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Cover Story Women in Businesss

In the Right Mold

Pia Kumar

Pia Kumar, ‘chief strategy officer’ at Universal Plastics.

Back in mid-March, Pia Kumar recalls, at the height of the first wave of the COVID-19 pandemic, there was a good deal of absenteeism at the five plants within the Universal Plastics fold — maybe 40% by her estimate, a number that spoke volumes about the high levels of fear and anxiety within the workforce.

So Kumar, who co-owns the Universal family of businesses with her husband, Jay, and has the title ‘Chief Strategy Officer’ printed on her business card, did what she says comes naturally to her.

She got on the phone.

“I called every single employee that was not here and talked to them about their concerns,” she told BusinessWest, noting that this was maybe 200 people across the five facilities. “In some cases, I talked to their wives, their husbands, their children; I wanted to understand what we could do together as a business to make sure they could come back in and do the essential work we were doing.

“We make the diagnostic machines used to test for COVID, so we needed to come back in and get working, but we needed to keep people safe,” she went on. “There was a lot of uncertainty, and we needed to establish trust.”

The company earned it by taking painstaking steps to comply with work regulations put in place in four different states — everything from masks and face shields to social-distancing measures and temperature checks, with most ideas coming from employees. And in a matter of a few short weeks, absenteeism all but disappeared.

“It’s strange — in some ways, I feel more connected to people these days. I think it’s because there’s been so much uncertainty and so many questions. There’s so many things we don’t know; it’s almost as if it [the pandemic] has given us a way to come together closer and talk about things more openly.”

Kumar’s phone calls, and those subsequent actions taken by the company, provide some valuable insight into not only her management style — although it certainly does that — but also into her approach to business and her specific, and very broad, role with the company.

Indeed, while she’s certainly involved with strategy, as that business card would indicate, and she is involved in virtually every aspect of the business, she’s predominantly focused on people and their well-being. And that goes for the community, as well as the Universal ‘family.’

This is evidenced by something she calls ‘office hours.’ These are the twice-monthly Zoom meetings she conducts with employees at each plant to help them feel more connected at a time when traveling to those plants is far more difficult and, well, people need a connection.

And she’s finding that, while Zoom is certainly a different experience than the in-person office hours she had been conducting until the pandemic (more on those later), they’re in some ways more effective.

“It’s strange — in some ways, I feel more connected to people these days,” she noted. “I think it’s because there’s been so much uncertainty and so many questions. There’s so many things we don’t know; it’s almost as if it [the pandemic] has given us a way to come together closer and talk about things more openly.”

It’s also on display in a number of programs and initiatives she’s helped introduce at the company that are designed to help individuals overcome barriers to employment and success in the workplace — and in life itself.

“We have someone in our HR department whose whole job is to make sure that we make people successful outside of work, so that they can be successful at work.” she said of efforts to help employees with everything from attaining a driver’s license to securing day-care services.

Pia Kumar shows off some of the company’s new face shields

Pia Kumar shows off some of the company’s new face shields with ‘skirts,’ one of many new products it has developed in the wake of the pandemic.

As for her own efforts in the realm of work-life balance, she said, simply, “I work at it.”

By that, she meant that she finds time for work, family, and to be alone for a few moments each day, early in the morning — time she spends meditating and planning, for the most part.

“I need to get my planning done to feel prepared for my day,” she explained. “I do a 10-minute meditation, then I spend 30 minutes planning, and then I take my dog for a walk; it works for me.”

For this issue and its focus on women in business, we talked at length with Kumar about her work with her husband to grow and expand Universal. But mostly, the talk was about people and helping them handle all that work and life can throw at them — even a global pandemic.

Clear Intentions

As she talked with BusinessWest in the company’s recently opened corporate offices, located next door to the Holyoke plant on Whiting Farms Road, Kumar showed off a display of one of the latest additions to the company’s portfolio of products.

These are face shields — which the company started making a few months ago to help meet demand for personal protective equipment within the region — that feature what she called ‘skirts.’

Designed specifically for teachers, these customized products allow for open communication without muffling the voice or hiding expressions — things masks can’t do — while providing more protection than a common face shield.

“You can wear it all day — you’re fully covered, you’re fully sealed,” she said while demonstrating the product, noting there are several styles, including models invoking Halloween and Christmas, and another promoting breast-cancer awareness. Response has been good, she noted, and there are ongoing discussions about perhaps making such shields for children.

These PPE products are part of the company’s pivoting efforts during the pandemic, she explained — a way to assist the community and especially the healthcare and education sectors while also keeping employees working at a time when many traditional customers, including those in aerospace and medical-device manufacturing, have scaled back as a result of the pandemic.

And such efforts are among the current focal points for the Kumars, who acquired Universal Plastics roughly eight years ago — she dates the transaction to the birth of their first child — from long-time owner Joe Peters. Flashing back to that purchase, Pia said the couple, who met while they were both working in finance in New York after graduating from college, were looking for a challenge they could undertake together.

“We had always had this dream to someday own and run a small business together,” she said. “We just liked the idea of building something, we liked the idea of having autonomy, we liked the idea of taking something, growing it, and making it our life’s work.”

Pia Kumar, seen here reading to children at the Morgan School in Holyoke

Pia Kumar, seen here reading to children at the Morgan School in Holyoke as part of the company’s Link to Libraries sponsorship, says her discussions with employees have helped her understand the many barriers that people face when it comes to succeeding in the workplace.

And that’s exactly what has happened with Universal, a company launched by Joe Peters’ father in Chicopee and eventually moved to Holyoke.

Indeed, the Kumars have added four other companies over the past several years, with the goal of attracting different types of customers and doing more for them. Expansion efforts started with the acquisition of a competitor, Mayfield Plastics in Sutton (since renamed Universal), an operation similar to the one in Holyoke.

“We offer a product called custom thermoforming,” she said of the Holyoke facility. “It’s good for small volumes, but as some customers ramped up, we would lose those customers. Then we started thinking about how we could keep that customer for a longer life cycle, and we started looking at injection molders.”

This led to the acquisition of Sajar Plastics in Middlefield, Ohio in 2018, and the subsequent addition of a blow-molding facility in Pennsylvania that had a strong focus on medical-equipment manufacturing — steps that have greatly diversified the corporation and opened the door to new types of opportunities.

While Pia is certainly involved with all aspects of the company, especially short- and long-term strategy, she told BusinessWest that people are her main focus, and it’s a role she believes she’s well-suited for.

“I try to spend a lot of time with employees; it’s part of what my focus is with the company,” she explained. “I like to really get out there and talk to people and really understand what our people are saying and thinking, and what their fears are.”

She traditionally did this through those aforementioned office hours — the in-person variety, especially in Holyoke, where she would walk the floor every day and talk with people. With the other plants, she would make a point of getting out to each at least once a month.

But COVID-19 changed all that, as it has many other aspects of this business — from the products being made, like those face shields with skirts and plastic dividers for automobiles (similar to those found in cabs), to the precautions being taken to keep employees safe.

Shaping Core Values

What hasn’t changed, especially during these trying times, is the company’s — and especially Pia’s — efforts to help employees overcome those barriers she mentioned.

And there are many of them, she went on, adding that a good percentage of the company’s employees are single mothers, who faced a number of hurdles before the pandemic and now face even more. She came to understand these hurdles over time, she said, and it was a real learning experience.

“Before we came here, we lived in New York City, we worked in finance, we worked in venture capital,” Kumar explained. “We were doing things with a group of people who had a lot of opportunities; they went to certain schools and had the right types of jobs and the right kind of résumés. Coming here and working in manufacturing gave me an understanding of the barriers that people face that I never had.

“I was in many ways taking for granted things like childcare and transportation and having access to affordable education,” she went on. “These are really, really good people who want to come in every day and do a really good job, but these are real barriers that they face. It’s not a question of how motivated they are or how ambitious they are — there are just structural barriers that people face that I became attuned to when I talked to my employees.”

“We had always had this dream to someday own and run a small business together. We just liked the idea of building something, we liked the idea of having autonomy, we liked the idea of taking something, growing it, and making it our life’s work.”

This understanding of the issues has translated into policies regarding attendance and other matters that Kumar considers worker-friendly.

Elaborating, she said the company has explored such things as ride-sharing and on-site day care and have encountered significant barriers to success. What has worked, she noted, is talking with people to understand their specific situations, and then making accommodations when and where they are practical.

“Our single mothers are some of our best workers,” she told BusinessWest. “And understanding that and working with that population to make sure that they have the tools they need to be set up for success became personally important to me.”

It was through her work with employees to understand and then help remove barriers that led to her involvement with a number of area nonprofits and institutions.

That list includes Link to Libraries, the nonprofit that fills school library shelves and encourages reading by placing area community leaders in the classroom to read — Universal Plastics sponsors the Morgan School in Holyoke, which many of the company’s employees attended — as well as the Women’s Fund of Western Massachusetts, Bay Path University, and Springfield Technical Community College, which she serves as a foundation board member.

She’s become so enamored with STCC manufacturing graduates that she has a standing rule with her operations manager: “if someone comes to us from STCC, you have to give me a reason not to hire them, because they’re all people who have pulled themselves up by their bootstraps, and they just need an opportunity. And that’s the kind of company we are; that’s the kind of company we need to be. We need to be the kind of company that gives people a chance, and we need to do it over and over again.”

As for her own professional development, Kumar said she doesn’t have a coach, per se, although her husband might count as one. But she does read quite a bit on the subject.

Pia Kumar, seen here with coworkers at the company’s Holyoke plant

Pia Kumar, seen here with coworkers at the company’s Holyoke plant, says that, while she’s focused on all aspects of the business, connecting with employees and helping them address challenges has become her primary focus.

What she does have are mentors. She listed Susan Jaye Kaplan, founder of Link to Libraries, and Dianne Fuller Doherty, retired business owner and director of the Massachusetts Small Business Development Center’s Springfield office — both winners of BusinessWest’s Difference Makers award.

“I’m not afraid to ask for help; I’m not afraid to admit I don’t know something,” she said, adding that she believes good managers share these traits. “Feedback is a gift, and I firmly believe, if you don’t want to know the answer, then don’t ask the question. But if you ask the question, you need to be able to stomach the answer.”

When asked about how she approaches the broad assignment of achieving work-life balance, she said simply, “I work at it.”

“These are really, really good people who want to come in every day and do a really good job, but these are real barriers that they face. It’s not a question of how motivated they are or how ambitious they are — there are just structural barriers that people face that I became attuned to when I talked to my employees.”

“I spend a lot of time planning, I delegate a lot, and I am very comfortable with having a list of things I wanted to get to but didn’t at the end of the day,” she explained. “There are days when the company is the most important thing — when COVID first happened, we needed to make our employees safe. And then, there are other times when it’s more important that we’re there for our children. My mother is having surgery next week, so that will be the focus then.

“I feel very lucky that I have a supportive partner who helps me manage all these things,” she went on. “But we also have a really great team. We’re not the experts — we didn’t come in with a deep background in manufacturing, and that’s why we keep people from our acquired businesses. Our job is to take all the information and provide the right vision.”

Parts of the Whole

Summing up her approach to her broad role at Universal Plastics, Kumar said, “my biggest failure as a leader is when someone can’t tell me what they really think; if they can’t tell me what they really think, we have a problem.

“I encourage people debating and saying ‘no, this is how we should be doing it,’” she went on. “And when there is that open communication, there’s trust, and that allows me to do more, and the more we can grow as a business.”

Open communication. Trust. Helping employees overcome barriers. These are the keys to success at this company — and any company, said Kumar, stressing, again, that four-word phrase she used in connection with all these matters: ‘we work at it.’

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

Banking and Financial Services Special Coverage

Pandemic Lessons

Rich Kump

Rich Kump says the pandemic has forced people who had been reluctant to bank remotely to give it a shot.

It’s the wave of the future, Rich Kump said — and the COVID-19 pandemic simply cast that wave in sharper relief.

“We’ve had a goal of moving routine transactions out of the branch,” the president of UMassFive College Federal Credit Union told BusinessWest. “We’ve been educating our members for three years, trying to move them out of the branch, and there’s still a percentage of America who just likes to everything in person. You need to take a thoughtful approach; you can’t force people into it … although COVID did that, to some extent.”

A widely held vision of the bank (or credit union) branch of the future — one shared, to some degree, by other local banking leaders we spoke with — does indeed promote robust online and mobile tools for routine business like deposits and withdrawals, leaving less traffic in branches, but a greater percentage of that traffic given over to more complex or consultative matters.

“We’ve had a goal of moving routine transactions out of the branch.”

And many people who have long resisted online banking are singing a different tune, said Paul Scully, president of Country Bank.

“Customers, just because of the nature of the pandemic, with people staying at home, started exploring technology,” he noted. “An amazing number of people are using technology who, for a number of years, fought it.”

In most cases, it’s just a matter of breaking old habits, Scully said — “and old habits are comfortable habits. But I think people are becoming better acclimated to technology and getting over their fears. There are still people who think, ‘I have to go into the bank to make that transaction because what if the money doesn’t get there?’ But as an industry and as a bank, we’ve been able to alleviate the concerns some people have.”

Florence Bank President Kevin Day agreed.

“Banking in general is going to change. The stuff you need to do is the same, but how you’re going to do it will change,” he said, noting that lobby traffic has been declining for years, and what was already a high adoption rate of mobile tools only accelerated over the past three months as banks closed lobbies to most routine business. “People are starting to realize it’s probably more secure, so they’re getting more comfortable. It’s also way more convenient.”

And gaining momentum in these shuttered times.

“Customers realized they really can do all their banking online,” Scully said. “We’re no different than Macy’s or Amazon. You realize you can sit down with your laptop or phone and purchase something from a retail outlet, and you can also do your banking that way. People are becoming more comfortable with it — so we need to keep upgrading and enhancing it.”

That’s not all they’re doing. Banks and credit unions, despite a much higher reliance on drive-up lanes and mobile platforms lately, never really closed during the pandemic, and while they continued to serve customers — in some cases, helping them navigate sudden financial hardships — they were also learning lessons and conducting internal conversations about where the industry is heading and what the bank of the future should look like.

Some were discussions that had begun years ago but, again, were suddenly cast in sharp relief as the wave known as COVID-19 came crashing down.

Staying Connected

People have been starved for human contact, Kump said. He knows that from UMassFive’s call center, as calls over the past three months are 25% longer, on average, than last year.

“A lot of it is, people just want to talk,” he noted. “Yes, they call for a reason, but then they want to talk. It’s a bit of a community.”

Bolstering the call center was one of the success stories of late March, which he recalls as a tough time.

“I don’t think anyone was ultimately prepared for this; we were scambling,” he said, explaining that many retail personnel in the branches began covering the phones, often from home. “Within two weeks, 70% of our staff was working from home. That’s when the chaos evolved into routine.”

Like the other institutions we spoke with, UMassFive didn’t close completely, staying open by appointment for services that couldn’t be done remotely, from notary signings to certain loan closings to instant-issue debit cards. The week Kump spoke with BusinessWest, the credit union was operating a soft opening of sorts before announcing a shift to walk-in business.

“Financial wellness isn’t just for people with means; it’s everybody, from somebody with an entry-level job to someone doing college planning or estate planning.”

Day recalls a similar experience.

“In that first week, everything was shutting down, and people were saying, ‘you’re a bank. You can’t shut down,’” he said. But Florence transitioned to drive-up service where possible while witnessing an expansion of remote banking — as well as phone-call volume that was up 100% early on.

“We helped a lot of people transition to mobile and computer options. People have used the drive-ups. We opened the lobbies for people who needed to do something in person. We went out to cars in some cases,” he recalled. “You couldn’t come and go as you wanted, but we never really closed. If you called and the only way to do something was in person, we did it in person.”

Kevin Day

Kevin Day says shifting most employees to remote work was one of the smoother transitions necessitated by COVID-19.

Still, the sudden, in many ways forced expansion of remote banking is just an extension of where the industry was already headed, Day explained. “We had already seen trends toward online, mobile, people doing much more on their computers and phones. The pandemic just really accelerated that.”

Scully said the transition to employees working remotely was one of the easier shifts.

“It wasn’t that difficult for us. We had all the technology in place that allowed us to immediately have all our non-branch staff working remotely, literally overnight. So that fell into place nicely for us; we didn’t miss a beat. Business was never impacted.”

For example, he said Country processed about 450 Paycheck Protection Program (PPP) loans remotely, while Zoom calls and Webex meetings became the order of the day. It has worked so well, in fact, that non-branch employees will continue to work from home until Aug. 31, even as branches begin opening up this week, which is a boon for parents still uneasy about — or unable to access — camps and day-care services.

“We closed a day or two before other banks, just recognizing what was happening, and moved people to drive-up or leveraging technology,” he said, noting that lines were sometimes long, but customers were able to access the services they needed, in some cases using interactive teller machines (ITMs) at two locations.

“We’ve walked a lot of people through the technology, and the customer care center reached out directly to help them. We had curbside service at some locations, and we also used that as an opportunity to talk about technology.”

Branch of the Future

All this enhanced technology goes hand in hand with what many banking leaders say is an evolving role for branches.

Branches are certainly needed, said Jeff Sullivan, president of New Valley Bank, which is opening a new branch on the ground floor of Monarch Place in downtown Springfield this summer. Like every other area bank branch, it will stress pandemic safety, with a mask requirement, six-foot distancing, and glass partitions between customers and employees.

But it will also reflect a move toward a role for branches that emphasizes financial wellness and consultative services more than routine business.

“That’s going to be the bigger component of what a community bank does — trying to help people navigate a lot of things,” he explained, before adding that there will be plenty to navigate in the coming year, when more customers than usual will be struggling to achieve stability. “Financial wellness isn’t just for people with means; it’s everybody, from somebody with an entry-level job to someone doing college planning or estate planning.”

The bank of the future will put greater emphasis on this consultative role, through personal interaction that can’t occur online.

Paul Scully

Paul Scully

“Customers, just because of the nature of the pandemic, with people staying at home, started exploring technology. An amazing number of people are using technology who, for a number of years, fought it.”

“Obviously, if it was just about technology, the big-city, money-center banks could meet the needs of every single person,” Sullivan said. “If you don’t have the technology, you’re going to fall behind, but the extra, community-focused efforts are what’s really going to make an impact.”

Kump said UMassFive has eliminated tellers — or, more accurately, it has eliminated branch employees who handle only that role. Instead, employees are trained to be “universal agents,” able to tackle multiple roles, from traditional teller business to loans and other matters.

