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Understanding the Critical Science of Estate Planning

By BusinessWest Staff August 25, 2015

Death and Taxes

Estate art

A great transfer of wealth is taking place across the nation as Baby Boomers begin inheriting the $12 trillion that will be left to them by Depression-era parents. These Boomers have also started to distribute their own assets, and over the next few decades more than $30 trillion will pass from one generation to the next. But making the decisions required to create an estate plan is difficult for members of the ‘me’ generation who want to enjoy life to the fullest and retain control over their money, and still leave their children with a considerable inheritance.

Gina Barry says the demand for estate plans is on the rise, and, as just one form of evidence, she noted that Bacon Wilson, P.C., the Springfield-based firm where she’s a partner, has had to add two paralegals and two new attorneys to its Elder Law and Estate Planning department in the last five years due to the influx of business.

By Gina M. Barry, Esq.

“It’s not a crush, but demand has been gaining in intensity, and we are booked a month out,” said Barry, who concentrates her practice in elder law, estate planning, and residential real estate. “But we do make room for emergency cases, when someone is facing a nursing-home admission or receives a terminal diagnosis and wants to protect their assets from the cost of long-term care. It can be catastrophic, because a nursing home can cost $14,000 a month.”

Michael Simolo, a partner in estate planning and probate at Robinson Donovan, P.C. in Springfield, says his firm is also extremely busy. “We’ve added one associate and are thinking about adding more; our calendars are filled,” he told BusinessWest, noting that estate planning can be as simple as leaving everything to a spouse or involve creating a variety of trusts if there are complex issues such as a child with special needs or federal tax issues.

Elizabeth Sillen, a partner at Springfield-based Bulkley Richardson, LLP, agreed.

“There are many reasons why people come to us; some people are dealing with a parent’s estate and want to replicate what they did right or avoid what they did wrong, while others want to know when they should retire or collect Social Security,” said Sillen, who concentrates in estate planning, explaining that the estate-planning attorney’s role is to protect assets and does not involve financial planning.

Questions pertaining to the latter are typically answered by financial advisors, but timing is important because today’s retirees want to be active, travel, and take advantage of all the world has to offer. “We are the glue,” said certified financial planner Patricia Grenier, who co-founded BRP/Grenier Financial Services in Springfield. “Someone has to coordinate everything, and there are often big pieces missing when people go to estate planners.”

Attorney Michael Simolo says estate plans should be flexible and amended to reflect changes in one’s life.

The necessary information, which financial planners help clients determine, includes when a person will retire, the sum total of their assets, the way a pension will be handled, and when people will start collecting Social Security.

“There more than 8,000 strategies for couples to use when they collect Social Security, and many people don’t even know what their pension options are; these are bases that need to be covered before someone visits an attorney,” Grenier said. “When I meet with a client, we discuss their lifestyle, their income, where and how their money is invested, and their other assets. Health costs are a big issue, and so are family dynamics.

“I ask people how they plan to care for themselves, because there comes a point at which everyone needs help. A lot of decisions need to be made, and it’s a very emotional process, but our job is to make the meeting with the estate planner efficient and effective and coordinate what needs to happen,” she went on, noting that she has accompanied clients to an attorney’s office to do estate planning.

Simolo agrees that the decisions are difficult. “Estate planning is something people tend to put off. It’s not pleasant to think about, but you are not planning for yourself; you are planning for those you are leaving behind — and it’s not as painful of a process as people think,” he said. “Plus, putting off decisions doesn’t make it any less difficult, and planning gives you the option of extending a hand beyond the grave. If you have an estate plan, you can control your money to some extent after you die.”

One of the primary goals of a plan is to avoid probate. “However, probate is a lot easier than it used to be, and sometimes it’s easier to go through it than to retitle everything and put it in a trust,” said Simolo. “It depends on family dynamics, how much you own, and what you want to do.”

Limiting estate taxes is also critical: in Massachusetts, payment is due once an estate hits the $1 million mark, while the amount in Connecticut is $2 million. Federal taxes start at 40% if an estate totals $5.43 million or more, and although that seems like a lot, the number includes everything a person owns, including real estate, investments, bank accounts, and life insurance.

But experts agree that most people don’t reach that mark because the majority of Boomers have failed to save enough to retire in comfort.

“The biggest risk is that they will outlive their money, so it requires careful planning and strategizing,” Grenier said.

Individual Choices

Generations tend to differ in how they want to allocate their assets, said those we spoke with.

“Folks from the Depression era are not as inclined to gift as Boomers because they fear they won’t have enough to last throughout their lifetimes; they are much more frugal and want a sense of security and know that there is enough to take care of them until they die,” Barry said, explaining that strategies used in tax planning can require a loss of control of assets, which is frequently not palatable to Boomers.

“The majority want to leave money to their kids, but some would rather have their heirs pay taxes than lose control,” she went on, adding that the state tax on $2 million is about $89,200, which could be avoided entirely.

Siller agrees. “Some Boomers don’t care if their heirs will have to pay estate taxes because they have no appetite for complex plans. But there is definitely a generational difference. People from the Depression era tended to be thrifty, live moderately, and save money. Boomers may live moderately, they are a lot more consumer-oriented,” she explained, noting that there is a lot more to buy today, including devices such as cell phones and computers that are necessary to keep pace with technology.

Attorney Elizabeth Siller says children from a first marriage may feel resentful if a second spouse inherits everything, so it’s important to find ways to divide things in a way that doesn’t cause family problems.

The people Boomers delegate to be their healthcare proxy or to have power of attorney over their finances if they become incapacitated is another choice that demands careful consideration. “I have had clients say they want a daughter to take over their healthcare if they become incapacitated, but when I ask if she will be able to handle the decision to stop life support if it’s necessary, they realize they need to appoint someone else,” Barry noted. “And although people often think they will name their oldest child as power of attorney, they need to consider how honest and trustworthy they are and be sure they will never use their assets for their own benefit.”

Grenier agreed. “The person in that role has to be qualified to handle it. You want someone who has the time and ability to carry out your wishes.”

Long-term care also has to be considered. Although it’s prudent in some cases for the person to take out insurance, it doesn’t always make sense. And although estate plans can be altered if circumstances change, many people never update their plans. “They are lulled into a sense of security once a plan is created, but it’s imperative that they return to their attorney if they inherit a tremendous amount of wealth,” Barry said.

Siller concurred, and said estate planning involves many factors. “Estate planners provide people with options that are very concrete after they learn everything they need to know about their situation. But the process is complex and requires specificity,” she said, adding that considerations such as putting assets in a child’s name include whether he or she may get divorced, go bankrupt, or is in a high-risk profession and could be sued. Meanwhile, Boomers with grandchildren may want to set up college plans for them.

“If Boomers do some advance planning, they may be able to give their children all of the benefit of the income they inherit without imposing a tax burden on them,” Siller said. “But everyone’s situation is different, so we build a plan for each client that suits their needs. It’s a satisfying process.”

Complex Matters

The demand for business-transition planning is another area that is undergoing rapid growth.

“A lot of small-business owners want to retire, but it can be challenging. The business is often like their child, and it’s important to them that it continues to thrive,” said Siller. “And if one child is really interested in taking over, they need to navigate continuity along with fairness to other children, which can be tricky.

“It’s a whole world unto itself,” she went on, adding that, in some cases, life insurance is used as a way to equalize the value of the business, while in others where the building sits on land that is owned, the parcel is transferred to non-participating children, and the child who takes the helm of the business pays rent on the land to their siblings.

Barry says many factors enter into the equation, and it’s critical to know how much the business is worth on the open market.

“I can’t tell you how many business owners have never had their firm properly evaluated by an accountant,” she explained. “They think they know its value or what they could sell it for, but they have no idea of its actual value.”

That figure can be pivotal, said Simolo, who noted that a business may constitute the majority of the value of an estate.

“Succession planning for businesses poses a unique set of circumstances which are different for every family and every business. It’s a matter of fulfilling the intentions of the owner to the greatest extent possible, while protecting its future,” he told BusinessWest.

Another weighty consideration involves planning for children with special needs, and estate-planning attorneys say more clients are coming to the table with this challenge.

“Some children are receiving benefits or are incapable of managing their own funds,” Barry said. “There is a great increase in the number of people addressing these needs.”

Siller concurred, and said special consideration needs also to be made if children have addiction problems or are in relationships the parent is unhappy about.

Meanwhile, second marriages can be another tricky area to navigate.

“Kids from a first marriage often feel resentful if a second spouse inherits the bulk of the estate, so it’s important to find ways to keep the peace,” said Siller. “We try to have conversations and get the person to think about what they want to do before we come up with a plan.”

But leaving everything to a spouse, even in a first marriage, can be challenging if the deceased had always handled the finances.

“Sometimes we create a trust to ensure the remaining spouse will have plenty of money,” Siller said, adding that issues also arise if the spouse is not a citizen. “And if there is a second home, people worry about how their kids will share it. Sometimes a trust is put in place with a management structure that gives children the ability to buy out their siblings or sell the property, as there is often one primary user. Some parents endow a vacation home to preserve memories, but there are a lot of variables.”

Single people have their own dilemmas to contend with. “Their estate plans can be more complicated than a married couple’s,” Siller explained. “They need to think carefully about things because there are fewer tools available to them to reduce taxes.”

But even after all of these variables are accounted for, the work is not done.

“The drafting of documents is only half of the estate plan,” Simolo said. “The other half is making sure assets are properly structured so the plan works. Sometimes assets are made joint or taken out of joint ownership, and beneficiary designations must be properly named.”

Grenier concurred, noting that it’s not uncommon for people to fail to take the necessary steps to make the plan viable.

“Many never follow through with financial planners or investment advisors after their plans are set up; if a trust is created to protect assets, it has to be funded,” she said. “The accounts and real estate that will go into it have to be retitled, and beneficiaries have to be titled appropriately to match the plan. You can have the best attorney in the world, but if there is no follow-through, the plan won’t work.”

Attention to Detail

The bottom line is that estate planning and elder law is a complex manner, and although some people use the Internet to create what Barry calls “a will in a box,” such a strategy can lead to problems down the line.

“In most cases, there is an error because the person doesn’t understand the language or know what’s missing,” she said, adding that a simple estate plan, which typically costs less than $1,000, takes every facet of the individual’s situation into account and puts language in place to ensure their intentions will be carried out.

“Some people don’t think they have enough to warrant putting together a plan, but it’s never true,” she went on. “And it’s far better to plan your estate when you are not under pressure. Doing the work is much more enjoyable if you are not faced with a catastrophic event.”

Grenier concurs. “It is a daunting task that involves a lot of decisions,” she told BusinessWest. “But people need to make sure they have everything lined up, then finish the circle by following through and having things moved into trusts and taking care of other details.”

Whether they do or not, the transfer of wealth will continue, and future generations will bear the brunt — or reap the rewards — of what the people who go before them have left behind.

“If you don’t have a will,” Simolo said, “the state will create one for you — and it may not match your intentions.”

Mark Mastroianni Finds a Comfort Zone Behind the Bench

By BusinessWest Staff August 11, 2015

Law Sections

Adjustment Bureau

U.S. District Court Judge Mark Mastroianni

A federal judgeship is, by almost any measure, the proverbial opportunity of a lifetime for those in the legal profession — figuratively and quite literally; one has the job for life. So it is with Mark Mastroianni, although he admits that he became a candidate for the post in Springfield almost reluctantly because he was, at the time, “hitting his stride” as Hampden County district attorney. In fact, he admits feeling relieved in some ways when he missed the deadline for applying. But that deadline was extended, and, well, the rest is history — and a serious period of adjustment that is still ongoing.

Mark Mastroianni was talking about the start of the process that eventually led to him being named a federal judge in Springfield.

To describe it, he used the phrases “completely unexpected” and “perhaps even unwelcome.”

He said it was the former mostly because at that time, early 2014, he was more than halfway through his first four-year term as Hampden County district attorney and thinking about the next one, not a new career challenge.

As for the latter, he chose it because he wasn’t simply serving as DA. He was, as he put it, “just hitting my stride,” and in many ways he actually resented what the ensuing search process represented — an extremely difficult decision he would have to make about his career, or another difficult decision, to be more precise.

“I was three years in the district attorney’s office; I was getting my feet under me and really developing my sense of confidence,” he explained. “And it’s really at the point when you develop a sense of confidence doing anything that you become your most effective. I had things to do — I had things I knew I could do in the district attorney’s office that were important for me as professional accomplishments and for the people I was serving.

“I really took to that, and was serious about what I wanted to do,” he went on. “And when I say ‘unwelcome,’ I say that because that search came about right when I got moving.”

But there was more to this than the opening on the federal bench coming at what Mastroianni would consider the wrong time career-wise. Indeed, he possessed vast experience as both a prosecutor and defense lawyer at that time, and frankly couldn’t imagine himself spending at least the next 15 years (a federal judgeship is a lifetime appointment) being neither.

To get that point across, he put his passion for such work in perspective that only people who have been there could appreciate.

“There will be nothing like — at least, I haven’t experienced anything that looks like it will be the same as — the adrenaline rush in a capital murder case in the minute or two minutes when you’re waiting for the verdict,” he said while comparing his current job to his previous ones. “The jury comes in, the jury stands up, and the verdict form is handed to the clerk … I can’t explain to you what that’s like, really. Every trial I’ve taken, it’s been remarkable to me that I’ve been able to even stay on my feet; your heart is beating so fast, you just think that physically you’re not going to hold up.”

One doesn’t reach that state, emotionally or physically, as a judge, he went on, adding quickly, though, that adrenaline comes in many forms, and he experiences it now — granted, on a much lower level — when one of his rulings is cited by a lawyer when making an argument.

Adapting to this new standard for adrenaline rush is part of an adjustment period Mastroianni says is still ongoing, although overall, he says he’s quite comfortable in his new skin, or robe, as the case may be. He acknowledges that reaching this state wasn’t easy, but in most ways easier than he anticipated.

“I have been so happy and relieved at how I’ve adjusted, because I thought that I was going to really struggle with not being in the courtroom,” he said, referring, obviously, to the seats in front of the bench, not the one behind it. “I have really enjoyed and adjusted to still being part of the trial-litigation criminal process; I take a different seat now than the one I’m used to sitting in, and my decisions are from a different perspective, but I’ve adjusted, and continue to adjust.”

For this issue and its focus on law, BusinessWest looks at that adjustment period, and how it represents one of many career gambles Mastroianni has not only taken, but embraced.

Opening Statements

When asked about whether he had any regrets about taking the federal judgeship, Mastroianni answered in a way one might not expect from someone in such a lofty, respected, and sought-after position.

“Of course I have regrets,” he said, implying that some of his earlier comments would have made that clear. But he went further, and in a manner that once again suggested just how much he liked being DA — and a defense lawyer, for that matter.

“I’ve had regrets from every job I’ve left,” he explained. “If you don’t have regrets from the last job you’ve left, that means that didn’t love your job and didn’t do it with everything you had.”

Mastroianni has left a few positions in his career knowing that there would be not only regrets, but serious doubts from colleagues, friends, and relatives about whether he was doing the right thing, career-wise and otherwise.

There were such sentiments expressed when he left a position as assistant district attorney under William Bennett to go into private practice. He had started a family and purchased his first house, and while prosecutors were poorly paid at the time (and still are today), the job represented a safety net.

He heard them again when he launched a bid to succeed Bennett as DA running as an independent, a campaign for which for which the adjective ‘long shot’ would be considered a serious understatement.

And they were uttered again when Mastroianni became a candidate for the federal court, a position usually placed in that category of ‘opportunity of a lifetime.’

“Every friend and family member expressed the concern that it would be something I might not enjoy or become frustrated with,” he noted. “I had that same concern.”

Mastroianni said he made these various career moves after careful consideration of those expressed concerns, but also what the next challenge would mean for him personally and professionally.

“These were not reckless decisions,” he explained, using that phrase repeatedly with his latest change especially. And as he talked about them, he would reference a need to continually seek new challenges because “there was more for me to do.”

Our story begins at Cathedral High School in the early ’80s, where Mastroanni was mostly unmotivated and anything but a standout student and rising star. In fact, he would say that American International College “took a chance on me when they accepted me.”

“I’m adjusting, I very much like what I’m doing, and the forecast looks good.” – U.S. District Court Judge Mark Mastroianni

He made the most of that opportunity, though, majoring in English and political science and contemplating careers as a writer or journalist while doing so. But he chose a different tack — one encouraged by his grandfather — and enrolled at Western New England University School of Law.

Upon graduation from WNEU in 1989, he found himself in a tough job market as a recession that would last the better part of half a decade settled in on the region. He borrowed money from some family members and opened a private practice in the same building in Springfield’s Court Square that his grandfather practiced from.

But the phone didn’t ring much, and he eventually sought to fill an opening on the staff of then-Hampden County District Attorney Matty Ryan. That assignment lasted only six months, as Ryan’s eventual successor, Bennett, did not keep him on after assuming office.

However, Bennett later rehired him, and he worked five years as an assistant DA, cutting his teeth on a number of high-profile cases, including several murder trials. Despite his success in that role, he sought another challenge — and potentially much larger paycheck — and returned to private practice.

He would remain there for 17 years, enjoying success on the other side of the legal system — defending clients — and on the all-important business side of the equation as well.

Eventually, he became as passionate about defense work as he was with his prosecutorial skills, and when pressed to compare and contrast the two, said that he found the former in some ways as rewarding professionally as the latter.

“What I like in both of them is high-level, high-profile, difficult cases,” he explained. “There’s an enormous sense of satisfaction that comes with successfully prosecuting a case and helping victims. But, quite frankly, I think that feeling is rivaled, and perhaps equaled, by the sense you get in the successful defense of a case and being the person who stands between one individual and the government, the prosecution, and the resources of that prosecution.

“With the murder cases I handled, there were primarily appointed cases — it’s one individual who’s been deemed to be indigent; we’ll appoint you a lawyer, and there you go, good luck with that,” he continued, explaining, in more detail, that sense of satisfaction he enjoyed from helping clients prevail in such matters. “You have a limited budget and limited resources, but there’s no limit to energy and effort you can put in.

“The satisfaction is not of ‘I want to help someone get away with something,’ or ‘I want to pull one over on someone,’” he went on. “The satisfaction is working within the system and making the system work; our system means nothing if there’s not vigorous defense work forcing the government, be it the Commonwealth or the federal government, to meet their burden of proof. Every good defense makes the next prosecution better.”

He said that, if he were ever put in a position of having to choose between the two, that would be a very difficult decision. So it’s fortunate, perhaps, that circumstances now mean he won’t have to make such a choice — at least until he turns 65.

No Objections

As he talked about his career and the many twists and turns it has taken, Mastroanni referred early and often to the notion of timing, and how certain events — from a recession to the retirement of a federal judge — have played a big role in shaping his many difficult decisions.

One such point in time was Bill Bennett’s decision to not seek another term as DA in 2010 after 20 years in that office.

Mastroanni admitted he was already thinking about pursuit of new and different challenges at the time, but Bennett’s decision in some ways forced his hand — again, amid concerns from collegaues and family members that he might be making a big mistake.

“The question from friends and family was, ‘why? What are you doing? … you can’t walk away from this,’” he said, referring to the very successful private practice he had built. “At that point, it was something inside me professionally — a need to do more. It was this reflection, this self-examination of where I was, where I wanted to be, and what I wanted to be doing that led me to run.

“I wanted a challenge, I wanted a change, and I really felt I could do a good job as district attorney,” he went on. “I had very specific ideas about the criminal-justice system and how it could work better.”

But while he had the will to seek the post, he wasn’t exactly dealing from a position of strength, at least to most observers.

Indeed, while the DA’s position is non-political by nature, the processing of winning is quite political, and Mastroanni, upon entering the race, also decided he would wage his fight as an independent. That choice would impact everything from his participation in scheduled debates to raising money, but he stuck to his guns and eventually prevailed.

In the winter of 2011, he settled into the job — or at least the part he wanted to settle into.

He admitted that he had no real appetite for what could be called the operations side of the office — the budgetary matters and many aspects of managing 150 people and several offices. So he effectively delegated — something he says isn’t easy, and is an art form unto itself.

“That was like running full-speed into a brick wall when I encountered that administrative setup at the district attorney’s office,” he told BusinessWest. “You have a lot of employees, an IT team, a state police squadron assigned to you … so I delegated. I had to choose what to delegate, and I chose not to delegate the trial work; I thought I was certainly more qualified and competent as the trial lawyer who could take on the big case than I was as the person who would walk in and take care of the budget.”

Thus, he focused on trying cases (one of his first involved a successful prosecution in the murder of Cathedral High School student Conner Reynolds) and myriad other aspects of a very broad job description.

That list included everything from making progress with a large list of cold cases to going out into area classrooms and providing lessons on how the judicial system worked.

“We opened new units — we opened an unsolved-crime unit and a DNA unit, and we made really big advances in some cold cases that had not been worked on in some time,” he explained. “We solved several cases that were 20 years old and more. I developed a way to use drug-forfeiture money to essentially pay for the overtime so police officers could work on these cold cases.

“Springfield has so many unsolved cases, and one of the reasons they’re unsolved is because new cases keep flooding in every day,” he went on, adding that he developed a process by which trained individuals could devote the needed time, energy, and imagination to such cold cases. And many wound up being solved.

“That program was cranking,” he continued. “Meanwhile, our community outreach was just unprecedented; we were in the schools with all kinds of programs … it was wonderful, challenging, stressful times at the district attorney’s office. That’s a difficult job, and I was really enjoying all the progress we were making.”

It was at this point that the unexpected and “perhaps even unwelcome” search for a successor to the retiring Judge Michael Ponsor commenced in late 2013.

Decisions, Decisions

Then-recently elected U.S. Sen. Elizabeth Warren was placed in charge of the process of selecting a new federal judge, said Mastroanni, who said he had no intention of pursuing the post until he was encouraged to do so by members of the Gertner Committee, a panel appointed by Warren to solicit, interview, and comment on applications for federal District Court vacancies, and so-named because it was chaired by former District Court Judge Nancy Gertner.

Although he entertained those entreaties to become a candidate, Mastroianni admitted to feeling what amounted to a sense of relief that he missed a posted deadline of Jan. 31, 2013 for submitting a formal application.

“In my mind, how a lot of things work is that I’ll put things off as long as I can, and if I just put it off long enough, it will just take care of itself,” he explained. “I put that into practice with my judicial application. Before I knew it, the deadline had come and gone, and I didn’t get my application in, and I said to myself, ‘that’s too bad … I’ve been so busy as district attorney, I didn’t have a chance to fill this out. It’s just not right; I’m too busy as D.A. This is obviously where I should be.’”

As fate would have it, though, the deadline was extended, and Mastroianni would apply and eventually get the nod after many strenuous rounds of interviews.

When asked to analyze that result and how it came about, he would theorize that Warren was seeking diversity from the next federal judge, not only in the context that one might think, meaning racial or gender diversity.

“I think they thought my political affiliation — choosing to be an independent — as well as working at the highest level on both the prosecution side and the defense side gave me a rather unique perspective and view of the world and the legal system.”

With that perspective — and that résumé detailed above — Mastroianni entered his new role and adjustment period with that degree of trepidation he noted. But he has, in fact, found a comfort zone.

“I knew during my first couple of trials that the adjustment was going to be OK — I wasn’t feeling the need to look at the case that was developing in front of me as the trial lawyer,” he said, adding that he anticipated that being able to do so would be a sizable challenge. “I was not substituting myself for the lawyer in question; I was appreciating the art of trial work, and I do consider it an art.

“I found the challenge of presiding over that and watching how it develops to be so exciting, and so new,” he went on, adding that, while he’s observing and analyzing what the lawyers handling the case are doing, those opinions don’t manifest themselves in words or actions in the courtroom.

“I’m perfectly happy and content with thinking in my mind about what that lawyer does and saying to myself, ‘how could you have done that? What you really needed to do was this,’ or watching a lawyer do something just perfectly and thinking, ‘that was well-done.’ For me to interrupt lawyers and try to make arguments for litigants and try to control how a case goes, that would be going overboard and not being well-suited to be in my position.”

The period of adjustment has other aspects to it, he said, noting, for example, that most of the cases that come to him are civil in nature, while most of his direct experience is with criminal matters.

Overall, though, while Mastroanni had some concerns about whether he could make an easy adjustment to a life of hearing arguments rather than presenting them, he was confident (there’s that word again) that he could do the job and do it well.

“I knew that I could rise and meet the challenges of this job knowing that I would have regrets,” he said. “But I’m adjusting, I very much like what I’m doing, and the forecast looks good.”

He’s even making the time to go into area classrooms and provide lessons on the legal system, as he did when he was DA, and will begin teaching a class in civil law at his alma mater this fall.

As for adrenaline, well, he still gets to experience those rushes, only in much different ways.

“I’m getting an enormous amount of satisfaction from seeing cases that I take develop, crafting the law as I see it applying to facts, and ultimately doing justice in terms of doing the right thing,” he said in conclusion. “That’s really what we do, and that sense of satisfaction from seeing a case come in, taking it from the beginning, working with it, and leaving here having made law, effecting law in a way that other cases that come after you are going to cite … that’s not the same kind of adrenaline rush I described while waiting for a jury to return a verdict, but that’s a satisfaction and type of rush that’s very, very rewarding.”

Closing Arguments

While Mastroianni maintains that he’s successfully adjusted to life on the bench, he nonetheless wishes he could somehow keep this job and experience all those emotions he mentioned when talking about that moment when the verdict is read by the jury foreman.

“I would absolutely love and welcome if there could somehow ever be a setup where I could try a case again,” he told BusinessWest. “That would be like the fantasy football league for me; that would be absolutely it.”

Such a setup isn’t possible, though, and Mastroianni understands that he’ll have to wait until he’s at least 65 to even think about being back on the other side of the bench.

For now, though, he’s focused on that new standard for adrenaline rush and finding new ways to experience it.

As he said, this is an adjustment period that is still ongoing.

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

The Mill District Builds on the Cowls Family’s Legacy

By BusinessWest Staff July 28, 2015

Commercial Real Estate Cover Story Sections

Above, an architect’s rendering of the Mill District, the latest business venture for the Cowls/Jones family, which has operated everything from a farm to logging ventures, such as the one seen below, circa 1900.

Planting New Seeds at Cowls Mill District

It’s said to be a place “where history and opportunity meet.” That’s one of the marketing slogans being used for the Mill District in North Amherst. Over more than 250 years and nine generations of the Cowls/Jones family, the site has been home to everything from a trolley station to a cow barn; from one of the nation’s first electric saw mills to a massive building supply store. Now in its latest incarnation, it is being fashioned into a unique mixed-use facility, described, alternately, as a ‘destination’ and a ‘community.’

Cinda Jones says that each generation of her family, going back more than 250 years, has left its mark on the family business, which started as a dairy farm in what is now North Amherst — and also on the community.

Usually, several marks.

In 1741, for example, Jonathan Cowls, who would eventually serve the town as a selectman, acquired what was known as the Home Farm, which stretched across a long strip of land from what is now Route 63 west to the Hadley line. He would eventually expand the small farm into lumber manufacturing. And in 1768, Jonathan’s son, David Cowls, and Sarah (Eastman) Cowls built the farmhouse at 134 Montague Road. Nine generations of the same Cowls/Jones family have lived in that house, which has also served as the operations center for the family business.

Fast-forwarding more than 125 years, Walter Dickinson Cowls, or WD, as he was known, would expand that house. He would also help build the North Amherst Library and eventually give the family enterprise the name it still uses today — W.D. Cowls Inc. As a partner in Cowls & Childs, a contracting business, he built roads and undertook several large construction projects, such as the Amherst and Sunderland Street Railway System. He was also a selectman and later a state representative.

WD’s grandson, Walter Cowls Jones, meanwhile, would expand the business into real estate, and he’s credited with building one of the first, if not the first, electric saw mills in the country. He was Amherst’s water commissioner and chairman of the Planning Board. His son, Denison, founded DH Jones Real Estate in 1958 and built several apartment complexes. Denison’s brother, Paul, ran the family sawmill and timberland operations and built Cowls Building Supply on the Home Farm site in 1980.

“There’s a long legacy of business innovation and community involvement,” said Cinda Jones, Paul’s daughter and current president of W.D. Cowls Inc., and one that she and her bother, Evan, many cousins, and even a niece (the 10th generation involved with the family business) are continuing.

Cinda Jones, left, and Mollye Wolahan stand in Sarah Cowls’ cow barn, currently being transformed into an Atkins Farms Country Market.

And while Jones and her bother have many accomplishments on their resumes — in 2011, for example, they orchestrated a deal that would preserve a 5.4-square-mile forest in Franklin County now named after their father — perhaps their most significant contribution to that family legacy is a development known as the Mill District.

An intriguing work in progress, it embodies the past, present, and future, and is an ambitious redevelopment effort that involves several of the buildings and business operations started or expanded by previous generations of the Cowls/Jones family.

For example, on the site of what used to be a trolley barn on the north side of Cowls Road sits a new development called, appropriately enough, the Trolley Barn. It now houses The Lift salon, the Bread & Butter restaurant, and several apartments on the upper floors. Across the street and a few hundred yards to the east, in what’s still known as Sarah Cowls Cow Barn (named after WD’s only child), an Atkins Farms Country Market is taking shape, with an August soft opening planned.

There are other buildings and sites still to be developed, including a 14,400-square-foot saw mill, a replacement for the one Walter Cowls Jones built and that burned to the ground in 2001; the so-called Onion Barn; several mill houses along Cowls Road, and former farmland stretching to Route 116 called Goat Meadow. Potential uses range from additional retail to facilities for the arts to senior housing.

But Jones told BusinessWest that this development is not simply about finding new uses for properties named by and for her ancestors. It’s also about creating what she described, alternately, as a community and a destination, something she believes is sorely needed in an area less than a mile north of the UMass Amherst campus and three miles from Amherst Center.

“The vision for the Mill District is for an eats, arts, and entertainment destination, built with respect for our industrial and agricultural past and reflecting that history,” she explained. “This is where history and opportunity meet; it would be a place where you would have unique experiences not found on the Internet, a destination for not just college students, but people of all ages.”

For this issue and its focus on commercial real estate, BusinessWest talked with Jones and Mollye Wolahan, vice president of Real Estate and Commercial Development for W.D. Cowls Inc. about the Mill District and how it has the potential to change the landscape in North Amherst in myriad ways.

Board Feat

As she talked with BusinessWest in that farmhouse on Montague Road built by David and Sarah Cowls, Cinda Jones was supremely confident that the new Atkins Farms market, and the Mill District as a whole, would thrive.

And when asked why, she quickly dove into a discourse on geography — and business — concerning that decidedly rural area north and west of Amherst, starting with the town of Gill, population 1,500, where she lives.

The new Atkins taking shape in the Mill District, set for a soft opening next month, is expected to be an anchor for the North Amherst development.

“They call it a food desert around here, and with good reason,” she said, referring to the area that also includes Leverett, Shutesbury, Ashfield, Conway, Deerfield, and other communities from which people commute to Amherst and Northampton. “I live on Route 2, and there’s nothing between Amherst and Route 2 of any substance; there’s no grocery stores of any size.

“Most people who work at UMass, in Amherst, and in points beyond, commute from more-affordable towns,” she went on. “These commuters are demanding better shopping and stopping options on their way home.”

This food desert, coupled with the need to redevelop several of the family’s shuttered or underperforming facilities, such as the saw mill, eventually led to the years-long process of conceptualizing the Mill District and then making it reality.

“We always knew that we would have the chance to do what every generation before us did, which was to figure out what our generation needed and then build it on the Home Farm site,” Jones explained. “The saw mill was sucking wind — it was losing money on 20 acres of land a half-mile north of UMass Amherst, and we decided to build what we know this area needs.”

And also build what is permitted on the commercially zoned property, she added quickly, noting that attempts to amend the zoning to allow more residential density have thus far failed. If that situation should change, then the future course of the district may be reshaped. But for now, the company is dealing with the present reality — meaning both the zoning laws and needs within the community.

This goal for the property is captured in an architect’s rendering of the district that is used as a marketing piece. It shows a mixed-use facility teeming with activity of both sides of Cowls Road. The image represents that mix of commercial and residential development that is sought, as well as a sense of community that both Jones and Wolahan described.

“We want to create a sense of place here in North Amherst,” said Wolahan, who brings a diverse resume to her assignmemt, including work as community development director for the Town of Mountain Village, the resort town adjacent to Telluride in Colorado. “And we found with the opening of the Trolley Barn and also with people coming into our office to explore opportunities with us is that there is such a demand for services and activities in this area.

“There is a large community here that doesn’t have the same services available in downtown,” she went on, adding that there is considerable vehicular traffic in the area on Routes 116 and 63. “There are a lot of families and many students living here, and what we’re trying to do is build on what’s already here and create not just the bricks and mortar, but the sense of community as well.”

While talks with Atkins about creating a presence in North Amherst and, more specifically, on the Cowls/Jones property had been going on for years (more on them later) the first piece of the Mill District development was the Trolley Barn.

The Trolley Barn, now home to The Loft salon, Bread & Butter restaurant, and several apartments, opened its doors last year.

The apartments on the second and third floors leased out quickly — no surprise in an area always starved for market-rate housing — but the businesses also got off to fast starts, said Wolahan.

“Bread & Butter was packed when it first opened,” she recalled. “And it has pretty much stayed that way ever since.”

What’s in Store

When asked how she eventually corralled Atkins as a tenant, Jones didn’t mince words, and only needed a few of them.

“We begged them, begged, them, begged them, and begged them some more,” she said, adding that to cinch a deal, the developers essentially took as much of the risk out of the equation as possible, building out the property to suit and pledging to expand it if (or, more likely, when, Jones predicted) need arises.

That property, a.k.a. the Cow Palace, was, as the name suggests, a functioning dairy barn until only a few decades ago and more recently served as a lumber-storage area. The property bears Sarah Cowls’ name, because it was her operation, said Jones, adding that she was a cattle farmer who also bred sheep, pigs, chickens, dogs, and peacocks, while also growing onions, corn, tobacco, and potatoes.

The barn was actually the third property on the site presented to Atkins as a potential new home, said Jones, adding that she first proposed the saw mill and later the Trolley Barn site, before the company became sold on the dairy barn.

As she offered BusinessWest a tour of the Atkins facility, Jones said the store represents mostly historic preservation, with most all of the old barn kept intact.

The new Atkins will not have a kitchen, so foods will not be prepared there, she said, adding quickly that prepared items will be transported to the new site from the South Amherst flagship facility several times a day. And overall, the new location will offer essentially everything the company sells — from apples and cider donuts to floral arrangements; from cheese to meats.

Atkins is expected to serve as the Mill District’s anchor, said Wolahan, adding that it will likely bring the volume of traffic that can attract other kinds of businesses and create the momentum needed to make that conceptual rendering of the area in question a reality.

Once Atkins is up and running and traffic within the facility increases, both Jones and Wolahan expect other pieces of the Mill District picture to fall into place.

Indeed, while walking past the old saw mill, closed in 2010, Jones said its future use is limited only by one’s imagination.

“We could tear that structure down and build a 3 ½-story building on top, and that would probably be the smartest thing to do,” Jones explained. “But with so many acres of open space, I’m hoping to lease that space.”

As an example of what might work there, she cited Kings Bowl, which has several locations in the Northeast and as far south as Orlando. Billing itself as “the classy bowling joint,” it features a host of games in addition to bowling — shuffleboard, skee ball, and air hockey, for example — as well as a restaurant and bar. Such a concept, said Jones, would certainly be appealing in the five-college area.

Meanwhile, another small barn on the property, known as the antique barn, is drawing some interest from a bank as the possible site of a branch and community center, said Jones, adding that those talks are preliminary in nature, as are discussions with UMass Amherst about utilizing one of the facilities as a possible home for startups.

Cinda Jones says the saw mill on the family’s property, a replacement for the one Walter Cowls Jones built, presents a number of development opportunities.

As for Goat Meadow, the large open tract off Sunderland Road, Jones said there have been some discussions with the builders of senior-housing developments about that parcel. Amherst is rated as one of the most attractive communities nationwide for retirees, mostly because of the activities and life-long learning opportunities related to the five colleges, she went on, and there is a shortage of housing for such individuals.

Overall, discussions are being conducted with potential tenants in many categories, said Wolahan, adding that a number of multi-family housing developers have expressed interest because the zoning permits commercial businesses on the ground floors of properties and residential above, as seen in the Trolley Barn.

One of Wolahan’s current assignments is to finalize a master plan for the site, which will essentially act as a road map for developing the various properties and parcels.

Plane Speaking

As she talked about the need for a destination, one that would create experiences for people of all ages, Jones referenced her nieces and nephews, some of whom who are already working at W.D. Cowls, and thus represent the 10th generation of the family to do so.

“There’s no place for them to go around here, no place to go and have fun,” she noted, adding that creating such a place constitutes one of the many ways she intends for her generation to leave its mark on the Cowls business — and the community.

Indeed, the family that has been writing history for three centuries is poised to script some exciting new chapters.

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

Hitting Its Stride

By BusinessWest Staff July 14, 2015

Cover Story Luxury Living Sections

GreatHorse Moves Strongly Out of the Gate

More than three years — and $45 million — after what started off as a basic renovation of the Hampden Country Club golf course, GreatHorse has made its debut. This new name is not followed by ‘golf club’ or ‘country club,’ said President Guy Antonacci, because it is much more than the former, and is not the latter, in the traditional sense of the word. Instead, management is calling this a ‘lifestyle club,’ and say it more than meets that description.

Guy Antonacci says GreatHorse is a “lifestyle club,” a statement backed up by the size and amenities of the clubhouse, seen here from the course.

As Guy Antonacci remembers things, it was supposed to be just a “facelift.”

That was the term he used to describe what his family, owners of USA Hauling and a number of other business ventures, intended to do with Hampden Country Club when they acquired it at auction in early 2012.

The initial plan, he told BusinessWest, was to take a club, opened in 1973 and that was, by most accounts, tired — an adjective that could be applied to the course, clubhouse, and practically every other aspect of the operation — and make it far less so.

They started with the sand traps, eventually investing more than $2 million in work to refurbish them. But as that undertaking progressed, it became clear that the work couldn’t stop there.

“This project has evolved 10 times,” he explained. “It started with bunkers and drainage, but then you realize the bunkers don’t match the grass on the greens, and they don’t match the fairways. You re-grass the greens, and then you say, ‘the greens are 40 years old; we’re putting all this money into everything else … we might as well redo the greens.

“That facelift … well, it turned into full-blown plastic surgery on the entire body,” Antonacci, the club’s president, added with a hearty laugh, noting that what happened on the course also transpired with the clubhouse, added amenities (everything from a pool to bocce courts), and a new, separate banquet facility a few hundred yards from the first tee.

Roughly $45 million later (no, that is not a misprint), GreatHorse — a name chosen in a nod to one of the family’s many entrepreneurial pursuits, a horse-breeding operation — is ready for prime time.

Well, sort of. The course is open, but work continues, specifically on a redesigned, lengthened, and toughened finishing hole. The rambling, 25,000-square-foot clubhouse, described by Antonocci, the club’s president, as “mountain rustic,” is getting some finishing touches, especially in the pool/cabana area and those aforementioned bocce courts, but is otherwise ready for members. The banquet facility is still under construction, but there have already been a number of bookings, and the first wedding is expected early next year and perhaps by the holidays.

As for those members, there are already close to 600 of them, said Antonacci, who stressed that he was counting individuals, not memberships (there are roughly 170 of those). And he’s quite proud of that distinction.

Indeed, the name Great-Horse is not followed by ‘Country Club,’ ‘Golf Club,’ or anything else, he said, and for a reason. It is not designed to be either of those, in the strictest sense of the words.

Instead it is what he called a ‘lifestyle club,’ one that is already appealing in a huge way to families.

“I think a big part of our early success is owed to the fact that we’re very kid-friendly,” Antonacci noted, listing facilities and activities ranging from a playground and pool to a planned kids’ movie night. “The golf-only model, or the old country-club mentality, clearly hasn’t worked in this region over the past 10 to 15 years; we’re calling ourselves a lifestyle club, and we want activities for not just the husband and wife, but everyone, right down to very young kids.”

GreatHorse, the facelift that became a full-body makeover, was designed to be different, and it has already succeeded in that mission, said Antonacci, adding that members and potential members alike recognize and appreciate the difference between this facility and more traditional clubs.

The facility is opulent, to be sure — from leather seats on the golf carts to individual wine lockers in the 160-seat dining room (there are 24 of them, and only a handful remain to be sold) — but also casual, or “comfortable,” as Antonacci put it.

That means jeans are allowed in the dining room and the men’s lounge, complete with its majestic views and mounted deer and elk heads (many of which are trophies Antonacci has bagged himself), and there is no prohibition on cell-phone use, as there is in many clubs.

“We want members to feel comfortable; we want members to feel relaxed,” he explained. “We don’t want guys to feel like they’re walking on eggshells; we want it to be an extension of your home.”

For this issue and its focus on luxury living, BusinessWest paid a visit to GreatHorse, a tour that certainly revealed why this facility with the great view is worthy of that designation ‘lifestyle club.’

Going to Great Lengths

Antonacci has some simple advice — some might call it a warning — for those looking to kick the tires on GreatHorse and see what all the fuss is about.

“If you don’t intend to join, you probably shouldn’t visit this place,” he said with a voice that blended sarcasm with a strong dose of seriousness.

The implication was clear, and those sentiments have been backed up by the club’s strong performance out of the gate. Indeed, those who do visit — and have the wherewithal to join the high-end club — are finding it difficult not to eventually sign on the dotted line, Antonacci said. “We have a very high close’ rate.”

That’s because there is much more to tempt potential members than the course, although that’s a good place to start. Other selling points include everything from massage rooms in both the men’s and women’s locker rooms to the 30-odd TVs scattered around the facility; from the view out the back of the clubhouse to the many aspects of the operation that make it family-friendly.

And it all started with that bunker-restoration project in the late spring of 2012.

Turning the clock back more than three years, Antonacci said his family, always looking for solid business opportunities, set about finding one in what most would consider an unlikely place, literally and figuratively, at that time.

The dining room in the GreatHorse clubhouse overlooks the course.

Indeed, the golf industry, which had been thriving in the years after Tiger Woods appeared on the stage in the mid-’90s and gave the game a huge dose of adrenaline, was still suffering mightily several years after the Great Recession took a severe toll on public courses and private clubs alike.

A number of area clubs were either officially or unofficially for sale, and Antonacci said his family looked, to one extent or another, at several of them, including Hickory Ridge in Amherst and Crestview in Agawam.

The search eventually ended at Hampden, a course and a club that had certainly seen better days but had a spectacular view and what Antonacci described as “good bones.”

What was on those bones obviously needed some work, though, and it eventually came in waves, and in many respects mirrored the experiences of the homeowner who does over one aspect of a room and then realizes this necessitates other steps. And when that room is finished, the others must be made over as well.

So it was with GreatHorse.

While creating a championship golf course, the new owners decided they needed not simply a makeover of the clubhouse, but something new, big, and bold.

“Originally, we were going to fix up the banquet hall and generally leave the old building as is,” Antonacci said. “But we knew that, to do it right, we would have to get rid of the old facility, and that’s when we decided to go full steam ahead with building a new clubhouse.”

And while Guy and one of his brothers, both avid golfers, essentially presided over the course makeover, the new clubhouse was a family affair.

“Everyone got involved,” he recalled, adding that the firm given the assignment to design the clubhouse, Portsmouth, N.H.-based TMS Architects, was given some simple instructions — design something elegant and distinctive, yet also “casual.”

And by all accounts, it delivered, with a facility that includes a full fitness center, a salon, the massage rooms, and a Dale Chihuly chandelier near the front entrance.

“It’s upscale enough to charge what’s being charged,” Antonacci explained, adding that the structure looks more like it belongs in the Rockies than in Western Mass. “But it’s laid-back enough to where you can come, kick your shoes off, relax, and not have to worry about rules.”

Mane Attraction

Billy Downes remembers carrying two of those old-style (and quite heavy) leather golf bags at one time when he caddied at Hampden just after it opened.

That’s why, when it was suggested that the course, with several steep climbs, is difficult to walk, he just smiled.

Downes has a long history at Hampden. He caddied there, played out of the course, and was its pro, after an earlier stint at nearby Elmcrest, when the club went on the auction block in 2012. He told BusinessWest that the creation of GreatHorse has stimulated a great deal of interest and speculation across the region, and in some ways it has re-energized the local golf market.

“I’ve been in the golf business my whole life, and on this end (being a club pro) for the past nine or 10 years, and I’ve never seen in that time what I’m seeing here,” he said. “People come in, whether they’re from another club in this area or not, and their attitude is totally changed. They’re excited — they’re excited to play golf again, they’re excited to be here … it’s fun to see.”

And the course itself is a big reason for this enthusiasm. Redesigned by noted course designer Brian Silva, it is now easily among the best tracks in the region and is already being mentioned as a potential U.S. Open qualifying site and host of state and regional tournaments such as the Mass. Amateur.

Capable of being stretched to just over 7,300 yards, the course maintains, for the most part, its original routing, but is otherwise entirely new. That includes dramatic makeovers to the first and 10th holes, which featured blind tee shots down the mountain and were widely criticized by players.

“It’s a great test of golf for people of all ability levels,” said Downes as he offered a quick tour. “We’ve created what is sure to be a great golf experience.”

To ensure that goal is reached, the club is planning a large teaching facility, and has constructed a huge practice area and three putting greens.

The large pool area at GreatHorse is one of many features that have made it attractive to families.

But Antonacci and GreatHorse General Manager Bryan Smithwick stressed that there is much more to this facility than the course. Indeed, the tour revealed everything from a huge outdoor patio area with five TVs to two semi-surround golf simulators, suitable for lessons and playing a host of courses virtually; from the massage areas to the so-called ‘club room,’ complete with several large TVs, which Smithwick described as an ideal setting for fantasy-league draft nights; from the huge pool area to a tennis and paddleball complex currently under construction.

Overall, the clubhouse and adjoining facilities were designed with the same philosophy as the golf course — to provide an enjoyable experience.

And everything in the package has to succeed with that goal, said Smithwick, adding that as much attention is paid to the food and wine being served as there is to the grass on the greens.

“You can have all this,” Smithwick said, gesturing to the golf course seen outside the windows of the men’s lounge, “but if the food doesn’t match, you’re not going to be successful.”

The goal is to make the club a nearly year-round operation (it will close just after the Super Bowl next February and re-open a month later for March Madness) and to become a family’s restaurant of choice.

Officially open just a few months now, the club has caught the attention of the buying public, said Antonacci, adding that the more than 170 memberships sold thus far far exceed the goals and expectations for this date.

“In the beginning, maybe six or eight months ago, we were saying that we’d be happy to get 75 or 80 memberships to start, and they’d bring their friends, and everything would catch on the second year,” he recalled. “We thought the first year was going to be extremely light, but that hasn’t been the case at all.”

And when one does the math and divides the number of members by the number of memberships, it’s clear that GreatHorse is appealing to its intended audience — families.

They hail from several surrounding communities in Massachusetts and Connecticut, and even one from Boston. Thus far, the club has relied solely on word-of-mouth referrals, said Antonacci, adding that more formal, targeted marketing is planned.

When asked about the overall goal for memberships, Antonacci said common sense will ultimately dictate a number.

“A lot will depend on activity — some people play once a month, others six days a week,” he noted. “We’ll probably cap the golf memberships at 275 to 350; once we sense that the place feels crowded, we’ll shut it down. One thing we want to avoid is a guy showing up on Saturday morning and not being able to get out for several hours.”

Antonacci didn’t get into any details on rates, offering instead to qualify the price structure. “We like to say that we offer Rolls-Royce value at Audi prices.”

Gait Attraction

Antonacci said that most of the golf publications and other types of periodicals that might review the course and the overall operation won’t do so for at least a few more months.

And those at GreatHorse want it that way.

They would prefer those writers and editors to see and experience a finished product, and, as mentioned earlier, this one isn’t quite finished.

But it’s not too early to declare this one of the more intriguing regional business stories of 2015 and a venture that, like the horses that inspired its name, will run hard and fast in a crowded field of competitors and likely emerge a big winner.

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

A Matter of Perspective

By BusinessWest Staff June 30, 2015

Cover Story

UMass Grad Marty Meehan Now Leads the System

Marty Meehan acknowledged that, when someone decides to run for Congress, and then succeeds in that mission, they’ve done more than win an election. They’ve also more or less committed to a career in politics.

But when Meehan set out to capture the Bay State’s 5th Congressional District seat, anchored by his hometown of Lowell, in 1993, at age 37, he said he did so with a much different mindset.

“I knew I didn’t want to serve in Congress for the rest of my life,” he told BusinessWest, adding quickly that he didn’t know exactly what path his career should ultimately take.

So in 2001, he engaged the services of New Directions, an executive career-development firm that, in essence, helps clients determine a path and, in Meehan’s words, “tells you what you’re good at.”

After an extensive three-week process that included several tests and interviews with people who knew him well, those at New Directions told Meehan he’d be good at running a professional sports league or taking an executive position in higher education.

Marty Meehan, seen here with the mascot for UMass Lowell, says graduating from the university gives him a unique perspective that will serve him well as president.

To make a long story short, that analysis was on the money.

Meehan, who said he essentially put himself on a track for either of those pursuits, eventually became chancellor of UMass Lowell, where, by all accounts, he led a stunning resurgence at the school.

And last month, he was chosen to succeed Robert Caret as president of the entire university system, thus becoming the first UMass undergrad (he earned a degree in education and political science at the Lowell campus) and first chancellor within the five campuses to ascend to the president’s office.

He said those two qualities, if you will, provide him with a unique perspective, one he believes will serve him well in his new position.

“I have a passion for the University of Massachusetts, and I view that as an asset,” he explained. “When I interact with students, I literally say, ‘I was where you are.’ I have a passion for the institution because I was a student here. I fundamentally understand at my core what it means to have a great university system.”

In a wide-ranging interview, Meehan, who takes the helm July 1, touched on a number of issues involving the university and his role as its president. They include:

• The overall accessibility of the university’s campuses: “The fact is that public higher education in this state has been privatized over the past three decades; the cost of a UMass education has stayed the same, adjusted for inflation, but the burden of paying that cost has shifted from the Commonwealth to students and their families”;
• His perceived role: “A big part of my job is to make the case for this system and demonstrate why it’s important to make the investment in a world-class public research university”;
• His quick take on his job description: “My job is to provide leadership, inspiration, and passion to help the university get what it needs in terms of funding and what it needs in terms of stature, prestige, and reputation. Universities are all about students, faculty, and the interaction that takes place between students and faculty; the rest of us are there to support and embrace that interaction”;
• His leadership style: “I’m very strategic in everything I do; I’m also collaborative and accessible”;
• The importance of the Amherst campus: “UMass Amherst sets the standard for what the UMass brand is all about. So it’s in the interest of all the UMass campuses for UMass Amherst to improve its ranking; that’s where the brand comes from.”
• The role of the system as a whole: “I think the economy of Massachusetts runs through this university”;
• His expectations for the Baker administration: “The governor fundamentally understands how the economy of this state works, and he understands the role UMass plays in the economy. I think he’s thoughtful, he’s smart, and the University of Massachusetts could do quite well under Governor Baker”; and
• His commitment to stay for the “long haul,” as he put it: “I didn’t take this job to get another job — I’m not thinking about what else I’m going to be doing. When I got the job at Lowell, everyone thought I was going to run for the Senate a couple of different times or run for governor. What I said was that I didn’t think you could take a job like that and not make at least an eight-year commitment, and I feel the same about this job.”

For this issue, BusinessWest delves into much greater detail on these and other matters as we talk at length with the next leader of the state university.

School of Thought

As Meehan wrapped up his comments with BusinessWest in the office of the UMass Amherst athletic director — he was at the Mullins Center to attend the June board of trustees meeting — he used that setting and its view of the arena to segue into one of the dilemmas he’ll be facing as president, if one could call it that.

“Someone in the press asked me who I was going to root for when UMass Amherst plays UMass Lowell,” he said, referring specifically to two hockey squads that face off against each other and the 10 other teams in the highly competitive Hockey East conference. “I said, ‘that’s an easy one; when the game’s in Amherst, I’ll be rooting for the Minutemen, and when the game’s in Lowell, I’ll be rooting for the Riverhawks; that’s how I’ll solve that.’”

Marty Meehan says one his first priorities is to initiate a new strategic plan for the UMass system, one that will be conducted from the ground up.

Surely, the myriad other issues he’ll be confronting as president will resist such quick, easy, and diplomatic solutions, but overall, Meehan believes he’s ready for pretty much whatever this job can and will throw at him.

Such confidence stems from a career in leadership positions, which have yielded a wide range of learning experiences.

They came in Congress, where he served seven terms, served on the Armed Services and Judiciary Committees, and established a national reputation for his work with everything from campaign finance reform to tobacco control; before that, in stints as the first assistant district attorney of Middlesex County and Massachusetts deputy secretary of state for securities and corporations; and especially at UMass Lowell — which brings him back to that determination readied by New Directions.

Meehan said he worked to position himself for possible management roles with sports leagues — on the House Judiciary Committee, he became more involved in anti-trust issues that affect professional sports leagues, for example — but soon became more focused on the second career path recommended to him.

Indeed, the post at UMass Lowell was actually the second opportunity within the broad realm of higher education that he considered. The first was his pursuit of the job as dean of the law school at Suffolk University, where he earned both his master’s and juris doctor degrees and was also on the board of trustees. But it wasn’t a hard pursuit.

“I told the search firm that I didn’t think I was what the law school needed at that point,” he recalled. “I felt it needed a nationally known academic or perhaps a former federal judge.

“But during the course of an hour-and-a-half conversation, I got an opportunity to talk about higher education,” he went on. “And when the Lowell position came up, the same search firm was hired to handle that search, and after that long conversation we had, I knew they’d be calling me for that position.”

They did, and after overcoming some reluctance to being named a finalist — he was concerned about both publicly acknowledging his pursuit of the job and competing against seasoned academics — Meehan was awarded the job.

He believes that aforementioned passion resulting from his student experiences there — and his ability to communicate it — was a big factor.

“I wanted the job because I felt that I could make a difference at an institution that meant so much to me personally,” he explained. “Number one, it’s in my hometown, and number two, I graduated from the school. And I felt UMass Lowell could be a much greater institution than what it was.”

At Lowell, he took over a school that was, by most all accounts, underperforming, and certainly changed that dynamic.

Indeed, during Meehan’s tenure, the school, founded in the 1890s as the Lowell Normal and Lowell Textile schools, achieved record growth in enrollment, student retention, research, and scholarship funding. The school has also undergone a dramatic physical transformation, with new academic buildings and residence halls; upgraded academic, research, and athletic facilities; and enhanced student-activity spaces.

