhaps the most complex of the endeavors, Kennedy explained, because it is involves a number of players, government agencies, and potential funding sources, including a new round of TIGER (Transportation Investment Generating Economic Recovery) grants from the U.S. Department of Transportation and another transportation reauthorization program (one is about three years overdue).
The plan is to seek bids late in 2012 for construction of a project that will blend transportation elements — rail, inner-city bus, and possibly intra-city bus — with transportation-related businesses and agencies that will fill roughly 75,000 square feet of space, said Kennedy. In that latter category would be the Pioneer Valley Transit Authority offices, the Pioneer Valley Planning Commission, transit-related retail, and what he called “opportunity space.”
If all goes as planned, the project would be completed by 2015 or early 2016, in conjunction with improved and expanded north-south rail service from Southern Vermont to New Haven, with a projected 25 runs a day between Springfield and Hartford going through Union Station.
When asked about the proverbial elephant in the room — casinos — Kennedy, sounding much like Mayor Domenic Sarno in recent interviews, said that, while he won’t necessarily advocate for a casino in Springfield, he considers it his job to make sure that Springfield gets the best “deal” possible, whether the casino is built in the old Westinghouse House site, Palmer, Holyoke, or anywhere else.
And by ‘deal,’ he meant a wide range of considerations, from preferences on employment to traffic-mitigation efforts; from tax benefits to measures that will help minimize the impact on a host of other hospitality-related businesses.
“If you’re in the hospitality business and you’re around a casino, you’ve got a problem,” he said. “Springfield could get hurt, Northampton would get seriously hurt, and Amherst could take a real hit, depending on where this casino is located.
“If we’re going to get one in Springfield, we need to think a little bigger than that citadel, or that fortress that a casino could be,” he continued. “If we put a casino in the North Blocks, for example, and coupled it with a baseball stadium and a revitalized Union Station, and insisted that the MassMutual Center and Springfield Symphony Hall were their performing-arts venue, we’d then have a casino effect that would really be widespread and benefit a lot of people.”

Court of Opinion
While packing up his photo from the Nike Hoop Classic, the Bill Clinton event poster, and the rest of his belongings from his congressional office, Kennedy said he came across his disposition testimony in the legal action involving David Buntzman, former owner of Union Station, and the city of Springfield.
“That goes back to 1989,” said Kennedy, noting that, when the city took the station by eminent domain a year earlier, Buntzman sued for greater remuneration.
Knowing all of what happened back then, and even decades earlier, may not necessarily help in the current efforts to redevelop the station, he acknowledged, but historical perspective, meaning institutional memory, is usually a benefit.
Kennedy has plenty of that, as well as what he called a desire to “get some things done.”
If he can, then he’ll have plenty of new items with which to cover all that wall space.

George O’Brien can be reached at [email protected]

DBA Certificates Departments

The following Business Certificates and Trade Names were issued or renewed during the month of January 2012.