To achieve that, the credit union has tripled its training budget over the past few years, seeking to identify not only financial skills, but empathetic personalities with a real desire to help people.

“The face of banking is changing permanently. Branches in the future won’t be as critical, with fewer transactions coming in. But they will always be needed for key parts of financial life,” he explained, citing anything from home and auto loans to opening memberships to simply seeking financial advice.

“We won’t need the huge teller line anymore. We won’t need as many branches, and the services we’re providing in the branches are changing, he added, noting that customers are also discovering they can conduct routine business face to face — sort of — through ITMs. “Someone could be at the Northampton drive-thru, talking to someone working from home in Belchertown.”

That raises the question of how many workers need to be on the premises, both while COVID-19 is still a threat and afterward, considering how effectively operations have continued during the pandemic.

Jeff Sullivan

Jeff Sullivan

“Obviously, if it was just about technology, the big-city, money-center banks could meet the needs of every single person. If you don’t have the technology, you’re going to fall behind, but the extra, community-focused efforts are what’s really going to make an impact.”

“From a back-office standpoint, about half are working remotely,” Day said. “Can they continue to do that long-term? Yes, but there’s still the human element, and people can feel isolated. Feeling part of a team is important to some people, while some people are loners. But technology is certainly giving us some options.”

And the bank, which recently broke ground on its third Hampden County branch, this one in Chicopee, has certainly been discussing those options.

“More transactions are going online, but when you want to talk to a person to problem solve, especially with more complex transactions, that can certainly be done over the phone — and has been during the pandemic — but the way we’ve designed our branch of the future, there’s more consulting. If you want to come in and consult, we’ll talk to you — a lot. So frontline people will still need to be there to handle questions and solve problems.”

Getting Through the Pain

In fact, banks and credit unions never stopped solving problems over the past few months. Scully said Country, like other banks, was able to accommodate deferrals of loan payments for individuals who has been furloughed or were generally dealing with greater financial stress.

“I felt like this was a watershed moment,” Day added, noting that more than 200 mortgage borrowers and 200 commercial borrowers took advantage of three-, six, or 12-month deferrals, the latter being the most popular option. “Having been through downturns in my career, I knew that we needed to give people some time. People are resilient, businesses are resilient, but they needed some time. So we worked with residential and business customers on deferred payments.”

Kump said UMassFive issued forebearance on nearly 1,000 loans for people who were “furloughed or just worred,” as well as launching a small-loan program for those who just needed a little cash. “If you were furloughed, that didn’t change the decision to make a loan for you.”

That was in addition to PPP loans, which the credit union approved for members and non-members in the community alike, 96% of those loans issued to employers of five workers or fewer. It also looked for other ways to support community needs, such as donations to food banks and organizations like Community Involved in Sustaining Agriculture, as well as donating meals to first responders.

Although those needs still exist, banks and credit unions are beginning to get back to normal operations, expanding branch operations under enhanced safety protocols — “it’s a great time to be in the plexiglass business,” Scully said — while considering the lessons learned during the months when most business was conducted remotely.

“Was there frustration at first? Absolutely,” he added. “At first, people were like, ‘what do you mean, a bank is closed?’ But as every industry started to close and people started working remotely, people began to understand.”

After all, a bank that saw a fire ravage its headquarters in 2008 and a tornado rumble through its home region in 2011 has no problem posting social-distancing reminders and directional arrows and getting back to branch business. “This is bigger than a tornado,” Scully said. “The lesson we’ve learned is to always be prepared and remain nimble.”

Even as it moved from a soft-opening week to broader branch service — where walk-in traffic is allowed but appointments are still advised to reduce the wait — Kump marveled at how the credit union’s members have adjusted to remote business. Especially new members, 90% of whom have been joining online, compared to 40% to 50% in a typical year.

“There’s a percentage of customers who will still be reluctant to walk into a business,” he added. “We’re seeing that with restaurants opening and people still not coming.”

It helps, of course, that many have discovered the power of digital banking.

“For a lot of folks, it’s generational; they’ve been intimidated by technology, of depositing a check with a picture on their phone,” Kump continued. “Now they’ve been forced to do it, and they’re asking, ‘why was I taking time out of my day to run over to the credit union to get cash or transfer money? I don’t have to do that.’”

Day also expects people to keep using those tools, but for those ready to return to the branch, even for matters as basic as depositing a check, they’ll do so protected by masks, shields, and any number of other precautions. “The pandemic isn’t over, and people are still going to get sick. We want to keep people safe.”

Bottom Line

Usually, when BusinessWest talks to local banks and credit unions, it’s about their own business outlook for the year ahead, but this is not a typical year, and talk of asset growth and loan portfolios has been pushed aside to some degree by the need to simply stay afloat — and keep customers afloat, as well.

“The outlook is generally positive, but it will not be without pain,” Day said, speaking for both Florence Bank and its customers. “We know it will get better. It’s just a matter of when.”

Joseph Bednar can be reached at [email protected]

Coronavirus Special Coverage

For every business in Western Mass., there is a story about coping with the COVID-19 pandemic. Each one, as we’ve noted before, is different. But there are many common themes, especially the need to deal effectively — somehow — with those things that one can control, and cope — again, somehow — with the things one can’t control. And that latter list is, unfortunately, long and complicated. It includes everything from navigating the state’s rules (and short timelines) for reopening to losing large and important clients, like MGM Springfield, to not knowing what the future holds. Here are six more COVID stories.

 

Judy Puffer

Puffer’s Salon & Day Spa

Responding to COVID-19 has been hair-raising to say the least   Read More >>

 


 

White Lion Brewery

For this Springfield business, better times are on tap   Read More >>

 


 

Wilbraham Monson Academy

At this school, pandemic has been a real learning experience    Read More >>

 


 

Jerome’s Party Plus

Growing need for tents is helping company through a trying year   Read More >>

 


 

King Ward Bus Lines

Chicopee-based company is still trying to get out
of first gear   Read More >>

 


 

Park Cleaners

‘The place where COVID goes to die’ is still in recovery mode   Read More >>

 


 

Back on the Clock

COVID-19 era presents unique challenge for older workers   Read More >>

Franklin County Special Coverage

Waiting Game

Scenes like this one are nowhere to be found right now at Historic Deerfield

Scenes like this one are nowhere to be found right now at Historic Deerfield, which is developing plans for a September opening.

Magic Wings is a year-round operation, Kathy Fiore said — even when its doors are shut.

“This is different from a clothing store,” said Fiore, who co-owns the butterfly conservatory in Deerfield with her brother. “When we closed our doors, we still needed to have staff here, because we have to take care of whatever is happening. Butterflies are laying eggs every day. Caterpillars are hatching out every day. We need to feed and care for the lizards, tortoises, birds, fish … all sorts of animals have to be taken care of.”

And that means expenses that don’t disappear when no visitors show up — which they haven’t since the facility closed to the public in mid-March, part of a state-mandated economic shutdown in response to COVID-19.

“We kind of saw it coming, and then it just happened,” she said of the closure. “As owners of the business, we’ve tried to remain positive and upbeat and assure our staff, assure our customers.”

As for when Magic Wings will be allowed to reopen, phase 3 looks most likely, which means very soon. But the state’s guidance is only one consideration. The other is keeping visitors safe and helping prevent a viral flareup in a region that has effectively depressed infection rates, as opposed to states like Florida and Texas that were more lax about regulating crowds — and have seen cases spike in recent weeks.

“When we closed our doors, we still needed to have staff here, because we have to take care of whatever is happening. Butterflies are laying eggs every day. Caterpillars are hatching out every day. We need to feed and care for the lizards, tortoises, birds, fish … all sorts of animals have to be taken care of.”

“My brother and are watching how things are going,” Fiore said. “We’re certainly watching other businesses open back up, but we’re also hearing about the resurgence in certain places, about people getting together and going right back to a situation we don’t want to be in.”

Historic Deerfield, which shuttered its buildings to the public a few weeks before the start of its 2020 season, doesn’t expect to reopen most of them until September.

“We had a lot of different challenges and things to figure out,” said Laurie Nivison, director of Marketing, explaining why the organization’s leadership isn’t rushing back before they feel it’s safe. “Just thinking ahead to when it might be possible to open again, we decided to move some bigger things to the fall. The fall season is always a big time for us. That’s when people start thinking they want to come to Deerfield, so we said, ‘let’s look at opening around Labor Day weekend.’”

Losing an entire spring and most of summer is a considerable financial hit, of course, and the center was forced to lay off dozens of staff. But at the same time, it has looked to stay relevant and connected to the community in several ways, including putting a series of ‘Maker Monday’ workshops online, taking a virtual approach to teaching people how to stencil, make their own paper, or building a decoupage box, to name a few recent examples.

Meanwhile, museum curators have been sharing plenty of interesting artifacts from the collection online, while the director of historic preservation recently took people on a virtual tour of the attic of one of the historic houses.

“People never have the opportunity to do that, so that was great,” Nivison said. “We’ve become really creative trying to think of what we can do to bring Historic Deerfield to people when they can’t come here. Being closed down, we still want to have people engaged.”

Many Franklin County attractions, especially of the outdoor variety — such as Zoar Outdoor and Berkshire East in Charlemont, where people can engage in ziplining, biking, kayaking, and other outdoor activities — are already open. But indoor attractions face different challenges and are on a different reopening pace, due to both state guidelines and their own sense of caution.

But a wider reopening is the goal, as area tourism officials consider the region a connected ecosystem of activity that draws visitors to take in multiple sites, not just one. In short, the more attractions are open, the more each will benefit.

Kathy Fiore says Magic Wings won’t reopen

Because it’s an indoor attraction, Kathy Fiore says Magic Wings won’t reopen until she’s confident visitors will be safe.

“We’re talking a lot about how we can convince visitors to come back when the time is right because there’s so much outdoor fun you can have here,” said Diana Szynal, executive director of the Franklin County Chamber of Commerce. “We have hiking, cycling, fly fishing, regular fishing, walking trails — there’s so much opportunity for things to do here that are perfectly safe and healthy.”

Safety First

Szynal was just scratching the surface when she spoke to BusinessWest. From retail destinations like Yankee Candle Village to museums, golf courses, wineries, and covered bridges, it’s a region that has plenty to offer, and attractions like Magic Wings and Historic Deerfield certainly sense anticipation among fans and potential visitors when they connect with the community on social media.

But they also don’t want to jump the gun and see the region turn into another Houston.

“It’s been a little unnerving, but from the beginning, my brother and I didn’t want to reopen until we feel it’s safe, even if the government lifts the regulations for businesses like Magic Wings. We don’t mind waiting it out a little bit to make sure everything is safe,” Fiore said.

“We normally can take in a lot of people, but we’re different because we’re an indoor facility,” she added, noting that Magic Wings will follow the state’s guidelines for social distancing, masks, and crowd count, while considering options like visiting by appointment as well. “We’re trying to think of all the different things we can do to make sure people are really safe but still have a pleasant experience.”

It helped, she said, that the conservatory procured a Paycheck Protection Program loan to keep its staff paid, and now that reopening approaches, she’s hoping to get everyone back on the regular payroll. “We’re responsible for the livelihood of a lot of people.”

But the shutdown also posed an opportunity, she added. “It’s beautiful here — it’s in pristine shape, because we were able to do some cleanup things, different projects, that we don’t have the opportunity to do when we’re open every single day. We hope to welcome people back to a nice, fresh environment that’s better than they remember.”

While the museum houses of Historic Deerfield remain closed for now, the organization got a boost from the reopening of Deerfield Inn and Champney’s Restaurant & Tavern. The week she spoke with BusinessWest, Nivison said the restaurant already had more than 100 reservations lined up for the following week.

Those facilities will benefit from September’s museum reopening, but this fall may still look a little different than most, as tours may be limited — or be smaller, self-guided experiences — while outdoor tours may be expanded. Demonstrations of trades like blacksmithing may be moved outdoors, while the annual Revolutionary muster event, typically held on Patriots’ Day in April, will likely happen this fall as well.

“We’ve become really creative trying to think of what we can do to bring Historic Deerfield to people when they can’t come here. Being closed down, we still want to have people engaged.”

“We want to be able to give a good experience to folks and really take advantage of all the outdoor things they can do,” Nivison said. “There are a lot of things we can do.”

One thing people aren’t doing as much as they normally would is getting married — with crowded destination receptions, anyway. Because Magic Wings is a popular spot for weddings and receptions, that was another significant revenue loss this spring and summer, Fiore said.

“Couples had to shift everything, and a couple bumped their weddings into 2021. One couple canceled altogether,” she told BusinessWest, noting that weddings already have a lot of moving parts, and couples are simply unsure right now how many guests they’ll be allowed to include until the state offers more guidance.

All Aflutter

That said, Fiore has been buoyed by the number of people calling since the closure. In addition to its social-media presence, Magic Wings also recently ran a television commercial featuring soothing sights and sounds inside the conservatory — to put a smile on viewers’ faces more than anything.

“It was an opportunity for people to take a deep breath,” she said. “We’re all in the same boat, we’re all experiencing something totally new, and we’re all concerned and feeling anxious about what’s going to happen — what’s safe and what’s not.

“People love butterflies, and they do come see us from all around,” she added. “But they also want to know it’s not going to be a huge health hazard, and that’s what we’re working toward.”

Szynal understands the concerns, too.

“People are taking this seriously,” she said. “I see the masks. When people are out on errands, walking through stores, they’re giving each other space. As long as this behavior continues, people will feel better moving around a bit more” — and that includes visiting Franklin County attractions.

“I feel people respect this virus and respect each other,” she concluded. “So far, they’re taking the steps they need to keep Massachusetts on the right track.”

Joseph Bednar can be reached at [email protected]

Franklin County Special Coverage

View from Main Street

Diana Szynal

While economic activity is still slow, Diana Szynal says, she senses a resilient spirit in Franklin County.

Diana Szynal is encouraged by what she sees on Main Street in Greenfield as restaurants and retail continue to emerge from months of closed doors.

“I certainly see people making the changes they need to make,” she said, referring to Gov. Charlie Baker’s guidance for how — and at what capacity — to open businesses safely. “We’ve seen these business making the effort to reopen and get their staffs back to work and welcome back their customers.”

But no one is fooling themselves into believing everyone is ready to go out again, said Szynal, executive director of the Franklin County Chamber of Commerce.

“Certainly it seems like businesses are open — like restaurants with outdoor seating or limited indoor seating — and I think there are people really wanting to get out there, but some people aren’t ready yet,” she told BusinessWest.

“Realistically, things have slowed down, but I feel a very resilient spirit here,” she continued. “People in Franklin County are tough. And you see that not only in Greenfield’s downtown, but the area as a whole — downtown Deerfield, downtown Shelburne … I think you’re going to see them bounce back for sure.”

What will make the difference, she and other economic leaders increasingly say, is consumer confidence, which is being driven right now almost exclusively by health concerns — and that’s a good thing, considering that Massachusetts is one of the few states in the U.S. consistently reducing instances of COVID-19.

“For the typical consumer, making decisions about going out for the day or just going to a restaurant or retail shop, creating confidence is the key,” Szynal said. “And focusing on those [infection] numbers is really critical. That’s really how we’ll build confidence. Some people will take a little longer than others because they have different health concerns. But I think, if we can stay the course, we’ll be heading in the right direction economically as well as from a public-health standpoint.”

Associated Industries of Massachusetts (AIM) polls its 3,500 members each month to produce a Business Confidence Index that was firmly entrenched in positive territory for years — until it suffered the largest one-time decline in its history a couple months ago. However, it began to rebound slightly last month as Baker announced the four-phase process for re-opening the state economy under strict workplace-safety guidelines, and in the report due this week, it’s expected to creep up again amid positive news regarding infection rates.

“What makes this whole situation unique — and a little bit mystifying for employers — is that the economic situation is still being driven by a public-health situation,” said Chris Geehern, AIM’s executive vice president of Public Affairs and Communications. “Typically in an economic downturn, business people know exactly what to do. Now, it’s wholly dependent on what the daily numbers are from the state and nationally. I think that’s been a big challenge.”

“Certainly it seems like businesses are open — like restaurants with outdoor seating or limited indoor seating — and I think there are people really wanting to get out there, but some people aren’t ready yet.”

That said, he told BusinessWest, “our members have been satisfied with the state process. It has certainly been a challenge to meet all the requirements, but for most employers, the big issue isn’t what the government tells you to do, but what you know you have to do to ensure that employees, vendors, and customers feel comfortable coming in. It’s going to be a slow recovery whether the government requires these steps or not because people won’t come to your restaurant if you haven’t taken the appropriate safety steps.”

Growing Optimism

Employers hope a timely return to business will allow them to re-hire some of the 1.2 million Massachusetts residents who have filed for unemployment since the onset of the pandemic.

“From a broad perspective, I’m not getting a super pessimistic view from anyone I’ve spoken to,” Szynal said. “Certain people are concerned — they’ve had to make some changes, and they’ve had some struggles. People don’t expect those struggles to end instantly. But people are pretty optimistic for the long term.”

Again, that likely depends in part on the public-health data remaining on a positive track.

“Employers are encouraged that Massachusetts has been able to moderate the number of new COVID-19 cases. We have said all along that the current economic crisis is being driven by the public-health crisis, and that’s what we see here,” Raymond Torto, chair of AIM’s Board of Economic Advisors, noted in the latest business-confidence report.

Chris Geehern

Chris Geehern

“Typically in an economic downturn, business people know exactly what to do. Now, it’s wholly dependent on what the daily numbers are from the state and nationally. I think that’s been a big challenge.”

AIM President and CEO John Regan added that Baker’s deliberate, four-phase plan has so far been an effective way to reopen the state economy in a safe and efficient manner.

“We realize that every employer in Massachusetts would love to hear that they can reopen immediately. But we also acknowledge that a phased reopening balances the need to restart the economy with the need to manage a public-health crisis that continues to claim many lives a day in Massachusetts,” Regan said, adding that employers, “will in many cases need to reconfigure workplaces for social distancing and determine how to implement other safety measures, such as the wearing of protective equipment, continuing work-from-home policies, and ensuring the health of workers and customers.”

While AIM employers have been satisfied with the pace of the rollout, Geehern told BusinessWest, there was some frustration early on, particularly in the retail, restaurant, leisure, and hospitality sectors, which weren’t included in phase 1. “Some thought we should be moving faster. To be honest, I think the events going on down south persuaded most people that slow and safe is still the best way to do all this.”