Meehan’s comprehensive portfolio of improvements includes:

• Rating as a top-tier university by U.S. News & World Report for the first time in 2011. The school has subsequently seen a four-year gain of 27 spots, from number 183 to 156, the second-largest leap in the nation;
• A 50% increase in enrollment over the past seven years, to more than 17,000 students;
• An accompanying rise in academic qualifications, as the average SAT score of incoming freshmen, math and verbal combined, has increased 80 points since 2008;
• A 10% increase in freshman retention, from 75% to 85%;
• A dramatic rise in research expenditures, specifically 80% since FY ’07 to $65 million;
• The construction of 10 new buildings on campus. That boom includes two new academic buildings (the first in 35 years) — the Mark and Elisia Saab Emerging Technologies and Innovation Center and the Health and Social Sciences Building. It also includes two new residential facilities that are now home to a quarter of the 4,000 students living on campus, a 33% increase in three years;
• Purchase of an underutilized hotel in the city’s downtown and converting it into the UMass Lowell Inn & Conference Center, which provides housing for 500 students as well as conference space, lodging, and a restaurant for the public;
• Acquisition of the 6,500-seat Tsongas Arena in 2010 (it’s now known as the Tsongas Center at UMass Lowell); and
• The opening in 2014 of University Crossing, a $95 million student-engagement center created in a former hospital site purchased by the university in 2011.

Degrees of Progress

When asked how all that and more was accomplished, Meehan said it resulted from assembling a great team, putting in place an ambitious strategic plan titled “UMass Lowell 2020,” and achieving critical buy-in on its many initiatives.

This is the same formula he intends to use as president of the system, which, he believes, has already achieved considerable progress in a number of areas, ranging from enrollment to academic qualifications to new building on each of the campuses.

But there is still considerable room for improvement, said Meehan, who was asked to interview during the system’s last presidential search, in 2010, but eventually withdrew, believing the timing wasn’t right and because then-Gov. Deval Patrick had his own preference for a candidate — someone else.

Looking back, he said that decision was a good one, because it gave him additional opportunities to build on his track record of success at UMass Lowell and ultimately learn from the man he would eventually succeed.

Moving forward, Marty Meehan says his primary role as UMass president is to advocate for the system and secure funding to ensure that the schools are accessible.

“I got a great opportunity to do two things,” he said. “One was to finish what I set out to accomplish at Lowell, and secondly, I got to work with a second UMass president, Bob Caret. And because of those experiences, I feel that I’m better-prepared to lead the entire system.”

Looking ahead, Meehan, as he mentioned earlier, said one of his primary responsibilities will be as an advocate for the UMass system — in Boston, Washington, and wherever else that broad assignment takes him.

And as advocate, one of his duties is to articulate how the university’s role has changed and broadened — within the Bay State but also nationally and even globally — and what that means in terms of how the system should be viewed and, more importantly, funded.

“Historically — and when I say historically, I mean over the past 30 years — the political leadership in this state has often viewed the University of Massachusetts as a safety net for students who either can’t get into the elite private colleges or can’t afford to go to those schools,” he explained. “The paradigm has changed dramatically; the elite private universities in this state are not training residents of this state, by and large.”

Thus, with this change in role, the university has taken on an even bigger role when it comes to fueling the state’s economy — an assignment that involves everything from sparking startup businesses to educating and training the workers that ventures across all business sectors will need to succeed.

“I think the argument is powerful: if you want a strong economy, you must have a strong university of Massachusetts,” he told BusinessWest.

“The truth is that social mobility and economic development in this state really drives through the university on every level. We’re an innovation economy; we literally educate the workforce in Massachusetts in terms of the engineers we produce, the nurses, the teachers. So Massachusetts is very reliant on a world-class public research university, and we have to keep the quality up,” he continued, adding that 88% of the graduates of the schools in the UMass system stay in the state for at least five years after earning their diplomas, and 66% stay longer.

“In an innovation economy, you need a workforce that’s well-trained and highly educated, and I think this state gets the fact that our graduates are the key to economic development and economic growth. I sure get it.”

Course of Action

Making sure everyone gets it will help the university achieve a better commitment from the state and therefore the more sustainable financial model it needs in the decades to come, said Meehan, adding quickly that the economy, and specifically state revenues, need to improve for this to happen.

The Baker administration inherited a severe budget crisis, he went on, one that has forced painful mid-year cuts, hard decisions, a slowing of the momentum achieved over the past few years when it comes to state funding of public higher education, and, ultimately, the rate increases approved by the trustees at their June meeting.

The scope of those increases isn’t known yet, said Meehan, adding that any increase impacts accessibility and grows already-worrisome student debt.

To attain more attractive funding levels, the economy must improve, but the university as a whole must continue to become more efficient and thus worthy of a larger investment from the state.

“The governor is going to want to hold UMass accountable in terms of performance, graduation rates, student-success rates, fund-raising, and more,” he said. “And I think the university is ready to be held accountable in exchange for a deeper investment by the state government.”

One of the other priorities moving forward, said Meehan, is to draft a new strategic plan for the university, something similar in many ways to “UMass Lowell 2020” but much larger in scope.

It’s been 25 years since a new comprehensive strategic plan has been created for the university, he said, which means the system is overdue for such a document. And like the one at UMass Lowell, this plan will come from the bottom up.

“We had more than 200 faculty, deans, administrators, and students who all came up with a strategic plan,” he explained. “It took us 13 months to create it, and because we included all those constituencies, we had buy-in. And that’s how it’s accomplished in any large, complex organization, and a university is certainly a large, complex organization.

“We need to evaluate what the system has done well over the past 25 years and what it needs to improve,” he continued, referring to the broad scope of such a strategic plan. “And we need to bring in some of the best high-level academics from public research institutions around the country to help us determine whether this can become the best public university in the country.”

As for the immediate future, Meehan said he plans to spend considerable time visiting the various campuses and gaining feedback from a host of constituencies.

These include the chancellors of those institutions, staff, faculty, students, and alumni. But he also intends to gain perspective from a business community that has placed workforce issues at the very top of its list of priorities — and concerns.

“I look at corporations like EMC and Raytheon, and the majority of the people they hire come from UMass,” Meehan explained. “I want to talk with those major CEOs in the state, not only get some advice on UMass, but also to get them to join with us to fight for more state funding and more federal funding. The business community should be UMass’s biggest cheerleader because of the huge contribution we make to making sure these companies get the best, most highly qualified employees they can get; it makes Massachusetts more competitive.”

Checking Some Boxes

Returning to the subject of those hockey teams and the intense rivalry that has developed between them, Meehan related a conversation with UMass Amherst Athletic Director John McCutcheon, who was lamenting how his school has come up on the short end of many recent contests between the schools.

Meehan said he responded first with some sarcasm, then a challenge, wrapped in the form of a leadership philosophy.

“He [McCutcheon] said, ‘you guys at UMass Lowell have been beating us up the past few years,’” Meehan recalled. “I said, ‘the problem is, everyone has been, and you have to work at this — I want attendance up.’

“Sometimes, I get into a lot of various details, but there’s a reason,” he went on, explaining why he was dwelling on hockey. “I think good leaders need to say, ‘we want excellence in everything we do.’”

That has been Meehan’s approach throughout a career that’s taken him to the House of Representatives and then the career in education recommended years ago. And it’s one he believes will ultimately help drive continuous improvement at the state university. n

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

Time to Shine

By BusinessWest Staff June 16, 2015

Cover Story

Our Annual Guide to Summer Fun in Western Mass.

Vacations are highlights of anyone’s calendar, and summertime is, admittedly, a perfect time to get away. But it’s also a great time to stay at home and enjoy the embarrassment of riches Western Mass. has to offer when it comes to arts and entertainment, cultural experiences, community gatherings, and encounters with nature. From music festivals and agricultural fairs to zoos and water activities — and much more — here is BusinessWest’s annual rundown of some of the region’s outdoor highlights. For a more comprehensive list go HERE. Have fun!

Music, Theatre, and Dance

Jacob’s Pillow Dance Festival
358 George Carter Road, Becket
(413) 243-0745; www.jacobspillow.org
Admission: $19 and up
June 13 to Aug. 30: Now in its 83rd season, Jacob’s Pillow has become one of the country’s premier showcases for dance, featuring more than 50 dance companies from Cuba, the Netherlands, Germany, France, Canada, and across the U.S. Participants can take in 200 free performances, talks, and events; train at one of the nation’s most prestigious dance-training centers; and take part in community programs designed to educate and engage audiences of all ages. Never Stand Still, the acclaimed documentary about Jacob’s Pillow, will be screened on Aug. 30 at 4:30 p.m.

Tanglewood
 297 West St., Lenox
(617) 266-1200; www.bso.org
Admission: $12 and up
June 19 to Sep. 5: Tanglewood has been the summer home of the Boston Symphony Orchestra since 1937, and like previous years, it has a broad, diverse slate of concerts in store for the 2015 season, including the Festival of Contemporary Music on July 20, the String Quartet Marathon on July 29, Chamber Music Concerts on Sundays throughout July and August, and a roster of popular-music shows featuring Sheryl Crow with the Boston Pops, Diana Krall, Huey Lewis and the News, Tony Bennett and Lady Gaga, and Idina Menzel. To celebrate its 75th anniversary, Tanglewood has also commissioned some 30 new works for performance during the 2015 season.

Wilco’s Solid Sound Festival / Bang on a Can Plays Art / Fresh Grass Festival
1040 MASS MoCA Way, North Adams
(413) 662-2111; www.massmoca.org
Solid Sound: Festival pass, $149; individual days, $65-$99
Bang on a Can Plays Art: Festival pass, $75; individual concerts, $5-$24
Fresh Grass: Festival pass, $93
The Massachusetts Museum of Contemporary Art is known for its roster of musical events during the summer. Wilco’s Solid Sound Festival (June 26-28) returns with three days of music — from the festival’s namesake band plus dozens of other artists — and an array of interactive and family activities. The Bang on a Can Summer Music Festival, a residency program for composers and performers, is highlighted by Bang on a Can Plays Art (July 25 to Aug. 1), a weeklong series of shows culminating in a blowout finale on Aug. 1. Finally, the Fresh Grass Festival (Sep. 18-20) showcases more than 20 bluegrass artists and bands over three days. Whatever your taste in music, MassMOCA delivers all summer long. And check out the galleries, too.

Williamstown Theatre Festival
1000 Main St., Williamstown
(413) 597-3400; www.wtfestival.org
Admission: $35 and up
June 30 to Aug. 23: Six decades ago, the leaders of Williams College’s drama department and news office conceived an idea: using the school’s theater for a summer performance program with a resident company. Since then, the festival has attracted a number of notable guest performers, including, this summer, Kyra Sedgwick, Blair Underwood, Cynthia Nixon, Eric Bogosian, and Audra McDonald. This season will spotlight a range of both original productions and plays by well-known writers such as William Inge and Eugene O’Neill, as well as a number of other programs, such as post-show Tuesday Talkbacks with company members.

CityBlock Concert Series
Worthington and Bridge streets, Springfield
(413) 781-1591; www.springfielddowntown.com/cityblock
Admission: Free
July 2 to Aug. 27: The Stearns Square Concert Series reverts to its original name this year, but the Thursday-night lineup remains studded with national touring acts and local lights, including Jane Monheit (July 2), Jon Butcher Axis (July 9), Willie Nile (July 16), Cinderella’s Tom Keifer (July 23), Dwayne Dopsie and the Zydeco Hellraisers (July 30), Denny Laine of Wings (Aug. 6), Dana Fuchs Band (Aug. 20), and FAT (Aug. 27). The 6:30 p.m. shows will be preceded at 4:30 p.m. by a new Local Music Showcase on a second stage, featuring up-and-coming acts. The series is sponsored by the Springfield Business Improvement District.

Green River Festival
Greenfield Community College, One College Dr., Greenfield
(413) 773-5463;  www.greenriverfestival.com
Admission: Weekend, $99.99; Friday, $19.99; Saturday, $59.99; Sunday, $59.99
July 10-12: For one weekend every July, Greenfield Community College hosts a high-energy celebration of music; local food, beer, and wine; handmade crafts; and family games and activities — all topped off with four hot-air-balloon launches and a spectacular Saturday-night ‘balloon glow.’ The music is continuous on three stages, and this year features Steve Earle & the Dukes, Punch Brothers, Tune-Yards, Preservation Hall Jazz Band, J Mascis, and more than three dozen other artists. Children under 10 can get in for free, and they’ll want to, as the family-friendly festival features children’s music performers, a kids’ activity tent, games, circus acts, a Mardi Gras parade, and other surprises.

Springfield Jazz & Roots Festival
Court Square, Springfield
(413) 303-0101; springfieldjazzfest.com
Admission: Free
Aug 8: The second annual Springfield Jazz & Roots Festival celebrates the emergence of Springfield’s Cultural District and promotes an arts-driven, community-oriented, and sustainable revitalization of the city. The event will offer a festive atmosphere featuring locally and internationally acclaimed musical artists, dance and theater workshops, local arts and crafts, and plenty of food. More than 5,000 people are expected to attend and enjoy the sounds of jazz, Latin jazz, gospel, blues, funk, and more. The festival is produced by Blues to Green, which uses music and art to celebrate community and culture, build shared purpose, and catalyze social and environmental change.

Community Gatherings

Worthy Craft Brew Fest / Valley Fest
Worthy Craft Brew Fest: 201 Worthington St., Springfield, MA
(413) 736-6000; www.theworthybrewfest.com
Valley Fest: Court Square, Springfield, MA
(413) 303-0101; www.valleybrewfest.com
Admission (both): Free
If you like craft beer, you’re in luck this summer, with two events coming to downtown Springfield. On June 20, Smith’s Billiards and Theodores’ Booze, Blues & BBQ, both in the city’s entertainment district, will host some 20 breweries, with music by General Gist and the Mexican Cadillac. The event will also feature a home-brew contest; Amherst Brewing will make the winner’s beer and serve it at next year’s Brew Fest. Then, on Aug. 29, White Lion Brewing Co. will host its inaugural beer festival, called Valley Fest, at Court Square. MGM Springfield will be the presenting sponsor. More than 50 breweries and many local food vendors will converge downtown, and attendees will have an opportunity to sample more than 100 varieties of beer and hard cider alongside pairing selections by local chefs.

Springfield Dragon Boat Festival
121 West St., Springfield, MA
(413) 736-1322; www.pvriverfront.org
Admission: Free
June 27: The third annual Springfield Dragon Boat Festival returns to Riverfront Park. Hosted by the Pioneer Valley Riverfront Club, this family-friendly festival features the exciting sport of dragon-boat racing and will include music, performances, food, vendors, kids’ activities, and more. Watch the dragon-boat races, starting at 9 a.m., and stay for a day of fun along the riverfront. The festival is an ideal event for businesses and organizations looking for a new team-building opportunity, and provides financial support for the Riverfront Club as it grows and strengthens its presence in Springfield and the Pioneer Valley.

Berkshires Arts Festival
Ski Butternut, 380 State Road, Great Barrington
(845) 355-2400; www.berkshiresartsfestival.com
Admission: $6-$13; children under 10, free
July 3-5: Now in its 14th year, the Berkshires Arts Festival has become a regional tradition. Thousands of art lovers and collectors are expected to descend on the Ski Butternut grounds to check out and purchase the creations of more than 175 artists and designers, as well as experiencing theater and music from local and national acts. Founded by Richard and Joanna Rothbard, owners of An American Craftsman Galleries, the festival attracts top artists from across the U.S. and Canada. Visitors can also participate in interactive events like puppetry and storytelling, all the time enjoying a respite from the sun under tents and in the ski resort’s air-conditioned lodge.

Monson Summerfest
Main Street, Monson
(413) 267-3649; www.monsonsummerfestinc.com
Admission: Free
July 4: In 1979, a group of parishioners from the town’s Methodist church wanted to start an Independence Day celebration focused on family and community, The first Summerfest was held at the church, featuring food, games, and fun activities. With the overwhelming interest of nonprofit organizations in town, the event immediately grew, and relocated onto Main Street the following year. With the addition of a parade, along with booths, bands, rides, and activities, the event has evolved into an attraction drawing more than 10,000 people every year. The festivities will be preceded this year by a town fireworks display on June 27.

Brimfield Antique Show
Route 20, Brimfield, MA
(413) 283-6149; www.quaboaghills.com
Admission: Free
July 14-19, Sep. 8-13: What began humbly — when a local auctioneer decided to hold open-air auctions on his property, and grew into a successful flea market — eventually began including neighboring properties as it grew. It expanded in the ’80s and ’90s to a one-mile stretch of Route 20 on both sides, and these days, the Brimfield Antique Show is a six-mile stretch of heaven for people to value antiques, collectibles, and flea-market finds. Some 6,000 dealers and close to 1 million total visitors show up at the three annual, week-long events (the first was in May). The Brimfield Antique Show labels itself the “Antiques and Collectibles Capital of the United States,” and — judging by its scope and number of visitors — it’s hard to disagree.

Iron Bridge Dinner
Iron Bridge over Deerfield River, Shelburne Falls and Buckland, MA
(413) 625-2526; www.mohawktrail.com
Admission: TBA
Aug. 16: Local restaurants and food providers will prepare an elegant, one-of-a-kind dinner on the Iron Bridge for ticket holders at sunset. Seating is at 5:30 p.m., and dinner begins at 6 p.m. Athletes from the Mohawk Athletic Assoc. will serve the meal, while local musicians serenade the diners. The Iron Bridge spans the towns of Buckland and Shelburne, and this event, modeled after a similar community dinner in France, celebrates all the connections there are between the two communities. Held rain or shine. Tickets go on sale July 17.

Agricultural Fairs
Various locations and admission costs; see websites:
www.thewestfieldfair.com; www.cummingtonfair.com; www.3countyfair.com; www.theblandfordfair.com; www.fcas.com; www.belchertownfair.com
Starting in late August and extending through September, the region’s community agricultural fairs are a treasured tradition, promoting agriculture education and science in the region and supporting the efforts of local growers and craftspeople. The annual fairs also promise plenty of family-oriented fun, from carnival rides to animal demonstrations to food, food, and more food. The Westfield fair kicks things off Aug. 21-23, followed by the Cummington Fair on Aug. 27-30, the Blandford Fair and the Three County Fair in Northampton on Sept. 4-7, the Franklin County Fair in Greenfield on Sept. 10-13, and the Belchertown Fair on Sept. 18-20, to name some of the more popular gatherings.

History and Culture

Hancock Shaker Village
1843 West Housatonic St., Pittsfield, MA
(413) 443-0188;  www.hancockshakervillage.org
Admission: $8-20; children 12 and under, free
In 1774, a small group of persecuted English men and women known as the Shakers — the name is derived from the way their bodies convulsed during prayer — landed in New York Harbor in the hopes of securing religious freedom in America. Nearly 250 years later, their utopian experiment remains available to the public in the restored 19th-century village of Hancock. Through 20 refurbished buildings and surrounding gardens, Shaker Village successfully illuminates the daily lives of its highly productive inhabitants. After spending a day in the recreated town, visitors will surely gain a greater appreciation of the Shakers’ oft-forgotten legacy in the region.

Yidstock
Hampshire College, 893 West St., Amherst
(413) 256-4900; www.yiddishbookcenter.org/yidstock
Admission: Concert pass, $160; tickets may be purchased for individual events
July 16-19: Boasting an array of films, concerts, lectures, and workshops, Yidstock 2015: The Festival of New Yiddish Music lands in Amherst in mid-July. The fourth annual Yidstock festival will bring the best in klezmer and new Yiddish music to the stage at the Yiddish Book Center. The festival includes concerts, lectures, and music and dance workshops. The weekend will offer an intriguing glimpse into Jewish roots and jazzy soul music through popular Yiddish bands like the Klezmatics, Klezperanto, Sklamberg & the Shepherds, and more. The festival pass is sold out, but four-day concert passes and tickets to individual events are still available.

Glasgow Lands Scottish Festival
Look Park, 300 North Main St., Florence, MA
(413) 862-8095; www.glasgowlands.org
Admission: $16; children 6-12, $5; under 6, free
July 18: This 22nd annual festival celebrating all things Scottish features Highland dancers, pipe bands, a clan parade, sheep herding, spinners, weavers, harpists, Celtic music, athletic contests, activities for children, and the authentically dressed Historic Highlanders recreating everyday life in that society from the 14th through 18th centuries. Inside the huge ‘pub’ tent, musical acts Albannach, Soulsha, Prydein, Jennifer Licko, Charlie Zahm, and the Caseys will keep toes tapping in the shade. Event proceeds will benefit programs at Human Resources Unlimited and River Valley Counseling Center.

Pocumtuck Homelands Festival
Unity Park, 1st St., Turners Falls, MA
(413) 498-4318; www.nolumbekaproject.org
Admission: Free
Aug. 1: This celebration of the parks, people, history, and culture of Turners Falls is a coordinated effort of the Nolumbeka Project and RiverCulture. The event features outstanding Native American crafts, including baskets, pottery, jewelry, and demonstrations of primitive skills; Native American food; and live music by Native American flute maker Hawk Henry, Medicine Mammal Singers, Urban Thunder Singers, and the Visioning B.E.A.R. Singers. Attendees may also take part in craft activities, storytelling, and traditional dances. The Nolumbeka Project is dedicated to the preservation of regional Native American history through educational programs, art, history, music, heritage seed preservation, and cultural events.

Old Sturbridge Village Family Fun Days
1 Old Sturbridge Village Road, Sturbridge, MA
(800) 733-1830; www.osv.org
Admission: Adults, $24; children, free
Sep. 5-7: Bring the whole family to Old Sturbridge Village on Labor Day weekend, when the largest outdoor history museum in the Northeast opens its doors to children for free (normally, youth admission is $8). Guests are invited to play baseball the way early New Englanders did, make a craft, join a game of French & English (tug of war), meet the oxen in training, try their hand at marbling paper, see a puppet show, watch a toy fire-balloon flight, visit the Freeman Farm, stop and see craftsmen at work, and much more. In addition, the weekend will feature appearances by Bob Olson, performing 19th-century magic, as well as the Old Sturbridge Village Singers and the Old Sturbridge Village Dancers. Let your kids step back into the 1830s and enjoy the last summer weekend before school.

Glendi
St. George Cathedral, 22 St. George Road, Springfield, MA
(413) 737-1496; stgeorgecath.org
Admission: Free
Sep. 11-13: Every year, St. George Cathedral offers thousands of visitors the best in traditional Greek foods, pastries, music, dancing, and old-fashioned Greek hospitality. In addition, the festival offers activities for children, tours of the historic St. George Cathedral and Byzantine Chapel, various vendors from across the East Coast, icon workshops, movies in the Glendi Theatre, cooking demonstrations, and a joyful atmosphere that the whole family will enjoy.

Old Deerfield Craft Fair
10 Memorial St., Deerfield, MA
(413) 774-7476; www.deerfield-craft.org
Admission: $7; children under 12, $1
Sep. 19-20: With New England in its autumnal splendor, the village setting for the Old Deerfield Craft Fair couldn’t be more picturesque. This award-winning show has been recognized for its traditional crafts and fine-arts categories, and offers a great variety of items, from furniture to pottery. And while in town, check out all of Historic Deerfield, an authentic, 18th-century New England village, featuring restored museum houses with period architecture and furnishings, demonstrations of Colonial-era trades, and a world-famous collection of Early American crafts, ceramics, furniture, textiles, and metalwork.

More Fun Under the Sun

Berkshire Botanical Garden
5 West Stockbridge Road, Stockbridge, MA
(413) 298-3926; www.berkshirebotanical.org
Admission: $15; children under 12, free
If the flora indigenous to, or thriving in, the Berkshires of Western Mass. is your cup of tea, try 15 acres of stunning public gardens at the Berkshire Botanical Garden in Stockbridge. Originally established as the Berkshire Garden Center in 1934, today’s not-for-profit, educational organization is both functional and ornamental, with a mission to fulfill the community’s need for information, education, and inspiration concerning the art and science of gardening and the preservation of the environment. In addition to the garden’s collections, among the oldest in the U.S., visitors can enjoy workshops, special events, and guided tours.

Berkshire East / Zoar Outdoor
Berkshire East: 66 Thunder Mountain Road, Charlemont, MA
(413) 339-6617; www.berkshireeast.com
Zoar Outdoor: 7 Main St., Charlemont, MA
(800) 532-7483;  www.zoaroutdoor.com
Admission: Varies by activity
Neighbors and friendly rivals in Charlemont, Berkshire East and Zoar Outdoor don’t shut down when ski season ends in early spring; they morph into hubs for warm-weather fun. Berkshire East touts its 5,450-foot mountain coaster, as well as three different zipline canopy tours, whitewater rafting and ‘funyaking’ on the Deerfield River, and other activities. Meanwhile, Zoar Outdoor also offers plenty of options for the adventurous soul, from kayaking, whitewater rafting, and canoeing on the river to rock climbing and ziplining in the trees down a scenic mountain. The staff also lead overnight rafting and zipping tours into the wilderness.

Lady Bea Cruise Boat
1 Alvord St., South Hadley, MA
(413) 315-6342;  www.brunelles.com
Admission: $10-$15; kids 3 and under, free
Interstate 91 is not the only direct thoroughfare from South Hadley to Northampton. The Lady Bea, a 53-foot, 49-passenger, climate-controlled boat operated by Brunelle’s Marina, will take boarders up and back on daily cruises along the Valley’s other major highway: the Connecticut River. If you don’t feel like sharing the 75-minute narrated voyage with others, rent the boat out for a private excursion. Amenties include a PA system, video monitors, a full bar, and seating indoors and on the sun deck — but the main attraction is the pristine water, sandy beaches, and unspoiled views along the river. Summer cruises generally run Thursday through Sunday.

Lupa Zoo
62 Nash Hill Road, Ludlow, MA
(413) 583-8370; www.lupazoo.org
Admission $8-12; children under 2, free
Lupa Zoo brings the African savannah to Western Mass. residents. The late Henry Lupa fulfilled his lifelong dream of creating a zoo right next to his Ludlow house, filling it with hundreds of animals and instilling a warm, familial atmosphere. Visitors can be entertained by monkeys, feed giraffes on a custom-built tower, and marvel at the bright colors of tropical birds. In addition to offering animal shows and animal-feeding programs, the staff at Lupa Zoo promotes conservation and sustainability.

Nash Dinosaur Track Site & Rock Shop
594 Amherst Road, South Hadley, MA
(413) 467-9566; www.nashdinosaurtracks.com
Admission: Adults, $3; children, $2
Walk where the dinosaurs walked, literally. It’s hard to believe that the first documented dinosaur tracks found in North America were on the shores of the Connecticut River, near today’s site of Nash Dinosaur Track Site and Rock Shop in South Hadley. Originally uncovered in 1802 by a farmboy plowing his family farm, the findings weren’t officially called dinosaur tracks until the 1830s. Over the years, thousands of dinosaur tracks have been discovered; many were sold to museums and private individuals all over the world, but many more can be seen due to the extensive work of Carlton S. Nash. Visit the site and learn about some of this region’s earliest inhabitants, and also about the geology of the area.

Six Flags New England
1623 Main St., Agawam, MA
(413) 786-9300; www.sixflags.com/newengland
Admission: $59.99; season passes, $66.99
Continuing an impressive run of adding a new major attraction each spring, Six Flags New England recently unveiled the Wicked Cyclone, converting the 1983 wooden coaster into a wood-steel hybrid with overbanks, corkscrews, and plenty of air time. Other recent additions include the 409-foot-tall swings of New England Sky Screamer, the 250-foot Bonzai Pipeline enclosed waterslides, and the massive switchback coaster Goliath — in addition to a raft of other thrill rides, like the award-winning Bizarro coaster. But fear not: the park has attractions for everyone along the stomach-queasiness spectrum, from the classic carousel, bumper cars, and two kiddie-ride areas to the giant wave pools and lazy river in the Hurricane Harbor water park, free with admission.

Valley Blue Sox
MacKenzie Stadium, 500 Beech St., Holyoke
(413) 533-1100; www.valleybluesox/pointstreaksites.com
Admission: $4-$6; season tickets, $89
Through Aug. 1: Western Mass. residents don’t have to trek to Boston to catch quality baseball (and this year, that’s especially true). The Valley Blue Sox, members of the New England Collegiate Baseball League, play close to home at MacKenzie Stadium in Holyoke. These Sox feature a roster of elite collegiate baseball players from around the country, including some who have already been drafted into the major leagues. Myriad food options, frequent promotional events like postgame fireworks, and numerous giveaways throughout the season help make every game at MacKenzie a fun, affordable outing for the whole family. Play ball!

Joseph Bednar can be reached at [email protected]

Growth Opportunities

By BusinessWest Staff June 2, 2015

Cover Story

Area Farmers Benefit from a Changing Landscape

Ryan Voiland, owner and manager of Red Fire Farm, awaits customers at the weekly farmers market at Springfield’s Forest Park.

Joe Shoenfeld calls it “an attitudinal shift.”

That’s how he chose to describe a movement, for lack of a better term, that has made terms like ‘fresh,’ ‘healthy,’ ‘organic,’ ‘sustainable,’ and especially ‘local’ not just adjectives that dominate the lexicon — and also the marketing materials — of those who grow, sell, and prepare food, but also part of this region’s culture.

“I think we’ve definitely moved beyond something that could be called a fad or a trend regarding local purchasing and local food,” Shoenfeld, associate director for the Center for Agriculture, Food and the Environment in the College of Natural Sciences at UMass Amherst, told BusinessWest. “Cynics may think it will fall away, and maybe interest will decline from where it is now. But what we’re seeing is a real shift, especially in Western Mass. There’s been a shift in attitudes about the local economy and about food, especially among the younger generations.”

And this shift is having a rather profound impact on the region’s agricultural sector, one that has manifested itself in countless ways. These include the rapidly growing number of farmers markets in area parks, downtowns, bank parking lots, and on the grounds of major employers like MassMutual and Baystate Medical Center; the buying habits of UMass Dining, the largest operation of its kind in the country, serving more than 45,000 meals a day; the ranks of restaurants loudly boasting a farm-to-table operating philosophy; the number of students in the Sustainable Food and Farming program at UMass (there were five in 2003 and 150 this past spring); and the number of acres Ryan Voiland is devoting to kale, that leafy green vegetable that has seen its popularity skyrocket in recent years.

“Kale has really taken off — as have many other things,” said Voiland, 37, owner and manager of Red Fire Farms, operating in Granby and Montague, and one of a sharply rising number of people who are considered new to the profession — and finding opportunity in that aforementioned attitudinal shift.

Joe Shoenfeld, right, and John Gerber both say that students at UMass Amherst reflect what they call an attitudinal shift toward buying local and eating healthier food.

Voiland, who said it would take less time to list what he doesn’t grow, now sells at many of those farmers markets, offers CSA (community-supported agriculture) shares, supplies several area restaurants and co-ops with fresh produce, and recently inked a roughly half-million-dollar contract with the Wegmans supermarket chain, which is expanding its reach in the Bay State.

“They approached us because they heard we had pretty good stuff, it’s certified organic, and in Massachusetts,” Voiland explained, adding that the first deliveries will begin in a few weeks. “They really wanted to link up with a farm that could provide enough volume to supply their Massachusetts stores, and they also want to promote that they’re making organic local produce available in their stores.”

Such motivations help explain why sales at nearly all of the farm’s various outlets have grown, and also why the Red Fire story is typical of what’s happening locally, both with relative newcomers like Voiland and individuals whose families have been working the land for generations.

This shift didn’t come about quickly or easily, and in many ways it is still evolving, said Phil Korman, executive director of Communities Involved in Sustainable Agriculture (CISA), which advocates for area farmers, engages the community to build the local food economy, and has launched, among other initiatives, the ‘Be a Local Hero’ program that now boasts more than 400 members, meaning those who grow products locally and those who buy them.

The new attitude came about through hard work on the part of CISA, other industry groups, and individual farmers themselves to generate far greater appreciation for the foods being grown and those tilling the soil, he explained.

“Part of what the problem has always been is that there’s been a lack of respect for the people who are growing our food and other farm products,” he said, adding that this is another attitude that is changing. “We’ve created an environment in this region where people love their farmers and they want to buy from their neighbors who are farmers.”

For this issue, BusinessWest takes an in-depth look at how the landscape is changing, figuratively and quite literally, for area farmers, and why many believe, as Shoenfeld does, that this is not a trend or a fad, but a change with staying power and vast potential for growth of a proud industry.

Root Causes

Gideon Porth says farmers in Western Mass. probably have a different working definition of ‘drought’ than their counterparts in many other regions — especially those toiling in California, for example, which is experiencing a dry spell of epic proportions.

“In New England, we go two weeks without a drop of rain, and we start screaming ‘drought,’” Porth, owner of Atlas Farms in Deerfield and another newcomer to this profession, explained in a voice that blended sarcasm with a large dose of seriousness. “But we’re at about the one-month mark now, which is totally unheard of in April and May; we never seen that long a dry stretch, and the farm’s about as dry now as I’ve ever seen it.”

Gideon Porth, owner of Atlas Farm in Deerfield, is one of many individuals who would be considered new to the profession.

And on the day he talked with BusinessWest, there was no end to this dry patch in sight. Indeed, the showers that visited early that morning did little more than make the dust more settled, he said with a laugh.

But while area farmers are looking at the blue skies with some apprehension (things were still quite dry at press time), there are fewer storm clouds in a figurative sense as well, and that development bodes well for a sector that was in sharp decline and defined by serious questions only 20 years ago.

Indeed, CISA was created out of concern for the future of this sector and a desire to advocate for it, said Korman.

“CISA started amid conversations among farmers and farm advocates who, in the mid-’90s, were concerned about the challenges to agriculture in Western Massachusetts,” he explained. “And some of those challenges still exist today — the challenge of accessible farmland, the loss of farmland to development, competing in a global economy, and public policy favoring very large industrial farms.”

Out of those conversations, a grant was obtained from the Kellogg Foundation to basically use marketing for social issues, he went on, adding that CISA began to promote local farms to their neighbors. And two decades later, it’s clear that these efforts have been quite successful.

Indeed, the 2015 edition of CISA’s Locally Grown, a farm-products guide covering the Pioneer Valley, now boasts more than 400 busineses, including more than 250 farms that grow products and a host of restaurants, co-ops, supermarkets, colleges, hospitals, retirement homes, and other businesses that sell or buy them.

“Every single year, that number goes up,” said Korman, adding that there are now more than 60,000 copies of the guide published, putting information in the hands of those who want to buy local and buy healthier foods — a rapidly growing constituency.

How this attitudinal shift described by Shoenfeld, Korman, and others came about is largely a function of changing priorities and growing concerns about health and the environment. And while this movement is cross-generational, in many respects, it is younger people who are leading this charge and who also have the power — and the inclination — to ensure that this isn’t a fad.

“This change has been evolving for a long time,” said Shoenfeld. “And I think it goes all the way back to basic understandings about ecology that started with Silent Spring [the Rachel Carson book credited by many with igniting the environmental movement in the ’60s], and moved on from there to climate change and personal human health and the unexplainable new health problems that our culture seems to be coping with.

Phil Korman says one of CISA’s goals is to expand economic opportunities for farmers, which it does through initiatives ranging from its ‘Local Heroes’ program to winter farmers markets.

“People are concerned and want to see what they can do themselves to control those aspects of their life that they can,” he went on. “And one of the aspects of your life that you can have a little more control over is what you eat and where it comes from. Perhaps not total control, at least at this point, but more. I think that’s where this is coming from.”

John Gerber, a professor of Sustainable Food & Farming at UMass Amherst, agreed, and referenced students at the university as examples of those espousing what might be considered new thinking.

“There’s both fear and opportunity,” he said with regard to current events and daily headlines. “Every time you open the newspaper, you see an egg recall or a cantaloupe recall, or a processed-food recall, and that leads to question marks. And then, these students see opportunity; they go to the dining commons and see that their potatoes are coming from a farm almost within eyesight of that dining commons.

“And there’s a connection there — a meaningful connection to something that’s real,” he went on. “The processed foods — things that come in a can or a box — don’t feel real, and a lot of people, especially young people, are searching for meaning in their lives. And food is something you can actually do something about.”

But there is much more to the buy-local and eat-healthier movements than college students looking for meaning, said those we spoke with, adding that society in general is trying to get healthier and paying more attention to the notion of supporting the local economy.

The trend, or shift, hasn’t caught on everywhere, said Gerber, but there are some hot spots, and the Bay State — especially Western Mass. — is certainly one of them. (Washington and Oregon would constitute another, while Southern California would be a third.)

“From a production perspective, we’re seeing a lot of young farmers getting involved in what they consider to be a meaningful life, producing something real — food for a population that seems to demand it,” he explained. “There are many places in this country where this is not on the radar, but we’re seeing it grow.”

Experts in Their Field

Since arriving at UMass Dining more than a decade ago, Ken Toong, who now leads Auxiliary Enterprises at the university, has implemented a number of initiatives that have made that operation one of the nation’s leaders, a program that schools across the country are trying to emulate.

Steps have ranged from spending tens of millions of dollars to modernize and upgrade the dining commons, to the introduction of sushi as a staple on the menu (the school now serves roughly 3,000 pieces a day); from the implementation of food trucks that roam the sprawling campus and bring a new layer of convenience to students, to use of so-called ‘trash fish’ to both broaden students’ palettes and provide new opportunities to the region’s beleaguered fishing industry.

But arguably his most impactful initiative has been a campaign to buy local, a program not only supported by students, but, in many ways, demanded by them.

“As we survey our students, more than 80% of them think buying local is important to them, and they want to see more of it,” said Garett DiStefano, director of Residential Dining at the Amherst campus. “And that number’s been going up steadily over the past five years as well.”

This is a far-reaching plan, one with several goals, including healthier eating, support of the local economy, and conversion of the Hampshire Dining Commons, the largest on the Amherst campus, into an eatery “dedicated to healthy, local, sustainable, and great-tasting foods and to providing a defensible and cost-effective example for all campuses to emulate.”

That’s wording from one of the slides in a PowerPoint presentation called “Diving into the Numbers: A Local Food Data Analysis,” which, as that title suggests, uses hard nunbers, and lots of them, to explain the UMass Amherst program.

Mike Cecchi says the buy-local movement has created new opportunities for E. Cecchi Farms, started by his grandfather in 1946.

The buy-local initiative is measured in a number of ways, but especially the figure $3.25 million, which represents the number spent in FY 2015 (which ends in a few weeks) on what would be considered local or sustainable produce. That includes roughly 100 vendors, said Toong, and encompasses everything from pizza dough from Angie’s Tortellini in Westfield to honey supplied by the Hadley Sugar Shack, to milk purchased from Mapleline Farm in Hadley. And it includes several kinds of fruits and vegetables grown by Joe Czajkowski on land in Hadley that his family has tilled since 1916.

The university spent nearly $500,000 with Czajkowski, who farms a total of 400 acres, 162 of them certified organic, during FY ’15, on everything from tomatoes and carrots to french fries and blueberries. The contract is one of the the more visible examples of that attitude shift described by Shoenfeld, and one that has helped open many new doors for the operation.

“Ken Toong had a lot of interest in buying local, and we were already there,” said Czakjkowski, who said he was supplying a small amount of produce to the university’s Top of the Campus restaurant (part of University Enterprises) when the university decided to escalate its local buying in a significant way.

“It’s like having an anchor store in a mall — this helps us do a better job with other customers,” Czajkowski said of the UMass contract, adding that it has, in many ways, inspired and facilitated contracts with the Worcester and Chicopee school systems, other members of the Five College system, Baystate Health, Cooley Dickinson Hospital, and other institutions. “We’re out getting things for one school; now it’s possible to get things for the Chicopee schools and the Worcester schools and pull the orders together because we’re already doing it.”

In many ways, Czajkowki’s story is typical of many of the established farmers in the region, who have found new outlets for their crops in restaurants, schools, supermarket chains, and businesses that now buy local for many reasons, including the fact that their customers are expecting and even demanding it.

Mike Cecchi would fall in that latter category. His grandfather started working some land in Feeding Hills not long after emigrating from Italy in 1946, and the tradition has continued since.

The 90-acre operation is known for its corn, but grows everything from asparagus to zucchini, with most of the letters of the alphabet covered by Cecchi crops.

Like other farmers we spoke with, he has customers that come in many forms — from individuals visiting the huge farmstand on Springfield Street to the Geisler’s supermarket chain and Big Y Foods, to restaurants ranging from Lattitude to ABC Pizza — and he’s seeing more interest in all those products.

“The buy-local, buy-healthier trend is having an effect on both the retail and wholesale sides,” he explained. “There’s just a lot more demand for what we grow.”

Beet Reporters

But maybe the more compelling change to the region’s agricultural landscape is the number of newcomers to the industry — people choosing to enter the field not because their father, grandfather, and great-grandfather did, but because it’s a profession they believe has many different kinds of rewards.

Porth is one of these individuals. He started a dozen years ago, taking a passion for agriculture that he developed while working on a farm in college and turning it into a career.

Joe Czajkowski says his contract with UMass has facilitated other sourcing of his many crops.

“I wanted to start my own operation, but I didn’t have land or equipment or money,” he explained. “I had an opportunity to go back to school at UMass and got a master’s degree in plant and soil science. I had an opportunity to stay at UMass and teach, but had the bug to get going.”

And he did, starting with three acres — “it was like a big market garden” — and accumulating additional pieces of land over time. He now farms 85 acres in two locations in Deerfield, half of which he owns, and the rest he leases.

Lettuce and leafy greens are the specialty at Atlas — yes, kale is a big part of that mix — but there is a wide variety of crops. And they’re sold in many different ways, from company-operated farmstands to farmers markets; from a form of CSAs to wholesaling efforts involving outlets ranging from the Whole Foods chain to the River Valley Co-op in Northampton.

Porth entered the business as the buy-local movement was gaining steam, and he’s watched it create a number of new opportunities.

“The whole buy-local trend has really benefited the farm,” he explained. “The farm started in 2004, just as this was gaining traction, and it’s just grown from there. Each year that goes by, we’re seeing more and more from the restaurant world, but grocery stores are really getting on board as well; their customers want local, and at the farm store and farmers markets, business keeps increasing with people demanding foods that are healthy and local.”

Voiland, who would also be considered part of this new breed, agreed.

He started virtually from scratch, with a tiny roadside stand he opened when he was in middle school, selling items from the family garden and various wild berries he picked. By the time he was in college, he was renting 10 acres from an “old timer.” Soon after graduating, he acquired land in Granby and, well, put down roots.

The operation, which employs 80 to 100 people during peak seasons, now boasts roughly 30 acres in Granby and 70 in Montague, and recently expanded into Belchertown with a variety of fruit trees.

“If you can grow it in this climate, we probably grow it,” said Voiland, adding that Red Fire produces everything from arugula and baby kale to a host of root vegetables, including potatoes, carrots, and radishes. It is perhaps best known for its tomatoes, and stages a one-day festival at the Granby facility on the fourth Saturday in August focused on that versatile vegetable and featuring more than 150 varieties.

As he talked with BusinessWest at a weekly farmers market in Springfield’s Forest Park at which Red Fire is now a regular, Voiland, like Porth and others, made heavy use of the word ‘diversified,’ and used it to describe not only what he grows, but how he sells those crops.

Indeed, in addition to several farmers markets — in this region but also in Greater Boston — he also sells CSAs, through which households pay a set amount ($550 to $600 annually in this case, depending on which option the customer chooses) for weekly distributions of all those aforementioned vegetables and fruits, starting later this month. There are also pick-your-own fields, farm stands in both Granby and Montague that operate from May 1 to at least Halloween, and wholesale business to restaurants such as Alvah Stone in Montague and others in Boston; co-ops, including the Greenfields Market & Co-op in Greenfield; and supermarkets such as Fresh Acres, operated by the Big Y chain, and now Wegmans.

While the CSA movement has essentially peaked and business is flat in that realm due to oversaturation, Voiland said, the needle continues to move up with those other revenue streams.

“With restaurants, and consumers in general, there is more awareness of food and wanting to eat good food, both in terms of one’s health, but also the flavor,” he told BusinessWest. “The stuff we grow can help in both ways. We’re focused on freshness, and we grow varieties that taste good; we’re not so concerned about varieties that ship well and keep forever in the truck like some of the stuff that shows up in supermarkets.”

Yield Signs

While the outlook for the region’s agricultural sector certainly looks promising, this remains an ultra-challenging profession, said Shoenfeld, Gerber, Korman, and the farmers we spoke with.

The competition is truly global, margins are generally quite thin, and there are many factors simply beyond the farmer’s control — especially the weather.

“Farming is not for the faint of heart — whether you’re a new farmer or you’ve done it for multiple generations in your family,” said Shoenfeld. “It’s hard work, and there’s a lot of problem solving to be done. But it’s interesting to think about all the new energy being brought by those new farmers, most of them young, but not all them — we’ve seen a number of career changers moving into farming.

“And it’s interesting to wonder how this energy from the new farmers, and the smarts that they might be bringing from other sectors of the economy, might affect some of these seemingly very difficult issues facing farmers,” he went on.

Overall, to succeed in this environment, farmers have to be well-trained and highly skilled, said Korman, adding that many in this profession are now receiving the respect they deserve.

“This is a highly skilled position, and people are now realizing that,” he explained. “The person has to be able to understand quite well the strength of the soil and what needs to be added to it; they have to be a really good business person, understanding which parts of their business are profitable and not as profitable; they need to be able to communicate what they grow and what they’re selling to hundreds of thousands of people; they need to compete globally; and they need to deal with totally unpredictable work conditions, which most of us don’t have to do.”

CISA provides help to farmers coping with these challenges in the form of technical assistance that covers basically everything but growing practices, he said, such as education in how to write a press release or to how to construct a business plan.

And much of CISA’s work involves opening up new markets and avenues for sales, said Korman, citing, as just one example, winter farmers markets.

“Five years ago, there were none of them in Massachusetts,” he said. “The first one was a one-day market in Greenfield launched by the community, and we did one in Northampton in 2010 that had 2,000 people come in four hours.

“Now, there is an ongoing winter farmers market in seven different towns in Western Massachusetts,” he went on, adding that participating farmers sell everything from root vegetables to cheese; from maple syrup to preserved foods like jams and jellies.

Another example of new markets is a trend toward selling at various workplaces, he went on, adding that MassMutual now has what amounts to its own farmers market, and Baystate Health hosts CSA distributions at several of its facilities.

Manwhile, CISA stages what Korman called “meet-and-greets” between farmers and a range of potential customers that could use their goods, including restaurant owners, co-op managers, nursing-home operators, college food-service administrators, and hotel managers.

“We’re always trying to expand economic opportunities for farmers, and also make more connections in the community,” he explained. “And when one takes a look at national statistics, they’ll see that Massachusetts ranks third in the nation in terms of direct market sales for operations, and we’re first in the nation in the percentage of farms with CSAs.”

Those statistics and others result from farmers responding to their challenges and opportunities with diligence and creativity, said Shoenfeld, adding that they are finding new and intriguing ways to essentially bring the farm to consumers — including those who live 100 miles away in Boston — and make healthier foods available and affordable to those in all income classes.

“We’re seeing attention paid to how good, fresh, locally grown food can get into the hands of those who traditionally seemed like they couldn’t afford it,” he explained. “One refrain heard over the past 10 years is that this is just for people who have spare dollars to spend on food. Increasingly, we’re understanding that fresh, local food is one of the keys to improving some of our health issues, like obesity, and we’re finding that fresh, local food in elementary schools and junior high schools, with the farmer coming in to talk about it once or twice a year, is something that prompts kids to take home information about healthy eating and exercise. And that’s a pretty powerful idea.”

Looking ahead, Gerber said there is promise of continued growth for this sector. Indeed, while Western Mass. is among the nation’s leaders in the percentage of food bought locally — the number is at or just over 15% at present — that still leaves 85% that is not purchased from area producers.

That number can’t reach 100% in this climate for obvious reasons, he told BusinessWest, but it can go considerably higher, and he expects that it will.

“Food Solutions has a target of 50% local food by 2060 — ‘50 by 60’ is their campaign, and that’s driven by climate change, energy costs, and especially health concerns,” he said.

“If I was going to predict the future, I would project continued growth. Not without difficulty, not without pain, and not without disruption, but certainly continued growth.”

Till Tomorrow

Returning once again to the dining commons at UMass Amherst to get his points across, Shoenfeld said students there will not be abandoning their philosophies about eating healthier and buying local when they get their diplomas.

“As they emerge from a place like UMass, where they’re eating this fabulous local food in their dining commons and start cooking for themselves … they’re already interested in and wanting local, healthy food that supports local farmers,” he told BusinessWest. “And I think that’s going to stick with them.”

If he’s right, then the attitudinal shift that he and others described will become even more pronounced, and that will generate even more opportunities for area farmers, who are already sowing seeds for a brighter future, in every sense of that phrase.

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

Finding a Unicorn

By BusinessWest Staff May 19, 2015

Cover Story Entrepreneurship Sections

VVM Accelerator Participants Continue the Quest for Traction

Jessica Lauren with some of her Olive Natural Beauty products.

Traction.

Webster has many definitions for that noun, including ‘the adhesive friction of a body on the surface on which it moves’ — and that’s why it’s used frequently, and often with accompanying adjectives, by companies selling tires.

That’s also, although more loosely, why it’s part of the lexicon among those who launch new businesses — and, perhaps more importantly, those who sometimes help finance them.

Indeed, traction is a precious and often hard-to-calculate commodity in business. It is an inexact measure of how effectively a product or service is gaining acceptance, credibility, and, yes, sales.

So, in many ways, the first annual Accelerator Awards, staged recently by Valley Venture Mentors, represented a highly competitive contest of traction — which of the 30 companies in the first cohort of VVM’s Accelerator Program had it, and which ones could gain a lot more of it if they had some more capital to work with.

If the numbers written on the ceremonial checks handed out at the awards ceremony on April 30 are any indication — and most involved would say they are — then Jessica Lauren has certainly achieved some traction with Olive Natural Beauty Inc.

This is a venture that boasts a growing line of products that, as the name suggests, uses olive oil as its base ingredient, but separates itself from others that do the same by the all-natural quality of every item on the ingredient list.

Lauren won a check for $35,000, the largest amount handed out that night by a panel of judges, each of whom had, in essence, $20,000 to apportion and were free to dispense it any way they chose. Lauren intends to stretch those dollars about as far as humanly possible, allocating them for everything from more aggressive marketing programs to building inventory to taking on a strategic partner, as she seeks to take her company to the proverbial next stage.

“It costs money to run a business, and anything would really help push us to the next level,” she said, adding quickly that the amount on her check constitutes far more than ‘anything.’ “This is going to be huge for us.”

For this issue and its focus on entrepreneurship, BusinessWest talked at length with Lauren and others from that first cohort who successfully communicated a level of traction for their businesses to both their peers and those aforementioned judges.

Dave Waymouth, for example, took home a $32,500 check to advance his veture, PetSimpl, which markets a device — one he believes is a vast improvement over anything currently available — that can help pet owners keep track of their furry loved ones.

Lightspeed Manufacturing in Haverhill is now producing the so-called Pip, named after Waymouth’s terrier mix, which in many ways inspired this business (more on that story later).

Waymouth is taking orders, and he expects his product to officially hit the market this summer and be in several outlets in time for the holidays.

Meanwhile, Jake Mazar and his partner, Soham Bhatt, hit their highly competitive market with Artifact Cider roughly a year ago. They now have their product in 40 liquor stores and eight bars along the I-91 corridor, and intend to use the $20,000 they won to help pay for a part-time salesperson to increase their cider’s reach and strengthen its brand.

The accelerator project’s first cohort has 27 more stories like these. They are all different, but there are many common denominators, especially that quest for traction.

Getting a Grip

‘I love you guys, but … no way.’

That’s one of the qualitative assessments used in conjunction with actual numbers (1-9) on the score sheets employed by so-called ‘herds’ within that first accelerator cohort as the entrepreneurs judged their peers and fellow competitors in one of the early phases of the process that decided who received checks on April and how big they were.

Dave Waymouth says his ‘Pip’ device, which helps pet owners find lost loved ones, is a vast improvement over what currently exists on the market.

That phrase obviously pertained to someone who would score a ‘1’ or ‘2,’ and thus it wasn’t used often, if at all, said Paul Silva, executive director of VVM, as he noted that the 30 companies chosen to be in that first cohort were clearly among the more promising startup ventures in this region — and well beyond, as things turned out.

Other assessments, used far more often, included ‘weak story and not enough customer validation,’ ‘somewhat agree/you got me onto the right side of the fence,’ ‘believable story but not enough customer validation,’ and ‘a rare unicorn of perfection,’ which would constitute a ‘9.’

The unicorn has become the unofficial symbol of VVM, and it was on display prominently at the awards ceremony. It represents an ambitious goal, something rare, but also (at least in the VVM universe) something real.

Finding a unicorn is the unstated mission of all the entrepreneurs involved with the accelerator program, said Silva, noting that these individuals went through a rugged period of learning and assessment designed to provide tough love, mentoring, and, for several ventures, very-much-needed cold, hard cash.

Those aforementioned herds were comprised of five entrepreneurs each, and the herds did not judge those in their own group, said Silva, adding that they gathered scores to six questions (statements, actually) — ranging from ‘the company has proven, in-depth understanding of their customers and the customers’ pains’ to ‘the company has a proven revenue model, logical pricing, and has an accurate handle on all applicable costs; they know what can kill them!’ — to effectively narrow the field to 12 finalists.

This smaller field was then assessed by the group of 14 judges, who are also investors, who heard 10-minute presentations from the finalists and then could follow up with more questions and input during a trade-show period before the awards presentation.

Lauren obviously impressed those judges, with both what she’s accomplished to date and the potential to soar much higher.

Like the others we spoke with, Lauren said her venture was born through a mix of necessity and both experience with other products on the market and frustration with them.

“Growing up in an Italian family, olive oil was an important part of our lifestyle in terms of being healthy and taking care of yourself and your skin,” she explained. “And when I went to college, I went to work for an apothecary, and that experience really opened my eyes to the cosmetics industry in the U.S., because there are literally no regulations — there are tons of ingredients that go into cosmetic products that are not regulated or tested or approved by the FDA or any other organization.”

What evolved over time, then, was a business focused on the many beneficial properties of olive oil and featuring the transparency and natural ingredients missing from most products made in the U.S.

She started with a lab in her kitchen, testing various products and providing them to friends and relatives, who started asking for more. And, as she said herself, “the rest is history.”

Explaining in more detail, she said olive oil has become, in many respects, a gourmet product. She is riding that wave, certainly, but in a unique way.

Her products have achieved traction in a number of ways, she said, noting that she’s sold more than 400,000 units to date (like a true entrepreneur, she got more precise, offering the number 404,000). The products are sold through 30 retailers in the U.S. and Canada, and Lauren is in serious negotiations with a major chain she opted not to name that will greatly improve that number if all goes well.