AMHERST

35 South Cycle Studio
35 South Pleasant St.
Lindsay Abbate

Crepe Diem
26 Emily Lane
Maya Stein

USA Constructing
133 South East St.
Mariana Falcon

CHICOPEE

Abram’s Masonry
22 Marcelle St.
Dayna L. Whitten

Dragonfly Properties
41 Reedstone Ave.
Donna M. Fanos

The Fisar Monica Shop
45 Fairview Ave.
James Dascanio

Vital’s Auto Service Inc.
451 Granby Road
Vital M. Fonseca

GREENFIELD

Dillon Chevrolet Inc.
54 Main St.
Thomas Dillon

In Stitches
259 Federal St.
Kathleen McIntyre-Bernier

Life’s a Pooch
25 Laurel St.
Jeremiah N. McLenithan

Neal Music Studio
16 West St.
Raymond Neal

The Masiello Group Commercial Associates
529 Bernardston Road
James J. Fleming

Timeless Beauty Salon
42 Chapman St.
Tina Hickey

W.H. Hutchinson Services
28 White Birch Ave.
Heath Hutchinson

HADLEY

Carr’s Ciderhouse
295 River Dr.
Jonathan Carr

Donut Man
142 Russell St.
Tony Santos

International Food Market
206 Russell St.
Hai Cheng

HOLYOKE

Cyberhook Design
55 Laura Lane
Franklin W. Dorman

Fast Eddies Citgo
679 Main St.
Iyad Jamal

K.W. Property Management
97 Locust St.
Kenrick Williams

Stop & Go
399 Hillside Ave.
Irfan Kashif

LUDLOW

Element Salon & Day Spa
21 Harding Ave.
Dan Montgomery

Flavr Flames Kitchen LLC
247 Cady St.
Paul Mock

Lavoie Family Chiropractic
733 Chapin St.
Christopher Lavoie

Western Mass Educational Advocacy Services
116 Sewall St.
Karen Mowry

PALMER

Eric’s Repair & Radiator
1281 South Main St.
Eric Gilbert

Mark Gilberts Auto Repair
24 Orchard St.
Mark Gilbert

Office Care of New England
55 Beacon Dr.
Kathleen Dyer

Pepe’s Tree Service
4231 High St.
Lucas Hebert

Top Notch Contractors
21 Wilbraham St.
Russell Orcutt Jr.

SPRINGFIELD

A & R Trucking Services
33 Cadwell Dr.
A & R Logistics Inc.

A.M.P. Solutions
125 Main St.
Courtney C. Brown

Baystate Employee Assistance
50 Maple St.
Mark R. Tolosky

Bermudez Remodeling
26 Allen St.
Juan L. Bermudez

Big City Builders
42 Arbutus St.
Steven J. Brantley

Chacon’s Trucking
35 Moore St.
Roberto Chacon Jr.

Chris Franklyn Agyei
188 Russell St.
Chris Agyei

Creative Cakes by Colleen
95 Patricia Cir.
Colleen F. Nadeau

Destinee’s Mini Market
2881 Main St.
Florita Ayala

E-V Automotive Repair
11 Front St.
Vance O. Dion

Eric-N-Son’s Trucking LLC
52 Pearl St.
Eric B. Denson

Executive Real Estate
535 Main St.
Amy Rio

Gina P. Allen Typing Services
120 Westminster St.
Gina P. Allen

Gordo World Barber Shop
856 Main St.
Juan A. Rondon

Hanna’s Diner & Deli Shop
184-186 Main St.
Hanna Kucharczyk

Hbookz Distribution Company
12 Mattoon St.
Ibn-Husein Muhammad

Keith’s Carpentry
726 Bradley Road
Keith Fournier

WESTFIELD

Adam & Company Landscape and Design
43 Deer Path Lane
Adam Midura

Adams Power Services Inc.
55A Westfield Industrial Park Road
David Tremblay

Chinto’s Pizza & Restaurant
868 Southampton Road
Jacinto Blanco-Munoz

Clean Sweep
69 Michael Dr.
Debra A. Post

Saari Philanthropy
20 Frederick St.
Faizer Iddrissu

Town Coupons
11 Shadow Lane
Roy Federer

World Peace Beads and Glass Emporium
4 School St.
Suzanne Tracy

WEST SPRINGFIELD

Cruise Center
1285 Riverdale St.
Gorecki Enterprises Corporation

Diamond Gold Connection
389 Park St.
GX Corporation

Friendly Hair Salon
553 Union St.
Tatyana Gitsman

Liquori’s Pizza Inc.
659 Westfield St.
Antonio Liquori

The Crop Shop
338 Westfield St.
Nancy R. Jamrog

Valley Instrument Service
84 Sagamore Road
Ronald Lee Jr.