He conceded that many AIM members are manufacturers, and they were able to return to work in phase 1 — and many were deemed essential workers from the start and never shut down operations. That partly explains why their business confidence has been slightly higher than non-manufacturers.

“They were, in fact, dealing with issues of workplace safety right along — processes like how to create six-feet separation, sanitize common areas, and monitor the health of people coming in,” he said. “This is something they’ve had a lot of experience with. For our group of manufacturers, it’s been a fairly smooth process.”

All Eyes on the Numbers

That said, Geehern noted that if COVID-19 cases began spiking and the governor paused or slowed the reopening, business confidence would clearly suffer.

“It’s still volatile and changeable, but I think it’s fair to say companies in general are satisfied with the pace of the rollout. Believe me, every employer in Massachusetts wishes Governor Baker could wave a magic wand and everything would go back to the way it was, but everyone knows that’s not the case.”

“The numbers are fairly optimistic, and I think the most important thing right now is confidence. That’s what’s going to help those businesses bounce back.”

How schools handle students’ return this fall — and what that does to the child-care picture — is a factor as well, he said. “There are a bunch of different elements to the whole picture. They’ll all eventually become clear.”

Part of that clarity is the sad reality that some businesses will be left behind. According to one AIM survey, slightly more than half of companies that furloughed employees will want them all to return when they’re able to bring them back, but some said they won’t be taking any of them back, because they’re planning on going out of business or running a skeleton staff for a while.

“It’s going to be a slow recovery, but our members still think the fundamentals of the economy that existed in February still exist, and I think that’s going to help us,” he noted, adding, however, that leisure and hospitality, as well as mom-and-pop shops of all kinds — two types of businesses that are important to the Franklin County economy — are especially vulnerable right now.

Knowing all of this — the tentatively good health news and the more uncertain economic outlook — Szynal chooses to take the glass-half-full view.

“The numbers are fairly optimistic, and I think the most important thing right now is confidence,” she said. “That’s what’s going to help those businesses bounce back.”

Joseph Bednar can be reached at [email protected]

Coronavirus

Responding to COVID-19 Has Been Hair-raising to Say the Least

Judy Puffer

Judy Puffer, founder and owner of Puffer’s Salon & Day Spa in Westfield

Judy Puffer knows she’s ready for a vacation. What she doesn’t know is whether she’s going to get one any time soon.

With that, she speaks for the vast majority of business owners and managers coping with everything the COVID-19 pandemic is throwing at them. In short, shutting down the economy was anything but a break for most people in business, reopening was exhausting on many levels, and doing business now is … well, anything but business as usual or what life was like before any of us heard of that now infamous name followed by a number.

“I was working hard behind the scenes — probably harder than when we were open,” said Puffer, founder and owner of Puffer’s Salon & Day Spa in Westfield, who told BusinessWest that the past three and a half months have easily been her most trying in business. And while most all aspects of that business are now open again, getting here wasn’t easy, and challenges remain.

Replaying the tape from the past 100 days or so, she recounted challenges ranging from shortages of needed supplies and encounters with price gouging to lack of guidance from the state and federal governments regarding how and when reopening would occur, to clogged phone lines once the ‘open’ sign was back on the door.

Some of this she could see coming, like those busy phone lines, but most of it she couldn’t, and as she retells her story, one can sense the exhaustion, exasperation, and, yes, relief in her voice now that most of the really hard stuff is in the past tense. Or so she hopes.

Turning the clock back to March 23, Puffer said from the day the shutdown order was given, the focus turned to reopening. And there were challenges everywhere, including this state’s slow, cautious approach — which actually turned out to be a kind of blessing in disguise, although she didn’t use those exact words.

“It was obstacle after obstacle after obstacle just trying to get set up to open. Governor Baker did a great job with all this, but he gave us very little notice; he said, ‘OK, you can open, but you have to have these protocols in place.’ It was like setting up a whole new way to do business, and we weren’t given much time to do it.”

“One of the things that really helped me was being part of the Aveda Corporation,” she said, referring to the Minneapolis-based supplier of high-end health and beauty products that has affiliated with salons across the country. “The company immediately started owner calls, two a week that ran for an hour to an hour and a half; what they would do is get people from a variety of states on these webinars. That was huge because we were getting feedback from people who were opening in Georgia about the challenges they were facing; we were getting people from California who were still closed, talking about what they were doing to get open; we heard from people in Florida, Colorado, Minnesota, New York.

“All this really helped me,” she went on, “because there wasn’t really any guidance from this state from anyone. Getting that help from Aveda was huge because I could then take what these states were doing and put it into my culture and kind of be prepared.”

Elaborating, she referenced everything from shampooing customers — some states allowed it, while others didn’t — to blow-drying hair (again, some allowed it, others didn’t); from taking customers’ temperatures when they walked in the door to learning about a company that came up with plexiglass dividers on wheels to place between stylists’ stations.

The goal was to be as prepared as possible, and all those webinars certainly helped.

What also helped was some advice to think outside the box when it came to needed supplies, which she did after finding that items she ordered in March were simply not going to arrive. She managed to buy some alcohol for cleaning from another business in Westfield, spray bottles from another business owner, and a timely referral from an area dentist on where to procure thermometers in just a few days.

“It was obstacle after obstacle after obstacle just trying to get set up to open,” she recalled. “And we started the minute we closed. Governor Baker did a great job with all this, but he gave us very little notice; he said, ‘OK, you can open, but you have to have these protocols in place.’ It was like setting up a whole new way to do business, and we weren’t given much time to do it.”

The company reopened its salon the day after Memorial Day, with the salon aspects of the businesses opening a few weeks later, under the second stage of phase 2 — again, with very little time to prepare. Now, all but a few of the many services are available, with the rest, like the sauna, to come in phase 4.

Puffer says she’s managed because she was able to learn from others through those webinars and by anticipating what would come next so she could be ready for it.

It’s been a trying — and very tiring — experience. And that’s why she’s more than ready for the vacation she’s not likely to get any time soon. u

—George O’Brien

Coronavirus

For This Springfield Business, Better Times Are on Tap

Ray Berry

Ray Berry, seen here at the site of White Lion’s new facility in Tower Square, now under construction, says the pandemic impacted virtually every aspect of his business.

From the beginning of the pandemic, Ray Berry’s White Lion Brewery was deemed an essential business by the state’s governor.

That means it was allowed to remain open when many others had to close amid efforts to flatten the curve and relieve the tension on the region’s healthcare system.

But as any other venture on that large list can attest, ‘essential’ does not mean free of challenges, headaches, anxiety, and uncertainty about what might come next.

Indeed, there’s been plenty of all of those things for this Springfield-based company that was looking toward 2020 as a watershed year, and still is in at least some respects.

Especially with plans for a much-anticipated taproom and accompanying restaurant in Tower Square — specifically the former Spaghetti Freddy’s site — now moving forward again after a halt to most forms of construction during the spring.

“Pre-COVID, we were really ramping up and starting to fire on all cylinders relative to sales and construction — we were about to onboard another salesperson and were also looking to obtain another vehicle and perhaps another part-time person to deliver our product,” he told BusinessWest. “And then … the pandemic hit.”

And it hit hard, impacting the company from “front to back,” as Berry put it.

“Pre-COVID, we were really ramping up and starting to fire on all cylinders relative to sales and construction — we were about to onboard another salesperson and were also looking to obtain another vehicle and perhaps another part-time person to deliver our product. And then … the pandemic hit.”

By that he meant virtually every aspect of the business, from the closure of the hundreds of bars and restaurants (as well as MGM Springfield) that sold White Lion to a halting of construction work on the brewery; from the canceling of high-profile events where the brand had a presence, such as the Holyoke Road Race, to the suspension of the beer gardens the company has hosted in downtown Springfield and Westfield during the summer and fall months.

“It was just like a crash — it all happened at once within a 48-hour period when the state and federal governments stepped in and put restrictions in place,” he noted, adding that, as sales plummeted (only liquor stores, also deemed essential, remained as a distribution point), the company had to lay off some of its employees in stages and figure out how to manage with those who remained.

White Lion has been helped by assistance programs on a number of levels, from the federal Paycheck Protection Program to the local Prime the Pump initiative created by the Development Department in Springfield, said Berry, adding that this help, coupled with the remaining business from liquor stores, enabled the company to stay on its feet during those brutal spring months.

And as the state continues to reopen businesses, the outlook for White Lion continues to brighten. Restaurants have reopened across the region, and the state’s casinos have been given the green light to open their doors, although MGM Springfield has not given a specific date when it might do so. And work has resumed on the project in Tower Square, and Berry is projecting that his crew can be in and brewing beer by the end of this month.

“The taproom component is under construction now,” he went on, “and we hope that by mid-August, the taproom piece, as well the kitchen piece, will be complete, and that by the end of August or early September we can start welcoming people into the space.”

Meanwhile, White Lion has recalled most of its seven employees and expects to be “whole” in that regard by late July, he said.

Projecting beyond the next few months is difficult, but Berry believes the company will be able to open its beer gardens in late August or early September, noting that these ventures will be part of phase 3 of the state’s reopening plan.

Looking back — and ahead — Berry, echoing countless other business owners across every sector of the economy, said the pandemic has provided a stern test, one he believes his team is passing through determination and imagination.

“It’s been a challenge in every way you can imagine,” he told BusinessWest. “It’s just a predicament that we’re in, and we have to pivot and continue to find ways to remain resourceful and efficient for the benefit of the sustainability of the company.

“I always said that we’re all resilient as people,” he went on. “And there’s always going to be a light at the end of the tunnel. We don’t know how long that tunnel may be, but there will be a light, and we’re starting to see some of that that now.”

—George O’Brien

Coronavirus

At This School, Pandemic Has Been a Real Learning Experience

Brian Easler says Wilbraham Monson Academy

Brian Easler says Wilbraham Monson Academy was perhaps better prepared for the pandemic than some other institutions, but pivoting to online learning was still a stern challenge.

Brian Easler still recalls the name of the briefing staged by the Centers for Disease Control in Washington, D.C. more than a decade ago: “The Impending Pandemic.”

Actually, what he remembers even more was the subtitle to the program: “It’s Not a Matter of If, It’s a Matter of When.”

He took the content to heart, and because of that, he believes Wilbraham Monson Academy (WMA), which he serves as head of school, was in some ways better able to handle the arrival of COVID-19 in mid-March.

“We had prepared pretty well for something like this, actually,” he told BusinessWest. “That was a three-day workshop I attended in Washington led by some of the country’s leading epidemiologists. I came back to the school with a lot of good information on how to prepare.”

Elaborating, he said that, because of that warning, the school was well-stocked with what everyone knows now as PPE, and there were plans already in writing for several different scenarios depending on when in the school year the pandemic actually hit.

Such preparation certainly didn’t make the closing of the campus to all but a few international students who simply couldn’t get home, or the transition to remote learning, easy. But it probably made it easier, said Easler, comparing what has transpired over the past several months to a military operation — and he should know, having served in the Army Airborne Rangers.

“You’re getting swept up in something bigger than yourself, where there’s risk involved and a degree of planning,” he explained. “And the decision making — the emergency decision-making process — is much different. During normal times, a decision might be very difficult to make; during an emergency, that decision becomes very easy. We wouldn’t normally turn our school meeting space into a second dining hall — that would be a big decision during normal times. But under these conditions, it was an easy decision to make.”

“We had prepared pretty well for something like this, actually.”

Flashing back to March — and then further back to what he heard all those years ago — Easler said the pandemic did not hit quite like those experts projected it would.

“What tripped up us a little bit is that the CDC was anticipating a pandemic that would be fast-moving,” he explained. “We were prepared for three weeks; that was fine when it came to PPE because all the students went home. But it didn’t help us with transition to an online education program; we had to literally make that up on the fly during spring break.

“In the end, it’s a good thing it wasn’t a fast-moving pandemic, because fast-moving also means really deadly,” he went on. “We were planning for a three- or four-week event, as opposed to a 12-month event, which is more like what we’re looking at. But as a school we saw the signs early, and we paid attention to the right things and the right information. When the students were getting ready for spring break, we told them to bring their laptops and books home with them and to be prepared in case we were not able to return for classes.”

Overall, that transition to remote learning went smoothly, he went on, because of the tight, close-knit nature of the WMA community and the hard work and dedication of staff and students. And these elements are also facilitating efforts to plan for the fall semester, which will start at its traditional time in early September and feature a hybrid model that mixes in-class and remote learning.

“We can simultaneously run classes on campus for the faculty and students who can be on campus, while students and faculty and who cannot be on campus can still synchronistically participate in the same program,” he explained. “It’s fluid, it’s very flexible, and, quite honestly, it’s the future of education anyway. We wish it didn’t take an event like this to move us in this direction, but we’re happy to be moving in this direction — it’s good teaching.”

Looking ahead to the fall, Easler said enrollment, which is traditionally roughly 400 students, remains steady, and, overall, the school may see its numbers rise due to uncertainty among parents about just what the public-school environment might look like come late August or September.

“We’re seeing a little bit of an uptick in local interest,” Easler noted. “I’m speculating, but I think the public-school systems are going to face some significant challenges, and they don’t necessarily have the space resources that we do — we’re structured much like a small college campus with multiple buildings, lots of outdoor space, and a number of spaces that, even though they’re not used as classrooms, can be used as socially distanced classrooms; we have a lot of advantages over public schools.”

Whether this interest locally translates into a bump in enrollment remains to be seen. But what is already clear is that early and effective planning has paid off for this venerable institution.

And it was necessary because the planners of that program in Washington all those years ago were right; it was a question of when, not if, a pandemic would arrive.

—George O’Brien

Coronavirus

Growing Need for Tents Is Helping Company Through a Trying Year

Greg Jerome stands by one of the tents

Greg Jerome stands by one of the tents his company supplied to the High Street Clinic in Springfield, an example of how the pandemic has created some opportunities while robbing the company of many others.

Greg Jerome didn’t want to get into any specific revenue numbers, but he made it clear that the COVID-19 pandemic has made this a year to forget for his business, Westfield-based Jerome’s Party Plus.

But he also made it clear that, if not for certain aspects of the pandemic, the numbers would be even worse.

Indeed, for this venture, and others like it, tent rentals are a big part of the portfolio. And while the pandemic has wiped all kinds of tent-worthy events off the calendar — from weddings to graduation parties to town gatherings like ‘taste of’ events — it has also driven considerable need for this item, especially over the past several weeks as sectors of the economy and specific types of businesses began to reopen.

That list includes restaurants, summer camps, and even churches, said Jerome, president of this family-run business that has 200 tents in its inventory, noting that his crews have been kept busy putting up tents in recent weeks, and not so much taking them down, because this year, when a tent goes up, it stays up for a while —perhaps the whole summer and beyond.

“We have more than 8,000 chairs, 800 tables, stages, dishware, glassware, flatware, linen, and many other items that have all been collecting dust for three months now.”

“And that’s just one of the things that makes this year very different,” he told BusinessWest, noting that going back to March, when he first installed a tent for Baystate Health for COVID-19 testing, the company has been involved with some unique undertakings.

However, he made it clear that, while he’s renting out tents, there is still a good supply available in the warehouse. Meanwhile, he’s not renting out much of anything else.

“We have more than 8,000 chairs, 800 tables, stages, dishware, glassware, flatware, linen, and many other items that have all been collecting dust for three months now,” said Jerome, adding that, while there is hope that some of these items may soon get back into circulation, the picture was further clouded by the cancelation of the Big E for 2020.

“The Big E cancellation will be our greatest loss of revenue this year,” said Jerome, noting that the Eastern States Exposition is his biggest customer and the fair is by far his biggest single event. “The cancellation of the fair certainly took the wind out of our sails; we always get excited during the push to install 150 tents and 3,500 chairs.”

For now, Jerome said his company is trying to make the most of the sudden, and still-surging, need for tents as businesses and institutions search for ways to carry on during the pandemic — often by moving activities and services outdoors. And his large inventory, especially when it comes to the bigger models, has certainly helped in this regard.

New and certainly non-traditional tent clients include several restaurants, including Shortstop Bar & Grill in Westfield, Tucker’s in Southwick, Captain Jimmy’s in Agawam, and Masse’s in Chicopee, among many others, as well as Blessed Sacrament Church in Westfield, which held services outdoors for several weeks and still uses a tent for those uncomfortable with going inside. The company has already supplied tents for several nonprofits with summer day programs, including the Greater Westfield YMCA and a few Boys and Girls Clubs, as well as the West Springfield Parks & Recreation Department.

It has also provided tents and other items for a number of drive-in COVID-testing sites operated by Baystate Health, including facilities in Westfield, Ware, Greenfield, and three locations in Springfield. This work goes back to mid-March when the company was hired by Baystate Health to create what Jerome called “cubicles” inside the new triage facility erected just outside the emergency room.

Elaborating, he said the company provided the piping, and another vendor supplied corrugated boards that were attached to the framework to create 33 private spaces.

For the drive-in sites, the company created a model that was eventually used at all six locations, facilities that also included a greeters’ tent and a heated tent-within-a-tent with clear sides that served as a type of nurses’ station.

These intriguing projects have certainly helped, but those thousands of items gathering dust and not seeing the light of day are the bigger story.

And they explain why this is certainly a different kind of year, when the pandemic has generated some business, but taken away so much more.

—George O’Brien

Coronavirus

Chicopee-based Company Is Still Trying to Get Out of First Gear

Dennis King

Dennis King says the pandemic brought bus travel to a near standstill, impacting every type of customer in the company’s portfolio.

Dennis King says he’s experienced a number of subtle, but mostly not-so-subtle, cruelties stemming from the COVID-19 pandemic.

Starting with those low gas prices from a few months back and the fact that no one could really take advantage of them.

“Gas was $1.25 … and you had nowhere to go,” said King, president of Chicopee-based King Ward Bus Lines, who used that statement in reference to individuals and families — and just about every one of his customers.

Indeed, ‘nowhere to go’ applied — and still applies — to college and high-school sports teams, an important client base in the company’s portfolio. And to people seeking to visit one of the region’s casinos. And to groups heading to Red Sox games. And to people looking to go to a show in the Big Apple. And to classes going on school field trips.

All those sources of revenue dried up, seemingly overnight, for this family-owned business, said King, adding that the last bus left King Ward’s garages on March 14, and the company’s busiest time of the year was essentially wiped off the calendar.

“And our July is kind of on hold, because we don’t have any trips booked, unless something happens with the casinos,” he told BusinessWest, noting that, while the Connecticut gaming palaces are open, they are currently not accepting bus groups. The Bay State’s casinos are set to open early this month, but it isn’t known if they will accept bus groups.