Perhaps most importantly, she’s getting some solid reviews, which are crucial because of the sheer volume of competition.

For example, Michelle Phan, founder of the website ipsy.com, which helps consumers wade through the myriad products on the market through reviews and recommendations, tried some of Lauren’s lip balm and discussed it glowingly in one of her online videos.

As part of that PR and marketing push toward which Lauren wants to direct some of her winnings, she’s striving to win some exposure in People, Good Housekeeping, and other publications with a strong focus on health and beauty and that feature companies making such products.

If all goes as planned — and she expects it will — sales volume, currently around $250,000, should eclipse $1 million in 2016.

A Breed Apart

Waymouth said Pip, his terrier mix, went missing early one evening a few years ago. As anyone who’s been through such an ordeal would understand, this was quite a traumatic experience.

“We live near busy roads, and he sees every car as something with a friend in it,” he explained, adding that, fortunately, the dog was found just a few hours later.

But the experience left Waymouth frustrated by the pet-protection products available on the market — and determined to build the proverbial better mousetrap. He calls it a “LoJack for your pet,” a reference to the vehicle-tracking system designed to help police recover stolen vehicles.

“I’m a big tech guy, so I assumed there were GPS trackers that did this,” he said of his thought process after Pip — now the company’s ‘spokesdog’ and the face of the venture, pictured on the business cards and website — was found safe. “But when I looked, everything was too big for him, or it had horrible battery life.”

At the time, he was enrolled in the MBA program at the Isenberg School of Management at UMass Amherst, and decided to enter a business-pitch competition and make his case for a more effective product. He finished third in that contest and then went through several more rounds where he flushed out the business model and came up with a way to make the product smaller and with longer battery life.

He eventually prevailed in the extended competition, winning a total of $30,000 to build a prototype. He was then accepted into MassChallenge, which helped create connections to Verizon and other strategic partners and make the concept reality.

The Pip uses mostly the same cutting-edge technology found in a smartphone to send a text message to the pet owner when the animal in question leaves a so-called ‘safe zone’ — the owner’s home and area around it, as well as a several-foot-wide area around the pet while it’s being taken for a walk, for example. With the press of a button, the owner gets turn-by-turn directions to locate the animal. When the pet is in that safe zone, the device stays in a low-power mode, Waymouth explained, thus greatly extending battery life.

The first manufacturing run will be for 1,000 of the devices, he said, adding that many orders came in through a Kickstarter campaign, and others continue to trickle in through the website. That will be followed by a run of 5,000 and perhaps another of that size if demand warrants.

The Pip will soon be available on Amazon, and Waymouth is expecting that it will become an in-demand item for the upcoming holiday season. The current sticker price is $99, with a $5 month charge for the cellular connection, or $199 for the ‘unlimited option.’ Over time, and as the technology improves, he expects those price points to come down.

While getting ready for the Christmas season, Waymouth is also in hard pursuit of capital for the venture, and is finding many interested parties.

“I’ve gotten more interest than I can really deal with, which is a great problem to have,” he explained, noting that negotiations continue on a first round of financing he expects will approach or exceed $500,000.

One of those interested parties is the Springfield Venture Fund, he said, adding that its participation will require him to move his headquarters from Northampton to Springfield (that’s one of the conditions of the fund, backed by MassMutual). Either way, the company fully expects to stay within the 413 area code.

“We’re planning on staying in this region,” he said. “We want to be a Western Mass. success story.”

Core Business

Those same sentiments were echoed by Mazar, who said his aptly named product is fast gaining that all-important traction in this area.

Elaborating, he gave a rather loose definition of an ‘artifact’ as something created by man, and from another era, that’s been discovered or rediscovered. Hard cider, he went on, was a popular and potent potable in New England a few centuries ago, primarily because the soil here was more suitable for growing apples than it was for cultivating the hops needed for beer.

Dave Mazar says Artifact Cider is establishing itself within the fastest-growing segment of the alcoholic-beverage market.

And cider remained popular until Prohibition, when many of the apple trees planted more than 100 years earlier were cut down, and in the time it took to grow new ones, many Americans had switched allegiance to beer, he said, continuing the history lesson. But over the past five years or so, hard cider has made a comeback, with a number of products occupying package-store shelves.

The Artifact Cider Project, as it’s formally known, is part of the wave, said Mazar, but the product differentiates itself in what is now the fastest-growing segment of the liquor market by the way it’s made — with local apples and unique blends.

The story begins, sort of, several years ago, when Mazar was diagnosed with celiac disease, an autoimmune disease of the small intestine caused by a reaction to gluten, which is found in wheat and similar crops, including hops.

“I couldn’t have beer, so, prompted by that diagnosis, I discovered cider,” he said, adding that this interest was shared by Bhatt, a friend since middle school whose aptitude in science, engineering, and culinary arts has effectively complemented Mazar’s background in business — he was a consultant for several years — and, most recently, farming.

“Local agriculture is my passion in life, so Artifact is a combination of our respective professional backgrounds,” he noted, adding that the venture was launched on a virtual shoestring in 2013, and the first cider was introduced in June 2014.

Today, the company has three brands, or blends: ‘New World,’ the first product; ‘Wild Thing,’ described as a “supremely tart, sessionable” cider; and ‘Colrain,’ named after the Franklin County town where the apples used to make it grow.

They come in kegs and 22-ounce bottles, or “bombers,” said Mazar, adding that the obvious goal moving forward is to sell more of them, and the $20,000 won through the accelerator program will certainly help with that assignment.

“One of the things we want to do with the money we received through Valley Venture Mentors is hire a part-time salesperson to help build the brand,” he explained. “We’re mostly focused on our existing accounts; we’re not trying to grow too quickly.

“Eventually, we’d like to get our cider into Eastern Mass. and Boston, but we’re really focused on the Pioneer Valley as our home base,” Mazar went on. “We want to be successful here before we expand too broadly.”

Two marketing interns, one from Smith College, the other from Mount Holyoke, will be working for the company this summer, he noted, adding that they’ll be handling, among other things, cider tastings and other events to introduce or reintroduce people to cider and the Artifact label.

Money Talks

Speaking for all those who took home ceremonial checks from VVM, Mazar said the money comes at an important time and provides needed fuel as the company looks to grow its brand.

“We’re a small company, so getting capital at this stage is going to change things quite a bit for us,” he noted. “We really bootstrapped this company — we started it with our own personal finances, and we’ve done everything on the cheap. We’ve made the money we started with go quite a long way.”

Such is life for the startup business owner looking to take an idea from drawing board to reality — and gain that precious commodity called traction.

The companies in this first cohort all have some of it. The challenge — and the mission — is to earn more.

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

2015 Restaurant Guide

By BusinessWest Staff May 5, 2015

Restaurants Sections

Taste for Success

Center Square Grill’s Partners Celebrate an Eventful First Year

Winning Recipe

The Alvah Stone Creates Cuisine for Every Palate

On the Menu

Our Detailed Guide to Restaurants in Western Mass.

Introducing the Class 2015

By BusinessWest Staff April 21, 2015

40 Under 40 Cover Story The Class of 2015

The Top Young Business and Community Leaders in Western Massachusetts

Diverse.
That’s a word that could be used to describe any of BusinessWest’s classes of 40 Under Forty winners. But with the class of 2015 (see the list below), an adverb like ‘very’ or ‘extremely’ would sem to be necessary.

That’s because this group of winners represents virtually every sector of the economy — from financial services to manufacturing; retail to healthcare; technology to nonprofit management; education to law. They also show the seemingly innumerable ways to give back to the community — from serving as a Big Sister to teaching young girls how to cheer; from service on nonprofit boards to work repairing homes in Springfield’s neighborhoods; from taking a leadership role in an Extreme Makeover project to service on the town of Orange’s School Building Committee (see the profiles of the five judge’s HERE).

The Class of 2015 will be feted at the annual 40 Under Forty Gala, set for June 18 at the Log Cabin Banquet & Meeting House. Always one of the most anticipated events of the year and best networking opportunities on the calendar, the gala will feature lavish food stations, entertainment, and the introduction of this year’s class, with individuals walking to the podium backed by a song of their choice. Download the flipbook of this year’s 40 Under Forty HERE

Tickets to the gala are $65 each, with tables of 10 still available. Tickets can be ordered by calling (413) 781-8600, ext. 100, for more information go HERE.

40 Under Forty Class of 2015

Jim Angelos
Elizabeth Barajas-Román
Erin Buzuvis
Andrew Crane
Patrick Davis
Marsha Del Monte
Peter DePergola II
Gregg Desmarais
Chris Desrosiers
Eric Devine

Lindsay Doak
Bridget Fiala
Jessica Fraga
Erin Friedman
Jennifer Gallant
Joshua Garcia
Christina Gay
Anthony Gulluni
Amelia Holstrom
Jay Kumar

Dawn Leaks
Cherise Leclerc
Eric Lesser
Robert Levesque
Kate Lockhart
Marcos Marrero
Andrew Melendez
Terra Missildine
Joel Mollison
Marcelia Muehlke

Hayes Murray
Christopher Novelli
Patrick Roach
Joseph Ruggeri
Dr. Anthony Sarage
Keith Tatlock
Jossie Valentin
John Velis
Danielle Williams
Sarah Williams

Presenting Sponsors:

Sponsors:

Partner:

Photography for this special section by Denise Smith Photography

2015 Golf Preview: Steady Course

By BusinessWest Staff April 7, 2015

Cover Story Golf Preview Sections Sports & Leisure

Golf Industry Adjusts to a Changing Climate

While golf courses in the Pioneer Valley will certainly be opening earlier than those east of Worcester — where close to nine feet of snow fell in less than two months and temperatures have not induced much melting — they will be getting down to business later than what would be considered normal or desirable.

And that has Kevin Kennedy a little worried.

The head professional at Springfield’s two municipal courses, Franconia and Veterans Memorial, told BusinessWest that golf seasons have a tendency to reflect how — and often when — spring begins.

“I really believe that, if you get off to a good start in the spring, it trickles down to club sales and everything else — everyone’s raring to go,” he explained. “I’d rather have a good spring than a good fall; if they don’t excited about golf in the spring, some people may not get excited for the whole year. A good spring start is imperative.”

However, it looks like area courses won’t be getting that good start. As BusinessWest went to press on April Fool’s Day, the professionals we spoke with were predicting it would be at least another week and probably two before anyone would be putting a peg in the ground.

While many in the golf industry are content to whine about business, Kevin Kennedy says, he prefers to be optimistic about the present and future.

That’s a few weeks later than normal — many courses are typically able to open in late March — and this year it’s after Good Friday, which is usually one of the busiest golfing days of the year. In fact, area courses with a lot of snow will likely kick off after the Masters tournament (April 9-12), which has become a symbol to many golfers in colder climates that it’s time to get out and play.

And a slow start certainly isn’t what courses need at a time marked by myriad and, in some cases, historic challenges for the industry — everything from the lingering effects from the recession, especially when it comes to discretionary spending, to an oversaturation of the local market when it comes to courses (although that’s certainly not a recent phenomenon); from continued discounting and price stagnation that has many consequences, to societal changes that have left many people, especially younger audiences, with little if any appetite for an activity that consumes five hours or more.

Yet, despite all this, there is optimism to be found among the pros we spoke with, who said they’re learning to adapt to this new environment.

E.J. Altobello, long-time professional at Tekoa Country Club in Westfield, said the course registered “minor growth” in 2014, another season that started later than what would be considered normal, a byproduct of predominantly solid weather during the summer and few lost weekend days. Overall, he said the golf market has stabilized somewhat after several challenging years immediately following the Great Recession.

“We’ve been pretty steady the past several years,” he said, referring to both Tekoa and the regional market in general. “I think we’ve managed to stop some of the bleeding from six or seven years ago. We’ve had minor growth — nothing off the charts — and that’s what we’re probably going to see this year.”

Mike Zaranek, head pro at Crumpin Fox, a higher-end course in the Franklin County community of Bernardston, agreed.

“We had a good year last year, with about the same number of rounds as we did in 2013, which I really can’t complain about in this golf world,” he said, adding that this was despite a similarly late start, April 19 to be exact. “Our membership has been hanging on — the numbers are steady, which, for our neck of the woods and this business climate, is pretty good.”

Even Kennedy, despite his apprehension about a late start, takes a decidedly glass-is-more-than-half-full attitude as he talks about the local market, the state of the sport, and the industry’s prospects for the future.

“I tend to be a little more optimistic than many,” he said. “There are some people in the industry, and not just locally, who prefer to sit around and whine about the golf industry and how bad it is. It’d definitely challenging, but I think the game is healthy, and we can grow it.”

Still, challenges abound, and for this issue and its focus on sports and leisure, BusinessWest looks at how they are forcing clubs to bring their A-games to the table in order to post some solid numbers.

Par for the Course

To summarize the state of the game and the environment in which clubs are operating today, Kennedy summoned some numbers to get his points across.

“In 1995, there were about 25 million golfers,” he said, noting that was the year before Tiger Woods joined the PGA tour and inspired people of all ages to not only watch the sport on TV, but take it up. “And in 2013 there were … about 25 million golfers.”

In between, or roughly around 2000, there were maybe 31 million or 32 million, he went on, noting that this surge, fueled by Woods and a strong economy, was greeted with a wave of new course construction that was country-wide and included Western Mass.

Indeed, this region saw the construction of several new tracts, including the Ledges in South Hadley, the Ranch in Southwick, and, most recently, Cold Spring in Belchertown.

“The overall supply of golf courses skyrocketed — every developer wanted to build 100 condos with courses around them,” said Kennedy, talking about the scene nationally, adding that demand is currently what it was two decades ago and much less than at the start of this century.

Mike Zaranek says courses like Crumpin Fox can’t compete on price, so they must focus on value and providing an experience.

The laws of supply and demand dictate that there would be some attrition, that some courses would fail, he went on, noting that this happened nationally, with several hundred courses closed or soon to close.

But it hasn’t happened regionally, where the inventory has only grown.

And that has left clubs and their managers to take whatever steps they deem necessary to compete, he went on, adding that this means keeping prices stable (the two Springfield courses have not had an increase the past three years, for example), adding value wherever possible, focusing on good customer service, and, in many cases, marketing themselves far more aggressively than they did years ago.

Altobello agreed, and noted that the greater inventory of courses, even just a few new layouts, impacts everything from daily fee play to league play to the myriad outings and charity tournaments staged each year. And it all matters when there is already little margin for error.

“We’ve lost a few tournaments to some of the newer courses,” he said, noting the Ranch specifically because of its proximity. “Every new option out there hurts a little bit and dilutes the business for the rest of us.

“The real issue around here is saturation,” he went on. “It’s great for the consumer — this is a wonderful place to play golf — but not so great for course owners and operators.”

Using his own specific competitive situation, or “micro-climate,” as he called it, to illustrate his points, Altobello said that, although he’s competing against courses across the Pioneer Valley, the situation in his own backyard is especially intense.

Indeed, there are six public or semi-private courses in Westfield and neighboring Southwick alone — Tekoa, East Mountain, and Shaker Farms in Westfield; Southwick Country Club, Edgewood, and the Ranch in Southwick — along with two driving ranges and a par-3 course. And they serve only about 65,000 people, said Altobello.

“That’s a huge number — this is a tough environment to compete in,” he told BusinessWest, adding that a few of those courses are offering “ridiculously low” yearly rates to woo members and keep the daily time sheets full.

Given this competitive climate, Tekoa and other higher-end courses are forced to compete on quality, because they can’t compete on price.

“I certainly feel that our facility is a little better, and hopefully that wins out in the end,” he said, adding quickly that, while quality is important to some, increasingly, the golfing public is being motivated by rates and deals.

That’s because there are so many of them — available through coupon books, Groupon, Golf Now, and other online phenomena, and individual courses looking to drive traffic, especially on the slower weekdays, through golf-and-lunch specials.

“Some people are just looking to get out quick and get the lowest price available,” said Altobello. “It’s different strokes for different folks.”

Zaranek agreed. “People will ask, ‘what’s the special of the day?’ and ‘how much is this going to cost me?’” he said, adding that many will look to do better than the prices posted at the counter. “Everyone wants a deal — that’s the battle you fight.”

At Crumpin Fox, where daily rates average around $100, the club has to specifically focus on those for whom quality and excellent course conditions are a priority, he added.

“There are some places south of us where people can play three rounds for what it costs to play one at Crump,” he explained. “Our job is to get them to come up and understand the value attached to that high-end daily-fee golf course — how you’re treated, the experience you get, the golf holes you remember, the conditions you play under — and make it worth their trip once, maybe twice a year.”

Course Corrections

Meanwhile, there are many other challenges for club owners and professionals — everything from declining sales of clubs (generally, people are holding onto equipment longer than they did even a few years ago and buying last year’s models at a fraction of the cost of new sticks) to a younger generation that seemingly has no patience or passion for a game that takes so much of their time.

“The retail side of the business has changed considerably since the recession of 2008 and 2009,” said Altobello. “Guys aren’t spending money like they used to, and the equipment makers have trained people on when to buy; the 2015 driver is $400, but the 2014 driver is now $149. Is the 2015 driver $250 better than the 2014 model? Probably not. And when the next new driver comes out, people will know to wait it out.”

As for attracting younger audiences — and even those a little older who have similarly stiff competition for their time and attention — clubs are doing what they can to spark interest and hold it.

But it’s an uphill battle.

“Young kids want instant gratification — they want to pick up their phone and play a game, they want to go do this and then do that,” Kennedy explained. “Five hours? If I tell my daughter she’s going to have something good in five hours, she looks at me like I have seven heads. Five hours? How about five minutes? That’s what they have patience for.”

Despite those sentiments, clubs are being more aggressive with programs aimed at attracting younger audiences and, when possible, keeping them in the game, said Zaranek, noting that Crumpin Fox has pricing programs for families and juniors. Meanwhile, it is stressing options for time-strapped individuals, such as nine-hole outings or even playing a handful of holes.

Clubs are also working hard to keep younger individuals and families interested in golf through that challenging period when they are otherwise preoccupied with their career and their family.

Altobello said an all-too-common pattern is for young people to start playing the game in high school, maybe stay with it through college — although that’s challenging as well — but then drop the game when the responsibilities of parenthood and their career consume most all of their time.

“I don’t think the 17-and-under crowd is playing any less than they were 10 or 15 years ago,” he explained. “But I think that, as they get into business and get into their 20s, it seems like we lose them for about 10 to 12 years.

“The whole dynamic of the family has changed over the past 25 or 30 years,” he went on, adding that, while this isn’t a recent phenomenon, societal changes have amplified its impact. “Today, both parents are working, and kids are into more things — and parents need to be there, whether it’s a soccer game or practice or dance. It’s a time factor.”

The challenge for clubs is to try to keep people in the game, he went on, or at least make sure they get back into it when their children get older and time is more plentiful.

There are some positive developments, said the pros we spoke with, although the impacts are more likely to be felt down than the road than in the present.

One is the retirement and pending retirement of the huge Baby Boom generation, said Altobello, adding that this constituency has two things the golf industry requires — time and, generally speaking, disposable income. And many have the wherewithal to retire early.

“The real factor for most people is time,” said Altobello. “If you have a family and you’re working, you just don’t have a lot of time. Anyone who’s retiring early, people in their late 50s and early 60s — that really helps out, and we’re seeing more of those people, men and women, out there.”

Spring in Their Step

It will probably be at least mid-April before they’ll be out on many of the courses in this region.

That later start will only add to the many challenges facing golf-course owners today as they deal with changing societal patterns, lingering effects from the recession, a time-challenged population, and, yes, the weather.

In this climate, ‘steady’ is a reasonable goal and, in the end, a good number on the scorecard.

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

The Next Chapter

By BusinessWest Staff March 24, 2015

Cover Story

Rick Sullivan Settles into New Role as EDC President

Having been a mayor, Richard Sullivan Jr. understands how city leaders think. But he wants them to broaden their horizons.

“Cities often don’t focus on the importance of regional development,” said Sullivan, the new president of the Western Mass. Economic Development Council (EDC). “I understand the parochialness; every community wants development they think is appropriate for their community first.

“But there also needs to be a realization,” he continued, “that all the cities and towns of the region need to be strong and growing — that it’s good for neighboring communities when jobs are created in Holyoke, Chicopee, Northampton, or Greenfield, because people from surrounding communities are going to work at those companies and do business with those companies.”

The EDC, which Allan Blair led from its inception 19 years ago until his retirement last fall, has strived for decades to create region-wide vitality, but in some ways, the challenge is greater now, Sullivan said.

“We would rather have growth opportunities happening in neighboring communities than in other parts of the country,” he told BusinessWest. “We live in a time when businesses, for the most part, don’t have to be in any one city or town; they can be really flexible. So we need to really sell the attributes we have as a region.”

To do that, he continued, “we’ve got to change the way we look at ourselves in Western Massachusetts. “There are so many great attributes of the region, so we need to be confident that this is, in fact, a good place to work, to do business, to live. We understand we have needs, but we’re coming from a good place, and we need to tell that story.

“It’s easy to fall into the trap of thinking that good things only happen here when the economy is strong and something spills over from Boston,” Sullivan added. “But I think it’s time Western Massachusetts took the lead and became aggressive in telling our story. It’s a great story; so many good things are happening here. We need to go out, get to the table, and get our share of wins.”

State of Affairs

Sullivan has traveled a wide and varied road to his latest assignment. After serving as Westfield’s mayor from 1994 to 2007, he headed up the state Department of Conservation and Recreation before Gov. Deval Patrick brought him into his cabinet in 2011 as secretary of Energy and Environmental Affairs, a role in which he oversaw six environmental, natural-resource, and energy-regulatory agencies.

From there, Patrick tapped him to be his chief of staff, where he remained through the ex-governor’s second term last year.

“Having spent the last seven and a half years in Boston, I’ve been able to make some contacts there. And I learned that Western Mass. really needs to get a seat at the table when there are growth opportunities; we need to be able to tell the story of Western Mass.,” he said, using as one example the region’s wealth of talent in precision manufacturing.

“You’re seeing growth in the economy of Eastern Mass. as companies ramp up and take new technologies to scale and begin manufacturing. Here in Western Mass., that’s one of our strengths — we can do those manufacturing processes. We can be competitive with other parts of the country; they don’t need to go to some southern state. We need to be at the table on this.”

Allan Blair, who led the EDC from its inception in 1996 until his retirement last year, forged a number of key partnerships among education and workforce-development entities.

But he doesn’t want to limit his gaze to the east when persuading companies to consider the Pioneer Valley and the Berkshires. “We also have to look south, down the Route 91 corridor — now known as the Knowledge Corridor — from New Haven up through Franklin County; that’s an important part of the economy in Massachusetts. We are well-positioned here in Western Massachusetts. The future is bright.”

Sullivan often brings up the concept of “telling our story,” something he did for years serving in Patrick’s administration.

“I did feel an obligation every day, as member of the cabinet, to bring the Western Mass. story to the table,” he said. “Certainly, it was really easy with Gov. Patrick, because he was very cognizant of the whole state, every single day. He has a home in Richmond, and he has a special place in his heart for Western Mass.”

But telling the story in Boston and spearheading a number of initiatives creating positive change are two different challenges, he went on. “Western Mass. has taken a regional approach for a long time, perhaps out of necessity because we’re smaller than most regions, and we need to band together. The EDC is a place where all voices can be convened. We are well-positioned to be that strong voice.”

The job was an attractive one, he said, opening up as Patrick neared the end of his last term as governor. “I’ve got a long history with the EDC, dating back to my time as mayor of Westfield and working on a project there.”

Actually, he quickly added, he was still City Council president when the EDC and the Westmass Area Development Corp. brought forward plans for Summit Lock Industrial Park, which eventually attracted CNS Wholesale Grocers as its largest tenant. “That was certainly a real turning point in the organization and the region, and allowed Westmass Development to move forward.”

Three Buckets

The EDC’s role in the regional economy is a broad one, boasting affiliations with local chambers of commerce and business improvement districts, Westmass, the Greater Springfield Convention and Visitors Bureau (GSCVB), Westover Metropolitan Airport, and Valley Venture Mentors. But Sullivan said its key focus can be narrowed to three “buckets”: precision manufacturing, higher education, and entrepreneurship, or the innovation economy.

“Precision manufacturing is really the invisible backbone of the economy of Western Mass.,” he explained. “There are a couple of large manufacturers, but there’s a whole network of smaller advanced manufacturers that call Western Mass. home — and have for generations.”

If the industry is a regional calling card, Sullivan said, it’s one the EDC and its partners need to talk up, since these are businesses that don’t typically focus on bringing attention to themselves.

“We need to help them by taking the conversation out there,” he said. “The individuals running these businesses, frankly, don’t have time to be the voice touting this industry, the importance of this network in Western Mass. That’s part of what we need to do as the EDC.”

The industry’s biggest issues revolve around talent and skill sets — not just to fill the jobs available today, but the wave of openings on the horizon over the next decade.

“The workforce on the floor right now is older, and a lot of jobs will come open in the next five to 10 years,” Sullivan said. “So we’re working with the technical schools, the community colleges, and other universities here in Western Mass., working with the Regional Employment Board, to develop really specific education and training.”

A good example is CNR Changchun Railway Vehicles, the Chinese company planning to launch manufacturing operations in Springfield — a project expected to generate more than 100 construction jobs but, more important, up to 250 permanent jobs in the plant. But those positions will require specific skills and certification, as do many manufacturing jobs.

“Manufacturing jobs today are clean, high-tech, IT-driven jobs, and they’re jobs that provide enough income for you to have good quality of life, a good middle-class living,” Sullivan said. “We want to make connections with the rail-car company and other manufacturers in the region and grow the industry here.”

The second bucket, and one that’s related to the first, is the higher-education system in Western Mass. “It’s strong in Western Massachusetts, which is important for an educated workforce,” Sullivan said. “It’s an important business sector here, and we need to tell the story of our schools of higher education here.”

The reason, of course, is to build the skilled workforce that will not only stay in Western Mass., but will develop their own enterprises and scale them up.

“I met with the college presidents,” he said. “They’re willing to step up and play those roles. That’s exciting.”

The third bucket is intertwined with the second, and that’s the region’s innovation economy, built largely through entrepreneurship. “You can see tangible growth in the sector. You see emerging technologies and clusters like Amherst or the Holyoke Innovation District or here in Springfield, with Valley Venture Mentors and commitments from companies like MassMutual and the Davis Foundation, to name just two.”

Innovation crosses all industries, Sullivan continued. “It can be IT-related or biotech-related. There are some great opportunities when you look at issues like clean energy and water technology and innovation.”

From his years dealing with environmental issues on the state level, Sullivan is well aware of the importance of the burgeoning green industries in Western Mass. and projects like a federally funded drinking-water-innovation center at UMass Amherst, tasked with finding solutions for cleaning up the world’s water supply.

“You can go down to the Cape and look at nitrate contamination, but clean water is a global issue,” he said. “And there’s no reason why it can’t be centered here in our region. If we can capture that market, it plays into the good work we have started with innovation and entrepreneurship.

“I think it’s a really exciting time for the region as a whole,” he went on, “and the EDC has a great opportunity to really set the agenda for the region around business growth and business development.”

Games and Gaming

Other EDC-affiliated organizations, like the GSCVB, have their own priorities. “I want to be supportive, plug in where I can be helpful,” Sullivan said. “Mary Kay [Wydra, GSCVB president] is clearly the professional there. The perfect example of that is work on Boston’s Olympic bid and where Western Massachusetts can plug into that. The EDC can be the larger regional voice, but they obviously have the experience to do the nitty-gritty work.”

While Boston’s bid is far from a sure thing, another recreational draw, MGM Springfield, is definitely on its way, breaking ground this spring on an $800 million casino complex in Springfield’s South End. That poses more opportunities — and challenges — for the EDC.

“Obviously, we’ve got construction that’s going to take place,” Sullivan said. “I’ve had conversations with [MGM Springfield President] Mike Mathis, who has been a good partner, trying to plug into our local construction companies and subs, helping to train up the workers. We want our companies, our workers, on these construction projects. That’s the promise they’ve made, and they’ve been very good about keeping that promise.”

Long-term, because MGM is talking about 3,000 permanent jobs in the completed casino, “it goes back to workforce training and narrowing skills gaps,” he continued. “Some jobs will require a high-school or community-college degree, while some higher-level jobs will require more. As a region, we need to be able to do the training for long-term jobs in casino operations.”

The EDC also wants to facilitate connections between the casino and a host of potential locally based vendors, he noted. “We’d like local florists to provide services, or local linen companies, cleaning companies — all the functions that occur on a daily basis in casino operations. We need to make these connections here in Western Massachusetts. I think the EDC can play a role, both with the casino and the rail company — these long-term, large-impact projects — in making sure our local vendors get these jobs.”

Some of those vendors might not have the size to take on that work, he added, which is why the EDC wants to cultivate programs to help them grow. As for the rail-car operations, workers will need to be trained and certified to tackle that manufacturing niche.

“That process just doesn’t happen overnight,” Sullivan said, referring to both the casino and Changchun. “The time is now to make those impacts. Years from now, when things are under construction, that’s be a little late in the game. It seems early, but it’s really not, with the lead time involved with many of those functions.”

Moment in Time

If all that seems like a lot for the EDC to have on its plate during a crucial time in Greater Springfield’s history, well, Sullivan doesn’t deny that. But he’s encouraged by the fact that many different organizations have already made the connections to support the programs needed for further economic growth.

In addition, he’s gratified by the reception he’s received from area mayors, chambers of commerce, and other economic leaders in taking on his new role.

“Everyone has been very welcoming, and there’s a real sense of excitement — not about me personally, but excitement about the potential of the region and what can happen here,” he told BusinessWest. “So, I think this is a moment in time that, if we seize it, can have some long-term economic impact in Western Massachusetts. I have to say, I’m extremely excited about the potential.”

Joseph Bednar can be reached at [email protected]

No Holds Barred

By BusinessWest Staff March 10, 2015

Cover Story

Roca Is Relentless in Efforts to Give Young People a Fresh Start

Christine Judd, director of Roca’s Springfield facility, with Kadeem Batchelor, one of the “young people” now in phase 1 of the agency’s intense intervention program.

It’s called Roca — that’s Spanish for rock, as in rock solid. And it’s an apt name for an organization, created in 1988, that helps very high-risk individuals — those who have been incarcerated, are in gangs, have substance-abuse issues, and have dropped out of school — somehow get their lives on a much better track. Now four years old, Roca’s Springfield office is enjoying success with this daunting task by being, in a word, relentless.

David Rios says that, in the weeks and months after he entered the Roca program in Springfield last summer, “the street,” as he called it, kept trying to lure him back to a lifestyle that eventually landed him in the Hampden County Correctional Facility in Ludlow, and he was often tempted — very tempted.

And it’s easy to see why.

Indeed, the money he could make selling drugs was almost exponentially higher than what he earned shoveling snow, clearing fire hydrants, mowing lawns, and cleaning alleyways in downtown Holyoke — just some of the many assignments parceled out as part of Roca’s transitional employment efforts.

But what kept him from returning to the streets was something far more important — and powerful — than money.

“I’m the father of six now, and I saw myself either looking at them through glass and explaining to them why I was there, or being out with them,” he told BusinessWest. “I put my mind in a place where I wanted to be home and be able to see my kids and hug my kids.”

Helping all the “young people” — that’s the term this organization uses in reference to those it works with — who come through the doors find such a place is the unofficial mission statement for Roca, which was founded in Chelsea in 1988 and expanded into Springfield in 2010 and later into Boston.

Hampden County Sheriff Michael Ashe

The official mission is to “disrupt the cycle of incarceration and poverty by helping young people transform their lives,” and it carries out this mission through a four-year program that all those involved, from Christine Judd, director of the Springfield facility, to Hampden County Sheriff Michael Ashe, to people like Rios, described with the word intense.

“And it needs to be because of the people we’re working with,” said Judd, noting that Roca — which translates into ‘rock’ in Spanish — was designed specifically for individuals (in Springfield, males ages 17-24) who are seriously at risk, meaning they’ve been incarcerated, have no real work history, dropped out of school, and usually needed to be dragged into this program kicking and screaming.

She calls them “Roca kids.”

Ashe, sheriff for more than 40 years now, needed a few more words to describe this constituency. “In every urban area in America today, there is a population of young people who are over a cliff,” he said. “And what we’re trying to do is set up a safety net at the bottom. Roca is that net; no other nonprofit, no other education center has been able to connect with this population and get them to consider changing their ways.”

David Rios says he found it tempting to return to the street, but he’s been steeled by a desire not to view his children through the glass wall of a prison visiting center.

The intensity it takes to make this connection and get people into, and then to stay with, the program is only heightened by the fact that the organization’s efforts are funded through what’s known as a ‘pay for success’ (PFS) model, which, as the name suggests, only pays for Roca’s services if and when better outcomes are achieved and days of incarcerations are avoided, thus reducing the burden to the taxpayers.

A year into the unique PFS initiative, Roca is hitting its numbers and actually exceeding them, said Lili Elkins, the agency’s chief strategy officer, noting that, of the young men retained in Roca’s model 24 months or longer, 92% had no new arrests, 98% had no new technical violations, and 89% retained employment for at least 90 days.

While still in its relative infancy, at least when compared with the facility in Chelsea, Roca Springfield is making major contributions to that success record. Last December, the operation honored its first ‘graduates,’ those who had successfully completed the four-year program and moved on to permanent employment.

Trevor Gayle was one of them.

He’s now a full-time employee of Chase Management, a Springfield-based property-management company for which he handles a variety of duties ranging from painting to maintenance to apartment-turnover work. He has his own place now and has been able to put the street in his rear-view mirror.

When asked if he thought such a fate was possible when he came to Roca, somewhat reluctantly, in the summer of 2011 — after spending six months in jail for sitting in the seat next to a friend who shot and wounded an individual as he approached their vehicle — he paused a minute and shook his head.

“No … I never thought I’d be here,” he said as he sat at what amounts to the conference room at Chase’s office, explaining that he didn’t find Roca — it found him. “Every day, I think about how many times I could have been put away or put in the dirt, just because of me hanging out there. I’m really lucky.”

For this issue, BusinessWest takes an in-depth look at Roca and how it manages to help people Gayle turn their lives around, stay out of prison, and beat the street.

Coming to Terms

Kadeem Batchelor said that, when he first arrived at Roca six months ago after spending four years at the Ludlow jail for “being young and following,” which translates into drug and gun crimes, he didn’t get the concept, or big picture, as he put it.

Suffice it to say, he gets it now.

“I was used to everything happening overnight,” he said. “Once I realized the concept that things don’t happen overnight, and once I calmed down and started listening, my outlook changed. Before I came here, I was ignorant and didn’t care; I’m much more mature now. Here, they show you how to face reality, stand up to your problems, just be a man about your situation and not try to take the easy way out.”

Such an attitudinal change is what Molly Baldwin had in mind when she founded Roca in 1988. The concept, as summed up in the marketing slogan ‘less jail, more future,’ was simple — use street outreach, data-driven case management, stage-based education, and employment training to reduce individuals’ involvement in crime, keep them out of jail, and help them get jobs.

Carrying out that mission has been anything but simple, but Roca has succeeded through partnerships — with constituencies ranging from law-enforcement officials to private business owners — that essentially involve the entire community in the work to keep young people on a path to success. “We’ve always operated with the attitude that everyone matters in life,” Baldwin told BusinessWest. “Today, many young people are having a lot of difficulties, but they, too, can make the changes to turn their lives around, and it’s a privilege to do this work.”

Roca’s success in Chelsea eventually caught the attention of Ashe, who, over the years, had created or adopted a number of programs to transition individuals from incarceration to the workforce, but needed a program that specifically focused on that ultra-high-risk constituency, which, as he said, was over a cliff, and possessed the requisite intensity to achieve results.

“We really liked the model,” he explained. “There is a relentless pursuit, or unyielding pursuit, of these people, and we knew that it took this kind of intensity, this kind of focus, to get young people away from a pursuit of drugs, violence, and gangs. Roca had the passion, the commitment, and the dedication to connect with this population.”

From the beginning, all those who became involved locally, at Ashe’s behest, understood the agency’s importance, its mission, and the many challenges to carrying it out.

Frank Fitzgerald, principal with Fitzgerald Attorneys at Law and a member of the original advisory board for Roca Springfield, said the City of Homes — like other major urban centers — has changed considerably since he grew up there.

“When I was a kid, we’d hang out on the corner; the cruiser would pull up, and the officer would crook a finger at us and put us in the back seat,” he recalled. “We’d say, ‘I didn’t do anything,’ and they’d say, ‘it’s not what you did, it’s what you’re thinking about doing.’ We’d be driven home to our parents, and the activities for the evening would be substantially curtailed.

“Today, in our core cities, it’s not like that — it’s serious crime,” he went on. “And this [Roca] is what we need; we need people out bringing these guys in, putting them through the program, and putting them to work. The economic benefit of someone who’s productive in society, as opposed to someone in jail, at the taxpayer’s expense, is huge.”

Trevor Gayle, a recent graduate of Roca, is now a full-time employee of Chase Management Service, whose owner, Sheryl Chase, saw an opportunity to help young men in the program.

The challenging demographic with which Roca works, as described by Judd, Ashe, and Fitzgerald, is captured in these statistics, supplied by Elkins: In FY 2014, the Springfield site served 140 young men in its intervention model, 97% of whom were Hispanic/Latino, African-American, or biracial; 97% had a history of arrests; 83% had prior convictions; 86% had dropped out of high school; 83% had a substance-abuse history; 81% were gang-involved; and 49% were young fathers.

Beyond these characteristics, many of the participants didn’t want anything to do with Roca — initially, at least — and that’s the way the agency wants it.

“If you want to be in, we don’t want you,” said Elkins, as she talked about all three Roca operations. “We’re an interesting program because we are truly focused on the highest-risk young men and the ones who are not able to engage in traditional programming. We joke with people and say, ‘if you’re able to show up for programming on your own, without us needing to harass you and drag you in, we’ll send you somewhere else because you’re too high-functioning, and you don’t need our services.’”

Judd agreed. “If you’re high-risk enough, and I’ve had a conversation with you and I deem you a Roca kid, we own you,” she said. “At which point, we’re relentless and we’ll stay on you, whether you want us to or not. Our outreach workers are constantly knocking on doors, and sometimes they’re slammed in their face; it’s a four-year program, and for that first six months, it’s about being relentless and building that relationship of trust.”

The Springfield program began with 50 such individuals and a staff of three. Things got started in a few rooms donated to the cause by Ashe, and the operation later moved into a small building on School Street. Its first day there, a tornado roared through the South End, just a few blocks away.

Since then, Roca has been an equally powerful force.

Work in Progress

Judd said the agency’s four-year program has three phases: the first six months (and there’s actually a phase within that phase); months six through 24, when transitional employment initiatives take place; and then the final two years, when the young people move on to outside placement with a number of area employers, including Beacon Management, Lenox American Saw, F.L. Roberts, Steven A. Roberts Landscape Architecture & Construction, and others.

Actually, work sometimes begins while someone is still incarcerated, so that when they reach Roca’s door, they know what the program is about and can, in some ways, hit the ground running, she explainedJudd added that, through that pay-for-success initiative, referrals come to Roca from probation departments, parole offices, the Department of Corrections, and the Department of Youth Services.

“We’ll go behind the wall in those facilities to meet with those young people and build those relationships before they get out,” she explained. “When they get out, we find their address, and we maintain contact; our whole goal is to get them into our building, and when they’re here, it’s very rare that they walk out without some sense of camaraderie, a sense of belonging, or a sense of family.”

Gayle recalls that he hadn’t been out of jail long after that shooting episode before those at Roca started looking for him. Actually, they went to his younger brother first, hoping he might be an intermediary and convince him to take part. Those plans didn’t go according to the script.

Christian Vasquez, who arrived at Roca last summer, is working toward his GED and driver’s license, and possesses what he called a “new attitude.”

“My brother told me, ‘Trevor, you don’t want to do this — it’s the police after you again; what are they talking about, getting you a job? Don’t do it,’” he recalled, adding that, thankfully, he didn’t heed that advice. “I went down to Roca and decided to give it a shot; I didn’t want to keep getting incarcerated for things I didn’t do and wasn’t involved in, because that’s what it seemed like to me.”

But he admitted that it was difficult in the beginning. Indeed, like Rios, he said the street kept beckoning, and it was hard not to listen. Meanwhile, he didn’t take to the Roca way quickly or easily.

“In the early stages, I was being real belligerent, and they were telling me stuff that I couldn’t do, and I was upset because I couldn’t do it,” he recalled. “I was still in that phase where, if you tell me not to do something, I’m still going to do it anyway.”

Judd said such struggles are commonplace, and, as she talked about phase 1 of the program, she drew a comparison to the TV show The Biggest Loser and the beginning of those contestants’ experiences.

“That’s when you see the biggest behavioral change,” she explained. “The first time a young man walks into our door, his pants are down around his knees, he’s got his colors on, he’s representing his set. And his language and decorum are way off — he doesn’t look you in the eye, there’s no handshake … that’s the first 60 days.”

Transition Game

By the time those two months are over, there is usually recognizable change, she said, adding that the first phase of the program is dedicated to assessing an individual, achieving some measure of buy-in, and building the relationships and trust that will certainly be needed to get through phases 2 and 3.

The former involves transitional employment, she noted, adding that this takes place between months six and 24 and involves work four days a week for a host of employers, including the cities of Springfield, Holyoke, and Chicopee, as well as a few property-management companies, including Chase. The fifth day, Wednesday, is “development day,” said Judd, during which the young people work on everything from financial literacy to mock interviews to what she called “fatherhood class.”

The move from phase 2 to phase 3 equates to shifting from basic training to advanced programming, said Judd, adding that those who make this transition — and some make it more easily than others — become essentially temporary employees for several area companies, including the property-management businesses, F.L. Roberts, Lenox American Saw, and others.

“They either have a job or they’re still looking for a job, or whatever, but we’re working hard over the next two years to get them placed, get them in housing, or get them in school,” she explained. “This is where we say, ‘it’s time to put your big-boy pants on and do it. You still have our support; however, it’s time to grow up.’”

For phases 2 and 3 to meet their missions, and for participants to move on to graduation and permanent employment, Roca needs partners in the form of area employers willing to step forward and assist this still-high-risk demographic, Judd said.

Sheryl Chase became one willingly because she recognized the need, had some opportunities to help, and saw a responsibility to assist a constituency that many would prefer to ignore or designate as someone else’s problem.

“Roca is a great program, and its work is really important to the community,” said Chase, who now has a diverse portfolio that includes everything from single-family homes to a 50-unit apartment complex and manages 10 full-time employees.

She first became involved with the transitional-employment phase of the Roca program, using participants to help clear properties of the heavy snows last winter, before taking things to a higher level by hiring two men, one of them Gayle, full time.

The other hire didn’t work out, she said, an indication of how difficult it is for some to make the transition from the street to the workforce. “It’s tough going from making $1,000 a week selling drugs to making $12 an hour busting your butt; it’s a whole different mentality, and you have to answer to people in ways you’ve never had to answer to them before.”

Gayle is faring much better with the transition, said Chase, adding that the company is being supportive in any way it can. Indeed, while employees are required to have cars so they can get from site to site easily, that policy has been waived for Gayle, who either works with a partner or stays at one site all day.

“We understand the challenges he’s facing,” said Chase, “and are trying to help him succeed.”

Street Smarts

What Roca has been able to provide for both graduates and those still involved in its various phases is a sense of hope that they can leave the street behind and find something better, if not inherently more lucrative financially. It’s also provided both a desire to set goals and an attitude that they can, indeed, be met.

Gayle, 24, soon to be 25, calls them “power moves,” or big steps toward being successful in life. Getting a job was simply the first, he said, adding that he wants to eventually go back to school, become a great father to his son, own a home, and, most importantly, become a role model for his child.

“I feel like, if I can change everything around now, then when he gets older, when he starts acting up, because every kid goes through it … when he sees that and he sees how his father did it, he can definitely follow suit and do the same thing.”

As for Rios, he has three and half years to go before he graduates, but already he sees significant light at the of the tunnel.

“I see myself doing good; I see a lot of doors opening that I couldn’t imagine opening for me,” he said. “I’ve learned a lot, including stuff I didn’t even know that I could do.”

Christian Vasquez, like Batchelor, Gayle, and most others, was hard-headed when he arrived at Roca last summer after a short stint in prison that was nonetheless long enough to make him pledge never to go back.

But his stance eventually softened during that six-month period of transition Judd described. He’s working toward his GED and his driver’s license, is exploring possible paths to a career as a graphic artist, and has developed what he described as a new attitude.

“I’m carrying myself the right way, and I’m looking forward, not back at everything that happened,” he told BusinessWest. “I’ve changed a lot — I’m not the same person I used to be. I’m more calm, and I’m just striving for my goals like I’m supposed to. I’ve got stuff I’m looking forward to.”

Batchelor, meanwhile, is currently enrolled at Springfield Technical Community College, with designs on majoring in business, while also looking toward getting into comedy — he recently did a one-man show at Roca — or acting.

“Whatever you put your dream to, they’re here to support you,” he said of the staff and volunteers at Roca. “They can help you change your life.”

With that, he spoke for everyone who has somehow made it to and through Roca’s door.

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

Difference Makers: The Class of 2015

By BusinessWest Staff March 9, 2015

Class of 2015 Cover Story Difference Makers

Difference Makers Will Be Celebrated on March 19 at the Log Cabin

Sponsored By:

Photos by Denise Smith Photography

While each of the first six classes of Difference Makers was diverse, and effectively showed just how many groups and individuals are worthy of that phrase, the group being honored this year probably sets a new standard.
It includes the region’s only Fortune 100 company, three nonprofit agencies — one committed to fostering and nurturing entrepreneurship, another focused on improving quality of life in Greater Springfield through a host of family-centered events, and the third created to raise funds for childhood cancer facilities in the name of a spirited 11-year-old who succumbed to the disease — and an assembled team of entrepreneurs that kept Springfield’s most iconic restaurant open for future generations to enjoy.
“The stories that start on page A4 are all different, and they show what those of us at BusinessWest knew when we started this program back in 2009,” said Kate Campiti, the magazine’s associate publisher. “And that is that there certainly are a number of ways that people can make a difference in the community.”
The honorees, to be feted on March 19 at the Log Cabin Banquet & Meeting House are:

• Katelynn’s Ride: Created in 2011 to honor the memory of Katelynn Battista, who lost her courageous battle to leukemia at age 11, the K-Ride, as organizers call it, raises money for both Baystate Children’s Hospital and the Dana Farber Cancer Institute through the Jimmy Fund. Locally, some of the funds awarded to Baystate have gone to support a new position, a nurse practitioner who acts as a liaison between the families of cancer patients and the teams of specialists that provide care.
Meanwhile, those who participate in the ride say the event itself has become a Difference Maker by providing camaraderie and a forum in which they can fight cancer together and honor both those who have survived their battles and those who have lost, and the ways in which those individuals inspire others.

• Judy Matt, president of the Spirit of Springfield: For more than three decades, Matt has been at the forefront of coordinating family-focused events for the residents of Springfield and surrounding communities. That list includes Fourth of July fireworks, the annual pancake breakfast (once touted as the world’s largest), the Big Balloon Parade, and Bright Nights, the holiday lighting display that is on many national lists of must-see attractions.
Those who have worked with Matt praise not only the depth of her work, but the energy and imagination she brings to it, and the way in which she has brightened some very dark days for the city. Said Bill Pepin, president of WWLP and the first board chair of the Spirit of Springfield, “Judy has been a true champion of Springfield, a real believer, especially during the tough times, when a lot of people were saying, ‘if you’re the last one to leave, turn out the lights.’

• MassMutual: The financial-services giant is being honored not simply for the depth of its philanthropy or community involvement, but the strategic nature of such endeavors. Focused in three areas — education, economic development, and ‘community vitality,’ the company’s many contributions are long-term in focus, with the goal of strengthening the community and building a quality workforce.
Said Springfield Mayor Domenic Sarno, “from the beginning, this city has always been able to count on MassMutual. It’s been a source of jobs, a force on economic development, and a philanthropic monster. And it should never, ever be taken for granted, because not every city has a MassMutual — and every city would love to have one.”

• The new ownership team of the Student Prince and the Fort: Last summer, Rudy Scherff, second-generation co-owner of the Springfield-based institution known as the Student Prince and the Fort, announced that, if new ownership could not be found, the iconic restaurant and tavern would likely close amid falling profits and rising expenses. Into the breach stepped a somewhat unlikely group — Peter Picknelly, owner of Peter Pan Bus Lines; the Yee family, owners of the Hu Ke Lau in Chicopee and other restaurants; and Kevin and Michael Vann, father-and-son consultants who have worked with a number of restaurateurs over the years.
When they announced their intentions to give the landmark a facelift and a slightly altered menu and reopen the day before Thanksgiving, they not only saved a part of Springfield’s fabric, said Sarno, they gave the entire city a shot in the arm.

• Valley Venture Mentors: While only a few years old now, Valley Venture Mentors, an agency tasked with mentoring entrepreneurs and fostering entrepreneurship, is already making a difference in the broad realm of economic development.
Through a host of initiatives ranging from monthly mentoring sessions to shared-workspace initiatives, to a new accelerator program which just welcomed its first cohort of 30 companies, VVM is, according to many observers, making real progress in creating an entrepreneurial renaissance in Springfield and the region as a whole.

The March 19 event will feature butlered hors d’ oeuvres, lavish food stations, a networking hour, introductions of the Difference Makers, and remarks from the honorees. Tickets are $60 per person, with tables of 10 available.
For more information, or to order tickets, call (413) 781-8600, ext. 100, or go HERE.

Previous difference makers

2009
• Doug Bowen, president and CEO of PeoplesBank
• Kate Kane, managing director of the Springfield office of Northwestern Mutual Financial/The Zuzolo Group
• Susan Jaye-Kaplan, founder of GoFIT and co-founder of Link to Libraries
• William Ward, executive director of the Regional Employment Board of Hampden County
• The Young Professional Society of Greater Springfield

2010
• The Irene E. and George A. Davis Foundation
• Ellen Freyman, attorney and shareholder at Shatz Schwartz and Fentin, P.C.
• James Goodwin, president and CEO of the Center for Human Development
• Carol Katz, CEO of the Loomis Communities
• UMass Amherst and its chancellor, Robert Holub

2011
• Tim Brennan, executive director of the Pioneer Valley Planning Commission
• Lucia Giuggio Carvalho, founder of Rays of Hope
• Don Kozera, president of Human Resources Unlimited
• Robert Perry, retired partner/consultant at Meyers Brothers Kalicka
• Anthony Scott, police chief of Holyoke

2012
• Charlie and Donald D’Amour, president/COO and chairman/CEO of Big Y Foods
• William Messner, president of Holyoke Community College
• Majors Tom and Linda-Jo Perks, officers of the Springfield Corps of the Salvation Army
• Bob Schwarz, executive vice president of Peter Pan Bus Lines
• The Women’s Fund of Western Massachusetts

2013
• Michael Cutone, John Barbieri, and Thomas Sarrouf, organizers of Springfield’s C3 Policing program
• John Downing, president of Soldier On
• Bruce Landon, president and general manager of the Springfield Falcons
• The Sisters of Providence
• Jim Vinick, senior vice president of investments at Moors & Cabot Inc.

2014
• The Gray House
• Colleen Loveless, executive director of the Springfield chapter of Rebuilding Together
• The Melha Shriners
• Paula Moore, founder of YSET Academy and a teacher at Roger L. Putnam Vocational Training Academy
• Michael Moriarty, attorney, director of Olde Holyoke Development Corp., and supporter of childhood-literacy programs

Grasping the Big Picture

By BusinessWest Staff February 24, 2015

Cover Story Sections Technology

Video Specialist Chris Thibault is Focused on Growth

Chris Thibault was asked to pinpoint why he believes his work — everything from television commercials to instructional videos on deck screws — stands out in a field crowded with competitors.

He kept coming back to the word ‘edgier,’ as in “some people think my style’s a little edgier than what you would get from a corporate video-production company. When they’re looking for something to connect and be sharable and be cool, for lack of a better word, people come to me.”

When pressed for more specific definitions of what amount to technical terms — ‘edgier’ and ‘cool’ — Thibault, founder and president of Chris Teebo Films (he says that spelling makes his name easier to pronounce and his company easier to find), struggled somewhat, as might be expected, because of the subjective nature of those words.

“Anyone can make a pretty picture,” he told BusinessWest before a lengthy pause as he searched for more words. “I just try to bring my own style into it and not base anything off a template.”

With that, he decided that the best way to get his points across was to play a shorter version of what eventually became a promotional video and television commercial he produced a few years ago for something called the Great Bull Run — a series of events that, as the name suggests, brings the Spanish tradition of running with the bulls to this country.

“I like to take risks — that’s what they teach you in art school starting on day one, to take risks when you can,” he said as he rolled the footage, which showed close, detailed shots of individuals running alongside 1,500-pound bulls, an effect created with several cameras, including one strapped to one of the runners (christeebo.com/portfolio/the-great-bull-run). “You can cover this like a news story, and there’s nothing wrong with news, but we wanted to get right into the mix and capture what this is about. People who run with bulls, or might run with bulls … they want something edgier.”

Teebo’s ability to create that intangible has helped him grow his now-Springfield-based company dramatically in recent years, with a 60% increase in revenues in 2014 alone, and add to his portfolio of work.

For example, it now includes several Big Y commercials featuring New England Patriots nose tackle Vince Wilfork, a promotional video for the Spirit of Springfield’s Bright Nights lighting display (produced for its 20th anniversary), television commercials for political candidates such as recently elected state Sen. Eric Lesser, and much more.

Some of these works are edgier than others — political office seekers, not to mention Big Y, tend to be fairly conservative, while the Bright Nights video was shot from the perspective of a young child and is thus quite compelling — but together, they have helped Thibault meet the ongoing challenges of gaining word-of-mouth referrals and generating business from that marketing tool known as the Internet.

And he hopes an upcoming project — a promotional video of Springfield being financed by its Economic Development Department with the goal of showcasing current initiatives and inspiring more of them — will create more momentum in efforts to build his brand and get involved in Springfield’s comeback.

“I’m really excited about this project,” he said. “I’m going to knock it out of the park with that one.”

Looking ahead, Thibault, as he said, wants to not only help promote Springfield through that video now in the planning stages, but be part of the city’s turnaround. He recently relocated to a office in 1350 Main St., and is conceptualizing plans to develop what he called “shared creative space” in the city.

Such a facility, a large studio, would become workspace for a host of creative professionals, including photographers, videographers, audio engineers, and even musicians, he explained, adding that there are models for such a development in New York and Boston that he hopes to emulate.

In the meantime, his more immediate goals are to expand the portfolio with more ‘edgy’ work, add additional employees, and grow Chris Teebo Films into a regional force within this industry.

