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Deerfield Emphasizes Diverse Destinations

By Joseph Bednar February 13, 2025

Community Spotlight Special Coverage

Community Spotlight

In the last 12 months, Deerfield has attracted more than 1.1 million visits, with 48.5% of all visitors classified as tourists, with their home residence more than 50 miles away.
Staff Photo

While Deerfield is home to Yankee Candle Village, Historic Deerfield, the Magic Wings Butterfly Conservatory, and other tourist attractions, its economy is broad, covering sectors ranging from agriculture and manufacturing to retail, restaurants, and the arts.

That diversity is an asset, said Jessye Deane, executive director of the Franklin County Chamber of Commerce, which is based in Deerfield. And the community continues to add assets, thanks to a series of developments over the past few months.

Like the Golf Club, a new, 24/7, membership-based indoor golf simulator.

“I’m an avid golfer,” owner Frank Messana explains on his website. “When COVID forced-retired me from Comcast due to downsizing, I realized I wasn’t ready to sit around all day. So I decided to chase a dream I’ve had for many years of opening a state-of-the-art driving range when I retired.

“Then, I thought, what golf in this area really needs is a great place to go when the courses (and us golf nuts) are freezing cold for too many months. You know how it goes … spend all the warm months playing, practicing, and improving only to have to start at square one after the long, cold layoff from the game we love. I want to help golfers of all skill levels stay sharp over the winter season, when those bitter nor’easters keep us off the course.”

On the municipal front, development plans continue around the town campus, a collection of buildings including the current Town Hall, two churches, and a former elementary school.

Last month, the Zoning Board of Appeals granted the what’s known as the 1888 Building — that’s the former school, at 67 North Main St. — a variance to allow the structure to exceed the town’s 35-foot height limit. That clears the way for the 136-year-old building to be converted into a modern town hall, with a full renovation and a 2,600-square-foot addition. The $8 million project, funded by $3.8 million in Community Preservation Act money and a $4 million federal earmark, is expected to begin construction this summer.

Meanwhile, Deane said, “Tilton Library is being renovated and is a very involved, very impressive project.”

The project at 71 North Main St. will nearly triple the building’s space to 12,784 square feet and include expanded teen and children’s rooms, meeting and co-working spaces on the second floor, and what’s being called a ‘nighttime suite,’ which will be accessible after library hours and feature meeting spaces, a small kitchen, and bathrooms.

“Tree House Brewing is expanding their outdoor music concert series, and it has generated foot traffic.”

Nearby, Rivermoor Energy recently completed a new electric-vehicle (EV) fast-charging hub in downtown South Deerfield, in partnership with the town and the Federal Highway Administration. The project was funded by a $2.46 million federal Charging and Infrastructure grant, made possible by the Bipartisan Infrastructure Law. The EV-charging hub, located at 59 North Main St., is open to the public.

“This project is not only an impactful one for the environment and the advancement of clean energy, but it’s also a boost for the economic backbone of our town,” Town Administrator Christopher Dunne said at the opening. “With the added accessibility, climate-change mitigation, and new pedestrian walkways leading to downtown businesses, Deerfield can continue to thrive and serve its local business owners and attract new customers to our business community.”

Speaking of downtown development, a just-announced, $500,000 Complete Streets grant will fund the construction of a 10-foot-wide, shared-use path with plantings on the north side of Elm Street and a crosswalk on the south side. Other improvements will include curb ramps, flashing beacons, and bicycle racks.

Music in the Air

Just up Route 5, Tree House Brewing Co. has become a destination unlike any other in town — not only as a thriving brewery, but as host to a summer outdoor concert series that’s drawing big crowds to see some big names.

While the venue did generate some neighborhood noise complaints toward the end of its 2024 season, Tree House Compliance and Business Development Manager Allison Masley assured residents at a hearing last month that the venue has been trying to readjust the way its stage faces in an effort to mitigate the issue.

Attendees gather early for one of Tree House Brewing’s summer concerts last year.

But, at the same time, Tree House Director of Finance Mark VanAtta noted that, with 62% of concertgoers living at least 50 miles away, the business generated about $8 million in revenue to the community, while Tree House itself contributed $137,000 in taxes and another $35,000 in meal taxes, as reported in the Greenfield Recorder.

“Not only are people coming and spending money at Tree House, but these are people that are coming from different communities to this community to spend money to have a good time,” VanAtta said.

Deerfield at a Glance

Year Incorporated: 1677
Population: 5,090
Area: 33.4 square miles
County: Franklin
Residential Tax Rate: $13.25
Commercial Tax Rate: $13.25
Median Household Income: $74,853
Median Family Income: $83,859
Type of Government: Open Town Meeting
Largest Employers: Yankee Candle Co., Pelican Products Inc.
* Latest information available

The chamber sees the concert series as a definite plus, Deane noted. “Tree House Brewing is expanding their outdoor music concert series, and it has generated foot traffic.”

Indeed, over the last 12 months, Deerfield has attracted more than 1.1 million visits. By the state’s definition, 48.5% of all visitors can be classified as tourists, meaning their home residence is more than 50 miles away.

During that time, Tree House’s South Deerfield location attracted 240,500 visits from 145,500 visitors. Of those visitors, 23.3% had a household income of $200,000 or more, 37.9% of all Tree House tourists stopped at least one local business before going to Tree House, and 42.9% visited a local business after their visit.

Meanwhile, back at the chamber, Deane said many Deerfield businesses are participating in a redesigned, relaunched Franklin County gift card, another reason for visitors to head to this town of just over 5,000 residents.

“Through our work as both Franklin County’s Chamber of Commerce and Regional Tourism Council, we are especially attuned to the critical role Deerfield plays in Franklin County’s economy, thriving on a diverse economic base and hosting businesses ranging from retail to advanced manufacturing,” Deane said. “With attractions like Historic Deerfield, Sugarloaf Mountain, Yankee Candle, Clarkdale Fruit Farms, Berkshire Brewing Company, Tree House Brewing Company, and more, Franklin County is fortunate to benefit from Deerfield’s vibrant mix of industries and a steady stream of visitors who contribute to our regional economy.”

Chicopee Makes Some Landmark Improvements

By George O'Brien January 31, 2025

Community Spotlight

From left, Lee Pouliot, Krista Benoit, Brett Brown, and Bob Alger stand in the main entrance to the former main library in Chicopee, now undergoing historic rehabilitation for use as a community hub.

‘Historic rehabilitation.’

That’s the phrase Lee Pouliot and others used to describe work at Chicopee’s historic City Hall and the neighboring, long-closed main library.

In doing so, they made the distinction between this type of work and historic restoration.

Indeed, the latter returns something to what it once was at a specific point, said Pouliot, director of the city’s Planning Department, adding that this will not be the case with either building.

Indeed, the library, closed since 2004, when a new facility was built, will be renovated for use as a community hub, home for a farmer’s market, and meeting space, said Pouliot, while phase 2 of a project at City Hall and its annex will involve an office-by-office renovation of spaces to suit current needs and technology and make the best use of those spaces.

“One purpose of the project is to right-size some of the office spaces; we have some offices that have too many people crammed into too small a space,” he explained. “Another priority is building security. In working with all the department heads, we identified the offices that get the most visitation on a daily basis and tried to relocate them to the lower floors of the building, so we didn’t have the public accessing areas that they don’t need to.”

The City Hall project, which has been ongoing for a decade, has been slowed by the pandemic, but also a lengthy — as in more than three years — design phase that required large amounts of data collection from city department heads and employees about space requirements and specific needs.

Historic rehabilitation of the two downtown landmarks, work that has been ongoing through four mayoral administrations, is just one of the storylines involving Chicopee, the region’s second-largest city.

“One purpose of the project is to right-size some of the office spaces; we have some offices that have too many people crammed into too small a space.”

Others include everything from ongoing efforts to repurpose several old mills and create sorely needed new housing — projects that dovetail nicely, as we’ll see — to efforts at Elms College to cope with the many issues and challenges in higher education today, especially the so-called demographic cliff, a sharp decline in the number of the number of 18-year-olds entering college. But there are others as well, including the soaring cost of higher education and the need to help students and their parents meet it, as well as free community college, which is both a challenge and an opportunity.

The college is taking steps to help bring that cost down and afford more opportunities for a college education through initiatives such as the recently announced Elms Promise, a financial-aid program designed to provide full tuition coverage for students from families earning less than $85,000 annually.

“The cost of a college education has been on the increase, and families’ income has not increased as fast as the rise in tuition,” Elms College President Harry Dumay said in explaining the genesis of the program, adding that, since its inception, the school has placed an emphasis on being affordable for all types of students.

For this, the latest installment of its Community Spotlight series, we take an in-depth look at Chicopee and how it is building momentum — in all kinds of ways.

History in the Remaking

As they talked with BusinessWest in the former City Council meeting chambers on the fourth floor of City Hall, Pouliot; Krista Benoit, a project manager for Northampton-based D.A. Sullivan & Sons; and Bob Alger, senior project manager for NV5, a Hadley-based engineering firm, noted that the renovation of City Hall, opened in 1871, has been a decade-long project that essentially began when two panes of stained glass fell out of the rose window at the front of the building.

Phase 2 of the ambitious City Hall project will follow recent work like this renovated auditorium.

Then-Mayor Richard Kos asked Pouliot to undertake an emergency stabilization and historic-structure analysis to determine if there were physical deficiencies in the building’s structure. Dietz & Company Architects of Springfield was hired to work on both, and the firm determined that there were a number of significant deficiencies that needed to be addressed in both City Hall and the annex.

Emergency stabilization work included everything from the removal of stones from the clocktower amid fear of them falling to removal of the stained glass throughout the building for protection, Alger said.

Following these initiatives, funding was secured for phase 1 of historic rehabilitation work, which entailed work on the building envelope and the HVAC systems, he went on, adding that this included roof replacement, stone and masonry repair, brick repair, replacement of all the windows in both buildings, and a stunning renovation of the auditorium, a $17 million endeavor overall.

Phase 2, a $16 million project, will involve a three-year schedule of moving through the building, renovating and rightsizing offices, said Benoit, who first became involved in the project while working as a designer for Dietz and Company, and is now on the construction side with D.A. Sullivan, which also handled phase 1.

She noted that D.A. Sullivan has a strong track of work for area municipalities and in the areas of historic restoration and rehabilitation.

“We’ve been around for so long now, 1897, we’re now renovating many of the projects we actually built,” she said, adding that the Chicopee projects involve buildings on the National Register of Historic Places.

Pouliot noted that the contractors will hopscotch through the buildings, renovating a few offices at a time.

“We’re taking two to three office spaces offline at any given time, relocating staff to vacant office space, remodeling those offices, and moving staff back in,” he explained, adding that several departments will be moved to different floors or different areas that better suit their needs and those of the public.

These will be gut remodels, he went on, adding that it will take three to eight months to ready each space for its new occupant.

As for the library, Pouliot said there have been several requests for proposals issued for the city’s old library, and, over the years, a few intriguing uses have been proposed.

There was talk of a brewery that never really got off the ground, he said, adding that the concept that gained the most traction — but not enough to become reality — was to make the landmark home to the largest private collection of Franklin D. Roosevelt memorabilia, some 10,000 pieces, once housed in Worcester. There was even talk of the possible creation of a Roosevelt Study Institute and a collaboration between the museum and Elms College.

The ‘community hub’ concept was ultimately deemed the alternative that made the most sense, said Pouliot, adding that it transforms the library into a different kind of community resource, one that will hopefully bring more people and vibrancy to the Market Square area.

Grade Expectations

While the city works to rehabilitate its landmarks, one of its leading institutions, Elms College, is trying to build a more secure future by taking a proactive approach to the many challenges facing higher ed today, especially smaller, private institutions.

“There’s never a moment to rest,” said Dumay of this challenging time, describing Elms as being “healthy, not wealthy.”

By that, he meant that the school has a small endowment — $12 million, although it’s much larger than it was even a few years ago — but it remains in solid fiscal heath, thanks to steady enrollment in many of its divisions. These including transfers, continuing education, and graduate programs, making up for a decline in enrollment among high-school graduates, something being seen across this region and across the country, a situation exacerbated by what Dumay (and many others) have called the “less than adequate rollout” of Free Application for Federal Student Aid, or FAFSA.

“We had a really good year of students transferring to Elms College, a good year for students completing their degrees through our continuing-education program, and a good year of graduate students,” he explained. ‘Overall, we took in around the usual number of 500 students that we traditionally take in for all categories, despite the fact that, with our first-time freshmen, we didn’t reach the target that we were looking for.”

In this environment, schools need to be aggressive in telling their stories, stress their strengths and values — and the value they provide — and be responsive to those challenged by the high cost of a college education, he said, adding that the Elms Promise was created to help empower those students least likely to afford higher education, and it underscores the school’s affordability.

Chicopee at a Glance

Year Incorporated: 1848
Population: 55,560
Area: 23.9 square miles
County: Hampden
Residential Tax Rate: $15.16
Commercial Tax Rate: $32.62
Median Household Income: $35,672
Median Family Income: $44,136
Type of Government: Mayor; City Council
Largest Employers: Westover Air Reserve Base; J. Polep Distribution Services; Callaway Golf Ball Operations; Dielectrics; MicroTek
* Latest information available

“Having this Elms Promise out there clearly and crisply conveys to students and their families that an Elms College education can be as within their reach as some of the other alternatives available to them,” he explained, adding that this includes MassEducate, the state’s free community-college initiative, which, as noted earlier, is both another challenge and a great opportunity down the road.

“I’ll always be in favor of any initiative that makes college accessible for students,” said Dumay, a first-generation college graduate himself. “And we already know that this has increased enrollment at community colleges significantly, in this area and beyond. And because of the articulation agreements we have with all the area community colleges, and because many of the community-college students transfer to us, we’re expecting the number of students that will transfer to us to increase, and we see that as an opportunity down the road.”

Developing Stories

While Elms copes with its challenges, the city continues its work to put some of its former mills back to productive use while also addressing an urgent need for more housing.

Pouliot said the owners of the last remaining building in the Facemate manufacturing complex, the so-called Baskin parcel, are finalizing the securing of resources from the Commonwealth, and a groundbreaking is expected in the near future on 105 units of housing.

Meanwhile, a developer has been recommended for the four remaining buildings within the massive Uniroyal tire-manufacturing complex, the redevelopment of which has been a more-than-40-year saga, said Pouliot, adding that a mixed-use development that includes housing is being eyed.

These projects are moving slowly, he noted, because of the high cost of rehabilitating former mills of this kind into housing and other uses, as well as the time-consuming process of securing the various forms of financing, often including historic tax credits, needed to make such endeavors viable.

“Slow but steady wins the game when it comes to mill conversion,” he told BusinessWest, adding that the Uniroyal project will most likely develop in phases over several years.

In the case of another huge old mill, Cabotville Industrial Park, formerly home to dozens of various-sized businesses but now mostly vacant, progress has come very slowly, and its fate remains a large question mark.

“There have been a number of owners that have suggested a significant redevelopment project there,” Pouliot said, adding that such talks have been going on for more than 20 years now. “We’ve been stuck in this current round with the current owner, Silverbrick, for two or three years. But it’s a viable project for the right developer with the right experience.”

Housing remains a critical need in the city, he noted, adding that, in addition to the Facemate property and its 105 units, other, smaller projects are advancing, including plans to develop the site of a former Masonic lodge on East Street and the conversion of the former Belcher Elementary School into 24 apartments.

Melissa Breor, executive director of the Chicopee Chamber of Commerce, said redevelopment of Cabotville and other large mills, as well as the smaller projects in and around the downtown area, form one of the keys to continued growth and greater vibrancy in the central business district, which has seen many new businesses open in recent years amid of a spurt of entrepreneurship, which continues today.

She cited the planned redevelopment of a large Victorian home on Grove Street in Chicopee Falls into a mix of housing on the upper floors and a possible wine bar on the first, being undertaken by the owner of nearby Falls Pizza, as an example of this entrepreneurship and the importance of new housing.

“In terms of economic development and workforce development, housing is at the center of all that,” she said. “We have some great developments that are in process and at various stages, and with those housing developments, people are going to need services and places to go. To have a business owner have that vision is really exciting.

“Investments like the one at Falls Pizza show great vision,” she went on, adding that new housing, in general, spurs new business development, which is good news for a city with a rich past and a promising future.

Marois Construction Completes a Transition at the Top

By George O'Brien January 31, 2025

Construction

Chairman of the Boards

Joe Marois, left, and Carl Mercieri.

When asked why he left work as an insurance adjuster to start his own construction business, Joe Marois gave an answer as direct as it was insightful.

“It was a conscious decision to do something on my own so I wouldn’t have anyone to blame if I was a failure,” he told BusinessWest. “In the corporate world … I played that game for a while, but I wasn’t going to try to rely on someone when I was older, waiting for that promotion; I couldn’t deal with that.”

A half-century of change and economic ups and downs later, ‘failure’ is certainly not a word that comes to mind when assessing not only Marois Construction, but also his other ventures, the Orion Farm equestrian centers — there are two, one in South Hadley and the other in Wellington, Fla. — and what could be called his commercial real-estate subsidiary as a self-storage business. Indeed, they are all success stories.

And now, 52 years after he got his start in his mother’s garage, Marois will be spending maybe a little more time with those latter two ventures.

Indeed, he is passing the torch of management at Marois Construction to Carl Mercieri, a 35-year employee of the company who, like Marois, got his start as a field carpenter and then worked his way up to estimating and eventually project management.

Mercieri will take the title of president, while Marois will serve as chairman of the board. Together, they plan to continue following the blueprint drafted in 1972, one of seizing opportunities as they emerge and following what has become the company’s marketing tagline: “Building What Others Envision.”

They also plan to continue a course of expansion and diversity, one that has seen the company take on more public-sector work and broaden its geographic reach up and down the I-91 corridor, into Berkshire County and beyond.

“It’s simple … we want to keep growing and building on what we’ve been able to accomplish,” said Mercieri, adding that, aside from some titles and responsibilities, little else will change at this company that can borrow a term from the horse farm and say it has a great track record.

Building on the Foundation

Marois, who copied Morse code while serving in the Air Force in Alaska before landing work as an insurance adjuster, said he started his construction venture with a tool belt and a used Royal typewriter to type invoices.

He also had the requisite entrepreneurial energy, that aforementioned desire to control his own fate, and confidence in his own abilities born from experience — as well as lessons and encouragement from mentors.

“I always had a proclivity for carpentry,” he explained. “I worked in high school for some contractors, framing houses and so forth. I liked it, and I had some good mentors in those days; they recognized that I had some ability, and they took the time to teach me stuff.”

“It was a conscious decision to do something on my own so I wouldn’t have anyone to blame if I was a failure. In the corporate world … I played that game for a while, but I wasn’t going to try to rely on someone when I was older, waiting for that promotion; I couldn’t deal with that.”

Marois also had a few contacts, and one of them helped him land a job rehabbing the lower floors of a block of buildings in Holyoke into apartments.

“I did the drawings at my house on the kitchen table,” he said, adding that the project eventually led to others in the Paper City, and soon he had a foundation on which to build his company.

Over the years, the firm has handled a good mix of public and private work, with clients ranging from most of the area’s colleges and universities to municipalities (public-safety facilities are one of the firm’s niches) to several area banks and other businesses.

Recent projects have included everything from extensive renovation of a former computer-assembly facility into the new home of Veritas Preparatory Charter School to an emergency-systems upgrade at the John Adams high-rise dorm at UMass Amherst; from a LEED-rated PeoplesBank branch in Northampton to conversion of the former HUB Insurance building in Agawam into a new public-safety facility.

Such diversity, crucial to success in this sector, is what has developed over the years, said Mercieri, who, as noted, also started out as a carpenter.

“I was a millwright, and I worked at a mill; a friend of mine’s father was a VP at this company, and he got me a job,” he recalled. “I was young, so I was the guy carrying everyone’s tools, and I worked for plumbers, electricians, masons … I learned all the different trades. I spent 10 years there earning my ribbons, and then I went out on my own and did residential work for four or five years before landing here.

“Going back to my millwright days, that was quite the experience, learning all those different trades,” he went on. “I go to a job site, and I see electricians and plumbers … I’m no expert at it, but we can speak the same language.”

“I was young, so I was the guy carrying everyone’s tools, and I worked for plumbers, electricians, masons … I learned all the different trades.”

Building on the company’s portfolio of diverse projects and keeping a steady flow of projects in the pipeline are the primary goals as Mercieri and Marois complete this transition of leadership, something that has been in the works for several years now.

“Succession planning is important, and it’s unique to each company that does it,” Marois said. “It’s been a smooth, amicable process on our side … it was just about the bells and whistles.”

What emerged is a plan whereby Mercieri will manage the construction company and Marois will maintain ownership of — and remain active in — the various businesses under what could be called the Marois umbrella.

That includes a portfolio of commercial real-estate properties, as well as Orion Farms North and South, with the former sitting on 40 rolling acres in South Hadley, an old dairy farm that Marois acquired decades ago, and the latter an equestrian facility in Wellington, Fla., where Evans trains during the cold months and competes at the Winter Equestrian Festival.

“I wasn’t sure what I was going to do with it, but the more I got into it, the more I fell in love with the prospect of having some type of farm there,” he said, noting that the acreage is now home to a multi-faceted business. He and partner Linda Evans, an accomplished rider and trainer who has competed in shows resulting in many national champions, have a riding school catering to beginners and experts alike, with a stable of 40 horses (Warmblood show jumpers for the most part), as well as boarding and other services.

Like the construction company, the horse farms are a labor of love for Marois, who grew up near the South Hadley farm and developed a passion for riding himself, although he’s mostly retired from that activity.

Bottom Line

He has no plans to retire from his various businesses, though.

He joked that the announced transition plans are designed to “let people know that they don’t have to call me; they can call Carl — although they can call me if they want.

“And I can focus on getting old,” he continued with a laugh, adding quickly that his focus will actually be on his businesses, people, horses, and the continuation of what he started 52 years ago.

That would be a success story on every level imaginable.

Diet Quality Suffers for Women During, After Pregnancy

By BusinessWest Staff January 31, 2025

Health Care Healthcare News

Food for Thought

New research from Anna Maria Siega-Riz, professor of Nutrition and Epidemiology and dean of the School of Public Health and Health Sciences at UMass Amherst, finds a pervasive low-quality diet among pregnant and postpartum individuals, reflecting “an urgent need for widespread improvement.”

The study, recently published in the American Journal of Clinical Nutrition and co-led by the Eunice Kennedy Shriver National Institute of Child Health and Human Development, assessed diet quality in the same individuals from the beginning of pregnancy through one year postpartum. Few studies have analyzed diet quality in pregnancy and postpartum in the same participants.

Siega-Riz and her colleagues used the USDA’s Healthy Eating Index (HEI), which is based on federal dietary guidelines, to develop a diet quality score for participants in the Pregnancy Eating Attributes Study (PEAS). Because diet quality during pregnancy and postpartum impacts short- and long-term health outcomes for parent and child, the team of perinatal nutritionists and epidemiologists aimed to identify risk factors for low diet quality to develop effective interventions.

The overall average HEI score for the study participants’ diets was ranked on a 0-100 scale at 61.6. On a traditional A-F scale, the grade would be barely passing, a D, although that score is 10% higher than the average HEI score of the overall U.S. adult population. The HEI score is based on the adequate consumption of nine foods — total fruit, whole fruit, total vegetables, greens and beans, whole grains, dairy, total protein, seafood, and plant proteins, as well as fatty acids — and the consumption of four foods in moderation: refined grains, sodium, added sugars, and saturated fats.

Anna Maria Siega-Riz

“You’re only capable of changing your diet if your income and your environment support it. And that, I think, is something that a lot of people forget.”

Among all the study participants, HEI scores were stable from early pregnancy through one year postpartum. But researchers noted differences in scores according to sociodemographic characteristics, weight status, lactation duration, and tobacco smoking.

“You would think that pregnant women are highly motivated to eat better during pregnancy, precisely because they are pregnant. And that’s true in certain populations,” said Siega-Riz, the study’s senior author. “You saw higher-income women having a higher-quality diet, and lower-income women having a lower-quality diet.”

She noted that lower-income women may be working multiple jobs and either don’t have access to higher-quality foods, can’t afford them, or need more overall support from family, friends, and healthcare providers. “You’re only capable of changing your diet if your income and your environment support it. And that, I think, is something that a lot of people forget.”

Unmarried study participants and those participating in more than one federal assistance program recorded the lowest mean HEI scores. In addition, a higher body-mass index (BMI) was associated with a lower-quality diet. The highest mean HEI scores were seen in participants with higher education and among those who reported never smoking.

“What women eat during pregnancy is mostly the same things they eat in the postpartum period, with the exception of a few foods,” Siega-Riz said. “They sometimes return to caffeine and alcohol and resume eating more refined carbohydrates after giving birth.”

The study participants’ diets were assessed at six points — in each trimester of pregnancy and two months, six months, and one year postpartum. Overall, they scored high (A+) on eating enough whole fruits, total protein, and greens and beans. They scored lowest — a failing grade — on eating adequate whole grains and fatty acids, and lower on dairy products. On the moderation side, they scored a lower grade on sodium intake and saturated fats than on added sugars and refined grains, though there were no high scores.

The message of the study? “Healthcare needs to change, to be more comprehensive. And right now, that’s not our model,” Siega-Riz said. “Policymakers and prenatal care providers need to understand that even pregnant women need support and guidance to be able to change their dietary habits for the better.”

In a related PEAS study published in the Journal of Nutrition, Siega-Riz and her team performed a genomic analysis of the gastrointestinal microbiome of participants during the second trimester of pregnancy after collecting fecal swabs.

“We wanted to look at the relationship between diet and what’s in the microbiome, and then also how the microbiome might be at interplay with what’s happening in utero that the fetus ends up being imprinted by,” she said.

The researchers found an association between a diet with higher saturated fat and added sugar and the composition and function of the microbiome during pregnancy. But they don’t know yet what that means. They will continue to examine both the parent’s and the child’s microbiome in ongoing and future research.

“Although the results provide an initial landscape of microbial factors that are associated with specific dietary components, such as dietary sugar, fat, and dairy, the story is complicated and evolving, and we hope that these findings will be a foundation for future hypothesis-driven research and investigation,” the paper concludes.

Local Bariatric Surgeon Offers Advice to Consider First

By BusinessWest Staff January 31, 2025

Health Care Healthcare News

Thinking About Losing Weight?

The numbers tell the story.

Nearly one in three adults are overweight, more than two in five adults have obesity, and about one in 11 adults have severe obesity.

When most people think of obesity, their thoughts usually don’t go much further than the notion of being overweight. But, in truth, there is a lot more to obesity than the numbers on the scale.

“Obesity is itself a disease that often triggers a number of severe health conditions. Over time, those conditions can become chronic, progressive, debilitating, and potentially life-threatening,” said Dr. John Romanelli, medical director of Bariatric Surgery and chief of the Division of General Surgery at Baystate Health. “For many, the struggle to lose weight is complicated by the challenge of managing those health conditions. Individuals who are unable to sustain a healthy weight and are experiencing chronic conditions are often strong candidates for weight-loss surgery.”

Dr. John Romanelli

“Obesity is itself a disease that often triggers a number of severe health conditions. Over time, those conditions can become chronic, progressive, debilitating, and potentially life-threatening.”

Factors that may contribute to excess weight gain among adults include genetics; types and amounts of food and drinks consumed; level of physical activity; degree of time spent on sedentary behaviors, such as watching TV, engaging with a computer, or talking and texting on the phone; sleep habits; medical conditions or medicines; and where and how people live, including their access to and ability to afford healthy foods and safe places to be active.

Here, Romanelli answers several key questions for those considering losing weight to benefit their health.

Q: Why should you always check with your primary-care physician before starting any diet?

A: Changing your diet could alter how your medications work, and you need to be certain that you are in good cardiovascular health before starting a fitness plan.

Q: How can you determine if you truly need to lose weight?

A: The bottom line is, if you think you need to lose weight, you likely do and should discuss it with your primary-care physician. Normal body-mass index (BMI) is 25 or below. Sadly, most Americans are above this number. BMI is your weight in kilograms divided by height in meters squared. There are many BMI calculators available online to help.

Q: Why is it important to lose weight?

A: Our body physiology works more effectively when we are the correct weight. Virtually every body system is adversely affected by being overweight. The most obvious systems are cardiovascular — high blood pressure, heart disease — and endocrine (diabetes). But all body systems work less well when you are overweight.

Q: Losing weight safely and at a realistic pace is the best way to reach your healthy weight and to maintain that loss in the long term. How much should you lose in a week or month?

A: It is different for all patients, so this is hard to generalize. But the best weight-loss intervention is to do something that is sustainable in the long term. Otherwise, you risk reverting to ‘normal’ eating behaviors and habits, which got you into the need to diet in the first place.

Q: How do you make heads or tails among all the advertising promoting various diets?

A:  Any significant diet should be discussed with a healthcare professional prior to starting it. Two tenets: if it sounds too good to be true, you are likely correct, and if it sounds like it isn’t good for you, you are also probably correct.

Q: How can a dietitian help?

A: Most of us know very little about how to eat correctly, and what we are taught in schools is inaccurate, unhelpful, and, for those of us in our 40s or older, has been debunked. Dietitians can teach many things about hunger, appetite, and making good food choices. For example, do you read the labels on the food products that you buy? You should, but very few people do so.

Q: When should bariatric surgery be considered?

A: It should be seriously considered when sustained efforts at dieting and exercise have failed, and a doctor thinks it is the next step for a patient. Ours is a comprehensive program that will take patients anywhere from six months to one year to complete. Patients need to know that this is not something that can be done overnight. Weight-loss surgery is a tool that can be very helpful when employed the right way and only works well in coordination with calorie-burning exercise, substantial behavioral changes, and a firm commitment to eating a better diet.

Weight-loss surgery is an option for people who are severely obese (about 100 pounds over your ideal body weight and a BMI of 35 and above) and cannot lose weight with diet and exercise alone. Improving your lifestyle, eating right, and staying active is still important.

Lessons from the CrowdStrike Fiasco

By Contributor January 31, 2025

Cybersecurity

In Times of Turmoil, Patience and Communication Are Key

By Sean Hogan

The day began long before the sun rose. At 3 a.m. that summer morning, I found myself groggily pulling myself out of bed to prepare for a 5:30 flight to a business conference in Montana. The early-morning hours are never the easiest, but the promise of a productive trip and the excitement of the conference kept me going.

Arriving at Bradley International Airport at 4:30 a.m., I was met with the usual hustle and bustle of travelers, all with their own destinations and stories. After clearing security, I found a quiet spot to sit and wait for boarding. As I sipped on a hastily bought coffee, I read a brief article on my phone about flights being canceled in Australia. Little did I know that this was a harbinger of the chaos that lay ahead.

Shortly thereafter, the first signs of trouble began to emerge. Flights and monitors at Bradley International started shutting down one by one. It was an eerie sight, and a sense of unease settled over the terminal. The day, which had started so early, was about to get much longer.

As the minutes turned into hours, it became clear that this was no ordinary delay. Delta, the airline I was flying with, was one of the hardest-hit by what was later revealed to be a widespread issue with their cybersecurity software, provided by CrowdStrike. The software update had inadvertently disabled Delta’s primary communication method — its app.

Sean Hogan

“In Delta’s defense, it did have a solid commitment to CrowdStrike and leveraged its cybersecurity software to protect its systems. However, the unintended consequences of the software update highlighted a crucial lesson: the importance of effective communication, especially in times of crisis.”

Throughout the day, as the delays dragged on, one of the most frustrating aspects was the lack of communication from Delta. In our interconnected world, where information is always at our fingertips, the silence was deafening. The uncertainty and lack of updates left us all in a state of limbo, not knowing when or if we would be able to reach our destination.

In Delta’s defense, it did have a solid commitment to CrowdStrike and leveraged its cybersecurity software to protect its systems. However, the unintended consequences of the software update highlighted a crucial lesson: the importance of effective communication, especially in times of crisis.

The entire experience was a true test of patience. As the hours passed, I tried to remain calm and focused, but the stress and frustration of the situation were palpable. It was a stark contrast to the level of communication we have at my company, Hogan Technology, where transparency and timely updates are prioritized.

Eventually, after a grueling 12 hours of delay, we did manage to get to Montana. The relief of finally boarding the plane and taking off was immense, but the day had left a lasting impression on me.

This ordeal taught me several valuable lessons about the customer experience. In moments of uncertainty and disruption, clear and consistent communication is paramount. Customers need to feel informed and reassured, even if the news isn’t always positive. The silence from Delta only amplified the stress and frustration of the situation.

Furthermore, the experience underscored the importance of patience. In our fast-paced world, delays and disruptions can be incredibly frustrating, but maintaining a calm and composed demeanor can make a challenging situation more bearable.

Again, in the end, we made it to Montana, and the business conference proved to be productive and insightful. But the journey there was a stark reminder of the importance of effective communication and the value of staying patient in the face of adversity.

Sean Hogan is president of Hogan Technology Inc.

Excel Dryer Continues to Push the Envelope in an Emerging Sector

By George O'Brien January 30, 2025

Construction Manufacturing Special Coverage

An Industry Leader — Hands Down

Bill Gagnon stands near one of the living walls in the environmentally friendly, and worker-friendly, addition to the company’s plant in East Longmeadow.

“David vs. Goliath.”

That was how Bill Gagnon chose to describe the ongoing fight between the still-emerging high-speed hand-dryer industry and the huge paper industry for the right to put their products in restrooms across the county and the around the globe.

It’s always been an uphill battle, said Gagnon, executive vice president and chief operating officer at East Longmeadow-based Excel Dryer, noting that the paper industry has spared no expense, and no energy, in its quest to portray hand dryers as unhygienic — essentially blowing germs around the bathroom and on one’s hands.

But through a series of commissioned studies and diligent work to educate consumers, the high-speed hand-dryer sector was making some real progress on the battlefront. That was, until … the pandemic.

Indeed, COVID hit many industries hard, and in different ways, from restaurants that saw business come to a virtual standstill to event venues that could no longer book gatherings. But COVID threw a huge wrench into the hand-dryer sector, Gagnon explained, resulting in several years of turmoil from which it is still emerging.

“I lost 10 years of my life those three years,” he said of the period from early 2020 to early 2023, when the dust started to settle somewhat.

And now, COVID may wind up being … not a blessing, but a benefit for this sector thanks to all the work done to promote the health of these products, to bring industry players together as they had never been before, and to weather a huge storm.

“We basically wanted to create a model for other people who are designing commercial spaces on how to achieve a sustainable and healthy workplace that could be both LEED- and WELL-certified.”

“I believe the pandemic, while it took the legs out from under us, will be a giant springboard for our entire industry globally and drive our success in the future,” he said, “because people realized there was so much conspiracy and snake oil and BS during the pandemic — knee-jerk reactions with nothing backed by science.”

Recovery from the havoc wreaked by COVID and its aftereffects — including the skyrocketing cost of new construction, which stalled or scrapped the building of many new facilities into which Excel products could be placed — is one of many storylines involving this company, which burst onto the scene nearly a quarter-century ago with the XLERATOR, a hand dryer that would do what its predecessors couldn’t: thoroughly dry one’s hands.

Others include everything from donating mobile hand dryers to relief sites in Turkey, where survivors are rebuilding from an earthquake 18 months ago, to an addition to the plant in East Longmeadow that is environmentally friendly and worker-friendly as well, featuring everything from ‘living walls’ to carpets made from used fishing nets to lights that follow the natural circadian rhythm of humans.