Briefcase Departments

Friendly Is Closing 37 More Restaurants
WILBRAHAM — Friendly Ice Cream Corp. closed another 37 stores recently, including 10 in the Bay State, before emerging from Chapter 11 bankruptcy protection. The chain, based in Wilbraham, has closed about 40% of its locations in Massachusetts and 20% overall (about 100 restaurants in total) since filing for bankruptcy protection last October. Locally, stores in Springfield, Holyoke, and Great Barrington shut their doors. The most recent closings will result in nearly 800 people losing their jobs, the company said. A spokesperson for Friendly said the company restructured leases for some sites, but could not reach agreements with landlords for 37 restaurants and decided to shut them down at the close of business on Jan. 8.

HCC To Acquire
Grynn & Barrett Studio
HOLYOKE — State Sen. Michael Knapik (R-Westfield) and state Rep. Michael Kane (D-Holyoke) recently announced that legislation authorizing Holyoke Community College (HCC) to borrow $7 million from the Mass. Development Finance Agency for the acquisition and renovation of Grynn & Barrett Studios has passed both branches of the legislature and is headed to Gov. Deval Patrick for his approbation. The bill, which was filed last January, will allow HCC to create a state-of-the-art educational facility for the associate’s degree in Nursing and the Practical Nursing and Radiologic Technology programs at the site currently occupied by the Grynn and Barrett Photography Studios. The building is located across from the college’s secondary access road on Homestead Avenue. These funds will provide an additional 22,000 square feet for specialized and general instruction, and will allow the college to repurpose space on campus freed up by the relocation of these programs. In 2008, the Mass. Division of Capital Asset Management (DCAM) commissioned a space-reallocation study, which concluded that HCC was tightly packed, and the current campus would not allow for projected increases in enrollment. The college has pledged to continue to work with DCAM to develop strategies to address space issues in the future. “This legislation will allow Holyoke Community College to prepare more students for careers in nursing and health care to meet the growing demand for qualified workers,” said Knapik. “This will not only be a boost for the college but for the Pioneer Valley as whole, as many of the students and former students live and work within our communities.” A major component of the new facility will be the HCC SIMuCENTER. This program will introduce simulation into the nursing curriculum, providing students the opportunity to learn clinical decision-making skills, refine technical skills, gain competency in recognizing and preventing common medical errors, and practice a wide variety of commonly occurring clinical events and situations. The SIMuCENTER program will also provide a unique opportunity for the creation of partnerships with other community-college nursing programs and local health care providers to further educate current employees. The college will enter into a 30-year financing plan with the Mass. Development Finance Agency, with the loan to be paid off through student fees. The college will implement a three-tier surcharge, including a $150-per-semester surcharge for Registered Nursing, Practical Nursing, and Radiological Technician students; a $100-per-semester surcharge for Pre-Nursing, Pre-Health, and Foundations of Health students; and a $1-per-credit charge for all students. Currently, HCC is the second-least-expensive community college in Massachusetts at $4,050 per year. The average for all Massachusetts community colleges is $4,545 per year. Patrick is expected to sign the bill into law.

Nominations Sought for Woman of the Year
SPRINGFIELD — The Professional Women’s Chamber, a division of the Affiliated Chambers of Commerce of Greater Springfield, is seeking nominations for its 2012 Woman of the Year Award. The award has been presented annually since 1954 to a woman in Western Mass. who exemplifies outstanding leadership, professional accomplishment, and service to the community. The nominee’s achievements can be representative of a lifetime’s work or for more recent successes. Any woman is eligible for nomination, and a chamber affiliation is not required. For more information and a nomination form, visit www.professionalwomenschamber.com or e-mail committee chair Nancy Mirkin at [email protected]. Nomination documents are due by Feb. 10.