For this issue and its emphasis on technology, BusinessWest talked at length with a young business owner focused (there’s another industry term) on creating images that get results, no matter how the client chooses to measure them.

Setting the Stage

Like most individuals in this business, Thibault can trace his interest back to his high-school years. In this case, it was a 10th-grade class in video production at Springfield’s Sci Tech that got him hooked.

“I thought this was the coolest thing ever,” he noted. “It combined all the aspects that I loved. I was always an artistic kid — I would always draw, mess around with music and sound — and I thought video combined all that, so I fell in love with it.”

This image from a video produced for the Great Bull Run displays what Chris Thibault calls an “edgier” style that defines much of his work.

Finding ways to express this affection became more difficult when his family moved to West Springfield. The city’s high school didn’t have video production classes, so he created some.

He bought a Sony handycam, began filming the school’s sports teams, and created seasonal highlight videos that garnered both revenue and acclaim.

“They would play them at the year-end banquet, and the video would get a standing ovation,” he recalled. “These weren’t huge events, but everyone would stand up and clap, and that was a great feeling.”

Thibault was accepted at the prestigious School of Visual Arts (SVA) in New York City, starting classes there just a few days before 9/11 — an event, like many others, that produced learning experiences far outside the classroom that have stayed with him to this day.

“New York City is a school unto itself,” he told BusinessWest, adding that, while attending SVA, he lived in Brooklyn Heights, in the shadow of the Brooklyn Bridge, and watched tens of thousands of people stream over than span from lower Manhattan on the morning of the terrorist attacks, most all of them covered in a gray dust.

He didn’t know exactly what was going on, but his artistic tendencies compelled him to buy a small disposable camera and grab a seat on the only operating subway line still bringing people into Manhattan.

“I was probably 15 blocks from the towers,” he recalled, adding that when the American Express building, also known as Three World Trade Center, fell, the ground shook, and he knew something serious was going on. Perhaps the most unforgettable moment, though, involved a news reporter he remembered seeing on television.

“There was a woman coming back with a baby covered in soot, she was walking up the street,” he recalled. “This newswoman started yelling to the cameraman, ‘get her!’ She kicked over a trashcan, the cameraman got on top, filmed her, then jumped off, and the newswoman got the lady on camera to do a story.

“It was just a New York mentality — ‘let’s do it.’ There was no fear,” he went on, adding that this philosophy manifests itself in some of his current work.

But it would be awhile before Thibault could really start expressing himself artistically.

Indeed, he would soon leave SVA, in part for financial reasons — “New York is great, the school was great, but it’s very expensive out there” — but also because he felt a need, and desire, to get working.

That work, however, involved mostly wedding and event videography while he also drove a truck for his father.

“I did cheerleading events, dance competitions, anything like that; anything that had to do with video, I would take the job,” he said, adding that he did so to pay off the camera he purchased and build a name for himself.

“At the end of the day, my heart wasn’t really in it — filming weddings is not my passion,” he went on, adding that, as his skills improved and his reputation grew, he eventually started doing work for commercial clients and never looked back. “It’s tough to break into commercial video when you’re doing events, and at one point, I just said, ‘I’m finished with this,’ and stopped taking down payments for weddings, even though it was tough to do so, because I was trying to build a business.”

Thibault said his big break, if one could call it that, came when he pitched an idea to the owners of the Springfield Armor, the NBA Developmental League team that came to the city in 2009, to do a promotional video and build excitement for the team before it actually arrived in the City of Homes.

“I felt a buzz around Springfield when they were coming in, and I just wanted to do something great for the city as well as the team,” he recalled as he played that video, which showed people of all ages and persuasions playing hoops, a young man dribbling a basketball over the Memorial Bridge, the unveiling of the Armor name and logo, and other scenes designed to build interest in the Armor and the sport. “It was a commercial about the team, but without the team — they weren’t here yet — and it was cool.”

The spot was originally designed for the web, but it was so well-received, it started airing on area TV stations, said Thibault, adding that he was later approached by a marketing firm representing a Developmental League team in Texas to do something similar.

On-the-spot Analysis

With the Armor video and other works now in his portfolio, Thibault had more to show marketing firms and prospective clients, and work started to come his way, as both director and producer of content through Chris Teebo Films and as a freelance director of photography.

Indeed, as the latter, he’s been involved with projects ranging from promotional shoots for office supplies giant Staples and motor oil maker Castrol to part of an episode for TLC network’s Sex Sent Me to the ER, a show that has actors re-enacting real-life accidents that occurred during sex.

“It’s a terrible show … but there was a couple in Connecticut, and they were looking for a studio closer than New York, and the producers out in L.A. hired me for that segment,” said Thibault, adding that it was shot in his studio in the cavernous Cabotville Industrial park in Chicopee.

He rarely does freelance work these days, primarily because Chris Teebo Films has secured enough work to keep him quite busy. And it comes from several sources.

For starters, there’s the commercials he’s shot for Big Y featuring Wilfork, the Springfield-based grocery chain’s main spokesperson. He’s now done five spots spotlighting the 350-pound lineman as pitchman for pizza and sandwiches, including one that aired during the recent Super Bowl.

Chris Thibault, seen here on location for a Big Y commercial featuring Vince Wilfork, has gained a number of new clients in recent years.

Thibault has also added a number of other commercial clients in recent years, including political candidates such as Lesser, who captured his seat last fall, and Mike Bissonnette, who served several terms as Chicopee’s mayor, as well as regional companies and nonprofits ranging from Doctor’s Express (a new client) to Spirit of Springfield; from United Way of Pioneer Valley to FastenMaster, a subsidiary of Agawam-based OMG Inc. that specializes in deck and trim screws and other products.

One wouldn’t expect deck screws to be the subject of video productions defined with the word ‘edgier,’ but Thibault said he’s managed to do just that.

To demonstrate, he went back to his computer and called up a video featuring Gary Daley, owner of America’s DeckBuilder, LLC, using FastenMaster products, one of several spots Teebo has produced in a series that has taken him all over the country.

“They’re showcasing pros that use their products, and it’s become a very effective way of promoting the brand,” he said, adding that he also creates “tips and tricks” videos for the company. “I think FastenMaster is brilliant in doing this; they’re creating content for this industry that doesn’t exist, and they’re giving people something to watch and something to aspire to.”

Overall, Thibault said his goal is to produce videos that, like the one for the Great Bull Run, get not only shares and likes on Facebook and YouTube (although those are important), but also results for the client.

In the case of the Great Bull Run, for example, his video was used by organizers of the event when they appeared on Shark Tank, and, Thibault believes, it helped them secure $1.75 million in funding from shark investor Mark Cuban.

“Barbara Corcoran [one of the show’s ‘sharks’] actually said, ‘what a great video’ right on the air, which is cool,” said Thibault, adding that he plans to put that footage and commentary on his revamped website.

To get results, Thibault says he has to trust his instincts, take risks when they’re appropriate (there are many times when they are not), and work with the client without being limited by its imagination.

“I try to create whatever I see in my mind without letting even a client hold me back,” he told BusinessWest. “Because, while I value clients’ opinions — they help me do my job better — sometimes they don’t know exactly what they want, and they’re using some kind of template as a model.”

That’s a Wrap

Looking ahead, Thibault said this industry moves too quickly and unpredictably for five-year plans, so he’s moving in much shorter increments.

His immediate goals are to continue building the portfolio, hiring additional staff (there is currently one full-time employee with others hired on a freelance basis), and advance those aforementioned plans for shared creative space.

“There’s some great creative talent in Western Mass., but people initially think they have to leave and go to New York or Boston to pursue a career,” he said. “My goal is to help keep some of that talent here.”

While doing that, he plans to go on taking risks, producing video with an edge to it, and focusing on the big picture, figuratively and quite literally.

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

Foreign Policy

By BusinessWest Staff January 27, 2015

Cover Story

Area Colleges Step Up Efforts to Recruit International Students

Michelle Kowalsky’s business card declares that, among other things, she is the director of International Admissions at Western New England University.

She’s the first person in the 95-year history of the school to take the title, and that fact speaks to a rather large movement within higher education — and education in general.

Indeed, while schools in this region and across the country have always admitted international students, they have not pursued them in anything approaching the aggressive manner that they are now — for several reasons.

For starters, many schools, WNEU among them, have made it part of their strategic-planning initiatives to become more culturally diverse, because of the many benefits that such a quality brings (more on all that later). Also, there are simply fewer domestic students to pursue as high-school graduation rates continue to decline and schools scramble to fill seats while keeping academic standards high.

And there is an important practical consideration as well. In many cases, the parents — or the government — of the student being recruited is ready, willing, and able to pay full price for the privilege of being educated in the U.S.

Add it all up, and people like Kowalsky are racking up frequent-flyer miles and mastering important phrases in several languages as they engage in what those we spoke with described as a spirited, heightened, but mostly friendly competition for students from China, Saudi Arabia, Central and South America, Japan, and other spots on the globe.

Michelle Kowalsky recently added the title ‘director of International Admissions’ to her business card, and she is one of many to do so in recent years as the competition for foreign students has heated up.

Spirited, because the stakes are somewhat high. For those reasons listed above, international recruitment is now much more of a necessity than a stated goal, said Kowalsky. And friendly, because schools in this region at least are not necessarily pursuing the same international students.

And often, they’re traveling in groups to various countries or working together through initiatives like Study Massachusetts, a consortium of Bay State colleges that promotes and guides international students to study within the Commonwealth, which Kowalsky currently serves as chair.

A quick look at some numbers shows that various schools’ efforts to recruit internationally are bearing fruit — and changing the dynamic on their campuses in the process.

Bay Path University, which had eight international students in 2012, now has 30 (some undergraduate, but mostly graduate), said Jill Bodnar, who also recently acquired the title of director of International Admissions and now works for the school full-time.

Meanwhile, at Springfield College, which has always had a steady, if small, population of international students because of the school’s historic relationship with the YMCA, has seen its numbers rise to include more than 20 nationalities, said Deborah Alm, director of the school’s Daggett International Center.

At UMass Amherst, administrators realized several years ago that, with international enrollment at roughly 1% of the student population, the school lagged well behind other state universities, which were usually at 5% or higher, said James Roache, assistant provost for Enrollment Management. The university set a goal of 3% by 2014 and surpassed that mark, he noted, and expects to hit 5% (roughly 230 students) this year.

Dawazhanme, who came to Bay Path University from Tibet, says she found the school through a Google search, and liked the small size of the campus and the classes.

And at WNEU, the number of international students has climbed from two or three a decade ago (students, said Kowalski, “who just happened to find us”) to the 30 who were on campus for the start of this spring’s semester.

Anastasia Ilyukhina is among them.

She was a student at Moscow State University and doing some interpreting for Kowalsky and others at a recent conference in that city when she mentioned to the WNEU administrator that she was interested in studying in the U.S.

Fast-forward a few months, and she was on the school’s campus in Sixteen Acres, majoring in International Studies, and enjoying, among other things, the vast variety of foods in this country and a level of interactivity in the classroom between student and teacher that is, well, foreign to her.

“Teachers here are like your friends — you can talk with them after classes or sit with them in the cafeteria and talk about life,” said Ilyukhina, who has designs on one day working in an embassy as a diplomat or interpreter. “It’s not like that in Russia, and that’s one of the reasons I like going to school here.”

For this issue and its focus on education, BusinessWest looks at how and why more people like Ilyukhina are able to enjoy such experiences, and why, for the schools that are hosting them, international recruitment is becoming an ever-more-important part of doing business.

A World of Difference

She is from Tibet, specifically the village of Dzongsar. Her parents are, among other things, yak herders — although there are fewer yak to herd these days, and that’s another story. She found Bay Path University as a result of a Google search for business schools in the U.S. She makes documentary films (she’s done one on yak, for example) and when she returns to Tibet she wants to help her parents and others create new business opportunities.

All of this helps explain why people like Dawazhanme (in her culture, one name is generally used) are now populating campuses like Bay Path’s, and also why schools want to recruit people like her.

“She has a fascinating story … she’s very talented, and she brings so much to the Bay Path community,” said Melissa Morris-Olson, the university’s provost and also a professor of Higher Education Leadership. “Having students like her on campus has certainly helped expand the horizons of our other students.”

The desire to bring people like Dawazhanme to the Longmeadow campus is part of a broader strategy to “expose students to the broader world,” said Morris-Olson, noting that there are several components to this assignment.

“Roughly 60% of our undergraduate students come from first-generation families,” she explained. “Many of those students, if not most, have never been on an airplane; they’ve never been out of the region. We do have study-abroad experiences, but a lot of students don’t have the money to do that, so bringing students here from other places becomes particularly important as one way of internationalizing the curriculum and the campus and exposing our students to students of other cultures.”

Those same sentiments are being expressed by college administrators across the state and across the country, and they certainly help explain what would have to be called an explosion in international recruitment efforts among area colleges.

“Most schools are recognizing that, as the world gets smaller, we need to expose our students to other cultures, and therefore we welcome international students into our classrooms and living places with our students, which enriches all of us,” said Alm, echoing Morriss-Olson and others we spoke with.

But there are many reasons for this phenomenon.

Chief among them is a strong desire among foreign governments and individual families in those countries to send young people to the U.S. to be educated. The reasons why vary and include the comparatively high quality of the education to be found here, as well as a shortage of quantity in the countries in question.

In many cases, these efforts have become organized and sophisticated, and they involve students of all ages, even grammar school.

In China, for example, there are now myriad education agencies, large and small, that exist primarily to link families and students with educational opportunities in the U.S. and elsewhere, said Bodnar, who spent 15 years in China on various business endeavors, including work with a developer to open health clubs for women, and developed a number of contacts on the ground there.

“China was really exploding in every industry, and as that was happening, Chinese families became increasingly interested in their children coming to the U.S. to be educated,” she said, adding that this sentiment exists even though those who do attend a university in China do so free of charge.

Meanwhile, in Saudi Arabia, the government there has stepped up its efforts to send young people stateside to be trained in a number of fields, from healthcare to engineering, said Bodnar, adding that Bay Path wasn’t necessarily targeting young people in that country, but an opportunity presented itself through an education agency similar to those in China.

“We got an e-mail from someone at the agency saying he worked with Saudi students to look for graduate programs in the U.S. and wanted to know if we were interested,” she explained. “We answered in an e-mail, asked for some more details, and it it just took off from there — we were flooded with applications.”

Textbook Examples

To be part of this international-recruitment movement and bring that coveted diversity and other benefits to their campuses, area colleges and universities must be more aggressive in their recruiting, build name recognition for their institutions, forge relationships with those aforementioned agencies and other entities created to facilitate study here — and do all of this within a budget.

Indeed, travel is very expensive, and schools are being creative, and prudent, in when and how they undertake it.

Jill Bodnar, left, and Melissa Morris-Olson noted that Bay Path University has gone from a handful of international students to more than 30 in just a few years.

At Springfield College, for example, Alm took an open seat (the college’s president, Mary-Beth Cooper, took another) when the school’s basketball team traveled to Japan for an exhibition on the occasion of the 100th anniversary of the introduction of the sport in that country. She used the opportunity to visit some YMCAs and build visibility for the school.

Overall, said Morriss-Olson, schools must take their commitment to international recruitment to another plane, which Bay Path has done by hiring Bodnar and taking other steps to become a player on the international stage.

“The establishment of Jill’s position really does reflect somewhat of a turning point for us at Bay Path,” Morriss-Olson explained, noting that, while the school has always had a handful of international students on campus — it has long had an exchange program with Ehwa University in South Korea, for example — like other schools, it has dramatically increased those numbers and intends to continue that trend.

At UMass Amherst, the school now recruits from a number of countries, including India, South Korea, and Saudi Arabia, but most of its time and energy is focused on China, said Kregg Strehorn, assistant provost for International Recruitment, who, when asked to describe the school’s overall strategy, summoned the phrase ‘reverse engineering.’

“We’re lucky enough to have been a popular school to attract international students for decades, and what I basically did was gather as much data as a I could about who we were getting applications from, and then really drilling down to find out where we were already popular and why,” he explained. “And then, we’d drill down further into those cities, districts, and those schools to find out why were getting 20 or 30 applications from this one school in Southern China.

“Then, we took it further to find out where we already had students from, and reverse engineered that information,” he went on. “I reached out to those schools and said, ‘we have two students from your school; I’d love to tell you how they’re doing here,’ and by doing that, I was able to develop relationships with individual schools. And that strategy has been very successful — it’s low-maintenance, and it gave us a quick way to jump into the market.”

At WNEU, said Kowalsky, the school’s administration has made a formal commitment to international recruitment, which has manifested itself in a number of ways, including her new title and changed responsibilities (international recruitment was once a minor component of her work; now it occupies roughly 90% of her time) — and a much larger travel budget.

Kowalsky said she’s made several trips in recent years, sometimes by herself but usually as part of a group, to a number of different countries. In recent years, she’s had her passport punched in several Asian countries, but also Brazil, Ecuador, Colombia, and the Dominican Republic.

Her most recent junket was to Guangzhou, China, to attend the China-U.S. Principals Forum for Internationalization of High School Education. The gathering brought together Chinese principals and guidance counselors from 43 high schools across Northwestern China to meet and consult with several U.S. university representatives, with the goal of helping the Chinese educators better guide their students through the U.S. college-application process.

Overall, she said, progress for WNEU in the international forum has come slowly but steadily. It certainly wasn’t something that happened overnight.

“I had said to the higher administration that, if they wanted me to do this, we would need to invest three to five years minimum in order to see any kind of results, because we’re not a brand name; we’re not a household name,” she told BusinessWest. “We needed to really get out there and continuously brand ourselves to reap the benefits down the road. And we’ve definitely seen that, and I’m happy that the administration supported that idea.

“On my first trip, they weren’t looking for me to come back and we’d suddenly have 20 applications or even 10,” she went on. “After that first trip, I don’t think we had even one new student that I could directly tie to that trip. It was more of a continual branding and building of those important relationships.”

Study in Creativity

Patience, commitment, and diligence are all-important qualities in efforts to recruit internationally, said all those we spoke with, because, while this competition is mostly friendly, as mentioned earlier, it is still a competition.

And one that is becoming more intense with each passing year.

Indeed, in the course of her many travels, Kowalsky has seen the number of schools hitting the road escalate and the ranks swell to include Ivy League schools, including Harvard, which enjoy tremendous brand recognition and strong reputations for excellence.

“The landscape has become much more competitive because everybody wants a piece of the international pie, basically, and a lot more schools are traveling,” she explained.

“Until recently, I had never seen Harvard on the road, but this fall I was traveling with a small group of five universities, something we put together ourselves,” she went on. “We were visiting a couple of high schools, and the Ivy League schools were there, which was shocking to me because I had never seen that before. But it’s understandable, because they’re out there competing against each other for the best of the best.”

As they compete against schools across the country, area colleges and universities have some advantages, and some obstacles as well. Clearly, the reputation of the Northeast, and especially Massachusetts, as a place where the world goes to be educated certainly helps, said Morriss-Olson. However, the relative anonymity of schools like Bay Path, WNEU, and Springfield College can be a disadvantage.

Alm noted that, while Springfield College is certainly well-known within the YMCA community and also for programs such as those in the health sciences and rehabilitation, it is not considered an established brand.

“And so we do have to educate the people we talk with about our many other programs and all that we have to offer,” she said, adding quickly that she must often also educate those she meets about the word ‘college.’

In many countries, especially those that were once part of the United Kingdom, ‘college’ translates roughly into ‘high school.’

“In the mindset of parents, ‘college’ is not yet higher education,” she noted. “Explaining what it means in this country is just part of the education process.”

Strehorn said he and others at UMass have had to do their fair share of explaining things as well. Those duties encompass everything from defining phrases like ‘flagship campus’ and ‘university system’ — “there is no translation in Chinese for the word ‘flagship,’” he noted — to making students, parents, and school administrators understand why the top-ranked public school in the region is not located in Boston.

And geography can also be a factor within this competition, Alm went on, noting that, for some in Asian countries, the East Coast is not only much further away than the West Coast, and therefore more difficult and more expensive to travel to, it is also more of an unknown quantity.

While in some respects it is difficult for schools in more rural settings like Bay Path to compete with major urban settings such as Boston, New York, and San Francisco, Bodnar said, many of the students they’re recruiting don’t come from big cities and would rather not go to college in one.

Dawazhanme told BusinessWest that she also looked at Dartmouth, the University of Oregon, and University of Texas in Austin, among others. She was ultimately attracted to Bay Path by the small size of the school and its classes. There were also corresponses with Bodnar that added an attractive personal touch to the process.
“She would write to me almost every month,” she explained. “That gave me a chance to really get to know about the university and the people here.”

Overall, schools will take full advantage of any edge they can get, said Kowalsky, adding that WNEU has an usual one.

“These kids all know The Simpsons, and so they all know about Springfield, and I’m fine with that,” said Kowalsky, noting that, while the show doesn’t identify its host city as being in the Bay State, it doesn’t really matter. “As far as they’re concerned, Springfield is one place in the United States, and if our banner says Springfield and they make an association because of that, I’m fine with it.”

Meanwhile, at UMass Amherst, the school’s name resonates thanks to solid U.S. News & World Report rankings, which are a big factor overseas (the university was recently ranked among the top 30 public schools in the country), as does its celebrated food-services department, ranked first or second in most national polls, said Strehorn.

“My family and I eat in the dining commons once a week — my kids love it, they think it’s a five-star restaurant, and for all intents and purposes, it is,” he told BusinessWest. “Ken Toog (executive director of Auxiliary Enterprises) for the university) has brought an international flavor to it — we serve international food. Last year, I had a bunch of colleagues from China come to visit, and one I’d never met before told me this was the best Chinese food she’d ever had outside of China.”

Course of Action

Kowalsky said that her travels have taken her to a number of intriguing spots on the globe, from Beijing to Rio de Janeiro to Hong Kong, but she hasn’t had many opportunities to take in the sights.

“There’s never really time — when I’m visiting a city, I’m not there long — and besides, I’m not there on vacation,” she said, adding that there is important work to be done, and time and resources must be allocated prudently.

This is a new and different time for colleges across the country, a time to make the planet smaller and bring it to their campuses and classrooms. The race for international students is indeed a competition, but it also represents a world of opportunity — in more ways than one.

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

Top Entrepreneur 2014: Delcie Bean

By BusinessWest Staff January 13, 2015

Cover Story Sections Top Entrepreneur

Paragus Founder Reflects on Life in the Very Fast Lane

You know you’re getting somewhere in life when your first name is all anyone really needs to make an identification.

That was the case with people named Elvis, Ringo, and Tiger (OK, his real name is Eldrick). And, to a lesser extent, it’s working for the 29-year-old that BusinessWest has chosen to be its Top Entrepreneur for 2014 — Delcie Bean.

Or just ‘Delcie,’ because that’s all that’s generally required when he becomes the subject of conversation. That’s true in part because, well, let’s face it, there are not many Delcies out there. But it’s also because Bean, in just a few years, has become a dominant force in the business community — and also with regional initiatives in the broad realm of economic development, education, and even office design.

By now, most everyone knows the story of how he first started selling things, like Creepy Crawlers and Ozark Lollipops, to classmates in the second grade, and started his own computer-repair company at age 14, when he was too young to drive but had no shortage of clients willing to pick him up and drive him to their home or business.

Most also know that he shaped what was named Valley Computer Works and later renamed Paragus Strategic IT (after asparagus — well, sort of) into one of the fastest-growing IT firms in the country, a fixture on Inc. magazine’s lists of the nation’s fastest-growing private companies, now boasting $4.25 million in annual sales.

They also know that he was the driving force behind Tech Foundry, a nonprofit, launched last year and still in the midst of a one-year pilot program, with the goal of training unemployed and high-school-age individuals and matching them with the precise needs of area companies. It’s an undertaking that’s drawn the praise of local and state officials alike for addressing one of the business community’s most perplexing, and persistent, problems — the dreaded skills gap.

Some might also know that Bean is a principal with a second business venture. Called Waterdog, it’s what he called a “tech-distribution company,” which partners with companies that make technology products and helps them find markets for those products. The enterprise, based in downtown Springfield, is closing on a $500,000 angel-investment round involving the Springfield Venture Fund and River Valley Investors, and is expected to add another 10 employees over the next year.

But less is known about what drives Bean and fuels his many passions. During a wide-ranging, quite enlightening interview, it became abundantly clear that Bean is very serious about:

• Entrepreneurship and fostering more of it;
• Careful and precise allocation of what has become a precious commodity — his time;
• A business philosophy that goes way, way beyond simply making money;
• Work-life balance;
• Getting unplugged much more than most could imagine given his success, his line of work, and the age we live in; and
• Playing a very significant role in the revitalization of Springfield and this region as a whole.

In short, his answers to BusinessWest’s many questions were quite revealing, and what emerged from this Q&A was a sentiment that Bean wants to be, and in many respects already is, a leader on several fronts, but especially when it comes to the growth and maturation of this region as a center for innovation, entrepreneurship, and jobs, something it was a century or more ago — and that he believes it can and will be again.

“If I can serve any benefit to inspiring others to get stuff done and to get motivated, then to me, that’s what’s ultimately worth it,” he said. “We have to continue to prove to people that you can do stuff, and that these things are possible. And I think the more people that have that positive spirit and get in the right perspective … that’s what’s going to change the Valley and bring us back to the glory days. Springfield was one of the biggest cities in the Northeast at one point, and there’s no reason why we can’t return to those days, just in a different way.”

In Good Company

As he settled back into one of the comfortable chairs in the conference room at Paragus’ recently opened, ‘outrageous green’-dominated headquarters in Hadley, Bean started the conversation by relating an exercise he recently undertook with some colleagues.

“We started talking about all the things that happened just in 2014,” he explained. “Within about 12 hours, I’d thrown up this website called springfield99.com where we started listing all the things that happened just in Springfield and just in 2014. And it’s amazing just how many things happened in this one year alone, some of which I was part of, some of which I would have loved to have been part of, but all of which I’m just proud to say are going on in the Valley.”

Delcie Bean says that a vibrant Springfield “is something I really want to play a role in.”

When asked for a list, he mentioned everything from the formal launching of Tech Foundry to the success enjoyed by Valley Venture Mentors; from TechSpring, the initiative launched by Baystate Health to foster entrepreneurship within the healthcare spectrum to the innovation center being built downtown; from Barbara Walters speaking at Bay Path University’s annual leadership conference to an American Pickers episode taped in the city that involved old Indian motorcycles.

“We got to item 45, and then we remembered that MGM got approval to open a casino,” he went on. “It was so cool to see that there was so much going on that isn’t necessarily in the shadow of the casino; it’s not a footnote to the casino — the casino is just part of this movement that’s going on.”

Before elaborating on the many aspects of that movement, BusinessWest first asked Bean about his various business ventures and what’s likely to happen next.

We started with Paragus, the IT-solutions company that now boasts more than 40 employees. The coming year shapes up to be an intriguing one, with Bean initiating an employee stock-ownership program (ESOP), and the Paragus team eyeing a host of avenues for expansion — in a variety of forms.

BusinessWest: Talk about the ESOP. It’s a big step, and there are risks involved. Why take this step now, and what does it mean for Paragus for the short and long term?

Bean: “In a lot of ways, this transition to an ESOP is a gamble on my part. I’m betting that the company will grow even faster and net even bigger returns in the hands of the employees than it would have if I had continued to remain as 100% owner.

“The employees will own 51% of the company, and I’ll own 49%, and the hope is that, by being owners and thinking and behaving differently, they will drive better results. It has to not only happen, but it has to happen at a multiple big enough to offset the growth I would have gained on my own if I had retained 100% of the shares.”

BusinessWest: How are you preparing your employees for what will be a dramatic shift in their role — and also in their outlook about the company and where it can go?

Bean: “We’ve spent that past 18 months preparing employees for that transition, because it is a big change. I led a class recently called ‘What Does it Mean to be an Owner?’ and we went through the process together of defining what are the characteristics of a truly great owner. I then challenged them to identify one characteristic that they had room to improve upon, and work with me one on one to develop an action plan for how they could make progress on improving on that characteristic.”

BusinessWest: Talk about your own role moving forward. Will it change, and if so, how?

Bean: “One of my goals and objectives is to create businesses that are not dependent upon me. Another way that I define success is getting people to be self-reliant, or empowered, or in a position where they’re not dependent on me. Every day, Paragus is less and less dependent on me personally, and that’s a huge mark of success.

“It means that we have a strong leadership team, it means that we have empowered employees, it means that we have good systems and processes. It means we have a healthy business. It’s great seeding companies and getting them started, but then empowering and finding just the right people, the right mix, and the right plan so they can grow and thrive and succeed on their own.”

BusinessWest: What is your long-term vision for the company, and how does the ESOP affect that? Is this a company that you envision someday being sold to a much larger entity?

Bean: “I decided a few years ago that Paragus was never going to be that company — it was never going to be the company that we grew to sell externally, and the ESOP is putting a nail in that coffin. By making an ESOP, we’re very publically saying, ‘this is a company that’s going to remain here in the Valley, owned by the Valley, and here to support and contribute to the Valley.’

“But that doesn’t mean that they don’t have big, aspirational goals. They want to look at some acquisitions, they want to open up some other offices, they want to expand into some other markets. They want to make this company big, and they want to be the ones who own it and do it. We don’t want to grow it to sell it.”

BusinessWest: Can Paragus meet all those lofty goals you mentioned by remaining a Western Mass. company, or just a Western Mass. company? There are some competitive disadvantages to being in this region, and it can’t be easy to recruit top talent to this region. Will Paragus still be a fixture here in five, 10, or 20 years?

Bean: “I think Paragus can always be here and will always be here. But if Paragus wants to continue to grow at 30% a year, as it has for the past five years, at some point, and probably not too far from now, they’re going to have to expand their market, and that might mean opening up a Paragus in another market. But that won’t mean leaving Western Mass.

“I can’t imagine a future where Paragus abandons Western Mass., but I can imagine a future in which we have a branch anywhere from Denver, Colorado to Hartford, Connecticut. In fact, there has been a lot of talk, probably just because people love the area, about Denver — it’s a really cool city going through some exciting times, and a place where the Paragus team members can see themselves having a lot of fun. There’s been nothing serious, but there has been some talk about how maybe, someday, that would be a cool place to put some new roots.”

Bean says the employee stock-ownership program he’s initiating should enable the company to grow even faster and net bigger returns than if he remained sole owner.

The Future Is Now

BusinessWest: Let’s switch gears and talk about your participation in economic-development-related initiatives and your thoughts on Springfield and the region as a whole. If we were doing this interview 10 or 15 or 20 years from now, what would you like to have said you’d accomplished beyond success with your businesses?

Bean: “Right now, I have become so excited about the prospect of a revitalized, rejuvenated Springfield that I’d like to be able to say that, not only has Springfield accomplished that, but some actions that I took part in contributed.

“What that looks like is so hard to define, but I think it’s one of those things where you know it when you see it, whether it’s the energy or the excitement or the pure quantity of people on the street. But a vibrant Springfield is something I really want to play a role in.”

BusinessWest: You sound quite upbeat about the Valley’s prospects. What is the basis of that optimism?

Bean: “Things are coming together in many ways, especially in Springfield. Through Valley Venture Mentors, the innovation center, the accelerator program, and other initiatives, we’re creating entrepreneurial energy, and the possibilities are very exciting.”

BusinessWest: Beyond Tech Foundry and its mission of helping to create a large, talented workforce, what are some of the other ways you’ve become involved in economic-development efforts?

Bean: “I sit on two EDC [Economic Development Council of Western Mass.] boards, the Entrepre-neurship Committee and the Homefield Advantage Committee, and I really enjoy that work. I also get involved in other ways, such as mentoring entrepreneurs.”

BusinessWest: Mentoring entrepreneurs? Do you do a lot of that?

Bean: “I do, either through a program like Valley Venture Mentors or separately on the side. I also take phone calls … I don’t know how I got signed up for this, but people will come to me and say, ‘hey, I’m thinking of moving to the Springfield area, and someone gave me your name as somebody I should talk to before I move there.’ I’ll give them an idea about jobs and positions and what I think the economic landscape looks like and how awesome and exciting it is to be here right now. Maybe once a week I’ll get a call like that, and it’s great to know that, once a week, someone’s thinking about moving back here.”

BusinessWest: Many economic-development leaders are bullish about improved rail service between Vermont and Southern Connecticut. Do you believe such service can change the equation in this region, and if so, how?

Bean: “The Tofu Curtain drives me crazy, and I’m hopeful that maybe Northampton, Holyoke, and Springfield start working better together. Maybe the ease of getting from one place to another because we don’t have to deal with the car … maybe it makes the communities more connected and work more synergistically.

“That’s my most aspirational hope for this train; we call it ‘the Valley,’ but it’s really two very distinct sections, and you could argue there’s three because of Franklin County. Look at Holyoke and Springfield — it is amazing how little those two cities work together, and they’re so much alike; they’re both Gateway cities within a stone’s throw of each other with similar problems and similar challenges, and they’re not working collaboratively as they should be, and I’m hoping one stop on the rail line changes all that.

“I’d love to see the Valley function as one neighborhood, and if you look at Silicon Valley and so many other parts of the country, they’re the same size as our valley, but we’re so much more insular. And people complain that it takes 20 minutes to get from Northampton to Springfield. Look at Boston — it takes 20 minutes to get anywhere, and they’re doing just fine.

“That’s my hope, that maybe this rail service gives us one less excuse to not do business with each other, or have lunch together, or have meetings together and not fight about whether it’s in Northampton or Springfield.”

BusinessWest: What about the casino? This is not exactly innovation, but it is economic development and jobs. Will this be a positive force in the city and the region?

Bean: “I have very positive feelings about the casino’s impact and what it’s going to do for the city, but I think’s it’s important that it doesn’t define us — and it doesn’t sound like it is. It sounds like we’re defining ourselves.”

Time and Space

BusinessWest: Considering the many types of demands on your time, you have probably become adept at how that resource is allocated. Talk about how you distribute the hours in your day and find time for everything you want to do.

Bean: “It’s definitely challenging. There are a lot of things competing for my time, and I’m one of those people who has a hard time saying no to things I’m passionate about or that I think are good and worthy. But there are plenty of things I do say no to; for example, I’m not an advocate for long meetings where there’s no clear purpose and the dialogue isn’t going to result in any clear action items. I’ve been to more than a few of those, and I’ve learned my lesson; those meetings do have a purpose, just not a purpose that I’m able to contribute much to, so I’ve learned that they’re not a good investment of my time.”

BusinessWest: Talk about those occasions, and those causes, for which saying ‘no’ is not an option.

Bean: “There are three different buckets that I put my time into right now, and maybe one sub-bucket. For starters, there’s Paragus and Waterdog; I work from 6:30 a.m. to 6:30 p.m. most days, and in that 12-hour span, Paragus gets six of those hours, and Waterdog probably gets two of those hours. But what’s nice is that still leaves me with four hours a day, and that’s where I would put my outside interests or economic-development interests, or giving back, or however you want to classify that.

“A big piece of that goes to Tech Foundry, but that still leaves plenty left over to be a speaker at various events, to attend different meetings, to mentor entrepreneurs, to go to city planning meetings, and a lot of other things.”

BusinessWest: Time management is a critical assignment for all business leaders. Talk some more about your approach to it and how you get the most out of each hour in the day.

Bean: “I have a very, very full calendar — every minute is booked between 6:30 a.m. and 6:30 p.m., and two nights a week I work late, and that usually means I have some event I need to attend. That’s where I’m really selective; there are so many great events in the Valley to go to at night, and I only pick two a week. And if I’m going to do a late night, I’ll try to do two or three things that night.

“I live an hour and 15 minutes away in New Hampshire, and a few years ago I hired a driver, so I use my commute time to do all my e-mail so that during the day I don’t even look at my computer — I just go from meeting to meeting as my phone instructs me to, and then I have two hours at the beginning and end of each day to catch up on e-mails, get proposals, or correspond with people.

“Hiring a driver was an economic decision. I ran the math and looked at how productive I could be with an extra two hours a day and what it cost to pay someone for those four hours, and decided it made perfect sense. This gives me a guaranteed two or two and a half hours a day when no one can walk into my office, call me on the phone … it’s just a guaranteed two hours of e-mail and going over proposals.”

Investments in the Valley

BusinessWest: You must get a lot of requests to serve on boards and take part in economic-development-related initiatives. How do you decide where to put your time and energy?

Bean: “We get a lot of those requests, and they all go to Margie, my assistant. She’s gotten to know really well what I’m passionate about, what I’m interested in, and what I’m not, so she will vet them, send me to ones that she thinks are worth me at least looking at, and then I’ll figure out what the commitment is going to be.

“For example, I’ve been very good about not getting on the boards of nonprofits, only because there are so many of them, it would be hard to choose, and I have my own nonprofits for which I’m president of the board, and I don’t want to distract from those energies. But there was an opportunity that came along where an organization is going to be forming a charter school in Springfield, and that organization, Up Academy, has a track record that’s just mind-blowing. It will take over an existing Springfield middle school, serve the same students and use the same money, but run it privately.

“I started hearing about that, and I started researching the track record and learning more about that organization, including the work they did in Lawrence, the work they did in Boston. It was so impressive that I did agree to join their founding board because I feel that education in Springfield has got to be a priority, and what it needs right now are some new, fresh perspectives, some new minds, and some new thoughts. So this was one where I broke my own rule and got involved.”

BusinessWest: You also get a number of requests to speak to different groups and offer keynote addresses at events. First, do you like public speaking — is it something you’ve become good at? And, second, how do you decide which speaking requests to accept?

Bean: “Speaking is always something I’ve enjoyed, and it’s always something I thought came naturally to me. I don’t know; I’ve never sat in the audience, so I don’t know how I come off. But it’s never something that’s made me nervous or uncomfortable.

“And what I really like about public speaking is having the opportunity to use that platform to energize an entire group of people at one time around a thought, an idea, an interest, an excitement level, and really get people to leave that room thinking differently and feeling differently. If I accomplished that, then I’m thrilled.”

BusinessWest: What have been some of your recent assignments, and did you feel you’ve been able to energize the room, as you mentioned?

Bean: “One of the most exciting ones I got to do recently was the Grinspoon Foundation entrepreneurship dinner, where they asked me to be the keynote speaker. What I liked about it was that here were 300 to 400 college kids who had a demonstrated interest in entrepreneurship, and were asking themselves those questions in their heads: ‘can I do this? Is this right for me? How would I even get started? Am I really cut out for this?’ And being able to share my story with those kids and talk to them about my experiences and my perspective on the situation and give them the confidence and encouragement to go off and do it … I certainly left that night feeling energized and excited.

“At least when compared to when I spoke at the Massachusetts Developers Conference. That was certainly fun and exciting, but I don’t think I changed a lot of hearts and minds that day. It will be the same when I speak at a Federal Reserve Bank event in Boston in January. That will certainly be fun, and it will be a great audience, but I don’t think I’ll change a lot of hearts and minds. Hopefully I will, because that’s when I really enjoy it — when I get a bunch of people really excited.”

Managing Expectations

BusinessWest: Let’s talk about your management style, your thoughts on running a business, and your opinions on what makes a true business leader. And maybe the logical place to start is by asking if you’ve had any mentors or any business owners you’ve borrowed from or tried to emulate.

Bean: “I personally like to draw on the best of everybody, so I have a handful of mentors, and there are things about them that I emulate and maybe things about them I’m not so keen on. I try to pull the best characteristics from everyone I know. But if there was one person I had to point to … I really like what [Zappos founder] Tony Hsieh has done, not just with that company, but his philosophy, his mindset, his personality.

“He’s someone who’s really gotten the economic-development bug and is trying to rebuild the entire city of Las Vegas, which was worse off than the city of Springfield was, and turn it into a vibrant, functioning city again. And that’s inspirational, because it’s rare that somebody with that much money, where there’s so little that he’s going to gain from this personally, is so passionate about a city and its revitalization. To see him dedicate his time and energy to that project definitely gives me encouragement to know that’s there’s nothing wrong with not spending all of your time trying to make money.”

BusinessWest: Can you elaborate on that thought, because making money is what has driven most entrepreneurs throughout history.

Bean: “There are some people who go from one enterprise to the next one to the next one, and it’s always about ‘how big can I make the coffers?’ There’s nothing wrong with that — that’s capitalism — but there’s a lot of room for also making sure you understand what makes you happy, what you enjoy, and for me, that’s seeing things happen. And if I can make things happen, even if those things don’t directly correlate back to some financial interest of mine, I get joy from the act of seeing them happen.

“Seeing Tech Foundry launch … maybe it helps Paragus someday with workforce — maybe. But there are many things I could do that are a lot less expensive and a lot less time-consuming, but seeing it happen, seeing those kids show up, seeing the impact on the community, that, to me, totally justifies the time, the money, and everything else.”

BusinessWest: Who else inspires you, enough for you to want to emulate them?

Bean: “There are so many people, it’s hard to narrow it down. I’m certainly inspired by (long pause) even Bill Gates to a certain extent. It’s a tough one — he’s very controversial; there are a lot of things you can say about him. But I’ll say I’m inspired by the fact that, despite all the money he’s made, he’s dedicated so much of his time to giving it away — but not just by writing big, fat checks.

“He’s trying to figure out how to make a meaningful impact on the world, whether it’s through the malaria work they’re doing or … he’s got a project where he’s trying to use spent nuclear rods to create clean electricity. It’s so much easier for him to write a check, but for him, as it is for me — not that I’m comparing myself to Bill Gates — he’s taking his time, his energy, and his passion and using it for more than creating wealth for himself.”

BusinessWest: Anyone in this region who has been a mentor or a source of inspiration?

Bean: “There have been many. The Davis Brothers [John and Steve, former third-generation owners of American Saw, now Lenox] are a good example. Those are guys who don’t have to be here; they can be doing a lot of other things, but they’ve chosen to spend their time, money, and energy impacting the community that they’re in, and in ways that are really inspirational.

“They could be doing financial investing in areas that are probably going to net them better returns, but they’re committed to everything from for-profit investment to not-for-profit investment, but also giving their time. The fact that Steve Davis is chair of the Entrepreneurship Committee, and John Davis has his Springfield Business Leaders for Education, another group I decided to join, shows they’re dedicating more than their time; they’re here every day, they’re giving their money, their effort, and they don’t have to be. And that’s inspiring. Watching them almost makes me feel obligated; if they’re doing it, how could I not do it?”

BusinessWest: You’re 29 years old, but you’ve been the boss your entire life. Most people have the opportunity to learn and grow by watching and drawing out those on the higher rungs on the ladder. You’ve never really had that opportunity; do you feel that maybe you missed out on some learning opportunities?

Bean: “That’s a good question. ‘No’ is the short answer. I had never been taught that who you learn from are the people above you in your own organization, because I’d never been in an organization big enough to do that. I was naive in the sense that I didn’t know that’s how it’s supposed to work.

“So I learned from everybody. I learned from my clients, from my vendors, from my banker, my lawyer, my accountant — I wouldn’t just let them do stuff for me, I’d make them explain it to me; I’d look over my accountant’s shoulder while he’s doing my tax returns and my books, asking him mind-numbingly boring questions, because I really wanted to know, and I needed to see the big picture.
“I learn from my staff, I learn from community leaders, and I read a lot. I’ve learned a lot from the books I’ve read; I can’t understate the amount of knowledge I’ve accumulated from reading some phenomenal business books.”

Hanging in the Balance

BusinessWest: We’ve talked about business, economic development, mentoring, community service … what do you do when you’re not doing any of that?

Bean: “When I’m really not working, I love just being with my family. We moved to New Hampshire because I love the outdoors and I love being in a rural environment. I’ve got two young kids — a 3-year-old and an 18-month-old — and I love just being out with my wife and kids.

Delcie Bean, seen here with his wife, Julia, and sons Delcie Bean V (Jack), left, and James, says he values work-life balance and has a strict no-work policy on weekends.

“We live on 16 acres that abut 16,000 acres of state land, and so we just love going on hikes in the woods — endless trails where you can never walk the same path twice. I love that stuff. I love just being at home with my family, just taking it really easy and relaxed.

“One of the reasons I moved up there is I spend so much time around people all day long, so it’s really nice being up somewhere where the only thing you can hear are the birds and the trees; it’s so quiet and peaceful up there.”

BusinessWest: Can you really just put aside the various kinds of work you have like that?

Bean: “I don’t really have much choice. It’s also very unplugged up there — we barely have Internet; I have a crappy DSL connection. Even if I wanted to work. it would be miserable.”

BusinessWest: Somehow, you don’t seem like the type who could be unplugged for very long.

Bean: “You’d be surprised. I work almost a 12-hour day, but then when I do get home, especially on the weekends, I have a very strict no-work policy. That time is for me and for my family. It takes a lot of energy to do what I do, and I need to kind of recharge and regroup, and part of that is being unplugged and not being ‘on.’

“When my wife and I go on vacation, we go to these really, really secluded destinations where we don’t do anything — we’re just vegetables where we just spend time with each other and there’s no other people.”

BusinessWest: Where do you go?

Bean: “My favorite place … there’s this villa in Jamaica on the other side of the island from where everyone else goes, in a tiny little fishing village. We rent it out, and the only people there are a cook, a maid, and a pool guy; those are the only three people you see the entire time you’re there. They make all your meals for you, and you live in this beautiful house with your own private beach and your own swimming pool. You can completely just unplug and relax; there’s no Internet, no TV. I just read and read and read, and enjoy disconnecting.”

BusinessWest: Where else do you go?

Bean: “I make a clear distinction between vacationing and traveling. We try to commit to a system where every other trip we travel — we’ll go to some city and walk around, like we just got back from Quebec City this past summer — and the alternating trip is what I call vacationing, where we don’t do anything.”

BusinessWest: Do you think you have a proper balance between life and work?

Bean: “I do, and that’s because I work hard at it. I decided to hire a driver around the time I had my first kid. It allowed me to get home an hour earlier because I wasn’t staying at work that extra hour doing my e-mail. So, except for those two nights I work late, those other three I make it home in time to put the kids to bed, and that’s important to me.

“And two days a month I go into work late so I can drive my kid to school. I really enjoy it, and it means a lot to him. Finding a balance was tough, and I’m very fortunate that my wife is able to stay home with the kids; that has helped a lot. And my no-work-weekend policy makes a huge difference, because those two days are 100% about being with the kids and the family.

“And that also speaks to my point earlier about how one of my objectives is to create businesses that are not dependent upon me. That gives me the flexibility to go to that Little League game when my kids get a little older, or that school play, and not feel like the whole world revolves around me being at my desk. I don’t want people so dependent on me I’m handcuffed.”

He Gets IT

To say that Bean has been successful in remaining un-handcuffed would be a huge understatement.

By carefully managing time, empowering people, and putting effective systems in place, he’s found the hours, the energy, the will, and the freedom to be a force in the Pioneer Valley on a number of levels.

And at 29, and with a firm commitment to remain at the forefront of efforts to both grow his businesses and be a part of the efforts to revitalize the region economically, he’s certain to be a force for years and decades to come.

Stay tuned.

Previous Top Entrepreneurs

• 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, then-president and CEO of Cooley Dickinson Hospital
• 2003: Tony Dolphin, president of Springboard Technologies
• 2002: Timm Tobin, then-president of Tobin Systems Inc.
• 2001: Dan Kelley, then-president of Equal Access Partners
• 2000: Jim Ross, Doug Brown, and Richard DiGeronimo, then-principals of Concourse Communications
• 1999: Andrew Scibelli, then-president of Springfield Technical Community College
• 1998: Eric Suher, president of E.S. Sports
• 1997: Peter Rosskothen and Larry Perreault, then-co-owners of the Log Cabin Banquet and Meeting House
• 1996: David Epstein, president and co-founder of JavaNet and the JavaNet Café

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

Young Gun

By BusinessWest Staff December 30, 2014

Cover Story Law Sections

New D.A. Anthony Gulluni Makes His Case

Anthony Gulluni says he was in Boston recently for a meeting of the state’s district attorneys and district attorneys-elect — he’s in that latter category, having won the position in Hampden County in September.

And he noted that he was subjected to more than a few not-unexpected cracks about his age.

“Someone said I brought down the median age by 20 years, or something like that — there were quite a few jokes,” said Gulluni, who turned 34 in October, looks even younger, and is believed to be one of the youngest district attorneys — if not the youngest — in the state’s history.

While he takes the ribbing in stride, he makes it clear that he intends to have people talking about something other than his age — and soon.

Indeed, Gulluni, who will be sworn in early next month and has been hard at work on transition matters for several weeks now, has some ambitious plans for his office. Specifically, and repeatedly, he talked about fighting crime not only in the courtroom, where he intends to be much of the time, but outside it as well.

“We have a fundamental obligation to work with police departments and prosecute cases in the courtroom and keep people safe,” he explained. “But it’s a two-phase approach; there’s prevention, education, and addressing core issues such as mental health and substance abuse. But there’s also performing that fundamental function of the D.A.’s office — promoting public safety by prosecuting cases.”

Elaborating, he stressed that the D.A.’s mission to serve the public means working to assist not only the victims of crimes, but, when possible and when appropriate, those committing them as well.

“I see this as a position in which I’m serving the public; I’m serving the people of Hampden County and promoting public safety and ensuring criminal justice,” he explained. “There’s a great responsibility with that criminal-justice part, where serving people means serving the defendants that come into that courthouse.

“It’s very often overlooked that we have such impact on those people’s lives — and very often they’re repairable lives,” he went on. “All but a very, very small percentage of these defendants are people we’re not looking to save in some way or improve. And this goes into the job of being a district attorney and being a prosecutor, especially at those lower levels in Juvenile Court and District Court, where the focus should be, and often is, on rehabilitation.”

Gulluni told BusinessWest that he has a number of priorities for the months and years to come. They include everything from lobbying the state’s elected leaders for funding he said would be commensurate with the size of the county’s courts and their volume levels (more on that later) to creation of a new position, one dedicated to what amounts to public relations and telling the mostly unknown story of what the D.A.’s office does within, and for, the community.

And he will place heavy emphasis on stemming the tide of gun violence in the county and especially its two largest communities, Springfield and Holyoke.

“I’ve handled a lot of gun cases, and I think it’s the scourge of urban America,” he said. “Very literally, guns are necessary components in the street violence and many of our murders. An emphasis has been placed on prosecution of defendants with illegal guns, and this emphasis will continue. It’s a major problem, especially in Springfield, and there’s a trio that often travels together — guns, drugs, and gangs — and this is manifesting itself in the deaths of a lot of young people and the destruction of countless lives.”

For this issue and its focus on law, BusinessWest talked at length with Gulluni about his new position, the philosophy he brings to it, and his goals for his office and the diverse county it serves.

Law and Order

When asked why he joined the D.A.’s office and later chose to try and lead it, Gulluni started by talking about his father, Frank, and the legacy he left in public service.

“My father worked very hard for many, many years to help people, essentially, and was a public servant in the truest sense of the word,” he explained, noting that his father founded and then managed the Mass. Career Development Institute (MCDI) for roughly a quarter-century, until the late ’90s. “That record of service certainly influenced me. He helped thousands and thousands of people; I really learned a lot from that, and this passion for public service was ingrained upon me as a young person watching him help so many people.”

Anthony Gulluni says he intends to fight crime both in the courtroom and in the community.

That fondness for public service is reflected in his career path following graduation from Western New England University School of Law. After first serving as a law clerk in the Springfield Law Department and then as an assistant city solicitor, he joined then-District Attorney Bill Bennett’s team as an assistant D.A. in June 2009.

He said that both Bennett and his successor, Mark Mastroianni, served not only as mentors, but, like his father, as individuals who embodied the importance of public service.

“I had great mentors in that particular job,” he told BusinessWest. “But once I started in that office, I realized a love for the job because of the work, particularly the trial work, but moreso the public-service side of it and the impact that we as prosecutors have on individuals, particularly the individuals who come into the courthouse and those whose cases we prosecute, and those victims who are involved in the cases we prosecute.

“And because I live in the county and especially a place like Springfield, I also realize the impact that the office has collectively, and that we have individually as prosecutors, on the communities we serve in Hampden County,” he continued. “That was a source of great pride; I had opportunities to leave, and thought about it, but ultimately I stayed because I loved what I was doing.”

Soon after Mastroianni was appointed to a federal judgeship, Gulluni announced he would seek to succeed him as the region’s top prosecutor. He said his triumph over three opponents in the Democratic primary in September (there were no Republican candidates) was verification that he made the right career decision.

“If I lost, I think that would have shown that I was wrong in seeking the office at this time,” he said. “To win by a resounding margin in a four-person race really answered the question of whether I chose right, whether my sense was right, and whether my reasons were right.

“The way in which I ran my campaign was a manifestation of my reasons for running,” he went on. “And that was to show people that I care about the community. I’m a lifelong Forest Park resident, and I’ve been in the county my whole life, I was educated in this county, and I have a familial background in public service.”

As an assistant under Bennett and Mastroianni, Gulluni said he gained invaluable experience in the courtroom — which was another motivation for making that career transition — but also developed an appreciation for the many kinds of rewards that come from assisting the victims of crimes.

“Those are the cases I remember, the ones where someone was victimized and who was looking to me, the prosecutor, to bring some sense of satisfaction, maybe, or some sense of wholeness or repair for what happened to them,” he noted, adding that this category of crime includes everything from gun offenses to many OUI cases, to instances of breaking and entering. “That’s a solemn responsibility I always took very seriously. But in some cases, you let people down or you could never really satisfy them, which is understandable.

“However I could help that person in the healing process was always of great satisfaction to me,” he went on. “Sometimes you do let people down — maybe they’re unsatisfied with the sentence, or the case could not go forward — and that’s an inevitable part of the system, but I always worked as hard as I could to make people happy and give them a sense of closure.”

Bullet Points

Looking ahead, while also surveying the county and assessing the issues confronting it, Gulluni expects his office and its staff of 160, including 65 lawyers, will be busy not only assisting victims and providing that sense of closure, but also working to limit and perhaps reduce their numbers.

And, as he stated earlier, a critical piece of this assignment is work to rehabilitate, or save, the defendants in such cases.

“My focus is going to be especially on people who are suffering from mental and substance-abuse issues,” he told BusinessWest. “We need to address those core issues and give these people a hand. Very often there’s some punishment that goes with that, and this goes with the territory, but we’re looking to help some of those people we can help and who have issues — with crime being an outgrowth of those core issues.

“And if we can address those core issues, we’re acting in that humanitarian way by trying to help those people,” he continued. “But we’re also being fiscally prudent as well, understanding that the initial investment in these people hopefully will prevent future expenditures in terms of prosecution, probation, and incarceration if things were to continue in that way.”

As an example, he cited the national, and regional, problem of opiate addiction. The numbers of those who become addicted to painkillers and potent drugs such as heroin are rising at alarming rates, and with this surge comes criminal activity on many levels as individuals struggle to feed their addiction.