A mobile XLERATOR hand-dryer station in a Turkish container shelter community following the deadly earthquake in 2023.
Photo courtesy of Excel Dryer

“We basically wanted to create a model for other people who are designing commercial spaces on how to achieve a sustainable and healthy workplace that could be both LEED- and WELL-certified,” said Gagnon, referring to the Leadership in Energy and Environmental Design designation and a standard for delivering more thoughtful and intentional spaces that enhance human health and well-being, respectively.

“We’ve won a dozen awards on the design of this space in architecture magazines,” he went on, adding that more important than these accolades is the manner in which the space creates an attractive, healthy space in which to work.

Meanwhile, efforts to bring high-speed hand dryers into more restrooms continues, he said, adding that, in this country, hand dryers are included in only 10% to 15% of new construction. That’s an improvement over the 5% rate years ago, but there is still considerable room for improvement, which is another area of focus moving forward.

And one potential strong avenue for growth, said Gagnon, is hybrid systems make use of Excel’s sink systems — integrated products whereby users can wash their hands and dry them at the same sink — along with paper towels.

“That’s the best of both worlds; it doesn’t have to be one or the other — it can be both,” he told BusinessWest. “You put the dryer next to the faucet for hand drying, and if people need paper for anything else or just to dry their hands, it’s there.”

Such hybrid systems could be a viable alternative for the architects and business owners still favoring paper, he said, citing the case of the USDA headquarters in Washington, a 1 million-square-foot building where bathrooms with two sinks and two towel dispensers were switched to two sinks, one towel dispenser, and one high-speed hand dryer.

“Every single thing in this office I picked myself with the architect, and it has a story behind it. Whether it helps with health and wellness or it uses recycled materials, everything here helps in some way.”

“They ran the stats, and it led to one fewer full dumpster load of waste per week,” he noted. “That equated to a $30,000-a-year savings in waste alone, just from the dumpster fees, not even looking at the cost of buying, shipping, and installing paper towels, and this is something we’re educating architects on.”

For this issue and its focus on manufacturing and construction, we talked with Gagnon about the XLERATOR and its continued evolution, as well as the Excel company, how far it’s come over the past 25 years or so, and where the growth potential lies as David continues to battle Goliath.

Air Apparent

Turning block the clock to January 2020, Gagnon recalled watching the news on television, having his eyes diverted to a crawler at the bottom of the screen, and seeing some reference to a coronavirus in China.

He couldn’t have imagined what was to come, but he already knew that this was real trouble for his company and his sector.

And he was right.

Excel Dryer’s leaders aimed to make the recent office renovation both energy-efficient and human-centric.
Photo courtesy of Excel Dryer

With the world soon laser-focused on controlling the spread of germs, the high-speed hand dryer was soon to come under more scrutiny than ever, with orders for the products slowing and long-time clients asking questions about just how safe they were to use.

“The pandemic was a gift that fell right into the paper industry’s lap,” Gagnon explained. “They’d been saying that hand dryers blow bacteria and germs all over the air, and here comes an airborne virus. There couldn’t be anything worse to happen to the high-speed hand-dryer industry; it bubbled that stuff back up, and we were in crisis mode during the pandemic.”

One low point, and there were many, came early on during the pandemic, when Denver International Airport, one of the largest and most modern in the country, placed stickers on its XLERATORs stating, “for your safety, these hand dryers have been turned off.”

“Think about all the traffic going in and seeing our product tied to coronavirus and that it wasn’t safe to use,” he said. “That was a killer.”

Meanwhile, the Centers for Disease Control, in its many messages urging people to wash their hands — and showing them how best to do so — featured paper towels as the drying method.

“Only in one place on one page did it say that you use either towels or a hand dryer — and I thought to myself, ‘we need to update this,’” said Gagnon, noting that he didn’t really know where to begin or whom to call to achieve change at Denver’s airport, the CDC’s public-service messages, and other fronts in this battle, but he went to work rallying the players in the industry and devising a strategy for digging out.

He commissioned a study on the company’s recently introduced HEPA filters and their ability to filter viruses — not knowing what the results would be. That study, which involved 3 million viruses going through the dryer to see what would come out the other end, revealed a striking 99.99% filtration of viruses.

“I said, ‘that’s great news — we have to market the heck out of this,’” he recalled. “That gave me something to work with, and I ended up reaching out to everyone that I knew in my network asking for help to get to the CDC and get this information to the right people.”

“Every single thing in this office I picked myself with the architect, and it has a story behind it. Whether it helps with health and wellness or it uses recycled materials, everything here helps in some way.”

In fact, he called this his new mission.

“I talked to a business coach of mine, and he connected me to someone who used to work for the government in the state of Massachusetts who knew a lobbyist who could help get you to D.C. and places — we had never used a lobbyist before,” he said. “And this is the short version of that story; I’m calling everybody and looking at everything to find some path. And I found a path.”

Indeed, eventually the stickers came off the dryers in Denver, he said, and, through the lobbyist, Gagnon was able connect with then-Vice President Mike Pence’s COVID team, which helped set up a call with the coronavirus team at the CDC it was working with.

“We found a way in, and by the end of the year, the CDC had updated all its hand-washing pages and its main images to show a paper towel and a hand dryer, and that was a huge win for us,” he said, adding that these developments helped save the business, although it was still a very challenging time.

“Every sale became harder, and every single person we talked to … we had to address the health issue,” he went on, adding that these ultra-trying times have ultimately helped put the product, and the company, in what could be called a better place — and give the hand-dryer industry a louder voice.

Net Results

While helping to create this better place and louder voice, the team at Excel has been making advances on other fronts as well, including the expansion of the plant on Chestnut Street in East Longmeadow.

This expansion became a labor of love for Gagnon, who, as noted earlier, wanted to create a model for other businesses to follow. And he spared little expense in doing so.

He said the various design elements were spurred by statistics showing that people spend 80% to 90% of their time indoors, putting an exclamation point on the need to improve what’s known as indoor environmental quality, or IEQ.

Excel produced custom XLERATOR hand dryers featuring designs by art students.
Photo courtesy of Excel Dryer

“Every single thing in this office I picked myself with the architect, and it has a story behind it. Whether it helps with health and wellness or it uses recycled materials, everything here helps in some way,” he said, pointing to the carpet in the conference room as just one example.

“It’s made, 100%, from used fishing nets in third-world countries,” he explained. “They would either get thrown away, or they would just leave them in the water, which is really bad for the ecosystem; it’s bad for those nets to stay in the water.”

The carpeting, walls, lights, windows, and more all contribute to improved IEQ and provide a space people want to work in, he added. “I tasked the interior designer … I said from the beginning, ‘we are going to tell a story with this space, and we’re going to show people how to create the most beautiful, sustainable, and healthiest office space possible.’”

The space, which is outfitted with Excel products, also serves as a marketing vehicle, he said, adding that this helped justify the price tag.

Asked to look ahead to 2025, Gagnon started by saying that 2024 was a somewhat slow year as large corporations and small businesses alike waited to see what would happen with interest rates, inflation, the overall economy, and the presidential election. But he is already seeing signs that 2025 will be a much better year.

“It’s going to bounce back, and it’s going to bounce back fast — we’re starting to see it already,” he said, noting that Walmart has committed $5.5 billion to upgrades in Mexico and $8 billion to upgrades in the U.S. and Canada, with bathrooms bring a primary focus. And he expects other chains to follow suit as construction costs stabilize and even come down slightly, a new administration takes over in Washington, and there is ever-more focus put on the cleanliness of facilities, and especially restrooms.

If this bounceback comes as he expects, that will be yet another positive development for a company that has consistently broken new ground in this emerging sector and emerged as one of its clear leaders — hands down.

What Is the Outlook on Artificial Intelligence in 2025?

By Contributor January 30, 2025

Cybersecurity Special Coverage

Bracing for Change

By Delcie Bean

In 2024, artificial intelligence (AI) achieved significant milestones that have set the stage for transformative developments in 2025.

Key AI Milestones of 2024

Regulatory Frameworks: The European Union finalized its comprehensive AI Act, establishing a framework that balances innovation with ethical considerations. This legislative milestone is expected to influence global AI policies and governance.

Technological Advancements: Breakthroughs in AI-powered scientific discoveries, particularly in biomedicine, were highlighted by DeepMind’s AlphaFold, which demonstrated remarkable progress in protein folding. This advancement opened new avenues for drug development and biological research, showcasing AI’s potential to revolutionize science and healthcare industries.

Consumer Technology: The launch of the first AI-native smartphone, equipped with a dedicated AI chip, marked a shift toward more intelligent and personalized mobile devices. This innovation pushes the boundaries of user experience and sets the stage for future advancements in consumer electronics.

The Outlook on AI in 2025

Artificial intelligence continues to be one of the most transformative forces of our time, and 2025 is shaping up to be a pivotal year. As the pace of innovation accelerates, industries, businesses, and individuals are grappling with the opportunities and challenges AI presents. Among the current trends are:

Advancements in Generative AI: Generative AI is expanding beyond text, venturing into video production and other media forms. Tools like HeyGen, Sora, and Runway ML enable the creation of realistic and personalized video content, democratizing video production for businesses and individual creators.

AI Integration Across Sectors: Industries are adopting AI at scale in fields like:

• Healthcare: AI-powered diagnostics, personalized treatment plans, and drug discovery are becoming mainstream, enhancing patient care and operational efficiency.

• Finance: Predictive analytics and fraud-detection systems are improving efficiency and security in financial operations.

• Manufacturing: AI-driven automation and predictive maintenance are optimizing production lines, reducing downtime, and increasing productivity.

Predictions for AI in 2025

2025 promises exciting developments and disruptions:

Technology Breakthroughs: AI models will become more powerful, efficient, and accessible. Recent advances in energy-efficient AI, such as Google’s Pathways model, suggest that future systems will require less computational power while delivering superior performance. Moreover, multimodal AI — capable of processing text, images, and videos simultaneously — will enhance virtual assistants, enabling them to understand and respond in richer contexts.

For example, consider a smart-home system that can analyze both audio commands and video input to adjust lighting, recommend entertainment, or detect potential hazards.

Consumer-centric AI: Apple’s rumored ventures into AI are likely to materialize in 2025, potentially redefining personal technology. Imagine an AI-driven iOS system that not only anticipates user needs but also offers proactive suggestions, such as ordering groceries or suggesting health routines based on daily activity patterns.

Industry Disruptions: AI will reshape several sectors, with standout changes in:

• Education: Adaptive learning platforms like Squirrel AI are expected to evolve, offering highly personalized curriculums that cater to individual student needs. AI tutors could become commonplace, providing real-time feedback and assistance across subjects.

• Logistics: Companies like Amazon and FedEx are already testing AI-driven autonomous delivery systems. By 2025, we might see widespread use of drone deliveries and autonomous vehicles in urban centers.

• Urban Planning: Smart cities will leverage AI for everything from traffic management to waste reduction. Projects like Sidewalk Labs in Toronto are early examples of how AI can transform urban living.

Challenges and Considerations: Despite its promise, AI’s growth is not without hurdles:

• Data Privacy and Security: As AI systems handle sensitive information, ensuring robust data protection will be crucial to maintaining trust.

• Bias and Inclusivity: Addressing biases in AI algorithms remains a pressing issue. Inclusive development practices are essential to prevent perpetuating inequalities.

• Economic and Social Impact: The balance between innovation and job displacement will be a critical conversation. Preparing for AI’s impact on the workforce is imperative for a smooth transition.

Opportunities for Businesses and Individuals: AI in 2025 isn’t just about challenges; it’s also about immense opportunities:

• Leveraging AI for Growth: Businesses of all sizes can use AI to gain a competitive edge. From automating routine tasks to enabling new product innovations, the potential is vast.

• Upskilling the Workforce: Training and reskilling will be key. Organizations investing in their employees’ AI literacy will thrive in the evolving landscape.

• AI as a Partner, Not a Threat: Collaborative human-AI workflows can enhance productivity and creativity, showing that AI complements human capabilities rather than replacing them.

Conclusion

As we look to 2025, AI’s trajectory is clear: it will become more integrated, powerful, and impactful across all facets of life. However, with great power comes great responsibility. It’s up to businesses, governments, and individuals to steer AI’s development toward ethical, inclusive, and beneficial outcomes.

The future of AI is not set in stone — it’s a story we’re all writing together. By staying informed, adapting to change, and embracing innovation, we can ensure that 2025 marks another milestone in AI’s journey toward improving lives and transforming industries.

Delcie Bean is CEO of Paragus Strategic I.T.

Golden Age of Cannabis

By Joseph Bednar January 30, 2025

Cannabis Features Special Coverage

Use Rising Among Older Adults Locally, Nationally

Senior living facilities like the Arbors have seen residents get together become educated about cannabis products.

In the six-plus years since cannabis became legal for all adults in Massachusetts, all demographics have increasingly used the substance in its various forms. A 2024 study published by Statista reported that almost 30% of Massachusetts residents used cannabis in 2022, the fifth-highest rate of any of the 24 states where it is legal for recreational use.

But one group, while not among the highest-rate cannabis users, has been rapidly catching up, and that’s seniors.

“We talk about it with our residents,” said Karen Walters-Zucco, executive director of the Arbors Assisted Living in Amherst and Greenfield. “A lot of people are thinking about it for relaxation, for sleep, or just to feel good, mood adjustments. Some are using it to lower anxiety, and a lot of folks have been using it for pain relief, for arthritis in their hands and joints.”

That doesn’t surprise cannabis-industry veteran Meg Sanders, CEO of Canna Provisions, which has dispensaries in Holyoke and Lee.

“I can tell you that traditional medicine has failed them in lots and lots of ways,” she told BusinessWest. “They’ve done the surgeries, they’ve done the anti-inflammatories, they’ve done all of the cortisol shots. They’re trying everything that the medical profession throws at them. And in a lot of ways, it’s just not succeeding.

“The number-one thing we hear from seniors is the inability to get a full night’s sleep,” she added. “I would say that is probably the number-one reason why we see [older] people come through our doors. ‘Is there something that will help me calm down or something that will relax me or help me sleep through the night?’”

Another interesting factor in the trend toward older adults using cannabis is postmenopausal women, she added. “That is a fascinating demographic; they are going through aches and pains that they’ve never had before because of estrogen loss. So joints hurt, and muscles aren’t recovering as fast because their hormones are diminishing. So they’re turning to cannabis for relief of aching joints and different pains that they might have, as well as the sleep aspect.”

“A lot of people are thinking about it for relaxation, for sleep, or just to feel good, mood adjustments. Some are using it to lower anxiety, and a lot of folks have been using it for pain relief, for arthritis in their hands and joints.”

But they’re also turning on because, well, it’s enjoyable.

“We are finding in assisted-living communities that this has become a social aspect of their everyday life,” Sanders said. “So they’re having gummy parties and watching movies, they’re having tinctures in their drinks, or they’re buying seltzers or various things off the shelf, and they’re having fun little parties in their group.

“And I love that it’s becoming so social for them because, ultimately, isn’t that how cannabis got started? It’s all of us standing in a circle passing a joint, right? It makes us happy,” she went on. “They’re not passing joints, maybe, but they are passing gummies. I hope they’re having a lot of fun.”

Higher Numbers

National statistics bear out what Sanders and Walters-Zucco are seeing locally. According to the 2024 University of Michigan National Poll on Healthy Aging, about one in five people (21%) in the 50-plus age group said they used some form of cannabis — food, drink, flower, or another type — at least once in the last year, up from 12% in the 2021 poll. Meanwhile, 12% of respondents reported using cannabis at least once a month.

In 2015 and 2016, a time when cannabis was legal in very few places, about 3% of adults 65 and older were using it, according to research published in JAMA Internal Medicine.

According to AARP, older adults are increasingly turning to cannabis to alleviate pain, help them sleep, improve mental health, or cope with other medical conditions.

Specifically, according to the poll data, adults 50 and older are turning to cannabis to relax (81%), get help with sleep (68%), enjoy the effects or feel good (64%), get help with pain relief (63%), get help for mental health or mood (53%), treat a medical condition (40%), make a social gathering more fun or connect with others (31%), celebrate (26%), or experiment (18%).

Still, the AARP notes that, while many older adults are turning to cannabis to help with health issues, 44% of people who use it regularly have not discussed that use with a healthcare provider, which health experts say they definitely should.

Meg Sanders

“We are finding in assisted-living communities that this has become a social aspect of their everyday life. So they’re having gummy parties and watching movies, they’re having tinctures in their drinks, or they’re buying seltzers or various things off the shelf, and they’re having fun little parties in their group.”

“Even if your doctor, nurse practitioner, or pharmacist doesn’t ask if you’re using cannabis products, it’s important to offer this information, no matter whether you’re using it to address a physical or mental-health concern or simply for pleasure,” Dr. Jeffrey Kullgren, a primary-care physician at the VA Ann Arbor Healthcare System and director of the National Poll on Healthy Aging, said in a news release.

Walters-Zucco agrees.

“It has to be a coordinated effort with their primary-care physician,” she said. “They want to make sure that their PCP is aware and can effectively treat other conditions; they don’t want anything to be counteractive or interfering with other medications they’re taking.”

That said, she has spoken with doctors and communicated with residents on the topic, and she believes cannabis can be a way for older individuals to avoid the pitfalls of opioid use, which remains a massive problem in Massachusetts, among other health benefits.

“But, again, what we’re talking about with residents is, you have to have a conversation with your primary-care physician to make sure that, if you’re going to take certain dosages, it’s not going to counteract with other medications that you’re taking for, say, your liver or kidneys, and that your gut can process cannabis.”

The University of Michigan poll highlighted the types of cannabis products favored by older adults. Seventy-four percent reported consuming edibles and beverages, which, Sanders noted, offers a smoke-free alternative to those concerned about respiratory health. Meanwhile, 58% smoke the flower, 26% opt for vaping, and 19% use dabs, butane hash oil, or other concentrates.

She added that the rising trend of cannabis use among older adults presents an opportunity for dispensaries in a highly competitive market, and shops should educate their staff on the specific benefits and considerations of cannabis use for seniors, as well as curating senior-friendly products, creating gift bundles with seniors in mind, hosting educational events, and generally fostering a welcoming environment, which may include accessible facilities, comfortable seating areas, and staff training to engage respectfully with older adults.

“I have people that hug me on a regular basis, saying, ‘thank you, you’ve helped me finally sleep.’ That right there is a huge healing aspect. So I think that’s part of it.”

“Every single day, we see multi-generational shoppers come in together, and daughters are walking their mothers through, granddaughters are walking their grandparents through — ‘this is a really great thing, try this, I love this, you might love it,’” Sanders added, noting that family members are often influenced by the success and enjoyment experienced by trusted loved ones.

“I have people that hug me on a regular basis, saying, ‘thank you, you’ve helped me finally sleep.’ That right there is a huge healing aspect. So I think that’s part of it.”

Joint Efforts

Cannabis has taken hold across America, with those 24 states with legal recreational use joined by 14 more that have legalized for medical use. And that means more concern around using the substance safely.

In addition to possible contraindications from prescription drugs, medical professionals also caution about cannabis possibly affecting parts of the brain that are responsible for coordination and reaction time, according to the AARP, which cites a 2021 study in the journal Brain Sciences finding that older adults who used cannabis had a higher fall risk, worse balance, and slower gait speed than people who didn’t use cannabis.

The University of Michigan poll also found that 21% of older adults surveyed weren’t aware that many cannabis products available today are much stronger than they were decades ago, contributing to concerns about dose levels.

That’s why the Arbors has begun to take an educational role in residents’ cannabis use, even while acknowledging the potential benefits.

“They’re very interested in alternative medication and ways to treat diseases besides typical pharmaceuticals,” Walters-Zucco told BusinessWest. “So we ask them if they’re open to having a person come in and do a presentation about cannabis and answer any questions they may have.”

Many residents trying out cannabis have already used CBD products, she noted, but cannabis, which contains the psychoactive compound THC, is a much different animal. “We’re asking them to ask to talk to their primary-care physician before starting to take gummies, and dosages are definitely something they want to learn about.”

Walters-Zucco noted that, for some, it’s never too late to try something new.

“I talk to to residents, and one resident who’s 90 went to the pot shop for the first time — yes, she called it a pot shop. She said, ‘I can’t believe this.’ If it can help people with increased relaxation, better sleep, better pain relief, maybe elevate people’s moods, yes, absolutely — but it needs to be done safely and effectively with conversations with their primary-care physician.”

Enfield Is All Aboard the Development Train

By Joseph Bednar January 17, 2025

Community Spotlight

Aaron Marcavitch says Enfield would benefit from a balance of different types of new housing.

In a region with plenty of dying, dead, or deteriorating shopping centers, Enfield Square stands out — just Target and a few smaller retailers occupying a largely empty structure where anchors such as Macy’s, JCPenney, and Sears once thrived.

But it’s also a property with an intriguing location, sitting between two very busy thoroughfares in Elm Street and Hazard Avenue, each dotted with retail, restaurants, and plenty of traffic.

And 2024 brought a ray of hope when the mall property — all but the Target — was purchased by Woodsonia Acquisitions, which has proposed a $250 million project that will feature retail and restaurant businesses, hundreds of residential units, and a small hotel.

Woodsonia also worked with the town on an application for a $20 million Connecticut Community Investment Funds program grant. After much back and forth with the state, an amended, $10 million version was recently resubmitted.

“It was narrowed down a little bit,” said Aaron Marcavitch, who has had a busy several months since coming on board as Enfield’s Economic & Community Development director last April. “It’s a $10 million request, basically for the demolition of the building and for the critical infrastructure elements of it — pipes in the ground and some of those types of things. We should hear by March whether or not that will happen. If it goes forward, that process will take six to nine months before you might see demolition.”

He said the town and developer share a vision for the property involving the mixed-use blend of housing, a hotel, and “some upscale strip elements” on the retail side, including an organic grocery store.

“It’s been said for 50 years now that Thompsonville is going to be revitalized, but I feel like some positive movement is happening. We’re actually putting those plans into action.”

“It’s likely that the developers are a little bit more housing-focused, so they’ll get that part done, and the rest will happen as they acquire potential retailers or restaurants or whatever,” Marcavitch went on. “If the project were to go sideways, there may be other ways for us to go with this. It is a really great location for retail.”

The housing element is especially intriguing at a time when most cities and towns in the region need more of it. At the same time, a 140-unit residential development is taking shape on North River Street, near the critically important train stop project taking shape in the Thompsonville neighborhood (more on all of that later).

“I think the balance that Enfield is looking for is in truly affordable housing — really low-income versus workforce housing,” Marcavitch said, citing a term often used in the social-services world: ALICE, which stands for asset-limited, income-constrained, employed. “It basically means that you’re well above the poverty line, but it’s still hard to make ends meet. And I think that’s the area of housing we’ve been hearing about, as well as some of the 55-plus and elderly types of housing.

Enfield Square has been in decline for many years, but a planned mixed-use development there has city officials excited.

“We’re a predominantly single-family type of community, but we’ve got some really interesting projects,” he went on. “I mean, the 140 apartments on the river are being built essentially as one-bedroom majority because they’re looking for the commuting professional with no kids. That’s their target audience. With demographics changing, we kind of have to stay on our toes for what the community is looking for.”

Train Not in Vain

The entire rail-centric project in Thompsonville has certainly made waves — with real ripple effects when it comes to development.

Late in 2023, the Connecticut Department of Transportation attached hard dates to the $45 million project to build the train station. Those dates included the summer of 2024 for the final design to be completed, the winter of 2025 for the construction bid to be awarded, the spring of 2027 for accompanying rail and bridge work to be completed, and the fall of 2027 for completion of the station and platform.

That plan is largely on track (no pun intended), though there’s plenty of bid and permit work to be completed this year, Marcavitch said, and shovels may be in the ground by September.

“If you can encourage somebody to come here, that’s great, but I don’t want you just getting on a train and disappearing every day. At the end of the day, I want you to go to a dog park, I want you to go hike a trail, whatever it is, and stay in Enfield as much as possible.”

Enfield’s station is expected to be more than a metro stop, bringing people to Hartford to work; it will also be a larger hub for Amtrak for more distant destinations, while a planned spur off the Windsor Locks stop will bring people to and from Bradley International Airport. The project has also, as noted earlier, gained the attention of the development community.

The 140-unit project on North River Street is being developed by HGRE Ventures, a partnership between Avon-based Honeycomb Real Estate Partners and GRAVA Properties of West Hartford. HGRE plans a $100 million, two-phase project that would eventually bring more than 300 units to the riverfront section of Thompsonville, near the much larger Bigelow Commons apartment complex.

Enfield at a Glance

Year Incorporated: 1683
Population: 42,141
Area: 34.2 square miles
County: Hartford
Residential Tax Rate: $32.23
Commercial Tax Rate: $32.23
Median Household Income: $67,402
Median Family Income: $77,554
Type of Government: Town Council, Town Manager
Largest Employers: Empower Retirement LLC, Town of Enfield, Advance Auto Parts Distribution Center, Eppendorf Manufacturing
* Latest information available

The HGRE property sits on the former Bigelow Carpet manufacturing plant, and the developers recently secured $4 million from the state brownfields program to remediate the property, Marcavitch said. “That actually used to be the power plant for Bigelow. At one point, they were burning garbage in there. There was oil being used, coal being used, so there’s a lot of stuff on the grounds that needs to be cleaned up.”

He noted that the project will include some publicly accessible waterfront walking space, and HGRE will also seek to acquire an additional parcel at Main and North River streets, currently owned by Eversource, for the project’s second phase.

“The intention from the developer is to be able to use that area where the Eversource property is to build a waterfront restaurant location,” he said. “You get off the train, you can get something to eat, you can go to your apartment, whatever it might be, and that trail then would continue to Main Street, at least. There’s also been a long-term vision to have some sort of a pier that goes out into the river. That’s part of my job — to see if we can find funding for that and find a way to do it.”

Meanwhile, the town has received $1 million in federal funding to be used for streetscaping, from the train station up Main Street. “That’s going to trees, sidewalks, lighting, parking, striping, and making the road a bit more narrow,” Marcavitch explained.

“We’ve also been having some conversations about parking issues,” he went on. “We’ve had conversations with a group that’s being formed, a nonprofit group that would function as a Main Street program. They’re still in development.”

Taken together, Thompsonville definitely has some buzz. “It’s been said for 50 years now that Thompsonville is going to be revitalized, but I feel like some positive movement is happening. We’re actually putting those plans into action.”

Further Down the Track

That action has brought a sense of momentum to town, Marcavitch said, even if not everyone is feeling it yet.

“I feel there is a sense in Enfield that people don’t believe it until they start to see it. And nobody is seeing that shovel in the ground. But there are some people who know it’s happening, and they want to get ahead of it — whether it’s small developers on Main Street wanting to do small projects or big developers doing 140 apartment units.”

That said, other areas of town have seen some progress, too — even in the industrial sector, still reeling from Lego’s departure.

“We’ve had some really good conversations with the logistics industry, and we’re hopeful to see some projects that might be coming out of that relatively soon,” Marcavitch said, adding that one property owner is working with Martin Brower, the primary trucking company for McDonald’s, on an expansion and redesign of the site’s truck-management space, while USA Hauling, which owns the former Lego building, is talking to some high-tech companies.

“I have heard sometimes that Enfield is difficult to work with from a development standpoint. I don’t think that’s true, but we hear that, so I’ve been trying to be much more accessible to be that point of contact for businesses,” he added. “I was on a phone call with a gentleman who’s looking to put a restaurant in: ‘OK, great, tell me what you need. Let me know whenever you run into a snag.’ We’re just trying to be more helpful and more open.”

It’s the same with the few existing mall tenants, he added. “They don’t know what’s going to happen. So we’ve had some good conversations with those tenants. There’s only so much the town can do, but if we can at least be a receptive ear, sometimes that’s helpful.”

Since taking his role last April, Marcavitch has tried to put the same energy into other types of properties, from open spaces to historical sites.

“If you can encourage somebody to come here, that’s great, but I don’t want you just getting on a train and disappearing every day. At the end of the day, I want you to go to a dog park, I want you to go hike a trail, whatever it is, and stay in Enfield as much as possible. So it’s a multi-pronged process to bring up our sites and attractions, bring up our parks, bring up our community amenities, and bring up our businesses, too.”

New Center on HCC Campus Caters to Adult Learners, Parents

By Joseph Bednar January 17, 2025

Education

Balancing School and Life

Amy Woody stands in the new Marieb Adult Learner Success Center.

Amy Woody knows something about adult learners — students who enroll in college later in life than the typical 18-year-old high-school graduate — because she was one.

When she started at Holyoke Community College in her 20s, she had a 1-year-old son, so she also knows what it’s like to be a student and parent at the same time. So it’s been personally gratifying for her to see the development of a new support program for adult learners and student parents at HCC, which opened last month.

The Marieb Adult Learner Success Center and the Parent Learning Center are funded through a $1 million gift from the Elaine Nicpon Marieb Foundation, established by the late Elaine Marieb, an HCC alum and long-time member of its biology faculty who went on to become a bestselling author of anatomy and physiology textbooks.

“In her generosity and love of lifelong learning, she earmarked this money for the adult-learner and student-parent community,” said Anne Medina, HCC’s associate director of Enrollment and Recruitment. “She herself was an adult learner and understood the unique challenges adult learners face as older students. She firmly believed that they needed dedicated programs and spaces on campus to be successful in their studies.”

Woody agrees. As coordinator of the Marieb Adult Learner Success Center, she told BusinessWest that, as the college began to see an influx of adult learners coming in from MassReconnect — a state program launched in 2023 offering free community-college tuition to students over age 25 — one of the things it was missing was a space where students could be on campus with their children. The Parent Learning Center fills that need.

“She herself was an adult learner and understood the unique challenges adult learners face as older students. She firmly believed that they needed dedicated programs and spaces on campus to be successful in their studies.”

“We were finding they had gaps in their schedules, and they just wanted some place where they could go be with their kids and study,” Woody said. “So we realized this could be a valuable place for students to be on campus, include their children in a family-oriented space, and not feel as though they’re distracting others, or that their kids don’t have a place here. We really believe that education is a family affair, so we’re trying to create spaces and programming that bring the whole family in and not just the student.”

Meanwhile, the Marieb Adult Learner Success Center is for older students in general, not just parents, she added. It’s a more quiet space where students can study, have coffee and snacks in the kitchen, but also access academic advising and workshops to support both academic and life skills.

“It’s not just about turning your work in on time, but how do you manage that with your entire life, your kids and your family and your cooking and your cleaning and all of that fun stuff?” Woody said. “So we try to do programming that honors the adult learner as an entire person and not just a student.”

The Marieb Adult Learner Success Center is a small lounge and study area with adjoining staff offices, while the Parent Learning Center, just across the hall, is a much larger space that contains a desk with a secure play or napping area for small children, as well as a pack and play, changing station, large-screen TV, conference table, art easel, and learning corner with children’s books and toys.

HCC President George Timmons (third from left) helps celebrate the grand opening with a ribbon-cutting ceremony on Dec. 11.

“The Parent Learning Center is a workspace where students can bring their laptops, sit and work on group projects, or just kick back and relax for a while, where they can have their kids with them and feel safe and welcome,” Medina said.

Evolving Effort

Before the Marieb Adult Learning Success Center, HCC housed a program in that space called New Directions for Adult Learners, as well as its Pathways program, which is a transfer program mostly focused on adult women learners.

“The New Directions program was relatively small — it was just one academic advisor who was really running that whole program,” Woody said. “Now we have three full-time staff members, and we’ve been able to scale up the program significantly. When the New Directions program ended, there were between 60 and 80 students, and now, in our first year, we have about 200 enrolled in this program.”

More students have expressed interest as well, she added. “so we were able to take a model that was working — offering this extra, holistic support to adult learners — but scale that up to a much bigger level so that we can serve more students.”

Woody feels that having such a resource could encourage adult students to enroll while helping them stay successful on their academic journey.

“That’s one of the big things — can we make it any easier for them? We recognize that they’re sacrificing a lot of time away from their families, so that’s one of the reasons why we wanted to give back with these spaces where the whole family can be involved.

“A big part of our program is recognizing that being an adult learner is just one aspect of their identity, and there are so many other things going on in their lives,” she added. “So offering programming in the evenings, or by Zoom, or just doing little things that make us more accessible to them in their busy lives, is really helpful. So is that holistic advising piece, having a person you can call up with whatever issue you’re having, and they can help you troubleshoot and walk you through it and just remind you that you belong here at HCC, no matter what’s going on.”

Generational Impact

The ceremonial check from Elaine Marieb still hangs in the center named after her, for two reasons, Woody said.

“First of all, her generosity is what made all of this possible, and I think that’s amazing. But also, she’s a wonderful example of an adult learner, somebody who came to HCC as an adult, pursuing a nursing career.”

She noted that about 70% of students in HCC’s nursing program would be classified as adult learners, so that demographic is helping to fill persistent shortages of talent in the field, which lends another layer of importance to efforts to support them on their academic journey.

“And I was an adult learner here at HCC,” said Woody, who used her associate degree there as a springboard to a bachelor’s degree at Westfield State University. Meanwhile, her son is now 18; he’ll graduate from high school this spring and just completed his first psychology class at HCC.

“So, when I say it’s a family thing, I really believe that,” she went on. “I think seeing me here was a big push for him to say, ‘I can do this.’ It’s made a big impact on how he approaches his education.”

It’s Important to Understand Massachusetts’ Residency Rules

By Contributor January 17, 2025

Accounting and Tax Planning

State of Change

By Jeff Laboe, EA

As winter approaches, many Massachusetts residents, particularly in the colder regions, may contemplate relocating to a warmer climate (or to lower-taxed states). While relocating may seem appealing, it’s essential to understand the legal and tax implications tied to changing your state residency, especially regarding income taxes. Residency status directly influences eligibility for state programs, tax liabilities, and other matters.

Understanding Massachusetts’ residency rules — set forth by the Massachusetts Department of Revenue and Massachusetts General Laws — is crucial for anyone considering a move.

The Two Tests: Statutory Residence vs. Domicile

Massachusetts relies on two primary tests to determine residency: the statutory residence test and the domicile test.

The statutory residence test determines residency based on the number of days spent in the state and the presence of a ‘permanent place of abode’ (PPA). If you spend more than 183 days in Massachusetts during a year and maintain a PPA, you’re considered a resident for tax purposes. The PPA doesn’t need to be your primary residence; having a home in Massachusetts, even if it’s secondary, qualifies you.

The domicile test refers to the state an individual considers their permanent home and to which they intend to return. Unlike statutory residence, domicile is a subjective concept, and you can only have one domicile at a time. Massachusetts evaluates factors such as:

• Physical presence: where you spend the majority of your time;

• Intent: evidence of making Massachusetts your permanent home, like registering to vote or obtaining a Massachusetts driver’s license;

• Family connections: whether your family resides in Massachusetts;

• Property ownership: owning property in Massachusetts could indicate domicile; and

• Social ties: participation in local activities or having professional connections within the state.

Other indicators include banking locations, where your doctor practices, and even where you use credit cards.

Jeff Laboe

“If you’re considering changing your state residency, careful planning is essential. Work with a tax professional to ensure that your move is well-documented and legally defensible in case of an audit.”

Key Residency Classifications for Tax Purposes

Understanding the classifications is crucial for tax implications. The primary classifications are as follows:

• Full-year residents are taxed on all income, regardless of where it’s earned. This includes wages, business profits, and rental income from out-of-state properties. If you are domiciled in Massachusetts or meet the 183-day test, you are a full-year resident.