As for the future … it is a giant question mark, he said, noting that, while the Red Sox may start playing again, it’s not known if there will be any fans in the stands. Meanwhile, Saratoga Raceway in New York and countless other venues that people travel to by bus are closed for the summer or the rest of the year. Meanwhile, no one really knows if there will be any high-school and college athletics this coming fall, or any school field trips.

“Gas was $1.25 … and you had nowhere to go.”

And then, there’s the Big E, another important source of revenue for the company. It’s been canceled for 2020, leaving another huge hole in the budget that will be difficult to fill .

Faced with idle buses, King said he laid off or furloughed all but a few of his employees back in the spring. He’s looking to bring some office staff and mechanics back on Aug. 1 and hopes things get busier come September.

“We’re banking on college athletics coming back,” he noted. “If there is a light at the end of the tunnel — and that’s if — it would be schools getting back in session.”

As for the casinos, and especially MGM, King Ward was given what was at the time (the summer of 2018) thought to be a game-changing contract to bring people to the casino from various destinations across the region. To say things haven’t worked out as planned would be an understatement, said King, noting that the service — subsidized by MGM at the start — was scaled back only six months after the casino opened in August 2018, and it eventually evolved into a door-to-door service using vans rather than buses, with those choosing this option getting credits for the gaming floor and lunch — what amounted to what King called “a free ride to the casino.”

“But it never really took off,” he said, adding quickly that the service does have the potential to grow, and, like many others, he’s watching and waiting to see if and when the casino will reopen.

There will be a lot of watching and waiting for this company, which, like so many others, is dependent on other businesses and institutions for its livelihood. The pandemic has impacted all of them, and, as noted earlier, the trickle-down, in this specific case, was much more like a torrent.

So much so that King was one of many within the bus industry who ventured to Washington, D.C. several weeks ago to lobby elected leaders for financial assistance for a sector he said is often overlooked within the larger transportation industry.

“I don’t expect to be busy again until Labor Day, unless something happens and the casinos start accepting buses,” he told BusinessWest, adding that ‘busy’ is certainly a relative term in 2020, and there are myriad factors that will determine when, and to what extent, the buses start rolling again.

Still optimistic, despite a gloomy year to date, King said people are calling and asking about service to the casinos.

“People are ready to get out — they’ve been cooped up for a long time,” he said, adding that he hopes there will soon be places to take people.

Gas certainly won’t be as cheap as it was back in March, but all things considered, that’s certainly one of the more subtle cruelties stemming from the pandemic.

—George O’Brien

Coronavirus

‘The Place Where COVID Goes to Die’ Is Still in Recovery Mode

Rebecca Merigian

Rebecca Merigian says the pandemic, by canceling all kinds of events and shuttering businesses like MGM Springfield, put a huge dent in dry-cleaning volume.

Rebecca Merigian can’t find too many silver linings in this COVID-19 pandemic.

But at least people still need clean shirts for those Zoom meetings. Dress pants? Not so much.

“We’ve seen a lot of shirt business, and we’ve actually picked up quite a few new shirt customers,” said Merigian, owner of Springfield-based Park Cleaners, adding quickly that most of her other steady supplies of business have run dry or mostly dry over the past three and half months.

That includes MGM Springfield, which awarded her a lucrative contract just before it opened nearly two years ago — one that sends uniforms for all its employees her way — that effectively tripled her business volume. The casino closed in mid-March, as did a host of other businesses, and Park Cleaners was just one of many local vendors to take a huge hit when it did.

“We’ve heard from them … they’re starting to bring some employees back, so we’re on call,” she said, adding quickly that she’s not sure how many will be back and just how much work will be coming back in.

But the fallout goes well beyond the casino, said Merigian, second-generation owner of this family business. As large numbers of people continue to work at home she noted, there is far less need to get dress clothes cleaned and pressed. But beyond workplace clothes, the company has been hit by the almost complete stop to many types of events for which people needed clothes cleaned and pressed.

“There’s been no weddings, no funerals, no graduations, no work … no anything to prepare for,” she said, adding that overall, she projects that business if off a whopping 85% to 90% from a year ago, with MGM’s closure being easily the biggest hit.

She has been helped by the stay-at-home trend in a few respects, though; she reports that people are being more diligent about cleaning in general, and especially about cleaning linens, bedding, and other items. Meanwhile, some don’t want to spend their time doing the wash, so they’re sending it in to be cleaned and folded.

“There’s been no weddings, no funerals, no graduations, no work … no anything to prepare for.”

“Cleanliness has definitely been on people’s minds through all of this, and that’s helped keep us going,” she said, adding that she’s also noted an uptick in work cleaning uniforms for first responders, in part because there’s a nice discount forwarded to those frontline workers.

But even healthcare-related business is down, she noted, adding that many practices have only recently reopened and are seeing fewer patients. So if they dropped off items to be cleaned twice a week before the pandemic, now they’re down to once a week.

In the meantime, there are now a host of new protocols and safety precautions to follow at this business that has, informally, marketed itself as “the place where COVID goes to die,” Merigian said.

“It’s like starting over or starting a new business, with a very uncertain future — the risks are very high,” she said when asked to explain what the past several months have been like. “There are new rules, and we have to make sure that anyone who deals with contaminated laundry is fully prepared; we’ve had to change the way we do business, and that’s just one of the challenges.”

Like many business owners we spoke with, Merigian said that, while the focus has been on companies reopening — and that’s important — the issue isn’t whether they’re doing business, it’s whether they can make any money if they are. And for ventures in many sectors, the quick answers are either ‘no’ or ‘yes, but not enough.’

And there are obvious questions about when those answers will change.

Merigian says she’s heard from officials at MGM who tell her that some employees will be coming back ‘soon,’ and that some business will follow. But how much business remains to be seen.

Meanwhile, questions remain about when gatherings like weddings, business functions, and even funerals will return. And working from home may become a long-term proposition for many workers — if not something approaching permanent.

But, like most business we’ve spoken with in recent weeks, Merigian is looking optimistically toward fall and the possible return of something approaching ‘normal.’

“The fall definitely looks good, so long as COVID subsides or they find a vaccine,” she said. “I see a very good fall, but then I tend to be optimistic.

“It’s a waiting game,” she went on, referring specifically to MGM, but also to all those other events — and sources of business — she mentioned at the top. Until weddings and funerals resume and more workers return to the offices they left in early March, generating business will be a challenge.

In the meantime, at least people will need clean shirts for all those Zoom meetings.

—George O’Brien

COVID-19 Daily News

BOSTON — The Baker-Polito administration announced that phase 3 of the Commonwealth’s reopening plan will begin on Monday, July 6, and updates on gatherings will be in effect. For the city of Boston, phase 3 and the gatherings order will take effect on Monday, July 13.

The following businesses will be eligible to reopen in the first stage of phase 3, subject to industry-specific rules concerning capacity and operations: movie theaters and outdoor performance venues; museums and cultural and historical sites; fitness centers and health clubs; certain indoor recreational activities with low potential for contact; and professional sports teams, which, under the authority of league-wide rules, may hold games without spectators.

The full guidance and list of businesses eligible to reopen can be found at www.mass.gov/reopening. Businesses and sectors set to begin opening in phase 3 are subject to compliance with all mandatory safety standards.

Under the updated gatherings order, indoor gatherings are limited to eight people per 1,000 square feet, but should not exceed 25 people in a single enclosed, indoor space.

Outdoor gatherings in enclosed spaces are limited to 25% of the facility’s maximum permitted occupancy, with a maximum of 100 people in a single enclosed outdoor space. This includes community events, civic events, sporting events, concerts, conventions, and more. This order does not apply to outdoor, unenclosed gatherings if proper social-distancing measures are possible.

In phase 3, healthcare providers may continue to provide in-person procedures and services as allowed in phase 2, with the addition of certain group treatment programs and day programs. These programs include adult day health, day habilitation programs, and substance-abuse services, including day treatment and outpatient services. Certain human-services programs can reopen, including community-based day services for adults with intellectual and cognitive disabilities and psychosocial rehabilitation clubhouses.

Healthcare providers are subject to compliance with all mandatory safety standards, and must continue to utilize prioritization policies established in phase 2 for care delivery and scheduling, as well as monitor patient volume for non-essential, elective procedures and services.

In phase 3, visitation guidelines have been updated for 24/7 congregate care facilities and programs overseen by the Executive Office of Health and Human Services, including the departments of Developmental Services, Youth Services, Children and Families, Public Health, Mental Health, and the Massachusetts Rehabilitation Commission. Offsite visits, including overnight visits, will be allowed under specific guidelines. Other updated guidelines, including visitation for long-term-care facilities, will be released shortly. Complete visitation guidance is available at www.mass.gov/hhs/reopening

MassHealth will also extend its current telehealth flexibility through at least the end of the year to ensure member access to critical healthcare services and encourage continued adherence to preventive public-health precautions.

On May 18, the Baker-Polito administration released a four-phase plan to reopen the economy based on public-health data, spending at least three weeks in each phase. Key public-health data, such as new cases and hospitalizations, have been closely monitored and shown a decline, allowing for phase 3 to begin.

Since mid-April, the seven-day average for the positive COVID-19 test rate is down 94%, the three-day average of hospitalized patients is down 79%, and the number of hospitals in surge is down 86%. More than 1,000,000 total COVID-19 tests have been administered, and testing continues throughout the state.

COVID-19 Daily News

BOSTON — The Baker-Polito administration announced new COVID-19 public health guidelines on travel and transportation.

Effective today, July 1, all travelers arriving to Massachusetts, including residents returning home, are instructed to self-quarantine for 14 days. This guidance does not apply to travelers from Rhode Island, Connecticut, Vermont, New Hampshire, Maine, New York, or New Jersey. Additionally, workers designated by the federal government as essential critical infrastructure workers are also exempt from this directive.

Travelers who are displaying symptoms of COVID-19 are instructed to not travel to Massachusetts.

All visitors and residents of Massachusetts are also reminded that the use of masks or face coverings in public places where individuals cannot socially distance from others remains required.

These new guidelines replace previously announced Massachusetts travel guidance. For national travel information, visit www.travel.state.gov.

Coronavirus Special Coverage

Destination Unknown

John Doleva

John Doleva says the Basketball Hall of Fame still has a big, important year on tap, even if the schedule has shifted quite a bit.

As he talked with BusinessWest about his industry and his family’s hotel group, Kishore Parmar kept glancing back and forth between the lobby of the Hampton Inn in Hadley and the parking lot outside.

He did so with a look that blended something approaching disbelief — still, after roughly three months of the same view — with resignation.

“This lobby is essentially empty, and this is not how it is,” he explained. “If this were a normal day in June, you’d see families, you’d see business people in and out, there would be staff going up and down the hallways. We would be sold out for tonight, or very close to it.”

Instead, there would be maybe six or eight people staying in this 71-room hotel just off Route 9 that night. The lobby was empty. Just a few vehicles dotted the parking lot, all of which Parmar could identify as belonging to staff.

This view is a metaphor of sorts for what hotels have been experiencing since mid-March, something none of those in it have ever seen before. Business for the Pioneer Valley Hotel Group — which also includes a La Quinta by Wyndham in Springfield, Hampton Inn and Homewood Suites by Hilton in Hadley, Holiday Inn Express in Ludlow, and Hadley Farms Meeting House in Hadley — is off roughly 80% from what it was a year ago. And the numbers would be even worse if some first responders didn’t stay in these hotels in the early days of the pandemic.

Perhaps the most unsettling thing is that Parmar doesn’t know if, when, or for how long things will get appreciably better.

But while the view for all hoteliers in the region is similarly troubling, there are some signs of life in the broad tourism and hospitality sector. Indeed, many area restaurants are now open for outdoor seating, and a good number of them are creating intriguing spaces as they welcome back customers that have been relegated to takeout for more than three months.

Signs at the Hall of Fame

Signs at the Hall of Fame will use players’ wingspans to send a message about standing six feet apart — or, in Giannis Antetokounmpo’s case, more than seven feet.

Meanwhile, some tourist attractions are moving closer to opening their doors. The state’s casinos are eyeing a late June opening — although MGM Springfield has not committed to a specific date — while the Basketball Hall of Fame, which is in the final stages of a $23 million renovation project, is targeting July 1 as its reopening date.

President and CEO John Doleva isn’t sure what kind of turnout that opening will boast, although he told BusinessWest the Hall will be aggressive in marketing what was supposed to be a high point in a year of many high points.

“In January, I sat down with the senior staff and said, ‘first of all, this is going to be the greatest class ever — Kobe (Bryant), Tim Duncan, Kevin Garnett. That was before Kobe passed away, which was pretty unbelievable,” he recalled. “On top of that, we had a 100% new museum, top to bottom, that was going to open up on May 1” — not to mention a commemorative coin from the U.S. Mint, to be unveiled at the Final Four in early April.

The coin was eventually released, but the Final Four was cancelled, the 2020 induction was moved into 2021, and, who knows what the July 1 grand opening will bring? But Doleva is optimistic.

“The good news is, all these things are going to happen; it’s not like we lost them. They’re just not on the time frame we thought they would be,” he said. “But we do feel that people want to do stuff — but how will they decide?”

That equation has surely changed in the year of COVID-19.

“People always ask, ‘what am I going to see, what does it cost, how far away from my house is it, and what kind of experience is it?’” he noted. “But kind of rising to the top is, ‘what kind of procedures and protocols does an organization have in place to ensure my family’s health and safety?’

“Safety is paramount at any tourism destination at this point,” Doleva added. “You’ve got to communicate not the traditional marketing of ‘we’re fun and we’re affordable; your family’s going to have a great time and talk about it forever.’ It’s also, ‘you can come here and feel safe — and here’s everything that we’re doing.’”

And that presents an opportunity in a region rich in attractions that are often taken for granted by locals. There are indications that, due to real concerns about traveling in anything but a car, area destinations might get a boost from those looking to take a ‘staycation,’ rather than typical vacation, and that includes visiting sites where they feel safe.

“This lobby is essentially empty, and this is not how it is. If this were a normal day in June, you’d see families, you’d see business people in and out, there would be staff going up and down the hallways. We would be sold out for tonight, or very close to it.”

But a host of challenges remain for this sector, and questions remain about everything from how hotels will serve guests breakfast to whether there will be a Big E — which benefits a number of businesses in this sector — and what that fair might look like. But as tourism lurches back to something resembling life, there’s plenty of hope in the air, too.

Animal Attraction

It was opening day at the Zoo in Forest Park & Education Center in Springfield — a full nine weeks later than usual — but Sarah Tsitso liked what she saw.

“People are definitely responding,” said Tsitso, the zoo’s executive director, as guests took advantage of a new timed reservation system that, at least for now, lets only 10 people in every 10 minutes, to promote social distancing. “It’s great seeing families and children so happy being out seeing the animals, and the animals are happy to see their friends come back. We close the first week of November. That’s a long time to be closed to the public.”

The key word is ‘public.’

“The zoo is open 365 days a year for the animals. They live here, and they’re fed and get vet care whether it’s winter or summer. We rely on the visitor season to generate revenue for the months we’re closed.”

Those nine lost weeks cost the center some $200,000 in revenues, losing not just gate receipts but educational programs, a robust schedule of spring field trips, and three major events typically held annually between March and July.

“That’s a pretty huge loss,” she said. “We’re still not sure what’s happening with summer camps, which would start around June 25. We’re not sure what that’s going to look like.”

Whatever shape the summer takes, it will be better than the waiting game to reopen, during which the zoo managed to secure a Paycheck Protection Program loan to keep staff working and developed the protocols now in place, from a mask requirement and sanitizer stations to additional barrier fences and a one-way path around the grounds.

“It was certainly challenging, but manageable,” Tsitso said. “The biggest change was probably the timed ticketing system. But we were quickly able to identify a system that works for us and get it up and functioning. We were just waiting for the green light.”

The light turned decidedly red for Peter Pan Bus Lines back in March, CEO Peter Picknelly told BusinessWest.

“We ran for a few weeks once the pandemic hit, but within two and a half weeks, sales declined over 90%. So we shut down for about eight weeks,” he said. “Shutting down was one of the hardest things we have ever done.”

When the buses did start rolling again earlier this month, making limited runs to major destination cities, Picknelly was pleasantly surprised. “Activity has been pretty good,” he said after the first week, adding that the second week was looking even busier. “There’s a pent-up demand to get out of Dodge, and that’s what we help people do.”

One issue is that destination cities like Boston and New York are still reopening in their own way, and once the big cities fully open, he expects more of a rush. For now, the company is getting its “sea legs back,” he said, and making sure everyone on the bus feels safe.

Kishore Parmar

Kishore Parmar says the most unsettling thing about the pandemic, from the hotel industry’s perspective, is not knowing when business might get better.

To that end, Peter Pan has improved its contactless boarding procedures while introducing PermaSafe, a CDC-approved product that purifies passenger cabin air while making interior surfaces anti-microbial and self-sanitizing. The company also uses electrostatic handheld sprayers to sanitize and disinfect the buses every night. In addition, passengers are required to wear a face mask at all times, and employees have been issued personal protective equipment, including face masks and hand sanitizer.

“Here’s my theory — nobody wants to get sick; nobody wants to get someone else sick,” Picknelly said. “But nobody wants to be cooped up any longer, either. A lot of what we do is leisure travel, but people also have to travel for medical appointments, for school, for business. There’s not only a pent-up demand to get out of Dodge, there’s also a need.”

But, they also need to feel safe, he said. “As time goes on, people will be more and more comfortable getting out. I’m confident this is going to end way sooner than people think. And I think any smart business person knows, if you want customers to come in — and come back — you’ve got to make them feel safe and comfortable.”

At the hall of fame, protocols in place for the opening include regular disinfection of all frequently touched surfaces, complimentary stylus pens to use on interactive touchscreens, an electrostatic disinfectant air-mist system, and … well, the list is frankly too long to detail all of it here.

“We’ll have the clean team out in the museum unlike ever before,” Doleva said. “People will see it in action.”

And it’s important they see it, he added.

“People are clamoring to get out. They’re looking for the safe places that are paying attention — but I definitely think there is pent-up demand.”

Some will want to be among the early visitors, he added, while others will take a wait-and-see approach. “It will be a short summer, but we are going to showcase the museum. This is a grand-opening summer, and everyone has the opportunity to come here.”

Room for Improvement

Parmar told BusinessWest that, for his group’s hotels, and most all facilities not in the shadow of ski resorts, winter is a slow, difficult time.