“We have to fight this inside the courtroom and outside it,” said Gulluni. “It comes to us as a criminal-justice issue, but it’s really a health issue. These people dealing with mental-health and substance-abuse issues are coming to us with the outgrowth of their problem — the commission of a crime — but that underlying issue is a health issue. Whether we’re equipped to our not, we have to deal with this issue and make a difference through whatever means we have. It’s going to be my obligation to better prepare and treat those issues through cooperative arrangements with nonprofits and outside agencies, but also with the trial court and the probation department.”

To this end, a so-called Veterans Court is being established through a pilot program to deal with individuals suffering from post-traumatic stress disorder and other issues, he said, and, likewise, a drug court is being considered to identify and handle cases where there are no real victims of the crimes in question, other than those suffering from addiction, and such individuals do not have a significant criminal history.

Such facilities, similar to a mental-health court already in existence, would enable prosecutors to take such cases out of the mainstream criminal-justice system and deal with them in a specialized way, Gulluni went on, adding that a drug court has been discussed for some time now, and he intends to make it a priority of his administration.

There are other priorities, as well, and Gulluni and has transition team have been addressing them since the end of what the D.A.-elect called a “time to rehabilitate” and then a “thank-you tour” that followed the election.

One of the first matters to be considered is personnel, said Gulluni, adding that the process of assembling his team is ongoing and will continue for some time.

Meanwhile, another priority is forging relationships with elected officials, with the goal of communicating the need for more funding and, hopefully, seeing that need addressed.

“We’re going to work hard to bring in as much money as we can,” he noted. “For fiscal year 2013, we were the fifth of the 11 districts in the Commonwealth in terms of funding, and our Superior Court during that time period disposed of the most cases of any district. Our District Court is among the busiest in the state; the volume is there, but the funding is not commensurate with the work that we’re doing.”

While funding is indeed tight, he will strive to find room in his budget for a professional to work with the media to better tell the story of what the D.A.’s office does, how, and why.

“We haven’t had such a person in a long time, and we need one,” he explained. “It’s a positive thing for us and a positive thing for transparency, most importantly. We’re accessible — this is essentially the people’s office, and we’re prosecuting on behalf of the people of Hampden County, and I’m beholden to them, so being able to communicate readily with members of the press is very important.

“Whether you’re in business or in the public sector, you want to get your message out,” he went on. “You want to show people what you’re doing and show them that what you’re doing is positive and impactful. It’s not just putting a face on the office — it’s preventing crime.”

Beyond greater exposure, Gulluni wants the D.A.’s office to be more visible and more active in the community, especially when it comes to young people and keeping them from taking the wrong path.

“We need to get in front of young people and send a message that there are things they have to avoid, especially in the urban atmosphere,” he said. “If we can get to some kids before they fall into that trap of crime, street violence, gangs, guns, and drugs, we might be able to keep them from getting into trouble.”

Bottom Line

When asked if he thought he’d be in the D.A.’s office long enough to be on the other end of jokes about 30-something prosecutors, Gulluni laughed before explaining that he’s focused now on the weeks and months ahead, not a few decades down the road.

He said he expects to serve in this office for at least two four-year terms, and hinted that his stay might be considerably longer.

At the moment, his only commitment is to the people of Hampden County and his pledge to fight crime inside the courtroom and out.

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

Economic Outlook 2015 — Positively Charged

By BusinessWest Staff December 16, 2014

Cover Story Economic Outlook Sections

Region’s Economy Gets a Jolt of Vibrancy

Since the end of the Great Recession in 2009, economic expansion in Western Mass. — and many other parts of the country as well — has been, in a word, limited.

And these limits have resulted from a host of factors that have stood in the way of more profound recovery. They include everything from lackluster hiring trends to high energy prices and their impact on businesses and consumers alike; from economic turmoil abroad, especially in Europe, to political chaos in Washington, as with the so-called fiscal cliff of early 2013; from a floundering housing market to a persistent lack of confidence among business owners.

But as the new year approaches, say experts we spoke with, much of this whitewater seems to be giving way to smoother conditions that are much more conducive to progress. The coast isn’t clear, they imply, but it is much clearer.

Indeed, Bob Nakosteen, a professor of Economics at the Isenberg School of Management at UMass Amherst, told BusinessWest that he sees positive signs almost everywhere he looks, something he hasn’t been able to say for at least the past seven years.

That includes the latest employment statistics for the Bay State, which show unemployment in Springfield at 8.4% (down from 10.6% a year ago), which he considers a bellwether.

“What’s happening now is that the economic recovery is actually permeating Western Massachusetts, something you couldn’t say over the past several years,” he noted, adding that Boston, Cambridge, and other communities have enjoyed a far-more-robust recovery. “If you look at the employment numbers, we’re adding jobs in this part of the state, and that’s a really good development.”

That also includes the gas pump, where the prices for regular are now below $3 a gallon in all but a few of the 50 states and below $2 in a few (Oklahoma, for example). By all indications, they should stay at those levels, or drop even further, in the weeks ahead.

“And this simply puts money in people’s pockets,” Nakosteen explained. “When you pay for gas at the gas station, most if that money leaves the state — some of it stays, but most of it just goes away. Now, that money is staying in people’s pockets, but hopefully not for long; there are some estimates that people will spend at least half of what they save at the pump, and that goes to local businesses.”

The positive trends also include the housing market, the balance sheets of both businesses and families (both are carrying less debt), and consistently rising numbers when it comes to business confidence.

And then, there’s that $800 million casino project in Springfield’s South End. It isn’t officially underway yet — at least in terms of demolition or construction — but it is already generating excitement, movement within the long-stagnant commercial real-estate market, and talk of opportunities in many forms.

“We’ve had two vendor fairs, and they were very well-attended by small and medium-sized businesses who are looking at the possibility of doing business with the casino, and that’s a real positive sign,” said Jeff Ciuffreda, president of the Affiliated Chambers of Commerce of Greater Springfield, noting that there is anticipation with regard to jobs — both construction and permanent — and the casino’s vast potential for bringing more meetings and conventions to the city and region as a whole.

Meanwhile, the announcement that Changchun Railway Co. will be building subway cars in the former Westinghouse site has spurred anticipation of more than 150 well-paying manufacturing jobs as well as hopes for further growth within the region’s once-prominent manufacturing sector.

Despite all this welcome news, there are some points of global economic concern, said Cliff Noreen, president of Springfield-based Babson Capital Management LLC. He cited everything from a slowing growth rate in China to falling bond rates in many European countries to the fact that, while corporate profits are soaring, that wealth is, by and large, not being shared with employees.

The $800 million MGM Springfield, due to start taking shape in Springfield’s South End, is one of many sources of optimism across the region.

“In the third quarter, U.S. corporate profits were up 9% on revenue growth of 4%,” he explained. “And this results from a very intense focus on managing expenses, which is to the detriment of employees; wages as a percentage of GDP have dropped to 43%, the lowest level in years.”

But, overall, Noreen and others are generally optimistic about the year ahead, so much so that the adverbs ‘guardedly’ and ‘cautiously,’ which have preceded that term since the recession officially ended nearly six years ago, have been generally dropped from most commentary.

“I do think that the mood of small-business owners is positive — I sense a better buzz, a better feel now than I have in the past several years,” said Ciuffreda. “Some of this is downtown-centric, with UMass here, the progress at 1550 Main Street, NPR’s new facilities, new tenants in 1350 Main St. … the feeling is a lot better; the city is more positive than I’ve ever seen it.”

Fueling Speculation

Like Nakosteen, Noreen called falling gas prices a form of economic stimulus, and he offered some eye-opening numbers to get his point across.

“Every penny that gas drops results in $1.3 billion of additional money or funds for consumers and business in the United States — discretionary spending,” he explained. “Gas has dropped approximately 55 cents from the beginning of the year, which should result in a savings of $73 billion, which is effectively stimulus, which comes out to about four-tenths of 1% of GDP.”

Nakosteen cited estimates that the average family will save perhaps $60 a month due to the falling gas prices. “And if you do the arithmetic, take half that and add that up over a whole lot of households, that’s really money being spent in the region,” he said. “And from all I’m reading, this decline in fuel prices is not going to be short-lived; it’s going to last for a while.”

This windfall — unexpected but in some ways not surprising, given the explosion in the production of shale oil in this country — is just one of many reasons, large and small, for rising optimism regarding the economy, even as those numbers are tempered by the damage done to the energy sector when oil falls to below $70 a barrel.

Nakosteen said the improving employment numbers are equally important, if not moreso.

Cliff Noreen says that, despite general optimism about the economy, there are many factors, here and abroad, that could impact the pace of growth.

Elaborating, he noted that, for the most part, whatever recovery this region has enjoyed over the past several years has been generally of the jobless variety. But recent employment reports show that perhaps that scenario is changing.

“It’s been really a slow slog,” Nakosteen said of employment in the four western counties and especially Springfield. “Maybe the recovery is really gaining traction in this part of the state, and recent developments are only going to help.”

With jobs come disposable income and a resulting trickle-down, said Noreen, noting quickly that optimism does need to be kept in check by the fact that many jobs being created, not only in Massachusetts but nationwide, are part-time in nature, and with wages that are not keeping pace with inflation.

“More than 321,000 new jobs were created on a net basis in November,” he said, citing the most recent jobs report. “Our concern, and we’ve been saying this to clients all year, is that the quality of jobs is not what it used to be, and many of these jobs are part-time jobs, they’re in service-type industries that are very low-wage, and many of the jobs are being taken by workers over 55 years old, either because they want to work or they need to work.”

But, overall, the job growth is being seen as a positive sign for the region’s economy, as is the growing confidence among business owners, said PeoplesBank President Doug Bowen, who cited not only the Associated Industries of Massachusetts’ monthly business confidence index and its recent steady improvement, but also trends and activity he’s noticed locally.

“The Massachusetts economy is on track to strengthen, with solid economic growth, and add more jobs in 2015,” he said. “We have a positive outlook for Western Mass. Companies in our portfolio, in general, are doing well and showing moderate growth. Some of these business owners are selectively investing in capital equipment and, to a lesser degree, new facilities.

“But we are seeing growth,” he went on. “We’re seeing some that are adding additional shifts, which always precedes the actual physical construction of new space.”

One of the sectors where he’s seeing such movement is aerospace, or machine shops, which he considers a positive sign because those jobs are generally well-paying. But he’s also witnessing growth in other manufacturing, healthcare, hospitality, and IT.

He said that most of these expansions are resulting not from speculation, but rather from current backlog and existing orders, which leads some to speculate on how long this might continue. However, Bowen noted that he’s seeing generally forward movement and, overall, less hesitation when it comes to additional hiring.

If there are speed bumps down the road for the region’s and nation’s economy, they will likely result from action — or inaction, as the case may be — in other corners of the globe, said those we spoke with.

“Japan is struggling, the Russian ruble has declined substantially, and China is growing at less than people thought,” Noreen explained, adding that these factors and others add up to less demand for U.S. products and commodities such as oil, iron ore, and concrete, which may eventually slow the pace of growth in this country.

“Over the past three years, China used more concrete than the U.S. used in the last 100 years,” said Jay Leonard, a director with Babson Capital Management. “That’s a stunning number, and it helps explain why, with China’s slower rate of growth, oil prices are down, copper prices are down, and steel is getting crushed.”

Meanwhile, Europe continues to be the biggest disappointment on the global economic stage, said Noreen, pointing to bond rates on 10-year government yields (2% in Spain, 1% in France, and 0.77% in Germany) that he called shockingly low.

Industry Terms

As 2015 approaches, those representing several economic sectors anticipate that this will be a year of change, but also challenge and, in many cases, opportunity.

For the long-suffering construction industry, one of the sectors hardest-hit by the recession and the lackluster recovery that followed, change is almost certainly good, said Dave Fontaine, president of Springfield-based Fontaine Brothers.

Doug Bowen says confidence among business owners is growing, and many are making investments in their ventures.

He told BusinessWest that, while 2014 has not been a banner year for his company — “we had work, but it was all booked in 2013” — there has been some improvement in several areas within construction, from home building to infrastructure work (roads and bridges). And the consensus is that 2015 will be better because of what he called “pent-up frustration.”

But easily the greatest source of optimism within the industry is the approaching start of work on the casino.

While the general contractor for this massive project will certainly be a firm from well outside the 413 area code, undoubtedly one with several casino projects in its portfolio, Fontaine said, there will be a trickle-down effect, with many area subcontractors and individual tradesmen (all unionized) in line to win much-needed work.

Just how much work remains to be seen, obviously, but Fontaine expects the project to have a deep impact on the sector and its workforce.

“The casino project is going to be good for the general trades, because I know that, for bricklayers, carpenters, and laborers, their hours were down significantly this past year,” he said. “These types of projects certainly employ a lot of people, and they employ them quickly and for a lot of hours, but then they’re done.”

What the sector will have to guard against, to whatever extent possible, is a shortage of manpower for other projects because of the attractiveness of the casino work in terms of hours, wages, and the opportunity for overtime.

“There’s the potential for some manpower shortages, because everyone would want to be down at the casino because they’re getting overtime and six days a week and whatnot,” Fontaine explained. “But our group of tradespeople that work for us, I don’t see them packing up and abandoning us to give their life to the casino for two years.”

Change is also expected in the banking sector, where Bowen believes the recent spate of mergers and acquisitions will give way to a more stable environment.

Indeed, 2014 saw the completion of the merger of equals between United Bank and Connecticut-based Rockville National, and the announced acquisition of Hampden Bank, the last institution based in Springfield, by Pittsfield-based Berkshire Bank.

“To a large extent, it’s pretty much over,” he told BusinessWest. “There may be one or two more organizations that come into play, but the organizations that positioned themselves for merger or acquisition have pretty much achieved their objective.”

These mergers present opportunities in several forms, especially for community banks like PeoplesBank, said Bowen, noting that, whenever such acquisitions take place and management of the acquired bank shifts away from Greater Springfield, commercial and consumer accounts will be moved to small institutions. Meanwhile, such unions generally result in downsizing, which enables banks to recruit talented individuals that already know the local market.

“As an independent, mutually owned bank with no shareholders, we often become the bank of choice for customers who have experienced some disruption in their banking experience,” he said. “This year alone, we’ve increased deposits by more than $100 million; a typical year might by three-quarters that amount.”

Another sector that bears watching in 2015 is healthcare, which is still struggling to cope with the changes brought on the Affordable Care Act (Obamacare) and the ongoing shift from a fee-for-service system to one focused much more on population health.

Such a shift requires providers to make significant investments in equipment, systems, and personnel, said Dennis Chalke, Baystate Health’s chief financial officer, treasurer, and senior vice president of Community Hospitals, adding that these investments come at a time when reimbursements for care are flat or declining and inpatient stays, a major source of revenue, are falling.

Thus, it’s becoming increasingly difficult to make them, especially for stand-alone hospitals, he said, which explains why North Adams Regional Hospital closed in 2014 and why Stewart Health Care System announced that it was shuttering Quincy Medical Center, the largest hospital closing in the state in more than a decade.

“Right now, Medicare is penalizing people if their readmission rates are too high,” he explained. “That means you have to now invest in tools and other things to decrease readmissions, so when patients leave the hospital you have to make sure they follow up with physician office visits and they that they are adhering to their medications and so forth — and that takes investments in things you wouldn’t traditionally invest in.

“That’s a good thing,” he went on. “But we’re not getting paid to do that. We avoid losing dollars when we do that; it’s almost like a negative incentive. And that’s the biggest challenge facing the industry moving forward.”

As for the casino, Ciuffreda said that, overall, apprehension about the gaming facility is diminishing, at least within the business community, and it is generally being replaced with optimism, although some concern remains about its long-term sustainability.

“The mood is very positive — the only slightly gray cloud hanging over the casino is its sustainability 10 years out or so,” he said. “About 95% of the people feel very comfortable about the next five years, and 75% are comfortable about the next 10 years, but some questions start to creep in about what happens after that.”

Money Talks

Challenge and opportunity. Those two words sum up the outlook for each sector and the regional economy as a whole.

But, overall, the emphasis this year seems to be more on opportunity, as it pertains to jobs, growth through additional discretionary spending, expansion, and the many forms of trickledown anticipated from the casino.

As Nakosteen said, it appears that the economic recovery is actually permeating Western Mass.

And it’s about time.

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

A Major Production

By BusinessWest Staff December 2, 2014

Cover Story

Collaborative Seeks to Grow the Film, Media Industry in Western Mass.

Diane Pearlman says Massachusetts looks like a lot of places — in this country and around the globe.

“Maybe it doesn’t look like the Sahara Desert, but it can look like most of the rest of the world,” she told BusinessWest, adding that this is one of many reasons why the Bay State is becoming increasingly popular with filmmakers at all levels.

Massachusetts, or at least the Franklin County community of Shelburne, looks enough like rural Indiana — the setting for the story behind The Judge — to become the chosen location for the shooting of most scenes in that recently released film starring Robert Downey Jr. and Robert Duvall, said Pearlman, executive director of a nonprofit called the Berkshire Film and Media Collaborative.

Bringing more high-profile pictures like The Judge, not to mention the many types of economic opportunities they represent, to Western Mass. is a part of the agency’s reason for being, said Pearlman, adding quickly that this challenging assignment falls much more to the Massachusetts Film Office (more on that later).

The Berkshire Film and Media Collaborative, whose name is somewhat of a misnomer because its work encompasses the four counties of Western Mass., is instead tasked with shaping film and media production into a greater economic force in this region, one that she believes might keep more young people from leaving this area code.

“Our focus over the past year and a half has been more on job training, education, and addressing the need to attract and retain young people here,” she explained. “And we really believe that film and media is an industry that can do that in Western Massachusetts.”

The collaborative’s core objective is to facilitate film, television, and media projects by providing assistance to production outfits with everything from location scouting to permitting, to finding local crew and equipment. At the same time, the agency works to help individuals attain and hone the skills needed to work in the industry.

Pearlman said the BFMC, formed in 2009, is committed to:

• Nurturing its community of film and media professionals through educational courses, lectures, and seminars;

• Creating job opportunities in the film and media sector through adult workforce-development courses;

• Networking area professionals and introducing them to local businesses in need of film and media services; and

• Marketing the region’s film and media professionals and undiscovered locations to national and international film and television markets.

Diane Pearlman says the film and media industry can be an economic engine in the Pioneer Valley, and the collaborative is committed to making it one.

Most of these facets of the agency’s mission came together in late October at the inaugural Western Mass. Film & Media Exchange, staged at the Baystate Health Conference Center in Holyoke.

In addition to keynote speaker Douglas Trumbull, a filmmaker and special-effects pioneer whose film credits include everything from Close Encounters of the Third Kind to Blade Runner, the event featured a number of workshops and lectures, as well as a networking social.

Among those in attendance was Michail Charalampidis, a recent Hampshire College graduate who wasn’t quite ready to return to his homeland of Greece after commencement and chose instead to pursue opportunities within the film industry in Western Mass. — or wherever else he could find them.

He’s landed a few minor positions with some productions, and is currently working with Trumbull at his studio in the Berkshires. More importantly, thanks to Trumbull, Pearlman, and others, he’s meeting people, learning about the business, and making all-important connections.

“Diane put me in touch with the visual-effects producer of Game of Thrones, and I could be working for them starting in January; maybe not, but I’m touch with him,” said Charalampidis. “I’m also in touch with the visual-effects producer of Interstellar, who’s starting a new movie in January, and they put me in touch with people working on the new Avengers, so I could go work for them.

“All of these are up in the air,” he went on, “but I’ve become part of this chain where you get involved in conversations. People say, ‘do you want to work on The Avengers?’ and I say, ‘of course.’ Diane and her people have really helped me connect.”

That one word probably best sums up the mission of the collaborative, said Pearlman, adding that, in many ways, Charalampidis’s story personifies the ongoing work of the BFMC.

“Film is a word-of-mouth industry,” she explained, adding that the collaborative’s overarching goal is to generate word-of-mouth referrals for individuals, companies, communities — and the region as a whole.

For this issue, BusinessWest looks at how the agency goes about doing just that.

First Take

It was called ‘Get a Grip.’

That was the name attached to a program dedicated to helping individuals eventually attach their name to that often-recognized but mostly misunderstood position listed within the credits at the end of a movie — the ‘grip,’ maybe even the ‘key grip.’

“These are essentially the stage hands on a film set — if you needed to put a cameras on a dolly where you built track and push the cameraman, a grip would do that; they operate camera cranes, they do everything but the lights,” said Pearlman, adding that 25 people took the class, staged last March.

And additional courses are in the planning stages, she went on, adding that the next one may focus on another profession within the industry — gaffer, an electrician — or cinematography.

Such programs constitute one of the many ways the BFMC carries out that aforementioned mission, said Pearlman, adding that training new talent is just part of the equation.

Indeed, the region already boasts a number of talented individuals, including some who have won Academy Awards, she noted, adding that the collaborative wants to bring more work to them and help their businesses succeed and grow.

And it does this by attracting more projects, making constituencies, including the business community, more aware of that existing talent, and providing education to small-business owners in this broad sector, such as the workshops at the Film & Media Exchange.

“Many of the panels we did were about how to better run your business, because filmmakers are artists, and we want them to be able to ask the questions, know how to set up their businesses, and know how to market their businesses,” she explained. “We also invited local companies, because they need video. Whether it’s for a conference or for the web, more and more businesses need video, and they don’t know where to go. A lot of times, they’ll call their brother in L.A. or their cousin in New York and say, ‘how do I get this video done?’ They don’t know that they have all the talent they need right here.”

The BFMC’s work began in 2009, said Pearlman, and, as the name suggests, the initial focus was on the Berkshires, which, during the ’90s, was home to a number of special-effects houses, including Lenox-based Mass.Illusions, which she served as executive producer and general manager, supervising a workforce of more than 200.

That Mass.Illusions facility was eventually closed in 1998, when the parent company shifted production work to California, she went on, adding that other shops in that area have closed as well, in part because large production houses are not needed as much as they were years ago.

“You can work on Game of Thrones from your house,” she explained, adding that there a number of sole proprietors and small outfits based in the 413 area code.

Michail Charalampidis says the Berkshire Film and Media Collaborative has enabled him to make invaluable connections as he searches for work within the industry.

And not all of them are in the Berkshires, she went on, adding that the collaborative’s work became more regional in nature— and the words ‘of Western Massachusetts’ were added to the title — years ago.

Today, the collaborative works with a host of partners, including the Economic Development Council of Western Mass., Berkshire Creative, and colleges across the region to grow the film and media sector in the Pioneeer Valley and, in the process, create opportunities for individuals, businesses, and communities like Shelburne.

“We want to keep the dollars in Western Mass.,” said Pearlman, who brings more than 25 years of experience in media creation and production, including work as an independent entertainment producer, studio executive, and business owner.

She came to the Berkshires to work with Trumbull at his studio. Later, at Mass.Illusions, she was involved with a host of films, including The Matrix and What Dreams May Come (both of which won Academy Awards for best visual effects), Starship Troopers, Evita, Eraser, Die Hard with a Vengeance, Judge Dredd, and others. Her résumé also includes everything from work producing television commercials and feature-film title sequences to a stint as production manager for the creation of a web-based health initiative for Canyon Ranch in Lenox, to work as a partner, producer, and lead writer in KinderMuse Entertainment, a developer of children’s and family entertainment.

She is currently producing two independent films, a screen adaptation of Edith Wharton’s novel Summer, written and directed by feature-film art director and production designer Carl Sprague, as well as a film based on a short story by Carson McCullers that is being written and directed by actress Karen Allen.

But the collaborative now demands a good amount of her time, she told BusinessWest, adding that she and others stayed in the Berkshires because of the region’s high quality of life. She believes there are many in that category, and their numbers could swell — if there are solid career opportunities.

Setting the Scene

Pearlman said Massachusetts currently has many things going for it when it comes to being the setting for major motion pictures.

For starters, there’s an attractive 25% tax credit, initiated in 2005, available to those outfits that reach certain production-spending thresholds. There have also been some intriguing Bay State-based stories that Hollywood has decided to tell, including those involving South Boston gangster James (Whitey) Bulger (Black Mass was shot this past summer) and Lowell boxer Mickey Ward (The Fighter was released in 2010), among others.

Meanwhile, some Bay State natives and notable transplants, including Ben Affleck, Matt Damon, and Mark Wahlberg, like shooting here, and have brought many major productions to the Boston area.

And then, there’s the Mass. Film Office and its executive director, Lisa Strout, whom Pearlman credits with making the business of shooting films here a fairly smooth and easy process.

However, with a few exceptions, such as The Judge and Labor Day, parts of which were also filmed in Shelburne, the wealth hasn’t been spread equally across the state.

“By 2008, $350 million had been spent in the state, and a bunch of us looked at each other and said, ‘why is it all going to Boston?’” said Pearlman. “We have some great locations and talent … they should be coming here.”

If they did, a number of businesses would benefit, she said, listing everything from hotels to hardware stores; caterers to rental car agencies.

But while bringing more major films, like The Judge, is certainly among the BFMC’s goals, Pearlman said the collaborative wants to attract production work of all kinds, including smaller independent films, special-effects projects, television commercials, fashion shoots, training and promotional videos for businesses, and more.

Achieving that goal is a multi-faceted process, she said, one that includes everything from raising awareness of the talent and locations for shooting in the region to assembling and promoting a talented workforce. The desired effect from such efforts is to bring work to this region rather than have it go elsewhere because people are not aware of the talent and resources available.

“The big films are great, but there are many other aspects to the film and media industry,” said Pearlman. “We want to focus on all of them.”

Meanwhile, Charalampidis, while keeping his options open, is nonetheless setting his sights high.

As he mentioned earlier, he doesn’t know what he’ll be doing next month or even next week — a byproduct of working in the field, one further complicated by the fact that he’s in this country on a work visa, one with an expiration date that could be extended, but only if the right opportunity, or opportunities, present themselves.

“I’m getting to the point where I’m going where there’s good and interesting work,” he said, adding that this could be in the Pioneer Valley, New York, Los Angeles, or elsewhere. “I’m past being at the bottom of a very small production, and now I’m going after interesting projects, ones that are educational — and big.”

What he does know is that the collaborative has put him in a better position to possibly seize such opportunities.

“The collaborative can help students get out there faster and move through the low jobs more quickly and then start working for bigger projects that will help them move their career forward faster,” he explained. “You need to come out of college with a lot of skills that colleges just don’t teach you, and the collaborative has certainly helped me in that regard.”

Roll Credits

When asked what it is about Shelburne that is attracting the attention of Hollywood, Pearlman said quickly and succinctly, “it’s a great little town.”

There are many more like it across the region, she said, adding that one of the collaborative’s goals is to acquaint people in the industry with them. To that end, photos of various potential filming sites — everything from parks to farms; churches to college buildings — have been placed on the BFMC’s website.

Overall, though, the collaborative is focused on the big picture — growing this sector, creating jobs, keeping young people in the region, and spurring economic development.

That’s quite a production, but Pearlman and others believe they have a hit in the making. n

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

Your Move

By BusinessWest Staff November 18, 2014

Banking and Financial Services Cover Story Sections

Banks Navigate a Rapidly Changing Chess Board

In assessing the many ways banking in Massachusetts has changed, Dan Forte summons two numbers: 338 and 175.

The first, said Forte, president of the Mass. Bankers Assoc., is the number of banks with offices in the Bay State in 1990. The second number is the same tally at the end of 2013.

“That’s a 48% drop, which, annualized, is a 2% drop per year,” Forte said. “There have been some periods where the consolidation was slower, while in some periods, it has been a little faster. We’re coming out of an economic trough, albeit slowly, and as the economy gets stronger, you’ll see mergers pick up over the next few years.”

Indeed, after a few relatively — but never totally — quiet years on the bank-merger front, 2014 has brought a rush of movement, most recently Berkshire Bank bringing Hampden Bank under its banner (see sidebar, page 19).

“It’s a combination of things,” Forte said, noting that the region’s most recent big moves — Berkshire’s in-market acquisition of Hampden, the interstate ‘merger of equals’ between United Bank and Rockville Bank a year ago, and Connecticut-based Farmington Bank’s plan to expand into Massachusetts — are very different from each other.

“The community banks are going to remain strong, but, like every other industry, there’s going to be a lot of change, and this is part of the change,” he said. “It’s really nothing new.”

Or, as Brian Corridan put it, “we have a lot of very good banks here in Western Massachusetts. But the world is changing, and the checker game in banking has become a chess game.”

Corridan, a local expert on the financial-services industry and president of Corridan & Co. in Chicopee, emphasized that not only are mergers and consolidations par for the course these days, they’re not the biggest story.

Berkshire Bank leaders are discussing whether to retain, consolidate, or close Hampden Bank branches that overlap Berkshire branch footprints — including Hampden’s headquarters in downtown Springfield.

“The reality goes far beyond the larger banks in our area merging with the smaller banks. We are now banked internationally right here in our Valley,” Corridan said, citing Citizens Bank, an affiliate of the Royal Bank of Scotland; TD Bank, part of Toronto-Dominion Bank in Canada; and the most recent entry, Spain-based Santander, which acquired Sovereign Bank in 2009.

“Look around — people have accounts at Citizens, TD Bank, and Santander. We’re not just talking about regional banks anymore, but foreign banks. They see the value of retail banking in our area,” Corridan said. “And it’s just the tip of the iceberg; there’s a lot of consolidation to come as banks look for economies of scale.”

That’s one of the reasons offered by Sean Gray, Berkshire Bank’s executive vice president of retail sales, in explaining why his institution is “doubling down on Springfield,” where Hampden Bank is headquartered, and where Berkshire already has a significant presence.

“Ultimately, there are economies of scale that come with larger size,” he said. “We believe we have to be big enough to do all the things larger institutions can do, but we feel we need to keep our roots in local decision making, and stay active in foundations and volunteerism and all the things you want a community bank to do at the end of the day.”

When it comes to making moves on this massive chessboard, how does a bank become more efficient, more profitable, and offer expanded services and a broader range of loans, while also maintaining the community involvement and high-touch environment long valued by retail customers in Western Mass.? For this issue’s focus on banking and financial services, BusinessWest examines how creating this balance has become, for banks large and small, the name of the game.

In the Red Tape

Ironically, much of the recent movement among banks to grow larger, quickly, has come as a result of new regulations in the wake of the 2008 financial collapse — a crisis in which the largest banks shouldered much more blame than smaller community banks.

“Since Obama came to town, it’s been a regulatory jungle, and the departments within individual banks experiencing the highest growth rate are the compliance departments,” Corridan said. “In response to more complicated regulations, the federal government is demanding more reports, and that rocks your bottom line. If you have to put $400,000 to $500,000 into your compliance department, that may upset the balance of whether you had a profitable balance or you’re in the red.”

Forte agreed, citing the way ‘call reports’ — the condition reports banks issue to regulators at the end of each quarter — have become much more onerous.

“The costs of doing business are clearly increasing,” he told BusinessWest. “As of 2012, there were 1,995 items in a call report. In 1990, there were 569 items. And the regulations coming out of Dodd-Frank are going to increase them even further; they’re looking now at increasing the number of reporting requirements by 63 elements. Every item takes time and costs money, and the risk of not completing these forms correctly is significant.”

Therefore, he said, banks aren’t just expanding their brand when they merge; they’re spreading these regulatory costs over a larger footprint.

For William Crawford IV, CEO of Rockville Bank, the decision to merge United with Rockville was about investing smartly in an aggressive growth plan.

“Getting to $5 billion in assets, getting to that scale, was very important,” he said. “We’re seeing a lot of small banks seek out strategic partners, much as we saw with Hampden, simply because the economics of being a very small community bank — say, under $1 billion — is very difficult when you look at the interest-rate environment out there. It makes it very difficult to lend money, and, unfortunately, we may be in this environment for an extended period of time.”

Still, he emphasized the importance of maintaining community ties, particularly in the realm of long-established charitable and volunteer efforts.

“Both companies, United and Rockville, have significant foundations that will continue to invest here as we always have,” he said. “And because of our increased size and scale, we have more resources to do those things. So, from a community perspective, two companies coming together is definitely a plus.”

While customers might occasionally feel disoriented by changes in bank ownership, Forte noted that banks have been contracting nationally at a 3% annualized rate, putting Massachusetts behind the U.S. pace. Some of that has to do with the fact that 70% of the banks in Massachusetts are mutual banks, which are limited in how they can merge.

“It requires the right alignment of planets — the board, management, succession timing, etc.,” he said. “Clearly, the trend from this year is a little faster than three years ago, which is not surprising, given all that’s been going on economically.”

The loosening of state laws across the U.S. governing interstate banking, starting around 30 years ago, created a much more nurturing environment for mergers, leading to the remarkable contraction in Massachusetts-based banks since 1990, Forte said.

“State lines are fairly arbitrary; you’re looking more at economies. That’s why interstate banking is so critical; it gave banks large and small the ability to expand geographically, regardless of state boundaries.”

Cache and Carry

Forte emphasized, however, the vigilance with which merging banks protect their reputation as local institutions.

“Community banks are a vibrant sector of the economy, and they help their local communities,” he said. “Their biggest strength is being high-touch. If they can maintain the high-touch aspect and be quick followers of technology and keep costs down going forward, they will continue to confound the pundits who have long predicted their demise.

“I believe there will continue to be a strong community-bank sector of the industry, and we’re not going to become like Canada, with six large banks and 100 credit unions that serve as the local banks,” he added. “We have vibrant community banks here in Massachusetts.”

That said, Corridan noted, “we’re down two publicly traded banks in the Pioneer Valley — Chicopee and Westfield. Look back 25 years, when we had BankBoston, Shawmut, Bank of New England, Baybank … we had smaller banks, and dozens of them.”

With their gradual fade, he predicted that the next 10 to 15 years will see a rapid ascent in credit-union membership. “If you want to bank locally, you’ll see credit unions get stronger, because they’re going to be the local banking entity.”

Springfield resident Morriss Partee, creator of EverythingCU.com, an online source for credit-union information and advocacy, hopes that’s the case, but admitted progress toward that goal has been gradual at best.

“Consolidation in banking has been going on for a very, very long time, and people always say the credit unions stand to benefit from that, and they certainly have to some extent,” Partee said. “At the same time, it’s surprising that they haven’t benefited even more than they have.

“The option of banking locally is just not that important to a lot of people,” he continued. “Of course, it’s important, but a lot of people don’t think deeply about their bank relationship. They say, ‘OK, I have checking; I have a big bank with lots of ATMs around; I can be functional in society.’”

Partee says there’s still plenty of untapped potential for credit unions, but they have to convince people it’s easy to switch over. EverythingCU.com has long offered a ‘switch kit’ to make that task easier and, in recent years, help people do it online. “People hear about credit unions from their friends or see representatives at a trade show and say, ‘OK, your credit union sounds great, but it’s not worth the hassle of moving.’”

Partee, who has been a vocal opponent of a Springfield casino, puts large national and international banks in the same category — businesses, he says, that want to benefit from Springfield but who, at the topmost levels, don’t care about detrimental effects on the community because they don’t live here.

“When lending decisions are made locally, that’s going to help the local community,” he said. “There are still local community banks that are staying local, and a lot of people feel just as passionately about their local community bank as they do about their credit union. With the largest banks — the internationals, especially — it seems like doing business with them is not necessarily helping the local economy; they’re not as responsive to entrepreneurs or people who don’t fit into neat little boxes they can check off in their system.”

Pittsfield-based Berkshire Bank, for its part, has been careful to characterize its acquisition of Hampden as a way of doubling its commitment to Greater Springfield, not uprooting a locally headquartered bank with a 162-year presence.

“We are keeping local leadership and local decision making right here,” Gray said, noting that Hampden Bank President Glenn Welch will remain the combined bank’s regional president for the Pioneer Valley. “We are the largest bank headquartered in Western Mass., and when we look at our overall investment in the region, Springfield has to be a part of that. We are very committed to Glenn and his leadership and his commitment to this region.”

Checking the Landscape

Partly because of the economies of scale produced by the merger, Gray said the combined institution would grow more quickly than the two would have separately. The fate of individual branches, some of which now have overlapping footprints, is still being discussed, though Berkshire is determined, he added, to keep as many current Hampden employees in place as possible.

That brings up a common concern in the industry — overbranching. Strikingly, while the number of banks in the Bay State has been cut in half over the past 25 years, the number of total branches has risen by 12%. “You’ve got a lot more branching,” Forte said, “as well as more services that provide easier access to customers, like remote deposit capture, online banking, and mobile banking.”

Considering these trends, and the fact that real-estate is the second-highest cost for banks after personnel, one would expect banks to start closing branches, rather than open more, he noted. But that hasn’t happened yet.

“New England is overbanked in terms of the number of branches per household,” Crawford said. “And it’s higher than it needs to be. Look at the transaction levels, and look at how frequently people conduct business inside a branch, versus using a mobile device for bill pay, or even a call center. The reality is, there are probably too many bank branches right now, and that structure can’t be supported by the way customers do their banking these days.”

Perhaps that’s the next phase of what has become an intriguing and unpredictable game.

“Think of how much change banks have gone through, and imagine what they will look like in three years, seven years, or 10 years,” Crawford told BusinessWest. “We need to have leadership that can figure out what’s working and work with vendors to get there — and do it in a way that’s attractive to customers and cost-competitive with much larger players. That’s the challenge.”

Berkshire Hills Acquisition of Hampden Bank Creates $7B Institution

Berkshire Hills Bancorp’s recent acquisition of Hampden Bancorp — bringing Hampden Bank under the Berkshire Bank banner — means that, for the first time in generations, no bank will be headquartered in Springfield. But Berkshire leaders say customers and the community will both benefit from the merger.

“This in-market partnership will create a strong platform for serving our combined customers, while producing attractive returns for both our existing shareholders and the new shareholders from Hampden joining us in this transaction,” said Michael Daly, president and CEO of Pittsfield-based Berkshire Bank. “This merger complements our expansion initiatives in Central Massachusetts and Hartford, a combined market area that is the second-largest in New England.”

Berkshire Hills Bancorp and Hampden Bancorp have signed a definitive merger agreement under which Berkshire will acquire Hampden and its subsidiary, Hampden Bank, in an all-stock transaction valued at approximately $109 million. Berkshire’s total assets will increase to $7.1 billion, including the $706 million in acquired Hampden assets.

Sean Gray, Berkshire’s executive vice president of retail banking, said the move “deepens our investment and commitment to the marketplace. We’re already in Springfield and the surrounding communities, so this gives us better economies of scale in that marketplace, which allows is to do more, and we’re excited about that opportunity.”

The in-market merger is expected to create efficiencies, strategic growth, and market-share benefits for the consolidated operations of the two banks in the Springfield area. Hampden operates 10 branches in the Greater Springfield area and reported $508 million in net loans and $490 million in deposits as of Sept. 30, 2014. Berkshire operates 11 branches with $627 million in deposits in the same market area.

“We will move into the top-five position in deposit market share,” Daly said, “and plan to use this opportunity to further capitalize on our strong product set and culture of customer engagement.”

Gray echoed the concept of culture. “I think we started with like values. We believe that a community bank has a responsibility to the community, and I think Hampden Bank thinks about it the same way. There’s a mutual respect there,” he said, adding that “our CEO has a great relationship with their CEO, and they both felt that the time was right.”

He also noted that Berkshire, like Hampden, has a culture of community involvement through donations — $269,852 since 2013 — and employee volunteerism.

Glenn Welch, president and CEO of Hampden Bank — who will become Berkshire’s regional president for the Pioneer Valley — said he is “delighted to be joining the Berkshire franchise. Our two banks share rich histories, consistent core values, and a strong commitment to customers and communities. I’m proud of our 162 years of serving customers in our markets and believe the combination created by our two companies will benefit our clients, communities, and shareholders.”

Under the terms of the merger agreement, each outstanding share of Hampden common stock will be exchanged for 0.81 shares of Berkshire Hills common stock. The merger is valued at $20.53 per share of Hampden common stock based on the $25.35 average closing price of Berkshire’s stock for the five-day period ending Nov. 3, 2014. The $20.53 per-share value represents 133% of Hampden’s $15.49 tangible book value per share and a 6.0% premium to core deposits based on financial information as of Sept. 30, 2014.

Gray conceded that the merger could lead to closings where Berkshire and Hampden have an overlapping branch presence, but nothing has been decided yet.

“Right now, we’re in the evaluation process,” he said. As for employees, “obviously, there will be some redundancy in jobs. But Hampden has 126 employees, and Berkshire right now has 102 openings. Will each of those employees map directly to these openings? We don’t know yet, but we do have a track record here.”

Specifically, he referred to Berkshire’s acquisition of Legacy Bancorp in 2010. “We were able to retain a good majority of those jobs. We put a lot of emphasis on that part of the evaluation process.”

Meanwhile, “from a customer perspective, they will have more branches,” Gray said. “We’ll be looking at what makes sense moving forward, but at the end of the day, the customers of this region will have enhanced services and more total branches.”

Joseph Bednar can be reached at [email protected]

Holding Up the Fort

By BusinessWest Staff November 3, 2014

Cover Story

New Owners Change the Face of a Landmark

Andy Yee, left, and Peter Picknelly, two of the partners resurrecting the Student Prince.

Andy Yee remembers hearing his phone ring, recognizing the number as Peter Picknelly’s … and then grabbing a chair.

That’s because he had a pretty good idea why the chairman and CEO of Peter Pan Bus Lines was calling, and therefore he also knew that this was unlikely to be a short conversation.

He was right.

By the time it was over, the two business executives and serial entrepreneurs hadn’t actually finalized a deal to become partners in a plan to reopen and revitalize the Student Prince restaurant (a/k/a the Fort) in downtown Springfield, whose owners, the Scherff family, had announced their intention to close and hopefully sell the establishment. But they were well on their way.

It would take only a few more meetings to seal a deal that would eventually involve some other players as well, said Yee, a principal with the Bean Group, which operates three establishments in the area, most notably the Hu Ke Lau in Chicopee. And this was because all those involved recognized the importance — to them personally, but also to the region — of bringing back a restaurant that they described not with that noun, but instead with a host of others, including landmark, institution, icon, and ‘home.’

“The Fort is just a part of Springfield’s DNA,” said Picknelly, finding yet another phrase to describe the property at 8 Fort St. “I’ve been going there since I could walk, and now I bring my kids, and I want them to be able to continue going there.”

He now owns 50% of the business, with the other half split between Yee and Kevin and Michael Vann, the father-and-son principals of the business consulting group the Vann Group, who became involved early on in the process of sizing up if and how the Fort’s fortunes could be reversed — and by whom.

In interviews with the media just after it was announced that he would lead a team to acquire the Student Prince and reopen it, Picknelly used the word “tweak” early and often to describe what needed to be done with regard to everything from the décor to the menu.

But as Yee and Picknelly looked more closely at matters, they decided that tweaking wasn’t going to be nearly enough.

The partners are planning a major overhaul, but one they insist will not change the character of the establishment, but merely make it more appealing to a wider and deeper audience, especially the younger generations.

“We’re enhancing the charm of the Fort,” he said, adding that the beer-stein collection will remain — and be expanded — while other qualities of the landmark, such as the carolers during the holiday season, will be preserved. “Our design team says we’re bringing back old Germany, we’re bringing back old Boston, we’re bringing back old New York. The wonderful work that that the Scherff family did for eight decades will only be enhanced and improved upon.”

An artist’s rendering of the layout of the bar area at the new Student Prince.

The partners are putting in a new kitchen, tearing down the wall between the two bars that existed previously and installing a new one, and putting in new furniture, among other steps. But mostly, they say they’re opening things up and “connecting people” in ways the old configuration couldn’t.

As they discussed what’s happened since they got started with the project in late summer, both Yee and Picknelly said it’s been a labor of love for them, one that has revealed to all those involved just how revered the Student Prince was and how no one wanted to see talk of it restricted to the past tense.

They told BusinessWest that constituencies ranging from Springfield city officials to beer distributors to individuals they passed in the aisle at the supermarket have praised their efforts and said, in essence, ‘what can we do to help?’

“I was at an event recently, and I got surrounded by people saying, ‘thank you for saving the Student Prince,’” said Yee. “It’s been great hearing those kinds of comments — the message of us saving this brand is huge, not just in Hampden County, but Hampshire County as well.”

Picknelly agreed. “There’s an enormous sense of pride in bringing this iconic restaurant back. As I told my wife, it’s the right thing to do.”

For this issue and its focus on entrepreneurship, BusinessWest talked with those involved with revitalizing the Student Prince about their efforts and the passion that drives them.

Art of the Deal

As he searched for ways to explain the importance of the Student Prince to his family — and the region as a whole, for that matter — Picknelly decided that he could best tackle that assignment by recalling a question — and especially the answer to it — that he put to his father, Peter L. Picknelly, on his 70th birthday, just a few years before he passed away.

“I asked him, ‘what are some of the most memorable things in your life?’” he recalled. “And one of the first things he mentioned was getting off the train after the Korean War and walking down Main Street toward the bus terminal, which was on Bridge Street back then. He came up to Fort Street, looked down, and saw Ruppert [Rupprecht Scherff] standing there. And he said, ‘I knew I was home.’

“I don’t know why he took the train instead of the bus,” he went on with a laugh, adding that he still gets emotional when he tells that story, which he has often over the past five months, since Scherff’s son, Rudy, told him his family — including his brother, Peter, and sister, Barbara Meunier — were looking to sell and asked whether he knew someone who might be interested in taking over.

Scherff made similar calls to others who had been friends and long-time customers, including Steven Roberts — president and CEO of F.L. Roberts and, like all the others involved in this project, a long-time patron of the Fort — who would help set in motion a chain of events that would bring a new ownership team together.

“I always saw the Fort as a symbol of Springfield,” said Roberts, who recalls going to restaurant shows with both Rudy Scherff and his father, Ruppert. “There were businesspeople that I had relationships with who came to Springfield once a year at least, to go the Fort restaurant — they loved it.

“I saw the possible disappearance of the Fort as an arrow in the heart of Springfield and its sex appeal, and I could not imagine that happening,” he went on. “I had to do something to help Rudy out of his dilemma.”

Roberts said his primary contribution was suggesting people that Scherff might turn to for assistance, and one of the first names he gave him was Kevin Vann, a consultant to many in the restaurant sector who described himself as a “first responder” in this rescue effort.

“Steve knows us and knows our history with hospitality and restaurants as far as consulting and business advice, and asked if I would take a peek under the hood,” Vann told BusinessWest, adding that he talked at length with Scherff about the situation at the Fort and gained a full appreciation of the financial situation.

Vann didn’t get into any specifics or provide any numbers, but summed things up this way: “Rudy sensed it was time for the Fort to get some help.”

So Vann and others set about getting him some.

With Picknelly ready to step in, the search commenced for a restaurant-sector veteran with whom he could partner to orchestrate the turnaround effort. One of Vann’s first calls was to the Yee family to gauge its interest in expanding its hospitality-sector influence into downtown Springfield.

“The Vanns had been counsel to the Yee family for many, many years,” he noted. “We looked around and wondered who we could bring in that knows how to operate restaurants, plural, successfully, and I thought of them immediately. Before you know it, we were all sitting at the table; it was kind of meant to be.”

Andy Yee stands in the new kitchen at the Fort, one of many steps taken to revitalize the Springfield landmark.

The Yee family brought more than a half-century of restaurant experience to that table. It was Andy’s father, Johnny, who started the Hu Ke Lau on Memorial Drive in Chicopee in 1965. He would eventually go on to operate several restaurants around the country before selling them off one by one.

Andy Yee and his siblings, Anita, Edison, and Nick, as well as several of their children, now operate three establishments — the Hu Ke Lau, Johnny’s Tavern in Amherst, and Johnny’s Bar & Grill in South Hadley (the latter two named after Johnny Yee, who passed away in 2003).

In all three establishments, the family has learned how to cater to the needs of various audiences, including the younger generations, said Yee, adding that this is a skill set that will be needed at the Fort.

Landmark Decisions

When asked about what he thought happened to the Fort over the past several years, Picknelly chose his words carefully, not wanting to be critical of the family that kept the landmark open all those years.

He said, in essence, that the establishment had not kept up with the times and was not doing all it could to appeal to younger audiences. “They were not as agile as they needed to be,” he explained.

Bringing much more agility — and responsiveness to the wants and needs of younger constituencies — is the unofficial mission for the new leadership team, and Picknelly and Yee said they will carry out that assignment in a number of ways.

Indeed, as they talked about their plans moving forward and a slated reopening on the night before Thanksgiving, Picknelly and Yee noted that there is considerable work to be done at the Student Prince — starting with replacing the hundreds of items that grew legs between the time Rudy Scherff announced his intention to shutter the restaurant and when the doors actually closed.

“People took beer mugs, they took silverware, they took plates — at least a third of their plates are gone; people were putting them in their pocketbooks,” said Picknelly, referring to long-time patrons who wanted to bring a piece (or several pieces) of the Fort home with them when they left for what some felt might be the last time. “They were coming out with plastic utensils toward the end because they had no silverware left.”

Turning serious, the two said the task they’ve undertaken is to maintain the restaurant’s character, or “what made the Fort the Fort,” said Yee, while also modernizing it, creating that aforementioned connectivity, and making the landmark a preferred venue for the younger generations who have not supported it to the extent their parents and grandparents did.

Inside, the partners are giving the Fort a new, more open, more contemporary look, while still maintaining the old-world charm that patrons coveted.

Steps include a new kitchen, the revamped bar area, improved traffic flow for patrons and staff alike, new woodwork and chandeliers, and a much larger ladies room, something Picknelly mentioned as a real priority.

Meanwhile, there will be some changes to the menu as well.

“German food is very heavy,” said Yee, adding that many people, especially the younger generations, prefer lighter fare, and the new Fort will respond accordingly.

The key to long-term success — the partners, and most observers, are expecting a very strong start and holiday season — is getting the younger professionals to make the Fort one of their destinations, said Yee.

“We want to make sure that young professionals are frequent fliers at the Student Prince,” he told BusinessWest. “This has always been a venue for conducting business — personally, I’ve made a number of deals at those tables — and now we want this to be a place where these emerging young professionals can do business.

“We want them to come and see for themselves, and we’re going to be accommodating to their palates,” he went on. “They have certain likes that we’re attuned to and that we’ll provide.”

Fare Game

As they relayed memories of visits to the Fort decades ago, both Yee and Picknelly recalled the restaurant’s legendary glassware known as a boot — because that’s what it was shaped like.

A boot held nearly 30 ounces of beer, said Yee, adding that is now illegal to dispense brew in such quantities.

However, the partners say they will likely introduce a smaller, street-legal version of the glass, something that will honor the traditions and the charm of the landmark, but also work in this different era.

In a way, that’s what’s happening with every aspect of this turnaround effort, from the design of the bar to the items on the menu.

If it all meshes as Yee, Picknelly, and the other partners believe, then this critical part of Springfield’s DNA will have a chance to write much more history and create many more memories.

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

WMBExpo 2014

By BusinessWest Staff October 21, 2014

Cover Story Events WMBExpo

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It’s All Relative

By BusinessWest Staff October 7, 2014

Cover Story

Family Business Center Marks 20 Years of Dispensing Insight

Director Ira Bryck

There’s a small sign in front of a parking space near the front door of Notch Mechanical Constructors in Chicopee declaring that it is reserved for Roger Neveu, who founded the company 41 years ago.

He has rarely parked there in recent years, said his son, Steve, one of five siblings now managing the venture, noting that his father stops by once in a while, but considers himself fully retired. The parking space, he said, is a way to recognize the past and the elder Neveu’s vision and drive, and, in a way, it serves as a symbolic bridge between the generations — a way of saying that, while the company’s creator isn’t physically there most of the time, he still has an important place in the enterprise.

Of course, the process of building an actual bridge between the generations managing a business is much more difficult than creating a designated parking space, and this concept of having a ‘place’ is quite complicated as well. And it was these simple realities that helped drive the creation of what is now known as the UMass Amherst Family Business Center, which this month will celebrate 20 years of helping businesses like Notch achieve successful transitions — and also negotiate countless problems that arise when several people with the same last name are running an operation.

The center’s executive director, the colorful Ira Bryck, said the agency was founded through the inspiration of a number of professionals and business advisers, many of whom still serve as strategic partners, and was also part of a movement in the early and mid-’90s to establish university-based education programs for family businesses.

“It became clear to a lot of expert advisers that they needed a sort of safe-harbor environment to be able to talk with business owners about a lot of issues that they normally would not be able to talk with them about if they were just doing their taxes or helping them with some legal issue,” said Bryck, adding that the center has certainly filled this role effectively over the years.

And this is one of many reasons why, two decades or more after many family business centers were established, the UMass facility is one of a relatively few that are, well, still in business.

Other reasons include Bryck’s persistence and imagination when it comes to creating value for members, and his ability to enable the center to evolve over the years and broaden its scope. For example, the center is no longer exclusively for family businesses — it also assists closely held operations — and has extended its main focus to all that it takes for a business to succeed in a changing and challenging climate.

It does so mostly through the many dinner meetings staged annually, during which speakers with a wide range of backgrounds provide insight on the myriad issues facing businesses today, and attendees are given some thoughts — and inspiration — on how to take these lessons back to their plants and offices and implement them.

Roger Neveu, who founded Notch Mechanical Constructors and later was bought out by five of his siblings, sought out the UMass Amherst Family Business Center for help on succession issues.

But it’s also done through a new weekly radio program called The Western Mass. Business Show with Ira Bryck, blogs and other forms of social media, and a host of other media. Summing it all up, Bryck likes to borrow the phrase “marketplace of ideas.”

And it’s a unique marketplace, he went on, because membership crosses virtually all business sectors, from manufacturing to retail to technology, and while these industries have their unique challenges, there are issues and concerns common to all ventures.

“There have been many good conversations where people have gained a broader perspective because they’re talking to people who are not in their industry,” he explained. “Everyone would like to think that they can think outside the box, but what’s really helpful is to talk to someone who’s not in your box.”

Kent Pecoy, founder and owner of West Springfield-based Kent Pecoy Homes, and a long-time member, agreed. He told BusinessWest that he enjoys the diverse nature of the membership and the perspective provided by business owners facing similar issues.

Pecoy said he’s probably years away from dealing with succession issues at the company, but there are still plenty of matters for which he can use that aforementioned safe harbor, many of them involving his son, Jason, who has worked at the company since he was in high school and has been going to work with his father for as long as he can remember.

“Working with my son all the time is a blessing, but it’s not without its challenges,” he said with a laugh.

For this issue, BusinessWest pauses at the center’s 20th anniversary to discuss with Bryck and others how this organization has made an important difference within the local business community.

Public Relations

By now, most in this region know about Bryck’s background, and specifically the many years he spent working beside his parents at the children’s clothing outlet called Barasch’s Kids Store on Long Island.

Kent Pecoy, a long-time member of the Family Business Center, says working with his son, Jason, is a blessing, but is “not without its challenges.”

What was supposed to be one summer at the family business turned out to be closer to 17 years, said Bryck, who has imparted lessons from his experiences at the store and with family businesses in general to center members — and a host of other audiences — in a number of ways.