• Part-year residents are those who live in Massachusetts for part of the year only. They are taxed on all income sources during their time as a resident, and only Massachusetts-sourced income for the non-resident portion. If you leave Massachusetts mid-year, you’ll file as a part-year resident for the period you were domiciled in the state.

• Non-residents are taxed only on income sourced from Massachusetts. This includes earnings from work in the state or income from Massachusetts-based properties. Non-residents are required to file state income-tax returns if they earn income in Massachusetts.

• Some individuals, such as students or temporary workers, may not qualify as full-year residents, but still earn Massachusetts-sourced income. They may need to file a tax return for the period they lived or worked in Massachusetts.

Changing Residency: Plan Ahead

Changing your state residency can have significant tax consequences. States, including Massachusetts, often require a clear ‘leave and land’ process. Simply leaving Massachusetts without fully establishing residency in another state could result in continued residency classification by Massachusetts.

To demonstrate a permanent change in residency, actions such as selling property, updating voter registration, or opening bank accounts in the new state are crucial. Failure to establish clear ties to a new state might lead to Massachusetts considering you a resident, even if you’ve moved.

Residency Audits and Determination

If there’s uncertainty about your residency status, the Massachusetts Department of Revenue may conduct a residency audit. It will investigate various factors, including where you live, work, and maintain personal connections. If it determines that you are still a Massachusetts resident when you believe you’ve changed residency, you could be subject to back taxes, penalties, and interest.

Residency audits can be extensive and often result in appeals or settlements. To prepare, you should maintain proper documentation that supports your claim of residency in another state.

Conclusion

Massachusetts’ residency rules play a significant role in your tax obligations and legal standing. Residency classifications, such as full-year resident, part-year resident, and non-resident, affect how your income is taxed. The statutory residence test and the domicile test are key tools for determining your residency status. Factors like physical presence, intent, and personal connections are crucial in these determinations. It is worth noting that it’s possible to be treated as both a resident and non-resident, or even be considered a dual resident (resident of multiple states).

If you’re considering changing your state residency, careful planning is essential. Work with a tax professional to ensure that your move is well-documented and legally defensible in case of an audit. Massachusetts, like many states, is increasingly vigilant about residency audits, so it’s important to establish clear ties to your new state to avoid tax liabilities.

In summary, before deciding to move to a warmer climate, be sure you understand the full tax implications of such a change. While the process of becoming a non-resident may seem straightforward, it requires proper planning and documentation to avoid complications with Massachusetts’ tax authorities.

Jeff Laboe is a tax manager with MP CPAs, with a primary focus on tax planning and solutions for high-net-worth individuals and private-equity firms.

BusinessWest’s Top Entrepreneurs 2024

By George O'Brien January 16, 2025

Cover Story Top Entrepreneur

John and Chris DeVoie Build a Brand — and a Following

John (left) and Chris DeVoie
Photo by Bob Zemba, Simple Truth Imaging

It has established residency in one corner of the conference room at the Hot Table offices on the 23rd floor at Tower Square in downtown Springfield.

And the plaster statue of the character Captain Jack Sparrow from the Pirates of the Caribbean movies — salvaged from a closed seafood restaurant in the Plaza at Buckland Hills in Manchester, Conn., where it greeted visitors at the front door — speaks volumes about the Hot Table chain of panini restaurants and the entrepreneurs who have grown it to 13 locations. And counting.

It speaks to how far the chain, launched in the Breckwood Shoppes in Springfield in 2007, now reaches — south and east of Hartford — but also to how the chain has been able to capitalize on some real-estate opportunities, in this case that failed restaurant, to expand its reach. But mostly, it speaks to how founders and brothers John and Chris DeVoie like to collect memorabilia and, well … also have a good time.

“It was a seafood place with a kind of a pirate theme,” John explained. “The place was emptied out, we went in, demoed it, and that was left over, and we decided to take it and put it in our office. It makes a great conversation piece.

“It scared the cleaning people when we first brought it up here,” he went on, noting that the cigar-store-Indian-like artifact wears a nametag — Rich — for Rich Calcasola, a partner in the Hot Table venture based in North Carolina, so that he can have a physical presence in Springfield.

Other examples of memorabilia include a framed copy of the blueprint, if you can call it that, for the first Hot Table restaurant at the Breckwood Shoppes, now hanging in the sitting area of the Hot Table’s suite of offices at Tower Square, affectionately dubbed ‘Club 23.’ It’s just one sheet of paper, compared to the dozens of pages for some of the latest standalone locations in Chicopee and Westfield. And also the glowing red ‘Hot Table’ ordering kiosk, which sits in another corner of the conference room.

“We were doing great, and then the music just stopped. That was a scary time — we had an 80% drop in revenue from one week to the next. And that was before anyone was talking about PPP or a bailout. We were thinking … do we have a company.”

Other examples of fun include the vintage arcade game installed in Club 23, a nod to the games the DeVoies played in the ’80s — and how they still like playing them — as well as their increasingly famous billboard featuring a cheese-steak panini and the words ‘Bite Me.’

These various items speak to a business, a brand, and an entrepreneurial gambit that continues to grow, evolve, and become an ever-bigger part of the regional landscape, both literally and figuratively.

John (left) and Chris DeVoie with ‘Rich,’ some memorabilia from a closed seafood restaurant in Manchester, Conn. that became the latest location for Hot Table.

And one that has earned its founders BusinessWest’s coveted Top Entrepreneur award for 2024.

First presented in 1996, the award pays homage to this region’s strong tradition of entrepreneurship and those that are continuing that legacy. Recipients have ranged from vodka-label founder Paul Kozub to former Springfield Technical Community College President Andrew Scibelli; from the Balise family of auto dealers to the D’Amour family still operating Big Y.

The story of the DeVoies and Hot Table echo some of the region’s better narratives of entrepreneurship, especially that of Curtis and Prestley Blake, founders of the Friendly’s chain of restaurants.

Not in size, certainly — Friendly’s grew to hundreds of locations in its heyday — but in how two brothers took a chance and created both a concept and a following, overcoming some growing pains and extreme adversity, especially during the pandemic, in the process.

“We were doing great, and then the music just stopped. That was a scary time — we had an 80% drop in revenue from one week to the next,” John said, recalling the early days of the pandemic. “And that was before anyone was talking about PPP or a bailout. We were thinking … do we have a company?”

As for size … well, with interest rates high and construction costs still soaring, continued expansion of Hot Table has become a difficult proposition. But the brothers DeVoie continue to look for opportunities and say there are likely to be some, especially with the attrition rate with restaurants in today’s changing, ultra-competitive market, and less sticker shock when it comes to real-estate prices in general.

Beyond expansion, the two like to focus on other aspects of this growing venture, from brand building to getting involved in the many communities where they now have a presence, to the opportunities, and mentoring, they provide to young people.

“We have a lot of success stories … people starting with pressing paninis and advancing to general manager and even regional manager,” Chris said. “Eight of our general managers are homegrown, and we’re very proud of that.”

There is much to be proud of with this growing business — especially the entrepreneurial spirit that launched it and has taken it to the next level.

Chain of Events

By now, most people in this region know at least some elements of the Hot Table story, such as its origins in the Breckwood Shoppes, just a few doors down from Sophia’s Pizza, where both John and Chris worked as delivery drivers while attending Western New England University just across the street.

“That’s how we got our start in the restaurant business,” said John with a laugh, noting that the experience did provide some valuable insight into the industry.

Many folks have also heard how the two, while both working in corporate sales for day jobs, blueprinted their venture in 2007 with an initial focus on coffee and an eventual shift to a design-your-own-panini format after John’s sister and brother-in-law saw such a setup on a cruise ship.

Or how they were turned down for financing by a slew of area lenders before finally securing a loan from Nuvo Bank, a startup in its own right.

Or how they made Tower Square their second location after essentially getting an offer they couldn’t refuse from then-owner MassMutual, and have been there ever since.

Chris (left) and John DeVoie at the company’s Chicopee location, one of many new stores to open over the past several years.
Photo by Bob Zemba, Simple Truth Imaging

Or how they managed to survive the pandemic in large part because they were already developing an app that would enable people to order online and pick up at the store.

Or how they’ve expanded both within this region — with stores now in Chicopee, Westfield, Hadley, and West Springfield — and well beyond, going as far east as Route 495 in Massachusetts, and deep into Connecticut, with locations in Enfield, Manchester, Glastonbury, and West Hartford.

These are all elements to a compelling story, one that blends opportunity with vision, persistence, and creativity.

And, obviously, some entrepreneurial spirit, something the brothers say runs in the family — their mother, Lois, owned and operated the House of Flowers in East Longmeadow for nearly 40 years. With that background and degrees in business from Western New England in their portfolios, the two brothers developed “an itch to do something,” as John put it, while also working their day jobs.

This itch coincided with the return of John’s brother-in-law, veteran restaurateur Don Watroba, to this region. Watroba had owned and operated several eateries in the area, including Admiral DW’s, Captain DW’s, the Goldmine, and DT Smith’s, before selling them in the early ’90s, moving out west, and returning to this region when his father became ill.

“He was looking for an opportunity also, and we had this itch, so we teamed up with Don, who had some restaurant experience,” John explained, adding that they considered a seafood restaurant and other options before settling on sandwiches and coffee, and especially the latter.

“With John and I being on the road in sales — we were in a lot of different markets in the Northeast — we saw the rise of the café, the fast casuals,” Chris said. “And the coffee aspect was a big part of it.”

The other big part of it, the panini aspect of the venture, traces back to that cruise taken by John’s sister and brother-in-law, and with that concept, the Hot Table picture began to come into focus.

Entrepreneurial Flavor

Fast-forwarding a little, the two partners first made the significant leap from one location to two with the opening of the store in Tower Square, formerly home to Gus & Paul’s and, before that, coincidentally, a Friendly’s location.

“To do two locations,” Chris recalled, “that’s when you said, ‘whoa, we’re running a business, and it’s scalable — we can do this in two places, where we never thought that was possible. We’ve created something that people enjoy and desire. That’s great; it’s very fulfilling.’”

“To do two locations, that’s when you said, ‘whoa, we’re running a business, and it’s scalable — we can do this in two places, where we never thought that was possible. We’ve created something that people enjoy and desire. That’s great; it’s very fulfilling.’”

After that, they continued a pattern of expansion that took them across this region and then well beyond, to communities and locations that made sense: Enfield, Hadley, Marlborough, the Trolley Yard in Worcester, Corbin’s Corner in West Hartford, the jughandle off the turnpike exit in Westfield, Memorial Avenue in Chicopee, and space that was part of Table & Vine in West Springfield.

While adding new locations, the DeVoies and third partner Rich Calcasola have been building a brand, and using many vehicles, including social media and billboards, to do so.

Several locations marked milestones, if you will. Enfield, which became a real confidence builder, marked the first time the Hot Table brand was taken to an area loaded with fast-casual competition, such as Panera Bread, Five Guys, and others. Chicopee was the first standalone, new-construction site. Marlborough marked the first venture to the eastern part of the state, and Worcester marked the next major population center.

Calcasola joined the business as a third partner in 2013, just as Watroba was essentially moving on to something else, and Chris gave up his day job and made Hot Table his sole focus in 2018. And over the years, the venture has become a true family affair, with Chris’s wife, Cara, now serving as HR director, and several members of the second generation taking jobs during school vacations and the summer.

The past few years have been extremely busy, with the opening of five new restaurants in 19 months — Westfield, Chicopee, West Springfield, and Franklin, as well as Manchester, Conn., a time that has been followed by a period of absorbing such rapid and profound growth.

“It’s like snake eating a rabbit — it takes time to digest all that,” said John, adding that the cost of each buildout grew higher as inflation climbed. And while those costs have stabilized somewhat, they remain high, making additional expansion a trickier proposition.

“We decided to pump the brakes and evaluate what we were doing because the return on investment was a different proposition,” he explained. “Something that cost $450,000 in 2022 is all of a sudden costing $800,000 in 2024.”

While hitting pause in many respects, the partners continue to search for opportunities for continued expansion, while also looking at the menu in an effort to identify ways to provide more value to consumers and create efficiencies.

“We always want to be nimble — the market changes quickly; that’s one of the things COVID taught us. We always have our eyes open and our ears to the ground, watch what’s happening in other cities and with trends, and not chase every shiny object, especially when it comes to the menu. Do what you do, and do it well.”

“We always want to be nimble — the market changes quickly; that’s one of the things COVID taught us,” Chris said. “We always have our eyes open and our ears to the ground, watch what’s happening in other cities and with trends, and not chase every shiny object, especially when it comes to the menu. Do what you do, and do it well.”

As for eventual expansion, John said the company will look to progress farther south in Connecticut, toward New Haven, along the Route 495 belt (going further east will likely be cost-prohibitive, and labor is in short supply, he noted), and perhaps into Rhode Island — the store in Franklin is near the border. As for the long term, Hot Table could eventually become more of a regional and then national chain, but the company would need to partner with an entity with expertise in capital to take that step.

“We’re going to continue to do what we do — look for good real estate,” said John, adding that franchising, which has been considered, is not in the cards at the moment.

“Getting into franchising is stepping out of the restaurant business — selling and supporting franchises is a completely different company,” he went on. “That’s not something we’re looking to do right now.”

Food for Thought

Beyond adding more restaurants — and collecting memorabilia — John and Chris say they’re hard at work building a brand and creating a culture, complementary assignments that have many aspects to them.

As for brand building, billboards — including ‘Bite Me,’ described by at least one friend as “slightly inappropriate” — are just a small part of the equation, as is a strong social-media presence.

Bigger parts include involvement in the community while also getting the Hot Table name out there. Examples include everything from a partnership with the Springfield Thunderbirds, which includes an animated panini race between periods, to providing meals to the Franklin High School football team; from support of the Hooplandia 3-on-3 basketball tournament at the Big E to setting aside a portion of sales on given days to support area food pantries.

An employee at the Chicopee location presses a panini, a concept that has done well in several different markets where the chain now has a presence.
Photo by Bob Zemba, Simple Truth Imaging

Such efforts provide exposure and let people know this is a local, family-owned company, said John, adding quickly that many still believe this is a national chain and the brothers are merely franchisees.

As for culture, Hot Table is establishing itself as a good place to work, where young people (and that’s the bulk of the workforce) can find not only a first job — and many have — but also a real opportunity to grow and develop leadership skills. Indeed, Chris noted that several men and women have worked their way up from the panini line to management positions, progression that he’s proud of.

“They’ve grown with Hot Table — we’ve given them an opportunity to grow from making paninis to a supervisor to assistant manager to general manager,” he explained. “And we’ve had an opportunity to mold them in a way where they have an influence and help us create a culture of good service.

“Sometimes, you get people who have been in the restaurant business for a long, long time, they become hardened to the industry, and with that sometimes come mistakes,” he went on, adding that the ability to teach and mentor new talent is valuable. “And they bring a certain energy level — a newness.”

Jeff Sullivan, president of Springfield-based New Valley Bank — who, as a lender with the institution known then as United Bank, was among those who turned down the DeVoies as they sought financing for the Breckwood location — said the two have succeeded with their niche in large part because of their ability to listen to various constituencies, especially customers, and respond to what they hear.

“They’re very dedicated to continuously improving their business,” Sullivan said. “They are humble in the way they study their business processes and try to listen to the customer, adapting constantly based on the feedback they get from their customer base.

“I think of them as one of those companies that are setting a high bar for service and teaching very valuable lessons to young people, giving them the skills that they can use their whole lives,” he added.

That’s just one aspect of this intriguing success story, one that certainly builds on the region’s strong tradition of entrepreneurship.

Previous Top Entrepreneurs

• 2023: The Food Bank of Western Massachusetts
• 2022: Benson Hyde and Bruce McAmis, co-owners of Provisions
• 2021: Dinesh Patel and Vid Mitta, owners of Tower Square in Springfield
• 2020: Golden Years Homecare Services
• 2019: Cinda Jones, president of W.D. Cowls Inc.
• 2018: Antonacci Family, owners of USA Hauling, GreatHorse, and Sonny’s Place

• 2017: Owners and managers of the Springfield Thunderbirds
• 2016: Paul Kozub, founder and president of V-One Vodka
• 2015: The D’Amour Family, founders of Big Y
• 2014: Delcie Bean, president of Paragus Strategic IT
• 2013: Tim Van Epps, president and CEO of Sandri LLC
• 2012: Rick Crews and Jim Brennan, franchisees of Doctors Express

• 2011: Heriberto Flores, director of the New England Farm Workers’ Council and Partners for Community
• 2010: Bob Bolduc, founder and CEO of Pride
• 2009: Holyoke Gas & Electric
• 2008: Arlene Kelly and Kim Sanborn, founders of Human Resource Solutions and Convergent Solutions Inc.
• 2007: John Maybury, president of Maybury Material Handling

• 2006: Rocco, Jim, and Jayson Falcone, principals of Rocky’s Hardware Stores and Falcone Retail Properties
• 2005: James (Jeb) Balise, president of Balise Motor Sales
• 2004: Craig Melin, president and CEO of Cooley Dickinson Hospital
• 2003: Tony Dolphin, president of Springboard Technologies
• 2002: Timm Tobin, president of Tobin Systems Inc.
• 2001: Dan Kelley, president of Equal Access Partners
• 2000: Jim Ross, Doug Brown, and Richard DiGeronimo, principals of Concourse Communications
• 1999: Andrew Scibelli, president of Springfield Technical Community College
• 1998: Eric Suher, president of E.S. Sports
• 1997: Peter Rosskothen and Larry Perreault, co-owners of the Log Cabin Banquet and Meeting House
• 1996: David Epstein, president and co-founder of JavaNet and the JavaNet Café

Carr Hardware Is a Chain — and an Institution

By George O'Brien January 16, 2025

Features Special Coverage

Hammer Down

Bart Raser looks over the Carr Hardware location on North Street in Pittsfield.

While he admits to practically growing up at the Carr Hardware store in Pittsfield, working beside his father, Marshall, during the summer and school vacations, Bart Raser says he had no real interest in living in the Berkshires or making the family business a career.

That all changed when, while he was working in Boston and studying for his MBA, his father became ill with cancer. Raser came home — meaning to the store on North Street — for what he thought might be several months.

“Instead, I kind of fell in love with it and never left,” he said. “It’s a good business. It’s been fun … and it’s still fun. It’s great when you can wake up and love what you do every day.”

Indeed, working beside his father, who was very active in the business until recently (and until he was in his mid-90s), Raser has helped write the latest chapters in an intriguing story that began almost a century ago when Sam Carr put his name over a hardware store that would soon become, and always has been, an institution as much as a place to buy paint, nails, and, more recently, a leaf blower.

An institution that has not only been part of the fabric of the community — in Pittsfield and now several other cities and towns where it has locations — but a force in those communities, with Raser and many of his employees getting involved on many different levels.

“If it wasn’t for our community, we wouldn’t be here, so we support a ton of organizations, we encourage our people to get involved, and we supply our people with the time, and the money if it’s needed, to get involved.”

“It’s a big part of our culture — we’re a community business,” he said. “If it wasn’t for our community, we wouldn’t be here, so we support a ton of organizations, we encourage our people to get involved, and we supply our people with the time, and the money if it’s needed, to get involved.”

As for the business itself, it has evolved and expanded its reach — moving into equipment rentals and a strong online component, and adding stores across Berkshire County and then beyond, with a location in Avon, Conn.

And there are certainly opportunities for more of this expansion, said Raser, especially as Baby Boomers move into retirement and look to sell some of the remaining small, independent stores still to be found in the region.

Bart Raser and his father, Marshall, have grown Carr Hardware to a six-location chain (and counting) over the past 30 years.

“The challenge in our industry is there’s a lot of folks who own hardware stores who are late in their careers, and their kids have no interest in working the kind of hours that are required in retail today,” he explained. “And the business is not easy — it’s capital-intensive, the margins are tight, the competition is tough … you have to work hard.

“So there are plenty of opportunities today, and there are probably more coming,” he went on, adding that plenty of people are looking for such opportunities. “There are a lot of folks who want to buy these stores.”

With that, Raser — who now has his own children working summers and vacations doing everything from making deliveries to assembling grills — effectively summed up the state of this industry as well as the challenges and opportunities facing this nearly century-old business. For this issue, BusinessWest talked at length with him about all that and much more.

A Lightbulb Went Off

As he walked through the Pittsfield store with BusinessWest, Raser passed a row of snow throwers, an item that was in short supply and very hard to get at the height of the pandemic, but not so much the past few years.

“We have plenty of them … it hasn’t really snowed in two years,” he said with a voice that blended frustration with hard reality and an inability to do anything about it. “Let’s hope that changes this winter.”

Weather is just one of the myriad issues and challenges confronting those in the hardware business, a sector that, like many others in retail, has undergone tremendous change over the past few decades, in everything from the scope and nature of the competition — Sam Carr didn’t have Home Depot, Walmart, or Tractor Supply to contend with — to how business is done and what is sold or rented, from baby chicks in the spring to bounce houses.

“There’s all kinds of competition, and that competition has changed over the years,” he explained. “When I first came back, Sears was the big competitor, and that’s certainly evolved. Meanwhile, online is a huge competitor, Home Depot, Walmart, local chains — Rocky’s and Aubuchon — and the independents; there are several of them in the Berkshires.”

Like all Pittsfield-based businesses, this one had to cope with the downsizing of GE in the early ’90s and the huge impact it had, and still has, on the city’s central business district. And, like all retail businesses, this one faces the challenge of finding enough talent for its stores.

“The challenge in our industry is there’s a lot of folks who own hardware stores who are late in their careers, and their kids have no interest in working the kind of hours that are required in retail today.”

Before getting to all that, let’s go back to the beginning.

Calvin Coolidge was patrolling the White House when Sam Carr, a North Adams native who was working for someone else in the hardware sector, decided to go into business for himself. He started in a storefront just a few blocks down North Street, and eventually moved his venture into what had been a Sears Roebuck location, and before that a car dealership, at 547 North St., and the Carr name has been over the door ever since.

In 1962, Marshall Raser, who was already in the hardware business in Quincy with his brothers, met Sam Carr and decided to expand, if you will, into the Berkshires.

“My dad bought Carr Hardware, his brothers stayed in Quincy, and he ran Carr Hardware; together, they were all partners,” Raser noted, adding that the expansion into other Berkshire-area communities began in the ’80s with locations in Lee and Great Barrington. Eventually, what would become a chain had a presence in North Adams as well, before the venture moved into other area markets.

Including Avon in 2019, a Connecticut expansion that certainly wasn’t planned.

“I went in to buy their fixtures, and I walked out with the keys,” he said, referring to a store that was closing its doors, only to open again with a new name over the door. The search for fixtures was prompted by Carr’s purchase of an independent store in Longmeadow and the need to relocate it to make way for a Big Y expansion, a move that brought the chain to Enfield, Conn., a store that would close after seven years of operation.

Nailing It Down

As he talked about the company’s past expansion efforts — and also what might happen in the future — Raser referenced the attrition rate in this business, which has grown steadily higher over the years, even within his own family; indeed, in addition to the Enfield store, which suffered from a poor location, a store in Great Barrington operated by his cousins eventually failed, to be replaced by one opened by Bart and Marshall Raser.

As part of Carr Hardware’s long tradition of being involved in the community, employees take part in downtown Pittsfield’s annual spring cleanup.

To survive and thrive these days, hardware ventures need several key ingredients, he said, starting with size. Indeed, chains have an enormous advantage over single, standalone stores when it comes to buying power and economies of scale, Raser said, adding that this is one reason why he is continually looking for expansion opportunities.

Meanwhile, a diverse portfolio of products and services is another must, he noted, adding that the company’s equipment- and event-rental business is a good example of such diversity.

“Rental is an important part of our business now,” he said. “If you had told my dad or Sam Carr that we would be renting bounce houses and cotton-candy machines, they’d think we were crazy, but it’s a great part of our business.”

The same can be said for small-engine repair and even the sale of chickens, which started in three of the stores several years ago and remains brisk.

Meanwhile, a large, effective online presence is also a must, and Carr has achieved that as well.

“It’s such a small part of our total volume, but it’s such a fast-growing piece; it grew by more than 100%,” he explained, adding that, while there’s a large volume of returns, consumers are becoming ever-more comfortable with buying hardware online.

Still, when it comes to most projects and products, consumers still need advice, which is why in-store service from qualified experts is another key to success, and Carr features that as well.

As for size, as he noted earlier, Raser said he’s continually looking for growth opportunities, but they have to make sense, and he isn’t looking to grow just for the sake of growth.

“I’ve walked away from far more than I’ve bought,” he said of stores that come on the market, adding that everything has to be right with an acquisition candidate, from the location to the condition of the store to the price, obviously.

“In many cases, people value their business for more than it’s really worth; with these small businesses, there are emotional connections, and they’re multi-generational,” he noted. “We have a lot of things we look at when considering an acquisition, and the biggest is culture, but the metrics have to make sense as well.

“We’re willing to go where there’s opportunity,” he went on, when asked where the company might go next. “But ideally, we would like to fill in the map; it would be great to have something between Great Barrington and Avon.”

Meanwhile, in the communities where it already has a presence, the company makes getting involved a huge part of its culture.

As Raser noted earlier, this is a top-down proposition. He has served, and continues to serve, on a number of different boards, and the company not only encourages employees at all levels to get involved, it gives them the wherewithal — the time off and whatever else they need — to do so.

“If they’re passionate about being a volunteer firefighter, or they want to coach a soccer team, or get involved in Little League, whatever their passion is, we really encourage them to do that,” he told BusinessWest. “And we’re happy to help them support the organization — that’s our starting point.”

It’s just one of many traditions, carried on for almost 100 years now, that promise to continue for decades to come.

LightHouse Holyoke Expands Its Space — and Its Innovative Vision

By Joseph Bednar January 16, 2025

Education Special Coverage

Learning Process

Executive Director Catherine Gobron

July 18 to Sept. 3. That’s 47 days. Not quite seven weeks.

That’s how much time LightHouse Holyoke, a non-traditional middle and high school celebrating its 10th year in operation, had between its purchase of the Gateway City Arts property on Race Street and the start of classes for the 2024-25 year.

Executive Director Catherine Gobron called that whirlwind of activity “amazing” as she gave BusinessWest a tour of the facility during the recent holiday break and reflected on the past few months; the school’s impact on students, many of whom thrive there more than they would a traditional public school; and how the new location opens up more educational programs — and potential career paths — for these teens.

Take, for example, a production academy integrated into two existing performance spaces, a small theater and a larger concert venue that has hosted national touring acts through the years; together, they will allow for training and internship opportunities for young people to learn the many skills associated with the entertainment and event-production industry, from lighting and sound to artist management and beyond. Isaac Eddy, a 12-year veteran of the Blue Man Group, is developing the theater program.

“Our expenses have gone up quite a bit, and we’re still really figuring out how that’s all going to work. But we’ve got a vision to grow it, and I can see it.”

“Different aspects of the work appeal to different students — some kids are really lit up by how to use the lighting board, and other kids are interested in learning sound. Some of these young people, we predict, will go on to careers in the music industry or in the production industry,” Gobron explained, adding that LightHouse is also developing partnerships with the Fine Arts Center at UMass Amherst and a local theatrical stage union, “so hopefully we can feed young people into the union. which would be a win-win.”

Similarly, the complex’s café will reopen to the public, with integrated courses and internships in all aspects of running a café, leading to paid work and future career opportunities. The complex also hosts an 8,000-square-foot community maker space, complete with a woodshop and ceramic studio, hosting classes and workspaces both for LightHouse students and accessible to the wider community.

LightHouse bought the Gateway City Arts complex on July 18 and started classes on Sept. 3 — a whirlwind of activity Catherine Gobron calls “amazing.”

Gobron is also excited that the just-opened kitchen space will serve both the café and student lunches, meaning the school no longer has to rely on one of the large, national lunch suppliers.

“It’s really exciting that we’re going to have a real lunch program, and we’re going to eat together in the dining room every day,” she said. “Many of our young people are not arriving with strong skills or awareness or resources around healthy food choices, and that can have dire consequences.”

So there’s plenty of excitement at LightHouse — which currently enrolls about 75 students and could double that with more buildout — but also a sense of challenge.

Through what Gobron has called “a steady stream of community-supported miracles,” the school raised $1.5 million toward purchasing and renovating the 40,000-square-foot property, and borrowed another $2.5 million in partnership with Greenfield Northampton Cooperative Bank and MassDevelopment. Collaborators on the project included HAI Architects, Houle Builders, and Sarah Reid at Small Victories Interior Design. A second capital campaign aims to raise another $1.5 million; that’s on top of an annual budget that relies partly on tuition, but with philanthropy covering about one-third of the total.

“A lot of times, if a young person isn’t thriving in school, we think that’s the young person’s fault: they have ADHD, they have whatever. We often don’t talk about it as a systemic problem. Here, we don’t try to blame the kid.”

But the school’s mission is important, Gobron said, which is why these efforts are not just challenging, but gratifying. “Our expenses have gone up quite a bit, and we’re still really figuring out how that’s all going to work. But we’ve got a vision to grow it, and I can see it.”

Impactful Journey

Gobron’s life experiences led her to a non-traditional path in the world of education, and eventually to the launch of LightHouse in 2015 along with then-business partner Josiah Litant.

“High school was terrible for me, and I ended up leaving during my senior year. I was a strong student academically, but it was a really negative space for me in other ways,” she recalled. She started her career in alternative education at a Montessori school and eventually made her way to North Star Self-Directed Learning for Teens in Sunderland, where she stayed for 12 years.

While program director there, she dreamed of opening a school in Holyoke focused on self-directed learning that would serve a more urban, diverse population. She and Litant, an education consultant who had worked at Hampshire College, found a home in the Sustainability Technology Entrepreneurship Art Media (STEAM) building on Race Street, which, like Gateway City Arts, was owned by Vitek Kruta and Lori Divine.

Catherine Gobron stands in the school’s dining area, where students will benefit from a just-launched in-house kitchen.

Gobron said the model isn’t as radical as it sounds, as college students typically craft their own degree track within certain parameters. “But we typically don’t recognize the value in that when it’s teenagers.”

Especially those, like herself, who don’t feel they fit into a traditional high-school structure.

“A lot of times, if a young person isn’t thriving in school, we think that’s the young person’s fault: they have ADHD, they have whatever. We often don’t talk about it as a systemic problem. Here, we don’t try to blame the kid,” she said, noting that LightHouse’s opening coincided with Holyoke Public Schools entering state receivership (which was lifted in 2024). “There were so many kids struggling, we couldn’t blame them anymore. The system had to ask, ‘OK, what are we doing?’ And there was a window of openness to other possibilities that might have otherwise seemed kind of crazy.”

LightHouse actually has partnerships with the public school systems in Holyoke and other communities, taking in a handful of students who are technically enrolled with the city, but do their learning at LightHouse.

“The students they’re sending us are typically disengaged,” Gobron said. “A lot of times, we hear from parents, ‘I used to have a curious and excited kid, and somewhere, that went away.’ And now we have this child who’s kind of shut down and disengaged, thinks that they hate learning, or have any number of challenges.”

“A lot of times, we hear from parents, ‘I used to have a curious and excited kid, and somewhere, that went away.’ And now we have this child who’s kind of shut down and disengaged, thinks that they hate learning, or have any number of challenges.”

Each student has an advisor that becomes their point person, she explained, both for the student and their family — with ‘family’ being an adaptable term. “Some students have two parents; some students have four parents; some students have a grandmother, a social worker, and a probation officer. And the advisor creates a team of support around the student.”

Students are encouraged to pursue their own interests — sometimes with immediate, real-world applications, as with the burgeoning event-production and culinary programs — but still need to achieve the same graduation requirements, in terms of credits and testing, as public-school students in Massachusetts.

“We believe that young people can and should be supported to be the leaders of their own lives,” the school’s website states. “We know that learning is most successful when it is actively chosen and personally meaningful. For us, the purpose of education is to collaborate with young people to cultivate the skills, confidence, and vision to co-create the future.”

Success Stories

Incoming students tend to fall into one of several categories, Gobron noted: young people with passions and interests who seek more time, support, and flexibility to pursue them; those who come from negative schooling experiences, may learn differently, or be anxious, depressed, bullied, ostracized, struggling academically, or managing other challenges; and teens somewhere in the middle, who are open to the possibility of being inspired, but aren’t there yet.

One senior student recently wrote an essay on her experiences, and how she always liked learning, but faced a combination of bullying in middle school and struggles at home.

The stage where many locals have enjoyed concerts over the years will now showcase a blend of student training and community events.

“I went from being an honor-roll student to skipping classes and not learning a single thing,” she wrote. “I was so consumed by depression and anxiety that I felt suffocated. I understand that it was a tough time for everyone when COVID hit, and school became completely different, but I’d never done worse in my life in terms of grades. COVID was my excuse. I hid all the parts of me that I deemed weak behind my face mask. I was at an all-time low, and I accepted it.”

Until she found LightHouse — very near her home, actually — and began to reclaim her passion for learning.

“LightHouse was very supportive of me. I’d been used to being treated in a lot of ways. I knew when I was being brushed off, neglected, or taken advantage of, so this feeling was very odd.”

“LightHouse was very supportive of me. I’d been used to being treated in a lot of ways. I knew when I was being brushed off, neglected, or taken advantage of, so this feeling was very odd,” she wrote, later adding, “I’ve been doing all kinds of things, and I’ve honestly never been more motivated in my life. I went from declaring that I was going to drop out to applying for college. That’s what LightHouse has done for me. I couldn’t be more grateful.”

Kruta and Divine are also grateful they were able to sell the Gateway City Arts complex — long a hive of arts, learning, performance, and community connection — to an equally mission-driven entity, and one with which they were already familiar.

“We couldn’t be happier to have LightHouse move into the space that we spent 12 years creating,” Divine said last year. “Our mission was always to create a space for education, community, creativity, and inspiration. This was carried out in our classes, meetings, theater, food, music, and gatherings. LightHouse Holyoke shares so many of our values. When it was clear that Gateway City Arts had to close, our hope was to find a buyer that would continue our vision merged with their own. We applaud what LightHouse brings to the lives of its students and their families and friends. We created a space for learning and sharing — LightHouse will continue that.”

The Benefits of Charitable Giving to Donor-advised Funds

By Contributor January 16, 2025

Accounting and Tax Planning Special Coverage

A True Win-win

By Lauren Foley

What if there were a way to support a preferred sponsoring organization while also receiving a valuable tax benefit? Giving to a donor-advised fund (DAF) might be your answer.

DAFs offer a unique opportunity to make a significant impact while enjoying both the emotional satisfaction of giving and the financial benefits of charitable deductions. They are an ideal avenue for increasing community involvement and charitable giving, as well as obtaining a favorable tax deduction. Whether you’re an individual or a corporation, DAFs can help streamline your charitable efforts.

A donor-advised fund, or DAF, is defined by the IRS as “a separately identified fund or account that is maintained and operated by a section 501(c)(3) organization, which is called a sponsoring organization. Each account is composed of contributions made by individual donors.”

Funds are added to the account, and, like an investment, the value will fluctuate based on the stock market. This gives donors the potential to grow their charitable giving over time. When the DAF increases in value or reports a gain, the gain is not taxable to the donor.

The key benefit of investing in a DAF is that the donor does not incur taxes on the growth of their investment. This feature makes DAFs a great option for those looking to maximize their charitable contributions without the burden of additional taxes. Another benefit is that the donor can invest not only cash, but also non-cash assets such as stocks, bonds, and real estate, depending on the specific sponsoring organization, offering even more flexibility in how donations are made.

How Does a Donor-advised Fund Work?