Construction-industry
Unemployment Jumps
to 16% in December
WASHINGTON, D.C. — Despite the addition of 17,000 jobs in December, the nation’s construction-industry unemployment rate jumped to 16% last month, a sharp increase from 13.1% in November, but down from 20.7% at the same time last year, according to the Jan. 6 jobs report by the U.S. Labor Department. For all of 2011, the construction industry added 46,000 jobs (0.8%), representing the best industry performance since January 2007. The average annual construction unemployment rate in 2011 was 16.4%, down from 20.6% in 2010 and 19% in 2009. Non-residential building construction employment stood at 662,200 jobs in December, down by 3,000 jobs compared to November, but up 3,000 jobs (0.5%) compared to the same time one year ago. Residential-building construction employment stood at 567,000 jobs in December, up by 3,000 jobs from the previous month and up 4,000 jobs (0.6%) from the same time last year. Non-residential specialty trade contractors added 20,000 jobs in December and have added 12,000 jobs, or 0.6%, during the past 12 months. In contrast, residential specialty trade contractor employment decreased by 3,000 jobs for the month, but is up by 16,000 jobs (1.1%) from December 2010. Heavy and civil engineering construction employment remained unchanged for the month and has added 11,000 jobs (1.4%) during the course of 2011. Across all industries, the nation added 200,000 jobs as the private sector expanded by 212,000 jobs and the public sector shrank by 12,000 jobs. Year over year, the nation has added 1,640,000 jobs (1.3%). The nation’s unemployment rate fell to 8.5% in December, down from a revised 8.7% level in November and down from 9.4% in December 2010.

Company Notebook Departments

TommyCar Corp. Adds Northampton Volkswagen
NORTHAMPTON — Carla Cosenzi and Thomas Cosenzi are continuing the legacy of their father, Thomas Cosenzi, by adding Northampton Volkswagen to the family-owned company, TommyCar Corp. The dealership, which will add approximately 25 to 30 new jobs in the Northampton area, is located at 48 Damon Road. “We want to strengthen the Volkswagen brand in the Pioneer Valley,” said Carla Cosenzi, president. “It is the leading company in diesel-engine technology, and the cars are an excellent value for the money. We believe we are exactly the right company to build excitement for this line of great cars.” Northampton Volkswagen will offer all models in Volkswagen’s line, including the Jetta, Passat, CC, Tiguan, Touareg, Golf, GTI, Golf R, Jetta SportWagen, Routan, Eos, and Beetle. The dealership will include a service department that offers full service, parts, and repairs for all Volkswagen models.

United Bank Foundation Awards $62,400
WEST SPRINGFIELD — Ten not-for-profit organizations recently received grants from the United Bank Foundation totaling $62,400 that serve individuals and families in the Springfield area and Worcester. The grants included $34,000 to United Way of Pioneer Valley, $2,000 to the Hampshire Community United Way, and $2,500 to United Way of Central Massachusetts. In addition, $6,900 was awarded to the Boys and Girls Club of West Springfield to replace game-room equipment destroyed by water damage as a result of the June 1 tornado. Also, Junior Achievement of Western Mass. received $5,000 from the foundation to support financial-literacy, work-readiness, and entrepreneurial programs for youths in kindergarten through grade 12, while Western New England University was granted $4,000 to purchase equipment for its School of Pharmacy. A $1,000 grant to ServiceNet in Northampton will provide program support for the Fit Together wellness center, which meets the needs of individuals with developmental and emotional challenges. The Worcester Education Collaborative received a $3,000 grant to help ensure that all Worcester public-school students have equal access to excellence in education, and a $3,000 award to the Worcester Youth Center will support the Leap to College program for urban youth. Dress for Success Worcester, which provides business attire for disadvantaged women seeking employment, was awarded $1,000 for operating funds. The foundation’s four primary funding areas of interest are education, health and human services, youth development, and cultural programs. Foundation guidelines can be found by logging onto www.bankatunited.com.