And what he fears is that, unless some things change, 2020 might take on the look of a 12-month-long winter in terms of occupancy rates and overall vibrancy.

“We might go from winter … right into another winter,” he said, adding that July, at this moment, doesn’t look much better than June, and the rest of summer and fall amount to a giant question mark.

The company has essentially seen its busiest season wiped off the calendar, losing college commencements, visits to area colleges and universities, business meetings, weddings, bridal and baby showers, and much more.

This certainly isn’t what the company was expecting in 2020, a year that began with hopes and expansion plans. Indeed, this is the first full year for the Homewood Suites facility, opened just over a year ago and off to a solid start, and there were plans to create a new hotel on the site of the old Howard Johnson’s on the Mohawk Trail in Greenfield and completely renovate the Roadway Inn in Hadley, which is currently closed.

That’s were. “We had a plate full for this coming year, and we were very excited about it, but then we had it all taken away,” Parmar said, adding that those projects have been put on ice, and the company is essentially trying to make the most out of what will be a trying year.

The company applied for and received a PPP loan and used it to bring its employees back to work after many were furloughed earlier in the spring. The problem now is that the money is running out, and business certainly hasn’t come back — as evidenced by the parking lot and the front lobby. Parmar said there is little if any leisure business at this point, and also little if any business travel, as companies continue to rely on Zoom meetings.

“We’re bootstrapped right now — we’re counting every penny, we’re counting every dollar,” he said. “We’re doing our best to reduce every cost there is.”

While hotels might continue to struggle, however, many in the tourism sector feel they will see more ‘staycation’ action than usual — particularly if out-of-state travelers are put off by Massachusetts’ suggested (but not required) 14-day quarantine when entering.

“If someone from Enfield wants to come to the Hall of Fame, they’re not going to take a 15-day trip to see a one-day experience. So that’s got to be clarified,” Doleva said. “I do think it is an impediment to tourism. People see ‘suggested,’ they think ‘required.’ So we’re hoping for some clarification because it affects us, and it affects hotels, restaurants, and other attractions.

Doleva said he never foresaw what 2020 would bring when he began a two-year term as board chair for the Greater Springfield Convention and Visitors Bureau back in November. But he’s been impressed with the planning the GSCVB has done to hit the ground running once tourism ramps up again this summer.

“We have a very aggressive plan to advertise the region like never before, the attractions especially,” he told BusinessWest. “We’ve never brought people together the way we are now. That’s a blessing in disguise — this is bringing the different factions of the tourism business tighter than ever.”

As chair, he also hopes elected leaders develop a greater appreciation of the impact of the tourism and hospitality industry and the numbers of people it employs, as well as the taxes it generates — and make investments in supporting tourism statewide over the long term.

“I think, if we look for the silver lining, this has caused us all to step back and focus on how we’re all interdependent, and when one improves, we all improve,” he added. “We know we have something special out here. It’s a nice place to visit, we’ve got a lot of things to do, and the industry is very focused on safety. Now we need to move forward together.”

Joseph Bednar can be reached at [email protected]

Insurance Special Coverage

Sticker Shock

Business-interruption insurance should be a simple idea to explain. But in the era of COVID-19, it has become a thorny topic.

“It is coverage that most businesses have as part of their insurance program; basically, it’s one of the key components to an insurance portfolio for a business,” said John Dowd Jr., president and CEO of the Dowd Agencies. “A covered loss is defined as physical damage to your property or on your property.”

He noted, as one example, a fire that causes a shutdown until repairs are made, with the insurance payout allowing the business owner to pay rent, taxes, and in some cases wages and benefits. “It also covers loss of property, which is a very important coverage.”

But not every event is covered, he noted, and that’s the rub lately among business owners who would like business-interruption insurance to cover losses from the pandemic-related economic shutdown — and lawmakers in several states, including Massachusetts, are pushing to enshrine such losses in the coverage.

“Obviously COVID isn’t covered — the loss that triggers business interruption has to be the result of physical damage to the property,” Dowd reiterated. “The problem with COVID is that’s not physical damage; it’s a virus. It’s specifically excluded, like other transmittable diseases. The way it’s worded, it’s not a coverage situation. As a matter of fact, the insurance industry cannot cover something like that because they can’t estimate the catastrophic potential of such a situation.”

That didn’t stop 39 Massachusetts legislators from co-sponsoring a bill earlier this spring titled “An Act Concerning Business Interruption Insurance,” calling for business-interruption coverage for losses due to “directly or indirectly resulting from the global pandemic known as COVID-19, including all mutated forms of the COVID-19 virus.”

Moreover, the bill asserts, “no insurer in the Commonwealth may deny a claim for the loss of use and occupancy and business interruption on account of COVID-19 being a virus (even if the relevant insurance policy excludes losses resulting from viruses), or there being no physical damage to the property of the insured or to any other relevant property.”

The legislation applies to policies issued to businesses with 150 or fewer full-time employees, and insurance companies can apply to the commissioner of the Division of Insurance for relief and reimbursement of amounts paid on claims through a fund created by the act, subject to eligibility and reimbursement procedures to be established by the commissioner.

John Dowd Jr.

John Dowd Jr.

“The way it’s worded, it’s not a coverage situation. As a matter of fact, the insurance industry cannot cover something like that because they can’t estimate the catastrophic potential of such a situation.”

Such relief would be needed, as Dowd demonstrated with a little math. He noted that, if business-interruption insurance was triggered by COVID-19 for all businesses with fewer than 100 employees, the cost would be between $280 billion and $350 billion — per month. “Our collective surplus of all insurance companies is somewhere between $800 billion and $900 billion. In three months, the industry would be insolvent.”

Having said that, he noted that pandemic coverage is already available — a development that emerged over the past decade following SARS and other global threats. For example, the organization that operates the Wimbledon tennis tournament bought such a policy, which costs more than $1 million a year, but when this year’s event was canceled, the policy paid out $15 million.

Impossible Costs

State legislation is a different matter, of course, aiming to reshape the very nature of business-interruption insurance. New Jersey lawmakers proposed and defeated such a bill this spring, “presumably because they looked into the potential insolvency of insurance carriers,” Dowd said. “And if people can’t buy insurance, what happens to our economy?”

Carl Bloomfield, managing director at the Graham Co., a Philadelphia-based insurance brokerage, recently told Insurance Business America that, while more than a half-dozen states that have proposed this type of legislation, he doesn’t expect the bills to pass.

“Doing it through state legislation would be very detrimental to the country on a go-forward basis from the aspect of overturning centuries of contract law,” he noted. “If you start upsetting the precedent of contract law that’s been established for centuries, that creates a very dangerous environment for all businesses because there’ll be no certainty around something that’s in the contract today, but could be overturned in court.”

If the Massachusetts bill becomes law, constitutional challenges are certain, writes Owen Gallagher, publisher of Agency Checklists, a news source for the Massachusetts insurance industry.

“Carriers would basically take the claims, get documentation that there was actually loss of income or profit, determine if there are covered claims or not, and then the federal government would pay the bill.”

The rewriting of existing insurance contracts, as proposed by this legislation, he notes, would raise constitutional questions under the U.S. Constitution’s contract clause.

“As members of a regulated industry, insurance companies have not fared well in contesting state legislative or regulatory action claiming a constitutional violation of the contracts clause. The United States Supreme Court has upheld laws impairing contracts based on a state promoting public welfare. However, this legislation may be one of the very few laws that fails that minimal test based on its blatant revision of existing insurance contracts for a limited class of insureds.”

The second constitutional challenge arises under the Constitution’s takings clause, which states that private property cannot be taken for public use without just compensation.

“Insurers have had some success contesting laws where a state’s regulatory mandates go too far and amount to a confiscation of property,” Gallagher notes. “In this case, the proposed law creates new obligations that take money from insurance companies and transfers it to small businesses that have suffered economic loss because of state action. It is difficult to see how these insurers would not have had their property taken for a public purpose in violation of the Constitution.”

Dowd sees the U.S. government eventually negotiating a coverage cap for pandemic events much like it did with terrorism in the years following 9/11. “The insurance industry is saying, ‘OK, in the future, we’re willing to participate, but we need a cap, like $250 million, which is the most the insurance industry can absorb for a pandemic, and everything over that, the federal government has to pay.’

“So they’re in the throes of negotiating that,” he said, adding that carrier involvement would likely be voluntary. “That makes sense, as a lot of the smaller mutual insurance companies don’t have nearly the surplus that the Travelers and Liberty Mutuals have. But a lot has to be sorted out.”

A Better Plan?

Dowd, who serves on the board of the Massachusetts Assoc. of Insurance Agents, said that organization backs an idea that would cast insurers in more of a support role to the government on pandemic claims as they relate to business interruption.

“Carriers would basically take the claims, get documentation that there was actually loss of income or profit, determine if there are covered claims or not, and then the federal government would pay the bill,” he explained. “We think that’s a good idea, rather than throw out stimulus money to companies that may not need it, that may not experience a loss of income. Instead, we’d have people file, have their experience validated, and get paid based on need — not an assumption that every small business needs it.”

Such a plan is being considered in the fifth stimulus bill being kicked around in Congress, he added, which makes more sense than forcing insurers to cover for losses they never considered.

“We just don’t have the financial wherewithal to pay that financial bill. We’d be out of business,” Dowd said. “But if we can offer services at an agency level and carrier level, review the claims, and validate the claims, we think that has some merit.”

Joseph Bednar can be reached at [email protected]

Accounting and Tax Planning Special Coverage

This Tax-relief Provision of the CARES Act Brings Advantages to Employers

By Carolyn Bourgoin, CPA

Businesses that either repaid in a timely fashion or did not receive a loan pursuant to the Paycheck Protection Program (PPP) should explore their eligibility for the new Employee Retention Credit, one of the tax-relief provisions of the CARES Act passed on March 27.

Like the PPP loan program, the Employee Retention Credit (ERC) is aimed at encouraging eligible employers to continue to pay employees during these difficult times. Qualifying businesses are allowed a refundable tax credit against employment taxes equal to 50% of qualified wages (not to exceed $10,000 in wages per employee).

Let’s take a look at who is eligible and how to determine the credit.

Who Is an Eligible Employer?

All private-sector employers, regardless of size, that carry on a trade or business during calendar year 2020, including tax-exempt organizations, are eligible employers for purposes of claiming the ERC. This is the case as long as the employer did not receive, or repaid by the safe-harbor deadline, a PPP loan. The IRS has clarified that self-employed individuals are not eligible to claim the ERC against their own self-employment taxes, nor are household employers able to claim the credit with respect to their household employees.

Carolyn Bourgoin

Carolyn Bourgoin

First Step: Determine Eligible Quarters to Claim the Credit

Eligible businesses can claim a credit equal to 50% of qualified wages paid between March 12 and Dec. 31, 2020 for any calendar quarter of 2020 where:

• An eligible employer’s business was either fully or partially suspended due to orders from the federal government, or a state government having jurisdiction over the employer limiting commerce, travel, or group meetings due to COVID-19; or

• There is a significant decline in gross receipts. Such a decline occurs when an employer’s gross receipts fall below 50% of what they were for the same calendar quarter in 2019. An employer with gross receipts meeting the 50% drop will continue to qualify thereafter until its gross receipts exceed 80% of its gross receipts for the same quarter in 2019. Exceeding the 80% makes the employer ineligible for the credit for the following calendar quarter.

This is an either/or test, so if a business fails to meet one criteria, it can look to the other in order to qualify. An essential business that chooses to either partially or fully suspend its operations will not qualify for the ERC under the first test, as the government did not mandate the shutdown. It can, however, check to see if it meets the significant decline in gross receipts for any calendar quarter of 2020 that would allow it to potentially claim the ERC.

The gross-receipts test does not require that a business establish a cause for the drop in gross receipts, just that the percentage drop be met.

Second Step: How Many Employees?

Determining the wages that qualify for the ERC depends in part on whether an employer’s average number of full-time-equivalent employees (FTEs) exceeded 100 in 2019. An eligible employer with more than 100 FTEs in 2019 may only count the wages it paid to employees between March 12, 2020 and prior to Jan. 1, 2021 for the time an employee did not provide services during a calendar quarter due to the employer’s operations being shut down by government order or due to a significant decline in the employer’s gross receipts (as defined previously).

“All private-sector employers, regardless of size, that carry on a trade or business during calendar year 2020, including tax-exempt organizations, are eligible employers for purposes of claiming the ERC.”

In addition, an employer of more than 100 FTEs may not count as qualifying wages any increase in the amount of wages it may have opted to pay employees during the time that the employees are not providing services (there is a 30-day lookback period prior to commencement of the business suspension or significant decline in gross receipts to make this determination).

In contrast, qualified wages of an employer that averaged 100 or fewer FTEs in 2019 include wages paid to any employee during any period in the calendar quarter where the employer meets one of the tests in step one. So even wages paid to employees who worked during the economic downturn may qualify for the credit.

Due to the potential difference in qualifying wages, it is important to properly calculate an employer’s ‘full-time’ employees for 2019. For purposes of the ERC, an employee is considered a full-time employee equivalent if he or she worked an average of at least 30 hours per week for any calendar month or 130 hours of service for the month. Businesses that were in operation for all of 2019 then take the sum of the number of FTEs for each month and divide by 12 to determine the number of full-time employee equivalents. Guidance has been issued by the IRS on this calculation for new businesses as well as those that were only in business for a portion of 2019.

Third Step: Calculate the Credit Based on Qualifying Wages

As mentioned earlier, the Employee Retention Credit is equal to 50% of qualifying wages paid after March 12, 2020 and before Jan. 1, 2021, not to exceed $10,000 in total per employee for all calendar quarters. The maximum credit for any one employee is therefore $5,000.

Wages that qualify toward the $10,000-per-employee cap can include a reasonable allocation of qualified healthcare costs. This includes an allocation of the employer portion of health-plan costs as well as the cost paid by an employee with pre-tax salary-reduction contributions. Employer contributions to health savings accounts or Archer Medical Savings Accounts are not considered qualified health-plan expenses for purposes of the ERC.

Qualifying wages do not include:

• Wages paid for qualified family leave or sick leave under the Family First Coronavirus Relief Act due to the potential payroll tax credit;

• Severance payments to terminated employees;

• Accrued sick time, vacation time, or other personal-leave wages paid in 2020 by an employer with more than 100 FTEs;

• Amounts paid to an employee that are exempt from Social Security and Medicare taxes (for example, wages paid to statutory non-employees such as licensed real-estate agents); or

• Wages paid to an employee who is related to the employer (definition of ‘related’ varies depending on whether the employer is a corporation, a non-corporate entity, or an estate or trust).

Eligible employers who averaged more than 100 FTEs in 2019 will then be potentially further limited to the qualifying wages paid to employees who were not providing services during an eligible calendar quarter.

How to Claim the ERC

An eligible business can claim the Employee Retention Credit by reducing its federal employment-tax deposit (without penalty) in any qualifying calendar quarter by the amount of its anticipated employee retention credit. By not having to remit the federal employment-tax deposits, an eligible business has the ability to use these funds to pay wages or other expenses. In its FAQs, the IRS clarified that an employer should factor in the deferral of its share of Social Security tax under the CARES Act prior to determining the amount of employment-tax deposits that it may retain in anticipation of the ERC. The retained employment taxes are accounted for when the Form 941, Employer’s Quarterly Federal Tax Return, is later filed for the quarter.

If the ERC for a particular quarter exceeds the payroll-tax deposits for that period, a business can either wait to file Form 941 to claim the refund, or it can file the new Form 7200, Advance Payment of Employer Credits Due to COVID-19, prior to filing Form 941 to receive a quicker refund.

If an employer later determines in 2021 that they had a significant decline in receipts that occurred in a calendar quarter of 2020 where they would have been eligible for the ERC, the employer can claim the credit by filing a Form 941-X in 2021.

Additional Rules

For purposes of determining eligibility for the credit as well as calculating the credit, certain employers must be aggregated and treated as a single employer.

Also, as a result of claiming the Employee Retention Credit, a qualifying business must reduce its wage/health-insurance deduction on its federal income-tax return by the amount of the credit.

In summary, the Employee Retention Credit is one of several tax-relief options provided by the CARES Act. As it is a refundable credit against federal employment taxes, it is advantageous to all employers, even those who will not have taxable income in 2020. Employers who did not receive PPP funding should check to see if they meet the eligibility requirements and take advantage of this opportunity.

Please note that, at the time this article was written, Congress was considering additional relief provisions that may or may not have impact on the information provided here. u

Carolyn Bourgoin, CPA is a senior manager at Holyoke-based accounting firm Meyers Brothers Kalicka, P.C.; [email protected]

Coronavirus Special Coverage

Breath of Fresh Air

Peter Picknelly, right, and Andy Yee

Peter Picknelly, right, and Andy Yee, two of the co-owners of the Student Prince, stand in a crowded Fort Street a few days after the restaurant reopened.

Lisa Pac has been brewing beer for almost two decades, eventually growing a home-brewing enterprise into Skyline Beer Co., a restaurant, craft beer and wine bar, bakery, and home-brewing supply store in Westfield.

In December, she and business partners Dana Bishop and Daniel Osella realized a dream of moving into a much larger space in the Whip City — a 4,500-square-foot restaurant, tasting room, and 10-barrel brewery on five scenic acres. Early receipts were very strong, and things were looking up.

And then March happened.

“At first, when COVID hit, we shut down for a couple days and had to reassess what we were going to do,” Pac recalled, adding that they told staffers to give them a chance to figure out a plan to stay operational and keep them working. “It was scary — we didn’t know what all this meant.”

But a plan did emerge. Pac and her team went to work simplifying and streamlining the menu before launching a robust takeout business, among other activities.

“It gave us a chance to re-evaluate a lot of things. We had such a strong start, but we got the rug pulled out from under us, so we were chasing our tails. But we were able to catch up with the day-to-day stuff, the construction stuff. It gave us the chance to breathe a little bit and finish up projects we were doing. We also came up with some top-notch beer recipes.”

Most important, while Skyline had to lay off about a third of its staff, a Paycheck Protection Program (PPP) loan allowed it to keep many employed, albeit with different responsibilities; servers shifted to production in the brewery, for example.

“The staff has been awesome, doing what they have to do to help us get here,” Pac said. “They were eager to work. Ever since getting the loan, we did it backwards — we have this staff that’s willing to do whatever we need, so what can we have them do?”