The mechanics of a donor-advised fund are relatively simple, but the possibilities for giving are vast. The money deposited and invested into a DAF must be used to donate to a certified charitable organization. The taxpayer can recommend which charitable organization will receive the donation, providing a sense of control over where their funds go. Once determined, the sponsoring organization retains final authority over whether to accept the recommendation.

Lauren Foley

“Funds are added to the account, and, like an investment, the value will fluctuate based on the stock market. This gives donors the potential to grow their charitable giving over time. When the DAF increases in value or reports a gain, the gain is not taxable to the donor.”

However, it is important to note that the taxpayer loses legal control over the funds once they are added to the account. This is an important distinction, as the fund is ultimately governed by the sponsoring organization. In other words, a DAF is a low-cost alternative to a private foundation.

How Does a Donor-advised Fund Affect Your Tax Return?

If a taxpayer itemizes on their personal tax return (Form 1040), the DAF is a great way to increase charitable giving while simultaneously lowering taxable income. When itemizing, cash contributions made through a DAF will be deducted from the taxpayer’s taxable income.

Keep in mind that there are limitations on charitable contributions, including special limits on contributions to DAFs in one tax year, so it’s important to seek advice from a CPA or accounting firm to ensure you stay within the legal guidelines and make the most of your charitable contributions.

A taxpayer can avoid selling securities or non-cash assets and reporting a capital gain by donating them directly to a DAF. By donating the securities directly to a DAF, the taxpayer can avoid the capital-gains tax on the sale of securities. This can be particularly advantageous for individuals who have appreciated assets like stocks or real estate.

As mentioned earlier, the fair market value of donated securities can be deducted from the donor’s taxable income, up to 30% of adjusted gross income. Any amount that is limited during the year the donation is contributed to the DAF can be carried forward to future years. Any future appreciation — whether from dividends, interest, or further gains — while the securities are held within the DAF remains tax-free. Since the DAF is a tax-exempt entity, it does not pay taxes on these gains, either. This makes donating appreciated securities to a DAF an effective way to maximize both charitable giving and tax savings.

There is some control of itemized deductions when donating to charity as the state taxes are capped at $10,000, so investing in a DAF is a good way to group donations. It will allow the donor to take a large charitable donation deduction in one year and then recommend distributions to favorite charities over the next few years.

For corporations, charitable contributions are generally limited to 10% of the company’s taxable income for the year. In contrast, S-corporations and partnerships are pass-through entities, meaning they do not pay income taxes at the corporate level. Instead, income and deductions pass through to the individual owners, who can then deduct their share of the donation on their personal tax returns based on their ownership percentage. This makes DAFs an especially attractive option for business owners who want to incorporate charitable giving into their overall tax strategy.

The Act of Giving

The most important aspect of a donor-advised fund is that it allows taxpayers to invest in charities, support growth and culture for future generations, and give back to those in need. A donor-advised fund allows for the donor to plan and track their charitable donations over time. A DAF opens doors for increased giving and provides taxpayers the opportunity to reflect on their priorities while making a difference in the lives of others.

As always, when engaging in tax planning or investing in a new fund, working with an experienced financial advisor or tax professional can help you navigate donor-advised funds.

Lauren Foley is a senior associate at the Holyoke-based accounting firm Meyers Brothers Kalicka, P.C.

Commercial Real-estate Market Expected to Pick Up in 2025

By George O'Brien January 16, 2025

Commercial Real Estate Special Coverage

There’s a Place for Cautious Optimism

Evan Plotkin stands in the space at 1350 Main now occupied by Tech Foundry, one of many new tenants in the downtown Springfield office tower.

Evan Plotkin has been in the business for more than 40 years now, but he can’t recall a time when he’s filled this much office space (150,000 or so square feet, by his estimate) in such a short time — roughly three years.

The president and CEO of Springfield-based NAI Plotkin has been helped in some ways in his efforts to fill empty spaces at 1350 Main St. in the city’s downtown, from state agencies needing new space to a high school seeking an imaginative new home.

But in other ways, he’s created his own luck by being proactive, proposing outside-the-box uses for traditional office and retail space, like a wellness center on the ground floor and a fitness center, and creating an environment that businesses want to be in.

“We’re creating an experience here,” he said. “The tenant is an emphasis for us, and it is throughout the commercial real-estate market. If you want to get the workforce to come back to the office, you have to create a different kind of experience.”

Plotkin’s success at 1350 Main has been somewhat of an outlier in the commercial real-estate sector, with most others describing 2024 as a mostly slower time and a transitional year, if you will, with many business owners and investors playing wait and see when it came to both the election and the interest-rate environment.

But with the election decided and the likelihood of at least slightly lower interest rates, investors are looking to get back in the game, said Demetrios Panteleakis, a principal with the Springfield-based Macmillan Group.

“My prediction for the next 18 months is that investors are going to come off the sidelines. With optimism comes real-estate investors looking for opportunities, and they create a great deal of volume. I’m starting to get the calls back from my usual clients asking me if I see any opportunities out there.”

“My prediction for the next 18 months is that investors are going to come off the sidelines,” he noted. “With optimism comes real-estate investors looking for opportunities, and they create a great deal of volume. I’m starting to get the calls back from my usual clients asking me if I see any opportunities out there.”

Meanwhile, there is optimism on perhaps the largest issue hanging over this sector — the future of remote work, hybrid schedules, and the impact they will have on individual buildings, downtowns, and communities.

Indeed, many of those we spoke with see the tide turning on remote work, pointing to major employers such as Amazon, Pratt & Whitney, and even the federal government ordering people back to the office — or moving in that direction — as evidence.

“A year ago, I predicted there would be a gradual return of people to the office, and we saw a lot of that in 2024,” said Jack Dill, a principal with Springfield-based Colebrook Realty Services, adding that this movement, if it can be called that, made this past year better than many in the industry expected it would be. It also gave brokers, real-estate management companies, and investors some confidence regarding the office market.

“Overall, we saw a pretty normal year — whatever normal is,” Dill went on, adding that, to him, that means pre-pandemic. “It was a year of a gratifying amount of activity; going into both 2023 and 2024, people were waiting for the recession to hit, and, gratefully, the economy seems to have achieved a soft landing.”

Demetrios Panteleakis says 2024 was a transition year, but expects 2025 to be better, especially as investors come off the sidelines.

Bill Low, president of Longmeadow-based L&P Commercial, agreed. He described 2024 as a “funny year,” one in which a white-hot market for industrial properties cooled substantially, but the office market picked up. “And I think that’s going to continue in 2025; it’s not going to be hugely robust, but it should continue to pick up.”

Meanwhile, there are other reasons for optimism among those in this sector, from progress on what could be the largest development deal this region, or this state, has ever seen — a data-center complex in Westfield (more on that later) — to retiring Baby Boomers putting their businesses, and their real estate, on the market.

Space Exploration

Recapping his success in filling a number of vacant spaces at 1350 Main, Plotkin said there were several factors contributing to those lease deals.

Circumstance was part of it, he noted, adding that Discovery Polytech Early College High School’s quest for a new home in the downtown area eventually prompted discussions that led to an outside-the-box reimagining of the top two floors in the building, once home to BankBoston’s regional headquarters, and a quick — as in 90 days — conversion of that space in time for the start of the school year.

Another factor has been businesses and nonprofits becoming frustrated with other property owners in the downtown and seeking what amounts to higher ground.

“Some properties are losing tenants to 1350; we’re building a better mousetrap,” Plotkin said. “It’s not the kind of growth I like to see in downtown, a kind of musical chairs with tenants, but we’re doing things here that are pretty aggressive, and it’s paying off.”

“It was a year of a gratifying amount of activity; going into both 2023 and 2024, people were waiting for the recession to hit, and, gratefully, the economy seems to have achieved a soft landing.”

Indeed, most of the success at 1350 stems from an effort to be creative and find, in many instances, non-traditional uses for traditional office and retail space. That was the case with the high school, and also with the Shops at 1350 Main, a collection of Hispanic-owned startups now occupying a large block of former retail space in the tower.

And while he’s proud of what’s been accomplished at his office tower, Plotkin said there is much work still be done within the city’s central business district, where he estimates there is at least 500,000 square feet of vacant space, much of it class B or C.

Finding creative reuse for this space is paramount, he noted, adding that housing has emerged as both a need and a possible solution — though it’s not suitable for many office structures — to the glut of space.

That has certainly been the case in Amherst, said Barry Roberts, a developer, property owner, and president of the Roberts Group. He noted that several projects in various stages of development, including his work to redevelop the former Hastings building on South Pleasant Street and the property behind it, involve housing components.

Bill Low says he’s seen an uptick in investor activity, but potential buyers remain cautious, especially amid uncertainty about the future of the office.

Another, much larger project is planned for the former Rafters sports bar property at the corner of University Drive and Amity Street, which will be transformed into 85 units of housing in two five-story buildings, as well as retail and office space.

Roberts believes this will barely make a dent in the town’s overall need for new housing of all kinds, but it’s a start.

Back to Normal?

Looking ahead to 2025 and beyond, those we spoke with there are many reasons for optimism — as well as progress on some important development projects.

At the top of that list is a major project near Barnes Airport in Westfield, which received a much-needed boost late last year when the state Legislature approved a measure that exempts data centers from the state’s sales and use tax.

The measure clears the last of many roadblocks to a development projected to cost more than $3 billion at full buildout — making it one of the largest private-sector projects of any type in the state — and involve major tech players like Microsoft, Amazon, and Alphabet in their never-ending quest for more computing power.

“In a normal environment, this project would have moved much more rapidly. This has now gone on for five years, we got hit by COVID … it’s been arduous to say the least. At times, people’s patience has dwindled — it’s been like herding kittens,” said Panteleakis, citing hurdles ranging from needed tax incentives to environmental issues to a power-purchase agreement.

All systems appear go to finalize the purchase of 10 parcels by the developer, Servistar Realties, he went on, adding that ground could be broken later this year on a project that could lead to other, similar developments in the years to come, especially in communities, like Westfield, served by municipal utilities.

Meanwhile, another project, one that has been much longer in the development stages, took a possible step forward in 2024. Indeed, the Paramount Theater and adjoining Massasoit Hotel in Springfield were acquired by Sacdev Real Estate Development of Suffield, Conn. at a highly anticipated auction last fall, said Low, adding that the acquisition could lead to progress at properties that have been vacant or underutilized for decades.

Overall, those we spoke with are looking at 2025 with optimism born from several factors, from confidence generated by the election results to slightly lower interest rates; from retiring Boomers selling their businesses (and real estate coming on the market) to what appears to be a surging retail sector.

Indeed, Ken Vincunas, president of Agawam-based Development Associates, recently returned from the International Council of Shopping Centers conference in New York, which was humming with activity among mall owners, prospective tenants, brokers, and more.

“They all say that market is on fire,” he told BusinessWest, adding quickly that the descriptive phrase doesn’t fully apply to this region, but he is optimistic, especially as he goes about trying to develop a retail center the company owns in East Granby, Conn., not far from Bradley International Airport.

However, while retail may be on fire — at least in other markets — but other sectors of the market are still struggling, and for different reasons, said Vincunas, noting that the industrial market is being hurt by a lack of inventory, and the office market is still trying to fully recover from COVID and remote work.

Still, more frequent headlines about major corporations ordering their employees back to work for at least three or four days a week are generating momentum. Dill believes the office market may never return to what it was pre-pandemic, but the pendulum is clearly swinging back in that direction.

“After a couple of years on the Zoom and Teams screen, I think a lot of folks are pleased to be back in the office,” he said, noting that this sentiment is reflected in lease renewals and the amount of space leased.

At 1441 Main St., the TD Bank Building, which Colebrook manages and Dill co-owns, several government agencies renewed leases, and some took additional space, while Balise Motor Sales moved its corporate headquarters to the third floor of the building, all of which not only fills square footage, but brings more vibrancy to the downtown.

As for investor activity, Low said his firm has also seen an uptick in that realm, although he noted that, given some lingering uncertainty about the future of the office, many are being more cautious than in years past.

“It’s harder to sell an empty building; people don’t take the same risks they did years ago,” he noted, speaking for everyone in this business, adding that, if interest rates continue to creep down, that will certainly help.

That ‘if,’ and many others, continue to put the caution in cautious optimism — but to those with a stake in this sector, it sure beats pessimism.

Six Flags New England Provides Experiences for Guests, Employees

By George O'Brien January 3, 2025

Features

The Ride Stuff

Peter Carmichael says Six Flags is more than an major employer — it’s a source of all-important first jobs as well as leadership opportunities for young people.

While the park’s gates are officially closed this time of year, this is actually considered busy season at Six Flags New England.

It’s just a different kind of busy, said Peter Carmichael, president of the amusement park in Agawam, adding that this is the season for getting the various rides and attractions ready for the official busy season, which starts in early April, around school-break time, and kicks into a higher gear on Memorial Day.

“Every year, we inspect and refresh the entire park,” he explained. “This is when we do all of our annual maintenance and checkups on all our rides and attractions to make sure they’re ready to go in the spring.”

And this offseason, during which the venue formerly known Riverside Park will mark 25 years as part of the Six Flags brand, things are even busier than what would be considered usual, with the park now in the final stages of work on its first new roller coaster in nearly a decade.

It’s called Quantum Accelerator, billed as ‘New England’s first straddle coaster,’ whereby, as that name suggests, riders sit on top of the seat, rather than inside, providing a different sensation and increased thrill, Carmichael said.

The ride, which features two launches and speeds up to 45 mph, will officially launch in late spring, he said, adding that, after his engineers, he expects to take one of the first rides on the new attraction.

In addition to the new coaster, the park is undertaking what Carmichael calls the largest investment in food services in the park’s history — a renovation of the Riverboat Café in the center of the park that will provide everything from additional capacity to new menu items.

“We have dozens, probably hundreds, of leadership opportunities, between teen leads and supervisors and coordinators that are asked to step up, lead our teams, and enhance the guest experience. It’s a great development opportunity for the individual.”

Overall, he said his work comes down to continuing traditions — not just rides, amusements, food, and adding new roller coasters, but also providing first jobs to hundreds of young people each year — the park employs roughly 3,000 seasonal workers each year — as well as leadership opportunities for younger people, experience in fields ranging from accounting to healthcare to culinary arts, and chances to advance within this industry, as he did, as we’ll see.

“What we’re really most proud of is that we tend to be, for many, their first real leadership opportunity,” he said. “We have dozens, probably hundreds, of leadership opportunities, between teen leads and supervisors and coordinators that are asked to step up, lead our teams, and enhance the guest experience. It’s a great development opportunity for the individual.”

For this issue, BusinessWest talked with Carmichael, a self-described “rides guy,” about the offseason, the 2025 season to come, the new coaster, and what it all means to one of the region’s hospitality-sector institutions.

Speed Thrills

Carmichael told BusinessWest that he’s always been fascinated by amusement parks and the theme-park world, and it has played a huge part in his life, starting when he met his future wife while they were both operating a roller coaster called the Jack Rabbit at his hometown’s amusement park in Pennsylvania.

When he was a student at Penn State working toward a degree in commercial tourism, he sent dozens of letters to amusement and theme parks seeking internships. The park that had just been rebranded Six Flags New England was among the few that called back. Carmichael came north, and his internship, as such opportunities very often do, became a career.

An architect’s rendering of the Quantum Accelerator, now in the final construction phases at Six Flags.

“I’d always known, my whole life, that I wanted to work in the theme-park industry,” he said, adding that he got his start as opening supervisor for the Superman: Ride of Steel roller coaster, opened in 2000, which he joked was the most difficult assignment he’s had in his career.

There have been several since he first arrived in Agawam, mostly on the operations side. He eventually earned the title director of Operations in 2008, and stayed in that job for several years before leaving to become park president of Six Flags St. Louis in 2016.

He stayed in that post for two years before getting an opportunity to “come home,” as he put it, and become president of Six Flags New England.

Since taking the helm, he has led the park through the challenging COVID period and its aftermath, and now the latest course of expansion, especially a new roller coaster, giving the park 12 in its portfolio, including the wooden Thunderbolt, opened in 1941 and now one of the oldest rides within the Six Flags family of parks.

Carmichael described it as much more than a blast from the past.

“We proudly reinvest in the Thunderbolt every year — it’s one of the best rides in the region and a point of pride for us,” he explained. “There’s a certain crew and a certain amount of hard work that goes into making sure that you have a good, smooth, fun, and enjoyable ride experience on a wooden coaster, and our team of carpenters treats that like their baby.”

“We proudly reinvest in the Thunderbolt every year — it’s one of the best rides in the region and a point of pride for us.”

As for the new Quantum Accelerator coaster, it is being constructed in an area of the park known as Crack Axle Canyon, on the site of the former Goliath coaster.

A significant investment — Carmichael was not at liberty to get into specifics — the new coaster gives the park its first entry into the emerging straddle-coaster bracket, its first new coaster since the Joker opened in the Gotham City section of the park in 2017, and its 12th coaster overall.

Others include the Wicked Cyclone, originally the wooden Cyclone, which was reconstructed and retracked with steel in 2015; Pandemonium, opened in 2005; Batman: the Dark Knight, unveiled in 2002; Flashback, Catwoman’s Whip, and Superman, all opened in 2000; and Riddler’s Revenge, formerly the Mind Eraser, which dates back to 1997.

Carmichael said the Quantum Accelerator, which has been in the planning stages for several years now, is a good complement to the other coasters and rides in the park, and is seen as a family attraction. And, just as with the premieres of other coasters on that list above, the introduction of the Quantum Accelerator is expected to pique the interest of roller-coaster enthusiasts, generate new visitation, and create some strong word-of-mouth enthusiasm.

“Roller coasters are really one of the cornerstones of our investment strategy,” he explained. “That’s because they can be anchor rides; they are the type of rides that are repeater rides, ones that our guests will be wowed by, they’ll be amused by, they’ll tell all their friends and family, ‘you’ve got to come ride this.’ And there was no better example of that than when we opened the Superman ride in 2000.”

Bottom Line

While the park supplies experiences and lasting memories for guests, it provides the same for its employees, said Carmichael, noting that most of them are young, many of them are in their first job, and many others are certainly in their first position of leadership. In each case, work at Six Flags is a learning experience, and one they’ll remember, he noted.

“Because I’ve been at the park so long, I can’t tell you how many times I’ve bumped into former supervisors, team leaders, and team members on the midway, and they always seem to have a similar narrative,” he told BusinessWest. “They say, ‘oh my gosh, that was the best time, we had so much fun back in those days.’ I’m really proud to continue the legacy of leadership development that we’ve been able to provide over the last quarter-century.”

That’s just one of the traditions that will continue in 2025 at a regional attraction that has always had the ride stuff.

St. Germain Marks a Century of Evolution

By Joseph Bednar January 3, 2025

Banking and Financial Services

Investing in the Future

To put 100 years in perspective, Tim Suffish considered his own time at St. Germain Investment Management.

“It’s crazy to think I’ve been with St. Germain now 20-plus years, so 100 is a lot in our industry. That predates Fidelity Investments and big firms like that. But 20 years here … time flies,” said Suffish, senior vice president and head of equities at the firm.

But St. Germain has seen plenty of evolution, not only since it opened in 1924, but in the two decades Suffish has been on board.

“If you go back 50 years, firms like St. Germain tended to be brokers, and it was very transactional,” he told BusinessWest. “And portfolios were very different back then. St. Germain initially had a focus on bank and insurance stocks, seeing that we were just up the road from Hartford, Connecticut, the insurance capital of the world. That transitioned to being investment managers, managing diversified portfolios for clients, blue-chip stocks based in the U.S., and that was the way we operated through the ’90s.

Tim Suffish

“If someone comes in to us at 60 years old and they’ve got a handful of years left until they’re retiring, it’s going to be a different conversation.”

“But then, starting around the turn of the century in 2000, we in the industry have moved more toward being wealth managers,” Suffish explained. “We call it total financial planning — your retirement assets or your brokerage assets or saving for some big event down the road, like your children’s college tuition or saving for a second home, or whatever it is. We get more involved in all aspects of that, both the planning that goes in beforehand, setting expectations for what the returns might be, and the timing to get to that goal.”

In putting the company’s longevity in historical perspective, St. Germain’s website notes it has survived 17 U.S. presidents, six U.S. wars, a global pandemic, and much more … “and yet, we’ve stuck to one maxim across those years: do what’s in the best interest for our clients.”

“We have advisors that are salaried employees. We don’t sell commissioned products,” Suffish explained. “Our advisors can go into the typical client meeting and give what we think is the right advice, and there’s no conflicts of interest where this thing over here is going to pay me more if I put them in it, versus something else. That’s something that differentiates us a little bit from some of the competition out there.”

Goals at Any Age

Suffish and the team at St. Germain — including President Mike Matty, who has served in that role for the past quarter-century — have stressed that financial planning and financial management are a process, whether an investor is 25 or 75.

For a new client, the first meeting starts with an exchange of information, as the client learns about the firm’s overall approach and generally conservative philosophy, and the team learns about the client’s financial life: assets, liabilities, income, and expenses.

All that is the starting point for developing a strategy, which considers how assets are managed and allocated, beneficiary designations and how they fit within an estate plan, and more. Once in place, the plan isn’t static, but is reviewed and adjusted as needed, as the markets, the economy, and the client’s own life circumstances change.

“On an annual basis, you’ll come in, and we’ll review the plan and assess whether we are on track to meet your goals,” Suffish said. “And the goals can be five, 10, 15, 20 years away. So at the start, let’s set a plan, let’s set an asset allocation, let’s figure out some stocks or ETFs [exchange-traded funds] or mutual funds that are going to be the right tools to get us to that goal. And then, on an annual basis, let’s review the plan, review the assets, review how things are doing, and see if we’re still on track to be where we want to be in 20 years.”

Mike Matty has been president of St. Germain for the past quarter-century.

While clients of all ages and stages of life partner with St. Germain, Suffish noted, “we’re in the business of wealth management, and when you look at demographics in the U.S., the wealth tends to be in the 50-plus-year-olds, not the 20-year-olds, so our client base mirrors that. But everybody has different goals when they come to us.”

For example, a young person just starting out at work, opening up an IRA, might want to be very aggressive because he or she can tolerate the volatility that goes along with that strategy.

“But if someone comes in to us at 60 years old and they’ve got a handful of years left until they’re retiring, it’s going to be a different conversation,” Suffish said. “It’s about replacing the income that they’re getting from their current job and their current salary and building a portfolio around that — building it around income and conservative growth.”

In any case, risk tolerance is important to assess up front, he added, and it does tend to diminish as time goes on, and the client gets ever closer to needing investments, rather than salary, to pay the bills. That’s even more critical at a time when Americans are living longer than ever before, and someone may need to fund 30 post-retirement years, or more.

“If you’re retiring at a traditional, 65-year-old retirement age and we’re doing the planning out to age 95, we do have conversations with our clients about longevity and family history and your personal history and your health — that’s all part of it. But just to be conservative, planning out to age 90 or 95 is something that we all need to do.”

Expanding Footprint

Again, Suffish said, 100 years is something to be celebrated, and even the firm’s growth in just his 20 years there has been impressive. In those two decades, St. Germain has grown from around seven employees to 50, now operating out of four offices — in Springfield, Northampton, Lee, and Plymouth — along with a satellite office in Mississippi and plans to open another office in New Hampshire.

Meanwhile, assets under management have grown from around $600 million 20 years ago to more than $3 billion today.

That’s a lot of investments supporting a lot of goals and plans, and Matty, Suffish, and the rest of the team don’t take the responsibility lightly.

“We’ve been around a long time,” Suffish said, “and it’s because we try to do things right for our clients all the time. It does make a difference.”

Berkshire Bank, Brookline Bank to Form Combined Company

By BusinessWest Staff January 3, 2025

Banking and Financial Services

Merger of Equals

Berkshire Hills Bancorp Inc., the parent company of Berkshire Bank, and Brookline Bancorp Inc., the parent company of Brookline Bank, Bank Rhode Island, and PCSB Bank, recently announced they have entered into a definitive agreement pursuant to which Brookline will merge with and into Berkshire in an all-stock transaction valued at approximately $1.1 billion, or $12.68 per share of Brookline common stock, based on the $30.20 closing price of Berkshire common stock on Dec. 13, 2024.

In conjunction with the planned merger, Berkshire also entered into subscription agreements with investors to raise capital to support the merger. In aggregate, $100 million of Berkshire common stock were issued at $29 per share. The proceeds of the capital raise are expected to support the pro forma bank’s balance sheet and regulatory capital ratios.

Nitin Mhatre, president and CEO of Berkshire Bank, said the merger announcement “marks a transformational milestone in the history of two storied institutions with a strong commitment to serving their clients and communities. The combined organization will be in an even stronger position to deliver exceptional client experience and create greater value for shareholders.”

“Scale and efficiency combined with our shared culture of true community banking is a powerful driver of value for all of our stakeholders.”

Paul Perrault, chairman and CEO of Brookline Bank, noted that “this transaction presents an opportunity to bring together two historic franchises in the Northeast market. By bringing together two complementary cultures and geographic footprints with shared values and client focus, we will be better-positioned to serve our customers, employees, communities and shareholders.”

Berkshire Bank Chairperson David Brunelle added that “this highly compelling combination is a true merger of equals that will create a pre-eminent Northeast financial institution. Scale and efficiency combined with our shared culture of true community banking is a powerful driver of value for all of our stakeholders.”

The creation of a $24 billion franchise with 148 branch offices positions the combined company to benefit from significant economies of scale and capitalize on meaningful growth opportunities through business diversification and improved competitive positioning. Together, the companies will have the scale to enhance investments in clients, employees, and markets, and increase lending capacity.

The combined company promise to preserve and build on the cultures of both Berkshire and Brookline, which include core values centered on respect, teamwork, accountability, and client focus, the press announcement noted, adding that the combined bank will maintain its strong ties with its communities and be better-positioned to elevate its impact through its community banking business model.

The combined company’s board of directors will consist of eight directors from Berkshire and eight directors from Brookline. Brunelle will serve as chairperson of the board of the combined company and the combined bank. Perrault will serve as president and CEO.

The combined bank will be divided into six regions, each led by an experienced local leader who will be responsible for the overall business performance in their market. Three will be from Berkshire and three will be from Brookline. This model will allow the combined company to achieve the efficiencies of operating one bank while maintaining a regional banking structure that enables local market leaders to make autonomous decisions with the support and balance sheet of a larger institution.

The transaction is expected to close by the end of the second half of 2025, subject to satisfaction of customary closing conditions, including receipt of required regulatory approvals and approvals from Berkshire and Brookline shareholders.

Behavioral Health Trust Fund Issues $12.4 Million for Internships

By BusinessWest Staff January 3, 2025

Healthcare News

Strengthening the Pipeline

The Healey-Driscoll administration recently issued $12.4 million through the Behavioral Health Trust Fund to 37 colleges and universities to financially support behavioral-health students completing unpaid internships and field placements.

These grants are for undergraduate and graduate-level students pursuing careers treating mental-health or substance-use disorders, and are part of the state’s efforts to grow a culturally and linguistically diverse behavioral-health workforce in Massachusetts.

“Massachusetts needs more qualified behavioral-health professionals, and our administration is committed to supporting students eager to do this work,” Gov. Maura Healey said. “By investing in students looking to treat those experiencing mental-health and substance-use challenges, we’re investing in the long-term health and wellness of communities across Massachusetts.”

Many behavioral-health degree and certificate programs require workplace-based internships, apprenticeships, or practicum credit hours as a condition for program completion. Required field placements play a central role in helping students prepare to serve as behavioral-health practitioners, but these experiences are often unpaid and often require students to sacrifice paid work. To support students pursing these careers, the funding is going to colleges with behavioral-health degrees that require field placements, with a focus on institutions in geographic areas that are priorities for advancing health equity.

“By lifting financial barriers for students pursuing behavioral-health degrees, we are encouraging a more diverse student body to enter this field, which helps us create a more diverse workforce to meet the needs of residents from various backgrounds.”

“By lifting financial barriers for students pursuing behavioral-health degrees, we are encouraging a more diverse student body to enter this field, which helps us create a more diverse workforce to meet the needs of residents from various backgrounds,” Education Secretary Patrick Tutwiler said. “We’re proud to launch a program that helps those looking to help others.”

Health and Human Services Secretary Kate Walsh added that “a good internship or field placement can teach a person much-needed skills and help them gain experiences that last long into that individual’s career. I am grateful this funding gives us the chance to support people financially, which not only helps build a more diverse workforce, but also ensures people reach the right behavioral-health services when and where they need it. Building a stronger workforce that does not have to worry about financial limitations means we can help every person and community throughout Massachusetts get the care they need and in a way that truly makes a difference.”

The behavioral-health internship funds are being issued to campuses as grants to be distributed to qualifying students over a two-year period and can be applied to internships being completed in the 2024-25 and 2025-26 academic years. Students at the awarded institutions who may be eligible for the funding should speak with their program advisor and financial-aid office.

“Internships help behavioral-health graduates prepare to serve community members on day one, and these funds will lessen the financial burden of completing these essential learning experiences,” Commissioner of Higher Education Noe Ortega said. “The more we make entering the behavioral-health workforce possible, the more we can create a pipeline of talented professionals prepared to serve residents across the Commonwealth.”

Statewide Impact

The Behavioral Health Trust Fund was established by the state with American Rescue Plan Act funds and is managed by the secretary of Health and Human Services. Funds are used for addressing barriers to the delivery of an equitable, culturally competent, affordable, and clinically appropriate continuum of behavioral healthcare and services.

Of the 37 colleges and universities receiving funds, 10 are located in Western Mass.: American International College ($310,000), Bay Path University ($695,000), Cambridge College ($460,000), Elms College ($165,000), Massachusetts College of Liberal Arts ($50,000), Smith College ($260,000), Springfield College ($1,045,000), UMass Amherst ($50,000), Western New England University ($180,000), and Westfield State University ($400,000).

“The experiences and knowledge gained outside of a classroom during an internship can be truly invaluable for individuals aspiring to work in the behavioral-health space,” said state Sen. John Velis, Senate chair of the Joint Committee on Mental Health, Substance Use, and Recovery. “Yet I routinely hear from students about the very real financial challenges they face while completing an unpaid internship, which oftentimes keeps students from participating in an internship altogether.”

Added Lydia Conley, president and CEO of the Assoc. for Behavioral Healthcare, “as the behavioral-health workforce crisis continues and the need for care throughout the Commonwealth grows, programs such as this one are essential in building a cadre of emerging professionals to provide high-quality, community-based care where it is needed the most.”

Meanwhile, Linda Thompson, president of Westfield State University and chair of the Massachusetts State Universities Council of Presidents, called the funding “a strong example of government, education, and the behavioral-health sector partnering to serve a critical need in our communities. Our state universities are eager to assist in filling the gaps that lead to better outcomes for individuals experiencing mental-health challenges, and are committed to working with the governor’s office, health agencies, and legislators to develop a knowledgeable, experienced workforce to ensure everyone who requires mental-health assistance receives the support they need.”

Snapshots of a Region

By BusinessWest Staff January 2, 2025

Economic Outlook Special Coverage

The Local Business Community Offers Perspectives on 2025

Beyond the big-picture context provided by regional business leaders in the lead story on page 4, how do individual business owners and executives in Western Mass. see their own enterprises faring in 2025?

BusinessWest asked 27 of them to offer thoughts on that question, and about the trends, challenges, and opportunities they see arising in the coming year. Here’s what they told us.

James Birge, President, Massachusetts College of Liberal Arts

An education grounded in the study of the humanities provides the skills, insights, and wisdom to deepen our understanding of the human condition and to examine social phenomena through a variety of lenses. As a result, we can better respond to some of society’s most pressing and thorny issues. So it puzzles me that there exists an increasing lack of appreciation for the liberal arts and humanities.

MCLA graduates excel in their careers because of an education centered on courses that all students take in history, language, philosophy, literature, and more. This core distribution of courses that are integrated throughout the academic majors means nursing students are able to help patients hurdle the obstacles of cultural or economic barriers; music production students can curate music in such a way that it is accessible to people using a spectrum of technology platforms; history students research land-use laws that marginalize people and draft legislation to change the laws.

These, along with many other examples, amplify not just the application of a humanities-based education, but the real need for an educated citizenry that can respond to the needs and demands of our society.

Carlo Bonavita, Owner, Springfield Wine Exchange

My prediction is, based on the trending I see and feel now, that 2025 will be like a fine wine and will need to be decanted before you can really get the full experience.

Translation: the trends I am seeing and conversations I am having suggest a good business year ahead, but a slow start. In terms of anything to be excited about, that will come later in the year — I’m focusing on August through December. Using the language of wine again, the first half of the year will be like Chardonnay — dry but buttery notes, meaning not unpleasant at all, just not remarkable, either. But the second half of the year is going to be more exciting — like an awe-inspiring French Bordeaux.

By the way, for those who need to know, the wine of the year will be Pinot noir, and, yes, it’s back.

Emily Carlson, Owner, We Do Travel Right

The ‘take the trip’ mindset is going to cause the biggest travel trend since 2022’s revenge travel. Experiencing the inability to see loved ones on demand due to a pandemic can really reset life’s priorities. Most people keep that scary limitation in the back of their minds and, in turn, have spent more time with family. But a lot of life can happen in five years. In addition to great joys, the past few years may have also delivered immense loss. Most of us learned from navigating tragedies. We know how precious the Rolodex of life’s moments can be.

Five years ago, we would have just traveled with our immediate families and sent funny drugstore postcards to our parents and grandparents back at home. Now we know better. In 2025, multi-generational travel will become the new norm as people begin to fully comprehend that life is short.

For those who still can, take the trip. I can promise you, it will be an adventure you will never forget.

Carla Cosenzi, President, TommyCar Auto Group

The automotive industry is entering an exciting year, and at TommyCar Auto Group, we’re eager to embrace the opportunities ahead. Supply-chain improvements have increased vehicle availability, and manufacturers are offering exceptional incentives, including strong rebates and low-rate APR financing. With favorable market conditions expected to continue into 2025, now is the perfect time to purchase your next vehicle.

Digital retailing is revolutionizing the car-buying experience, providing customers with a seamless transition from online browsing to the showroom. At TommyCar, we are dedicated to delivering personalized, transparent, and convenient service to build lasting customer loyalty. With stabilizing prices, enticing incentives, and an expanding selection of vehicles, the market is well-equipped to meet diverse needs and is poised for a promising 2025.

John Dowd, President and CEO, Dowd Insurance

As we enter 2025, the impact of inflation on valuations continues to be a problem, along with challenges around policies covering older buildings and properties near water. We do expect this to level off in the coming year, as we recover from a significant spike in the cost of labor and materials.

AI is expected to create further efficiencies in the insurance industry, helping improve customer service. Investment in technology for insurance carriers and agencies is critical for maintaining a competitive edge. The growing threat of cybercrime has put a focus on stronger and more sophisticated protective measures.

Meanwhile, auto-insurance premiums have turned a corner, with pricing leveling off in 2025. But general liability remains a challenge in the absence of tort reform and growing jury awards due to ‘social inflation.’ Workers’ compensation is the most favorable of all lines of insurance as rates are falling across most industries.

Matt Farkas, Senior Vice President, Head of Fixed Income, St. Germain Investment Management

The wealth-management landscape is undergoing a significant transformation. Clients increasingly demand more than just investment management; they seek holistic financial planning and advice. Disillusioned by conflicts of interest and product-centric approaches, clients are increasingly voting with their feet, migrating toward independent firms that offer objective advice without the pressure to ‘sell’ products.