Firm Achieves LEED Gold Certification
SPRINGFIELD — Dietz & Co. Architects Inc. has received Leadership in Energy and Environmental Design (LEED) for Homes Gold certification from the U.S. Green Building Council for the recently completed units at the YWCA’s Campus of Hope. The new units provide housing that serves to transition women from domestic-violence shelters to longer-term living facilities. The 32,000-square-foot project is made up of 20 apartments and eight congregate housing units within its walls. The project was part of the larger Campus of Hope initiative that was started more than 10 years ago for which Dietz & Co. was the master planner. The firm also designed the first phase of the campus, a 60,000-square-foot building that includes administrative offices, meeting and classroom space, as well as an on-site shelter. The YWCA project was originally designed to achieve the LEED for Homes Silver certification level, but exceeded that level by achieving Gold certification. Several factors that supported the Gold certification include super-insulated walls and airtight construction, efficient mechanical systems that include roof-mounted photovoltaic panels for electricity, sustainable site design, and the use of green construction materials. A healthy indoor environment, pollution reduction, and lower utility and maintenance costs are also key elements of the certification. The efficient building is expected to reduce water and energy consumption by 20% to 30% over typical code-compliant construction. NL Construction was the general contractor for the project, and the units were supported by the LEED for Homes Provider, CET. The LEED Green Building Rating System is a voluntary, consensus-based national standard for developing high-performance, sustainable buildings.

Amherst Media Offers Animation Workshops
AMHERST — Amherst Media, an Apple-authorized training center, recently added a Winter Break Animation Workshop to its course offerings. Professional illustrator Gregory Miller, who has worked at Cartoon Network, is the instructor for the four-day course. Also, a Final Cut Pro X class will be offered Jan. 16-18 from 10 a.m. to 6 p.m. In addition, a host of training sessions are available for cameras and field equipment, editing, studio use, and numerous software applications, including Final Cut Pro and Photoshop. For more information on all of the available programs, visit www.amherstmedia.org.

Nicolai Law Group Named to U.S. News Ranking
SPRINGFIELD — For the fifth year in a row, Paul Nicolai has been named one of the “Best Lawyers in America” in commercial litigation. His firm, Nicolai Law Group, P.C., also ranked among the “Best Law Firms” by U.S. News & World Report in Springfield’s Tier 1 for Commercial Litigation and Tier 2 for Arbitration, and for Litigation-Eminent Domain and Condemnation. More than 3 million confidential evaluations by 39,000 of the country’s leading attorneys help formulate the lists for the “Best Lawyers in America.” Now in its 18th edition, the reference work is considered a definitive guide to legal excellence in North America, according to Nicolai. The U.S. News ranking took the evaluation process a step further, asking thousands of clients as well as legal peers for feedback on those law firms with “Best Lawyers” on their staff. The publication’s rigorous evaluation process also included information submitted by more than 10,000 U.S. law firms. The guide, in its second year, is intended to help refer lawyers and clients to appropriate sources of legal advice for their needs. The Nicolai Law Group represents businesses and their owners in Massachusetts, Connecticut, New York, New Hampshire, and Washington, D.C.

Departments Picture This

Send photos with a caption and contact information to: ‘Picture This’
c/o BusinessWest Magazine, 1441 Main Street, Springfield, MA 01103 or to [email protected]

Future Returns

The Mass. Bankers Assoc. Charitable Foundation recently presented Cooley Dickinson Hospital with a check for $5,000 to support the hospital’s Building Our Future campaign. Pictured, from left, are Craig Melin, president and CEO of CDH; Ken Bordewieck, senior vice president of Easthampton Savings Bank; Joanne Finck, CDH Building Our Future campaign chairperson; William Stapleton, president of Northampton Cooperative Bank; and Dan Forte, president and CEO of the Mass. Bankers Assoc. Charitable Foundation.

Court Dockets Departments

The following is a compilation of recent lawsuits involving area businesses and organizations. These are strictly allegations that have yet to be proven in a court of law. Readers are advised to contact the parties listed, or the court, for more information concerning the individual claims.