These include the writing of three plays — A Tough Nut to Crack, based on his time at Barasch’s, as well as The Perils of Pauline’s Family Business and Wait Till Your Father Gets Home — which are still performed on occasion.

But while Bryck became proficient as a playwright, his greater talents have been selling the center to the region’s business community, connecting members with resources, and implementing change within the agency when necessary to maintain relevance.

Retracing the history of the center, Bryck reiterated that it was part of a national trend to create programs focused on family businesses and the issues facing them. MassMutual was at the forefront of that movement, eventually becoming involved with more than 50 centers, and one of its financial advisers, Charlie Epstein, president of Epstein Financial Services, was instrumental in getting the center off the ground.

Epstein’s company remains a strategic partner, along with First Niagara Bank, Giombetti Associates, the law firm Bulkley Richardson, the accounting firm Meyers Brothers Kalicka, and Touchstone Advisors. These partners provide financial and advisory support, as well as input on the center’s mission and the process of carrying it out, said Bryck.

Ross Giombetti, a principal with Hampden-based Giombetti Associates, which provides employee assessment, leadership training, recruitment, and other services, has been a strategic partner from the beginning. He said the center has been successful in fulfilling the safe-harbor role, and in providing a unique forum in which business owners can learn from each other and, in the process, often avoid costly missteps.

“We needed a forum where family business leaders — siblings, husbands, and wives — felt comfortable talking about their issues and the dynamics of operating their business,” he explained, “and also where they could learn from other successful family businesses and professionals, do things better, and perhaps avoid some of the mistakes they made.”

The center hosts six dinner forums each year as well as several workshops and roundtable discussions focused on strategic questions, said Bryck, adding that this year the schedule will include a 20th-anniversary party on Oct. 14 at the Log Cabin Banquet & Meeting House.

There will be much to celebrate at that event, said Bryck, adding that the center remains vibrant, with more than 60 member businesses, including several that have been involved from the beginning, and it continues to evolve and expand its role.

In fact, there was talk a few years ago of changing the name to the UMass Family and Closely Held Business Center, said Bryck, adding that a consensus emerged that the family business was still an effective niche, and the main point of emphasis. However, a new slogan — “a continuing resource for family and closely held businesses” — was adopted to drive home the broader mission, which has come about out of necessity in many ways, he said.

Elaborating, Bryck told BusinessWest that many operations that were family businesses — concerns run by multiple generations or several members of the same generation — are now sole proprietorships or concerns with one owner, with managers who still need the type of support and services the center has provided.

“There were a lot of family businesses that became non-family businesses,” he explained, adding that he’s not sure how national or global this phenomenon is, but does know it’s a pattern regionally. “There are still a lot of multi-generational families in business, but around here, parents retired or passed away, the kids took over … and sometimes the siblings or cousins in business realized that it wasn’t the same and they didn’t get along that well since the parents left. So a lot of family businesses went back to sole owner.

“So we said, ‘are all of these people who are suddenly sole owners or have brought in partners who are not family no longer our concern?’” he went on, adding that all those quickly determined that he answer to that question was ‘no.’ “There were many people who were still interested in what we do, so we started focusing more on the issues of small and medium-sized businesses in Western Mass. and what they needed to succeed.”

Mostly, what they need is insight into coping with the many challenges of doing business today, Bryck noted, adding that members get this through both the speakers he brings to the dinner forums and the other members in the room.

“A business owner or key manager who comes to the meetings gets as much out of the program from discussing issues with other business owners in the room as they might get from the presenter,” he explained, adding that, while speakers will devote most of their time to dissecting an issue, they will leave some for interactive discussion about how attendees can apply what they’ve learned to their operation.

“We’re working more and more on how companies are actually going to implement what they’ve learned, because someone could come in with a grand theory of some kind, and a very practical owner of a small or medium-sized company is going to say, ‘I could use this or that piece of it,’” said Bryck, adding that he’s considering an additional set of roundtable programs or follow-up workshops devoted to the process of implementation.

Not Child’s Play

Notch Mechanical Constructors had been a member for several years, and is now ‘member emeritus,’ a more limited type of membership, said Steve Neveu, who serves as president, adding that the center has played a significant role in what he described as a smooth transition in ownership from his father to the five siblings that take titles ranging from vice president to ‘crew leader.’

“It’s a nice division of labor,” he told BusinessWest, adding that all five worked in their business while their father was running it and they get along, two attributes that certainly help in the challenging environment that is the family business.

“We’re a close family,” he noted. “Like any set of partners, you don’t always see eye to eye on things, but we manage to work things out cleanly and get to the bottom of issues.”

Neveu doesn’t remember the specific circumstances that led to Notch joining the center — whether Bryck reached out to his father or vice versa, or whether a consultant recommended joining — but he can clearly recall a number of occasions when the agency, through its various programs, provided valuable insight to the family, not only about succession, but on a host of other issues as well.

“This was about the time when my father was starting to consider how to pass this on to the next generation and how to do that well,” he recalled. “I had been talking with him about it — I was his president, and he was CEO — and we thought joining the Family Business Center made sense on many levels.

“I have an MBA, but one of things you find is that they don’t talk about these kinds of issues in school,” he went on. “The center offered a unique forum, a way to learn about this whole process. We were a well-functioning family business at the time, but it’s different when you have one owner.”

Neveu said the center, through the speakers at its dinner forums, focused on issues both broad and specific, and in many cases, the subject matter involved something not covered in a textbook or in business school — such as the issue of whether to make siblings not involved in the family business shareholders.

“A lot of companies do that, but I remember a speaker at one of the dinner meetings saying that such a scenario is fraught with difficulty,” he recalled. “When a parent has two children in the business and two outside the business and gives them all equal shares, you can create a division there because there will be different perspectives, and you open up an area for complications when you do that.

“I remember meeting with my father and taking about it, and we decided it made sense to keep the business with those in the business,” he went on. “It was an understanding of what’s healthy, and example of how you really need to think things through when you make important decisions like that.”

Another matter the center has been helpful with is something Neveu called the “hat concept.” Elaborating, he said the owners of a family business like Notch will wear many hats representing their various roles — as employees, board members, and shareholders — and it’s important to remember to keep them straight.

“People need to know which hat they’re wearing and understand the authority and responsibility that goes with each hat,” he explained.

Neveu said speakers at the center’s meetings rarely provide direct advice, but they will explain the parameters of a specific issue and, thereby, help members make smart decisions.

Pecoy agreed, and told BusinessWest that, unlike most other business groups he belongs to or serves as a board member, such as a homebuilders association, the Family Business Center has members across a host of industries, all facing similar issues and challenges in an ever-more-competitive global economy. This mix, and the interactive dialogue it creates, has helped nurture a unique learning environment, one that provides attendees with both perspective and insight.

“This is more widespread and diverse,” he said of the center, “and you get to see how similar all businesses are. It doesn’t make any difference whether you’re in manufacturing or construction — it’s amazing how similar the issues are, and this has been a great takeaway from our involvement.

“And our employees get an entirely different take on things,” he continued, adding that several will attend the center’s dinner meetings over the course of a year. “They begin to see how difficult it is for a business owner and the many challenges he or she faces. It’s a great forum for them to listen to other business owners, which is important, because they see it on some level within my organization, but when you hear other business people in different organizations talk about the same thing, it solidifies it or brings more credibility.”

The Bottom Line

While Pecoy, 56, jokes that it might be 20 years or more before he gets around to transitioning his business to the next generation, he admits that he thinks about succession all the time, primarily because it is one of the main focal points for many of the center’s speakers over the years.

“One of the best lines I’ve heard goes something like, ‘when the owner of the business walks out, no one even hears the door close,’” he told BusinessWest, adding that this colorful wording refers to a completely seamless transition.

These rarely happen in business, but because of the Family Business Center and its informative programming, that complicated matter — and countless others — have become easier for dozens of businesses to negotiate.

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

Bear Necessities

By BusinessWest Staff September 23, 2014

Cover Story

Ted Hebert Sets His Own Standard of Success

Ted Hebert walks through his store, hugging customers he knows, slapping them on the back, making recommendations, and bending over happily to pat dogs that people bring inside with them.

His positive attitude and the relaxed atmosphere that emanates throughout Teddy Bear Pools & Spas in Chicopee belies the fact that the pool and spa business is down 70% from the peak it reached between 2004 and 2005.

But Hebert has weathered worse storms, and his love for people and reputation for customer service have allowed him not only to survive when his competitors went under, but ultimately thrive during the course of his 39 years in business.

None of that has come easily. Hebert enjoyed unprecedented highs but also suffered devastating blows as his business grew from the carport of his parents’ home to the position it holds today as one of the leading pool and spa businesses in the Northeast. Still, “to me, success is not what you have; it’s about what you give back to the community,” he said. “It includes respect, which is something you can’t buy, and my goal is to make this a better world than it was when I came into it.”

Hebert’s business history is peppered with philanthropic endeavors, and he and his wife, Barbara, have served on the boards of countless charities and made an untold number of generous donations, which include the gift of a kangaroo to the Zoo at Forest Park in Springfield. They sponsor hundreds of youth and adult sports teams, and have also sponsored events ranging from the Paws Golf Tournament for the MSPCA of Western Mass. to the Shriners Chowder Bowl, which they supported for 15 years, to the local chapter of the Make-A-Wish Foundation. The couple has volunteered all over the world, and Hebert has been feted with many awards for his altruism, including the prestigious Paul Harris Fellowship for distinguished community service, which he received in 2008 from the Rotary Club of West Springfield.

He takes pride in the fact that the majority of his employees have been with him for more than three decades, his salespeople close 75% of their sales, and factory representatives come from as far away as California to learn from his business.

Ted Hebert doesn’t do much advertising, but his community activity — occasionally involving his store’s mascot — is its own form of marketing.

But he has always set the bar high, and Hebert’s concern for his customers extends to the products that line the shelves at Teddy Bear Pools and Spas. The majority carry his private label and were created decades ago when he discovered the industry was reducing the quality of chemicals needed to maintain the chemistry of the water in pools and spas.

“I have some medical background, so I understood what was taking place in terms of the chemistry,” he said, adding that he hired a company to make products to his specifications, with ingredients that were better than what he could purchase and resell.

This concern for other people and their lives, which extends to their pets, was learned at his mother’s knee and highlighted by an incident that took place during his childhood.

Christmas was approaching, and although Hebert and his siblings were excited about the holiday, any hopes of finding toys beneath the tree were dashed when their mother told them money was tight and she could not afford to buy them much.

But when the doorbell rang a few moments later and a woman asked her to donate a dollar for flowers for a sick neighbor, Billie Hebert hurried to her desk and painstakingly counted out pennies and nickels until she had enough to satisfy the request.

“When I asked her why she did it, she told me, ‘it’s more important to use the money to help others than to buy toys with it,’” Hebert recalled. “She ingrained the belief in me at a young age that it was important to do what you can to make the world a better place.”

Since that time, it has been a guiding principle in his life, and to that end, he had a bench in his backyard emblazoned with the words, “make the world a bit better or more beautiful because you have lived in it.”

“It sits by our pond,” Barbara said, “and the words are something he has always lived by.”

Getting Ahead

Hebert was a lonely child, as his mother worked two jobs to make ends meet, and his father was rarely home. He also had a stuttering problem and suffered from low self-esteem. “But I always had an innate ambition to work,” he said, adding that, by the time he was 9 or 10, he was mowing lawns, shoveling driveways, washing windows, devliering newspapers, selling Christmas cards from a catalogue door to door, and collecting old newspapers and bottles to exchange for cash.

Giving back to others is important to Ted and Barbara Hebert, as this bench at their home reminds them.

He was hired as a busboy at age 14, and during his high-school years, he worked every night from 11 p.m. to 7 a.m. as a dishwasher at New Bay Diner in Springfield. “I spent more time working than I did at school,” he said, noting that he took a second job during his senior year, working around the clock from Friday night to Sunday night at the Oaks Inn.

The course of his life changed when his mother purchased an above-ground pool for a Fourth of July party. The people who were supposed to install it didn’t show up, and when Hebert’s uncle volunteered to do the job, he decided to help.

They had to visit the pool store to get some missing parts, and he saw a young man cleaning a pool there and working in the display lot. “I thought it looked like a cool job,” Hebert said.

So he had his mother drive him to the store, where, much to his surprise, he was hired to fill a temporary slot, which led to a permanent position. The following summer, Hebert began installing above-ground pools with several different subcontractors, and after he got his driver’s license, he and his best friend decided to become their own subcontractors.

“I realized I could make more money that way, so we loaded shovels and rakes into my Corvette and went to work, digging by hand,” Hebert recalled.

His career soared after he began installing in-ground pools. “I fell into it,” he told BusinessWest, explaining a woman insisted he do the job for her even though he had no experience, so he tried and met with success. “By the time I was 21, I had five or six guys working for me and was subcontracting the heavy-duty equipment we needed.”

But prior to that, after graduating from high school, Hebert attended classes at Holyoke Community College. At first, his grades were poor, as he was working so many hours, but after three semesters he switched to Springfield Technical Community College, where his grade point average improved, then went on to Worcester State College, where he finally earned high grades.

Hebert wanted to become a doctor, but didn’t have the money for medical school. In 1975, after 14 rejection slips from schools he hoped to attend, he made the decision to start his own pool company from the carport of his parents’ home. It was the right thing to do, Hebert said, as his mother had suffered a mild aneurysm, and he wanted to stay home and care for her.

Although the original moniker he chose for his business was Custom Pools by Ted, his mother suggested he use his childhood nickname of ‘Teddy Bear’ given to him during a visit to his grandmother in Canada, which was a play on the French pronunciation of Ted Hebert.

“I thought the name Teddy Bear Pools was stupid,” he said, but conceded to her suggestion after he thought about it and realized everyone likes teddy bears.

By 1976, Teddy Bear Pools had grown enough to allow Hebert to rent a former car-wash bay on Memorial Drive in Chicopee and turn it into a storefront. When the property was foreclosed upon three years later, he purchased what he describes as “a beat-up car dealership in a completely dilapidated, 4,000-square-foot building on East Street in Chicopee.”

The property contained an old garage and was owned by the Partyka family. “I was blessed, as interest rates were 18%, but because they liked the idea of my business, they offered me financing at 10%,” he said.

In the early years, he did his bookkeeping himself, and the business grew steadily. Despite its success, however, Hebert suffered terribly years later when some of his employees betrayed him and mismanaged his business. The first event occurred in 1986 when an audit undercovered $1.2 million of money and goods not accounted for, and the second took place while he was on his honeymoon in 1987. When he returned, he found an additional $200,000 of money and goods missing.

“I had no business background and a great faith in people,” he told BusinessWest. “I was very naïve and learned the hard way. For many years I was consumed by hurt and pain, and my business completely controlled my life. But I finally realized that money and materials could be replaced. I have survived two mismanagements, paid off $1.45 million in debt, and never went bankrupt.”

He also refused to allow the pain of betrayal to destroy his belief in others. “The reason I survived and have done so well is because of the people who stood by my side. They were my rock.”

Innovative Measures

Today, Hebert’s retail operations are housed in an 18,000-square-foot complex of buildings in Chicopee, backed by a 38,000-square-foot warehouse in South Hadley which serves as the center for his service and installation operations. “We can service and repair up to 10 spas at a time,” he said, adding they are sent from as far away as the mid-Atlantic states, and he received a great deal of work after Hurricane Katrina.

The company also installs several hundred new pool liners each year, opens 1,300 pools each spring, and closes about 1,600 pools in the fall, which equates to roughly 40 a day.

“The business we do is not normal. We are very, very unusual,” Hebert said, adding that the store has five laboratories where pool and spa water can be analyzed and tested at no charge to the customer.

The Teddy Bear name is well-known in the community, and in the last few years, Hebert has done little in the way of formal advertising. Instead, the Teddy Bear Pools name is emblazoned on the uniform shirts he provides for sports teams. Meanwhile, he has sponsored many racecar teams and owns a Volkswagen ‘Bear Bug,’ emblazoned with his company’s mascot, and a Smart Car known as ‘Smart Bear’; both are a hit at parades and other events. In addition, he was the first local business owner to have a hot-air balloon with his company name on it.

These measures, along with his charitable work, have morphed into an indirect advertising and branding campaign. “I love helping kids and adults in any way that I can,” he told BusinessWest, noting that his work on the boards of nonprofit organizations, such as the Rotary Club, where he was named a Paul Harris Fellow for his generous contributions to society, helped spread the word about his business.

“My wife has also been very instrumental and has done a lot for local charities. She left her job after we married to help me, and we do everything together,” he said.

The business also expanded due to Hebert’s commitment to his customers, which led him to implement innovative ideas. For example, when he realized people often forgot the initial instructions they were given about how to maintain a new pool, he hired a production company and made a video that explained everything pool owners needed to know, from how to change, operate, and clean filters to how to vacuum a pool, winterize it in the fall, then reopen it again in the spring. It can be viewed at no charge on the Teddy Bear website at www.teddybearpools.com.

Then, in 2009, when pool manufacturers Esther Williams and Johnny Weissmuller went out of business, Hebert launched a company to make replacement parts for those brands to make sure his customers had everything they needed if a problem occurred. Teddy Bear is also one of the only companies in the Northeast that repairs automatic electric pool vacuums. “People sold them, but no one wanted to fix them,” he said, adding that he regards his customers as family, and didn’t want them to encounter insurmountable obstacles with the products they purchased.

As a result of these measures, the company soon achieved national and international recognition. Teddy Bear Pools carries Hot Springs spas and is rated 22nd out of 700 dealers in the world who sell its products. “We have had people come here from the factory in California to see how we operate,” Hebert said, “and we were one of the first companies inducted into the Aqua Hall of Fame.”

Above and Beyond

Hebert’s success led him to become a motivational speaker at national conferences in his industry, and he created eight three-hour seminars on topics that range from branding to team building to “How to Survive the Economy, the Weather, and Your Employees.”

However, he says he values the people who work for him and prides himself on the benefits he offers his 85 employees — a number that expands during the summer season.

“I consider them part of my family and believe I have been successful because I care about people, quality, and value,” he said. “We are fair in price, and I take advantage of every opportunity I have to help the community. But you are only as good as your employees, and the people who work for me are my greatest asset.”

Although no one can predict the future, Hebert says he will never retire. “I keep getting new ideas. I don’t know where they come from, but the work I do is fun and gives me a reason to get up in the morning. Every season is a new adventure, and I have been blessed to have the foresight to look ahead and see where the business is going,” he said. “But I never want to forget where I came from, and for the past 15 years, I have called customers personally to thank them for their business.”

Thus, Hebert’s reputation and business continue to grow, while he and Barbara remain committed to using their time and talent to do what matters most to them — which is, “to make the world a better place to live in,” he said.

And to swim in, of course.

Scaling Up

By BusinessWest Staff September 9, 2014

Cover Story

New Director Wants to Take the Women’s Fund

Elizabeth Barajas-Román says there are a number of reasons why she actively pursued the position of CEO for the Women’s Fund of Western Massachusetts (WFWM).

For starters, there was the opportunity to work in an attractive, challenging position much closer to her home in Northampton — she had been “commuting” to the nation’s capital for her work with the Pew Charitable Trusts as a campaign manager. There was also the chance to continue what had become a career in what she calls “high-impact philanthropy” (much more on her working definition of that term later).

But, perhaps most importantly, there was an opportunity to lead an organization that has more than come into its own over the past several years and is now at a truly critical juncture in its history.

It’s one that Barajas-Román summed up with a term generally reserved for startup businesses looking to get to the next stage — ‘scaling up’ — and she used it to describe not only the fund’s grant-writing work, but its strategic initiatives such as LIPPI, the Leadership Institute for Political and Public Impact.

“At the Pew Charitable Trusts, I was working on projects that are really focused in on a two- to three-year timespan, and working with partners to pick issues that were really going to move the needle over that time,” said Barajas-Román, who brings to her new position an intriguing résumé that includes everything from work in philanthropy to a stint as a reporter for the Daily Hampshire Gazette. “When I looked at this opening and what the Women’s Fund was doing and the way it’s doing its grant making, I saw a number of similarities to the work I was doing, and that was very attractive to me.

“A lot of grant making is done through funding one organization or another organization, in a piecemeal fashion, like drops in a bucket,” she went on. “But instead, the Women’s Fund has been interested in saying, in essence, ‘if we dump a whole bucket of water on a problem, how much more can we do?’ And that’s what they’ve shifted into over the past few years.”

As an example, she cited the WFWM’s recent announcement that it will be donating $240,000 over the next three years to intriguing initiatives in the four counties of Western Mass. These efforts will focus on everything from teen pregnancy to foster care; from Hampden County’s Prison Birth Project to something called the Franklin County Women’s GARDEN Project Collaborative.

That’s an acronym for Growing Agricultural Resiliency and Developing Economic Networks, said Barajas-Román, adding that the initiative, designed to break down the isolation that affects low-income women in rural communities by teaching them how to grow their own food and also sell what they produce through a food co-op business, is simply one example of how the mission of the WFWM is evolving.

“It provides a real solution to a problem, in this case a woman transitioning out of domestic violence,” she explained. “She needs skills, meaning leadership skills, access to education, and confidence. I’m really thrilled about it, and it exemplifies what we want to do with our resources.”

As she talked about the WFWM (which was named a Difference Maker by BusinessWest in 2012), its current initiatives, and prospects for the future, Barajas-Román made early and frequent use of the words ‘partnership’ and ‘collaboration.’ She said they are the keys to carrying out the agency’s mission to advance social-change philanthropy to create economic and social equality for women and girls in the region — and to improve overall quality of life.

“We’re really looking for people to come together and make an impact together,” she noted, adding that the four recently funded projects, and especially the GARDEN initiative, which includes four community partners, including Greenfield Community College, is a good example of this philosophy.

For this issue, BusinessWest talked at length with Barajas-Román about her latest career challenge, where she wants the Women’s Fund to go, and how she intends to get there.

Background — Check

As she takes on her new responsibilities with the WFWM, Barajas-Román has an array of intriguing career stops from which to draw both experience and perspective.

A native of Lincoln, Neb., she moved to Massachusetts — specifically, Harvard University — for her master’s degree in education. She concentrated on international development policy, and her coursework at the Kennedy School of Government included negotiation, regulatory analysis, and financial and strategic management.

Upon graduation, she took a job as a city planner in Cambridge and, among other initiatives, created girls’ programs that focused on academic, leadership, and social development. She also established partnerships with agencies working with children and youth, and served as a resource for other youth-oriented programs in the Greater Boston area.

From there, she became director of Policy & Operations for the Justice Research Institute in Boston, where, among things, she helped orchestrate a six-figure deficit turnaround, helped acquire several new grants, and prepared grant and performance reports for federal, state, and private agencies.

Desiring to be with her spouse in Western Mass., Barajas-Román’s career took a decidedly different direction in early 2005, when she joined the newsroom at the Daily Hampshire Gazette, covering politics, health, and education. She then shifted gears again, becoming associate director of Hampshire College’s Population and Development Program in 2008. In that capacity, she developed outreach strategies for national and international population-policy projects and co-edited policy publications, including a monthly academic paper series called DifferenTakes.

She then took a job as director of Policy for the National Latina Institute for Reproductive Health in Washington in 2009. There, among a host of other duties, she developed and advanced successful national policy positions on a range of issues involving women, infants and children, immigration, health, and human and civil rights.

At the Pew Charitable Trusts, which she joined in 2012, she managed a portfolio of partner contracts totaling more than $450,000. Her work included writing grant agreements, acknowledgements, and partner work plans.

Summing up all that work experience, Barajas-Román said her previous stops have provided her with a firm understanding of the importance of creating and strengthening partnerships to create positive change in the community, however that term is defined.

She said the role of CEO at the WFWM, which “spoke to me on a number of levels,” will give her an opportunity to generate such partnerships to move that needle on a host of issues involving women and girls.

Though not directly involved with the WFWM while living and working in this region, Barajas-Román said she was well aware of the agency, its mission, and specific initiatives through her circle of friends, and has attended several of its events over the years.

“It was always on my radar,” she noted, adding that, when the CEO’s position became available, she investigated it more and determined it was something she want to be part of.

Impact Statement

As she talked about the Women’s Fund and its mission moving forward, Barajas-Román said the agency is taking its work to the proverbial next level, and has been doing so for some time now.

Elaborating, she said the focus at the WFWM, now 17 years old and with more than $2 million in grants to its credit, is no longer on specific needs — although that’s still part of the equation — but much more on “what it wants the community to look like,” and then taking necessary, and rather involved, steps to make that vision become reality.

And this brings her back to that notion of ‘scaling up’ and the various forms this process will take.

Director Elizabeth Barajas-Román

She started with LIPPI. Launched five years ago, it has now equipped more than 200 women from across the four western counties to become civic leaders in their communities; to impact policy on the local, state, and national levels; and to seek and retain elected positions, said Barajas-Román, adding that the agency’s goal is to increase both the number of participants and their collective reach and impact.

“We have 200 women who have gone through this program,” she said. “That’s a significant pipeline of women who are poised and trained and ready to mobilize on these issues, and we’re ready to activate them.

“That’s one example of the scaling up that we’re doing,” she went on. “We have a cadre of really strong women leaders that we’ve helped train, and we want to grow those numbers.”

And as a step in that direction, the WFWM is investing an additional $12,000 into the partnerships involved with the latest round of funding, by giving each grantee the opportunity to select two of their staff, constituents, or board members to be participants of LIPPI.

As for its grant-writing efforts, Barajas-Román said the WFWM is now more focused on that aforementioned high-impact philanthropy — the full bucket rather than drops in one — and added that the latest round of funding provides some good examples of this.

“The Women’s Fund is looking at these grants and these different issues, and saying, ‘what are the bold goals we can set for the next three years that will make things different for these people and really make an impact?” she said. “The Women’s Fund is now extremely results-driven, and is well-positioned to deliver those results.”

The GARDEN project is such an initiative, she said, noting that this is a partnership between Greenfield Community College’s Sustainable Agriculture and Green Center for Women in Transition, Seeds for Solidarity, the New England Learning Center for Women in Transition (NELCWIT), and Montague Catholic Social Ministries.

Each organization will recommend women who show potential for success through the project, she said, adding that more than 40 women will participate over the next three years. They will each have the opportunity to take courses at GCC in organic gardening, permaculture landscape installation, food preservation, and farm and food cooperatives.

The Women’s Fund grant will pay for instructor costs, allowing participants to take the course free of charge, and GCC will arrange for instructors to attend a one-time training with NELCWIT and Montague Catholic Social Ministries on how to understand trauma triggers, how to recognize signs of physical and emotional domestic violence, and other factors affecting women in transition.

“This program tackles all the different comprehensive pieces that are involved with helping a woman who is transitioning from a domestic-violence situation,” she explained. “It will give her all the tools she needs to be successful. And it’s a perfect example of the high-impact philanthropy that is our focus.”

On a Grand Scale

One of Barajas-Román’s many priorities moving forward is creation of a new strategic plan for the agency. There is no set timetable for the project — although she did say only that the “time is now” — but what she does know is that the plan will involve all the various types of partners the fund has.

“This isn’t something we’re going to do in any kind of silo,” she explained. “We’re getting a lot of feedback from the community about what they’d like to see from their Women’s Fund over the next three years or five years.

“This idea of community ownership is emerging,” she went on. “This is the community’s fund; that’s the message we’re getting out.”

And it’s a fund set on making an ever-deeper impact, not only on women and girls, but on society in general.

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

What’s in a Name?

By BusinessWest Staff August 26, 2014

Cover Story

Schools See Value in Swapping ‘School’ for ‘University’

Bay Path President Carol Leary

Carol Leary was asked about her institution’s decision to call itself a university, rather than a college, and the reasons behind that move. But before going there, she took a few minutes — actually, more than a few — to chronicle and explain the many times over the past 117 years that the name over the school’s front door has changed.

It began as Bay Path Institute, when it was located in downtown Springfield and focused on training men and women for roles in business and accounting, she noted, adding that it became Bay Path Secretarial School in 1945 after it relocated to Longmeadow and focused on training women to become executive secretaries; most of the region’s prominent CEOs had a “Bay Path secretary,” said Leary. In the ’60s, the institution became Bay Path Junior College as it expanded into other areas of study with a liberal-arts base, and then Bay Path College in 1988, when it became a four-year institution.

Those changes were not about semantics, said Leary, the school’s president since 1995, but, rather, reflections about what the school had evolved into.

And that is the case with this latest change in the signage as well.

“A quarter-century later, we’re in a whole different way of educating,” she explained. “We educate on the ground, we educate online, we are educating 12 months of the year, and we’re educating 24/7. That word ‘university’ reflects the complexity of what we have evolved into, what we have become.”

Indeed, the school not only meets the state’s revised requirements for what constitutes a university — graduate programs in four or more distinct fields of study (more on this later) — but, more importantly, it has the look and feel of a university, not merely the accepted definition of one, said Leary.

It has five campuses — the main location in Longmeadow, as well as sites in Springfield, East Longmeadow, Burlington, and Sturbridge-Charlton — and several colleges within the institution itself, including the American Women’s College, featuring online undergraduate degrees, the One-Day-a-Week College, and 19 graduate programs. And it has ambitious plans to soon establish its first doctorate program.

“We are a university,” said Leary. “This represents who we are and how we have evolved and grown; I can’t verify it with numbers, but I believe Bay Path is the fastest-growing women’s college in the country, and the change to ‘university’ reflects all of that.”

It also reflects what could be considered a minor yet intriguing trend in higher education over the past several years. A number of schools across the country and several in the Bay State, including Bentley, Leslie, Western New England College, Massachusetts College of Pharmacy and Health Sciences, and six of the nine state schools, have made a similar change. Others, like Springfield College, have thought about it and decided not to do so, mostly because it considers that word ‘college’ part of its brand and culture. Meanwhile, other schools are still thinking about it.

There are several reasons why schools might make such an adjustment, with perception being at or near the top of the list. In many foreign countries, for example, the word ‘college’ denotes an institution similar to or just above a high school, said Richard Wagner, who researched the matter for Western New England, which he serves as director of Institutional Research & Planning, as part of a strategic planning initiative undertaken in 2008.

He noted that, since WNEC became WNEU in 2011, the number of international students on campus has risen considerably, from 33 in the fall of 2011, the first semester as a university, to 81 just two years later, with more expected next month. There are several factors that may have contributed to this increase, he said, but he has little doubt that the name change has been one of them.

Meanwhile, the word ‘university’ may also help with recruiting in this country, he went on, adding that, with some schools, having ‘college’ in the name can be a competitive disadvantage.

“The word ‘university’ is meant to convey a certain breadth and depth of programs,” he explained. “Legally speaking, it has different meanings in different places; for us, it was a question largely of the fact that we were already structured to be how a university would expect to be structured, and ‘university’ was a better moniker for us and more representative of what we are. The administration here would be firmly convinced that this was a positive move for us to make.”

For this issue and its focus on education, BusinessWest takes an in-depth look at why there are now several universities in Western Mass., and why the change in terminology represents more than a new name and logo on T-shirts for those who have taken this step.

New-school Thinking

Tracing the steps that took Bay Path from a college to a university, Leary said that, while the matter had been discussed rather informally for several years, things started heating up in late 2011 when a graduate of the original Bay Path Institute, then-92-year-old trustee Bernard Mussman, spoke up at one of the panel’s sessions not long before he passed away.

“He raised his hand near the end of the meeting and said, ‘I’ve been on this board for 12 years; we’re now very complex, and we should become a university,’” she recalled. “And everyone sort of just stopped. No one immediately responded to Bernie, but here was a 92-year-old Bay Path Institute alum suggesting that we were a university and no longer a college.”

Nothing really happened with Mussman’s suggestion until roughly a year later, she went on, noting that, as part of something called Planning Vision 2016, the latest in a series of three-year strategic plans undertaken by the school, one of five cross-functional teams comprised of faculty and staff came forward with the recommendation that the school consider becoming a university.

Such a transition was made possible a few years earlier, and not long after the state Legislature voted to change the names of six state colleges, including Westfield State, to universities in a move that reflected what was becoming a nationwide trend. (Three of the schools, Massachusetts College of Liberal Arts in North Adams, Massachusetts Maritime Academy in Buzzards Bay, and Massachusetts College of Art and Design in Boston, chose to maintain the status quo.)

In making the change, the state also lowered the bar when it came to the prerequisites for university status. The old standard was two distinct doctoral programs, while the new measure was four distinct graduate programs, a threshold the state schools easily met.

Fearing that this change might give the state’s many private schools a competitive disadvantage, some of them lobbied — through the Assoc.of Independent Colleges and Universities in Massachusetts (AICUM), which represents 60 private schools in the Commonwealth — for essentially the same privilege.

“Our argument with the Board of Higher Education was that, from a consumer-clarity perspective, the state shouldn’t have a public institution just renamed a ‘university’ by the Legislature, and have a private college that may in fact have many more master’s-degree or graduate-degree offerings be hamstrung by the previous regulations, and they agreed with that,” AICUM President Richard Doherty told BusinessWest. “The argument we made was that, whatever policy the state decided on, it should apply equally to public and private schools.”

Doherty noted, as Wagner did, that there is little, if any, technical difference, definition-wise, between a college and a university, and that many institutions with ‘college’ in their names are, in fact, universities. But he noted that the latter word could easily be perceived as a school with a larger breadth and depth of programs.

Defining Moments

In the wake of the recommendation to at least study the feasibility of becoming a university — one of many action steps in that strategic plan, eventually named “Evolution to Revolution” — Bay Path began an extensive period of research, said Leary, noting that school leaders looked at a number of institutions, especially women’s colleges, that had made the change from ‘college’ to ‘university.’ That list included Chatham University in Pittsburgh and Trinity Washington University in the nation’s capital.

“We looked at why they became a university,” she noted, “and at what they had to do to become a university, because each state is different.”

That research revealed that the change hasn’t negatively impacted the schools, and has probably yielded some benefits, said Leary.

“They said it was very positive,” she noted, “and that it gave them more to talk about internationally because of the word ‘university.’”

Meanwhile, Bay Path officials also listened to their own students, one of whom suggested at an open forum that ‘university’ would carry more weight with potential employers looking at the lines on a résumé.
“I had never thought of that,” Leary went on. “She was defining ‘university’ by the worth of the name, which was interesting, because we were looking at it mostly from the standpoint that we were already operating as a university, and a change would only verify that.”

Despite those positive sentiments, Bay Path alumni and some of those working at the school had some concerns that needed to be addressed, said Leary.

“They didn’t want to lose the personal touch, and we said that would always be a hallmark of Bay Path,” she explained. “They were worried that on the main campus, class sizes would get bigger for traditional students; we said, ‘that can’t happen because we don’t have large classrooms — the largest one seats 60.’ They were worried that we were going to charge so much more, and we told them tuition would remain the same.

“And they were really worried that we were going to go co-ed,” she went on. “But we assured them that we would stay all women.”

The matter eventually went to the board of trustees, which voted to seek approval for the transition to university status from the Mass. Department of Higher Education. The change became official, and Bay Path became the first women’s university in the Commonwealth, on July 1.

When asked how, in five years, the school might be able to quantify the results of the transition, Leary noted that this was a good, if difficult-to-answer, question, adding that it will likely be easier to qualify the benefits.

“I think that, if we have more students from around the country and around the world, we’ll certainly be able to quantify that,” she said. “But will those students be coming just because we’re a university? That might be hard to determine.

“The bottom line is that ‘university’ makes it clearer to us and our prospective students who we are — it just makes more sense,” she went on. “And we’re very proud of who we are.”

Marsha Marotta, interim vice president of Academic Affairs at Westfield State University, echoed those sentiments. She said the term ‘university’ more accurately portrays what the school has become, and it has also helped improve perceptions of the institution, both externally and internally.

“The tangible impacts of the name change were obvious; it reflected our reality in terms of what we already were doing,” she said, listing everything from comprehensive undergraduate programs to graduate and online programs; from high expectations for faculty to research agendas supported by federal and other grants, such as a National Science Foundation grant for innovative approaches to teaching math as part of the liberal arts. “The name ‘university’ also more accurately reflects who we are in a global context, since the international understanding of college equates with a high-school level of education.

“The name change is also about aspirations and identity,” she went on. “The name ‘university’ makes us more mindful of what we do and more accurately captures the way we are — which in turn changes how we think about ourselves. This was an unexpected consequence, and allows us to think more expansively about the institution. Saying it out loud changes how we think about the institution, which becomes a catalyst for new things.”

Name of the Game

Richard Wagner says the word ‘college’ can become a competitive disadvantage.

Three years after Western New England transitioned to university status, Wagner believes the change has benefited the school, as it has others that may not have the international reputations that have enabled some colleges to go on with that word in their name.

“For us, I think ‘college’ was primarily a disadvantage because it didn’t really convey what the campus represented,” he said. “‘University’ allows us to better represent who we are an as an institution.
“For some schools that have very well-known reputations, like Dartmouth or Boston College, it’s not much of an issue,” he went on. “But for schools that don’t have international name recognition, ‘college’ can be disadvantageous.”

Overall, he considers the change one of many factors that has enabled Western New England to ride out what has been a challenging post-recession period.

“The university status, in association with some of the other things we’ve done over the past few years, such as starting the School of Pharmacy, have allowed us to weather the prolonged recession in a relatively good way,” he explained. “Although we’ve been stressed, like a lot of other tuition-driven institutions, we’ve been able to continue building, adding programs, and so on. I think of it as being one element in our ability to get through some rather difficult times.”

Perhaps the most visible impact has come in the number of foreign students now enrolled at the school. There were only nine international students at WNEC in 2009, he noted, adding that the nearly ten-fold increase still represents a very small portion of the overall student body of roughly 3,800. Still, the surge is significant, and for many reasons.

The first is the cultural diversity gained through having students from around the globe, he told BusinessWest, adding that another is a greater ability to withstand domestic economic downturns, and a third is the fact that foreign students are much more likely to pay full tuition rather than relying on financial aid.

“One of the things about internationalization is that, when things might not necessarily be good economically in the United States, they may be better overseas, and vice versa,” he noted.

Over the past few years, Wagner said, there’s been what he called a “follow-the-leader mentality” when it comes to changing ‘college’ to ‘university,’ with more schools making the change perhaps out of a feeling of necessity.

“I think there’s a certain amount of pressure on some institutions to do it,” he explained, “because it’s been done in so many other places.” But some schools, including Springfield College, apparently aren’t feeling that pressure.

“The leadership at Springfield College has, in the past, considered a name change to a university,” said Steve Roulier, a spokesperson for the school. “But given the reputation of our mission and current academic strengths, we have decided to remain Springfield College. The college consistently ranks in the top tier of the U.S. News “Best Colleges” list as a leader in providing a broad and balanced educational experience. We are proud to be known as Springfield College.”

Sign of the Times

Bay Path has a rather intriguing tradition for the start of the new school year, and its students have to get up pretty early in the morning to take part.

It’s called the Awakening, and it gets underway at 5:30 a.m. Participants light candles and celebrate the school’s history and tradition. They walk together down Longmeadow Street to the school’s circle, where there are a few speeches, followed by breakfast. This year, there will be an additional twist — unveiling new signage that features that word ‘university.’

One could say it’s the start of a new era, said Leary, adding that there is a great deal of excitement accompanying the name change. But in reality, that new era started some time ago.

The word ‘university,’ as she said, only puts an exclamation point on it.

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

Center of Attention

By BusinessWest Staff August 12, 2014

Cover Story

UMass Facility in Springfield Set to Open Its Doors

Director of Operations William Dávila

William Dávila wasn’t looking to leave Springfield’s Gandara Center. In fact, he was quite happy in his role as director of Outpatient Services for the facility, which provides mental-health, substance-abuse, and preventive services for children, adults, and families across Western Mass.

But when he was informed that UMass Amherst was looking for someone to manage the center it was building within Tower Square in downtown Springfield, he saw an opportunity he couldn’t resist.

“I’m a UMass graduate and a Springfield kid,” he said with a voice that expressed pride in both those pieces of information. “When this came to my attention, I couldn’t pass it up. I’m a big fan of UMass, and the idea of bringing the quality education that UMass offers to Springfield, where I know it’s needed and where I know folks in my community are looking for opportunities, really intrigued me.”

Dávila, a member of BusinessWest’s 40 Under Forty class of 2013, eventually prevailed in an extensive search for the center’s director of Operations, and is now in a highly visible position with a clearly stated but multi-faceted job description — to make the broad vision for the UMass Center at Springfield become reality.

And that vision goes well beyond the actual 26,000-square-foot facility, which makes extensive use of glass and prompted Dávila to wear out the phrase ‘state of the art’ as he described it. Indeed, there are expectations that the center will be a catalyst for change and help bring a renewed sense of vibrancy downtown. In short, this is being viewed as an economic-development initiative as much as it is an educational facility.

And it will likely be both, said Dávila, adding quickly that, for now, the task at hand is to get the doors opened as scheduled on Sept. 2. All appears to be on track, he said while offering a tour of the facility — something he’s done quite often over the past several weeks — adding that UMass has moved quickly and purposefully in building the center, which will open less than 10 months after it was announced at an elaborate press conference at Tower Square.

More than 30 traditional and online courses will be offered through the center this fall, with titles ranging from “Gambling, the Hidden Addiction,” part of the curriculum for the Addiction Counselor Education program at UMass Boston, to “Introduction to Urban Education,” one of the offerings for Education students at UMass Amherst, to “Advanced Pathophysiology,” part of the Nursing program at UMass Amherst.

Dávila expects between 200 and 300 students, faculty, and staff to take part in programs at the center. In time, he believes, those numbers will escalate as people come to understand all that the facility has to offer and realize what an attractive learning environment has been created.

“This space is just very conducive to a good academic experience,” he explained. “We think that if people give us a chance, if they look at what we’re offering, they’ll be interested in being a part of it.”

For this issue, BusinessWest goes behind the scenes at the emerging UMass Center at Springfield to gain some perspective on the operation as well as the hopes and expectations of the individual chosen to manage it.

Course of Action

When asked when he started in his new position, Dávila had to think for a few minutes, and eventually had to summon his phone to pinpoint the date.

“It’s been a really hectic start,” he said with a laugh while discovering that his first day was July 7. “There’s been a lot happening here.”

By that, he meant everything from the work to build out the space, some of which looks out on Main Street, to meetings with a host of constituencies, including UMass Amherst Chancellor Kumble Subbaswamy, Springfield officials, and members of the business community, to giving those aforementioned tours, which are more detailed now than they were a few weeks ago because there is much more to see.

An architect’s rendering of the main entrance to the UMass Center at Springfield.

Several large classrooms, which can accommodate more than 30 students, are taking shape, as are two patient-simulation areas that will be used for nursing courses and other healthcare offerings and are expected to be among the main draws at the center. Meanwhile, two large student lounges, each making extensive use of natural light through huge windows, are receiving their final touches, as is the welcome center.

“It’s fascinating to see it all come together,” said Dávila, who brings a diverse background to his latest assignment, with a résumé that features work in higher education, social services, and nonprofits.

One of his first professional stops was with Project Hope of Merrimack Valley Catholic Charities, which he served as program director. That was followed by two assignments in higher education — first as assistant director of Graduate Admissions at Lesley University in Boston and then as coordinator of Personal & Academic Support Programs at Boston University.

He then switched gears and became Metro Boston regional manager for the Devereux Foundation, a national behavioral healthcare provider. That was followed by a stint as West Roxbury program manager for the MENTOR Network and then a five-year stop as deputy director of the Children’s Study Home in Springfield, before coming to the Gandara Center in 2011.

Dávila will put experiences at those various stops to good use while meeting what he said is an intriguing job description for the UMass Center’s director of operations.

“It’s kind of interesting — the job description is a combination of a community-relations person, an operations person, and some admissions as well,” he explained. “It’s a combination of all those things. I’ll be functioning as a recruiter, but I’ll definitely be looking for opportunities to connect prospective students with some of our different departments and making sure that I’m creating some opportunities for us to reach out to students.

“This is like coming back home for me,” he continued, referencing his work in higher education. “And one of the reasons why I thought it was a good match for me personally is because what they were looking for was not just someone to come in and say, ‘we’re opening our doors, and we’re offering these courses,’ because that’s a two-dimensional approach. What got me excited about this is that we’re trying to make sure that we demonstrate that we’re committed to the region.”

In the short term, as he said, the primary assignment is to coordinate a smooth launch for the center, which will be a closely watched initiative given the lofty expectations and the considerable hype that accompanied the university’s long-discussed plans to heighten its presence in Springfield exponentially.

Long-term, though, he said he will be tasked with gauging and then meeting community needs.

“We’ll need to make sure that we understand what the community is looking for in terms of educational programs,” he explained, “and that we are, to the greatest extent possible, offering those here locally.”

Class Action

A new sign on the east side of Tower Square announces the arrival of UMass.

The lineup of graduate and undergraduate courses for this fall was assembled in response to stated community needs, Dávila went on, adding that the offerings cover a number of degree programs, from nursing and addiction treatment to education and business. There are also a few classes offered through the school’s University Without Walls program for non-traditional students, many of whom are already in the workforce, as well as some non-credit training programs.

There will be a number of offerings in education, including “The Work of the Middle and High School Teacher” and “Adolescent Growth and Development,” he noted, as well as several classes offered through the Isenberg School of Management’s MBA program, including “Financial and Managerial Accounting” and “Leadership and Organizational Behavior.”

The biggest block of classes, however, is in nursing. Overall, there will be eight offerings, including “Pathophysiology” and “Advanced Pathophysiology,” “Community Focus in Nursing,” and “Cultural Diversity in Health and Illness,” he said, adding that the state-of-the-art simulation areas make the Springfield center a unique learning facility.

And its location should be an asset, not a hindrance, he went on, noting that, while downtown Springfield presents some challenges, the center offers 24/7 security, plenty of attached parking, the latest educational technology, a unique space, and scheduling that is conducive to working professionals as well as traditional students.

Making prospective students aware of all this is one of the more critical aspects of that aforementioned job description, said Dávila, adding that he and others are getting the word out through traditional advertising, social media, and networking. These efforts have yielded enrollment figures that are solid and consistent with unofficial goals.

But numbers, while important, are not the primary objective at this early stage, he went on, noting that more critical is the work to lay a solid foundation and then build on it through efforts to collaborate with other schools and the community at large to ensure that the center becomes what it was a designed to be — a multi-faceted resource.

He acknowledged that there are those at Greater Springfield-based colleges and universities who might consider the UMass center to be competition for them, but added that, thus far, other schools are indicating a desire to partner with the facility, not reject or fear it.

“I’ve been approached by other institutions about working together,” he told BusinessWest. “I’m sure there are some folks who are looking at us as competition, but others see that there are opportunities here; we can do degree programs, we can do transfer programs … there are opportunities here to do different things, and I know the faculty that’s already associated with us has expressed interest in that.

“I’m very excited about what’s happening here,” he went on. “We’ve got a great team coming together; we’ve got a lot of opportunities coming ahead. I think something like this gets people’s creativity going. People are thinking about doing new things, and they’re interested in doing some collaborations that maybe they haven’t thought about in the past. And we’re open to it.”

Grade Expectations

When asked how success would be measured at UMass Center Springfield, Dávila said the answer to that query will change over time.

“The first measure of success is going to be about satisfaction with the facility — that’s number one,” he said. “How do people feel coming in here? Do they feel they’re getting what they need? Are students satisfied with the facilities and resources?”

After that, success will be a function of connecting students to the courses, he went on, emphasizing that, while enrollment numbers are not critical at this stage, they will become paramount in the years to come as the center seeks to continually grow its operations.

But, overall, success will be measured by how well the center can connect with the community and become a vital resource, he said, noting that this first year will be an important one for not just establishing a presence, but making sure that presence is felt.

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

Dog Food for Thought

By BusinessWest Staff July 29, 2014

Cover Story

When It Comes to Business, Dave Ratner Has Some Pet Peeves

When Dave Ratner speaks to small-business owners — something he does often — he will inevitably touch on some of the highlights from his intriguing, 40-year career selling soda and pet food, during which he has made his first name and face into a nationally known brand.

And there are many such highlights, from his success in retail (he now has seven Dave’s Soda & Pet City stores in Western Mass. and Northern Conn.) to his triumphs in wholesaling, specifically the introduction and then rapid expansion of his lines of dog and cat food, to his highly regarded marketing initiatives.

But Ratner says he spends much more of his time at the podium talking about what hasn’t gone right with his various business endeavors. Like the store he opened on Allen and Cooley streets in Springfield, which closed roughly a year after it opened in 1995 because of what he called “miscalculations” and bad timing. Then there was an ill-fated e-commerce venture, a four-year experiment that failed because, in essence, he entered a game without fully understanding how it’s played.

“This was the first all-natural pet-food e-commerce site in the country,” he explained, referring to an acquisition he made in 2010. “I said to myself, ‘how hard can this be?’ Well, the e-commerce business is much different than the retail business, and I’m not an expert in e-commerce. I didn’t have anyone on my team who knew the e-commerce business, and we got killed.”

It is by relating these failures and others and the reasons behind them that Ratner believes he can most effectively get across his points about how to succeed in business, something he’s becoming noted for as much as his stores, products, and TV spots.

Indeed, he speaks to various trade groups — he recently addressed the Billiard Hall Owners Assoc., for example — and business organizations on a fairly regular basis. The audience and subject matter varies, but he’s often addressing retailers, and a common theme is advising little guys on how to beat the big guys.

Meanwhile, some of his more recent blog posts — such as “Good Boss or Good Leader? Business Owners Should Learn the Difference Between the Two and How to Be Both,” “Your Attitude Goes a Long Way in Business: Changing Your Mindset Can Mean a Positive Impact for Your Store,” “Not So Fast: Before Pulling a Product off the Shelf, Think About the Total Picture,” and “The Learning Never Stops: Going to Trade Shows and Conventions Can Help Retailers Move Their Business Forward” — are clearly aimed at that constituency.

Overall, Ratner told BusinessWest that there are many mistakes that entrepreneurs will make — everything from not having enough money when they launch a venture to letting their ego get in the way of smart decisions, to not having what he called a “damage-control policy” in place.

“People go into business with their hearts, not their heads,” he noted. “The reason that big companies have boards of directors is so they can question what management is doing and be a devil’s advocate. So if a successful company needs one, and you’re an entrepreneur, you certainly need one.”

Elaborating, he said business owners and managers generally tend to forget about “Mr. Murphy,” the individual whose name is attached to a law — the one about how everything that can go wrong will. And this will invariably lead to trouble, especially when it comes to money and cash flow.

“I don’t care what you’re doing — if you don’t have enough money, don’t do it, and whatever money you think you need, multiply it by at least two,” he explained, “because the minute you start your business, Mr. Murphy is going to move in next door to you.”

For this issue and its focus on entrepreneurship, BusinessWest talked at length with Ratner about his career in business, but also about how he’s devoting a good deal of his time and energy to advising others on how to use their head and not their heart and thus avoid making the critical mistakes that often mean the difference between success and failure.

Poignant Paws

Dave Ratner takes a moment to meet and photograph a regular and her dogs, one of the many ways he tries to make an emotional connection to customers.

It’s probably safe to say that few people living and doing business in this region don’t know Ratner’s story.

It’s pretty much common knowledge that he flunked out of Babson College between his sophomore and junior years, only to later return and get his degree, and, not long after graduating, borrowed $5,000 from his father to open a Soda City store on Route 9 in Hadley. That’s the name his father, Harold, gave to a venture he started in 1972 after his career as a distributor for Clicquot Club soda came to an abrupt end when the company decided to sell direct to retailers. Ratner made it clear that, while his father provided some seed money, this was a separate enterprise he could call his own.

“He said to me, ‘if you want to do this, I’ll loan you $5,000, and you can go and find a location and open up your business,’” Ratner recalled. “He said, ‘yours is yours, mine is mine; I’m here for guidance, but this way, you’ll learn how to run a business really quickly.’ And he was definitely right about that.”

It’s also well-known that, roughly a year or so after starting that venture, he bought a puppy, an acquisition that took him to the pet-food aisle at the supermarket, where he learned there was much more to sell there than in the carbonated-beverages aisle, a realization that started him down the road to selling two totally different product categories out of the same building.

The past 37 years or so have been spent expanding the enterprise in several directions, making Dave’s a household name — in this market, but also others — and, for the most part, anyway, practicing what he preaches when it comes to running a successful business and beating those aforementioned big guys.

“And unless you’re Wal-Mart, you’re the little guy,” he said with a laugh, adding that the most important thing for any business owner who falls in that latter category is to “connect with the customer emotionally.”

“When I talk with entrepreneurs and business people, I explain to them that we’re not here to have a transactional relationship with customers, but an emotional relationship with them so we can try to bond with them,” he explained. “Business is business — you have to offer what the customer wants or needs at the correct price, you have to be easy to do business with, and you have to build a relationship with them. And you have to build trust; people don’t want to hang out with or do business with someone they don’t trust.”

Ratner’s been doing all that throughout his career, with his stores, his marketing (it’s his voice you hear in the radio ads), and a weekly television show called simply Dave’s Pet Show, which has been running on Fox for more than two decades, as well as a hands-on attitude in his stores.

For example, on the day he spoke with BusinessWest at his flagship store in Agawam, Ratner could be seen helping customers unload their huge bags of dog food into their cars and taking photos of the canines that his regulars bring into the store with them when doing their shopping.

And he’s taken this emotional relationship to an even higher level with his lines of pet food, which he started introducing nearly 20 years ago and wholesaling five years ago. It’s the entrepreneurial gambit that appears to have the most potential — it’s generating close to the same amount of revenue as his retail operation, and he believes it will soon surpass it — and the one he’s easily most proud of.

His products are now being sold in 40 states and by more than 3,000 independent retailers, he said, adding that beyond those numbers is the great sense of satisfaction that comes with knowing what they mean.

“Dave’s Pet Food is just the coolest thing in the world,” he told BusinessWest. “People who have never met me and have no clue who I am trust me with the health of the creature they love more than anything in the world. How does it get any better than that?”

Talking the Talk

While perhaps not as satisfying as his pet food, Ratner’s seminars, lectures, blogs, and other vehicles for sharing knowledge and lessons with small-business owners remain a big part of who he is.

He told BusinessWest that he’s learned a great deal from his own experiences and also from mentors ranging from his father to Al White, founder of A.O. White, who hired him for a few summers when he was in high school, to Ken Abrams, president of the FoodMart chain of supermarkets that once operated in the region. And he enjoys sharing these lessons, as well as myriad others he’s learned through relationships forged from his membership in the Young Presidents Organization as well as his work with the National Retailers Federation.

There are many such lessons he said, starting with making sure you have enough money when you launch a business and understanding that Murphy’s Law will apply to your venture. Entrepreneurs must also create a reason for people to do business with them “unless they’re inventing something revolutionary,” he went on.