Advisors are responding by leveraging sophisticated technology to create tailored financial plans, personalized client portals, and customized reporting. This allows for a more proactive and comprehensive approach to wealth management.

Advisors are evolving into the central hub of their clients’ financial lives, coordinating with tax accountants and attorneys to ensure seamless integration of financial strategies. To meet these elevated expectations and navigate an increasingly complex financial world, advisors are pursuing specialized credentials that demonstrate a commitment to ongoing professional development and enhance their ability to provide sophisticated advice.

As the wealth-management industry continues to evolve, advisors who prioritize client relationships, embrace technology, and expand their service offerings will be well-positioned to thrive in this dynamic landscape.

Robert Fraser, President and CEO, MountainOne

The failure of Silicon Valley Bank in 2023 resulted in a regulatory focus on balance-sheet management and liquidity for banks of all sizes. On balance, liquidity to fund growth will continue to be a challenge for many banks and will contribute to more mergers as a means of increasing efficiencies and creating more deposit-growth opportunities.

The Fed’s recent announcement regarding fewer-than-anticipated rate cuts in 2025 has dampened enthusiasm of significantly improving net-interest margins, but we should see some margin improvement in 2025. High long-term interest rates, along with minimal inventory, will continue to challenge the residential mortgage market.

Our company makeup, which includes a significant (and growing) bank-owned insurance agency and investment division, reduces our reliance on net-interest income for overall profitability. In 2024, we acquired two insurance agencies in the Pioneer Valley, G.W. Morisi Insurance and the McClure Insurance Agency. Looking ahead, we have the financial capacity to continue to acquire insurance agencies that fit our business model and culture. This strategy will continue to assist us in reducing dependence on net-interest margin.

Sam Hanmer, President and CEO, Rush Insurance Group

The property and casualty insurance industry in 2025 continues to navigate challenges stemming from climate change, inflation, and evolving technology. Catastrophic weather events, such as hurricanes and wildfires, have intensified claims, driving insurers to reassess risk models and pricing. Inflation has raised the cost of claims, particularly in auto and property sectors.

Rush Insurance Group is advising clients to reassess their deductible levels as a way to save on premium costs. Opting for a higher deductible means assuming greater out-of-pocket responsibility in the event of a claim, but often results in significantly lower monthly or annual premiums. This strategy is especially beneficial for policyholders with strong financial reserves who can cover higher deductibles. By balancing deductible levels with risk exposure, clients can better control insurance costs while still maintaining essential coverage.

Carolyne Hannan, Senior Vice President, Comcast, New England

Comcast serves thousands of businesses and residents with Xfinity and Comcast Business products and services across Western Mass. Over the last three years, the company has invested nearly $909 million in our state-of-the-art network across Massachusetts.

In 2025, Comcast will introduce innovations like WiFi Boost, delivering gig speeds to Xfinity Mobile and Comcast Business Mobile customers, to support increasing demands to stream, game, chat, and surf at home and on the go. Comcast will also continue to invest in its network locally, delivering 2-gig download speeds and up to 10 times faster upload speeds to more Xfinity customers in Holyoke, Longmeadow, Southwick, Springfield, West Springfield, and Westfield.

Additionally, as cybersecurity threats evolve in 2025, businesses will need to establish a multi-layered approach to protecting their operations. Comcast Business has a full suite of solutions, including fast, reliable connectivity and advanced cybersecurity, to meet the needs of businesses of all sizes.

Sean Hogan, President, Hogan Technology

As we look forward to 2025, Hogan Technology is poised for a year of growth and innovation. Building on the strong foundation of a successful 2024, we anticipate a significant 20% increase in revenue. Our IT sales team has already secured new business commitments extending into the second quarter, positioning us favorably for sustained growth.

The demand for enhanced cybersecurity tools continues to rise, driving our ongoing efforts to evaluate and integrate cutting-edge solutions for our clients. This proactive approach not only fortifies our existing client relationships, but also opens doors to new business opportunities.

Our strategic focus for 2025 includes expanding our portfolio of cybersecurity services and enhancing our technological capabilities to meet the evolving needs of our clientele. We are committed to investing in research and development to stay ahead of industry trends and deliver unparalleled value to our customers.

In short, 2025 promises to be a year of strategic growth and innovation for Hogan Technology.

Lisa Johnson, Chief Operating Officer, Encharter Insurance

Encharter Insurance had an excellent year in 2024, and we anticipate that success to continue in 2025. The challenges faced by businesses and consumers due to increasing insurance premiums have brought many to our door, seeking alternative options and savings.

Finding the right insurance coverage at an affordable price has become more challenging than ever. Rising premiums are driven by catastrophic weather events across the country, higher repair costs, increased legal expenses, and a greater frequency of claims. Unfortunately, these trends show no signs of slowing down.

In response, we remain dedicated to educating our clients about the realities of the insurance marketplace and providing practical advice on how to manage costs. Our team is investing more time than ever in exploring tailored options for our clients, and this effort is paying off through increased customer loyalty.

The stability of our agency, the wide range of options we can offer, the expertise of our staff, and their unwavering commitment to each customer keep us optimistic about 2025 and beyond.

Emily Leonczyk, Executive Vice President and Chief Operating Officer, the Markens Group

It looks like 2025 shaping up to be an exciting year for the Markens Group and the associations we serve.

Generational shifts are at the forefront as we work with our clients to realign their core purposes of balancing the needs of traditional members while attracting and retaining younger ones. Post-pandemic trends are reshaping meetings and events, driving a renewed focus on face-to-face engagement. Meanwhile, work-from-home dynamics have introduced new styles of digital engagement, which younger members not only embrace, but rely on.

At the Markens Group, we’re committed to helping associations thrive through enhanced strategic planning, purpose-driven leadership, and innovative solutions. Whether fostering growth via social-media channels, hosting impactful events, or advancing advocacy efforts, our clients are making meaningful strides. With tailored support in governance, financial management, and marketing, we’re proud to partner with associations to drive success and lasting value.

Timm Marini, President of Personal Lines Insurance, HUB International New England

In today’s dynamic landscape, where geopolitical risk, climate change, rising healthcare costs, and the rapid advancement of AI are reshaping industries, our clients face constant challenges. The speed of change is dizzying, but those who embrace new approaches and solutions will improve their profitability, workplace vitality, and resilience.

To prepare for the upcoming year, HUB surveyed 900 business leaders across the U.S. and Canada.

The overall sentiment for 2025 is predominantly positive. Among the key insights from the HUB 2025 Outlook Executive Survey:

• Siloed teams put businesses at risk. Organizations with integrated risk management and benefits best practices are better equipped to achieve sustained profitability, workforce vitality, and resiliency.

• While risk and disruption will continue, successful business leaders are making constant shifts to navigate an increasingly complex world. With the right partners and analytic insights, they can gain an edge and remain resilient amid unforeseen disruption.

Mary McGovern, President and Chief Operating Officer, Country Bank

While some challenges likely in 2025 are reminiscent of those faced in 2024, it’s important to note that Country Bank has shown remarkable resilience. While a considerable expense, the continued escalation of fraud is being effectively managed, both in actual dollars lost and in the cost of fraud-prevention systems.

Another challenge on the horizon is the uncertainty a new presidential administration brings regarding regulation. Even if there is a reduction in oversight, the bank’s risk and compliance divisions are well-prepared to adapt to any rule changes to ensure they are being adhered to.

The evolving interest-rate environment is a challenge in managing the balance sheet and projecting levels for the upcoming year. Many banks’ margins were squeezed when short-term rates remained high, but this pressure eased somewhat after the Fed cut rates by 75 basis points in 2024.

Country Bank is focused on expansion in Western and Central Mass. in 2025, with strategic positioning in key markets. As we celebrate our 175th anniversary in the new year, the bank has never been stronger.

Joel Mollison, President, Northeast IT

As we look ahead to 2025, we anticipate a remarkably busy year as we continue to collaborate with our customers to execute the timely replacement of thousands of computers and software packages ahead of the end of Windows 10 support deadline in October.

Our management team predicts continuous uptick in demand for improved cybersecurity posture, compliance services, and business continuity across all sectors as threats and compliance become more sophisticated. Grant funding will continue to push these objectives in the municipal sector.

Generative AI technologies will continue to be on horizon as many of our customers seek to utilize the capabilities of these technologies for data collection, analytics, automation, and specialized content creation. The feasibility and adoption rate of these technologies by smaller organizations is still widely unknown.

Peter Picknelly, Chairman, Peter Pan Bus Lines

The future of public transportation, particularly intercity buses, appears bright. Fewer new driver’s licenses were issued last year than in the past 50 years, indicating a preference for public transportation. Inter-city buses are becoming increasingly popular due to their high frequency of service, reasonable fares, and onboard amenities that allow passengers to work, relax, and entertain themselves while traveling.

With rising fuel, insurance, and toll costs — and the introduction of congestion pricing in major cities like New York City and Boston — buses are becoming an even more attractive option. Additionally, apps like Uber make it convenient for passengers to get from the bus terminal to their destination.

As affordability, convenience, and sustainability take center stage, intercity bus travel is well-positioned to thrive.

Nicole Polite, CEO, the MH Group

In 2025, workplaces will highly value being adaptable and open to learning so employees can quickly handle changes in their industries. Knowing how to use digital tools will be important as technology becomes part of daily work. Being able to think critically and solve problems will be essential for tackling complex challenges, working alongside AI and automation.

Understanding emotions and managing relationships will help with teamwork and leadership. Companies will encourage creativity and new ideas to stay ahead. Being able to communicate clearly, both digitally and in person, will remain crucial for effective collaboration.

Strong leadership and the ability to work well in teams will be needed to guide diverse groups. Understanding different cultures will be valuable in workplaces that are becoming more global, helping them work well with various perspectives. Lastly, being skilled at using data to make informed decisions will become crucial as data plays a bigger role in shaping business strategies.

Meghan Rothschild, President, Chikmedia

The world of marketing and public relations has been ever-changing since its beginning, and this upcoming year will be no exception. Right now, we’re seeing a boom in the podcast industry and utilizing hosts as influencers and collaborators on social media to advance our clients’ expert positioning. Authenticity, ‘edutainment,’ and storytelling continue to be the priority for online content, with a heavy emphasis on video.

Perhaps one of the most concerning trends I see coming down the pipeline is a cut to marketing spends. I cannot stress this enough: cutting your marketing budget in a time of low sales is the kiss of death. You must prioritize sharing your company services to the public so you can build your customer database. As a general rule, 5% to 10% of your net revenue should be invested back into marketing efforts.

Quality over quantity continues to lead, and every post, advertisement, or blog entry should have intention behind it. Applying strategy to your external communication will be key in the new year, so reserve some time in Q1 to outline a plan.

Amy Royal, CEO, the Royal Law Firm

A new year can feel like a reset, and many business professionals become reinvigorated and motivated to seek new opportunities upon its outset. Indeed, a new year creates momentum toward building business again. In looking for new growth opportunities for the Royal Law Firm in the new year, I have adopted a continued mindset of thinking outside of the box.

Over the last year, we have seen significant growth through collaboration with our competitors. That approach could seem strange or even antithetical to creating new business opportunities; however, it has generated a new revenue stream while also leveraging top talent. One three-firm relationship we’re part of gives our clients a deep bench from which to draw across practice areas and states. In an era of quality personnel shortages, another collaborative relationship has Royal Law Firm attorneys and paralegals serving as the backroom to a Los Angeles-based, management-side labor and employment firm.

Seeking out additional collaborative relationships in 2025 is a continued strategic goal of mine. It is also one that businesses in other industries can piggyback on.

Shannon Rudder, President and CEO, Martin Luther King, Jr. Family Services

Shannon Rudder

In 2025, our pathway forward is clear — Martin Luther King, Jr. Family Services will shape futures and impact generations through strategic partnerships and programs, solid infrastructure and operations, and creating a diversified financial portfolio. We will continue to center youth voices, collaborate intergenerationally, and steep ourselves in addressing systemic challenges through a public-health and resiliency-informed lens.

With our collective reinvestment, MLKFS will grow as a cornerstone of Mason Square, continue to expand across the region, and be a beacon of Dr. King’s dream manifested throughout the Commonwealth.

Ashley Sullivan, President, O’Reilly, Talbot & Okun

Regardless of what 2025 brings, I am confident in OTO’s resiliency and ability to adapt as we have for the past 30 years. OTO will continue to focus on growth and strengthening our team by reinforcing company culture and values, while offering flexibility, a space for authenticity, and clear communication of responsibilities and goals; these are all essential in 2025.

Technology, AI, robotics, and data processing will continue to push us toward better solutions in the architectural engineering and construction industry. However, I believe people will seek trusted human professionals, and it’s an opportune time for building a strong network of peers, advisors, consultants, and contractors.

Finally, while uncertainties exist around potential changes to environmental regulations and policies, a value-driven and thoughtful approach to managing impacted or improving poor-quality soils will remain a key component for both brownfields redevelopment and new development projects.

Jeff Sullivan, President and CEO, New Valley Bank & Trust

Banking has always been about people and communication, and in today’s world, that has never been more apparent. One of our most important roles as bankers is to communicate with our customers about suspicious account activity, whether that includes potential cyber crime or low-tech frauds such as stolen checks. We at New Valley Bank recommend a few simple good habits for business owners:

• Check balances and activity frequently to ensure that all transactions on your accounts are proper. Tools such as Positive Pay add an additional layer of security.

• Online banking should allow you to set limits for each employee’s role, whether view-only or the ability to send the funds out.

• Having a separation of duties for payments of any type — checks, ACH, or wires — is an essential financial control.

Diana Szynal, President, Springfield Regional Chamber

The Springfield Regional Chamber is a business support organization that serves its 400 members through legislative advocacy, informative communications, and impactful programming. We are charging into 2025 with a full slate of events designed to inform, connect, and inspire our members. From Rise & Shine breakfasts to the Mayor’s Forum to the Fire & Ice reception, each event offers our members the chance to learn and network.

The Springfield Regional Chamber will also continue to advocate on behalf of the business community, and our member-driven agenda aims to ensure that policies that come out of Beacon Hill maintain a favorable business environment and contribute to the economic vitality of our region. Our legislative events such as Government Reception, Outlook, and Beacon Hill Summit give our members the opportunity to participate in this advocacy.

Aelan Tierney, President, Kuhn Riddle Architects

As we head into 2025, conversations in our office are focused on energy codes, construction costs, and housing. Massachusetts is recognized as a leader in energy efficiency in large part due to our aggressive energy codes.

But the state’s new specialized opt-in energy code, while well-intentioned, is challenging, especially for our multi-family projects. The primary pathway for these types of projects to meet this code is to design and build to the Passive House standard. This standard focuses on super-insulated, airtight construction with minimal heating and cooling loads, energy-recovery ventilation, and renewable-energy sources such as solar panels.

In addition to the increased cost of building high-performance, energy-efficient buildings, there are concerns that construction costs in general may further increase in 2025 due to potential tariffs on foreign building materials and reduced labor forces with the possibility of fewer immigrant workers.

While it is an exciting time to be designing and developing high-performance, energy-efficient, resilient buildings, there is the counterweight of how to do it affordably. It’s a challenge we look forward to solving on several projects in 2025.

George Timmons, President, Holyoke Community College

Three words come to mind when I think about a community-college education in Western Mass. today: access, belonging, and possibility. When the Healey-Driscoll administration made community college free for eligible students in Massachusetts, we opened doors for thousands across our region. In Hampden County, where nearly 40% of residents lack post-secondary education, this access is crucial for economic growth. Our 12.6% enrollment increase in 2024 reflects this expanding opportunity.

The landscape is evolving: the county’s school-age population has declined 9% over the last decade, while the over-65 population grows. Seventy percent of our students study part-time, balancing work and family responsibilities, and more than one-third identify as Hispanic or Latino. At HCC, we embrace this diversity, creating a community where students feel they truly belong.

Looking ahead, we’ll continue adapting to meet our students’ unique and changing needs, ensuring their success remains our priority.

Glenn Welch, President and CEO, Freedom Credit Union

In 2025, financial institutions, especially credit unions, will navigate a landscape rich with both challenges and opportunities. Interest rates remain elevated, reducing people’s ability or willingness to borrow. High mortgage rates and a low number of homes on the market makes it difficult for our members to refinance or move into their next homes. Now there are fewer rate cuts expected in 2025 than previous predictions had indicated, so much-needed relief from high rates will not come to fruition.

With these issues, credit unions must prioritize financial literacy and member education, empowering individuals to make informed decisions in uncertain times. Freedom is proud of its financial-literacy programs, including fraud-prevention education at area senior centers, schools, and other venues. Teaching the public how to handle finances helps them navigate financial challenges.

In 2025, there will be a growing emphasis on community support. Credit unions have a unique opportunity to strengthen their local impact and foster stronger community ties.

Sasha Wilde, Owner, Sexton Roofing & Siding

This past year was one of growth and learning for Sexton Roofing & Siding. We expanded our offerings, strengthened our team, and gained invaluable insights along the way. Now, as we step into 2025, we’re ready to build on this strong foundation and push toward an even brighter future.

Looking ahead, we’re focused on growth — not just as a business, but as a community partner. We’re committed to finding new ways to support local initiatives and get more involved in the neighborhoods we serve. Additionally, we’re exploring more sustainable materials to offer homeowners eco-friendly options that contribute to a greener future.

Thank you for being part of our story. Here’s to building stronger homes, stronger communities, and a stronger future in 2025 and beyond.

In Agawam, Momentum Is Building

By George O'Brien January 2, 2025

A architect’s rendering of the planned new Agawam High School.

Community Spotlight Special Coverage

Community Spotlight

A architect’s rendering of the planned new Agawam
High School.

Chris Johnson called it “an easy fix.”

He was referring to his decision early in 2024 to put things back the way they were in City Hall — quite literally — the last time he occupied the corner office, some 24 years earlier.

Indeed, the three-office mayor’s suite in City Hall had been reconfigured in the intervening years, with the smallest space, which had been Johnson’s office, made into a closet; the middle space, which had been a conference room, devoted to staff; and the largest space, which had been home to the two-person staff, converted to accommodate the mayor’s office and a conference-room table.

Not long after returning to office, Johnson reshuffled the deck, claiming that the old arrangement made far more sense.

Other business hasn’t been resolved quite so easily, but Johnson has achieved progress on several fronts — especially with the building of a new high school, a project that has been discussed for decades and was resolved in resounding fashion at a special election last June, with roughly 70% of residents approving a three-stage project with a price tag of $226 million.

Johnson, who served three two-year terms in the mid- to late ’90s, and, more recently, served several terms on the City Council, sought a return to the corner office in the fall of 2023, in large part to resolve the issue of a new high school. He considers the new building (and a small saved portion of the old building) to be the best option for this community of almost 29,000.

“For the voters, it came down to this: do you want to make a significant investment and renovate what we have, or spend a few extra dollars and build a new high school?” said Johnson, in reference to what will be, by far, the largest capital-improvement project in the history of Agawam. “The right decision, from an education standpoint, but also a business and financial standpoint, was to invest in a new building that has a useful life of 50-plus years instead of major renovations in what we have that would have a useful life of probably 20 to 30 years.”

“The right decision, from an education standpoint, but also a business and financial standpoint, was to invest in a new building that has a useful life of 50-plus years instead of major renovations in what we have that would have a useful life of probably 20 to 30 years.”

The high-school vote is easily the biggest storyline in this community, but there are others, including ongoing work to transform the old HUB Insurance building on Suffield Street into the city’s new police headquarters, an intriguing conversion project that should be wrapped up next spring. There’s also the ongoing saga of the former Games and Lanes property on Walnut Street Extension — a new use for that parcel remains elusive years after the eyesore was torn down — as well as the need for new housing of all kinds, but especially the affordable variety.

There are some new businesses, including a Starbucks just over the Morgan-Sullivan Bridge from West Springfield that opened roughly a year ago, and some emerging ventures, including an urgent-care facility in a building now under construction just behind Starbucks.

As for existing businesses, the landscape is dominated — figuratively but also literally — by Six Flags New England, the giant amusement park near the Connecticut border that is not only the city’s largest employer, but a good corporate citizen, the mayor said.

The park, now 25 years under the Six Flags brand, is adding a new roller coaster and undertaking other significant expansion and improvement efforts, said Park President Peter Carmichael (see related story on page XX).

For this latest installment of its Community Spotlight series, BusinessWest turns its focus on Agawam, where momentum is building — in every sense of that phrase.

Early Returns

The framed newspaper front pages on one wall of Johnson’s office speak to how much has changed over the past 24 years — journalistically, and in some other ways as well.

The large headlines trumpet three of his five election victories, starting in 1989. The masthead at the top of each declares that this is the Agawam/West Springfield edition of the Union News. The Springfield newspaper is now called the Republican, and there is no longer an Agawam/West Springfield edition. Meanwhile, the large headlines from the ’90s were all about Johnson because West Springfield didn’t have a mayor in those days.

But while many things have changed in a quarter-century, in Agawam, many of the issues are the same, and Johnson has been dealing with them consistently because he served on the City Council for 12 years in the interim.

Mayor Chris Johnson says resolution of the high-school issue was one of the prime motivators for his return to the corner office.

At the top of that list is the high school, he said, noting that the original building, opened in 1995, has been renovated and expanded several times over the years, with the result being a sprawling, one-story complex that was in need of another facelift — or replacement.

Johnson has long been a strong advocate of the latter, and efforts to inform the public of the available options dominated his first several months back in the mayor’s office.

“I can’t even count how many presentations I made,” he said. “I pretty much said, ‘anytime, anywhere that anyone wants one, I’ll go’ — and I did a lot of them, while also putting together educational videos to put on the town’s website and social media. My goal was to make sure people had the information they needed to make an educated decision.”

“Whether it be aging roadways or storm-drainage issues, most of our infrastructure dates back 50, 60, 70-plus years.”

Dave Fontaine Jr., CEO of Springfield-based Fontaine Bros., the general contractor awarded the project, said it is unique in that it has three phases — new construction of a ‘community wing’ on fields adjacent to the current high school; an academic wing, which will involve demolition of much of the existing high school (some will be saved) and new construction; and additional demolition as well as conversion of some of the existing high school into an early-childhood center.

The building will also use geothermal wells for heating and cooling, said Fontaine, adding that the technology is becoming more common, but still fairly rare in school buildings. It will also have sloping metal roofs, which are more durable than flat roofs and will have a longer lifespan, he said, adding that they provide an intriguing architectural element.

Johnson said ground should be broken this spring, with work on phase 1 to be completed by the end of 2026, phase 2 by the fall of 2028, and phase 3 in 2029.

Fontaine will be building the new Agawam High School at the same time it constructs a new high school in East Longmeadow, a project roughly six months further along. That will be challenging in some ways, but the company traditionally has at least two large-scale school projects occurring simultaneously.

Meanwhile, another intriguing project, this one now well underway, is the conversion of the former HUB Insurance building (before that, it was the Oaks banquet facility) into the new police headquarters.

It’s unique, said Carl Mercieri, executive vice president with Marois Construction, the contractor handling the project, because most new public-safety facilities are built from the ground up.

Agawam at a glance

Year Incorporated: 1855
Population: 28,692
Area: 24.2 square miles
County: Hampden
Residential Tax Rate: $14.54
Commercial Tax Rate: $27.54
Median Household Income: $49,390
Family Household Income: $59,088
Type of government: Mayor; City Council
Largest Employers: OMG Inc., Agawam Public Schools, Six Flags New England
* Latest information available

Because the town was able to acquire the property at an attractive price, converting it for this use emerged as the most common-sense option, he went on, adding that transforming a large (36,000 square feet) office building into a public-safety facility has required complete interior gutting and creation of a wide range of new spaces, from offices to a dispatch room to six holding cells. Meanwhile, a large sallyport had to be added to the rear of the building.

“There are several different areas to create — a detective area, a sergeant’s area, a patrolman’s area, an armory, and the holding cells,” said Mercieri, adding that the completion date for the project, like the final price tag (around $9 million), is a moving target, but work is expected to be wrapped up by late spring.

Forward Progress

Between the new high-school project (the town’s share of that initiative is roughly $120 million) and the new public-safety complex, the town will have little to spend on other large-scale capital projects for some time, said Johnson, adding quickly that this can’t stop the community from planning.

And he summed up what’s next on the proverbial to-do list with a single word: ‘infrastructure.’

“Whether it be aging roadways or storm-drainage issues, most of our infrastructure dates back 50, 60, 70-plus years,” he explained. “But we need to come up with a plan, and then match a funding mechanism to a plan to be able to move forward so that we’re not faced with dealing with crisis situations.”

Coming up with these plans — while also building the new school — will be the next challenges for Johnson in what can be called a second tour of duty in the corner office.

Or corner offices, to be more precise.

He’s put things back the way they were before in that suite, but for other, much larger issues, there is no going back — just moving forward. In the larger scheme of things, that is the plan.

Local Banks, Credit Unions Emphasize Corporate Responsibility

By Joseph Bednar January 2, 2025

Banking and Financial Services Special Coverage

More Than Writing Checks

A community bank should be about, well, the community.

That’s the prevailing thought, anyway, among bank and credit-union leaders throughout the Western Mass. region when it comes to philanthropy, volunteerism, and other activities under the broad umbrella of corporate responsibility.

“It’s identifying the needs of the communities we serve. We’re very consistent with that mission,” said Matt Garrity, president and CEO of Florence Savings Bank, who was quick to name several areas of focus for the institution’s giving-back strategy, including affordable housing, food insecurity, financial literacy, education, substance abuse, health and human services, and community redevelopment. “These are issues that impact the lives of people in the communities we serve.”

To that end, Florence funded close to 400 requests in 2024, and it’s far from alone in meeting those needs.

“For mutual banks and community banks here in Western Massachusetts, giving back to the community really is a core value,” Garrity said. “And it’s local — the overwhelming majority of the giving we do is centered on supporting communities in Hampshire, Hampden, and Franklin counties.”

UMassFive College Federal Credit Union focuses on the word ‘wellness’ a lot, said Craig Boivin, vice president of Marketing.

“That can mean different things. Obviously, financial wellness is the biggest thing. We’re a credit union, so we’re making sure we educate people on financial matters, with webinars and workshops on budgeting, understanding credit, and paying down debt. But another bucket of wellness has to do with basic necessities.”

That’s why UMassFive works with local survival centers, helping them meet needs and spreading the word to others, like through an annual coat and winter clothing drive that brought critical supplies to Amherst Survival Center, the Gray House in Springfield, and Net of Compassion in Worcester.

In fact, UMassFive partners with a host of area nonprofits on various giving and volunteering initiatives, including Community Involved in Sustaining Agriculture, the Food Bank of Western Massachusetts (through participation in Will Bike 4 Food), and health-focused organizations like the UMass Cancer Center (through the UMass Cancer Walk).

Matt Garrity says Florence Savings Bank prioritizes community needs including affordable housing, food insecurity, financial literacy, education, health and human services, and community redevelopment.

Dan Moriarty, president and CEO of Monson Savings Bank, says his institution is dedicated to enriching lives in the cities and towns where it does business, and surrounding communities as well, helping organizations that serve a host of constituencies, from senior citizens to veterans to people in need of health services and basic needs.

“Obviously, a bank can’t solve all the area’s problems, but when we do things along with other good corporate citizens, we feel we make a difference in people’s lives,” he noted, noting that the bank has adopted “when we all give back, we all move forward” as its philanthropic tagline.

“We are a community bank, and we’ve been doing that for over 150 years now. As we continue to grow and expand our market footprint, we expect to help with more needs in the community.”

Matt Bannister, vice president of Marketing and Corporate Responsibility for PeoplesBank, has said many times that his bank’s guiding philosophy is to give a little to a lot of groups.

“Obviously, a bank can’t solve all the area’s problems, but when we do things along with other good corporate citizens, we feel we make a difference in people’s lives.”

“Some organizations will give a lot to a few groups. If a hospital is building a new cancer wing or an emergency room or something like that, those tend to be very large donations because they are very large projects. We take the opposite approach. We want to be in as many places as we possibly can.”

As a result, PeoplesBank gave away $1.6 million last year to 550 different nonprofits, Bannister noted. “You do the math, and it’s about $2,500 or $3,000 per grant, which doesn’t mean much to a large corporation that’s building a hospital … but it does mean a lot to a small nonprofit with a shoestring budget. So the ability to impact many organizations as possible is the route that we choose.”

Making the World Better

That said, corporate responsibility goes well beyond writing checks, Bannister explained.

“Corporate responsibility, to me, means standing for something that benefits the public at large. It’s a way to telegraph the values that a company has, and a consumer can use that information to make decisions. One of the factors when they’re purchasing a product or a service is, ‘who am I buying this from, and what do they do that makes the world a better place,’ as opposed to ‘what are they not doing, or what are they doing that makes the world a worse place?’”

So, that extends not only to philanthropy, but to what vendors and suppliers a bank partners with, and whether they share similar values.

“You might say a certain percentage of the vendors of a company should be minority-led organizations or women-led organizations. So it’s not only how you telegraph your values, but how you put them into action; are you, as a company, spending money to encourage what we think are beneficial programs for society?”

That approach extends to volunteerism as well — an area of community support that virtually every bank based in this region emphasizes.

Dan Moriarty (left, with Veronica Garcia, CEO of Latino Marketing Agency, and John Perez, project office manager at the Hispanic-American Institute) enjoys taking many of these big-check photos each year with organizations that benefit from Monson Savings Bank’s giving.

“When employees of a company volunteer in the community, that’s another way the company adds value to the community,” Bannister said, which is why PeoplesBank — and the other institutions that spoke with BusinessWest — pays employees to take volunteer days.

“So United Way has Days of Caring, where teams [of volunteers] will come out, or Habitat for Humanity has a build, where teams will come out, and that’s good for team building. But the company is also saying, ‘you’re not going to do your job today; we’re going to pay you to do something out in the community.’”

That makes a statement about corporate values, which is why Monson Savings Bank recently codified it.

“We’re launching a community service day policy where we pay our full-time employees to donate eight hours of a day, or two half-days, to an organization or a nonprofit,” Moriarty said. “We’ve done that kind of unofficially; now it’s an official policy. We allow employees to donate their time during the work week, and we pay them to go out and support the community. It’s a great thing.”

Such activities also expose employees to the good work being done in the community, and they can be enjoyable, he added. “We’ve had fun helping Revitalize CDC on volunteer projects, or helping out organizations from the United Way to Martin Luther King Family Services to I Found Light Against All Odds, and many others.”

The bank also collects $5 donations from employees every Friday for the ability to wear jeans to work, and those donations are pooled and given to local organizations as well.

At Florence, “volunteerism is a big part of what we do. We encourage it highly in our organization, and we’ll continue to do that,” added Garrity, noting that employees have recently volunteered at organizations including Hampshire Regional YMCA, Greater Springfield Habitat for Humanity, Square One, Caring Health Center, and many more.

At UMassFive, Boivin said, “the level of engagement of our employees is high — it’s the culture here to support others in the community, especially with fundraising that we do with Will Bike 4 Food and the Cancer Walk and Run. We raised over 25 grand combined for those two organizations this year.

“And a lot of that comes from grassroots stuff the employees are doing,” he added. “They’re selling baked goods, they’re creating artworks and selling them in the branches, they’re talking to their families and friends, and they’re donating themselves. We really support the causes we care about.”

UMassFive’s community support also extends to elevating local businesses, as it did when it partnered with UMass Athletics and UMass Sports Properties on a recent contest to recognize a small business that demonstrates service, innovation, and community involvement.

The winner, Sexton Roofing & Siding, received an ad package worth $10,000, allowing it to be featured on digital displays, radio reads, email blasts, and tabling opportunities during and surrounding the university’s sporting events. “That’s another way to practice corporate responsibility, by amplifying other businesses,” Boivin said.

Moving the Needle

And then, there are the votes.

Two local banks — Florence Savings Bank, through its Customers’ Choice program, and Monson Savings Bank, through its Community Giving Initiative — just finished another annual round of voting by customers and community members on what organizations they’d like the banks to support with donations.

“We began this back in 2010. We’re aware of a lot of different nonprofits that are doing a lot of good work, but not all of them,” Moriarty said, and since its inception, the program has grown significantly. “It’s exciting — now we have nonprofits say, ‘hey, Dan, when do we launch the CGI initiative, so we can get the information to voters?’ It’s been a great program for us, and we’ve met a lot of great organizations across the Pioneer Valley.”

Florence Bank’s program is in its 23rd year, and the most recent round of voting drew more than 7,000 ballots, Garrity noted. “We’ve even tried to provide, for the benefit of a lot of our nonprofit organizations, tips on how to get the message out to their supporters around Customers’ Choice. It’s really been something the community has embraced.”

Readers have probably noticed the word ‘community’ repeated often throughout this article — more than two dozen times, in fact. But there’s a good reason for that.

“The word ‘community’ can be overused, but it really does feel like we’re a community of people helping others in the community,” Boivin said. “Our whole mission is set up to help people. The biggest way we do that is in the financial world, but there are a lot of other pillars here.

“When you think about the budgets we have for marketing and outreach, they are not as big as some of the community banks in our area,” he went on. “And, yes, we write checks and donate money, but a lot of it, for us, comes down to volunteer efforts and fundraising and spreading the word about events organizations are having, or participating in those events when they have them.

“A lot of it is a boots-on-the-ground effort,” Boivin added. “We don’t just write checks; we show up. That’s an internal mantra of ours.”

Glenmeadow President, CEO Reflects on First Year in Senior Living

By Joseph Bednar January 2, 2025

Healthcare News Special Coverage

Learning Experience

Glenmeadow President and CEO Kathy Martin

Kathy Martin had built an impressive career on higher education — first as a teacher, then as an administrator, most recently as assistant provost for Accreditation and Administration at UMass Amherst — when she saw an opportunity to make a sharp turn. And she took it.

“It was the right time for me to think about trying something else,” said Martin, who had been serving on the board of Glenmeadow, a senior-living community in Longmeadow, when the position of president and CEO opened up there in 2023. “Glenmeadow’s timeline for its presidential search coincided with my timeline for seeking a new opportunity because the provost I was working with at UMass got a new job, so she was leaving UMass anyway. So it was just an opportunity of timing.”

Her role on the board had been a great introduction to that venerable (as in 140-year-old) community, and to senior living in general.

“I was at a point professionally where I needed to make a decision about what I wanted to do. Did I want to continue to pursue a presidency in higher education, or did I want to try something else?” she told BusinessWest.

The shift — she’s been on the job 15 months now — has been dramatic in some ways, but rewarding as well.

“This is a new language for me in many ways, but I love learning new things. This was an opportunity for me to take on the challenge of learning and leading in a new sector. And there are more overlaps between higher ed and senior living than you might think,” Martin continued. “Some of the challenges and opportunities are the same, and leadership is leadership, but I have really enjoyed the pivot from working primarily with college students to working with seniors. It’s been a wonderful shift of perspective.”

“This is a new language for me in many ways, but I love learning new things. This was an opportunity for me to take on the challenge of learning and leading in a new sector. And there are more overlaps between higher ed and senior living than you might think.”

It has also been a process of learning about the day-to-day operations and everything the frontline staff and the leadership team do to keep a 24/7 operation working efficiently, she added.

“We think of it from our residents’ perspective first. What do they need? What are they interested in? What would make their Glenmeadow experience everything that they’ve always wanted it to be? And then there are all of the behind-the-scenes, operational decisions that we’re making; we’re looking at things like how reliant are we on paper processes, and can we move more things to the cloud, and how can we become more efficient in our operations?”

But most decisions come down to enhancing the resident experience, Martin said.