Eventually, Skyline was able to bring back about 90% of its staff; only three or four didn’t return, but the company has created new positions in the brewery, and actually has right around the employee count it had before the pandemic hit. And now that restaurants are allowed to serve patrons outdoors, 14 tables dot an outdoor area, while a major construction project on the back patio awaits Wetlands Commission approval to move forward. “We’ve got some big plans for back there,” Pac said.

Skyline Beer Co

Skyline Beer Co. partners Dana Bishop, Lisa Pac, and Daniel Osella.

Munich Haus in Chicopee has been planning for the reopening as well. Back in March, owner Patrick Gottschlicht recalled, “we shut down completely given all the unknowns surrounding everything. Then we decided to reopen for curbside service, to take the first step in the direction of getting reopened — and our to-go business was more than it has been in the past. A lot of regular customers who hadn’t been able to dine in for a while were excited to get curbside.”

After weeks of takeout only — helped by a PPP loan that got some employees back on the payroll — the German restaurant recently opened its large, outdoor Biergarten, as well as its smaller front deck, and packed them in — well, maybe ‘packed’ isn’t the right word, considering some tables were removed to maintain safe distancing, but the place was booked solid its first week.

“With the big biergarten and the deck, we took advantage of the nice weather. And I think people, with all the restrictions lately, are excited to get back out and get some semblance of normalcy. People are eager to get back out into the world.”

“We were excited to reopen, after being shut down for a while there,” Gottschlicht told BusinessWest. “With the big Biergarten and the deck, we took advantage of the nice weather. And I think people, with all the restrictions lately, are excited to get back out and get some semblance of normalcy. People are eager to get back out into the world.”

Raring to Go

‘Eager’ is also a word that applies to Peter Picknelly when BusinessWest caught up with him two days before the Student Prince & the Fort were set to reopen, with Fort Street in downtown Springfield closed to traffic to accommodate tents, lighting, live music, and anything else that might transform an outdoor dining experience into something a bit more.

“I’m really charged up about what’s happening on Fort Street,” said Picknelly, one one of the establishment’s owners. “We’ve got our menu, all the Fort specialties, and we’ll have entertainment Thursday through Sunday night. It’ll be a downtown festival — we’ve got lights, flags, beer wagons … it’s going to be really cool. It’ll be like a German carnival out there, a mini-Octoberfest between now and Labor Day.”

But one that, at least at first, requires a shift in diner — and server — behavior. The restaurateurs we spoke with talked about table spacing (at least six feet), 90-minute limits on seatings, regular sanitizing practices, and making sure patrons wear a mask, except when sitting down at the table.

“We’ve got the tables about eight feet apart, and people have to wear masks once they leave their table,” Pac said, adding that the team is sanitizing every pen that comes back in, while wearing gloves to boot. In short, she’s balancing guests’ enthusiasm to be dining out with their safety.

“People are champing at the bit right now. That’s why it’s important to make sure we’re safe,” she added. “People do get caught up in the moment — they want to take their masks off and talk to people at another table. I’m a social person; I want to talk to everyone, so I’m trying to keep myself away from the front. It’s a natural thing — we want to talk and hang out. But we’ll constantly remind people about the masks.”

Gottschlicht’s team has been equally diligent. “We’ve already got outdoor seating, which is a big challenge for some restaurants that don’t already have it,” he said. “We went over all the government and DPH restrictions for reopening and implemented all those, and now we’re starting to work on the indoor phase — finding out what restaurants will look like and developing a plan for that.”

At press time, state guidance on indoor dining was still forthcoming, but restaurants are doing their best to plan based on what they’re hearing and common-sense predictions.

The front deck at Munich Haus

The front deck at Munich Haus, as well as the large patio known as the Biergarten, opened recently to very solid business.

“Until the guidance is released, we’re trying to put together a game plan for that, so we’re somewhat ahead of it,” Gottschlicht added.

Picknelly expects indoor seating to begin very soon, perhaps at 25% capacity, though he hopes for 50%. “Until then, the outdoor scene is going to be great.”

He’s just as excited to reopen the White Hut as well, the venerable West Springfield landmark that has begun its second life as a food truck before opening the doors to a renovated indoor space on July 4. And he knows others are pumped, too, to have a variety of dining choices, both casual and takeout, suddenly spring back to life.

“I love my wife’s cooking, but I want to get back out to restaurants,” he said. “There’s a whole other feel to it. It’s entertaining, it’s fun — let someone else serve and do the dishes.”

Next Course

To be sure, restaurants are still dealing with significant challenges, from carving out alfresco seating where none exists to limiting the number of people they can serve to the question of meetings and banquets. Gottschlicht said some event bookings for later this year at Munich Haus have been canceled, while others are waiting to see what restrictions might emerge — for instance, whether they’ll be faced with 50% occupancy or be able to pack the house.

We’re hoping to get some guidance on what we can and can’t do,” he told BusinessWest. “Some want to reschedule, others are taking a wait-and-see approach.”

At the very least, though, dishes are pouring out of the kitchen to guests who are happy just to be getting out of the house.

“It’s a great feeling to get the place back open, and get the staff back to work, too. We’re going on our 16th year, so we’ve put a lot of blood and sweat into Munich Haus and plan to be around a lot longer. I was born in Germany — we’re proud of what we do, of being an authentic German restaurant. It’s definitely a good feeling being back open.”

Pac is feeling good too — partly because business is back up to maybe 90% of its former pace, considering the outdoor dining, continued takeout service, and the brewery.

“I would never wish it on anybody,” she said of the almost three-month economic shutdown, “but I can’t complain because it helped us dial in and gave us a minute to get on the same page with everything. It’s been a wild ride.”

Joseph Bednar can be reached at [email protected]

Coronavirus

The Grass Is Greener

By Mark Morris

Brian Campedelli

Brian Campedelli says the pandemic has definitely contributed to a spike in landscaping business.

On his daily commute from Wilbraham to East Longmeadow, Dave Graziano has never seen lawns as green as they are this year — even with the recent lack of rain. And as project manager for the landscape division of Graziano Gardens, he knows a thing or two about green lawns.

“More than ever, people are working on their homes and their yards,” Graziano said. “Because they’ve been stuck at home for the last few months, they’re way ahead in their yardwork projects.”

BusinessWest spoke with several area landscape contractors who say their residential business is booming this year. With people spending so much time at home, yard projects — both large and small — that were delayed in the past are now getting done.

“There’s definitely a correlation between COVID-19 and a spike in our business,” said Brian Campedelli, president of Pioneer Landscaping. “People are stuck at home and want to enhance their lifestyle, so they are improving their yards.”

For some homeowners, the scale of yard projects has gone far beyond replacing some shrubs or reseeding a lawn. Contractors are finding most of their business has shifted to hardscape projects, such as stone patios, stairways, and outdoor kitchens. Projects like these can cost around $20,000, with larger and more elaborate designs exceeding $100,000. For one project, Campedelli and his crew are working on a “massive patio” with an overhang attached to the house to shelter a bar underneath.

“We’re installing a TV with surround-sound speakers, as well as a firepit so they can chill out next to their pool.”

Where patios already exist, Campedelli said some homeowners want to rip out the existing structures and start fresh with new construction, while others enhance what they have by adding a firepit or accent lighting.

According to Gary Courchesne, president of G & H Landscaping, accent lighting has been in high demand in recent years. Also known as low-voltage accent lighting, it’s the subtle lighting that can enhance a home’s aesthetics, safety. and security.

“Because they’ve been stuck at home for the last few months, they’re way ahead in their yardwork projects.”

“As important as the safety and security features are, about 90% of the time, people choose accent lighting for aesthetic reasons,” Courchesne explained.

Improvements like lighting help owners to better enjoy their property now, while boosting curb appeal if they ever want to sell. Real-estate website Homes.com estimates that, when homeowners install accent lighting, they can recoup about 50% of their investment to the eventual resale value of the home. The return on investment for patios and decks can range from 30% to 73%.

No matter what project homeowners choose, they all have the same objective: low maintenance. Courchesne said some of his customers have asked for “no-maintenance” shrubs. While those don’t exist, he and his crew design layouts with reduced maintenance in mind.

“For example, instead of filling around the shrubs with mulch, which needs replacing every year, we’ll use stones,” he said. “People are definitely leaning toward designs that look nice and are easy to maintain.” 

Graziano echoed that point, noting that, when he replaces old shrubs with new ones, his customers want landscapes that are easy to care for and do not require lots of maintenance. “Everyone has busy lives, and they don’t want to be burdened with spending too much time on yard care,” he said.

For many years, sprinkler systems have been an effective way to maintain lawns with minimal effort and continue to be popular this year, especially newer, more efficient models.

“People who did not have sprinkler systems are getting them installed,” Courchesne said, “and those who own systems but haven’t run them much are using them more this year.”

Growing Revenues

While landscape companies are busy with plenty of projects, it’s not exactly business as usual.

Each day starts with making sure workers have the proper face masks and other personal protective equipment they’ll need for that day. In the past, a crew might ride together to a job, but state guidelines now mandate one person per vehicle, and shared equipment must be disinfected in between users. Contractors have adjusted to all these extra steps because they are grateful to be considered an essential business.

That essential status wasn’t a given at first, though. Back in March, when Gov. Charlie Baker released the first round of essential industries that could remain open during the COVID-19 pandemic, the landscape industry was not explicitly listed. The guidelines allowed for some interpretation that would include them, such as support of essential construction projects.

Gary Courchesne says accent lighting is becoming more popular

Gary Courchesne says accent lighting is becoming more popular

So a coalition of landscapers, golf-course superintendents, and related professionals formed the Green Industry Alliance of Massachusetts (GIA) and appealed to the governor to specifically identify landscaping as an essential industry. The group’s argument centered around the short time window that spring presents for fertilizing, as well as controlling mosquitos, ticks, and other invasive species. The GIA also noted that many homeowners who are physically unable to take on lawn care depend on outside companies to maintain their property.

Shortly after the appeal, the governor declared landscapers essential providing they follow CDC guidelines.

Courchesne said the initial confusion of whether or not they could start their season resulted in some starts and stops in the beginning, but his company is now up to full speed and adjusting to the new protocols.

“Normally, we start the day with our full staff gathered around a conference table,” he said. “Now, we’re meeting in smaller groups out in our yard, so even if there was an infection, it’s not spreading to everyone.” 

In early March, before the governor had ruled on landscapers’ status, Greg Omasta, president of Omasta Landscaping, temporarily closed his business over concerns about the spread of coronavirus.

“We closed for three weeks to make sure all our people were healthy,” he said, noting that this decision put his business behind in some of its early spring projects. “We’re scrambling now to get bark mulching done and plant seasonal flowers and such.”

Campedelli said his company also lost some work early in the spring due to delays caused by COVID-19, but he understands the changing nature of the virus and the guidelines. “We stay current on the latest requirements regarding COVID-19, and we make sure to share those with our workers as they happen.”

A few landscapers say hardscape projects are surging.

A few landscapers say hardscape projects are surging.

Since the go-ahead in March, Campedelli said his company is so busy, he would hire 10 more people if he could. Having enough workers is also a constant challenge for Omasta, who has 30 workers on staff but would like to add six or eight more.

Several contractors said one particular challenge in finding workers this year involves the Pandemic Unemployment Assistance program, which allows unemployed workers to collect an additional $600 per week through late July. While they all agree the program has merits and is important to help those who are struggling, they also point out that the additional $600 a week keeps some people on the sidelines who would otherwise be working.

Sometimes, filling open jobs is difficult because of the nature of the work. Graziano said the industry has been the same for more than 50 years, and it’s not for everyone. “Either you like to put a shovel in the ground, move mulch around and install pavers, or you don’t,” he told BusinessWest.

A typical landscaping season can run nine months, with three winter months dedicated to snow plowing. As Omasta pointed out, the length of the season is always tied to weather, which determines how early they start in the spring and how late they can work in the fall.

Even when the season is in full swing, rain is a constant variable to consider, Courchesne added. “There was one week in May when, out of six work days, it rained four of them.”

Home Games

When the rain clears, people are looking to get outside, but they’re not ready to stray too far. Until there is more certainty about the coronavirus, many are choosing not to go away on vacation.

Because of this uncertainty, Omasta said, his customers have made the decision to stay put rather than spending a week at the Cape.

“They’re telling me they want to stay home and work on some improvement projects so they can enjoy their backyard this summer,” he noted.

It’s not unusual for homeowners to want a big improvement project and then procrastinate on making the final decision. Courchesne said this year seems different.

“I’m seeing people with less hesitation than normal in their purchasing attitude,” he noted. “They’re saying, ‘we’re home, so let’s do this.’”

Because more people are home, even working from there, he added, they are realizing their home is not such a bad place — and they want to make it even better.

And that has made this a different kind of year for this industry.

Accounting and Tax Planning

Fight Back with Diligence, Communication, Monitoring, Education

By Julie Quink, CPA, CFE

Julie Quink

Julie Quink

In recent months, business owners have been faced with difficult business decisions and worries surrounding the financial and safety impacts of the COVID-19 pandemic, including the temporary closure of non-essential businesses, layoffs and the health of their workforce, remote work, and financial stability (short- and long-term) for their business.

In short, they have had much on their minds to stay operational on a day-to-day basis or in planning for reopening. And with that, businesses are prime targets for fraud schemes.

As professionals who counsel clients on best practices relative to fraud prevention and detection techniques, we unfortunately are not immune to fraud attempts as well. The filing of fraudulent unemployment claims is a scheme for which we have recent personal experience. The importance of internal controls — and making sure that appropriate controls are in place in a remote environment, with possibly leaner staff levels — should be heightened and reinforced.

Fraudulent Unemployment Claims

The filing of fraudulent unemployment claims has been one of the newest waves of fraud surrounding employees. These claims certainly have an impact for the individual for whom a claim is filed, but also have further-reaching implications for the victimized business as well.

In these schemes, an unemployment claim is filed using an employee’s identifying information, including Social Security number and address. Unfortunately, if you have ever been a victim of a data breach, you can feel confident that your personal information has been bought and sold many times since that initial breach.

Since these claims can be filed electronically, an online account is created by the fraudster for the individual. In that online setup and given that unemployment payments can be electronically paid, the fraudster sets up his or her own personal account as the receiver of the unemployment funds.

“The filing of fraudulent unemployment claims has been one of the newest waves of fraud surrounding employees. These claims certainly have an impact for the individual for whom a claim is filed, but also have further-reaching implications for the victimized business as well.”

In most cases, the first notification that an unemployment claim has been filed is a notice of monetary determination received by the individual via mail at their home address from the appropriate unemployment agency for the state that the claim has been filed with. By then, the claim has already made its way to the unemployment agency for approval and has gone through its system for approvals. In these pandemic times, the unemployment agencies have increased the speed at which claims are processed to get monies in the hands of legitimate claimants, but in the process have allowed fraudulent claims to begin to enter the process more rapidly.

So, you might wonder how this impacts a business if the claim is fraudulently claimed against an individual. Again, with some personal firm experience in tow, we can say that these claims are making it to determination status at the business level.

Even though the claim is fraudulent and, in some cases, the employee is gainfully employed at the business, the claim makes its way to the employer’s unemployment business account. Hopefully, affected individuals have been notified through some means that the claim has been filed. However, employers should not bank on that as a first means of notification of the fraud.

Perhaps employers are monitoring their unemployment accounts with their respective states more frequently because they may have laid off employees, but for those employers who still have their workforce intact, the need to monitor may not be top priority.

Impact of the Scheme

The impact on an employer of a fraudulently filed unemployment scheme targeting one of its employees is not completely known at this time because the scheme is just evolving. However, we do know this scheme merits notification to employees of the scam and increased monitoring of claims — both legitimate and false — by the company, all during a time when financial and human capital resources are stretched.

The scheme could cause employer unemployment contributions going forward to be inflated because of the false claims. For nonprofit organizations, which typically pay for unemployment costs because claims are presented against their employer account, this scheme could have significant financial implications.

For the individual, the false claim, if allowed to move through the system, shows they have received unemployment funds. This has several potential negative effects, including the ability to apply for unemployment in the future, the compromise of personal information, and the potential tax ramifications in the form of taxable unemployment benefits even though the monies were not actually received.

Detection and Prevention Techniques

Internal controls surrounding the human resources and payroll area should be heightened and monitored to encompass more frequent reviews of unemployment claims.

Communication with employees about the unemployment scam and the importance of forwarding any suspicious correspondence received by the employer is key. The employee may be the first line of defense.

Also, working in a remote environment should give business owners cause to pause and re-evaluate systems in place, including data security and privacy. It is unclear how these fraudsters may be obtaining information, but it is critical to be diligent and reinforce the need for heightened awareness relative to e-mail exchanges, websites visited, and data that is accessible.

Diligence, communication, monitoring, and education are important for business owners to prevent and detect fraud. Diligence in ensuring appropriate systems are in place, continued open and deep lines of communication with team members, monitoring relative to the effectiveness of systems, and educating team members on the changing schemes and the importance of their role are effective first steps.

Julie Quink is managing principal with West Springfield-based accounting firm Burkhart Pizanelli; (413) 734-9040.

COVID-19 Daily News

BOSTON — The Baker-Polito administration announced that the second step of phase 2 of the Commonwealth’s four-phase reopening plan will begin today, June 22, to allow additional industries to resume operations under sector-specific guidelines.

The following will be eligible to reopen today: indoor table service at restaurants; close-contact personal services, with restrictions; retail dressing rooms, by appointment only; and offices, at 50% capacity.

In order to give those businesses time to prepare, the administration had previously released sector-specific guidance in advance of phase 2 for industries including restaurants, close-contact personal services, and sectors not otherwise addressed.

Before these sectors can resume operations under the guidelines, businesses must meet all safety standards, create a COVID-19 control plan, and complete a self-certification.

On May 18, the administration released a four-phase plan to reopen the economy based on public-health data, spending at least three weeks in each phase. Key public-health data, such as new cases and hospitalizations, have been closely monitored and shown a significant decline, allowing for the second step of phase 2 to begin.

Daily News

BOSTON — Gov. Charlie Baker, Lt. Gov. Karyn Polito, Senate President Karen Spilka, and House Speaker Robert DeLeo announced additional administrative tax-relief measures for local businesses that have been impacted by the ongoing COVID-19 outbreak, especially in the restaurant and hospitality sectors.

This tax relief builds upon previous, similar tax extensions and includes postponing the collection of regular sales tax, meals tax, and room-occupancy tax for small businesses that would be due from March through August, so that they will instead be due in September. Additionally, all penalties and interest that would otherwise apply will be waived.