FRANKLIN SUPERIOR COURT
Jason Brooks v. Charter Oak Fire Insurance Co.
Allegation: Failure to amounts due under insurance contract: $66,000
Filed: 11/8/11

GREENFIELD DISTRICT COURT
Capital One Bank v. Ace Cab Two
Allegation: Non-payment for goods charged on credit account: $7,513.49
Filed: 11/10/11

HAMPDEN SUPERIOR COURT
James Afflitto v. Shuttle X Transportation, LLC
Allegation: Breach of employment contract: $25,000+
Filed: 11/10/11

Liberty Mutual Insurance Co. v. Brian Michalyzk Excavation & Trucking
Allegation: Non-payment of workers’ compensation policy: $83,233.58
Filed: 11/21/11

New Penn Motor Express v. Insulation Machine Corp.
Allegation: Non-payment of shipping services: $94,090.41
Filed: 11/29/11

Plastic Resource Inc. v. Igor Poltavets, Bergen Industries Inc. and James P. McKay
Allegation: Breach of contract and conversion of equipment: $133,810.50
Filed: 12/6/11

Richard and Doreen Weisner v. Bertera Chrysler Jeep Inc.
Allegation: Misrepresentation and deceit in the sale of a vehicle: $25,000
Filed: 11/21/11

PALMER DISTRICT COURT
Stephen Plifka v. Liberty Mutual Insurance Co.
Allegation: Claim for non-payment of benefits: $5,000
Filed: 11/30/11

SPRINGFIELD DISTRICT COURT
ABC Supply Co. Inc. v. Nick’s Affordable Home Improvement Inc.
Allegation: Breach of contract: $8,605.88
Filed: 11/21/11

Alphasite v. Dunbar Community Center Inc.
Allegation: Breach of contract and non-payment of services: $7,267.50
Filed: 12/9/11

Christopher R. Brunell v. Jump & Bounce Inc. and Brenda G. Chouinard
Allegation: Breach of contract and failure to pay on promissory note: $20,000
Filed: 11/22/11

United Rentals Inc. v. Defelice Corp.
Allegation: Non-payment of materials, equipment, and services on a construction project: $23,826.52
Filed: 12/6/11

WESTFIELD DISTRICT COURT
Airflyte Inc. v. Waltzing Matilda, LLC
Allegation: Remaining balance due for FAA inspection and repairs to a Cessna aircraft: $70,934.19
Filed: 12/9/11

Ford Motor Credit Co., LLC v. Eg Partners, LLC
Allegation: Non-payment on retail installment sales agreement: $2,943.79
Filed: 11/9/11

Chamber Corners Departments

Amherst Area
Chamber of Commerce
www.amherstarea.com
(413) 253-0700
  
• Jan. 25: Amherst Area Chamber After 5, 5-7 p.m. Cost: $5 for members; $10 for non-members. The new chamber Web site will debut.

Franklin County
Chamber of Commerce
www.franklincc.org
(413) 773-5463
 
• Jan. 17: Business After Hours, 5-7 p.m. at the Farm Table at Kringle Candle, Bernardston. Tickets: $5 for members, $8 for non-members.
 
• Jan. 27: Breakfast Series, 7:30-9 a.m. at the Greenfield Corporate Center. Program TBA. Co-sponsored by F/H Career Center. Tickets: $12 for members, $15 for non-members.

Greater Easthampton
Chamber of Commerce
www.easthamptonchamber.org
(413) 527-9414

• Jan. 26: Chamber Annual Meeting & Awards Dinner, 5 p.m. at Southampton Country Club. Annual awards presentation for business, business person, and nonprofit members of the year. Also, a review of a successful, 2011, and a celebration of member milestones. Cost: $30 per person, inclusive. For more information, visit [email protected]

Greater Holyoke
Chamber of Commerce
www.holycham.com
(413) 534-3376
 
• Jan. 18: Chamber After Hours, 5-7 p.m., at Mrs. Mitchell’s Kitchen, 514 Westfield Road, Holyoke. Sponsored by Holyoke Credit Union. Cost: $10 for members, $15 cash for non-members.
  