“Every decision that we make is based on what’s best for our residents and ensuring that we have enough programming, and the kind of programming that is meaningful for our residents,” she explained. “One of the things we’ve had a lot of conversation about in the last year is intellectual engagement, that it’s not just about playing mahjong, but it’s about having access to local speakers or a TED Talk or a guided discussion on a topic of interest. So we’re making sure we’re being responsive to what is interesting for the residents and engages their families as well in life at Glenmeadow.”

Long History

Glenmeadow traces its roots to 1884, when a group of civic leaders raised funds among themselves and other area families and purchased a house on Main Street in Springfield’s South End, establishing the Springfield Home for Aged Women. This residence opened in November 1886 and accommodated 16 women from the community without family or means.

Glenmeadow moved from Springfield to Longmeadow in 1993, right around the time the facility took its current name.

Fourteen years later, a new, larger home opened nearby, and in 1960, its name changed to Chestnut Knoll. In 1992, the facility began admitting men alongside the women.

In 1993, the organization purchased a 23-acre parcel in Longmeadow to build a new community that would provide both independent and assisted-living apartments with various common areas, and the name changed again, this time to Glenmeadow. In 2002, it unveiled Glenmeadow at Home, offering personal care, companionship, and home-care services to older adults living in their homes throughout Greater Springfield.

The home-care service is important for a couple of reasons, Martin said. “We recognize how important it is for seniors to stay at home as long as they possibly can. It can be very emotional to think about leaving your family home and making a move to a community like Glenmeadow, so we wanted to do everything we can to make it possible for seniors to stay at home a bit longer.”

In addition, she said, “home care is a nice gateway to Glenmeadow as a community. We do have residents who started as Glenmeadow at Home clients. We also have residents who use Glenmeadow at Home for some additional care. So it’s an important part of our business model, not only for what it provides our residents, but what we can give back to the local community to make home care more accessible.”

One crucial piece of the organization’s services is the concept of aging in community, she noted.

“One of the reasons that our residents thrive at Glenmeadow is because they’re with people who are having similar life experiences. We actively work to combat social isolation. And for those seniors who are staying at home and maybe increasingly infirm, it’s harder to maintain those social interactions. So a lot of our residents just enjoy being with people of the same age … it’s a social community as much as it is a residential one.”

“Home care is a nice gateway to Glenmeadow as a community. We do have residents who started as Glenmeadow at Home clients. We also have residents who use Glenmeadow at Home for some additional care. So it’s an important part of our business model.”

In 2024, Glenmeadow elevated the senior experience in a different way, by recognizing accomplished individuals over age 60 throughout the region in its first annual Age of Excellence awards program.

“That was really born out of a conversation among our board of directors about how we can have a hallmark event for Glenmeadow as a fundraiser,” Martin said. “We thought it was important to highlight the accomplishments and inspiration of those over 60.

“I think, too often, when you are approaching retirement, it feels like the end of something and that your best years are behind you,” she went on. “And we wanted to take the opportunity to highlight older adults that are doing amazing things. For some people, it’s a new career. For some people, it’s a new hobby. We wanted to be the ones to put a very appropriate spotlight on those individuals.”

The inaugural honorees, celebrated with a gala event in September, included Springfield Police Superintendent Lawrence Akers; Debbie Gardner of the Reminder; Jeffrey Greim of Jeff’s Granola; Ethel Griffin from Revitalize CDC; James Lagodich, who has been involved in local youth and adult sports; Maria Roy of the Indian Orchard Citizens Council; Patrick Sullivan, recently retired executive director of Springfield Parks; and Karen Tetreault of the Springfield Regional Chamber.

Kathy Martin (right) with the honorees at the inaugural Age of Excellence awards gala in September.

They were honored for a variety of reasons, from mentorship to volunteerism to leadership to simply inspiring change, and the selection process was challenging, Martin said, explaining that the public nominated individuals, and a small panel of local community leaders evaluated the nominations and made the selections.

“It’s been wonderful for us to hear people say, ‘oh, I wish we had done this 10 years ago,’ or ‘why hasn’t anybody had this idea before?’ And it was really inspirational, I think, for everybody who was involved in the selection process, but certainly everybody who went to the event in September. I think we all walked out of there with a little lift in our step from hearing what all of these honorees have accomplished.

“And there are dozens more like them, so we’re looking forward to the opportunity in 2025 to select the next class of Age of Excellence honorees,” she went on, noting that event will take place on Sept. 3.

Challenges and Opportunities

Senior living is a challenging field in many ways, Martin said, but right now, one of the biggest is the continued generational shift as the average age of Americans continues to rise.

“We have about 10,000 new Medicare subscribers every day with the Baby Boomers reaching retirement age. So, while we’re focused on how can we best serve the needs of our current residents, we’re also thinking about how to get ahead of what the Baby Boomer generation is going to be seeking in a community like Glenmeadow.”

To that end, the community is in the final stages of an $11 million renovation aimed to entice seniors interested in maintaining a wellness-focused lifestyle into retirement, she noted.

“Trying to forecast the needs of the next generation, I think, is certainly a challenge. And we’re a nonprofit, and maintaining a healthy revenue stream as a nonprofit is always a challenge. We focus on our occupancy, but we are grateful for the support that our residents and local members of the community and organizations make in supporting Glenmeadow financially so that we can continue to do what we do.”

Another industry challenge — one common to many industries these days — is recruiting and retaining a workforce, and on that front, Glenmeadow has been fortunate, Martin said.

“Through the pandemic and since then, our workforce has been relatively stable. We don’t have very many open positions,” she elaborated. “We focus a great deal on staff engagement, and I think that goes a long way toward that retention figure, but it’s also the interactions that our staff has with our residents.

“Every time I ask the staff what’s their favorite part about working here, they say the residents,” she went on. “And when I ask the residents what’s their favorite part about living here, they say the staff. So, it’s really a wonderful work environment for our staff, and we see that we’re all doing really good and important work, and it makes it much easier to come to work every day knowing about the positive impact that you have.”

Martin said that feeling extends to families, some of whom live far away, but many of whom live locally and stop by regularly for visits, meals, and events. “We love to see their interactions with our residents because it’s really their home. So we want our residents to treat it like their home and have their families here for holidays and other special occasions, or just to come watch a movie on a Thursday night.”

As for her own experience, Martin said she’s happy to have made this intriguing career shift — and she’s still learning.

“I love that it’s new every day,” she told BusinessWest. “There’s always something new that happens that I wouldn’t have anticipated. But I’ve loved getting to know the residents, their families, and our staff. It’s really the people that make a difference in this work, and getting to know the stories of the people who are here has been really inspiring and motivating and reinforcing of why this is such a great career path.”

In South Hadley, It Takes a Village — Literally

By George O'Brien December 20, 2024

Community Spotlight

Karia Youngblood says Mount Holyoke College’s $175 million geothermal project is a bold move for the institution.

At its core, Mount Holyoke College’s $175 million geothermal energy initiative is an infrastructure project.

But, by design (in most cases, anyway), it has become much more than that.

Indeed, the massive undertaking, soon to enter its third phase, has become a living laboratory for many students, engaging them in learning opportunities involving everything from geology (during test-well drilling) to sustainable landscaping to humanities.

Meanwhile, the project has provided a captivating glimpse into the college’s past, with excavation work uncovering part of the foundation of the college’s original structure, the Seminary Building, which dates back to 1837, a find that provides some poignant symmetry, said Karia Youngblood, associate vice president of Facilities Management at Mount Holyoke.

“I worked with our archivist, and we overlaid the footprint of the Seminary Building and determined that foundation was actually the corner of the original boiler room of that building, which also explains why we found some fire bricks in that area,” she explained. “It felt like a really sweet, full-circle moment.”

Such symmetry is one intriguing aspect of this closely watched project, which is just one of many storylines unfolding in South Hadley.

“With our 19 units historically at 100% occupancy, with minimal opportunity to reside here due to lack of turnover, we believe the best way to sustain long-term success is to open the door to more housing.”

Others, said Town Administrator Lisa Wong, include everything from progress toward building a new elementary school to work toward development of a strategic plan for the town’s municipal golf course, to planned infrastructure work — and economic-development initiatives — in the community’s historic Falls section, which includes Town Hall.

“We’re hoping to raise some money and do some projects in that area, which is along the river,” she explained. “There are some businesses there, but we’re looking to attract more.”

As for established businesses that call South Hadley home, many can be found in the Village Commons, a setting unlike anything else in Western Mass. — a collection of buildings that has won awards for its design and is known for constant change, but also, in some ways, remarkable stability.

The Village Commons has historically had a high occupancy rate for its retail and office space, and there’s a lengthy waiting list for its residential units.

Indeed, many of the commercial tenants have had this mailing address for decades, said Jeff Labrecque, chief operating officer of Center Redevelopment Corp., which manages the Commons for its owner, Mount Holyoke College, noting that the same is true for those occupying the 19 coveted residential units as well.

“We have one woman who has lived here for 36 years,” said Labrecque, noting that there is a waiting list for the units, one that people stay on for several years, on average, before there is a vacancy.

This lengthy waiting list helps explain why the Village Commons is actively looking to expand and add additional residential units, Labrecque told BusinessWest, adding that South Hadley, like most area cities and towns, has a critical need for housing, especially of the affordable variety.

“I’m an alum of the college, and the day the board approved this project, I felt so much pride in my institution that they had the courage to take such a bold step to preserve the environment, to preserve the legacy of Mount Holyoke.”

“We’re continuing to focus on residential expansion opportunities,” he said. “With our 19 units historically at 100% occupancy, with minimal opportunity to reside here due to lack of turnover, we believe the best way to sustain long-term success is to open the door to more housing.”

Meanwhile, one of the long-time commercial tenants in the Village Commons, the Bean Restaurant Group, founded by the Yee family, has continually expanded its presence within the complex. Three of the group’s 13 restaurants — Johnny’s Bar & Grill, IYA Sushi and Noodle Kitchen, and Johnny’s Tap Room, a banquet and events facility — are located within the Commons.

Overall, the group continues to grow in size, with the most recent addition being the Crush Wine Bar in West Hartford, Conn. but also in prestige, recently garnering the 2024 Restaurant of the Year Award from the Retailers Assoc. of Mass. (RAM), recognizing the company’s longstanding dedication to hospitality excellence, culinary creativity, and community engagement.

“It’s a feather in the cap, not for the Yee family, but really for our teams in every restaurant, because they’re the ones that build the relationships,” said Edison Yee, son of Johnny Yee, who laid the cornerstone for what would become a chain with the opening of the famed Hu Ke Lau in Chicopee. “They’re the ones table-touching every day, and they continue to bring that culture that my father instilled in all of us to our restaurants every day.”

Things Are Heating Up

Numbers certainly help tell the story of Mount Holyoke’s geothermal system. And there are quite a few of them.

When completed, there will be 26 miles of geothermal piping to be installed under the campus. The project also entails the drilling of 230 bores, each of them 600 feet deep, that will heat and cool 43 buildings covering 1.6 million square feet of real estate.

The most important numbers, though, are 2037 and 100% carbon neutrality. The former is a date, the college’s 200th birthday, and the latter is a goal to be reached by that date, a goal that in many ways inspired the geothermal project, said Youngblood, adding that this goal coincided with another one — to replace a 100-year-old, highly inefficient steam-distribution system.

Members of the second and third generations of the extended Yee family now managing the Bean Restaurant Group: from left, Matt Yee, Nathan Yee, Sonny Wae, Bonnie Wae, Emma Yee, Nick Yee, and Edison Yee.

Tracing the genesis and progression of the project, Youngblood, an alum who has been working in her current position for three years, said the college made a climate commitment in 2016, and in 2018 a sustainability task force was formed to look at how the college could reduce its carbon emissions.

That group’s work soon focused on the school’s fossil-fuel-powered heating plant and five large steam boilers, which produced 80% of those emissions. And it led to an energy master plan that looked at a handful of different technologies and was guided by several criteria, including cost, greenhouse-gas reduction, and technology that was both adaptable and able to offer engagement opportunities for on-campus researchers and students.

These and other guidelines were met by geothermal heat-exchange technology, she went on, adding that Mount Holyoke took inspiration — and some lessons — from a similar project at Carleton College in Minnesota, and commenced work in 2022.

“This is a bold step for the college,” Youngblood said as she put the many aspects of this initiative into perspective. “I’m an alum of the college, and the day the board approved this project, I felt so much pride in my institution that they had the courage to take such a bold step to preserve the environment, to preserve the legacy of Mount Holyoke. We’re a small liberal-arts college in Western Massachusetts, and many of our peers with larger endowments have yet to take such a step.”

As Wong noted, the geothermal project is one of many developing stories in South Hadley. Others include early-stage work to replace Mosher Elementary School; recent improvements to Buttery Brook Park, including wildly popular pickleball courts; the launching of an affordable housing trust to address that pressing issue; creation of a Human Services department; gaining designation from the state as a green community; and planned infrastructure work on Main Street.

Meanwhile, the town is also launching a strategic plan for its municipal golf course. Conceived in the late ’90s, when golf was enjoying a Tiger Woods-inspired boom, the course, called the Ledges, struggled for many years, but has fared better recently as golf has enjoyed another surge, this one fueled in part by the pandemic.

“The course is operating in the black, but it’s not covering all the debt right now,” said Wong, noting that the debt incurred to build the course and clubhouse will be paid off in four years, and the town wants a plan in place for maximizing that asset. A major focus will be on open space for the public, such as accessible walking trails.

It Takes a Village

While Labrecque takes the title COO of Center Redevelopment Corp., he likes to refer himself as an ‘innkeeper.’

In fact, at least one tenant calls him that, he said, adding that the hospitality-toned title is a better reflection of what he does day in and day out — and also what the Village Commons was designed to be and has certainly become.

“When you’re managing more than 70 tenants, and most of them are mom-and-pops, you really have to take on the innkeeper mentality, almost as if you’re running a bed and breakfast,” he explained. “And it’s always hands-on, very different from a commercial mall environment.”

As noted earlier, the Commons is noted for both its stability — some tenants go back to the very beginning in 1987, and many have called the complex home for 30 years or more — but also for the change that comes to any facility that is home to retail and office tenants.

That stability is marked by 100% occupancy on the retail and hospitality side of the equation, and 92% on the office side, which is strong compared to many office facilities in the post-pandemic, remote-work era, but still down from the Commons’ history of full occupancy, Labrecque noted.

“Hybrid work schedules continue to impact the office market, therefore creating an abundance of nationwide vacancies, leading to a heated and competitive leasing environment,” he said, adding that, while, these and other headwinds continue to present challenges to the Commons, the facility continues to more than hold its own.

Recent additions include Kiao Wan Thai restaurant, which opened its doors in October, and Eliza Moser Fine Art. Moser is an internationally trained oil painter, art instructor, and gallerist, and her facility hosts a broad range of weekly classes, paint nights, and one-day workshops that are routinely sold out.

Meanwhile, established tenants cover many sectors and include Odyssey Bookshop, Darby O’Brien Advertising, HUB International, Ochoa Day Spa, and Tower Theaters, which, like most cinema operations, is still in recovery mode from the pandemic, but making strides and continuing to be a destination that brings people to the Commons and its many restaurants.

“When you’re managing more than 70 tenants, and most of them are mom-and-pops, you really have to take on the innkeeper mentality, almost as if you’re running a bed and breakfast.”

Looking forward, the Commons is looking to advance what would be its first real expansion in more than 30 years, said Labrecque, adding that this expansion will come on the residential side, and with the twin motivations of meeting the town’s glaring need for more housing, while also providing more revenue with which to meet the growing costs of maintaining a complex now approaching its 40th birthday.

Additional residential units would constitute phase 3 of the Commons project, and it has been talked about for at least 20 years, he noted, adding that efforts have been slowed by the Great Recession, the pandemic, and other forces, but he expects some movement on this front within the next year.

Next on the Menu

Meanwhile, the Bean Group works to balance its ongoing efforts to expand with the day-to-day work of managing and operating 13 restaurants — and, during September, three more operations at the Big E.

It’s a complicated balancing act, said Nate Yee, a member of the third generation of the family now managing the group.

“We put a lot on our managers; we have a great amount of trust in them,” he told BusinessWest. “It comes with a lot of communication and checkpoints — that’s really how we do it. What sets us apart is that family touch where we’re in the units; we try our best to get to every restaurant at least once every week. It doesn’t always happen, and we rely on our managers.”

While the group is spread out across Western Mass. and now into the Hartford area, roughly half its restaurants are in South Hadley. In addition to those at the Commons, there are also the Halfway House Lounge, Johnny’s Roadside (a diner focusing on breakfast and lunch), and the Boathouse, located on the Connecticut River.

The 13 restaurants in the group run the gamut, from sushi to cheeseburgers and milkshakes at the two White Hut locations, and this diversity certainly makes it interesting, said Nick Yee, another of Johnny’s sons, noting that, beyond the wide variety of restaurants, the group is also coping with changes in eating habits, including a tendency among the younger generations to eat earlier and get home earlier.

“In South Hadley, our busiest time starts at 5, and it goes until 8,” he noted, adding that only a few years ago, peak time was closer to 7. “In South Hadley, we used to be open until midnight; now, we’ve cut that down to 9:30, 10.”

As for opportunities for expansion, there are many of them, said Nick, noting that “every restaurant is for sale, really.”

Nate agreed, adding that the group looks at many factors when it explores opportunities — from the lease conditions to parking; from the talent pool to the condition of the building in question — but, ultimately, it comes down to leadership and whether it would make a good fit with the group’s culture.

Maintaining that culture is job one, they agreed, adding that doing so contributes to awards like the one from RAM, but mostly leads to continued growth and success for a group that started nearly 60 years ago and is still thriving, especially in this town that’s progressing right along with it.

Examining the Reach, Impact of Social Media for Users, Investors

By Contributor December 20, 2024

Wealth Management

Into the Metaverse

By Jeff Liguori

Social media has evolved from a niche digital trend into a global force, reshaping how people communicate, consume content, and interact with businesses. With billions of active users worldwide, platforms continue to evolve, adapting to new trends, technological advancements, and changing consumer preferences, with artificial intelligence a central force in driving that content.

Social media’s reach is staggering. As of 2024, more than 4.7 billion people globally use social media, accounting for nearly 60% of the world’s population. The sheer number of active users on platforms like Facebook, Instagram, TikTok, YouTube, and X (formerly Twitter) highlights the pervasive nature of social media in contemporary society.

These platforms are not only communication tools but also major drivers of entertainment, commerce, news distribution, and politics. For instance, Facebook, Instagram, and WhatsApp (all owned by Meta) have become critical for digital marketing, with businesses of all sizes leveraging these platforms for brand awareness, lead generation, and direct sales.

Jeff Liguori

“With billions of active users worldwide, platforms continue to evolve, adapting to new trends, technological advancements, and changing consumer preferences, with artificial intelligence a central force in driving that content.”

These outlets have provided an infrastructure for the ‘influencer’ class, who directly profit from an increasing number of visitors or subscribers to their sites. It is estimated that an influencer on Instagram with 100,000 followers earns between $1,000 and $15,000 per post, depending on content, product placement, engagement with subscribers, and ads running on their sites.

For perspective, high-profile athletes and celebrities can earn millions of dollars per post. The professional soccer player, Christiano Ronaldo, arguably the most recognized and popular athlete in the world, has 645 million followers on Instagram and more than 1 billion on all his social-media accounts combined. Taylor Swift has 280 million Instagram followers and 550 million across all platforms.

Meta Dominance

Meta Platforms, which owns Facebook, Instagram, WhatsApp, and Oculus, is undeniably one of the largest players in the social-media space. The company has expanded far beyond its original social-networking service, diversifying into virtual reality (VR), digital advertising, and even the metaverse.

As of Q3 2024, Meta reported having 3.1 billion monthly active users across its family of apps. Facebook itself remains the dominant player, with more than 2.9 billion active users, followed by Instagram with 2.4 billion, WhatsApp with 2 billion, and Messenger at around 1.3 billion users.

Despite its massive user base, Meta’s stock performance has been volatile in recent years, especially following its aggressive push into the metaverse. While its quarterly earnings reports often show healthy revenues — primarily driven by advertising — investors have been divided on the long-term potential of Meta’s shift toward virtual reality and the metaverse. The company’s stock price has been subject to dramatic swings, particularly when its investments in the metaverse didn’t immediately translate to a clear revenue stream.

For instance, Meta’s stock price saw a significant drop in late 2022, losing nearly half of its value in just a few months. This was in part due to concerns that its focus on the metaverse was draining resources that could have been used to improve its core social-media business. But investors have gained confidence in CEO Mark Zuckerberg’s vision as advertising revenue has continued to grow, and its foray into AI-powered tools has generated excitement among investors. Since January of 2023, the stock price has skyrocketed nearly 400% to the end of November 2024.

Meta is now the fifth-largest publicly traded company in the world, with 72,000 employees and a total valuation of roughly $1.6 trillion. By contrast, Walmart, the largest global retailer, employing more than 2 million people worldwide, is valued at less than half of Meta currently.

The strategic shifts, user growth in key markets, and a focus on optimizing ad revenue continue to propel Meta’s profits. The company’s Q3 2024 earnings revealed a 20% year-over-year increase in revenue, with much of this growth coming from ad sales on platforms like Facebook and Instagram.

While Meta is undeniably one of the largest players in the social-media space, it faces intense competition from several other platforms. To get a better sense of the broader social-media landscape, the most recognized key performance metric is monthly average users (MAUs), which measures how many unique users interact with a product or service within a 30-day period.

The dominance of a few platforms, with Facebook, YouTube, and WhatsApp leading the pack in terms of monthly active users, is clear. Facebook remains the largest social-media platform with nearly 2.9 billion MAUs, a testament to its broad global reach. WhatsApp and Instagram, both under the Meta umbrella, have similarly vast user bases, collectively reaching more than 4.9 billion people each month.

Despite its impressive user count, TikTok has emerged as one of the most formidable competitors, with 1.7 billion MAUs. TikTok’s rapid growth, driven by its addictive short-form video content, has captured the attention of younger audiences and advertisers alike. The app has become a significant disruptor in the digital advertising space, particularly in reaching Gen Z, a demographic that Meta has struggled to retain.

The Future … Not Without Controversy

The future of social media is uncertain, with new platforms emerging and user habits shifting. While Meta’s advertising business remains robust, its long-term stock performance will depend on how well it can balance innovation in areas like the metaverse and AI, while maintaining its massive user base across Facebook, Instagram, and WhatsApp.

And the social ecosystem is not without controversy. Social media can contribute to mental-health issues, such as anxiety and depression, due to constant comparison and online validation. The spread of misinformation is another significant challenge, as false narratives can quickly gain traction and influence public opinion. Additionally, the pressure to maintain a curated, idealized online persona can lead to feelings of isolation and a lack of authentic connection.

Expect greater scrutiny of all things digital, especially as AI becomes exponentially more powerful, driving these sites and adapting to changing user habits.

Afterword

This article was almost entirely written using the AI platform ChatGPT. While I’m not an active user of AI tools for research or writing, I think it is an important commentary on the state of technology today.

I come from a family of writers — my brother is an editor for the New York Times and a vocal opponent of using AI for such articles. And while I agree there are many pitfalls to the artificial-intelligence phenomenon, as a society, we must work diligently to use all these tools for the betterment of humanity. With the ease of content production today, it is incumbent on all of us to use AI and social media responsibly and help police those that do not.

Jeff Liguori is the co-founder and chief Investment officer of Napatree Capital, an investment boutique with offices in Longmeadow as well as Providence and Westerly, R.I.; (401) 437-4730.

Out-of-state Property Now Excluded from State Tax

By Contributor December 20, 2024

Wealth Management

Good News for Massachusetts Estates

By Hyman Darling, Esq.

In the fall of 2023, the Commonwealth increased the exemption for estate taxes for Massachusetts residents from the $1 million exemption (with the cliff) to $2 million with no cliff. The prior tax law was that each resident had an exemption of $1 million, but if the $1 million threshold was exceeded, then the exemption disappeared, and the tax was assessed on all assets back to the first dollar.

Therefore, the new Massachusetts estate-tax exemption is now a true $2 million exemption, such that only estates in excess of that amount are taxed. The law is retroactive and applies to all decedents dying on Jan. 1, 2023, and thereafter. The rates now start at 7% and increase at a graduated rate up to 16%.

Within the bill, however, Massachusetts attempted to tax real estate outside of Massachusetts owned by Massachusetts residents. Even the Department of Revenue’s instructions for completing the M-706 included language requiring that the non-state property of Massachusetts residents was to be included in the calculation of the estate tax. Under the Dassori v. Commissioner of Revenue case, however, the court ruled that the attempt by Massachusetts to estate-tax Massachusetts residents on their non-Massachusetts real estate was unconstitutional.

Hyman Darling

“The new Massachusetts estate-tax exemption is now a true $2 million exemption, such that only estates in excess of that amount are taxed.”

Good news — MGL Chapter 65C Sec. 2A was amended on Sept. 19 and now excludes the value of out-of-state property for estate-taxation purposes of Massachusetts residents. This law is also retroactive for deaths on or after Jan. 1, 2023. Non-Massachusetts residents who own property in Massachusetts will still need to file an estate-tax return where assets are in excess of the exemption, but these estates may have their Massachusetts estate tax reduced to a nominal amount as they are also entitled to the credit of $99,600 (the previous estate tax on $2 million).

For Massachusetts residents, we no longer need to list the out-of-state real estate with the value of -0- on the estate-tax return, claiming that the inclusion of the asset is unconstitutional. For example, if a Massachusetts resident has real estate and other assets in Massachusetts with a total value of $1.9 million and out-of-state real estate worth $1 million, a Massachusetts estate-tax return will no longer be necessary, and the fiduciary may file an affidavit of no tax due, in lieu of filing the estate-tax return to obtain a release of lien.

Massachusetts law provides that, when a person dies owning real estate within the Commonwealth, a lien automatically attaches to the real estate. This is how the state ensures that taxes will be paid. If the Massachusetts estate is less than $2 million, an affidavit may be filed in the Registry of Deeds, which releases the lien. If the estate is greater than $2 million, then a tax return is required to be filed to obtain a release of lien, even if no tax is due.

Of course, if the estate is large enough, a federal estate tax may have to be filed, as well as a state return for any state that still has estate taxes if the decedent owned property there. A good planning tool would now be to purchase property out of Massachusetts, which lowers the estate for tax purposes in the state. The CPA, investment advisor, and lawyer should be involved as a team in the planning process to determine the options available to lower estate taxes if possible.

Hyman Darling, a shareholder at Bacon Wilson and chair of the firm’s Estate Planning and Elder Law department, is recognized as the area’s pre-eminent estate planner, with extensive experience with all aspects of estate planning, trusts, tax law, probate and estates, guardianships, special-needs trusts and planning, elder law, and long-term care planning, and additional specialties including adoption and real estate; (413) 781-0560.

What to Know About Cryptocurrency and Investment Scams

By Contributor December 20, 2024

Wealth Management

Suspicion Warranted

By the Federal Trade Commission

People use cryptocurrency for many reasons — quick payments, to avoid transaction fees that traditional banks charge, or because it offers some anonymity. Others hold cryptocurrency as an investment, hoping the value goes up.

However, scammers are always finding new ways to steal your money using cryptocurrency. To steer clear of a crypto con, here are some things to know.

Only scammers demand payment in cryptocurrency. No legitimate business is going to demand you send cryptocurrency in advance — not to buy something, and not to protect your money. That’s always a scam.

Only scammers will guarantee profits or big returns. Don’t trust people who promise you can quickly and easily make money in the crypto markets.

Never mix online dating and investment advice. If you meet someone on a dating site or app, and they want to show you how to invest in crypto, or ask you to send them crypto, that’s a scam.

Scammers are using some tried and true scam tactics — only now, they’re demanding payment in cryptocurrency. Investment scams are one of the top ways scammers trick you into buying cryptocurrency and sending it on to scammers. But scammers are also impersonating businesses, government agencies, and love interests, among other tactics.

Investment Scams

Investment scams often promise you can make lots of money with zero risk, and often start on social media or online dating apps or sites. These scams can, of course, start with an unexpected text, email, or call, too. And, with investment scams, crypto is central in two ways: it can be both the investment and the payment.

Here are some common investment scams and how to spot them.

• A so-called ‘investment manager’ contacts you out of the blue. They promise to grow your money — but only if you buy cryptocurrency and transfer it into their online account. The investment website they steer you to looks real, but it’s really fake, and so are their promises. If you log in to your ‘investment account,’ you won’t be able to withdraw your money at all, or only if you pay high fees.

• A scammer pretends to be a celebrity who can multiply any cryptocurrency you send them. But celebrities aren’t contacting you through social media. It’s a scammer. And if you click on an unexpected link they send or send cryptocurrency to a so-called celebrity’s QR code, that money will go straight to a scammer, and it will be gone.

• An online ‘love interest’ wants you to send money or cryptocurrency to help you invest. That’s a scam. As soon as someone you meet on a dating site or app asks you for money, or offers you investment advice, that’s almost certainly a scammer. The advice and offers to help you invest in cryptocurrency are nothing but scams. If you send them crypto, or money of any kind, it’ll be gone, and you typically won’t get it back.

Scammers guarantee that you’ll make money or promise big payouts with guaranteed returns. Nobody can make those guarantees, much less in a short time. And there’s nothing low-risk about cryptocurrency investments. So, if a company or person promises you’ll make a profit, that’s a scam, even if there’s a celebrity endorsement or testimonials from happy investors. Those are easily faked.

Scammers promise free money. They’ll promise free cash or cryptocurrency, but free money promises are always fake. Scammers also make big claims without details or explanations. No matter what the investment, find out how it works and ask questions about where your money is going. Honest investment managers or advisors want to share that information and will back it up with details.

Before you invest in crypto, search online for the name of the company or person and the cryptocurrency name, plus words like ‘review,’ ‘scam,’ and ‘complaint.’ See what others are saying.

Business, Government, and Job Impersonators

In a business, government, or job impersonator scam, the scammer pretends to be someone you trust to convince you to send them money by buying and sending cryptocurrency.

Scammers impersonate well-known companies. They might say they’re from Amazon, Microsoft, FedEx, your bank, or many others. They’ll text, call, email, or send messages on social media — or maybe put a pop-up alert on your computer. They might say there’s fraud on your account, or your money is at risk — and to fix it, you need to buy crypto and send it to them. But that’s a scam. If you click the link in any message, answer the call, or call back the number on the pop-up, you’ll be connected to a scammer.

Scammers impersonate new or established businesses offering fraudulent crypto coins or tokens. They’ll say the company is entering the crypto world by issuing their own coin or token. They might create social-media ads, news articles, or a slick website to back it all up and trick people into buying. But these crypto coins and tokens are a scam that ends up stealing money from the people who buy them. Research online to find out whether a company has issued a coin or token. It will be widely reported in established media if it is true.

Scammers impersonate government agencies, law enforcement, or utility companies. They might say there’s a legal problem, that you owe money, or your accounts or benefits are frozen as part of an investigation. They’ll tell you to solve the problem or protect your money by buying cryptocurrency. They might say to send it to a wallet address they give you — for ‘safe keeping.’

Some scammers even stay on the phone with you as they direct you to a cryptocurrency ATM and give step-by-step instruction on how to insert money and convert it to cryptocurrency. They’ll direct you to send the crypto by scanning a QR code they give you, which directs the payment right into their digital wallet — and then it’s gone.

Scammers list fake jobs on job sites. They might even send unsolicited job offers related to crypto like jobs helping recruit investors, selling or mining cryptocurrency, or helping convert cash to crypto. But these so-called ‘jobs’ start only if you pay a fee in cryptocurrency, which is always a scam, every time.

As your first task in your ‘job,’ these scammers send you a check to deposit into your bank account. (That check will turn out to be fake.) They’ll tell you to withdraw some of that money, buy cryptocurrency for a made-up ‘client,’ and send it to a crypto account they give you. But if you do, the money will be gone, and you’ll be on the hook to repay that money to your bank.

To avoid business, government, and job impersonators, know that:

• No legitimate business or government will ever email, text, or message you on social media to ask for money, and they will never demand that you buy or pay with cryptocurrency.

• Never click on a link from an unexpected text, email, or social-media message, even if it seems to come from a company you know.

• Don’t pay anyone who contacts you unexpectedly, demanding payment with cryptocurrency.

• Never pay a fee to get a job. If someone asks you to pay up front for a job or says to buy cryptocurrency as part of your job, it’s a scam.

AIC Announces Detailed Strategy to Guide Next Several Years

By Joseph Bednar December 19, 2024

Education Special Coverage

It Starts with a Plan

AIC interim President Nicolle Cestero

Amid a shifting landscape for higher education, Nicolle Cestero says, colleges that are unwilling to change will be left behind.

That’s the idea behind a new, expansive organizational business plan at American International College, announced last month, that will guide the college over the next several years, said Cestero, AIC’s interim president.

Dubbed Pathway to Progress, the document presents an array of changes to AIC’s operational model, including revising the academic portfolio, expanding degree options, launching new enrollment strategies, and streamlining athletic programming, including cutting programs and moving the men’s hockey team from Division I to Division II in the NCAA.

“There have been many changes in higher education over the course of the past 20 years, and even over the course of the past three to five years. And if institutions aren’t changing and being nimble, then they are finding themselves merging or closing,” Cestero told BusinessWest in a wide-ranging interview regarding the plan.

“This institution, in the opinion of myself and others — senior management, faculty, staff, board of trustees — believe that we are really important to the students that we serve and to this community, and we want to make sure that AIC is here for the long term,” she added. “So we had to look at ourselves and say, ‘what we’re doing right now isn’t sustainable. So what do we need to do in order to make sure that AIC is here three, five, 10 years from now?’ That’s where Pathway to Progress comes in.”

“There have been many changes in higher education over the course of the past 20 years, and even over the course of the past three to five years. And if institutions aren’t changing and being nimble, then they are finding themselves merging or closing.”

Among the shifts in the higher-education landscape, according to the plan’s designers, are disruptions caused by the launch of a new federal financial-aid model, changes in demographics across the Northeast, and the nationwide conversation around the value of a college degree.

“We can’t continue to do the same things that we’ve always done and expect the same results,” Cestero added. “So we needed to say, ‘what are we good at? What’s making us money? What’s not?’ — and then make the tough decisions to say, ‘we’re going to cut here, and we’re going to grow here in order to maintain the institution.’”

To get to those decisions, AIC contracted with a consulting company for a market analysis, financial analysis, and program analysis for athletics and academics. Then Cestero and Michael Dodge, executive vice president for Academic Affairs, put together a steering committee, including representatives from various constituencies.

After months of work, “it got to the point where it was pretty clear the direction the institution should go, and then Michael and I made those final decisions, obviously with the support of the board of trustees — and the board had responsibility for making a few of those decisions, too,” she added. “Then we rolled it out.”

Michael Dodge says AIC leadership engaged with faculty in determining where to build on areas of strength.

For this issue’s focus on education, we break down the three main pillars of AIC’s new organizational plan and how its leaders feel the college will benefit from each.

Academic Changes

First of all, AIC, is changing its degree offerings, embarking on a multi-year plan to launch new programs based on industry demand and market research, while discontinuing some undergraduate and graduate programs as well. Faculty positions will not be affected.

Following the previously announced launch of seven new online degree completion programs, the college plans to expand the number of program offerings beginning in the fall of 2025.

“I think, being a small institution, we can maybe run faster than some bigger schools or state institutions might be able to.”