“We are proud to join our colleagues in the Legislature to announce this additional relief for local businesses throughout Massachusetts while we all continue to navigate the COVID-19 pandemic and work to protect the health and safety of the Commonwealth’s residents,” Baker said. “These administrative changes extend tax-relief measures put into place earlier in March and will allow additional support for local companies, including small businesses in the restaurant and hospitality industries.”

Businesses that paid less than $150,000 in regular sales plus meals taxes in the year ending Feb. 29, 2020 will be eligible for relief for sales and meals taxes, and businesses that paid less than $150,000 in room occupancy taxes in the year ending Feb. 29, 2020 will be eligible for relief with respect to room-occupancy taxes.

For businesses with meals tax and room-occupancy tax obligations that do not otherwise qualify for this relief, late-file and late-pay penalties will be waived during this period.

“The Commonwealth is carrying out a historic response to the COVID-19 crisis,” Polito said. “We continue to seek ways to provide local businesses with tools, resources, and support to help reopen the Massachusetts economy while also ensuring key public-health measures are in place.”

Coronavirus Cover Story

Shell-shocked Businesses Respond with Grit, Determination

The COVID-19 pandemic has rocked businesses large and small in virtually every sector of the economy. The individual stories vary somewhat, but there are several common themes — lost revenue streams, struggles to make payroll and pay the bills, and large amounts of uncertainty about what the future holds. But there are other commonalities as well, including a willingness, born of necessity, to respond to this crisis — the worst situation any of these business owners have faced — with determination, imagination, and the will to find a way to get to the ‘other side.’ For this issue, BusinessWest talked with 10 business owners about what has happened since the pandemic arrived with brutal force three incredibly long months ago, and how they’re battling back. These are their COVID stories.

Zasko Productions

Event company works to pivot, position itself for the long term

Jim White says business at Go Graphix is down considerably

Go Graphix

In a sign of the times, this company has pivoted into new products

Dr. Yolanda Lenzy

Lenzy Dermatology

Practice owner says many patients still wary of returning to her office

Liz Rosenberg

TheToy Box

Shop owner finds ways to share joy at a time when it’s badly needed

Teddy Bear Pools

During peak season, this area fixture is making up for lost weeks

Sarah Eustis

Main Street Hospitality

Hotel group continues to grow through an uncertain time

Lenny Underwood

Lenny Underwood

For this photographer and sock maker, the pandemic is a developing story

Doug Mercier, right, with brother and partner Chuck

Mercier Carpet

Pandemic poses challenges, opportunities for flooring company

Bernie Gelinas said his appointment book has been full

Cuts Plus

Salon owner says he missed the relationships the most

Eastside Grill’s new outdoor seating area

Eastside Grill

Restaurant owner says reopening will be exciting, but scary, too

Cybersecurity Special Coverage

Risk and Reward

If the COVID-19 pandemic has taught businesses anything, it’s that employees, in many cases, can do their jobs from home — which can, in theory, lead to cost savings. But also expenses — the type of expense that, if ignored, can lead to much bigger losses.

We’re talking about data security. And what remote workers need depends, in many cases, on how long they plan on staying home, said Sean Hogan, president and CEO of Hogan Communications in Easthampton.

“We have some clients investing in the home office and planning on shrinking their bricks and mortar, so they’re going to save money on bricks and mortar or the lease,” he told BusinessWest. “But then they have to invest in bandwidth and security for the remote office. It’s a huge issue.”

And a sometimes messy one. In a shared workplace, Hogan noted, “you might have great security, firewalls, routers, you have security installed, you make sure all the security is updated, you constantly have the latest patches and revisions.”

But working from home poses all kinds of issues with the unknown, the most pressing being, what programs are running on home devices, whether those devices are loaded with viruses, and whether they can infect the company’s servers when they connect remotely.

“We’re trying to control security at someone’s own bandwidth at the house, where three, four, or five people may be trying to jump on at the same time,” he added. “It’s not shaped at all; it doesn’t prioritize any applications or traffic. Now, there are ways to do that — we can install SD-WAN software that allows us to monitor the connection and prioritize traffic like Zoom, Microsoft Teams, or GoToMeeting. That way, you don’t have everyone breaking up and having issues.”

Sean Hogan

Sean Hogan

“We have some clients investing in the home office and planning on shrinking their bricks and mortar, so they’re going to save money on bricks and mortar or the lease. But then they have to invest in bandwidth and security for the remote office. It’s a huge issue.”

But that doesn’t solve the issues of security holes in the home wi-fi — which have weaker protocols, allowing hackers easier access to the network’s traffic — as well as the human element that makes workers vulnerable to phishing scams, which are the top cause of data breaches, and insecure passwords, which allow hackers easy access to multiple accounts in a short period of time.

“The Internet has become the Wild West over the last 10 years,” said Jeremiah Beaudry, president of Bloo Solutions in Chicopee, starting with scam e-mails — from phishing attacks to realistic-looking but nefarious sites that try to wrench passwords and data from users and install malware on their computers.

“I get e-mails from clients three or four times a day — it used to be once or twice a week — saying things like, ‘I got this e-mail asking me to wire money to a client,’” he noted. “You can’t stop people from pretending to be someone else, and the language is getting more and more clever.”

That combination of possibly flawed technology and human errors make the home office a particular concern in the world of cybersecurity.

“Nobody has the exact answers right now for how to make the most secure connection at a remote office,” Hogan said, adding that going to the cloud has been an effective measure for many businesses, while others have taken the more drastic step of setting up physical firewalls at remote sites for key employees — say, for the CEO or CFO. “We’ll lock them down if they’re actually connecting to files and servers that are really confidential.”

Possible solutions are plenty, he said — but it all begins with knowing exactly what equipment remote employees are dealing with, and what threats they pose.

Viral Spread

COVID-19 isn’t the only fast-spreading infection going around, Hogan said. In fact, “45% of home computers are infected with malware. That’s an eye opener for many people. It’s a huge issue, and removing it is a huge challenge.”

One problem is the human element — specifically, how users invite threats in by not recognizing them when they pop up. Take the broad realm of phishing — the setting in which people receive such pitches can actually make a difference in how they respond, Beaudry said.

“It’s harder to sift through it when working from home; it’s not natural. You’re out of your element when you’re sitting at our desk in your pajamas, as opposed to being in your office at work. You may not be reading your e-mail as carefully as you normally would. You may not be on alert.”

A big piece of the puzzle is end-user awareness, he said. “You want to have your employees educated about what’s out there, so they know how to spot forgeries.”

Alex Willis, BlackBerry’s vice president of Sales Engineering and ISV Partners, recently told Forbes that companies trust their employees to do the right thing, and workers are generally honest, but trust can be a dangerous thing.

“The problem with just trusting people is that employees don’t always do this on purpose,” Willis said. “Sometimes, it’s just purely unintentional. They are working on a home machine that’s riddled with malware. They need access to corporate data. For instance, if the company issues a slow laptop to an employee and the employee has to get their job done, they are going to use their home computer that is faster to do the job. In that scenario, the home computer might not be as secure.”

Jeremiah Beaudry

Jeremiah Beaudry says home networks aren’t typically built to run as efficiently — or safely — as those in a workplace.

Again, it’s that issue of the unknown, Beaudry told BusinessWest. “You don’t know what they have going on with their home networks. We didn’t set up the home connection, we don’t know what they have, and everyone has different people on it. Some are borrowing it from their apartment complex or sharing it with the neighbors, and they expect the internet to work perfectly. It’s not going to.”

In an office, on the other hand, everyone is using the same network, running at the same speed, with the same level of security and firewall protection. “Then, when they go home, there are so many variables.”

The best-case scenario is to give employer-owned devices to employees so they can remotely manage information.

“You can put antivirus on an employer-owned device; when they’re using their own devices, you don’t know what they’re doing to protect it,” Beaudry added. “And if the employee is laid off or fired, you would have the ability to control any employer-owned data.”

At the very least, he said, companies should encrypt the traffic between their network and individual users’ home computers.

“We put monitoring agents on remote clients that monitor for any viruses or malware and will update their antivirus and malware protection in some cases,” Hogan added.

Vigilant Approach

None of this completely addresses the speed and efficiency issues of home devices. “Usually, in a home office, they pay for their own bandwidth, and the business can’t say, ‘we don’t want your kid playing Fortnite,’” Hogan said. “That’s the challenge.”

“I get e-mails from clients three or four times a day — it used to be once or twice a week — saying things like, ‘I got this e-mail asking me to wire money to a client.’ You can’t stop people from pretending to be someone else, and the language is getting more and more clever.”

“Some clients will pay for a second, business-only connection for remote workers, he added. “But that’s pretty extreme; not many are doing that.”

More popular — and effective — is the move to a virtual environment. Working in the cloud, he noted, means not worrying about the hub-and-spoke relationship between physical servers and computers that’s the biggest weak point for security. “Most of my clients have eliminated that weakness.”

For some clients, the cybersecurity issue is especially critical — take medical businesses, for whom privacy is paramount in the HIPAA era. “That changes the game completely,” Hogan said, noting that one resource for companies handling sensitive data is a SOC, or security operations center.

“Clients who really value security can sign up with a SOC team that responds in case of a breach,” he explained. “It’s a lot of monitoring, detecting, and responding.”

Delcie Bean, CEO of Paragus IT, said any investment in platform migration and remote work has to be accompanied by investment in strong security tools — and education.

“The legacy tools and technologies used to secure networks for the past 10 years need not apply for this next wave of mobile workers,” he told BusinessWest. “Security of the future will be a lot more about multi-factor authentication, deep encryption, and will involve a lot more end-user training as well as testing than the command-and-control style approach of the past.”

Hogan agreed. “Password management is so massive,” he said, noting that people resist simple protections like multi-factor authentication, or even just using complicated passwords, or different passwords for different sites.

“We are also dark-web monitoring pretty consistently,” he added. “The dark web has been on fire lately — a lot of breaches.” Once data fall into those hands, the damage is done, he added, “but the important thing is to know what got breached, and if you can tell what credentials are out there, so you can change them.”

The bottom line, Beaudry said, is to make sure employees use unique passwords and encrypt connections remotely, and not using tools that are potentially vulnerable.

“And there’s a long list of tools known to be exploited by hackers, so it’s good to check with an IT professional before using any remote desktop method,” he added. “Some methods require you to open firewall ports that can leave you vulnerable to ransomware and all sorts of awful data breaches. The main thing is to make sure your firewall is locked down and no unnecessary ports are open, and you have backups of all data.”

That’s a lot to consider when moving into an era of expanded remote work — some of which comes at a cost. But the cost of ignoring it is much higher.

Joseph Bednar can be reached at [email protected]

Modern Office Special Coverage

Views from a Distance

In the middle of March, employees of companies across Massachusetts — and many other regions of the U.S. — suddenly began working at home. In some cases, it was a matter of setting up a team of four or five people in their home offices.

Then there’s MassMutual, which suddenly had to do that for 7,500 employees.

“We communicated the transition on a Thursday, and by Monday, we had gone from about 20% of our workforce being remote to more than 95%,” said Susan Cicco, MassMutual’s head of Human Resources & Employee Experience. “On top of the need for that speed and agility, this particular situation created unique challenges in that employees are working remotely while, in many cases, fulfilling many additional roles — as employees, caregivers, and even teachers.”

But the experiment — if one can call it that, since the government was forcing the company’s hand — has been largely successful, to the point where, with the COVID-19 pandemic still a threat, MassMutual has told its employees to keep working remotely, at least into September.

“We decided to share with employees that we would start returning to the office no earlier than the beginning of September as we continue to focus on their health and safety, as well as allow them to be able to plan family and life commitments amidst continued uncertainty around things like childcare and camps,” Cicco told BusinessWest. “I’m not sure anything particularly equates for the scale and magnitude of this crisis. That said, we relied on and built upon our strong cultural foundation and focus on flexibility, balance, and well-being.”

“This particular situation created unique challenges in that employees are working remotely while, in many cases, fulfilling many additional roles — as employees, caregivers, and even teachers.”

Which brings up a question many companies of all sizes are likely asking — once the pandemic is in the rear-view mirror, what have we learned about the potential of remote work in the future? And how many employees do we really need under one roof?

“I am sure that just about every business is going to be impacted both positively and negatively by this COVID-19 pandemic,” said Delcie Bean, CEO of Paragus IT. “My sincere hope is that the negative impacts are short-term and the positive impacts are long-term. In terms of those positive impacts, I think the most obvious is that many businesses learned that is it possible to conduct business remotely.”

Elaborating, he noted, “I know many companies that, ahead of the pandemic, said it wouldn’t work for them, but when push came to shove and they were forced into it, they found that it actually did work better than they could have imagined. That said, I know many businesses are finding that their technology is not well-suited for a predominately remote workforce, and therefore if they wish to make those changes permanent, they will need to make further investments in their technology platforms.”

The big takeaway, however, is that it’s possible, and the technology Bean mentions is widely available. But other questions need to be answered as well.

Lives in the Balance

One deals, quite simply, with employees’ mindset, Cicco said.

“Our colleagues have been amazingly resilient and committed through all this, and a major focus has been on ensuring we are keeping a pulse on employee well-being — physical and emotional — to provide the relevant support and resources,” she noted. “We’ve also been working to communicate continuously as things evolved — both when we had answers and, as importantly, when we didn’t.”

They learned that employees’ biggest stressor was the ability to effectively balance their work and personal lives, whether that’s caring for elderly loved ones, helping children with school, or taking time for themselves while still maintaining work commitments.

Susan Cicco

Susan Cicco says the biggest stressor for those working from home has been balancing their work and their personal lives, whether that’s caring for an elderly loved one or helping children with school.

In response, the company rolled out additional tools and resources for employees. In addition to existing benefits, time off, and leave policies, employees could access up to 80 hours of additional paid time off related to COVID-19.

“This time is not limited to those who are sick or taking care of kids or loved ones, although those circumstances apply,” Cicco said. “The intent is really to help everyone work through personal challenges that come up in dealing with the pandemic.”

To promote wellness in the home, MassMutual launched online fitness classes, webinars dedicated to dealing with stress, meditation programs, as well as virtual yoga, stretch breaks, and more.

It also expanded its Employee Assistance Program, which offers free sessions with counselors to help people through a range of needs, from managing anxiety and stress to juggling the demands of parenting, to grieving the passing of a loved one. 

“And, working with our eight Business Resource Groups, we’ve continued our commitment to diversity and inclusion,” Cicco continued, “providing a safe space for employees to share what’s on their minds and connect through online conversations on how different segments of society are impacted by the pandemic.”

If companies decide they can manage employees’ needs remotely and see no reduction in efficiency, they might indeed move in that direction permanently, at least for some workers, Bean said.

“The impact of this, or the ripple effect, is what is most interesting,” he told BusinessWest. “In talking to clients, peers, and friends, I know companies that will forever reduce their physical office space — focusing more on meeting rooms and less on offices, with the philosophy that the office is somewhere we come to collaborate or meet up, but when we are working independently, we do so from home. Changes like that will have all kinds of effects on traffic, real estate, even the carbon footprint of an organization.”

However, at the same time, businesses are starting to realize that the technology required to make this work, and to make it work securely, is different than the tech they have been investing in for the past 10 years, he explained.

“Platforms like Microsoft 365 become essential, but not just for e-mail; it is my opinion that, during this pandemic, while we were all running around applying for PPP loans and trying to learn Zoom, somewhere over in a corner, the concept of having a file server died a quick and quiet death,” he explained. “Businesses will need to move to platforms that are much more device-agnostic, where control, management, and data are decentralized and largely migrated to the cloud, and where collaboration is dramatically enhanced through tools like Microsoft Teams.”

Expanding those tools will need to be accompanied by enhanced cybersecurity at home, Bean added.

Best of Both Worlds

Taking the broad view, Bean said the potential clearly exists for more remote work and home-based employees.

“In the end, everything that is going to happen was going to happen anyway,” he noted. “However, five years was just shaved off of the schedule that was otherwise going to play out, dramatically accelerating that process.”

After all, he added, the core value of technology today is that it moves quickly — often before people are ready.

“It’s hard for anyone to truly know the future when still in the midst of something unprecedented like this,” Cicco added. “I have no doubt that this forced work-from-home experience has validated the potential of flexibility and how productive an organization can be working remotely, while, at the same time, reinforcing the importance of people coming together in the same space to achieve common goals.”

So maybe there’s room for both models.

“I am certain the learnings from all this will undoubtedly move us forward in providing the best of both worlds,” she said, “supporting employees working from home when it makes sense for them and their work, along with continuing to foster the right work environment that safely draws people together to collaborate and innovate.”

Joseph Bednar can be reached at [email protected]

Opinion

PPP: The Feds Need to Do More

As you read the accounts of individual companies grappling with the pandemic in the June 8 issue of BusinessWest — we call them ‘COVID Stories’ — a number of themes and similarities emerge.

The first is that virtually every business in every sector of the economy was hit, and hit extremely hard by this. We talked with people in healthcare, service, tourism and hospitality, the sector known as ‘large events,’ marketing, retail, and more, and all of them said the same thing — that the floor was virtually taken out from under them back in mid-March.

Another theme is that businesses have responded with imagination and determination, finding new revenue streams, new products to develop, new ways to do things, and new opportunities wherever they arise.

Still another theme is that these new revenue streams and opportunities haven’t produced results that come anything close to what these companies were doing before the pandemic, a time that now seems like years ago, but was really only three short months ago.

Which brings us to one more common thread among the stories presented this month in a series that will continue into the summer — the fact that these companies needed help, received it, and will very likely need more help if they are going to fully rebound from this crisis.

Indeed, most all the companies we spoke with received support in the form of loans from the federal Paycheck Protection Program, or PPP, an acronym now very much part of the current business landscape.

“Most of the companies we spoke with are not even close to being out of the woods. In fact, some are counting down the days until the PPP runs out with a certain amount of dread and a painful question: ‘what happens then?’”

Some struggled to get it and waited nervously for the money to land in their accounts. Others haven’t really touched it yet and don’t know exactly what to do with it because they can’t bring their people back to work because there is, as yet, no work to do.

The program isn’t perfect, and there are some bugs to be worked out, but overall, this measure has done exactly what it was designed to do — provide a lifeline to businesses that desperately need one. PPP has enabled companies to meet that most basic of obligations — meeting payroll — at a time when so many would not have been able to do so.

But as these stories make painfully clear, most of the companies we spoke with are not even close to being out of the woods. In fact, some are counting down the days until the PPP runs out with a certain amount of dread and a painful question: ‘what happens then?’