And they need to have that devil’s advocate there, not only to ask the hard questions, but to make sure that they’re answered sufficiently.

Ratner said he’s had to learn some of these lessons himself the hard way.

Indeed, he said he didn’t have enough money to keep the Allen and Cooley location open during a year when he said everything went wrong for retailers, and especially those selling pet food.

“That was the year of Nintendo, America Online, and snowstorms,” he noted, adding that the poor weather kept people from making non-essential trips, and they would get their pet supplies at the supermarket instead. “Everyone started going online, and the pet business declined; kids weren’t into fish and birds anymore.”

Dave’s new pet food label also features his German shepherd, Trudie.

Using hindsight, he said that, if he had more money at his disposal, he probably could have weathered the storms, literally and figuratively, and outlasted Mr. Murphy. He acknowledged that a devil’s advocate couldn’t have helped him when it came to meteorology or calculating the impact of Nintendo on hamster sales, but in general, they can help entrepreneurs anticipate and navigate various forms of whitewater.

And they can help them understand their limitations and avoid costly missteps, such as Ratner’s foray into e-commerce.

“On the Internet, it’s all about ‘who’s got the best price; who’s got the best deal?’” he explained, adding that distribution is also a huge factor and one that ultimately kept him from effectively competing with Amazon and other huge sites.

Knowing one’s limitations is an important quality for business owners, he stressed, as is the related ability to keep one’s ego in check.

“The smartest, best business people in the world are those who hire the best people, those who can do the things they can’t,” he explained. “I have the best controller in the world — he’s phenomenal; I flunked accounting.

“Another thing that gets entrepreneurs in trouble is ego — there’s no place for ego in business,” he went on. “People have to listen, watch, learn, and never believe they know everything, because they don’t.

“You have to be a sponge,” he continued. “You need to go look and see what your competitors are doing right and copy that, see what they’re doing wrong and make sure you don’t do that.”

But perhaps the most important trait a successful business must possess, he said, is the ability to take a vision and make it permeate a company. To get that point across, he relayed a conversation he had with Mindy Grossman, CEO of Home Shopping Network, that took place as HSN mulled adding Dave’s pet-food products to the list of items it sold.

“I asked her how she competed with QVC, because QVC is twice as big as she is, and she said, ‘QVC is very transactional, and we try to develop an emotional relationship with our customers,’” he explained, noting that, not coincidentally, she used the same language he has employed for decades.

“She said, ‘this was the vision that I brought to the company — that’s it’s all about the customer, storytelling, and developing a relationship with that customer,’” he went on. “CEOs say a lot of stuff, so the next morning, I asked everyone I met, the buyers and everyone else, what it was like working at Home Shopping Network, and they, to a T, repeated exactly what Mindy said. So if you run a business, you have to let everyone know that ‘this is my vision’ and everyone in that company has to buy into it, and if you have people who don’t buy in, you have to get rid of them.”

Tale End

When asked if had — or still has — any plans to perhaps take his chain of stores to a regional or even national stage, Ratner offered a hearty laugh and then some deep introspection.

“You know, I’m just a classic small-town businessman — there’s guys like me in every town,” he said. “I don’t have the brains to go and become a national company; I don’t have the skill set.

“The coolest thing in the world now, though, is that I get to hang out with people who are doing that,” he went on, referring to both YPO and the National Retail Federation. “I like to tell my friends that these guys see stuff that I don’t know exists.”

Perhaps, but there’s no debating that Ratner has scripted an intriguing entrepreneurial success story, and is still writing new chapters. In the meantime, he’s also making a name for himself helping others become successful small-town businessmen and women.

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

Into the Unknown

By BusinessWest Staff July 15, 2014

Cover Story

All Bets Are Off on the State’s Casino Referendum

Paul Robbins calls it “casino fatigue.”

He describes this condition as being burned out by the long, drawn-out, often controversial process of bringing casino gambling to the Bay State, to the point where this frustration will manifest itself at the polls in November when state residents will vote on a referendum that will decide the fate of the industry here.

“You may have voters who say, ‘you know what? This was an experiment, it came and went, it’s a mixed bag, there’s a lot of questions … let’s just vote ‘no,’” said Robbins, principal with the marketing and public relations firm Paul Robbins Associates, adding quickly that the amount of casino fatigue that exists now — and will exist come Nov. 4 — is one of a great many unknowns when it comes to what will be perhaps the most expensive and most closely watched referendum vote in the state’s history.

Some others? Here’s just a short list:

• Will the casino operators come together and form an effective coalition to fight the referendum question?
• How hard will Mohegan Sun — which has proposed a casino at Suffolk Downs in Revere, but is the short answer to the question ‘who benefits most if the anti-casino forces prevail?’ because of its operation in Connecticut — fight to win this referendum battle?
• How will area communities (like Longmeadow and Northampton) that are not necessarily happy with MGM’s plans for a casino in Springfield, or the way they’ve been treated by the company, vote come November?
• How will MGM, which has drawn considerable praise for the campaign to win the vote in Springfield and then the Western Mass. license, scale up its campaign and make it statewide?
• How prominently will Springfield, the only community with a casino license, and its story, involving everything from high unemployment to tornado damage, be on display in this campaign? And how will that story be received?
• How will the highly publicized struggles of the casino industry in Atlantic City — several facilities have closed or gone bankrupt in recent months — play into the equation in Massachusetts?
• How will the casino referendum impact the many political races on the ballot this fall, from the governor’s contest to the pitched battle for the Senate seat being vacated by Gail Candaras?
• How will the confusing nature of the question itself — a ‘yes’ vote means opposition to casinos and a ‘no’ vote means you support them — impact the outcome?
• What will ultimately determine how this casino vote will go?

Mike Mathis, like Springfield Mayor Domenic Sarno, used the word ‘grassroots’ early and often as he talked about the upcoming campaign concerning the casino referendum question.

Many of these questions are not yet answerable, but BusinessWest put them to a host of key players, including analysts like Robbins and Tony Cignoli, president of A.L. Cignoli Co.; Springfield Mayor Domenic Sarno; Mike Mathis, president of MGM Springfield; and others.

They are, for the most part, predicting a close contest, one where Springfield’s story will get a considerable amount of play, and one where the outcome will likely be determined by how effective the rival camps are at getting their points across and separating fact from conjecture — words that have different meanings to different people.

For example, Mathis noted, casino opponents and some analysts say that economic conditions have changed considerably since the gaming legislation was passed in 2011, and believe there is sentiment that casinos are no longer needed as a stimulus for jobs and economic development. But Mathis said that whatever progress has been made is more or less confined to the eastern part of the state, and conditions elsewhere, and especially Springfield, remain dire.

“In November 2011, the state’s unemployment rate was 7%. Today, it’s about 5.5% across the state, but lower in the east, so clearly the Greater Boston area is in the middle of a recovery,” he explained. “In November 2011, the unemployment rate in Springfield was 10.5%, and today, it’s still 10.5%, and across the region it’s probably 7.5%. It’s great that the rest of the state is recovering, but Springfield still needs this economic injection.”

Cignoli said that sentiment has been borne out in some recent headlines, such as those from North Adams — the mayor there said the fiscally struggling city was “one cycle away from Detroit” — and suggested that a case can, and will, be made that cities and towns need casino revenue.

Tony Cignoli says Western Mass., and especially the city of Springfield, will likely play a big role in the upcoming referendum fight.

“I can see the gaming folks showing up in North Adams and saying, ‘gosh, we realize that you’re about to go under; you’re one year away from insolvency,’” he said. “They can make a case to the people of North Adams — ‘here’s your salvation, here’s that chunk of change you need.’”

Overall, there is no shortage of speculation concerning this referendum and the factors that will determine the outcome. For this issue, BusinessWest takes an indepth look at the many nuances of this critical moment in the state’s history and what will likely determine the fate of the casino industry in the Commonwealth.

Playing the Odds

Mathis told BusinessWest that MGM has not faced a referendum question quite like the one in Massachusetts — where companies that have earned licenses can have them swept away by a vote of the residents — but it has confronted statewide votes on casino issues, such as a recent, hotly contested bid to expand gaming in Maryland with a sixth license in Prince George’s County.

MGM learned a number of lessons from that campaign and others like it, he said, including several involving not underestimating the opposition — and the many forms it takes.

Indeed, he noted that, in addition to in-state opponents to the planned expansion, there were casino rivals in neighboring states that had a vested interest in the outcome, and thus injected themselves into the fray by secretly funneling money to those opposing the measure.

“When the state Supreme Judicial Court ruled that this question could go on the ballot, there were lawmakers and different businesses in Connecticut and Rhode Island that were given a real gift — the possibility that they can keep their operations in full force and Massachusetts would continue to give them hundreds of millions of dollars in tax revenues and tens of thousands of jobs,” he said. “We are very concerned about the outside influences that may impact this campaign and try to protect their own across state lines.

“Foxwoods is looking for a potential license in the southeast part of the state, and Mohegan is looking for a license in Boston, but a facility like Twin River in Rhode Island has no conflict of interest — they clearly want this law to go away so their slots facility can continue to generate the millions of dollars of revenue that they see,” Mathis went on. “So there’s a real potential for outside influence, and I suspect it will come through late financial contributions to casino opponents, and it will come in such a form that you won’t find out where the money came from until after the race is over.”

But outside influence is just one of many factors that those we spoke with believe could possibly determine the outcome of the referendum question. Others range from the amount of money that will be spent to present both sides of the argument to the tone of the messages that are sent, to that aforementioned ‘casino fatigue’ and just how much of it exists.

The most recent polls, including one conducted by the Boston Globe just before the SJC’s decision on the referendum, show there that there is still support for casinos in the state, with more than 50% of those queried backing the licensing of up to three facilities.

But Robbins said the poll numbers can, and often do, change quickly in the heat of campaigns. He noted that the numbers on this referendum are narrowing and that opposition forces have certainly picked up momentum in recent months, in part because of changing economic conditions since the legislation was passed, and also because casinos in other states are struggling.

But there are other factors in play as well, he said, noting that casino operators made a number of mistakes during the licensing-contest portion of this process that have cast the industry in a more negative light. He lists everything from Hard Rock’s proposal to place a casino on the Big E grounds — a plan that drew considerable criticism inside and outside West Springfield — to what he considers Mohegan Sun’s bungling of its plans to place a casino off Turnpike exit 8, a gambit that ended abruptly when Palmer voters narrowly rejected the proposal last November.

Paul Robbins says the so-called ‘casino fatigue’ factor is one of many unknowns going into what is expected to be an intense campaign leading up to the referendum question.

“Somehow, Mohegan took a consistent 20-point lead in polling over the past two years and lost a nail-biter — by less than one percentage point,” Robbins wrote in a recent blog post titled “The Massachusetts Casino Wars.”

“Some of this was just bad communications or a lack of communications,” he went on. “Mohegan presented its casino renderings — affectionately called by some opponents ‘the spaceship,’ because it looked like one and it landed in front of voters with no input from the local community. Mohegan also promoted one of the traffic options being a five-lane access road — communicating this proudly on the front of mailers to residents living in a two-lane, rural community. Not terribly smart.”

Robbins said the fate of the referendum may come down to how deep — and effective — a coalition of supporters becomes. And he threw into question, as other analysts have, just how hard Mohegan Sun will fight for this question.

“They’re conflicted, there’s no doubt about it,” he said. “At the end of the day, they’re the ones that stand to benefit most if gaming is defeated.”

Mathis concurred. “What Mohegan is proposing at Suffolk Downs is a $1 billion facility; what they have in Connecticut is a $5 billion facility,” he explained. “They pay an 18% tax rate in Connecticut, and in Massachusetts they would pay a 25% tax rate — anyone can do the math. I think they do want a presence in Boston, and I think they are fighting hard for that license, but at the same time, I don’t think they’d be harmed if, at the end of the day, they didn’t have that license.”

Dicey Situation

Overall, Mathis expects the emergence of a broad pro-casino coalition, one that will involve not only the casino operators, but also labor groups, business and economic-development organizations, convention and visitors bureaus, and elected leaders in communities, like Springfield, that have the most at stake.

“The issue for us it to make it as broad as we can and make sure that all the different supporters who have a stake in this are part of the effort,” he explained. “When most people think about a coalition, they think about MGM Springfield and the other casino applicants, but that’s secondary to us; what we’re attempting to do is build a coalition around Massachusetts stakeholders who are already here.

“We compete for these licenses from time to time, and we understand that we go in not knowing if we’re going to be successful or not,” he went on. “Frankly, we can afford to lose and life will go on for us, and we’ll do it again in another jurisdiction, probably internationally. But what we’ll leave behind is a great gateway city like Springfield that is in the middle of a renaissance partly inspired by what we’re trying to do downtown. Those are the people that the rest of the Massachusetts residents need to hear from.”

Sarno agreed. He expects that the city’s story — all of it, from its economic struggles to its resiliency in the face of natural disasters — will be a big factor in the referendum battle. And he believes the task at hand is to convince those who don’t want a casino in their backyard that there will be benefits — for the state, this region, and especially Springfield — to putting one in someone else’s backyard.

“What’s important for people across the state to know is that, in Springfield, we’re trying to stand on our two feet, and that’s not easy because we don’t get a tremendous amount of unrestricted government or local aid,” he explained. “We have to send out a heartfelt message that, while someone may not want a casino in their community, this is important for our city, it’s an outside-the-box proposal, and it’s woven into the fabric and the mosaic of Springfield.”

MGM’s $800 million casino plan translates to $25 million in direct aid to Springfield each year, he went on, as well as 2,500 to 3,000 permanent jobs, a unique opportunity to revitalize 15 blighted, tornado-ravaged acres in the South End, and a real chance to move the city out of decades of stagnation. And he believes that story will resonate around the Commonwealth.

As they talked about the campaign ahead, Mathis and Sarno made repeated use of the word ‘grassroots.’ They said this was the tone of the initiative that was successful in Springfield, and it will be scaled up and taken statewide.

“The Springfield campaign was door-to-door, and we think that’s the key to a successful campaign statewide,” Mathis explained. “The question is how do you scale it up, and how do you make sure that the rest of the state, which isn’t directly impacted by all the great things that are happening in Springfield, understands at least how important it is to Springfield.

“We’re going to do that in a number of ways,” he went on. “Most importantly, we’re going to go back to our supporters in Springfield and Western Mass. and make sure that they’re engaged and they’re talking to their friends and neighbors and colleagues across the state about how important this industry and this development is to them; it’s as simple as that.”

Elaborating, he said the broad strategy will boil down to two primary missions: educating and communicating.

“This is a new industry in Massachusetts, so what we did in Springfield was educate them about the industry, which is not the old industry,” he told BusinessWest. “What the antis [opponents] want to do is put us in a box and rely on old, tired stereotypes. We at MGM are a Fortune 500, international hospitality company; we got that message across in Springfield, and we need help getting that message out to the rest of the state.”

Bill Mandel, a professor of Political Science at Western New England University who believes that pro-casino forces will prevail come November, said one key for gaming supporters is to drive home all the economic-development aspects of their argument and convince voters in every corner of the state that this is a critical matter for some communities — like Springfield.

“Leaders in Springfield really need to go out and sell this to the rest of the state as something that we need and want,” he explained. They need to go out there and say ‘we want it,’ and explain to the people of Arlington, Belmont, and Foxborough that, while it may seem abstract to them, it’s very important to us. That may be a critical strategy.”

Playing Their Cards Right

Cignoli told BusinessWest that, while there are many question marks concerning the upcoming referendum fight, some things are known.

For starters, it appears certain that the turnout will be high — perhaps record-setting, given the casino question and a number of high-profile races, especially the one for governor. What isn’t known, although there is speculation, is which side gets helped the most by that turnout.

Robbins said conventional wisdom holds that the side that spends the most money benefits from a high turnout. However, Cignoli said a high turnout generally brings out opponents.

What’s also certain is that this will be a lucrative year for the media, with the pro-casino forces expected to spend heavily on print, radio, television, and social media to get their message across, said Cignoli, who projects that $10 million and perhaps much more could be spent on the casino referendum, because of the stakes involved.

“There’s so much on the line, not only for the developers, but all the people around them who will try to motivate this issue,” he explained. “There are the political consultants, the lawyers, the lobbyists — this has been a full-employment bonanza for a lot of these people, especially in the Boston area. So they’re going to double down, no pun intended, and go the full nine yards.”

And he expects the Western Mass. market to get a decent share of that windfall, because he believes this region will play an important role in this contest, even though the vast majority of votes are concentrated in the eastern part of the state.

“It’s going to be close, so that means every vote is going to count,” he explained. “It’s polling 50-50 right now, and in a tight race, you have to pay attention to Western Mass., especially because of the urban base in Springfield, which can turn out a significant vote. You need every single vote you can get in Western Mass.”

And to get votes, in this region and elsewhere, Cignoli believes the pro-casino forces will lean heavily on MGM and the strategy that worked well for it in Springfield — primarily a focus on jobs, economic development, and revitalizing the tornado-ravaged South End — as well as Penn National’s slots parlor in Plainville, which is already under construction.

“MGM ran a fantastic public-relations campaign leading up to Sarno choosing them to move forward,” said Cignoli, “and they ran a very good referendum campaign. So you can use the better elements of that out and about and in the other 350 cities and towns. They were textbook perfect in their campaign in Springfield — can that translate and help them elsewhere? That’s the big question.

“Also, Penn National will be front and center as well,” he continued. “They won a license for slots, and they’re in the ground. They’re pouring concrete, you can see cranes, you can see jobs, you can see economic impact already.”

But while the stories in Springfield and Plainville may sway some of the voters in communities not directly impacted by casinos, the question of ‘what’s in this for me?’ may ultimately decide how this referendum question goes, he went on.

“That’s the big litmus test this year,” he told BusinessWest. “If I live in Pittsfield, North Adams, or Fall River, what’s in this for me? Why should I care if this benefits Revere, Everett, Greater Boston, Springfield, or Plainville? You have to motivate those voters in those other places.

“And if you’re a proponent of casinos, you have to worry about the parochial aspects of this,” he went on. “Longmeadow may be getting a settlement from MGM, but do the people there really want this? This is their first opportunity to vote for or against this. And in Northampton, there’s always been that rivalry with Springfield, and Northampton has been out there very clearly with their concerns about a revival in Springfield and MGM in Springfield and what that means to their nightlife and their entertainment district. Casino proponents have to make a case to everyone and explain what’s in it for them.”

Cignoli told BusinessWest, and several other media outlets, that conventional wisdom suggests that it’s easier to secure ‘no’ votes in such referendum questions, and in this case, ‘no’ is a vote against casinos.

But Mandel said that conventional wisdom may not apply in this case, because of the many factors mentioned earlier, and especially the large amounts of money that pro-casino forces will spend to get their messages out.

“There’s a good amount of time left, and there’s going to be a lot of money thrown into this,” he noted. “Any thoughts right now as to how this may go might well be off the mark.”

No Sure Bets

There is considerable time before November, leaving plenty of opportunities for speculation about the vote and what might drive its outcome.

What’s certain is that this will be a high-profile, high-stakes contest, where, as Cignoli suggested, all the parties involved will be doubling down.

That’s because, when this is over, all the chips will be in the middle of the table, and the winner really will take all. n

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

Transit Transformation

By BusinessWest Staff July 1, 2014

Cover Story

Region Sees Economic Potential in Rail Service

Timothy Brennan calls the return of passenger rail service to the Pioneer Valley a “new frontier.”

That’s a phrase that has been used in other cities across the nation where revitalization has occurred as a result of the introduction or expansion of commuter rail service, which caters to the growing demand among young people and Baby Boomers for housing in downtowns complete with shops, restaurants, entertainment, and a good transportation system. And Brennan, executive director of the Pioneer Valley Planning Commission, believes it applies here.

Next year, after more than a decade of planning and infrastructure work, Amtrak’s Vermonter passenger train will run again along a direct route from Springfield to St. Albans, Vt., with stops in Holyoke, Northampton, and Greenfield. In addition, beginning in 2016, there will be more than 25 trips a day between Springfield and Hartford.

“We think this will be a game changer,” said Brennan. “There is a palpable sense of excitement about it, and the Valley has the disposition to be very supportive of this endeavor.”

Kevin Kennedy, Springfield’s chief development officer, agreed.

“As vehicular and truck traffic grows, it may become more relaxing to take a train with wi-fi service where people can use their cell phones and tablets or sit with a coffee, muffin, and their laptop and get some work done,” he said, pointing to the congestion that will be caused by the Mass. Department of Transportation’s three-year rebuild of the I-91 viaduct between State Street and the I-291 ramps as just one of many reasons why rail service may see a surge in popularity.

Tim Brennan says expanded rail service could be a game changer for the region.

In addition, the world of work is changing, and more people are telecommuting and reporting into an office only on occasion, Brennan noted, making it more possible for someone to live in Greater Springfield and work in New York, Boston, or another metropolitan area.

“Working from home is a growing phenomenon, and people could have a job in New York City, live here, and take the train to meetings,” he told BusinessWest, adding that, in some parts of California, employers allow employees to log into work via their laptops during their commute.

Marcos Marrero, Holyoke’s director of Planning and Economic Development, says it’s critical to keep up with societal change, and commuter rail service is part of this equation.

“Rail is the future for the Hartford-Springfield metropolitan area, and rail service is key to economic development in the Pioneer Valley,” he said. “Interconnected cities offer fertile ground for economic activity, as it allows them to prosper through the movement of people, products, and services. It’s important to go beyond our parochialism and understand globalization, and if we want to be part of what we know is successful in so many other metropolitan areas, we have to be interconnected and part of that fabric.”

This belief reverberates in Greenfield, and Linda Dunlavy says Franklin County has recognized the importance of restoring rail service to the area for more than a decade.

“We haven’t had a rail stop here since about 1985, but have always known that travel by passenger rail is really important to our economic development and quality of life,” said the executive director of the Franklin County Council of Governments (FCCG). “It has been one of the goals in all of our long-term planning, even though a decade ago it seemed like wishful thinking.”

Experts also hope commuter rail will boost local tourism, as it has in Vermont and other states. “Tourism is an export business, and Vermont does a very good job of marketing packages to people in New York that include Amtrak and hotel stays,” said Marrero. “Having a rail system allows that to happen.”

For this issue, BusinessWest looks at the reasons behind the reopening of the rail line, and also at the hopes and expectations of communities that find themselves on what is being called a path to progress.

On the Right Track

Passenger rail service existed to and from Springfield for decades before it was halted in 1989. At that time, Amtrak deemed the 49 miles of track running to the Vermont border through Greenfield in too great a state of disrepair to continue using.

Although some freight traffic continued, train speed was limited to 10 mph. “The principal reason the track was used was to deliver coal to the Mount Tom power plant in Holyoke, which will soon be closing,” Brennan said.

But Vermont found the rail service, which extends today from St. Albans to Washington, D.C., so lucrative that it chose to make a sizable investment to continue it. “The Vermonter is enormously popular, especially during ski season and during the summer,” Brennan said, adding that Vermont views it as an economic-development vehicle.

However, in order to keep the train running, it had to be diverted from Springfield to the east in Palmer, where a switchback sends it north. That switchback has always been problematic, as it takes 30 minutes, and passengers cannot leave the train.

As a result, more than a decade ago, Vermont approached the Pioneer Valley Planning Commission asking for help in restoring the deteriorated track. “Congressman John Olver was enthusiastic about it and was able to get an earmark for a study,” Brennan said.

At that point, the PVPC became the custodial agency responsible for moving the project forward, and a consultant was hired in December 2009 to determine what it would take to revitalize the track and analyze its return on investment.

The timing proved serendipitous, as the PVPC had the plan ready when President Obama allocated $8 billion in grant money for high-speed, inner-city rail projects.

The state’s application for a $73 million grant to rebuild the aging rail corridor, which would allow trains to travel in excess of 75 mph, was accepted, and a construction plan began to take shape.

“The work is being implemented as we speak and is scheduled to be completed by the end of the year,” Brennan said.

Although he is optimistic about the return of passenger rail service in the area, he said it will need to be expanded down the road to satisfy expectations.

“It will be great to get the Vermonter back, but there will only be one train a day in each direction, so we are working in earnest with partners to get more service up and down the valley to attract commuters,” Brennan said.

Still, experts predict that, if the MGM casino is built in Springfield’s South End as planned, it could generate an enormous amount of traffic. This development, coupled with construction work on the I-91 viaduct, which will begin in 2015 and take at least three years, could prompt people to use the train.

“If there is more north and south rail service, it could serve as a relief valve; our challenge now is how to add more trains between Springfield and Greenfield,” Brennan continued, explaining that an expansion will cost $30 million, but the PVPC is working with the Mass. Dept of Transportation and the Massachusetts Bay Transit Authority (MBTA) on that goal, and funding could come from the state transportation bond bill passed in April.

“The biggest issue is that the rail corridor is owned by Pan Am Rail, which is a division of Norfolk Southern Rail,” he explained. “The state reached a verbal agreement to buy it for $17 million, but it hasn’t happened yet.”

Still, action is underway, and a letter has been sent to the secretary of Transportation, asking if the MBTA could donate locomotives and passenger cars that are being retired to the Pioneer Valley Transit Authority. They could be refurbished, Brennan said, and the final step would be to find an operator to run them. He added that a connection from Vermont to Montreal is also on the drawing board, and there is keen interest in making that happen, but it is not a priority.

Accelerating Growth

Meanwhile, progress has been made in the form of new, multi-million-dollar intermodal transportation stations, and Union Station in Springfield is undergoing the first phase of its long-awaited restoration.

Kevin Kennedy says MGM Springfield, if it comes to fruition, would be one of many factors that could drive use of rail service in Western Mass.

Kennedy said the Union Station project has generated excitement, and the restoration of rail service is one of three ingredients — a major development investment, a significant transportation project, and a large-scale, market-rate housing development downtown — necessary in the revitalization of a city such as Springfield.

MGM represents the first element in that equation, and if the casino is built, it is expected to create 2,200 construction jobs and 3,000 permanent jobs, in addition to vendor activity. “People could work in Springfield and live in Windsor Locks, Conn. or Northampton, but we will need to be able to get all of the workers in and out of the city,” said Kennedy, adding that rail service could help address that need.

The third element (housing) is also expected to come to fruition. “We anticipate a major housing announcement for downtown soon,” Kennedy told BusinessWest, adding that MGM’s plans include a trolley system with stops throughout downtown Springfield, which ties into the entertainment factor that makes a downtown attractive.

“Rather than focusing on MGM as a gaming place, think of it as an outdoor skating rink and place of entertainment which ties in with venues already in Springfield — the MassMutual Center, City Hall, and CityStage,” Kennedy said.

But he added that the rail system will eventually need to connect to New York City as well as the north for revitalization in Springfield to be successful.

Marrero also views the restoration of commuter-rail service as a key factor in Holyoke’s economic development.

“The Vermonter route runs along a major spinal cord, and the realignment will cut down on the time it takes to get to Vermont while providing service to Holyoke, Northampton, and Greenfield; Chicopee could also have a stop in the future,” he said, adding that he believes rail service will make the area more attractive as a place to live, work, or establish a business.

Holyoke is already moving in that direction, said Marrero, citing the success of Open Square in the city’s Innovation District, which is home to 50 businesses located a block from where the new rail station will be built.

“Vertitech Corp. moved into Open Square last fall, and they have plans to open in the New York metropolitan area,” he noted, adding that employees could take the train to meetings to and from either site. “We also have a lot of investment opportunity nearby in architecturally attractive buildings, which could lead to a walkable, dense neighborhood rich in interaction, which all fits together with rail service.”

Research on transit-oriented development shows that property within a one-mile radius of a rail station tends to be popular for mixed-use development. “So, rail has been my highest priority in terms of projects in the past two years,” Marrero said.

In May 2012, the city procured an architect to design a new, 12,000-square-foot rail station at the corner of Main and Dwight streets, which is the site of the first rail stop in Holyoke. It is expected to be complete by the end of July, and the next step will be to hire a contractor with MassWorks funding to build the $2.4 million structure, which will include new sidewalks leading into the station.

Economic Engines

Today, the $12 million John W. Olver Transit Center in Greenfield, located a few blocks from the heart of downtown, sits ready for rail service. It is the first zero-net-energy transit center in the nation and home to the Franklin County Regional Transit Authority and the FCCG.

Dunlavy and other Franklin County officials are also looking to the future and hope to expand the number of rail trains that stop there.

“When we first envisioned rail service, we only thought about Amtrak,” she explained. “But we hope to add a shuttle service to help employers expand workforce opportunities and help residents expand their opportunities for employment. Not everyone who lives here has a car.”

Passenger rail service is also expected to help with Greenfield’s revitalization, which got a boost a few years ago when new market tax credits and historic tax credits were approved for redevelopment of the upper stories of buildings.

Today, about 10 buildings have added office or residential space to their second floors and have also made aesthetic improvements to their first floors. In addition, the Franklin County Courthouse is undergoing a major renovation, and with the intermodal transit center as an anchor, “our long-term plan is finally coming to fruition,” Dunlavy told BusinessWest.

Pittsfield is also hoping to improve its rail service, and Mayor Daniel Bianchi believes rail “will be great for the area.”

The city’s primary goal is an east-west connection with New York City, and he believes reinstating rail is a viable form of transportation. “But it’s a huge project that involves a multitude of states. It’s a large, complicated issue, and we have to be realistic,” he said, suggesting that, since Connecticut already has good commuter rail service, the state might not be as willing as Massachusetts to make further investments in rail expansion a priority.

However, Community Development Director Douglas Clark envisions people from New York City who don’t own cars taking the train to Pittsfield to enjoy its cultural attractions.

That belief was enhanced when the results of a study conducted by Williams College Economics Professor Stephen Sheppard were made public, showing that the Berkshires could reap $344 million in the first 10 years of passenger train service to and from Gotham.

Unknown Potential

Brennan said Worcester is connected to Boston via rail service run by the MBTA, and it has made a significant difference in the city’s growth and revitalization.

“Worcester is now thought of as an attractive, affordable alternative to living in Boston,” he explained. “It has been an effort that has taken about 15 years, but it has really come together over the past few years. So our feeling is that we should anticipate a similar outcome once there is a high level of rail service available here.

“There will be talent shortages in the next decade, and we need to be connected so we can leverage these connections,” Brennan concluded. “We have to make sure we are well-positioned for the 21st century.”

With expanded rail service, he believes the region will have the right economic-development vehicle to meet that goal.

Ingredients for Success

By BusinessWest Staff June 17, 2014

Cover Story

Hot Table Puts Expansion on the Menu

Co-founders John (left) and Chris DeVoie.

John DeVoie calls it an “internal motivator.”

That’s how he chose to describe the small, rather nondescript note taped to one wall of what passes for the corporate headquarters of Hot Table Panini — the cramped back room of the location within Tower Square in Springfield.

It reads simply “500 stores by 2030.”

That’s not an official goal of this company, which now operates three sites that specialize in what could be called custom panini sandwiches, and has another two set to open in the next six months or so. But it is a target, or a conversation starter, or, as he said, a number designed to motivate those working for this growing venture.

“If you don’t put goals on the walls, you don’t get anywhere,” he joked, adding that Hot Table may indeed have 500 locations by the start of the century’s fourth decade. “Or it could have five by 2030.”

Right now, the plan is to be exponentially closer to the former number than the latter, said both John and his brother, Chris, who launched this venture together, along with their brother-in-law, Don Watroba, in 2006, and have made their brand a growing part of the local culinary lexicon ever since.

They started in the Breckwood Shoppes in Sixteen Acres near Western New England University (they’re both alums) in the spring of 2007, opened their second site in Tower Square in 2009, and their third in Enfield in 2012. They plan to open a site in Glastonbury, Conn. in September, and another on Route 9 in Hadley a few months later.

After that? Well, that’s to be determined, said the brothers DeVoie, who noted that there have been discussions about more locations in Connecticut and Western Mass., a likely push toward Central and Eastern Mass., possibly starting in the region known as MetroWest, and perhaps expansion in the Albany area.

“We’re leaving ourselves open; we’re pushing further south into the Hartford market,” said John, adding that the company is in preliminary talks with franchising consultants about that eventual step. “But we do see opportunities in Eastern and Central Mass.”

What is known is that the co-owners feel good about where they are, and excited about where they could be a few years down the road. In other words, they believe the concept they’ve adopted — what’s known in the industry as ‘fast casual,’ which rests strategically between fast food and traditional sit-down dining — shows great promise and staying power, and also that their brand has established itself in this market and has the potential to do so in other markets.

For evidence, they look at what’s been achieved at their first three locations. The Breckwood Shoppes store has shown steady growth and has attracted a following that goes well beyond the university across the street, said Chris. Meanwhile, the downtown Springfield location has succeeded in space where several other eateries failed, growing each year since it opened and showing enough promise to re-up on the lease for another five years.

The original Hot Table location, in the Breckwood Shoppes, has drawn business from well beyond Western New England University, which sits across the street.

And in Enfield, on Freshwater Boulevard next to Costco, Hot Table has proven it can go toe-to-toe with a host of competitors in close proximity, said John, noting that the location there, in a major retail area, competes effectively with Starbucks, Red Robin, Panera Bread, McDonald’s, Friendly’s, Arby’s, and many others.

“You gain confidence when you jump into the sandbox, and there’s a Panera Bread across the street, and a Chipotle, and a Moe’s, and a D’Angelo’s,” he explained. “In Springfield, we were working in a certain market with not a lot of competition, but then we jumped into Enfield, and all the national brands are there — you name it, it’s there — and we’ve grown sales every year since 2012, hopefully taking market share from all those other people.”

Chris agreed. “When you’re on that stage with all the nationals, you need to perform,” he explained. “You need to give people a reason to choose Hot Table over all the others, and we’ve done that.”

All of the above has given the DeVoies that confidence John noted, as well as the wherewithal to scale up their concept. The questions now concern when, where, and how the expansion will play out.

The partners intend to be patient, picking their spots carefully and strategically, and for this issue, they talked at length with BusinessWest about just what those terms mean.

Bread Winners

While certainly not as well-known as the exploits of the Blake brothers — Prestley and Curtis — who launched Friendly’s almost 80 years ago, the story of the DeVoie brothers is becoming part of local entrepreneurial lore.

A decade or so ago, they were both working in corporate sales, doing well at their craft and making good money. But they were not feeling entirely satisfied.

“I was getting tired of making money for other people,” said John, effectively speaking for the two of them. “I always wanted to do something on my own, and I was definitely ready for something else, something entrepreneurial.”

And he and Chris were leaning strongly toward that ‘something else’ being in the restaurant business.

They started talking with Watroba, a veteran of the industry who had operated the Gold Mine, Admiral DW’s, Captain DW’s, and TD Smith’s, among other area venues, and eventually agreed to go into business together.

And in choosing a dining concept, they listened, and responded, to advice from other family members.

Indeed, it was the DeVoies’ sister who told them about a dining model she encountered on a trip to Italy — cafés of sorts called tavola calda, which translates, literally, to ‘hot table.’

“This was their version of fast casual,” said Chris, adding that more input from their parents helped solidify the concept. After returning from an ocean cruise, they reported that the most popular dining option was a made-to-order panini bar.

Meanwhile, the two took what they had learned from years on the road in sales and applied it to their vision. “We had a lot of experience with taking clients out, all over the Northeast, and all over the country, for that matter,” said Chris, “and we could see the fast-casual market was what people were migrating toward — away from the sit-down restaurants and diners, where they could sit in a good environment or get it to go. We knew that this was the kind of restaurant we wanted to establish.”

What eventually emerged and opened its doors in the Breckwood Shoppes in 2007 was what John described as a cross between Panera Bread — which he credited with popularizing fast casual — and Subway, where customers could customize their sandwich, see it being prepared, and, if they desired, eat it in a warm, relaxed atmosphere.

“People like to customize their sandwich as they move down the line,” John explained. “They like to see what’s being done, and they love to see presentation.”

Over the past seven years, the brothers DeVoie have solidified their place in the market (Watroba is no longer involved in the venture) while also putting in place a product and a culture they believe will help take the company to the next level, or the next several levels, as the case may be.

“To succeed in this business today, you have to fire on all cylinders; if not, you’ll get gobbled up,” said John, referring to food, service, cleanliness, and the environment. “You have to do it all well, and I think I can say that we do that here.

“At this point in the game, we’re pretty confident that we have a product that people want, and while we’re still streamlining things, we know who we are,” he went on. “Now it’s the real-estate game — finding the right real estate for us to expand.”

Turning Up the Heat

As he talked with BusinessWest, John DeVoie opened his laptop and clicked his way to Google Earth and then to aerial photos of the area in Glastonbury where the next Hot Table location will open in the fall.

He did so to illustrate just what the company is looking for as it goes about selecting sites. This particular location, on Main Street, is in the middle of a bustling retail area that sits on the edge of a large, somewhat affluent residential area, he said, adding that this site is very similar to the Enfield location in that regard, and this is the model the company is eyeing as it moves forward.

“Look at the rooftops,” he said while panning across the specific site. “It’s right off a major highway, and this plaza is loaded — there’s a whole bunch of high-end retail. And right down the street, there’s a Whole Foods, Panera Bread, Plan B Burger, Five Guys, and more. There’s also a corporate center where a lot of people work; this is where we want to be.”

That same phrase could be applied to Hadley, he went on. The chosen location on Route 9, a plaza now under construction, is just in front of the Home Depot, visible from the road, and surrounded by a host of national chains, including Panera Bread. Hot Table will share the building with Starbucks, Aspen Dental, and two or three other tenants, and hopefully draw from the area colleges, but also the surrounding neighborhoods and businesses.

“That area has a lot going on,” said John. “It has the university and the five-college system, but there are also a lot of people living there, and it’s a huge retail area.”

Chris agreed. “The college community is part of it,” he explained, “but we look for rooftops, industry, businesses, and a destination shopping area, because people will often drive to an area like Hadley or Enfield and say, ‘where do we want to go to eat?’ — and there are several choices.”

While working to get the next two locations off the ground almost simultaneously — something the company hasn’t done before — the DeVoies have been thinking about where to go next, and when.

They are in no rush to expand, and will be careful and deliberate in this process, waiting for sites they know will enable their model to succeed.

For example, the company would like to expand into West Springfield and be part of the sprawling retail area on Riverdale Street. But they can’t find exactly what they want and have no intention of forcing the issue.

“There’s tons of space available, but finding the right spot is very difficult, and I’d rather wait for the right spot than make a mistake,” said John, referring to his overall philosophy with regard to expansion. “I’d love to be in West Springfield on Riverdale, but we’re not going to put a store north of I-91 — that’s a deathtrap there. I’d like to be in the Riverdale Shops, and we’ve been looking for four years, but there’s nothing that meets our criteria.”

Overall, said Chris, the preferred locations must offer visibility, accessibility, and parking, and would ideally be in a regional shopping center located in a heavily populated area. In other words, Hot Table is looking for the same qualities that all other chains are seeking.

And this helps in the selection process, he went on, adding that it’s very easy to track where other brands, such as Panera Bread, have gone, and essentially follow their lead when it makes sense to do so.

“The nationals spend a lot of money picking the right real estate,” he explained. “We can piggyback on what they do.”

This is what many experts say Burger King did decades ago — locating almost everywhere McDonald’s did — and it’s not a bad strategy for an emerging company that doesn’t have a small army of people scouting possible sites.

Elaborating, John said the company won’t expand simply for the sake of expanding and reaching stated goals, something he said Starbucks did years ago when it was adding roughly six new sites a day and eventually had to close many of them due to poor performance and what amounted to market oversaturation.

“It’s all about picking the right spots,” he said, adding that the proper equation involves both quantity and quality. “The big guys can afford to make mistakes, and they all do, but at our size, we can’t.”

Food for Thought

Looking ahead, the DeVoies said they’ll continue to look for expansion possibilities in Western Mass. and Connecticut, but also look hard at taking the brand — complete with a new logo featuring the name and a grill — into new markets.

“Our short-term goal into next year is to stick our toe into Eastern and Central Mass.,” said Chris, adding that MetroWest, a cluster of cities of towns west of Boston and east of Worcester, will likely be the landing point.

Also, there could be movement west into the Albany area, he went on, adding that there are ongoing discussions about which direction — figuratively, but also quite literally — to take next.

But there is more to taking a brand like Hot Table to the next level than scouting for locations, said the brothers.

Indeed, the company must be aggressive in its branding and marketing, said John, with the goal of associating the name with a product — in this case, paninis — an important consideration when it comes to taking it to new markets.

He noted that, with products like fried chicken and burritos, a few brand names immediately come to mind. And when it comes to burgers, it’s more than a few, especially with the flood of new chains to emerge in recent years. The goal with Hot Table is to make just such an association, he went on, adding that the company is working hard on that assignment.

“Paninis are very popular, and you’ll find them on a lot of menus,” he explained. “And the industry leader [Panera] has a section of the menu dedicated to paninis. But no one, on a national scale, has said, ‘this is ours — this is what we identify our company with.’

“Before McDonald’s came on the scene, everyone was selling hamburgers — they were very popular, and they were on everyone’s menu,” he went on. “Then McDonald’s came along and said, ‘this is going to be what we do.’ Our strategy is to do the same thing with the panini.”

As part of this process, the company, working in conjunction with the Springfield-based marketing firm Six Point Creative, has introduced a logo, one that ditches the coffee cup that was once juxtaposed against the Hot Table name and replaces it with a grill mark.

“This is one of the ways we’re working to associate us with the panini — and nothing leaves the store without a logo on it,” said Chris, adding that the company is building name recognition, and a reputation, largely through word of mouth and aggressive use of social media, although other vehicles, such as billboards, may be put to use after the two new locations open for business.

Meanwhile, another challenge for the company as it expands, said John, is maintaining standards for excellence, as well as the company’s culture — which he said is grounded in taking care of both customers and employees — as it moves into new markets, either organically or through franchising.

“One of the challenges to growing, and especially with franchising, is making sure things get done the Hot Table way, and also making sure people know the heart of our company, know who we are, know our systems, and know how we treat employees,” he explained.

“If you open a store in Natick and just hire someone off the street,” he continued, “you might find someone who’s great, but they still don’t know the culture. So we have to figure out a way to imbue that culture without watering it down. And that’s a challenge for any company that’s growing.”

Setting Their Sites

Returning to that small sign in the Hot Table headquarters room, John DeVoie said, in essence, that 500 is just a number, or, as he said, a motivator.

He and Chris are not at all sure how many locations they’ll have in 16 years, or 16 months, for that matter. What they do know is that their concept and their specific product works. And they believe they can take it to new markets regionally and perhaps nationally.

“When we started this venture, the plan was never to build just one of these,” said Chris, adding that the business plan has been altered many times over the past eight years, and that process will certainly continue. “How many we open and where we go … those are questions we can’t answer now, but we wanted to build a scalable model, and we have.”

In other words, and as they say in another medium, stay tuned.

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

Answering the Call

By BusinessWest Staff June 3, 2014

Cover Story

Program Strives to Put More Qualified Workers in the Pipeline

Sarah Burek, one of the first graduates of the Advanced Call Center and Customer Service Training Program, is now an employee at MassMutual.

Sarah Burek was getting a little frustrated. Actually, more than a little.

She had been out of work for seven months and was having no luck at all finding something in what would be considered her field — clerical work such as her most recent assignment handling payroll at Brodeur-Campbell Fence Co. until she was laid off.

“It was just not a good job market, and there were a lot of people vying for the same positions,” she told BusinessWest, adding that she eventually came to the conclusion that she had to move in a new direction.

And it was right about that time that her counselor at the Springfield-based one-stop career center FutureWorks told her about something called the Advanced Call Center & Customer Service Training Program, an initiative led by the Regional Employment Board of Hampden County (REB) in conjunction with the Training & Workforce Options (TWO) program created by Springfield Technical Community College and Holyoke Community College, and a host of other partners.

Burek was intrigued by what she heard, applied to be part of the first class of a pilot program, which was to start last August, and survived a rigorous vetting process that yielded 18 participants.

Fast-forward nine months or so, and Burek is gainfully employed at the Retirement Services call center at MassMutual’s Enfield facility, just a few weeks after passing the difficult Series 6 security exam required for such a position.

She said she enjoys the work handling calls involving everything from explaining investment options to altering contribution amounts for 401(k)s, and is already excited about where this door that opened for her may eventually lead.

“It’s been an exciting journey,” she noted, “and I can’t wait to see where this path takes me.”

This is exactly the script, not to mention commentary, that organizers of this program had in mind when they conceived it in late 2012 and then won a $350,000 grant from the state Executive Office of Labor and Workforce Development to get it off the ground, said Larry Martin, director of Business Services and special project manager for the REB, who spearheaded the initiative.

He said need was identified in two areas. First, people like Burek, unemployed and underemployed, needed new job opportunities and environments in which they could advance over time. Also, companies like MassMutual, Liberty Mutual, Thing5, and the area’s banks, among many other employers, needed a larger, better-equipped pool of candidates for jobs in customer service and call centers.

The new program essentially addresses both, said Bob LePage, executive director of the TWO program. He told BusinessWest that surveys of area companies with call centers and customer-service personnel revealed that they were getting a large quantity of applicants, but not sufficient quality.

“Our surveys revealed a number of common challenges,” he explained. “There was high turnover and problems recruiting bilingual candidates, but there were also difficulties in recruitment of individuals that could come in the door and quickly move up in the organization on that career path.”

Looking ahead, the third class in the pilot program will begin its summer session in July and graduate in October, said LePage, noting that what will follow is an evaluation of the initiative — organizers are already identifying needed tweaks, such as altering session graduation dates to meet industry needs — and a likely scaling up of the endeavor.

Ultimately, organizers believe, the call-center training program will help companies fill positions more efficiently and thus less expensively, reduce the high turnover rates in this profession, and perhaps make the region a more attractive landing place for those looking to open or expand call-center operations.

Indeed, while the program’s initial thrust was to assist companies struggling to staff call centers and customer-service departments, organizers eventually broadened the mission to include an economic-development component.

“If we really did have a program that showed the ability to scale to meet employer needs, then attracting other call centers to the region might be much more viable,” said LePage. “If we could position ourselves as having an asset of multi-language speakers in our workforce, and people with proper customer-service skills and language skills, we could have a regional competitive advantage, if not a New England or Northeast competitive advantage.”

All that comprises a fairly tall order, but stories like the one scripted by Burek and others like her show that this initiative has great potential to improve the hiring landscape — for job seekers and area employers alike.

Ringing True

LePage told BusinessWest that the phrase ‘call center’ usually conjures up images of vast, open rooms with rows of cubicles operated by financial-services giants and cable operators. And while the region does have several of these larger operations, there are call centers of all sizes across virtually every business sector in Western Mass.

All banks have them, he noted, as do healthcare providers and insurance companies such as Health New England. Meanwhile, manufacturers such as Smith & Wesson and Dinn Brothers, a trophy maker based in Holyoke, maintain large call centers as well.

Bob LePage says surveys of area employers revealed that they were getting applicants for call-center jobs, but not enough qualified applicants.

And while these facilities vary in their size, scope, and the nature of the questions being handled by the customer-service representatives, they share the common challenge of finding enough good help to fill the headsets.

“What employers told us is, ‘we get applicants; we don’t get qualified applicants,’” said LePage. “They also say the number of applicants that they have to review to find a qualified applicant is a large funnel. While a company may be looking to bring in a class of 10 people, it may have to look through 200 to 300 applications to find 10 qualified at the level and abilities they want.”

Surveys of these companies revealed both general and specific needs, said Martin, adding that many employers struggle to find bilingual candidates — a considerable problem given the changing demographics in the region — while others have difficulty securing those with adequate people skills.

Training such individuals is a comprehensive — and expensive — undertaking, he went on, adding that this situation is exacerbated by annual turnover rates that reach or exceed 30% in some sectors.

Meanwhile, at MassMutual, there is another challenge, said Eric Blackman, a senior recruiter for the company, noting that individuals must be licensed to work at one of the company’s four call centers by the Financial Industry Regulatory Authority. And to get a license, candidates must pass that aforementioned Series 6 or Series 7 exam, which poses a number of difficult questions about finance and investments. If they don’t pass, they’re terminated.

“We end up losing a lot of individuals based on that,” he said, adding that the call-center training program has the potential to provide the company with candidates better-prepared to pass that test.

All of these factors prompted area workforce-development officials to come together and consider possible solutions, said Martin, adding that it was the financial-services sector, and especially MassMutual, that generated a dialogue on creating an action plan.

It came in the form of something called the Financial and Business Services Workforce Development Collaborative, which was created in the summer of 2012. It first involved a number of area banks and other financial-services businesses, but other companies, ranging from Thing5 to the staffing firm United Personnel, came on board as well.

“Upfront and center was the immediate need for customer-service and call-center personnel,” Martin explained. “But we wanted to look at the overall occupational needs of the industry long-term.”

The desire to meet those needs, while also creating new and better opportunities for the unemployed and underemployed, dovetailed nicely with the parameters of a request for proposals issued in 2012 by the Workforce Competitive Trust Fund, an agency dedicated to making Bay State businesses more competitive.

That RFP focused on sector initiatives to create candidates for hard-to-fill positions where additional training is needed, but also put an emphasis on what Martin called the “middle skills,” meaning opportunities for those with at least a GED but not a college degree.

The proposed Advanced Call Center & Customer Service Training program became the thrust of a response to that RFP, which involved the REB and TWO, as well as additional partners, including the Economic Development Council of Western Mass., DevelopSpringfield, Putnam Vocational High School, and others.

Eric Blackman says the call-center program may help MassMutual address the problem of recruiting a sufficient number of qualified bilingual candidates.

The $350,000 grant received from the state funded the training of 60 individuals, as well as job-development and job-placement services once the third session is completed, said Martin, adding that 16 of the 17 participants in the first class graduated, and several have been placed with area companies, while 17 of the 18 members of the second class successfully completed the regimen.

He described the 16-week program as “intense,” and by design, to meet the specific needs of employers, especially those in the financial-services sector.

“We didn’t want to set up anyone to fail,” he explained, adding that the vetting process is quite extensive and designed to weed out those who would not eventually meet the criteria for employment. “We do two levels of interviews to make sure that we’re matching the right individuals with this program.”

Busy Signals

Karen Zanetti was among those who went through, and passed, that rigorous interview process. She was one of the 18 members of the program’s second class who graduated on May 20.

Like Burek, she was unemployed — she was laid off from a job in human services roughly a year ago — and looking for a fresh start when she heard about the call-center initiative from her counselor at Holyoke-based CareerPoint and considered it an intriguing proposition.

“I had always had an interest in finance, banking, and customer service from years ago when I worked in retail,” she explained. “And when I saw the different kinds of classes that went into this program, it really appealed to me.”

She started an internship at MassMutual recently and hopes that experience will lead to a job with the company. Meanwhile, several members of her class have been hired by Liberty Mutual, and a few others have joined customer-service staffs at area banks and healthcare providers.

“It was a really good class,” said Martin, adding that the early results show that the program has real potential to reduce the size of the funnel LePage described and make it easier, and less expensive, for companies to secure qualified workers.

LePage agreed, adding that the success of the first two classes reveals that the program will likely benefit sectors other than financial services.

“One of the areas where we’ve had some dialogue and seen some success is the healthcare industry,” he noted. “We didn’t go into this thinking about this sector relative to call centers, but Baystate Health and Health New England both have significant call-center programs and need people with solid customer-service skills.”

The first two sessions of the pilot program have yielded some important lessons that will enable program organizers to make adjustments to better serve both participants and area employers, he added.

One such lesson concerns the scheduling of the sessions. Employers like MassMutual tend to hire at certain times of the year, and graduates need to be hitting the job market at those times, LePage said. “Our dialogue with industry partners revealed their desire to have the output of the students more aligned with their hiring patterns. Instead of a class that completes its work in December, they really see a value in completing in October, when they do their last hiring of the year. An officer with one of the banks said, ‘if you make toys, you don’t deliver on Christmas morning,’ and he’s right.”

Meanwhile, the first session revealed the importance of teaching the students the hiring process, he went on.

“We now run essentially a week of career experience,” he said. “The students do tours of area employers, such as Liberty Mutual. They spend a half-day there with the Liberty Mutual team, they sit in on calls, they visit the call center, they learn the operation.”

Program organizers also bring in eight to 10 employers for what LePage called “speed mentoring,” which amounts to one-on-one interviews that provide invaluable practice for the real thing.

It was during one of these speed-mentoring sessions that Blackman met Burek and immediately recognized that she was the type of candidate the company looks for.

“She was very articulate and very ambitious; she had the demeanor about her, the professionalism that we look for,” he recalled, crediting the call-center program with bringing such a candidate to the interview room.

Looking ahead, Martin said, after the third session is completed in the fall, the program will continue to operate as part of TWO, and will be a self-sustaining initiative, with participants eligible for financial aid and possibly assistance from potential employers in the form of scholarships.

Indeed, with the cost of the program likely to be $1,500 to $2,000 per student, LePage noted that this amount is far less than what a company would spend to hire and train an individual.

If and to what degree the program is scaled up is a matter that will essentially be determined by the needs of area businesses, said Martin, adding that organizers certainly don’t want to flood the market with candidates and leave candidates without job opportunities.

However, by scaling up, the region could gain that competitive advantage that comes with having a large, qualified pool of call-center and customer-service candidates.

“There’s been dialogue about being more aggressive just within the Commonwealth,” said LePage, “and be able to say to financial-services companies in the Boston area that we have the workers they need.”

A Positive Tone

It’s too early to know just how effective the call-center training program will be in helping employers overcome the many challenges to hiring qualified workers, create opportunities for the unemployed and underemployed, and perhaps make this region more competitive when it comes to attracting more customer-service facilities.

But it’s not too early to say that it is certainly moving the needle in the right direction.

Just ask Sarah Burek.

She’s on a path she couldn’t have imagined a year ago, and as she said, she can’t wait to see where it might take her. n

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

In a Class by Itself

By BusinessWest Staff May 20, 2014

Cover Story

UMass Dining Makes Degrees of Progress

“Come for the food; stay for the education.”

That was perhaps the most memorable, and repeated, remark offered by UMass Amherst Chancellor Kumble Subbaswamy at ribbon-cutting ceremonies last fall for the renovated Hampshire Dining Commons in the campus’s Southwest residential area.

And the comment speaks loudly to what would have to be called the meteoric rise of UMass Dining, an $80 million, self-sustaining operation that is one of the largest of its kind in the country, if not the world, and now also one of the most heralded.

It’s unlikely that any of the 28,000-odd students attending the university this past year came just for the food, but it’s fair to say it was a factor for many of them, which is something that could not have been said until … well, after Ken Toong arrived on the scene nearly 16 years ago.

Now a certified rock star in the dining-services universe, Toong, executive director of Auxiliary Enterprises for the university, which oversees a number of operations, including UMass Dining, changed the way the school thought about food and food service. He is credited with orchestrating a stunning turnaround for an operation that for decades was an afterthought — if it was thought about at all.