“We looked at what makes sense for us to expand on, as opposed to just adding a program. What are we good at?” Cestero said. “But at the same time, we’re sunsetting programs. We’re saying, ‘OK, if we’re going to do all of this, we don’t have the resources to do all of this as well. So, unfortunately, this is going to have to go away. Those are hard decisions to make … but you have to recognize that those things need to happen in order for these other things to grow.”

For students who wish to earn an undergraduate degree more quickly, AIC will also begin offering three-year, 120-credit options for a variety of undergraduate programs, which make use of less expensive summer sessions, to provide time and financial savings to students (see related story on page 29). It will also launch a comprehensive re-enrollment campaign to engage and recruit former students to return to AIC and complete their degrees.

Thinking about how to refocus the academic program didn’t start only with Pathway to Progress, Dodge told BusinessWest.

“We’ve spent the last three years figuring out where are those areas where we can be really good, where we have some skills,” he said. “In the last couple of years, we’ve built a fully online master’s in criminal justice program. We’re getting into the degree-completion space, where students who’ve earned an associate degree at one of the amazing community colleges in the Commonwealth can come to AIC and have a seamless transition and convert that right over into their bachelor’s degree.

“We’ve also really tried to engage the faculty and build in the things that they are good at and that we can lean into,” Dodge added, as well as spaces AIC had not previously competed in, like computer science and data analytics, where market demand for talent is high — while also continuing to strengthen core areas where the college already excels.

Pathway to Progress includes launching a re-enrollment campaign to engage and recruit former students to return to AIC and complete their degrees.

“We’re really good at the health sciences, education, criminal justice. We have a number of our students in our business programs, so we always want to continue to improve those. But then, we also want to think about what else is out there, what’s the next thing. And I think, being a small institution, we can maybe run faster than some bigger schools or state institutions might be able to.”

Cestero said everyone impacted by decisions on academic programs was informed personally before the plan was announced, and then a town-hall event was held on campus for all parties — students, faculty, employees, vendors, and partners — to discuss them further.

“Any student that is in an academic program that is going away, we are teaching out those programs,” she explained. “All we’re doing is not bringing new students in, and they will have the same faculty. The faculty aren’t going away, either.”

Impacts on Athletics and Faculty

The big news in AIC athletics is the return of men’s ice hockey to Division II after the 2024-25 season, following 27 years in Division I. In recent years, the team has recorded significant success, earning national rankings from 2018 to 2021 and winning the Atlantic Hockey America conference regular-season title in 2019.

According to a press release on the Plan for Progress, the decision was made to position the program alongside the majority of AIC’s varsity programs in Division II, and that “this transition will provide a more equitable distribution of resources among all athletic programs and will allow ice hockey’s legacy to continue within the AIC Athletics portfolio.” All scholarships for affected athletes will be honored.

“When put it in the perspective of ‘what does this institution need to do to stabilize itself?’ I think it becomes a simpler decision,” Cestero said. “If this is siphoning off money that is leading to the institution not being stable financially and you want the institution here, it makes the decision easier than just ‘should we take it from DI to DII?’ I think the harder part is that the students have found a place here, and they are happy here, and knowing that you’re disrupting it, that’s the really hard part.”

“Because there were so many changes coming forward, we felt as though, if we aren’t clear about what the whole plan is up front all at once, then you’ve got a culture of fear, and that’s not good for anybody.”

It’s also tough for athletes in AIC’s women’s tennis and wrestling programs, which are being ended “to better meet industry demand and provide additional resources to other varsity sports,” the release notes. Again, all scholarships for affected athletes will be honored, though some may choose to use their remaining eligibility elsewhere.

“A freshman wrestler may want to go somewhere else because they have so much eligibility left, whereas a junior tennis player, if they were to transfer, they could lose out on transfer credits and things of that nature,” Cestero said. “Plus, you have your home here, right? You’ve got your circle of friends, you’ve got your major, you’ve got your faculty, your mentors, etc.”

Meanwhile, the Plan for Progress impacts faculty as well. To support the ongoing growth of AIC’s academic portfolio, the college will expand faculty options by introducing multi-year contracts, including a new ‘professor of practice’ role alongside the existing tenure-track pathway and adjunct/part-time faculty roles.

A professor of practice is a faculty member who typically has a non-academic background, but is successful and knowledgeable in their field, enabling them to improve students’ knowledge by providing a practical perspective, along with the theoretical perspective provided by an academic professor.

“We’re bringing these real-world experiences into the classroom, but these individuals that are going to become these teachers don’t necessarily have a doctorate, nor do they necessarily want one,” Cestero said. “But we’re allowing them a pathway to be a professor in higher education without needing to have that terminal degree. And it benefits the students at the end of the day.”

In addition, most full-time faculty will shift to a 5/5 teaching load, meaning five courses per semester instead of four, to better meet academic demands. In return, some tasks will move to staff advisors.

“We still have work to do. I mean, this is only a piece of what we need to do from a long-term perspective, but these are the things that we need to do now in order to become stable and then be able to grow.”

“Right now they teach 4/4, but then they have these other responsibilities for scholarship and community service and registering students for classes and things of that nature,” she explained. “And we said, ‘OK, they’re spread in many different ways. What if we were to take this responsibility and shift it over here? That would give them more time to focus on the actual teaching.’”

A Transparent Process

AIC has been out front with its plan, publicly detailing its various elements, including in this article. Cestero said there are three reasons for that.

“The first is, I’ve heard for years and years that people in leadership aren’t transparent, and specifically at AIC, that’s been said a lot. Secondly, you have to get everybody on board when you’re trying to do something this major, and if you’re not very open and direct and clear about what that is, then you’re not going to be able to get everybody on board.

“Three, when you’re not transparent, you create a culture of fear. Because there were so many changes coming forward, we felt as though, if we aren’t clear about what the whole plan is up front all at once, then you’ve got a culture of fear, and that’s not good for anybody.”

As a small, private college, AIC has challenges that differ from public universities and private colleges with much larger endowments. Cestero noted. But in the current climate, all institutions likely need to be strategizing about how to adapt.

“We still have work to do. I mean, this is only a piece of what we need to do from a long-term perspective, but these are the things that we need to do now in order to become stable and then be able to grow.”

That said, “I think that AIC is a really special place, and I want us to be able to continue to serve these students,” she said. “I think the students that we have are so amazing, and that’s why it’s important that we’re doing all of this.”

When It Comes to Financial Fraud, Let Common Sense Prevail

By Contributor December 19, 2024

Special Coverage Wealth Management

Too Good to Be True

By Carlo Centeno

Some of the largest financial fraud schemes have taken place within the last 100 years. The truism “if it’s too good to be true, then it probably isn’t” has been pushed aside by those convinced that if they hesitate, they lose the opportunity.

Pride has a way of pushing a desire or perceived benefit into acceptance. The short version of that notion is commonly known as FOMO [fear of missing out]. White-collar criminals understand that, as investment tactics, strategies, and offerings become more complex, the easier it is to pull the wool over some eyes. For the unfortunate victims, the fear of missing out is all too real, but a greater fear comes to bear regarding their sense of self: in not wanting to appear naïve or uninformed, the ego takes over.

In the mid-1980s, Warren Buffet noted in a letter to Berkshire Hathaway shareholders about “two super-contagious diseases,” namely fear and greed. His analogy to disease — more specifically epidemics — made clear that uncertainty, time of discovery, duration, strength, along with other possible factors could compromise global economies and markets. Ultimately, this led to his aphorism, “we should be more fearful when others are greedy, and to be greedy when others are more fearful.”

According to psychologists, humans are motivated more to avoid pain than to seek pleasure. Put another way, studies have shown that, when it comes to fraud, fear is a stronger motivator than greed.

“According to psychologists, humans are motivated more to avoid pain than to seek pleasure. Put another way, studies have shown that, when it comes to fraud, fear is a stronger motivator than greed.”

Corporations and their minions take advantage of investors’ interests by feeding ‘data points,’ the kind of information most would like to hear. In a marketing sense, the perception is the reality; it’s not what investors are hearing, but what they believe they’re getting.

Investment Fraud

Investment reasoning is contrarian for most of us. We think that, when some assets are experiencing losses, we need to sell to reduce such losses, and then, when the market goes up, we should buy more of said assets. It’s been long documented that making investment decisions guided by emotions does not fare well. However well-intentioned the feeling might be, it’s usually not good in the long run.

Jim Ratley, president and CEO of the Assoc. of Certified Fraud Examiners (ACFE), notes that “there’s no such thing as small fraud, but fraud that has yet to reach their full potential.” The ACFE has reported that approximately 87% of first-time offenders have never been charged or convicted. In such cases, the idea of getting caught is real, but a sense of invincibility reinforces continuation of the tactics that keep money in the wrong hands.

Carlo Centeno

“Investment reasoning is contrarian for most of us. We think that, when some assets are experiencing losses, we need to sell to reduce such losses, and then, when the market goes up, we should buy more of said assets. It’s been long documented that making investment decisions guided by emotions does not fare well.”

According to the Federal Trade Commission (FTC), consumers reported a record $10 billion in fraud losses in 2023. The amount represents an increase of 14% over losses in 2022. The top category: investment scams. The most used method of acquiring fraudulent cash was through bank transfers.

To be clear, this writer is not aware of any cohort consumer behavioral research which quantitatively ascertains why the losses are so high, though, based on the FTC findings, the means in acquiring fraud dollars can be attributed to a combination of factors: the increased use of online selling and buying, the growing sophistication of iterative websites that mimic actual sites, proficiency in acquiring personal information, in particular from social media, and trends in lifestyle resources appearing on tablet and mobile devices, in particular with health-related products and services, dating services, and financial management.

And the losses continue to grow. Here are some fraud examples that took place not that long ago.

• Lehman Brothers: When you hide $50 billion in loans and reassign them as assets, that’s bound to backfire. It did. The bank’s internal department discovered $3 billion in losses to investors; that money was bought by Cayman Island banks to be purchased later by Lehman Brothers. The majority of the first-timers involved with the scam had no prior criminal record. Due to lack of evidence, the SEC did not prosecute.

• Enron: The Houston-based energy commodities corporation kept enormous amount of debt off the balance sheet. Clients and employees of the firm lost their retirement accounts, and shareholders lost a staggering $74 billion. Auditing firm Arthur Anderson was involved, CEO Jeff Skilling was sentenced to 24 years in jail, and CFO Andrew Fastow pleaded guilty and served jail time. Fastow forfeited $24 million and pleaded guilty to two counts of conspiracy. In a news interview, he said, “there are people who look at the rules and find ways to structure around them. The more complex the rules, the more opportunity. The question I should have asked is not what is the rule, but what the principle is.”

• Bernie Madoff: Running the largest Ponzi scheme ever, Madoff’s investment firm took $64.8 billion from investors. Any “returns” paid out came from money from other investors or even their own money. After he confessed to his sons about his fraud, the sons reported him to the SEC the following day. For all the technology available to the investment industry, the fraudulent information was stored in a 1980s-era IBM AS/400 server.

• Sam Bankman-Fried’s FTX Scam: One of the more recent scams involved cryptocurrency. The investment scam was Sam Bankman-Fried, with friends being his associates. Cryptocurrency, to this day, still poses a high level of risk (see related story on page XX). The securities platform called FTX was claimed to deliver higher rates of return in 2019. By 2022, it all came undone. Bankman-Fried was sentenced to 25 years in federal prison for the FTX fraud. At its zenith, FTX valuation reached $32 billion.

Bottom Line

Financial fraud is wrought with complexities in large part because of the size and scale of investments offered today. Adding to this depth and volume, the ongoing evolution of computers, satellite communications, storage, encryption, and verification (just to name a few factors) continues to develop ways to not only identify bad actors, but the means to identify transactions and activities that point to potential financial crimes.

Carlo Centeno is vice president and Marketing director at St. Germain Investment Management. Much of his career has been in corporate communications, primarily on the agency side, where he worked on a variety of projects with national clients. He has received both a Clio Award and a Golden Pyramid Award for strategic business-to-business communication programs. He received his bachelor’s degree in English literature from Boston University and an MBA from the Isenberg School of Management at UMass Amherst.

Pittsfield’s Clock Tower Complex Becomes Mixed-use Masterpiece

By George O'Brien December 19, 2024

Commercial Real Estate Special Coverage

Hour Town

The Clock Tower complex in Pittsfield

Sally Tiska Rice says she grew up in Pittsfield. As a child, and up through her high-school years until the plant started slowing down, she recalls going with her mother to visit aunts and other relatives working at the Sheaffer-Eaton paper mill in town. Later, as she entered the world of work herself, she became a hand-boarding artist working at Crane & Co. in Dalton (noted for making currency), painting stationery.

These chapters in her life help explain why she feels right at home as she continues writing the current chapter, as one of the so-called Clock Tower Artists, a diverse group of artists now renting lofts in part of the Sheafer-Eaton complex, renamed the Clock Tower Business Center because clocks were once made on that site.

“Immediately when I walked into the building, it reminded me of the place I worked at for my career,” said Tiska Rice, who specializes in portraits of homes, people, and pets. “The buildings were very similar — the big windows; the historic, brick New England mill … the whole structure just brought back a lot of memories.”

Beyond the memories, it offered her a north-facing window, what’s known as ‘north light’ — that’s important for artists because they don’t have to cope with the effects of the sun moving through the studio at different angles during the day — and the ability to be part of a community of artists.

“Immediately when I walked into the building, it reminded me of the place I worked at for my career.”

These artists, roughly 20 of them, are just some of the many tenants, large and small — including the Berkshire Eagle, which once owned the whole complex — that now have a South Church Street mailing address. Together, they help make the transformation of the Shaffer-Eaton complex a unique success story, one authored by North Adams-based Scarafoni Associates/CT Management Group, which acquired part of the complex in 2006 and the remainder in 2016. It has reshaped the property into a thriving mixed-use facility featuring residential units, a wide range of commercial tenants, those aforementioned artists, the Eagle and its massive printing presses, and more.

Dave Carver, a principal with CT Management Group/Scarafoni Associates

This is a story of imagination and especially perseverance, said Dave Carver, a partner with Scarafoni Associates/CT Management Group. He noted that the group has had to overcome the departure of major tenant Wayfair (much more on that later), the loss of Berkshire Medical Center offices, and the downsizing of the Eagle, while also enduring the pandemic and its impact on the office market and other stern challenges to lease out almost all the space in the complex.

“We got creative, we worked hard, we knocked on a lot of doors,” said Carver as he talked to BusinessWest in one of the conference rooms once used by Wayfair, now shared by several smaller tenants on one floor in a modified co-work arrangement that is just one of the successful components of this endeavor.

For this issue and its focus on commercial real estate, BusinessWest talked at length with Carver, Tiska Rice, and others about the transformation of the former Sheaffer-Eaton property into one of the more successful mill-conversion undertakings in this region, and how the evolution of this historic complex continues.

Success Stories

Tracing the history of the property, Carver said it dates back to the 1880s, when the Connecticut-based Terry Clock Co. was purchased by a group of investors from Pittsfield who brought the operation to that city and built a three-story building on Church Street.

Sally Tiska Rice, one of the Clock Tower Artists.

The company’s tenure there was short-lived — it failed in the early 1890s — and the property was eventually sold to Arthur Eaton, who moved a paper mill there, later to be known as the Sheaffer-Eaton mill after a merger with Sheaffer Pen. In the late 1980s, the property was sold to the owners of the Berkshire Eagle, which were looking for a new home for the then-thriving daily paper.

The Eagle’s owners undertook a massive renovation of the main building on the property and leased out large sections of it, said Carver, noting that the recession of the mid-’90s hit the Eagle hard, and its operation, and the mill complex it called home, were sold to Media News Group, which eventually put portions of the property on the market.

“Because they had been struggling for so long, there was a lot to do. And we still have a lot to do; it never ends.”

This included roughly 100,000 square feet in some of the smaller buildings, including the original Terry Clock building, which were acquired by Scarafoni Associates/CT Management Group in 2006, and soon transformed into Clock Tower Condominiums.

In 2016, as Media News Group’s struggles escalated and it looked to jettison the remaining 200,000 square feet in the complex, Scarafoni/CT Management stepped in and acquired it, commencing a comprehensive initiative to modernize, retenant, and reimagine the property, which was maybe 50% occupied at the time, said Carver, adding that, over the past eight years, the property has certainly evolved and developed a unique look and feel.

The Clock Tower complex, where clocks and then paper were made, brings the past, present, and future together in an historic setting.

“Because they had been struggling for so long, there was a lot to do,” he told BusinessWest. “And we still have a lot to do; it never ends.”

By that, he meant both upkeep buildings more than a century old, but also the many challenges confronting all those owning, managing, and leasing out office space today.

As an example of all of the above, he referenced what could be called the ‘Wayfair chapter’ of this story.

It started when the owners of the Boston-based home-furnishings company, who are from Pittsfield, commenced a search in 2019 for space in which to create a call center in the western part of the state.

That search focused on Pittsfield, said Carver, noting that several sites were considered before the company eventually zeroed in on the South Church Street property and 35,000 square feet in one of the buildings in the complex.

“We rolled up our sleeves and went to work — we immediately started knocking on doors and networking.”

Negotiations continued for roughly a year, he noted, adding that the company eventually came to terms that included a five-year lease, shorter than is common is such deals, but a needed concession given the size of the company’s investment and “City Hall encouraging us to make the deal.” A rapid buildout followed, the company started moving in that October, and it was ramping up to 200 jobs when the pandemic hit.

“And then, everything shut down, and that was for at least a year, and it could have been two,” Carver said, adding that, when the company finally decided to start bringing employees back, it struggled mightily to do so.

“A lot of employees had drifted away to other jobs, they were experimenting with a work-at-home model, and ultimately that went out, so they decided to close the facility,” he explained, adding that Wayfair opted out of its lease roughly a year ago, leaving a 35,000-square-foot hole at a challenging time for all commercial-property owners.

Art of the Deal

What happened next, Carter said, was that “we rolled up our sleeves and went to work — we immediately started knocking on doors and networking.”

And this hard work has paid off. Elder Services of Berkshire County, marking its 50th anniversary, moved into 19,000 square feet over the first two floors of the building previously occupied by Wayfair, while the third floor, with roughly 15,000 square feet, features smaller tenants with a shared common area; only a few spaces remain to be leased.

Wayfair’s departure has been one of the many challenges overcome by the Clock Tower complex’s owners and managers.

Tenants include Janney Montgomery Scott, a regional financial-services firm that desired a presence in Western Mass.; Teton Management, a real-estate management company; Keiter Builders, a general contractor based in Northampton that also sought a Berkshires location; Insights in Automation; Annie Schwartz Nutrition; and MassHire Berkshire Workforce. Together, they share what amounts to co-working space.

“We decided to leave the kitchen area Wayfair created and the open area,” Carver said. “So even though everyone has their own, independent space, it’s a modified co-working area.”

Its creation is one of the success stories at this historic property. The Clock Tower Artists, located on the third floor of the business center, comprise another.

The collective, or community, now includes more than 20 artists that work in various disciplines and often participate in open-studio events and community arts initiatives.

Tenants include Shanny Porras, a visual sound artist who translates music into abstract paintings; Caroline Kennedy, an abstract artist; Deborah Carter, a multi-media artist who creates upcycled, wearable art; Stefanie Webber, an action-based artist who specializes in dance, movement, and performance; Bruce Laird, a contemporary artist who creates pieces using acrylic, mixed media, and collage; and Linda Petrocine, who specializes in the ancient art of painting using hot wax on wooden panels.

Collectively, these artists bring vibrancy, energy, and people to the Clock Tower complex, said Carver, adding that there is room for more, and he expects the group to grow in the years to come.

Tiska Rice said she was among the first artists to visit and then sign on at the mill. She and others were impressed with everything from the parking to the open common area on the artists’ floor, which doubles as an art gallery; from the large windows, views, and north light to the elevator (Tiska Rice is disabled).

Tiska Rice was also impressed with what Carver and his team were doing with the mill, blending history with imaginative ideas, such as the artists’ floor. And she’s equally impressed with the community of artists that has emerged.

“It’s great to be with all these talented artists — it’s very encouraging,” she told BusinessWest. “Some people will refer to having the notorious artist’s block where you’ve finished your last project and you don’t know where to go from there. There’s so much encouragement here; everyone works with their own style, but it seems like everyone has a way to complement each other and bring out the best in each other.

“An artist’s world has also been described as a very lonely place,” she went on. “We’re a whole group of individuals that come together as a community.”

This community of artists is just one of many reasons why the Clock Tower complex has become a timeless mixed-use masterpiece, one that brings the past, present, and even the future together in stunning fashion.

Challenges Persist for the Business Community as 2025 Begins

By Joseph Bednar December 19, 2024

Features Special Coverage

Reflecting on the Year That Was

George Timmons calls education “the great equalizer,” and MassEducate a very effective way to achieve that.

In many ways, 2024 didn’t provide much clarity regarding economic questions we posed a year ago in our annual year in review. Inflation and interest rates remain high (if not historically so), while remote work, a housing shortage, and some sector-specific challenges continue to make the news.

But there was some good news, too, and some encouraging progress on fronts ranging from rail development to educational access to some intriguing high-tech developments. As 2025 dawns, BusinessWest presents its year in review, noting some of the stories and issues that shaped our lives, and will, in many cases, continue to do so.

The High Cost of Everything…

The Federal Reserve has been on a mission over the past two years — to tame inflation without putting the country into recession. By and large, the latter part has been accomplished, but inflation remains a thorny challenge.

Consumer prices were up 2.7% for the 12 months that ended in November, but stubborn inflation in housing (up 0.3% for the month in November) and food (up 0.4%) continue to hit people where they notice it most, while the price of cars and energy also rose in November. Economists are also unsure how President-elect Trump’s promised tariffs will impact inflation.

Meanwhile, some economists expect some relief in interest rates, and a chance that the Fed may go as low as 4% in 2025.

Still, Bob Nakosteen, semi-retired professor of Economics at the Isenberg School of Management at UMass Amherst, recently told BusinessWest that “the economic numbers don’t look bad at all. The labor market has weakened a little bit, but it’s not weak; it’s just not as strong as it had been. And most of the other indicators are strong, including GNP. It’s about where it had been, and in some ways, it’s above trendline.

“This is not breaking news,” he added, “but the economy has held up really well in spite of a lot of pressure, especially from a rapidly rising interest-rate environment. The consumer has really rolled with the punches.”

…Except Community College

MassReconnect, a program the state launched in 2023 to fully fund tuition, books, and supplies at community colleges for students over age 25, has, to hear college presidents tell it, been a game changer, significantly boosting enrollment and getting more students into a pipeline that will hopefully bring more new blood to the region’s workforce.

“The economic numbers don’t look bad at all. The labor market has weakened a little bit, but it’s not weak; it’s just not as strong as it had been. And most of the other indicators are strong, including GNP.”

This past summer, state lawmakers went further by implementing MassEducate, a $117.5 million annual investment that covers tuition and fees for all students, plus books and supplies for some. The program aims to support both economic opportunity for students and workforce development across a Massachusetts economy that has struggled, sector by sector, to recruit and retain talent in recent years.

Importantly, the program is a ‘last dollar’ investment, meaning students will still access federal funds, like Pell Grants, as well as state aid and scholarships, and MassEducate will pay the costs that remain, so it’s not funding anywhere near the full cost of a student’s education.

“I’m so passionate about this work of education,” Holyoke Community College President George Timmons said. “It is the great equalizer. Once you have an education and all the rights and privileges of that degree, you can earn a livable, sustainable wage, you can take care of yourself and your family, and you can literally change the trajectory of a family.”

Productivity in Pajamas?

A report last year by McKinsey Global Institute suggested that remote work risks wiping $800 billion from the value of office buildings in major cities worldwide by 2030 as the post-pandemic trend pushes up office vacancy rates and drives down rents.

Large employers are fighting back. In September, Amazon President and CEO Andy Jassy informed tens of thousands of workers that they will be back in the office five days a week come January. That was good news for commercial real-estate owners and developers, who hope other employers follow suit.

But while remote-work critics claim improved collaboration and communication, as well as the learning opportunities that come when everyone is together, outweigh any benefits that might come from remote work and hybrid schedules, the fact is that the hybrid movement, at least, seems entrenched for now — and also puts employers who nix all remote work at a competitive disadvantage when recruiting in an already-tough talent market.

But Evan Plotkin, president of Springfield-based NAI Plotkin, told BusinessWest that he sees a partially offsetting force in east-west rail, which has the potential to drive development in areas near the rail stops, and even prompt some businesses to realize they don’t have to be in Boston anymore. “It could be transformative; in Springfield, for example, it could drive development in the Union Station area and make that area much more attractive.”

Working on the Railroad

So, is east-west rail finally becoming a reality, connecting Springfield and Boston? Well, the money being put behind what’s known as the Compass Rail project is certainly real.

At the end of October, U.S. Rep. Richard Neal announced the latest $36.8 Consolidated Rail Infrastructure and Safety Improvements (CRISI) grant by the Federal Railroad Administration, following a $108 million CRISI grant — the third-largest in the nation — late last year. Since Union Station reopened in 2017, more than $200 million has been allocated toward east-west rail, both from federal grants and MassDOT funding.

The latest funding will support the Springfield track-reconfiguration project, which is designed to increase capacity to accommodate both freight and increased passenger rail service. The project will include building new crossovers and layover tracks, upgrading platforms around Springfield Union Station, and modernizing track and signal systems.

“With the substantial progress that has been made with west-east rail, the Commonwealth is well-positioned to pursue additional funding for years to come.”

Since the station’s reopening, Neal said, “the investments that have been made in passenger rail have been extraordinary,” adding that, “with the substantial progress that has been made with west-east rail, the Commonwealth is well-positioned to pursue additional funding for years to come.”

Meanwhile, MassDOT is conducting a study focused on the restart of passenger rail along the Route 2 corridor, a project whose public advocates include dozens of municipalities, regional planning agencies, and state legislators.

SOC It to Springfield

Speaking of Union Station, in September, it officially became home to the Richard E. Neal Cybersecurity Center of Excellence, one component of a multi-million-dollar series of investments, announced in 2022, to bolster cybersecurity resilience — and the related workforce — across the state.

These awards included a $1,086,476 grant to support the launch of CyberTrust Massachusetts, a nonprofit that works with business and academia statewide to grow the cybersecurity talent pipeline while promoting local security operations.

U.S. Rep. Richard Neal joins a host of local dignitaries in September to cut the ribbon on his namesake cybersecurity center.

The state also awarded $1,462,995 award to Springfield Technical Community College (STCC) and $1,200,000 to Bridgewater State University to establish a security operations center (SOC) and cyber range in each city. The Neal Center at Union Station, managed by STCC, also benefited from $500,000 in ARPA funding from the city of Springfield.

Springfield’s 6,000-square-foot center — a collaboration between STCC, the Springfield Redevelopment Authority, and CyberTrust Massachusetts — aims to be a hub for advancing cybersecurity awareness, education, and innovation while battling global security threats. Its cyber range is a simulated, hands-on training environment, and its SOC is envisioned as a support service for Massachusetts municipalities, as well as regional businesses, to detect cybersecurity events in real time and respond quickly.

Tackling the Housing Crisis

One of the dominant stories of 2024 was a continuing housing shortage that touches virtually every community.

With that in mind, over the summer, Gov. Maura Healey signed into law the Affordable Homes Act, which aims to support the production, preservation, and rehabilitation of more than 65,000 homes statewide over the next five years. It is the largest housing bond bill ever filed in Massachusetts, at more than triple the spending authorizations of the last housing bill passed in 2018.

The legislation authorizes $5.16 billion in spending over the next five years along with 49 policy initiatives to counter rising housing costs caused by high demand and limited supply. Key spending authorizations and policy changes include allowing accessory dwelling units, an unprecedented investment in modernizing the state’s public housing system, boosts to programs that support first-time homebuyers and homeownership, incentives to build more housing for low- to moderate-income residents, support for the conversion of vacant commercial space to housing, and support for sustainable and green housing initiatives.

“The Affordable Homes Act creates homes for every kind of household, at every stage of life, and unlocks the potential in our neighborhoods,” Healey said. “We are taking an unprecedented step forward in building a stronger Massachusetts where everyone can afford to live.”

High Risks for Cannabis Operators

According to a new report in the Boston Business Journal, cannabis businesses are surrendering licenses at an alarming rate in Massachusetts. Since September 2023, four retail licenses have been either surrendered, not renewed, or revoked, and so have 26 non-retail licenses, which include growers and manufacturers. In the five years before that, just five retail and 11 non-retail licenses were surrendered.

The green rush is clearly over; more than 700 cannabis businesses have opened or received licensing approval, and prices have fallen sharply amid stiffer competition — which makes running a business much more challenging.

Springfield Mayor Sarno recently cut the ribbon opening EMBR Springfield, a cannabis dispensary at 461 Boston Road.

So does a still-unresolved disconnect between state and federal law that has thrown a number of wrenches into cannabis businesses, which, among other hurdles, grapple with an onerous tax burden since they can’t write off many of the costs other businesses can. Federal laws also impact elements from transportation to banking. And while federal rescheduling of cannabis has bipartisan appeal, it’s uncertain whether the next Congress will have the appetite for it.

There may be some potential good news for dispensary owners: a newly established regulatory framework for operating ‘social consumption sites’ in Massachusetts, potentially allowing public use of the drug. The Cannabis Control Commission is currently receiving public comment on the draft and will take the issue up in the new year.

Data Center Clears Tax Hurdle

Two years ago, Westmass Area Development Corp. helped Servistar Realties secure approval from the Westfield Planning Board, as well as a major tax break from the City Council, for a large, high-tech data center near Westfield-Barnes Regional Airport that could attract some of the largest tech companies in the world. Servistar even negotiated a power-purchase agreement with Westfield Gas & Electric allowing it to access below-market electric rates.

“The challenges in healthcare over the past five years have shifted, but they have not let up. And they ultimately result in financial challenges that are stressing the ways in which we collectively provide access to care in our communities.”

One hurdle remained to move the $3 billion project — which will feature 10 buildings going up over two decades — off the ground, and that was a state sales-tax exemption commonly offered to data centers in other states. Last month, that exemption became a reality as part of a larger economic-development bill on Beacon Hill, and because of it, the Westfield project could start progressing soon.

Analysis from McKinsey & Co. shows demand for data-center capacity in the U.S. more than tripling by 2030, according to the Boston Globe. Meanwhile, the sales-tax exemption could save the future Westfield park owners up to $30 million per year. Construction could start early in 2026, with the first building completed 18 months later.

Diagnosing the Problem

In a recent interview with BusinessWest, Mercy Medical Center president Dr. Robert Roose used the word ‘relentless’ to describe the current headwinds in medicine, which include everything from spiraling costs and inflation to persistently inadequate reimbursements from payers; from continuing workforce challenges to access and capacity issues — not to mention the overriding issue of caring for a population that is older and sicker than what has been seen historically.

“The challenges in healthcare over the past five years have shifted, but they have not let up,” Roose said. “And they ultimately result in financial challenges that are stressing the ways in which we collectively provide access to care in our communities.”

Baystate Health, in a remarkable show of transparency, recently went public to detail its struggles — including $300 million in operating losses over the past few years — and its response, which includes the sale of its lab, the pending sale of Health New England, and, most recently, the elimination of 130 administrative positions.

Those steps are part of what Baystate’s new president and CEO, Peter Banko, called a “transformation plan, one that calls for making hard decisions, relieving cost pressures, some cuts, but also investments in the years to come and greater financial stability.”

Expect more hard decisions across the healthcare spectrum in the year to come.

Music Lives Again at the Iron Horse

Finally, a positive note — many notes, in fact.

When music venues began to reopen in the wake of the pandemic, the Iron Horse Music Hall in Northampton was not among them, and owner Eric Suher didn’t have immediate plans to unshutter the venerable Center Street storefront.

Chris Freeman says he wanted to “bring back the glory days” of the Iron Horse.

In stepped the Parlor Room Collective, a nonprofit that operates the nearby Parlor Room music space, which purchased the Iron Horse and set about raising $750,000 to renovate it, maintaining its intimate feel but improving facets like its famously inadequate green room and restrooms, while expanding into adjoining space for a dedicated bar and community events. The venue reopened on May 15 and has hosted a robust lineup of concerts ever since.

“We have witnessed the magic of our local music scene and its ability to fuel the engine of our economy, enhance the overall well-being of our community, and contribute to our cultural vitality,” said Chris Freeman, executive director of the Parlor Room Collective.

“I live here, and part of the reason Northampton has become a great food scene and a great downtown culture is the arts,” he also told BusinessWest. “I’ve made it my life’s mission to make sure that never goes away, and we can bring back the glory days of such a legendary venue.”

Longmeadow Emerges as Dining Destination

By George O'Brien December 6, 2024

Community Spotlight

Ralph Santaniello, right, with executive chef and co-owner (and brother-in-law) Michael Presnal at the recently opened Lola’s at the Longmeadow Shops.

Ralph Santaniello was gushing about the Longmeadow Shops as the location for a restaurant — specifically the one operated by his family, Posto, which features Italian cuisine.

“It’s just ideal,” he said, listing everything from location — it’s in Longmeadow, but just a stone’s throw from East Longmeadow, Enfield, Springfield, and other communities — to its many shops, which draw people for an extended stay that could include a meal; from the strong support for local businesses from the Longmeadow community to the growing number of restaurants in or near the shops, creating a dining destination of sorts.

“It’s becoming a little like West Hartford or Northampton years ago,” said Santaniello, noting that this combination of factors led his family to double down, if you will, and convert the former Umi’s Asian restaurant (and, before that, a Friendly’s) at the shops into Lola’s, described as a ‘coastal Mexican’ restaurant.

“Mexican is now the most popular food behind Italian food in this country,” Santaniello said. “And we’re taking a different look at Mexican food; for years, it was what Mexican-American food was; now, you’re getting more authentic Mexican food from different parts of Mexico.”

Lola’s adds this authentic Mexican eatery to a growing, diverse roster of restaurants in town that also includes Posto, Max Burger, and Delaney’s Market, all in the shops, as well as the Meeting House, featuring ‘creative New American’; Royal Spice, an Indian restaurant; and a Jersey Mike’s, all in the plaza across Williams Street from the Longmeadow Shops, and Fletcher’s barbeque restaurant on Longmeadow Street.

This steady progress toward becoming a dining destination is one of many storylines in this residential community of roughly 16,000 people.

Another is the relatively new ownership at the Longmeadow Shops. It was acquired roughly a year ago by Regency Properties, which saw a unique asset — what Jack deVilliers, managing director of the company’s Northeast region, called “the heart and soul of the community.”

“This has the DNA that we really like — it’s a community shopping center,” he said, noting that the shops, fully leased for as long as anyone can remember, is a gathering spot, not just for Longmeadow residents, but those in neighboring communities as well. “This property checks all the boxes — location, tenant mix, access, visibility, parking; it’s all there.”

On the municipal side, the town is making progress with plans to consolidate its two middle schools and construct a new facility at the site of one of them, Williams Middle School, Town Manager Lyn Simmons said. This is a $150 million project, according to the latest estimates, expected to open its doors in the fall of 2028 if all goes according to schedule.

Meanwhile, plans are moving forward for work at a major intersection, and for improvements at one of the municipal parks, projects that will now be coordinated by employees working at a new complex of town offices in the former Greenwood Park Elementary School.

“This has the DNA that we really like — it’s a community shopping center.”

That move leaves the former offices, in the Community House on Longmeadow Street, available for reuse, said Simmons, adding that the town will be commissioning a study to determine the best uses of not only the Community House, but Town Hall, located next door, and Old Town Hall, located about a half-mile down Longmeadow Street.