Professional Women’s Chamber
www.professionalwomenschamber.com
(413) 755-1310
 
• Jan. 18: Professional Women’s Chamber Business Expo, 11:30 a.m.-1:30 p.m., at Max’s Tavern at the Basketball Hall of Fame. Accepting reservations for the 14th Annual Tabletop Expo. Last year’s successful expo was a sellout. Sign up today to showcase your company’s products and services or to attend the event. Display price includes a draped table and lunch for one. General admission tickets include specialty sandwiches, fruit, chips, and dessert. For more information, contact Lynn Johnson at (413) 787-1555 or [email protected]

Greater Westfield
Chamber of Commerce
www.westfieldbiz.org
(413) 568-1618

• Jan. 18: WestNet networking event, 5-7 p.m., at Tucker’s Restaurant, 625 College Highway, Southwick. Opportunity to meet other local businesses and chamber members. Cash bar and free hors’doeuvres. Tickets: $10 for chamber members, $15 for non-members. Your first WestNet is always free.

Young Professional Society of Greater Springfield
www.springfieldyps.com

• Jan. 19: YPS Third Thursday, 5-7 p.m., Nadim’s, East Longmeadow. Complimentary hors d’oeuvres and a cash bar. Enhance your social and business networking skills. For more information, visit www.springfieldyps.com

Opinion
Thing5 Move Downtown Spurs Momentum in Springfield

The recent announcement that Thing5 LLC will be creating a new call center in One Financial Plaza, thus bringing 500 new jobs to Springfield, is a positive story for the city and the region — on a number of levels.
Let’s start with the jobs. That’s priority No. 1 in the Greater Springfield area, and it has been for many years now. Some might look at this and say, ‘it’s only call-center jobs,’ or words to that effect, but these opportunities come on many levels, from entry positions to management slots, and, in many cases, they can be handled by those who do not possess a college education. The region needs those high-quality jobs (call them white-collar, if you like), but it also needs employment opportunities like these, especially in such large volume.
Beyond the employment factor, there are many other aspects to this story, all of them positive. First, this company started here, in the Technology Park at Springfield Technical Community College — which was created to spur this kind of tech-related enterprise — and thus provides solid evidence that we can incubate ventures and grow them into major employers.
Also, this company stayed here. Indeed, when it reached that proverbial next level, there were, quite obviously, opportunities to take Thing5 almost anywhere — because there isn’t a city or town in the Commonwealth or well beyond it that wouldn’t fight, and fight hard, for 500 jobs. But management chose to stay in the City of Homes, largely because of the lower cost of living, available workforce, access, quality of life, and affordable commercial real estate.
This shows that our various assets are tangible — and sellable.
But perhaps the biggest benefit will come in the form of greater momentum downtown. First, this move gives a substantial boost to the office tower known as One Financial Plaza, which has had several dark floors for many years, but has been staging something of a comeback recently.
Beyond that, though, the 500 new employees working downtown will provide a larger critical mass of people needed to spur additional investments, be they in support businesses, hospitality-related ventures such as restaurants and clubs, or badly needed retail.
And there is another component — the possibility that some of these employees may soon be working and living downtown, thanks to a program that will offer reduced lease rates to Thing5 employees at the nearby Morgan Square apartments, managed by the same company (Samuel D. Plotkin) that also manages One Financial Plaza. This additional residential piece could further stimulate investment in the central business district and be a key contributor to the kind of vibrancy that other Northeast cities have enjoyed.
As we said, there are many angles to this positive story for Springfield and its downtown. The headlines were all about the jobs coming to the city — and that’s an important aspect of this — but there are many other elements that bode well for the City of Homes.