This resurgence is about much more than better-tasting food and more choices, although those are big parts of the recipe for success. It’s also about promoting healthy eating habits, buying local, sustainability — and fun, such as setting Guinness Book of World Records marks for the largest stir fry (4,010 pounds), seafood stew (6,656 pounds), and fruit salad (15,291 pounds) over the past three years.

There are myriad ways to measure the success achieved by Toong and his staff.

For starters, there’s a host of numbers and statistics concerning trends and programs within the operation. These include:

• A 15% increase in student consumption of fruits and vegetables over the past year;
• A 30% reduction in sodium in recipes;
• An 18% decline in the consumption of sugary drinks;
• Steadily climbing consumption of seafood; UMass students now eat 21 pounds of it a year, on average. Nationwide, the number is 14 pounds;
• A rise in the number of students on the meal plan from roughly 8,400 when Toong arrived to more than 17,000 in 2013;
• A sharp increase in the amount of produce the university buys locally — from roughly 8% a decade ago to nearly 40% today; and
• A so-called ‘missed-meal’ mark of 10%; 15 years ago, it was nearly 40%.

There are also awards — the dining service was rated the third-best in the nation by the Princeton Review in 2013, and first in University Primetime’s ranking of the 50 Best Colleges for Food in the U.S., for example — as well as comments such as the one offered by Subbaswamy and a number of visitors from other colleges who come to UMass Amherst to learn about the dining operation; Harvard, Yale, Buffalo, and UCLA have all been in recently.

And soon, there will be even more for such delegations to see. Indeed, work is proceeding on an extensive, $19 million renovation of the former Blue Wall cafe and adjacent space in the Campus Center into a 33,000-square-foot eatery that will sit more than 800 people (more on it later).

The emergence of UMass Dining is an important development for the university on a number of levels, said Toong, citing everything from the national exposure it brings to the revenue generated for the school; from help in bringing top students to Amherst to improved quality of life for all those on campus.

“We firmly believe that a strong dining program can do a lot of things for a school,” he explained. “It can certainly help a great university like UMass attract top students, and we also contribute to the financial well-being of the university.”

For this issue, BusinessWest goes behind the scenes at UMass Dining to get a taste — literally and figuratively — of how this turnaround has been accomplished and what it means for the university and its students.

Food for Thought

They’re known as ‘Baby Berk 1’ and ‘Baby Berk 2.’

These are the two colorfully painted food trucks operated by UMass Dining and now seen at various locations around the campus. They were given those names, said Garett DiStefano, director of Residential Dining at the university, because they’re essentially scaled-down, mobile versions of the Berkshire Dining Commons, also in Southwest, where they are parked when not in use, which means only for a few hours a day.

Garett DiStefano, seen in the renovated Hampshire Dining Commons, says UMass Dining places a strong emphasis on the “customization of food.”

These are said to be among the first food trucks put into use on a college campus, he told BusinessWest, adding that they serve everything from salads and soups to pulled-pork sandwiches to mac and cheese — or, more specifically, the university’s own brand of that classic known as ‘UMac and Cheese’ — and have become fixtures at the university.

“The food trucks allow us to have the ability to go around campus any time of day, any location, no matter what the event is, and serve students,” he said, adding that the vehicles got a workout over commencement weekend earlier this month, serving more than 5,000 customers.

They’re also just one of the many imaginative innovations and programs that have marked what would have to be called the ‘Ken Toong era’ for UMass Dining.

It began in the summer of 1998 when Toong, then working for Marriott International in Canada, saw a want ad that caught his attention. UMass Amherst was looking for an executive director of Dining Services.

The position appealed to him on a number of levels, but especially because it offered him an opportunity to put the many lessons in effective customer service he’d learned from Marriott in an intriguing and challenging setting — higher education, and, specifically, a UMass campus that was somewhat behind the times when it came to food services, as evidenced by the fact that perhaps a third of the student body was enrolled in a meal plan.

“I would say that they were not very customer-focused,” said Toong of the operation he joined, adding, in diplomatic terms, that the staff was in many ways talented, but not particularly well-trained or current with best practices of the day.

So he set about changing that equation.

His business plan, if one were to label it that, called for sweeping changes in what foods were served and how, with a much greater emphasis on both the customer and his or her experience.

The food trucks at UMass Amherst, Baby Berks I and 2, enable UMass Dining to take its service to another level.

One of his first, and more intriguing, initiatives was the introduction of sushi onto the menu at the various dining commons. At the time, 2001, it was a fairly radical concept — only a few other schools, mostly on the West Coast, were serving it on a regular basis — and Toong wasn’t sure quite what to expect.

He certainly didn’t envision that, a decade later, the school would be serving more than 3,000 pieces a day.

“We serve more sushi than anyone else in the country, and this is New England, not Southern Calif.,” he said. “At first, I wasn’t sure we could serve sushi here; now, if we took it off the menu, I think there would protests across campus.”

But there is much more to this story than raw fish and rice.

Indeed, Toong and his staff have taken UMass Dining in a number of new and intriguing directions — from new eateries on campus, such as a facility in the main library affectionately named Procrastination Station, to those aforementioned food trucks; from a host of educational initiatives on healthy eating to the UMass Permaculture Initiative, a cutting-edge sustainability program that has received accolades from the White House.

As they talked about all that, Toong and DiStefano referenced what they called the ‘Millennial diner,’ their term for today’s college student — a very demanding customer indeed.

“They want everything — they want food that tastes good and is good for them,” Toong said of this constituency, which also demands sustainability and the support of local farmers and manufacturers. “We serve the same customers several times a day, so the food has to be good, and it has to be a good experience; otherwise they get bored. That’s why we change the menu all the time; we’re like casino dining, but without the games.”

Power Lunch

Meeting the many wants, needs, and demands of the Millennial diner is the unofficial mission of UMass Dining, the largest campus food service, by revenue, in the country.

This is a multi-faceted operation that includes four dining commons — Hampshire, Worcester, Franklin, and Berkshire (they’re named after Western and Central Mass. counties), as well as 20 retail locations, including the Baby Berks, a bake shop operating in the Hampden Dining Commons, and other facilities.

Together, these eateries serve roughly 45,000 meals a day, or 5.5 million a year, said DiStefano, adding that what is served, when, and how are all functions of the operation’s hard focus on customer service and making necessary adjustments to reflect the calendar and specific needs.

The food trucks, for example, operate from 7 a.m. to 4 p.m., and will park at various locations across campus. Meanwhile, dining commons, which years ago closed by early evening are now staying open much later.

“Between 9 p.m. and midnight, we’ll feed 3,000 students a day in the dining commons,” said DiStefano, adding that many customers are averaging what amounts to four square meals a day, not three. “What we try to do is keep pace with what’s going on in the campus community and adjust accordingly.”

During final exams and the reading period that preceded them earlier this month, hours of operation in the dining commons were extended to 2 a.m., while other operations, such as Procrastination Station, were open 24 hours a day.

Meanwhile, UMass Dining employees will generally eat in the campus facilities every day, he went on, adding that this is the best way to see what’s going on and gauge student opinion.

“We have to see things from a student point of view,” he told BusinessWest. “If you’re not looking at what the customer sees every day, you’re going to miss some things.”

Overall, UMass Dining owes its success to successful relationship-building efforts, said Toong, adding that there are many constituencies involved.

This architect’s rendering shows what’s planned for the former Blue Wall café, a 33,000-square-foot eatery that will seat more than 800 people.

These include students at the university, obviously — there are regular meetings to gain input and create adjustments — but also other colleges and universities and their dining programs, area youth groups that come to the Amherst campus to learn about healthy eating and sustainability, and even students’ parents.

In fact, parents can eat for free whenever they visit the university, said Toong, and they can contribute recipes to a cookbook called Taste of Home, now in its fifth edition.

The current volume includes bacon brussels sprouts from the Berson/Krohngold family in Cleveland, mix bean curry from the Bhatt family in Lexington, apple puffed pancakes from the Brady family in Ludlow, and fiddlehead ferns with Hollandaise sauce via the Carlton/Bates family in Turners Falls.

“Some dining operations around the country don’t want to get the parents involved,” said Toong. “We’re just the opposite; we know they’re the ones paying the bills, and we want their input.”

Meanwhile, the university is sharing recipes, best practices, and thoughts about where this industry is headed next with representatives of a number of colleges and universities, said DiStefano, adding that college dining is a very collaborative business sector.

“We’re not competing against Stanford or UC Berkeley or UCLA,” he explained. “So we get to pool information and say, ‘what is UCLA doing that we should be doing?’ and ‘what is UMass doing that UCLA should be doing?’”

On a Grand Scale

They’re called ‘trash fish.’

That’s an affectionate industry term for a range of underutilized species, including hake, blue fish, Acadian red fish, pollack, and dogfish, said DiStefano, adding that the name originates from the fact that fishermen once simply threw these fish away because no one wanted them.

But as traditional staples such as cod and salmon have become overfished, attitudes about these trash fish have changed, and the university is now at the forefront of a movement to create a market for these species by including them in a number of recipes, such as the one for fish tacos. And by doing so, the school is supporting struggling fishermen, diversifying students’ palates, taking the pressure off over-fished species, and further promoting healthy eating.

“This allows us to support fishermen who might otherwise be out of business because there are limits on salmon and Atlantic cod,” DiStefano explained, adding that use of these trash fish is just one example of how the university’s dining service goes about meeting the many facets of its mission statement, everything from sustainability to healthy eating to supporting the local economy.

And that word ‘local’ has a broad definition, said both DiStefano and Toong, noting that the university buys from asparagus growers in Hadley, Angy’s in Westfield (pizza dough), Performance Food Group in Springfield (a $15 million annual contract), a bakery operation in Boston, and the Hadley Sugar Shack, among many others.

“It’s part of our mission to support people who support the economy around us — as we grow, they grow,” said DiStefano. “And when we survey our students, more than 75% of them say buying local is important to them. The word ‘local’ to them means they’re tied to the community, and community is very important to them.”

In addition to buying local, UMass Dining also puts a heavy focus on healthy eating, said Toong, adding that this is both a national trend and a reflection of changing habits — and attitudes — among today’s college students.

In response to this change, UMass Dining has initiated what it calls its ‘stealth health program.’ It covers all the bases, said Toong, from reducing sodium in recipes to serving more fruits and vegetables to providing portion control through a philosophy summed up with the phrase ‘small plates with big flavor.’

“Five years ago, we spent about $1.5 million on produce,” said Toong, using more numbers to get his points across. “This year, we spent close to $3 million.”

All these characteristics of the dining program — from the smaller portions to the diversity of the cuisine to the emphasis on sustainability — are clearly in evidence at Berkshire Dining Commons, which underwent extensive renovations six years ago, and the new Hampshire Dining Commons. Together, they serve the 6,000 people living in Southwest, one of the most densely populated areas in the country.

As he offered BusinessWest a tour of the former, DiStefano started at the so-called Noodle Bowl. “Noodles are hot right now,” he said, adding that this station enables students to pick not only their noodle — there are several options — but also the broth and toppings they want with it.

“This allows the customization of food,” he said, using that term for the first of many times, while noting that almost all the cooking is now done in front of the student, and meals are made to order.

This is true at the nearby vegetarian station, the salad station, an area where students can design their own flatbread pizza, the wok station, the Pasta Pronto station, and an area marked ‘street food.’

“This is the worldwide concept of food — anything that’s small and eaten by hand, like tapas and sliders,” he explained. “It’s all made to order — we’re continuously making small batches of it all day long.”

This is a trayless environment, DiStefano explained, adding that students will take what they need and go back for more if they need to, rather than piling things onto a tray. This concept, another idea that came from students, has enabled the school to reduce food waste by roughly 30%.

The open, oval layout at Berkshire, designed to eliminate lines and bottlenecks, was taken even further in Hampshire, said DiStefano, noting that best practices from dining commons around the country were incorporated into its design and operations.

“The oval design allows students to see everything around them, they can find a seat quickly, and they can engage with chefs behind the line in terms of what they’re cooking,” he explained. “And they can hear, smell, and see what’s being prepared in front of them.

“The oval design also diminishes queues, because you can pick a little bit at each station,” he went, “as opposed to going to one station and lining up and going to another station and lining up.”

Many of these same concepts will be put to use at a facility being built on the site of the Blue Wall, said David Eichstaedt, director of Retail Dining for the university.

He told BusinessWest that a new classroom building now under construction near the Campus Center will bring several thousand students each day to that part of the campus, and larger, more modern, more customer-friendly facilities are needed to serve that population.

The new eatery will include many of the features found in the renovated dining commons, including a bake shop, a host of food stations, and made-to-order foods. The yet-to-be-named facility — students will ultimately make that decision through social media — is scheduled to open this fall.

Lobster Tales

Last Halloween night, UMass Dining served surf and turf for the masses.

The program was called “Just Treats, No Tricks,” said DiStefano, and featured steaks and lobsters — 12,000 of them.

That grand meal is just one of many ways to measure just how far this program has come in a few decades, and how important food service has become for a school that may soon have a rival for its marching band when it comes to national acclaim.

As the chancellor said, “come for the food; stay for the education.”

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

2014 Restaurant Guide

By BusinessWest Staff May 6, 2014

Cover Story Restaurants Sections

Our annual look at the region’s dining landscape

Click here to download a PDF chart of restaurants in the region.

Introducing the Class 2014

By BusinessWest Staff April 22, 2014

40 Under 40 Cover Story The Class of 2014

The Young Business and Community Leaders of Western Massachusetts

In 2007, BusinessWest introduced a new recognition program called 40 Under Forty. It was intended as a vehicle to showcase young talent in the four counties of Western Mass. and, in turn, inspire others to reach higher and do more in their community.

Seven years later, it has accomplished all that and much more. The program has become a brand, the awards gala has become one of the most anticipated events of the year, and the 40 Under Forty plaque that sits on one’s desk has become both a coveted prize and symbol of excellence, recognized by all.

On June 19 at the Log Cabin Banquet & Meeting House in Holyoke, 40 more plaques will be handed out, to members of a class that is both distinguished and diverse. It includes bankers, lawyers, and accountants, but also a Holyoke city councilor, a contractor who specializes in blitz building, and Springfield’s senior project manager. And it represents virtually every business sector, from healthcare to education; from technology to the nonprofit realm.

With that, we introduce the Class of 2014 with words (enough to explain why they’re an honoree) and pictures that tell a big part of each story, whether the winner is captured with his or her children, dog, or even boxing gloves or a giant candle. The stories are all different, but the common denominator is that these young individuals possess that most important of qualities: leadership.

Click here to download a PDF flipbook version of the 40 Under Forty Class of 2014

Partner

2014 40 Under Forty Winners:

Tamara Blake
Sandy Cassanelli
Robert Chateauneuf
Nick Colgin
Izabela Collier
G. David Condon IV
Jose Delgado
Justin Dion
Garett DiStefano
Patricia Faginski
Sean Gouvin
Nicole Griffin
Lee Hagon
Denise Hurst
Justin Hurst
Sean Jeffords
Danielle Klein-Williams
Dr. Andrew Lam
Angela Lussier
Ruby Maddox
Kevin Maltby
Andrew McMahon
Geoff Medeiros
Alex Morse
Meghan Parnell-Gregoire
Orlando Ramos
Jason Randall
Liz Rappaport
Robert Raynor
Alfonso Santaniello
Michael Schneider
Paul Silva
Michael Simolo
Noah Smith
Seth Stratton
Geoff Sullivan
Kyle Sullivan
Anthony Surrette
Jessica Wales
Francia Wisnewski

Meet the Judges — Click Here

Photography for this special section by Denise Smith Photography

College Try

By BusinessWest Staff April 8, 2014

Cover Story

Holyoke Blue Sox Reach for the (Future) Stars

Hunter Golden is living the baseball dream. A dream that seemed unattainable when he actually, you know, played the game.

“I was a terrible baseball player. I was a pretty good athlete, but a terrible baseball player,” he said of his days in youth sports. “I wasn’t bad — I was brutal. I felt bad for my parents having to watch.”

Which is why his new role — as general manager of the Holyoke Blue Sox, hired last year by the team’s new owner, Clark Eckhoff — is more than a little surprising.

“Baseball has always been this mistress of mine since I was young,” Golden said. “It’s weird — baseball was always a source of conflict in my life. My dad was a diehard Yankee fan and owned season tickets; I was a Red Sox fan. My dad was great at baseball, and I stunk. I mean, I was indescribably bad, but I was always chasing it, trying to beat it.”

is ascension from sports blogger to upper management of a team in the New England Collegiate Baseball League (more on that later) is just one of many brainstorms wrought by Eckhoff, who previously owned the Wausau (Wisconsin) Woodchucks of the Northwoods League for 13 years, and was looking for a change when he bought the Blue Sox last summer.

“I saw this as a huge opportunity, based on the market and the great baseball culture here,” Eckhoff told BusinessWest. “My wife likes the New York area and the East Coast, and all our kids are in college but one, so we saw it as a different challenge, a new adventure. We’re going to grow this thing, and it’s something that’ll be really special for fans throughout the Pioneer Valley.”

To do that will require a significant boost in the team’s profile. “The biggest thing is, you have to promote the product. A lot of people in the Valley don’t even know we’re here,” he said.

MacKenzie Stadium, adjacent to Holyoke High School, has been the Blue Sox’ home since 2007, and will host the NECBL All-Star Game in July.

“We’ve got to get people exposed to the product and see how affordable it is,” he continued. “Not only that, but our players are accessible; you can get autographs. Hey, your son might be getting the autograph of a future major-league baseball player. The product is very good, but we’ve got to bring it all together.”

The summer league — which attracts elite collegiate players from across the U.S. to play a 44-game schedule from June into August — has plenty to recommend it, Eckhoff said. “We’re getting the best kids in the country, but we also make it about entertainment, with giveaways and on-field promotions. In minor-league baseball, 80% of the fan base is coming out for an affordable family night.”

He and Golden believe that fan base is largely untapped — after all, Springfield remains the largest metro area in the country without a professional baseball team — and have some ambitious plans to make the Blue Sox more of a household name.

Cream of the Crop

Peruse the 30-man Blue Sox roster, Golden said, and you’ll see schools like Cal State-Fullerton, Miami, Vanderbilt, and other top baseball universities represented.

“They’re the cream of the crop, the best guys out there,” he said, noting that two of the last five number-one major-league draft picks — Stephen Strasburg in 2009 and Mark Appel in 2013 — played in the New England Collegiate Baseball League (NECBL), as did notable lights like Andre Ethier, Andrew Bailey, Joe Nathan, Craig Breslow, Chris Ianetta, and scores of others.

“It’s a tremendous opportunity for these guys to really showcase their talent in a professional setting. Major League Baseball is a big believer in our product and the caliber of players we bring,” he said. “Watch the College World Series, and chances are you’ll see half our roster.”

This year, the team is heavily promoting catcher Max Pentecost, a Kennesaw State University junior who’s projected as an eventual first-round, top-20 major-league draft pick. “That’s how good these guys are. They’re no joke. We see 19-year-olds throwing in the mid-90s, hitting the ball 400-plus feet. They’re prodigies, and this is where they come to showcase themselves.”

Pentecost played for the Blue Sox in 2012 before spending last summer in the Cape Cod Baseball League, one of Holyoke’s main competitors for talent. But Golden noted that, while the CCBL may be a higher-profile league, the NECBL, with its longer road trips, offers an experience more reflective of the minor-league life. “We sell that to the players — it’s more of an opportunity to come and develop themselves professionally.”

And the professional baseball life is, despite its perceived glamor factor, a real job, he explained. “These guys get to the clubhouse at 9 in the morning, and they’re reading scouting reports, data reports, understanding the math, learning the pitching staff, how fast they throw, each pitcher’s arm slot — they’ve got to memorize all that stuff. They deal with injuries, they deal with the media … there’s a lot in a baseball player’s day.”

Other collegiate summer leagues across the country offer bigger stadiums and more fans, which can be seductive, but the NECBL has a reputation for taking seriously the job of preparing young men for professional ball — and the risk that career path entails.

“A lot of these kids turned down a lot of money to stay in college and get their degree. They’re coming to a collegiate league to advance their career and work toward a college degree,” Eckhoff said — a smart move for most, he added, since only 3% of all players who enter professional ball ever reach the majors. “It’s smart to at least graduate before entering the minor leagues; it’s a tough road.”

If the Blue Sox do their job with scouting, he added, fans will see more than one future major leaguer in action. As for recruiting, he said he enjoys the networking side of that important task.

“With me being older, it’s easier for me to pick up the phone,” he said. “I know the coaches at Fullerton, Stanford, Oregon, and the coaches trust me; we have a good relationship. They know the kids will have good host families and will be taken care of well.”

Those families, who volunteer to share their homes with the collegiates, are a key component in the success of a team, Eckhoff added. “I knew a lady in Wisconsin who hosted three or four players a year, over 18 or 19 years. She had a wall with [photos of] 70-something players who stayed with her. She stayed in touch with them, even flew to a wedding in Texas. That was incredible. It almost becomes like an extended family.”

Blogger Rhythm

Meanwhile, Golden’s path to professional baseball came through a relationship not with coaches and players, but with numbers.

After his washout as a player, he found some measure of satisfaction in sabermetrics, an innovative way to analyze a baseball player’s potential by crunching his in-game performance into, essentially, hard math. While Michael Lewis’s bestseller Moneyball brought the concept into the mainstream, a core of number crunchers led by the original sabermetrician, Bill James — whose newsletters Golden read meticulously — had long been touting new ways to measure performance.

Clark Eckhoff says his goal is to spread the word about the high quality of play and affordability of a Blue Sox game — and he’s confident that people will come.

That was a little odd, Golden conceded, since, as a child, he was a straight-A student — except in math, where he earned Ds. “Essentially, I got involved in two things I wasn’t good at — baseball and math — but they coalesced because of Bill James.”

In terms of impact, Moneyball was a “nuclear bomb” on the baseball-management scene, he said, although Athletics GM Billy Beane, the focus of that book, was hardly the first to put sabermetrics into practice. “But he was one of the first to be vocal about it and be successful with it.”

After graduating from Springfield College, Golden launched his own copywriting business, which morphed into a marketing consultancy, working with several national clients. But because he was passionate about baseball and sabermetrics, he started a blog on those topics in 2007.

“My friends really liked it,” he said. “Then Twitter came around, and Twitter turned into a gigantic barroom for baseball dorks. One thing led to another, and my work got noticed by ESPN, which had me come on board with their SweetSpot blog.” Appearances on outlets like the Sports Hub radio station in Boston raised his profile further, which attracted the attention of Eckhoff, who asked Golden to serve on a community-advisory board after he purchased the Blue Sox.

“He heard about me through the grapevine of local baseball dorks and brought me to the table,” Golden said. “We hit it off, and after three or four conversations, we got together for lunch, and he offered me the job.”

It was a big deal, he added, because the world of baseball management, a classic old-boys network, is a notoriously tough nut to crack for job seekers. “I always thought of the MLB employment site as a place they just stash résumés.

“It’s weird, though; once you’re in, you’re in,” he added, recalling sitting down in Dallas and chatting with former Yankees bullpen coach Dom Scala — who told stories about Billy Martin, Reggie Jackson, fights in the locker room, and humorous run-ins with George Steinbrenner — like the two were old pals.

And he loved this world, dealing for the first time with flesh-and-blood players and not just numbers — and in a much different way than, say, the management of the Springfield Falcons, the American Hockey League affiliate of the Columbus Blue Jackets.

“I think where we’re different — and, from a greedy standpoint, where it’s fun for me — is that we have a significant baseball-operations component to what we do,” Golden said. “With the Falcons, the Blue Jackets say, ‘here are your players; don’t break ’em.’ Ultimately, at the end of the day, the parent club dictates who the players are going to be. Here, we identify and recruit players we like for next year’s team, and our roster turns over year after year. We’re constantly in player-acquisition and analysis mode based on objective data, sabermetrics, and scouting.

“The challenge in this league is to win now; we have to get players who are good now,” he added. “It’s very easy to get seduced by prospects with a little more talent, who may be better off down the line.”

Even some very good players, unfortunately, reach their end in college, never even making it to single-A ball. “A lot of kids come here batting .340 in college and can’t hit with wood bats, and their career goes up in smoke,” Eckhoff said. “It happens. One kid came in and lost 140 points in one year.”

Race to the Top

The key to the team’s success, Golden said, is to take player development seriously, but also understand that families that show up at MacKenzie Stadium, near Holyoke High School, want to have a good — even silly — time.

“Our core product is baseball, but really, at the end of the day, we’re family entertainment,” he told BusinessWest. “We have the goofy promotions — the dizzy bat races, the sausage races — but also serious stuff, like recognizing community heroes and a Rays of Hope night. Just like a minor-league franchise, that’s ultimately what fans come back to see.”

Families with children are a key demographic, he said. “It’s expensive to see the Boston Red Sox. Between tickets and parking, before you even get in the park, you’re out $150 for a family of four. Then it’s $50, $75, maybe $100 more to feed everybody, then you drive all the way home.”

With Blue Sox tickets priced at $4 and $6, it’s a more manageable financial proposition. “You can bring $35 bucks to the park and have a really great time with your family,” Golden said. “We’re even cheaper than the movies, and you can be outside talking to each other. It’s an outstanding value for families.”

Meanwhile, the team is making an effort to be more visible in, and involved with, the community. “We’re working closely with area nonprofit organizations. We want to bring as many to the park as possible this year, and have ballplayers and the mascot at events. We’re going to have a nonprofit or two at the stadium every game this season. The community impact that has is substantial.”

The team is planning to get kids involved more as well, bringing them on the field for the national anthem, making players accessible for autographs, and conducting a summer baseball clinic.

In another move that makes sense in Holyoke, Golden said, “we’re aggressively courting the Hispanic and Latino market, which, from a sports standpoint, has gone mostly untapped here. That’s a baseball-crazy culture, and we’ve got a great opportunity to market to them.”

Whoever comes to the games, the idea is to show them a good time, Eckhoff said. “Every home game, we’ll have a different promotion, whether it’s a T-shirt giveaway or a bobblehead or something else. And our concession prices are more affordable. We’ll have dollar-hot-dog nights.”

He recalled one promotion in Wausau called the ‘chicken chuck,’ where fans tried to toss a rubber chicken back and forth and catch it in a frying pan. “You have 90 seconds between half-innings to show them something enjoyable; it could be a T-shirt toss or a chicken chuck. And they remember that.”

Added Golden, “if you wait two weeks after a game and ask a fan who attended the game what he remembers, it won’t be the players or the score, but they will remember the chicken chuck.”

Eckhoff was doing something right in Wisconsin. When he bought the Woodchucks in 1999, the team was drawing some 600 fans per night. By his 10th year, attendance averaged 2,000. He attributes that to the team getting the word out about the quality of play — about 15 of his players eventually made the majors, including Ben Zobrist — but the fun factor as well.

Stars Aligned

The New England Collegiate Baseball League has experienced similar growth since its founding in 1993 by former MLB Commissioner Fay Vincent. It began with four teams and eventually expanded to 12.

“That’s slow, sustainable growth,” Golden said. “That’s playing for the long game, and the caliber of baseball has continually gotten better over the years. More than 150 major-league players have come through the league, the lion’s share in the last 10 years.”

The Blue Sox, who began in 2001 as the Concord (N.H.) Quarry Dogs before relocating to Holyoke in 2007, have seen ups and downs of their own, but the new ownership believes a largely untapped base of potential fans is waiting to support quality summer baseball in the Valley — and that attendance, currently averaging about 1,000 per game, will follow. Hosting the league’s All-Star Game on July 20 is just one more draw.

“Our goal this year is to establish a real, genuine presence in the region and let people know we’re here,” Golden said. “We’re committed to the region, and we’re going to make this thing work.”

In the end, the numbers won’t lie. They never do. Just ask any sabermetrics dork.

Joseph Bednar can be reached at [email protected]

Life Savers

By BusinessWest Staff March 25, 2014

Banking and Financial Services Cover Story Sections

St. Germain Investment Management Gets Personal

When gauging the reputation of St. Germain Investment Management, Tim Suffish says, one measure is the number of non-clients who call out of the blue.

“It happens all the time,” he said. “People call with questions, and we just give the advice. We’re more than happy to take the calls. It’s a sign that the company is doing things right when random people call us and are reaching out for something. They’re always shocked and appreciative when one of the financial advisors spend time on the phone with them with no expectation of anything in return.”

Suffish, the firm’s senior vice president of equity markets, said it’s a reflection of the name St. Germain has built in Greater Springfield for the past 90 years. But the company, launched by D.J. St. Germain in 1924, hit some, well, depressing times in its early days.

“D.J. did fantastic with his investments the first five years. Then 1929 came along and wiped out a decent portion of his net worth,” said Mike Matty, the company’s current president, adding that surviving the Great Depression sparked the firm’s long-standing focus on investing conservatively.

“He realized that not losing an investment is every bit as important as making money. That has guided our conservative philosophy, and it’s the way we continue to make money,” Matty said. “During the most recent downturn, eight or nine people said to us, ‘we know we’re not going back to the old highs,’ and yet, this week, we’re at new highs. We hit a billion last year in assets under management.”

Matty, however, prefers to talk about people, not numbers, when considering how St. Germain has grown since the days of D.J.

Mike Matty, president of St. Germain Investment Management

“It’s easy to start a business, but it’s tough to stay in business 90 years. The way you do that is treat the clients right, and we’ve done a terrific job with that philosophy,” he said. “We have a great team here; they could all work in Boston or New York, or wherever they want to be. But we all like working here in Western Mass.; we all want to be here.”

Suffish said there’s a certain satisfaction that comes with helping clients — whose only exposure to retirement savings to that point might be a company-sponsored 401(k) plan — really think about what they want from their golden years.

“They’re thinking about retirement, planning to leave their job and go from earning and putting money away for retirement to taking money from their retirement account,” he said. “It’s huge. People who haven’t gone through it don’t realize how … not traumatic, necessarily, but how serious it is, and the consideration and planning that goes into it.

“Once you’re into retirement, you want to make the most of it, so you don’t outlive your money,” he went on. “That’s our meat and potatoes; the most important thing we do is sitting down and talking with clients, people entrusting us with everything they have to last them through their last days.”

Human Touch

Matty said St. Germain had long been known strictly as an investment manager, but about a decade ago, the company began to broaden its scope to all-around financial planning.

“We now do comprehensive financial planning with people. We take a look at where their income streams are in retirement; are they adequately covered? And we’re the go-to call for people on other financial questions — buying a car, refinancing a house, whatever it may be, we get a call. That’s worked out very well for us.

“Life has gotten much more complicated these days,” he continued. “People get exposed to an immense amount of information overload on the Internet. Can you sit down and Google it? Sure, but you’ll see 150,000 results. People say to us, after trying to figure it out on their own, ‘I want to talk to someone who actually walks the walk before I do this.’ That’s what we’re great at.”

Mike Matty, left, and Tim Suffish say their most important job is talking one-on-one with clients and understanding their expectations for life after retirement.

Matty and Suffish are both CFAs, or chartered financial analysts. “CFAs are the financial-analysis equivalent of CPAs,” Matty said. “We’re super-knowledgeable, highly trained people. It’s New York or Boston expertise, accessible in Western Mass. at a reasonable cost.”

Suffish said a client was in reviewing his account recently and saw a photograph of D.J. St. Germain with a 1930s-era Packard. “He said, ‘I remember going for a ride in that car.’ The company has been here a long time, and the experience has been consistent. People change sometimes, but the St. Germain way keeps people here a long time.”

Still, the company has experienced a growth spurt in the past decade. When Suffish came on board in 2004, he was the seventh employee; now 20 people work there. But that growth has not come at the expense of the personal touch that has long been a priority.

“When people pick up the phone and call us, they get a receptionist, not voice mail. An automated voice drives people crazy,” Matty said. “It’s one of many small touches, one of the things that sets us apart from a lot of other financial firms out there. If you’ve got a half-million parked with a big brokerage firm, you’re a cog in the wheel there. To us, you’re a client. You’re going to hear from us, and we want to hear from you. You’re not just a nameless, faceless account number. We want to get to know you.”

And know your partner as well — even if that meeting comes late in the game.

“In a lot of cases, one spouse will open an account,” he said, and after that client dies, “we almost become a surrogate spouse for the survivor because they know nothing about the household finances.”

In such cases, the survivor’s concerns often boil down to one simple question.

“They ask, ‘can I live in the lifestyle I know now? That’s all I need to know.’ They don’t want to talk about realized gains versus unrealized gains. They say, ‘I’m a machinist. I’m hiring you guys to manage the money because that’s what you do.’

Such clients appreciate a conservative approach that stays the course, Matty said. “To us, the name of the game is giving people most of the upside and preventing them from losing much on the downside. More people get scared out of the market by losses than pulled into it by greed. And they pull out at exactly the wrong time.”

Age-old Concerns

Matty said a client’s age plays a factor in asset allocation, or what percentage of money is tied up in stocks, bonds, and other vehicles.

“We’ve extended out in the past few years beyond just a conservative stock philosophy,” he added, noting that equity-income accounts — a type of mutual fund that invests in companies with a history of solid dividend payments — have become a prominent part of the roster.

“Even with what we do on the management side, making sure we build a diverse portfolio, those types of stocks are still going to be a bumpy ride,” Suffish said. “When there’s a scare overseas or interest rates do something funny, those stocks will move around a bit.” But, he added, building a portfolio that focuses on income generation through dividend growth is a good fit for many clients.

Beyond that, conventional wisdom on asset mix has shifted over the years, he said. It used to be that subtracting one’s age from 100 gave the recommended percentage of assets in stocks. Now, it’s closer to 120 minus one’s age.

“But everyone is unique,” he added, and financial advisors must take into consideration factors like Social Security projections, pensions, retirement-account balances, expected inheritance, and overall lifestyle expectations.

“If somebody is 75 years old and has all their needs met by income sources like pension and Social Security, that client can afford to be more invested in stocks,” Suffish said. “The most important thing at St. Germain is the conversation between the financial advisor and the client. It’s not like picking Coke over Pepsi; that’s a very small factor. The most important thing is the conversation between the financial advisor and the client, us knowing them and their situation, and getting the financial mix right.”

It’s definitely a more complex financial world, Matty said.

“Fifty years ago, when you turned 65 years old, you could rely on Social Security and probably had a pension. Life expectancy was not a whole lot longer after retirement, and you had some pretty reliable income sources. People had more homogeneity,” he told BusinessWest.

“Now, we have 65-year-olds taking up skiing. They plan to live 30 more years. People are saying, ‘I don’t think Social Security is going to be there for me.’ Virtually no one has a pension anymore. There’s no homogeneity,” he went on. “A client might say, ‘I’ve got aged parents, and I’m taking care of a special-needs son, who will probably live with me forever. And there’s longevity in my family; people live into their 90s.’ Everyone is unique. In these circumstances, we really need to spend time getting to know you.”

Clients run the gamut, Matty said, from individuals with accounts large enough to grab the attention of a larger firm to people who have worked hard their entire lives to amass a couple hundred thousand dollars, or less.

“I tell these folks, ‘I know to you it’s a lot of money; it’s all you’ve got. I want to treat you with respect.’ We absolutely can take on folks who have millions, but if your money is significantly less, that’s fine by us too. People here are not paid on commission. They’re perfectly happy to sit down with a guy with $150,000 or a guy with $1.5 million.”

Committed, Not Commissioned

That policy of no commissions is uncommon in the industry, Matty said. “I don’t want to incentivize people here to do anything other than what’s in the best interest of the client. If they have cash in the bank, let them keep it in the bank. I’d rather spend time working with people, making a little bit off them every year, and keep them another 90 years, rather than get a big commission off them, then go out and find new clients next year. We have people here whose great-grandparents had accounts — people who have been here since the 1930s.”

St. Germain’s independence also allows advisors to give non-biased information, he said. “We’re not trying to sell any products to you. And at a lot of financial firms, people who work at the firm don’t have their money invested there. That’s not the case here.

“We live here, we work here, and we’re part of the community here, and we do our share to support the community that has supported us for the past 90 years,” he continued. “We try to give back at both the corporate level and personal level; virtually everyone here is volunteering or serving on boards, as well as all the financial support we give.”

Still, Matty said, what many clients appreciate most is simply being able to call and speak to someone with answers.

“I think we’re easy to talk to,” he said. “It’s a simple point, but it means an awful lot. Some people might prefer a website, but I find, especially as people get older, they want to call and talk to the same person, and not have to explain their circumstances every time. As clients get older, they really appreciate that.”

It’s an approach that has worked since D.J. St. Germain drove that Packard around Springfield — and will continue long after those who remember him are gone.

Joseph Bednar can be reached at [email protected]

Recognizable Impact

By BusinessWest Staff March 11, 2014

Cover Story

Mike Mathis Has Become the Face of MGM Springfield

A year or so ago, Mike Mathis could walk the streets of downtown Springfield in relative anonymity.

These days … well, not so much.
He said he was buttonholed recently by a business owner on Worthington Street who gave him a tutorial on the wide range of musical talent that resides in this region and advised him to exploit it. And a few days ago, he was recognized by the person working behind the counter at a car-rental agency, who asked about job opportunities — not for himself, but for family members who had left the area and were interested in coming back.

There have been many similar episodes over the past several months, and there will certainly be exponentially more for what everyone expects will be years to come.

That’s because Mathis is the face of the $800 million casino project proposed for Springfield’s South End, and, increasingly, that face is being recognized, a development he doesn’t mind at all.

Indeed, Mathis, whose business card now reads ‘president, MGM Springfield,’ likes talking with people about what could be called his project, although there is already a sizable team working on it. And more than that, he loves hearing from individuals about how this initiative could dramatically change things for the city and the region — and in positive ways.

‘Transformative’ was the word he said one state official used to describe the MGM Springfield project, and he’s not at all shy about borrowing that term.

Actually, he’s not shy about much of anything, a character trait he says is one of many necessitated by, and also honed by, life as the son of an Army officer who moved his family a number of times during his career.

“It was a wonderful childhood,” Mathis told BusinessWest, listing stops in Atlanta, Monterey, Calif., Frankfurt, Germany, and Huntsville, Ala., among many others. “The nature of moving around that often, and the whole culture of military kids and schools, is that you make friends really quickly. It forces you to be outgoing, and you need to be open to a lot of different cultures, because you’re going to experience them. So I give a lot of credit to my dad and my mom for helping me to get there in terms of my personality.”

Those qualities he listed have served him well in a career that started with a New Jersey law firm just after he earned his juris doctor at Georgetown University, but soon saw the dateline shift to Las Vegas, where he would become involved in one of the biggest projects in the industry’s history — that is, until the recession stopped it in its tracks (more on that later).

He would eventually be recruited by MGM Resorts International, where he would rise to the title of vice president of the Global Gaming Department, a position that would take him from Vegas to Macau, Japan, countless other stops, and eventually to Springfield, which, by the fall of 2012 had become ground zero in the fight for the coveted Western Mass. casino license.

Mike Mathis made frequent use of the word ‘transformative’ to describe the impact MGM’s proposed casino will have on Springfield and the surrounding region.

By last fall — Nov. 4, to be exact, the day Palmer voters said ‘no’ to Mohegan Sun’s plans to build a resort casino just off turnpike exit 8 — the MGM proposal was the proverbial last plan standing.

That phrase has been used quite extensively in the press, and Mathis doesn’t like it at all. He told BusinessWest that it conveys the sense that MGM will win this license — if that’s what happens — seemingly by default.

Instead, he said, MGM will have triumphed because it had the best plan, one that prevailed over Penn National’s bid to build a gaming complex in Springfield’s North End in what became the first stage of the license competition, and one he believes is a potentially groundbreaking concept for an urban gaming facility — what the company calls the ‘inside-out casino.’

“I think this project is going to set the bar for any other opportunities that a gaming company has to develop in a downtown urban environment,” he said, making reference to this plan’s focus on melding with its surroundings and putting the emphasis on family entertainment, not gaming. “If all goes well, people will look back at what we did in Springfield as the standard.”

For this issue and its focus on the casino era, BusinessWest talked at length with Mathis about everything from his career in this industry to the state of MGM’s proposal to the nagging presence of a referendum initiative that could undo everything that’s transpired since the gaming legislation was passed in the fall of 2011.

And in keeping with his character, he wasn’t shy about speaking his mind.

In the Background

Mathis remembers that it was a dark February day, one when the mercury barely touched 20 degrees. Those were the conditions when he and his wife, Lisa, whom he met while both were pursuing law degrees at Georgetown, boarded a plane at New York’s JFK airport to take up a fellow classmate’s advice to explore job opportunities in Las Vegas.

“It was 75 and perfect when we landed,” he said with a broad smile, adding that the weather was just one of many factors that would entice the couple to pack up and move roughly 2,500 miles west.

The bigger factor was that Las Vegas was at what would later be identified as the early stages of a massive building boom, one that this entrepreneurial couple wanted to be a part of.

Mike Mathis says MGM’s planned ‘inside-out’ casino could set the standard when it comes to urban gaming facilities.

Backing up a bit, Mathis said his childhood spent moving from base to base, and the character traits it generated, definitely had an impact on his eventual career track and made it much easier to pick up and move across the country.

“My upbringing in a military family helps define my in a lot of ways,” he explained. “It’s not surprising to me that I’ve been attracted to hospitality and international development, because I’m very comfortable traveling, and I like experiencing new environments.”

He saw many environments in his youth, starting with the desert in Arizona, where he was born. Over the next decade and a half, his father’s work would take the family to the Southeast — Atlanta and Huntsville — and then to the West Coast and Monterey, a somewhat lengthier stint that was perhaps his favorite.

“We were there for four years,” he recalled. “I didn’t know how great that assignment was until we moved to New Jersey for middle school and high school.”

There was also a lengthy stay at a base near Frankfurt, one that afforded the family opportunities to travel throughout Europe, experiences that made a lasting impression on the young Mathis.

“My parents have always been great about exploring our environments and surroundings,” he said. “This was a working-class family, but my parents always put a priority on traveling. And my wife and I really go out of our way to make sure our kids see the world.”

Mathis probably couldn’t have imagined just how much of the world he would eventually see when he was wrapping up his law degree at Georgetown. He did a clerkship with a firm in New Jersey and a summer internship with a large Wall Street firm, experiences that exposed him to trial work and sophisticated corporate practice, respectively.

He eventually opted to return to New Jersey and spend more time in the courts.

Meanwhile, Lisa, who was in the same class with him at Georgetown, took a job with a Wall Street firm. Their schedules didn’t allow them to spend much time together, he said, and soon there was discussion about whether she would seek opportunities in New Jersey or he would do likewise in Manhattan.

Instead, they would both go to Las Vegas.

“We both got jobs with two of the top law firms in Las Vegas, who were happy to recruit some professionals from the East Coast because they were looking to broaden their practices,” Mathis recalled, adding that, within that first year, they both represented clients in the gaming industry; he worked with Las Vegas Sands, and Lisa with Caesars. Those stints eventually led to offers for in-house positions, which they both accepted.

Mathis spent the six years working with Las Vegas Sands, which he called a great learning experience, one in which he worked on not only the Venetian and Palazzo resort casinos, but also an expansion into Macau and the process of taking the company public.

“It was a really intense period with a lot going on, and I was right in the middle of all of it as a junior lawyer,” he explained. “It was just an incredible experience.”

He later accepted an offer to join Boyd Gaming and be general counsel for its flagship development on the Las Vegas strip — Echelon Place, at the site of the historic Stardust casino. The $4 billion venture would have included four hotels, a 140,000-square-foot casino, and the 650,000-square-foot Las Vegas ExpoCenter, but construction was halted in August 2008, roughly a year after it started, just as the effects of the Great Recession, which would devastate the Las Vegas economy, were starting to be felt.

While work at the site never resumed, Mathis considered his time at Boyd another key learning experience.

“Bill Boyd, who’s a legend in this industry, was an attorney who transitioned into an operator, so he was a great role model for me,” he said. “He was a very hands-on individual, very successful, very wealthy, but famous for working every day and knowing everyone’s names at each of the properties. I really respected that, and wanted to model my career after that type of engagement with the business, and with the people. He had a big impact on my outlook.”

Mathis described the demise of Echelon Place as the low point in his career — “I had only experienced the boom” — but he stayed with the Boyd group until 2011, when he accepted a position with MGM as vice president of Global Gaming Development for MGM Hospitality.

In that capacity, he has been one of the key players in advancing MGM’s latest developments — resort casinos in Macau, Delaware, and Springfield. And late last year, that focus was narrowed when he was made president of MGM Springfield.

Solid Bet

As he talked with BusinessWest in MGM’s offices in the TD Bank building — facilities crammed with architectural renderings and an elaborate model of the Springfield proposal — Mathis made it clear that he wasn’t taking anything for granted as the race for the Western Mass. license heads for the finish line. Nor was the company doing any coasting — another word he hears often — because there is no competition left.

“We’ve continued to work as if this were a five-operator race,” he said, referring to the number of companies that were bidding for the Western Mass. license in the final days of 2012 before the attrition started. “That’s what has helped make it such a detailed project; we felt a need to nail down a lot of specifics so that we could distinguish ourselves from our competitors. And that’s pretty unique to have as complete a design and as complete a program as we had early on.

“And we’ve continued to follow the Gaming Commission process, which is a very specific process,” he continued. “It requires engagement with surrounding communities, which has been ongoing, and it requires engagement with different entertainment venues. We’ve had a series of hearings in front of the Gaming Commission, and we passed suitability earlier in the year. We continue to keep our heads down and work and not take anything for granted.

“We’re at the point now where, from a development-operations standpoint, we can’t be arrogant about it, but we have to assume that we’re going to win the license,” he went on. “And we need to be ready to implement the project on day one.”

Overall, there are many aspects to the work being undertaken by the company at this juncture, roughly three months before the five-member Mass. Gaming Commission (MGC) is expected to decide the fate of the Western Mass. license.

There are some design elements to be finalized, he explained, as well as work to line up vendors (see story, page 19), secure tenants for the large retail component of the gaming complex, and ensure that a trained workforce will be in place when the doors open — sometime in 2017, if all goes according to plan.

But there are other, perhaps less obvious matters to contend with, he went on, using the broad term ‘education’ to categorize them.

Elaborating, he said that the gaming industry has been entrenched in Las Vegas and Macau for decades. Elected officials and the public at large are familiar with the concept and understand the business and what it brings to a community.

But in Massachusetts, it’s all foreign territory.

“And because of that, we need a lot of engagement at the local level,” he explained. “I feel the need to continually educate people not only in Springfield but across Western Mass., and make sure that everyone understands that this is a project that we think benefits not only the host community, but the region as well.

“This is unique for me personally,” he went on. “Prior to MGM, I just developed projects in Las Vegas, and it’s an entirely different process there.”

Locally, the process has a new and quite intriguing wildccard — an effort to repeal the state’s gaming legislation via a statewide referendum that would appear on this November’s election ballot. State Attorney General Martha Coakley ruled that the petition to put the matter on the ballot was unconstitutional because it would “impair the implied contracts between the [gaming] commission and gaming license applicants” and illegally “take” those rights without compensation.

Backers of the referendum then took their case to the state Supreme Judicial Court, which is expected to rule on the matter this summer, a few months after the Gaming Commission is likely to have awarded licenses for Western Mass. and the Boston area.

MGM has joined a coalition, which also includes other gaming companies, host communities, and backers of casino gambling, that was created to fight the repeal effort, which Mathis said could have a “chilling effect” on his company’s plans for a few months until the matter is decided.

“If we’re fortunate enough to win the license in May, to have the potential repeal hanging over our heads as an industry makes it difficult to do certain things,” he said, listing as examples some of the early financial commitments related to construction and other capital-intensive expenditures. “And that’s unfortunate; there will be a two-month window where we’re going to have to watch and see what the court does. It’s certainly not the way you want to kick off the project.”

For the immediate future, the company will be an interested spectator as Penn National Gaming, the recently announced winner of the contest for the state’s lone slots parlor license, decides how it will proceed with the repeal matter looming.

“The Commonwealth has invited our industry into this jurisdiction, and we’ve made a substantial investment in terms of time and money,” Mathis said. “We have other lines of business, and MGM will survive if this is repealed, but I think about the host community and all the potential that we promised them with this project, all the employment. These host communities will be impacted as much as anyone if this whole process is overturned.”

Odds Are

While monitoring the repeal effort and awaiting what everyone expects will be the green light from the Gaming Commission, the MGM team, and Mathis in particular, continue a dialogue with Springfield officials about the project, while also talking with and listening to area residents about this huge endeavor.

“What’s really great about this opportunity, and fairly unique because of the statute, is how much of a partner the city is through the host-community agreement,” he explained. “We always want to stay on the same page about all the things that we’re working on, and with other things that are happening in the city as well.”

And there are many initiatives on the drawing board or already underway, he went on, which makes the casino project even more intriguing.

“Even before we arrived in Springfield, [Chief Development Officer] Kevin Kennedy and the Economic Development office had been doing some really great things to make sure that Springfield continues to grow and improve its economic foundation,” he told BusinessWest. “There were a lot of great things happening in Springfield before we came on board, and we’re catalysts for future growth.

“Whether it’s Union Station or the UMass satellite campus moving in, I think Springfield is on the verge of a renaissance,” he went on. “And we’re excited to anchor that.”

And while there are a number of people involved with the MGM Springfield project, including several working in the downtown Springfield office, Mathis is the point person.

That’s why he’s far less anonymous than he was a year ago, and also why he’s hearing, and answering, a wide variety of questions — in the press, on the street, in the line at the breakfast buffet at the Sheraton, and, yes, at the counter at the car-rental agency.

And as might be expected (or not, as the case may be), a good deal of these queries have to do with employment opportunities — this project is expected to create 2,000 construction jobs and nearly 3,000 permanent jobs — and that makes Mathis feel even better about it.

“It’s really about jobs, and I wasn’t prepared for that,” he explained. “I’m sort of humbled by the idea that I walk around and people see the opportunity for a career in me; that’s a tremendous responsibility.

“People are really focused on when we’re going to open, when we’re going to start hiring, and what’s required for hiring,” he went on. “There’s not a day that goes by where I’m not approached in a very respectful way by citizens wanting to know about those opportunities. I’ll have an encounter with someone where it’s not about them getting a job, but about their brother, who’s an ironworker, or it’s about their daughter, who’s graduating next year, and they want to keep her home and interested in a career here.”

This return-to-Springfield aspect to this project is one of the more surprising, and also inspirational, story notes to date, said Mathis, and one of the many reasons why he makes use of that term ‘transformative,’ which he attributes to Jim Rooney, head of the Mass. Convention Center Authority, while noting that others have used it as well.

“I find it ironic that Springfield and Western Mass. are in the middle of the Knowledge Corridor, and it’s very difficult to keep that talent in state,” he went on.

“I think we have the ability to give some of the local talented young people a career opportunity and give them a reason to stay, and that will have a spin-off impact on other industries that will be able to tap into that growing labor pool.”

A Winning Hand?

When he and Lisa moved to Vegas, Mathis said, it was with the expectation that it would be a relatively short stay, like many of those stops from his youth.

But it lasted more than a dozen years, and thus provided ample evidence of how it’s difficult to forecast how one’s career path, or life in general, will unfold. So he’s not making any predictions about how long this assignment in Springfield might last.

What he does know, though, is that, if this project proceeds as planned, anonymity will become increasingly elusive.

That’s what happens when you’re the face of something transformative.

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

The Class of 2014

By BusinessWest Staff February 25, 2014

Class of 2014 Cover Story Difference Makers

The Difference Makers Will Be Celebrated on March 20 at the Log Cabin

Sponsored By:
Baystate Medical Practices • First American Insurance • Health New England • Meyers Brothers Kalicka, P.C. • Northwestern Mutual • Royal LLP • Sarat Ford Lincoln • 6 Pt. Creative Works

When BusinessWest launched its Difference Makers program in 2009, it did so with the knowledge that there are, indeed, many different ways in which a group or individual can make a difference and impact quality of life in this region.

Each class has emphatically driven that point home, with honorees ranging from a Holyoke police chief to the founder of the Rays of Hope fund-raiser to battle breast cancer; from the president of Holyoke Community College to the director of the Regional Employment Board; from the man who kept hockey alive in Springfield for the past 30 years to some law-enforcement officials implementing counterintelligence tactics to confront gangs in Springfield’s North End.

This year’s class of Difference Makers is no exception, and it adds several new wrinkles to the contention that there is no shortage of ways that people can change others’ lives — and for the better.

Let’s start with Paula Moore. A schoolteacher — in fact, a substitute teacher at the time — she started a program to help keep young people off the streets and out of trouble. She would eventually call it the Youth Social Educational Training (YSET) program, and when the church that originally hosted these after-school sessions told Moore she would have to move it elsewhere, she used her own money and credit to acquire a dilapidated former school and renovate it into what is now known as YSET Academy.

She wasn’t going to take that drastic step, but felt compelled to by overwhelming need in the community and an unrelenting desire to do something about it.

And these were the same sentiments that drove five members of the Sisters of St. Joseph and a partnering layperson to scrape together $500 and prevail at the public auction of a long-vacant, seriously rundown gray Victorian on Sheldon Street in Springfield’s North End in 1982.

Two years later, the Gray House opened its doors, and ever since it has been providing food, clothing, adult-education programs, and its Kids Club to a ever-widening group of constituents.

Improving quality of life for low-income individuals has also been the mission of a nonprofit called Rebuilding Together, which provides assistance to help people stay in their homes when, because of illness, old age, or simply a lack of resources, they cannot undertake needed repairs and upkeep.

In its early years, the Springfield chapter of this agency provided support one day in April, and only to a few homeowners. Under the guidance of its first executive director, Colleen Loveless, the Springfield office has expanded its reach in every way imaginable, and has put in place an ambitious 10-year strategic plan that will change the face, and the fortunes, of a large section of the city’s Old Hill Neighborhood.

Meanwhile, Michael Moriarty has committed much of his time and energy to taking on another societal challenge — early literacy.
An attorney and now director of Olde Holyoke Development Corp., he has taken the lead in Holyoke’s Third Grade Literacy Initiative, helping to put in place an infrastructure and a battle plan to dramatically increase the number of young people able to read by the fourth grade — the time when people stop learning to read and begin reading to learn.
And then, there’s the Melha Shriners. The first fraternal organization named as a Difference Maker, it’s changing lives in many ways, but especially through its efforts to help fund the many Shriners Children’s Hospitals across the country — and now Mexico and Canada — and, perhaps more importantly, raise awareness of the incredible work being done at those facilities.

The Class of 2014 will be honored at the annual Difference Makers Gala on March 20 at the Log Cabin Banquet & Meeting House in Holyoke. The event will feature butlered hors d’oeuvres, lavish food stations, introductions of the Difference Makers, and remarks from the honorees. Tickets are $60 per person, with tables of 10 available.
For more information, or to order tickets, call (413) 781-8600, ext. 100.

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