On the business side, all eyes are on the former First Church of Christ Scientist property on Williams Street, just east of the Longmeadow Shops. The property, unused for several years now, has been acquired by the Springfield-based Colvest Group. While no specific plans have been announced, Colvest has said the planned development, to be called Towne Shoppes of Longmeadow, will include retail (high-end shops) and one or more restaurants to complement the town’s growing mix.

Jack deVilliers says the Longmeadow Shops checks all the boxes for him, from location and tenant mix to access, visibility, and parking.

deVilliers said the development, which has been several years in the making, will in many ways be an extension of the shops, one that will complement that complex and make it even more of a magnet for diners and shoppers.

“This will only strengthen the gravitational pull of that area,” he said, adding that Regency is already working with Colvest on upgrades to access where the properties join.

Meanwhile, three years after fire destroyed the Maple Shopping Center at the corner of Maple and Shaker roads near the Enfield line, the shell of a new plaza has been constructed, said Simmons, adding that its owners have not announced any tenants to date.

She noted that both commercial projects are important developments for the town, which has very few developable parcels — meaning few opportunities for business growth.

For this latest installment of its Community Profile series, BusinessWest takes an in-depth look at Longmeadow and the many developing stories there.

Food for Thought

As he talked with BusinessWest at a table in Lola’s, Santaniello said there is a considerable amount of dining history at that site.

Indeed, for several decades, this was a flagship location for Friendly’s, the chain started by Longmeadow Shops developer S. Prestley Blake and his brother Curtis.

Later, it was Umi’s, which essentially “papered over and bricked over” the Friendly’s as it installed its own look.

“This certainly provides an opportunity for development, job creation, and new growth, which is not something we see very often, especially to the extent we can see from this parcel.”

“As we dug through, we saw different iterations of Friendly’s, including a fireplace,” said Santaniello, adding that his family essentially took the storefront down to the studs in creating Lola’s, which opened in March and is off to a solid start.

“We had a great launch, and we’ve settled in,” he noted. “Everyone rushes in to try a place at first — every night is like Saturday night when you first open up. That tapers off eventually, and then you build it back up, and that’s where we are now.”

This success has not come at the expense of Posto, or probably any of the other restaurants in town, he said, adding that the emergence of a “restaurant community,” as he put it, helps bring more people from across the region to the town.

Longmeadow at a glance

Year Incorporated: 1783
Population: 15,853
Area: 9.7 square miles
County: Hampden
Residential Tax Rate: $20.68
Commercial Tax Rate: $20.68
Median Household Income: $109,586
Median Family Income: $115,578
Type of Government: Open Town Meeting; Town Manager; Board of Selectmen
Largest Employers: Bay Path University; JGS Lifecare; Glenmeadow
* Latest information available

Meanwhile, for the family, which is selling the third restaurant it owns, the Federal in Agawam, Lola gives them two operations about 250 yards apart, which brings several advantages, as well as lots of steps for Santaniello, who will go back and forth between the two spots at least a few times each day.

He passes an eclectic mix of shops and eateries, one that is historically stable, a retail property where vacancies — and pending vacancies — are filled quickly.

Such is the case with one storefront, soon to be available as its owners retire, that will be filled by Warby Parker, the manufacturer and retailer of eyeglasses, contact lenses, and other products.

“When you look at the lifestyle centers that Warby Parker has been going into … they saw this, loved the community-center aspect of this, and jumped on it,” said deVilliers, adding that the location is slated to open in the summer of 2025.

Meanwhile, Longmeadow’s stable of restaurants should have at least one addition with the development of the neighboring church property, said Simmons, adding that the project is an important development for the town, which has little in the way of developable land or property.

“We have very few parcels that can be redeveloped,” she noted, adding that a measure was passed at the Nov. 12 town meeting to update the town’s zoning map to reflect an article passed at an earlier town meeting to change the zoning of the property from residential to business. “This certainly provides an opportunity for development, job creation, and new growth, which is not something we see very often, especially to the extent we can see from this parcel.”

Developing Stories

As for the Maple Road plaza, known to most locals as the Armata’s Plaza, for the supermarket that was located there, the shell of a new facility has been constructed, as well as a new parking lot, said Simmons, adding that the owners have not provided information on potential new tenants, which will not include Armata’s.

As these commercial developments unfold, there are several municipal projects advancing as well, starting with the new middle school.

The town’s two middle schools, Williams and Glenbrook, are aging structures, opened in the ’60s, noted Simmons, adding that the trend in communities of this size is toward one middle school, which in this case would be built on the athletic fields adjacent to Williams, with the existing structure then demolished.

“Our population at each school is about 330 students, so when we consolidate, we’ll have 660 at one site, which is the standard model used in many districts across the state,” she explained, adding that the town will gain efficiencies, and certainly reduce costs, by operating and maintaining one school instead of two.

The project has received approval from the state and is the queue for funding, said Simmons, noting that a town-meeting vote will take place in the fall of 2025.

Meanwhile, the consolidation of the middle schools would give the town an opportunity for redevelopment of the Glenbrook site, said Corrin Meise-Munns, assistant town manager and director of Planning & Community Development, adding that talks about what to do with that property are still in the very early stages.

Other municipal projects include a state Land and Water Conservation Fund grant, the first one the town has received in 30 years, to be used for renovations of the playground at Bliss Park.

The project comes with a $1.6 million price tag, with the grant covering just over half that total. The work involves replacing the playground, benches, and picnic tables and making them all ADA-accessible. The work complements significant investments in the park’s pool, including upgrades to the pump room, said Simmons, adding that the next phase of that initiative is a liner.

The town has also received its first-ever MassWorks grant, $285,000 to design improvements to the intersection of Williams Street, Redfern Drive, and Frank Smith Road, site of the church adjacent to the Longmeadow Shops that is slated for redevelopment.

“It’s a heavily trafficked area, and there have been discussions for some time about the need for pedestrian, bicycle, and vehicular improvements, and this will fund that design work,” Simmons said, adding that the town will look for additional grant monies to help pay for the recommended improvements.

Heed These 10 Essential Tips to Winterize Your Business

By Contributor December 6, 2024

Insurance

Before the Storm

By Lisa Eugin

As winter approaches, business owners need to prepare for colder temperatures, possible snow, and other seasonal challenges that can disrupt operations. Taking time to winterize your business can prevent costly repairs, ensure employee safety, and help maintain smooth operations during harsh weather. Here are some essential tips to help protect your business this winter.

Inspect and Maintain Your Heating System

A properly functioning heating system is critical for keeping employees comfortable and protecting your building from extreme cold. Schedule a professional inspection to ensure your heating system is operating efficiently. Replace filters regularly and address any issues immediately to prevent breakdowns during the coldest months.

Lisa Eugin

“Taking time to winterize your business can prevent costly repairs, ensure employee safety, and help maintain smooth operations during harsh weather.”

Check and Insulate Pipes

Frozen pipes can lead to severe damage and expensive repairs. Inspect pipes, especially those in unheated areas like basements or exterior walls, and wrap them with insulation to prevent freezing. Keep the heat on during extremely cold days, even in rarely used areas, to further reduce the risk of frozen pipes.

Clear and Salt Walkways

Icy walkways can be hazardous to both employees and customers. Make a plan to keep walkways, steps, and parking areas clear of snow and ice. Apply salt or ice melt regularly, and consider contracting a snow-removal service for larger areas. This proactive approach reduces the risk of slips, falls, and potential liability claims.

Inspect the Roof and Clear Gutters

Snow accumulation can be heavy and cause roof damage. Before winter fully sets in, inspect your roof for any weaknesses, clear gutters to prevent ice dams, and trim any overhanging branches that could fall under snow weight. Clearing snow regularly can prevent excess buildup, but be sure to use a safe method to avoid damaging your roof.

Seal Doors and Windows

Energy loss through poorly sealed doors and windows can lead to higher heating costs. Add weather stripping and caulk any gaps to keep the warmth inside and drafts outside. This not only saves on energy bills, but also maintains a comfortable environment for your employees and customers.

Have a Backup Power Plan

Winter storms often bring power outages. Ensure your business can continue to operate by investing in a backup generator. For businesses that rely on refrigeration or heating for sensitive products, a power outage plan is especially critical.

Test Emergency Alarms and Sprinklers

Fire risks increase in the winter due to higher heating demands. Make sure your fire alarms, smoke detectors, and sprinkler systems are in good working order. Test these systems regularly, and keep a clear path to fire exits for safety compliance.

Review Your Insurance Coverage

Reviewing your insurance policies is an essential step in preparing for winter. Make sure you have coverage for potential winter hazards, including property damage from snow, ice, or freezing. Having the right coverage can protect your business from unexpected losses.

Create a Communication Plan

In the event of extreme weather or closures, ensure employees and customers are well-informed. Use email, social media, or text alerts to communicate closures, delays, or other essential information. This helps manage expectations and ensures everyone’s safety.

Stock Up on Winter Supplies

Be prepared with essentials like ice melt, shovels, safety cones, and emergency supplies. Having these items on hand allows you to respond quickly to winter challenges without delays. If possible, designate a storage area to keep winter supplies organized and accessible.

Conclusion

Winterizing your business takes a little time and preparation, but can make a huge difference in protecting your property, keeping operations running smoothly, and ensuring safety.

Lisa Eugin is manager of Marketing and Administration at Encharter Insurance in Amherst.

Fast-charging EV Station Billed as Economic Boost for Deerfield

By Contributor December 6, 2024

Autos

Built for Speed

The EV charging hub, located at 59 North Main St. in South Deerfield, is now open to the public.

Rivermoor Energy, a provider of clean-energy development solutions for commercial and government customers, recently completed a new electric vehicle (EV) fast-charging hub in downtown South Deerfield, in partnership with the town of Deerfield and the Federal Highway Administration.

The opening of the charging hub was celebrated with a ribbon-cutting event on Nov. 15. The project was funded by a $2.46 million federal Charging and Infrastructure (CFI) grant, made possible by the Bipartisan Infrastructure Law (BIL). It is the first CFI grant project to be completed in the Eastern U.S. and is also compliant with the National Electric Vehicle Infrastructure Program.

The EV charging hub, located at 59 North Main St., is now open to the public. The charging stations are fully accessible to local EV drivers, by either mobile phone or credit card.

“This is a large step forward for clean energy in Massachusetts and demonstrates the Commonwealth’s leadership in the energy transition,” U.S. Rep. Jim McGovern said. “This project will also serve as a blueprint for others across the state and around the country, showing communities a way to implement innovative technologies and solutions that benefit the environment, the economy, and, most importantly, the people who live in and around these areas.”

The facility includes four new EV chargers — two dual-port Level 3 DC fast chargers and two dual-port Level 2 chargers, for a total of eight charging ports. Electric vehicles will be able to fully charge in 20 minutes or less.

The positive environmental impact goes beyond EVs. In recent years, Deerfield has experienced increased flooding from nearby waterways, including the Deerfield River, the Connecticut River, and Bloody Brook. The project incorporates environmental engineering designed to mitigate and adapt to the effects of flooding and climate change, including the installation of permeable asphalt and rain gardens; planting of native trees, grasses, and shrubs; and creating new green space in the center of Deerfield.

“This is a large step forward for clean energy in Massachusetts and demonstrates the Commonwealth’s leadership in the energy transition.”

“This project is not only an impactful one for the environment and the advancement of clean energy, but it’s also a boost for the economic backbone of our town,” said Christopher Dunne, Deerfield’s acting town administrator. “With the added accessibility, climate-change mitigation, and new pedestrian walkways leading to downtown businesses, Deerfield can continue to thrive and serve its local business owners and attract new customers to our business community. We thank the Joint Office of Energy and Transportation, the Federal Highway Administration, and the Massachusetts Departments of Transportation and Energy Resources for their support and partnership in the planning and development of this project.”

Center of Activity

As electric-vehicle adoption grows across the country, the federal CFI program advances the development of convenient, reliable charging stations designed to make it easier for consumers to charge their cars quickly and easily. The town of Deerfield was selected for the CFI grant as a regional business center with easy access for other Western Mass. communities and travelers along Interstate 91.

Acting Federal Highway Administrator Kristin White called Deerfield’s project “a key pillar of the nation’s EV charging network,” adding that “this project embodies the goals of the BIL by deploying American-made clean transportation infrastructure that shows our historic investment in combating climate change for future generations.”

Gabe Klein, executive director of the Joint Office of Energy and Transportation, noted that “multi-modal charging hubs in communities are key to giving more people the choice to ride and drive electric. The town of Deerfield is showing leadership in building out convenient charging infrastructure that brings new transportation choices to rural and disadvantaged communities, while supporting local commerce.”

While the Level 3 chargers — the fastest in the industry — can charge electric vehicles in as quickly as 20 minutes, the Level 2 chargers allow for residents or visitors who will stay parked for a longer time to charge their vehicles as well. With transportation accounting for the largest portion of total greenhouse-gas emissions in the U.S., having Deerfield’s chargers accessible in a public place, near a major highway, is a positive for travelers, employees, and visitors to Deerfield’s businesses and restaurants, project advocates noted.

“Deerfield’s charging hub, less than a mile from I-91, will attract visitors to downtown South Deerfield’s vibrant restaurants and businesses.”

“Rivermoor Energy is proud to lead the development of the first CFI grant project completed in the Eastern U.S.,” said John Tourtelotte, founder and managing director of Rivermoor Energy. “This project delivers EV fast charging to the most rural county in Massachusetts. Deerfield’s charging hub, less than a mile from I-91, will attract visitors to downtown South Deerfield’s vibrant restaurants and businesses. Deerfield’s project also directly benefits the local and regional economy by advancing skilled trades, engineering services, and good-paying jobs right here in Western Massachusetts.”

Regional Partnership

Partners on the project included Universal Electric of West Springfield, Taylor Davis Landscape & Construction of Amherst, Berkshire Design Group of Northampton, and Weston & Sampson engineering of Reading. Eversource Energy upgraded on-site utility infrastructure to enable the industry’s fastest EV-charging technology to seamlessly operate with its electric distribution system.

“The Deerfield charging hub marks an important milestone in Massachusetts’ journey toward a clean-energy future. Through close collaboration with our partners and local stakeholders, Eversource has helped bring this groundbreaking project to life, providing critical infrastructure that supports EV adoption and strengthens the community’s commitment to sustainable energy,” said Roger Kranenburg, vice president, Energy Strategy and Policy at Eversource. “By upgrading utility infrastructure to support this state-of-the-art charging technology, we’re not only enabling fast, reliable EV charging, but also demonstrating the kind of partnership essential to advancing the clean-energy transition.”

The Deerfield project advances U.S. manufacturing and job creation by using American-made charging technology from Autel for ultra-fast EV charging, ChargePoint for Level 2 charging, and Eatonfor infrastructure equipment, with supply-chain logistics support from Rexel Energy Solutions.

Based in Boston, Rivermoor Energy delivers comprehensive energy strategy, planning, project development, and financing solutions to enable customers to meet their goals for EV charging, solar energy, energy storage, and energy resilience.

Discovery High Students Make Connections, Earn College Credit

By Contributor December 6, 2024

Environment and Engineering

Getting a Leg Up

Students from Discovery Polytech Early College High School are taking a leap into higher education by earning credits from Springfield Technical Community College (STCC).

This innovative partnership offers students a head start on their college journey, giving them the opportunity to take college-level courses, gain valuable academic experience, and save on future tuition costs.

As part of the ‘wall-to-wall’ early college program, high-schoolers ride a bus to the STCC campus two days a week — Tuesdays and Thursdays –— to take STEM-focused classes together in cohorts. The only technical community college in Massachusetts, STCC is one of six area colleges and universities that offer an opportunity for Discovery students to earn at least three to six college credits per semester.

Discovery is one of the schools operated by the Springfield Empowerment Zone Partnership (SEZP), which has collaborated with STCC since 2020, when students at Springfield High School of Commerce started taking college courses to earn credit.

Discovery is one of several in the family of Commerce schools. These schools have distinct identities and leadership teams that serve their student and family communities, while still reflected as part of Commerce at the Massachusetts Department of Elementary and Secondary Education.

The Springfield Empowerment Zone is a partnership between Springfield Public Schools, the state, and the Springfield Education Assoc.

Discovery students started coming to STCC in the fall of 2023. They are taking classes focused on STEM (science, technology, engineering, and math) and are enrolled in the following pathways at STCC: business, cybersecurity, healthcare, optics and photonics, mechanical engineering technology, and technical arts.

Students in the cybersecurity pathway take courses in the newly opened Richard E. Neal Cybersecurity of Excellence at Union Station in Springfield, which features a cyber range, which is a virtual environment to practice real-world skills.

STCC President John Cook said the partnership with Discovery gives students a valuable opportunity to get exposure to a college environment and take classes in programs that cannot be found elsewhere in the region.

“The students are gaining a significant head start, and the experiences they have here will help prepare them for the next steps in their academic and professional lives,” he said. “We are thrilled to welcome Discovery students, and we are proud to work with the Springfield Empowerment Zone.”

SEZP collaborates with STCC staff, including Melanie Laurin, director of Early College Initiatives. The academic pathways align with the Pioneer Valley Labor Market Blueprint, said Kelley Gangi, chief of School Innovation for SEZP.

“Melanie and I and others on the STCC team have been strategic on which pathways are optimal for high-wage, high-growth career areas,” Gangi said. “We’re so blessed to be one of the first on the ground at the STCC cyber range.”

View to the Future

The wall-to-wall early-college program means all students taking college classes are on a pathway to earn an associate degree or 60 credits toward their bachelor’s degree for free, said Declan O’Connor, principal of Discovery. They begin classes on the STCC campus or other college campuses starting in the spring of their freshman year.

“We’re a STEM high school,” O’Connor said. “Our kids pick us because they want to be in a STEM environment. They’re gamers, they’re coders, they’re interested in digital media and managing social media. No student would come to us that didn’t have an interest in a STEM field.”

Gangi said some Discovery students may obtain a degree from STCC, while others might take classes at STCC but obtain a degree from another partner institution, depending on their major.

For many students, this program provides an opportunity to explore a field of study that interests them and prepare for the academic rigors of college. It also fosters a sense of independence and responsibility as they navigate college courses, manage their time, and engage with STCC’s diverse student body and faculty.

“They are definitely learning how to be on a college campus,” O’Connor said. “Nobody is sitting in on their classes. They’re walking to their classes. They’re experiencing college life.”

Izabella Martinez, a senior, has earned about 42 college credits so far. “I take two classes at STCC, and my professors have been very helpful,” she said. “During the first few weeks, they always welcomed us into class. The professors are easy to email. They brought supplemental instructors into class to help us. We are getting the experience that other college students are getting.”

Martinez takes a Computer Basics course with STCC Professor Anthony Rondinelli. On one October day, he was teaching the high-school students Microsoft Excel, showing them how to manipulate data, use formulas, create graphs, and more.

“They have different needs as students who are not yet graduated, but they’re very pleasant, and they want to learn. They’re receptive to being taught,” Rondinelli said. “I really believe in the partnership. A lot of the students have voiced to me that they like the course and they’re learning a lot. That’s really important to me, and hopefully it’s something that will continue on for many years to come.”

Accepting the Challenge

For the Discovery students, there are challenges as well as rewards to studying on a college campus like STCC.

Michael Anderson said some days he would rather be with his friends than be in a class. But he understands that knuckling down on his schoolwork will ultimately lead to the reward of earning college credit. “It always trickles down to your mindset: you might not be a college student, but you have to act like one. You’ve got to think, ‘what would a college student do?’”

The partnership aligns with STCC’s mission to provide accessible, affordable education to students from all backgrounds and to support pathways to higher education for underrepresented communities. It also reflects the growing trend of early-college programs across Massachusetts, designed to increase college readiness and close the achievement gap for students from diverse socioeconomic backgrounds.

Discovery students are already reaping the benefits of this program, with many feeling more confident and motivated to pursue their educational goals.

“It’s very exciting being on a college campus,” Martinez said. “We are used to being in the same building every day and seeing the same faces. When we are on the college campus, we can work with people in fields that we eventually want to get to. We’re also able to network with people in those fields.”

Giving Guide 2024

By BusinessWest Staff December 5, 2024

Cover Story Giving Guide Special Coverage Special Publications

Regional Philanthropic Opportunities

Click on the image to view the PDF flipbook

The importance of giving to those in need — and to the organizations who help others secure their basic needs — doesn’t take a holiday, and there’s no season of the year when their work is not critical, especially at a time when an uncertain economy continues to pose challenges to so many individuals and nonprofits.

Still, there’s no doubt that people think about giving more around the year-end holidays, and that’s why BusinessWest and the Healthcare News publishes its annual Giving Guide around this time: to shine a spotlight on specific community needs and show you not only how to support them, but exactly what your money and time can accomplish.

These 25 profiles of area nonprofit organizations are just a sampling of the region’s thousands of nonprofits. These profiles are intended to educate readers about what these groups are doing to improve quality of life for the people living and working in the 413, but also to inspire them to provide the critical support (which comes in many different forms) that these organizations and so many others desperately need.

These profiles within the Giving Guide list not only giving opportunities — everything from online donations to corporate sponsorships — but also volunteer opportunities. And it is through volunteering, as much as with a cash donation, that individuals can help a nonprofit carry out its important mission within our community.

BusinessWest and HCN launched the Giving Guide to 2011 to harness this region’s incredibly strong track record of philanthropy and support of the organizations dedicated to helping those in need. This special section is designed to inform, but also to encourage individuals and organizations to find new and imaginative ways to give back. We are confident it will succeed with both of those assignments

Joseph Bednar, Editor
John Gormally, Publisher
Kate Campiti, Associate Publisher

Presented by:

To Unlock the Potential of AI, Nonprofits Must First Know the Risks

By Contributor December 5, 2024

Insurance Special Coverage

Real Talk on Artificial Intelligence

By Timm Marini

Timm Marini, president of Personal Lines Insurance at Hub International New England.

Artificial intelligence can help give nonprofits a leg up with donors and benefactors, but better AI safeguards may be needed to defend against potential cyber threats and other technology-related risks. Here’s what your organization needs to know.

Nonprofits are increasingly incorporating artificial intelligence (AI) into their operations and communication platforms, with their integration efforts actually outpacing their private-sector counterparts 58% to 47%.

AI enables nonprofits to enhance stakeholder engagement and can help them access solutions to social problems they are working to address. About 70% of nonprofits believe generative AI will help them achieve their organizations’ sustainable development goals by enhancing productivity, improving access to information, and increasing awareness to drive policy change.

But AI also presents risks that could threaten a nonprofit financially, reputationally, and operationally.

How Nonprofits Are Using AI

AI has surged since 2020 thanks to swift advances in technology to generate text, images, and videos. Nonprofits are tapping into generative AI and its large language model (LLM) subset to create text from big sets of data to enhance efficiency and expand their reach. Additionally, nonprofits can use AI to automate repetitive tasks, including certain administrative duties like scheduling meetings, data entry, or volunteer management, so they can instead focus their limited employee and volunteer resources on other important work.

“About 70% of nonprofits believe generative AI will help them achieve their organizations’ sustainable development goals by enhancing productivity, improving access to information, and increasing awareness to drive policy change. But AI also presents risks that could threaten a nonprofit financially, reputationally, and operationally.”

Savvy organizations are also leveraging predictive AI to analyze donor data and gain insights into potential future donors. These insights can guide generative AI to create personalized appeals through targeted communications such as letters, advertising, and other content. Some AI applications are even more ambitious by providing actionable information to people looking to get involved in a cause or mobilize resources.

The Risks in AI — and How to Combat Them

Despite AI’s benefits, risks abound, including errors in word choice, tone, or potential copyright infringement in AI-generated materials. It is critical that organizations have a process to fact-check AI-generated materials and develop usage rules and policies for employees or volunteers supported by awareness training. Organizations should also consider media liability insurance against AI content-related claims of personal injury, copyright/trademark infringement, and plagiarism.

Cybercrime is another concern. AI has enabled cyber criminals to improve the speed, scale, and automation of cyber attacks. The technology can turbo-charge schemes like phishing or ransomware and be used to mimic voices of real people ‘authorizing’ fraudulent activities, known as ‘deepfakes.’

AI systems can be targets as well. If a threat actor was able to compromise a language model and poison the information within it, the outputs generated by AI algorithms leveraging that model could be damaging.

“Savvy organizations are also leveraging predictive AI to analyze donor data and gain insights into potential future donors.”

Unfortunately, many nonprofits are resource-challenged and increasingly vulnerable to cyber threats. About 68% of nonprofits have had at least one data breach in the last three years, 75% don’t actively monitor their networks, and more than 70% don’t run vulnerability assessments.

Every organization using or considering AI technology needs best practices and policies to protect against the potential risks. Here are some steps to consider:

• Document AI use policies. Organizations need to determine who can use public AI tools, and for what purpose. For instance, can business or personal email accounts be linked to the programs? How will access be managed — and by whom?

• Perform due diligence. Third-party AI tools that organizations or its vendors can buy, license, or access cause more than half of all AI failures, which includes providing inaccurate or copyrighted information. Organizations must thoroughly evaluate AI tools and the AI practices of any potential vendors to ensure they are guarding against threats. Rigorous contractual risk management — including hold-harmless, indemnification, and insurance provisions — is a must.

• Conduct awareness training. All staff should be trained in the use of AI tools and general cybersecurity protocols.

• Ensure risk management. An experienced broker is an invaluable resource to help organizations assess their cyber risk. Organizations should work with their broker to ensure they have the right insurance for AI-related exposures, such as cyber insurance and intellectual-property coverage.

Contact HUB International’s nonprofit insurance specialists to learn more about how to protect yourself against AI-related risks and take full advantage of the technology.

Timm Marini is president of Personal Lines Insurance at Hub International New England.

Auto Dealers Reflect on a Solid Year, Project More of the Same in 2025

By George O'Brien December 5, 2024

Autos Special Coverage

Drive Time

Ben Sullivan, seen here with a Honda Prologue, says sales of all-electric vehicles, as well as hybrids and plug-in hybrids, have been rising as consumers become more familiar with them.

‘Almost normal.’

Those are the two words that Ben Sullivan, chief operating officer for Balise Motor Sales, used to describe 2024 when it comes to just about every aspect of the auto-sales industry.

After four years of relative turmoil generated by COVID and its aftereffects, things were back to normal — almost, said Sullivan. To get his point across, he referenced the southernmost end of the huge parking lot for Balise’s Chevy/GMC dealership on West Columbus Avenue in Springfield.

Even 18 months ago, it was so barren, several people asked Sullivan if Balise had sold the lot. Now, it is heavily populated with cars — especially the commercial vehicles that were visible several years ago but were simply not available due to supply-chain issues in the wake of COVID.

That’s the case in every one of the many dealerships Balise has in Western Mass., the Cape, and Rhode Island, said Sullivan, noting that, when it comes to inventory levels, things are almost back to what was seen pre-pandemic.

“Until this year, there were cars coming in and cars going out, but there was zero stock to walk in and say, ‘I want to take something home today,’” he told BusinessWest. “We’re not back to totally normal levels now, but it’s getting a lot closer to what people would say is normal.”

Carla Cosenzi, president of TommyCar Auto Group, which boasts Nissan, Volkswagen, Hyundai, Volvo, and Genesis stores, agreed. In fact, she said that, in some cases, inventories even exceed pre-pandemic levels.

“Until this year, there were cars coming in and cars going out, but there was zero stock to walk in and say, ‘I want to take something home today. We’re not back to totally normal levels now, but it’s getting a lot closer to what people would say is normal.”

Which helps explain some of the aggressive incentives being offered by some of those brands, including 0% financing on a Nissan Rogue and a $79-a-month lease deal on a Hyundai IONIQ 5 EV. And they help explain why, on the Monday of Thanksgiving week, normally a traditionally slower time, the TommyCar dealerships were “swamped.”

“I think they’re trying to build demand for the increased production,” Cosenzi said of the manufacturers, adding that these incentives were one of the key contributors to a very solid year.

Sullivan agreed that 2024 was a good year saleswise — better than most in the industry, and he puts himself in that category, were projecting roughly a year ago.

At Balise, sales were up roughly 10% (most years, 3% to 5% is the average), a performance he attributes to lingering pent-up demand from the COVID years and availability of most models and most trims, including the lower-priced options on cars and SUVs that manufacturers pushed to the sidelines in favor of the higher-priced trims during COVID.

“This year was the first time that you started to get what people would consider to be real availability back,” he said.

Mike Filomeno, left, and Mike Marcotte show off a Mustang Mach-E, one of the many EVs now sold by Ford.

Mike Marcotte, president of Marcotte Ford in Holyoke, said his dealership has also recorded a nearly 10% increase in overall revenue in 2024, which he attributed to those same factors, particularly availability — on both the consumer and commercial sides of the ledger — with December, traditionally a big month, especially on the commercial side, still to go.

“Ford has put some great incentives out there to end the year out,” he said, adding that these cover everything from pickups to EVs that come with free chargers. “It’s been a good year, and we’re expecting to end it in strong fashion.”

Cosenzi said final numbers are obviously not in yet, but she is projecting 8% growth for 2024, and something along those same lines for 2025.

While things are returning to normal on most fronts, on the electric vehicle and hybrid segment, there isn’t really a ‘normal,’ because this is an emerging market, one that is building some momentum, although there are now real question marks about the future of the EV consumer tax credit.

“You’re seeing a big increase in customer demand for hybrids and plug-in hybrids,” said Sullivan, adding that many see them as an alternative to — or a bridge to — EVs, which are enjoying gradual growth in sales amid more options and better incentives, for the moment, anyway. “People might be scared to get into an electric, but they’re saying, ‘what can I do?’

“This hybrid technology has been out there for some time, it’s performing very well quality- and reliability-wise, and people are a lot more comfortable getting into these vehicles,” he went on. “The percentage of sales of hybrids versus non-hybrids continues to grow.”

To a Higher Gear

To get his points across regarding availability, getting back to normal, and even the EV and hybrid markets, Sullivan referenced Balise’s Honda dealership on Riverdale Road in West Springfield.

“During COVID and the post-COVID era, it was not unusual for us to finish the month with maybe 16 vehicles for sale,” he told BusinessWest. “Now that they’re starting to build more Hondas, I think we’ll finish this month [November] — and we had a very good month — with 80 to 100 to choose from if someone wanted to walk in and take one today.

“You went through three years of expecting to have to put a deposit down on something that was inbound on a ship, a train, or a truck,” he went on. “And now, you’re getting to the point where there’s a good chance you can find what you’re looking for available — not the same levels as before COVID, but at a level where the customer probably wouldn’t notice the difference.”

Elaborating, Sullivan said normal stocking levels would be 30 to 45 days of inventory, or maybe 140 cars in the case of this Honda dealership. At present, as noted, there are maybe 100, and they cover all trim levels.

“You went through three years of expecting to have to put a deposit down on something that was inbound on a ship, a train, or a truc. And now, you’re getting to the point where there’s a good chance you can find what you’re looking for available.”

It’s pretty much the same across the spectrum, he said, adding that inventory levels vary with the dealership, but most are working their way back to ‘normal.’

Improved availability is one of the key reasons why 2024 was a better year than most were expecting, said those we spoke with, noting that there is still a large amount of pent-up demand — and, now, many options for meeting that demand.

Indeed, during COVID and its immediate aftermath, manufacturers, hit with massive supply-chain issues, focused mostly on higher-end vehicles, driving up the average cost of a new car to levels many consumers were not willing to pay, said Cosenzi, adding that lots are now close to full with models across all trim levels, which has certainly helped drive sales.

“It was very hard to find middle and lower trim levels during that time,” she explained. “Now that things are opening back up again, it’s a lot easier to find a selection of low, middle, and high-end options of the same model. Buyers have more options than they’ve had in years.”

Meanwhile, other contributing factors include comparatively low unemployment, relatively strong consumer confidence, and those incentives from the manufacturers, Cosenzi said. “We’ve seen the manufacturers get more and more aggressive. Right now, we have 0% for 60 months — Nissan has it on its Rogue, which is a prime model, Volkswagen has it … 0% is back. Meanwhile, the Hyundai Tucson has 1.9%; those are examples of how aggressive the incentives are.”

Marcotte agreed, noting that these incentives come in many forms, including the Ford Power Promise, whereby those buying or leasing an EV become eligible for a complimentary home charger and standard installation.

Picking up Speed

With improved availability and overall sales up 10%, the question then becomes, ‘what are people buying?’

Some of everything is the obvious answer, but especially SUVs and crossovers — in part because there are simply fewer cars to buy — as well as trucks, EVs, and hybrids, said those we spoke with.

And commercial vehicles as well, noted Sullivan, adding that year end is traditionally a busy time for such sales as contractors and others look to take advantage of Section 179 tax deductions. But until recently, they simply weren’t available.

“We’re finally at the point where we can take care of those customers, and that’s making them happy, and it makes us happy,” said Sullivan, noting that the southern end of the crowded parking lot at the Chevy/GMC store reflects this reality. “The past several years, in many cases, people just said, ‘we’ll wait until next year.’ It was a very difficult time getting commercial vehicles.”

Mike Filomeno, Sales manager at Marcotte Ford, agreed, noting that truck sales, on both the commercial and consumer sides, remain solid as inventories grow. He cited, as one example, Ford’s Maverick, a small pickup with prices starting at $27,000.

“It comes in a hybrid and all-wheel drive, so it’s pretty popular; that’s a great price point,” he said, adding that Ford’s lineup of larger trucks is also performing well.

And used-car sales are also solid, said Filomeno, noting that inventories have improved somewhat, prices have returned to something approaching normal, and, as a result of both factors, sales are up, contributing to the dealership’s growth this year.

As for SUVs, they continue to dominate the market, with most manufacturers cutting back to one or two car models. Ford, for example, has just one, the Mustang.

But Sullivan said those in the industry are starting to see some movement among the younger generations toward cars.

“It’s too early to see if it’s a trend or just data, but there is some indication that the young people, the Millennials, don’t want to be in SUVs like their parents were,” he noted. “And you’re starting to see a lot of young people migrate into the sedan market.”

If that movement accelerates, then manufacturers may need to rethink their lineups and add more sedans, he went on. For now, the focus remains on SUVs. And larger numbers of these are coming in the hybrid, plug-in hybrid, and EV varieties, said those we spoke with, adding that sales of those vehicles are up across the board.

EVs still comprise only around 6% of all sales, said Sullivan, adding that the numbers continue to gradually improve as the options increase and consumers become more familiar with them.

To that point, he said Balise recently brought each of the 23 EVs sold across its stable of dealerships to an event at the Palmer Motor Sports Park, where consumers could get acquainted with the various vehicles — and drive them on a racetrack. More than 100 consumers turned out, and most all of them came away impressed with what they saw and experienced.

“I did not speak to one of them who didn’t say, ‘now that I’ve driven one, I believe it’s the car for me,’” he recalled, adding that familiarity breeds comfort.

Marcotte agreed, noting that Ford’s lineup of EVs includes everything from the Mustang Mach-E to the F-150 Lightning pickup to an E-Transit cargo van, and that, increasingly, consumers are becoming more comfortable with such vehicles.

Cosenzi concurred, noting that the Hyundai store put more than 30 people in the IONIQ 5 this month, thanks to the $79-a-month, 13-month lease deal. She said the outlook for continued improvement is generally positive, but much depends on whether the incoming Trump administration makes good on plans to kill the $7,500 consumer tax credit for EV purchases as part of broader tax-reform legislation.

“There’s a lot of speculation about what might happen with those incentives,” she said, adding that, at more than $10,000 in many cases, they certainly help some consumers get over the hump and into an EV.