What should happen is the government offering another round of support to companies that can demonstrate real need — and, again, that’s most of them. The recovery is not going to be V-shaped or even U-shaped. It may be several months before there is, in fact, real recovery.

And the federal government has an obligation to help businesses get to that point. When the PPP was first conceptualized, the thinking was (we presume) that, in eight weeks, the worst would be over and things would start to return to normal. It’s still early in the game, but mounting evidence suggests that is not the case.

‘Normal’ is still a long-term goal, and it’s clear that companies will need additional support to be able to keep paying people and staying upright until better days arrive.

As one business owner we talked with said, and we’re paraphrasing here — ‘the government caused this problem by ordering a shutdown … so now, they own the problem.’ He’s right.

Already, there are far more ‘for sale’ and ‘for lease’ signs on properties across the region than there were three months ago. A number of businesses, many of them in the broad realm of hospitality and tourism, have already failed. Many more will fail in the months to come if they don’t get the support they need — not only from local consumers, but from the federal government itself.

PPP isn’t perfect, but it works. And we’ll likely need at least one more round of it to enable businesses to survive this pandemic.

Building Permits

The following building permits were issued during the month of May 2020. (Filings are limited due to closures or reduced staffing hours at municipal offices due to COVID-19 restrictions).

CHICOPEE

Chicopee Property
443-445 Chicopee St.
$5,000 — Demolish metal building

Christy Real Estate, LLC
390 Burnett Road
$150,000 — Roofing

Elms College
291 Springfield St.
$98,995 — Roofing

New England Tel. and Tel. Co.
29 Riverview Ter.
$188,772 — Remove and replace existing air-conditioning system

Tabernacle Baptist Church
603 New Ludlow Road
$30,000 — Repair sills and floor joist, replace entry door and windows, repair handicap ramp

LENOX

Berrydale, LLC
7 Hubbard St.
$40,000 — Repair front porch of building

Jaki Nominee Trust
12 Housatonic St.
$9,000 — Outdoor dining awning

MRG CRW Holdings, LLC
55 Lee Road
$7,543 — Replace fire-alarm panel and tie into fire-alarm network

SPRINGFIELD

Mittas Hospitality, LLC; DD Development, LLC; and Rudra Realty, LLC
1500 Main St.
$326,173 — Remodel first-floor lobby, bar, kitchen, and restaurant at Tower Square Hotel

COVID-19 Daily News

BOSTON — The Baker-Polito administration announced that phase 2 of the Commonwealth’s reopening plan begins today, June 8. Businesses and sectors set to begin opening in phase 2 are subject to compliance with all mandatory safety standards.

The following businesses will be eligible to reopen immediately, with contingencies:

• Retail, with occupancy limits;

• Childcare facilities and day camps, with detailed guidance;

• Restaurants, outdoor table service only;

• Hotels and other lodgings, but no events, functions, or meetings;

• Warehouses and distribution centers;

• Personal services without close physical contact, such as home cleaning, photography, window washing, career coaching, and education tutoring;

• Post-secondary, higher education, vocational-technical, and occupational schools for the purpose of completing graduation requirements;

• Youth and adult amateur sports, with detailed guidance;

• Outdoor recreation facilities;

• Professional sports practices, but no games or public admissions;

• Non-athletic youth instructional classes in arts, education, or life skills in groups of less than 10;

• Driving and flight schools;

• Outdoor historical spaces, but no functions, gatherings, or guided tours; and

• Funeral homes, with occupancy limits.

The following businesses will be eligible reopen later in phase 2, at a date to be determined:

• Indoor table service at restaurants; and

• Close-contact personal services, with restrictions, including hair removal and replacement, nail care, skin care, massage therapy, makeup salons and makeup-application services, tanning salons, personal training (with restrictions), and tattoo, piercing, and body-art services.

A full list with safety protocols is available at www.mass.gov/reopening.

Healthcare providers may also incrementally resume in-person elective, non-urgent procedures and services, including routine office visits, dental visits, and vision care subject to compliance with public health and safety standards. All other in-person medical, behavioral-health, dental, and vision services may also resume on June 8, except for elective cosmetic procedures and in-person day programs, which will be included in phase 3. Telehealth must continue to be utilized and prioritized to the greatest extent possible, whenever feasible and appropriate.

Limited reopening of visitation will also begin, and all visitation is subject to infection-control protocol, social distancing, and face coverings. Given the diversity of facilities and programs, there are specific timetables for visitation, and congregate-care programs will be reaching out to families with specific details on scheduling visits.

On May 18, the administration released a four-phased plan to reopen the economy based on public health data, spending at least three weeks in each phase. Key public health data, such as new cases and hospitalizations, has been closely monitored and seen a significant decline, allowing for phase 2 to begin.

The public-health dashboard designating the progress of key COVID-19 data metrics has been updated to reflect the number of COVID-19 patients in Massachusetts hospitals to green, indicating a positive trend.

Since mid-April, the seven-day average for the positive COVID-19 test rate is down 82%, the three-day average of hospitalized patients is down 55%, and the number of hospitals in surge is down 76%.

A total of 630,000 viral COVID-19 tests have been completed, and testing continues to increase throughout the state.

COVID-19 Daily News

BOSTON — The Baker-Polito administration released health and safety requirements that apply to the reopening of all childcare programs, recreational camps, and municipal or recreational programs not traditionally licensed as camps as part of the phased reopening of the Commonwealth.

The Department of Early Education and Care (EEC) assembled a Health and Safety Working Group and solicited input from thousands of childcare providers from across the Commonwealth, as well as consulting with medical experts at Boston Children’s Hospital, to develop the “Massachusetts Child and Youth Serving Programs Reopen Approach: Minimum Requirements for Health and Safety.” These requirements must be implemented to protect the health and safety of all children, families, and staff and minimize the spread of COVID-19.

Childcare programs licensed by EEC will be required to submit plans to the department to be approved once phase-2 reopening begins. The department will provide templates for submission as the process is launched and will utilize an attestation approval process.

Recreational camps and municipal or recreational youth programs not traditionally licensed as camps may open during phase 3. Residential camps and other overnight stays will not be allowed until phase 3.

Prior to reopening, all programs must develop plans for daily health screenings and ways to identify children and staff who are sick, symptomatic, or who become exposed to coronavirus. Programs must also have a plan in place to handle possible closings, staff absences, and gaps in child attendance, as well as determine how to communicate with staff, parents, local boards of health, and others.

Programs must screen all staff and children with a temperature check before they are permitted to enter the childcare space. Programs must establish one entry point to ensure no one is allowed in the building until they pass a health screening.

Parents must wear masks or face coverings when picking up and dropping off their child on a staggered schedule and will be met at the door by staff.

Children over age 2 should be encouraged to wear a face covering, at the discretion of parents or guardians, if they can safely wear, remove, and handle masks. Certain exceptions are detailed in the guidance. Masks do not need to be worn while playing outdoors if children are able to keep six feet apart. Children should not wear masks while eating, drinking, sleeping, or napping.

Staff members are encouraged to wear masks or cloth face coverings at all times when caring for children and interacting with parents and families. If possible, the department recommends staff wear transparent masks to enable children to see facial expressions, which is important for child development.

Programs are asked to make additional changes to their operations, including canceling field trips and not holding activities involving attendance of multiple groups. Non-essential visitors, including parents and volunteers, will be restricted from entering the premises of childcare programs.

Group sizes must be restricted to a maximum of 10 children, with a total of 12 individuals including children and staff in each room. Consistent with pre-pandemic operations, the infant-to-staff ratio is smaller, with seven infants to two staff members and a maximum of group size of nine.

Children must remain with the same group each day and at all times while in care. Siblings should be kept in the same group, when suitable. Groups must not be combined at any time. The same staff must remain with the same group of children each day. Staff should not float between groups either during the day or from day to day, with some limited exceptions.

Group transportation should be provided only during the phased reopening when there is no other option to transport children to and from the program. Programs intending to provide transportation services should follow detailed guidance.

For summer day camps, campers and counselors will need daily health screenings, including temperature and other checks for signs and symptoms of illness. Camps will need plans in place for when a staff member or child becomes sick. Camp spaces will need to be prepared to ensure physical distancing, and camps will need to have at least two health-services staff on site at all times.

Other protocols require campers and counselors to stay together in their groups, and staff will not be able to move between groups either during the day or from day to day, unless needed to provide supervision of specialized activities such as swimming.

Snacks and meals should be brought from home, pre-packaged, or ready to serve in individual portions to minimize handling and preparation. When this is not feasible, staff must prepare and serve meals. No family-style food service is allowed.

Parents must wear face coverings, and camps must develop safe pickup and drop-off procedures to maintain social distancing. Camps may not take campers on field trips or for other off-site travel.

COVID-19 Daily News

BOSTON — The Baker-Polito administration provided an update on the plan to reopen the Massachusetts economy and preparations for phase 2. The administration will determine the start of phase 2 on June 6.

On Monday, June 1, Gov. Charlie Baker will issue an executive order with a detailed list of sectors that fall into each phase. The order will allow phase 2 businesses to bring back employees in preparation for reopening. Through this order, professional sports teams can begin practicing at their facilities in compliance with the health and safety rules that all the leagues are developing. Facilities remain closed to the public.

The administration today issued workplace safety standards for restaurants and lodging, organized around four distinct categories covering social distancing, hygiene protocols, staffing and operations, and cleaning and disinfecting.

Outdoor dining at restaurants will begin at the start of phase 2. Indoor dining will begin later within phase 2, subject to public-health data. Even when indoor seating is permitted, use of outdoor space will be encouraged for all restaurants.

Social-distancing guidance includes spacing tables six feet apart with a maximum party size of six people. The use of bars, except for spaced table seating, will not be permitted. For hygiene protocols, utensils and menus should be kept clean through single use or with strict sanitation guidelines; reservations or call-ahead seating is recommended; and contactless payment, mobile ordering, or text on arrival for seating will also be encouraged.

Restaurants will be expected to follow cleaning and disinfecting guidelines, in accordance with CDC guidance. This includes closing an establishment temporarily if there is a case of COVID-19 in an establishment.

Hotels, motels, and other lodging businesses will be allowed to expand their operations in phase 2. Lodging safety standards apply to all forms of lodging, including hotels, motels, inns, bed and breakfasts, and short-term residential rentals including Airbnb and Vrbo.

Event spaces, like ballrooms and meeting rooms, will remain closed. On-site restaurants, pools, gyms, spas, golf courses, and other amenities at lodging sites may operate only as these categories are authorized to operate in accordance with the phased reopening plan. Lodging operators must also inform guests of the Commonwealth’s policy urging travelers to self-quarantine for 14 days when arriving from out of state.

Law Special Coverage

COVID Lawsuits

By John Gannon, Esq.

Businesses across the globe are in the midst of planning, preparing, and executing their reopening strategies. While this news is encouraging, employers face novel and complicated legal questions about their potential liability to employees who either get sick at work or cannot return due to medical or childcare-related reasons.

Searching for answers, businesses leaders are confronted with an array of local, state, federal, and industry-specific protocols for operating safely. Charting a course in the face of this uncertainty is no small task. Unfortunately, one thing remains clear: there will be a wave of lawsuits triggered by the difficult business decisions made during this challenging time.

The COVID-19 crisis will send shockwaves through the courts and fair-employment agencies (such as the Equal Employment Opportunity Commission and the Massachusetts Commission Against Discrimination) for years to come. Senate Majority Leader Mitch McConnell remarked that an “epidemic” of these lawsuits will lead to “a trial-lawyer bonanza.” While likely overstated, the concern for employers should be real. Numerous COVID-19-related lawsuits have been filed, with many more on the way. Here are a sampling of those legal theories, with prevention tips and tactics at the end.

Negligence and/or Wrongful Death

One of the scariest claims for businesses will be negligence and wrongful-death lawsuits. In short, these actions may be lodged by employees (and even customers) who are harmed by COVID-19 because the employer failed to keep the work environment safe.

How might this look? Imagine that employees in a manufacturing plant return to work as the business reopens (or perhaps they have been working all along if the workers are deemed ‘essential’). Joe, who works on the factory floor in close proximity with others, tests positive for COVID-19. Mike, who works near Joe, also tests positive. Mike in turn infects members of his household, including an aging, immune-compromised parent. Can any of them sue the business?

John S. Gannon

John S. Gannon

“Our workers’ compensation system typically prevents employees from suing their employers for injuries that result from working. Instead of suing, employees with occupational injuries get paid through workers’ comp. But is a COVID-19 infection ‘occupational?’”

Our workers’ compensation system typically prevents employees from suing their employers for injuries that result from working. Instead of suing, employees with occupational injuries get paid through workers’ comp. But is a COVID-19 infection ‘occupational?’ Proving the root cause of a COVID infection is very difficult, as the virus spreads easily and can be contracted nearly anywhere.

In the above example, would Joe have a workers’ comp claim? Probably not, unless he can show others he was working in close proximity with someone who had the virus before him. What about Mike? He has a better claim, but still no sure thing. And certainly the family member would not be filing a comp claim. Instead, a negligence or wrongful-death suit might follow.

Recently, the relative of a retail-store employee in Illinois who died from COVID-19 sued the retailer for negligence and wrongful death. The lawsuit claims that the employee contracted COVID-19 in the store, and the business did not do enough to protect employees from the virus. All businesses that are open or reopening should have this case on their radar.

FFCRA Violations

By now, everyone should know that the Families First Coronavirus Response Act (FFCRA) allows employees to take paid leave for a number of COVID-19-related reasons, including the need to care for children who are unable to go to school or daycare. Employees who are denied FFCRA rights or retaliated against for taking FFCRA leave can sue you in court. Successful employees may be entitled to reinstatement, lost wages, attorney’s fees, and double damages.

The first FFCRA-related lawsuit was filed last month. In the case, a female employee (and single mom) claimed she was fired because she requested FFCRA leave due to her son’s school closing. The employee allegedly discussed her need for leave to care for her son, and was told that the FFCRA was not meant to be “a hammer to force management into making decisions which may not be in the interest of the company or yourself.” She was fired a few days later and then filed what might be the first FFCRA lawsuit. Many more are certain to follow.

Discriminatory Layoffs

At the time of this article, the unemployment rate in the U.S. stands at almost 15%, and more than 30 million Americans have filed for unemployment since mid-March. Each layoff decision comes with the risk that someone will claim the reason they were selected was discriminatory.

Suppose Jane, who is 60, gets laid off, while many younger workers were retained for employment. Jane may claim that the reason was at least partially motivated by her age. If she was right, it would be would be textbook age discrimination.

Whistleblower/Retaliation Lawsuits

Employees who raise complaints or concerns about workplace safety are protected against retaliation by the Occupational Safety and Health Act. Similarly, Massachusetts has a law that protects healthcare workers who complain about practices that pose a risk to public health. We expect an increase in these lawsuits during this pandemic.

Prevention Strategies

These novel COVID-19-related lawsuits generally fall into one of two buckets: claims related to worker health and safety, and discriminatory or retaliatory adverse employment actions.

To protect against the first batch, businesses need to rigorously follow federal, state, and local guidance on maintaining a safe workplace. Agencies like the Centers for Disease Control and Prevention, the Occupational Safety and Health Administration, and the Equal Employment Opportunity Commission have issued guidance on topics like maintaining safe business operations, temperature checks for employees, and personal protective equipment. Check with your risk-management advisors to see if they have developed checklists or other tools you can use to aid in your business reopening.

Avoiding the second type of lawsuit (discrimination, retaliation, etc.) involves the same tried and true principles that were critical before COVID-19. Make sure you have reasonable, business-based justifications for your decisions that are not motivated by characteristics like race, age, gender, or use of FFCRA leave. These business-based reasons should be well-documented and understandable to laypeople, who may be reviewing your justification in a jury room. Finally, when in doubt, consult with your labor and employment-law specialists.

John Gannon is a partner with Springfield-based Skoler, Abbott & Presser. He specializes in employment law and regularly counsels employers on compliance with state and federal laws, including the Americans with Disabilities Act, the Fair Labor Standards Act, and the Occupational Health and Safety Act. He is a frequent speaker on employment-related legal topics for a wide variety of associations and organizations; [email protected]

Coronavirus Features

Unwanted Break in the Action

By Mark Morris

Thunderbirds

Nate Costa says the Thunderbirds were on track for their most successful season when it ended prematurely.

When discussing the impact COVID-19 has had on the AHL’s Springfield Thunderbirds, team president Nathan Costa doesn’t mince words.

“There’s no way to sugarcoat this — it’s a challenge, and it stinks,” he said, noting that, with seven games remaining in the regular season, the Thunderbirds were close to making the playoffs when the American Hockey League (AHL) suspended play on March 12, then formally canceled the remainder of the season on May 11.

“I’ve been in the pro-sports world for more than 10 years, and none of us have ever seen anything like this,” he told BusinessWest, using that phrase to talk about everything from the sudden end to the 2019-20 season to the prospects for the season tentatively scheduled to start in just four short months.

And those sentiments were echoed by executives with teams in another sport — baseball.

Indeed, in Holyoke, the Valley Blue Sox will not be playing in 2020 as its league, the New England Collegiate Baseball League (NECBL), announced on May 1 it would cancel the entire season.

Chris Thompson

Chris Thompson hopes the Starfires are able to take the field at all this summer.

Meanwhile, the Futures Collegiate Baseball League (FCBL) has not yet canceled its season, but it has pushed back opening day from May 27 to an as-yet-undetermined date, which affects the Westfield Starfires, a team in only its second year of existence.

Chris Thompson, owner of the Starfires, said the student athletes on his roster have already missed the spring college season because the NCAA canceled it due to the coronavirus. He remains hopeful there will be some opportunity for his team to play ball this summer, adding that this will happen only if the health and safety of the players, fans, and staff at the ballpark can be assured.

“From our perspective, we won’t play until it’s safe to do so, but we won’t cancel until we’re told we have to,” Thompson said. “There’s no blueprint for this.”

Taking a Timeout

With that last statement, Thompson, who once worked as an executive with the Thunderbirds, spoke for everyone involved in professional sports. There is no blueprint for how to proceed, but teams can try to plan for the short and long term and adjust for what will certainly be a new normal.

Costa said his team and the AHL are having discussions about what the experience will look like for fans at the MassMutual Center, and other buildings in the league, if and when play returns.

He pointed out that the NHL and the NBA may be able to play in empty arenas because of lucrative TV contracts that provide a great deal of income to the teams, but playing with no fans is just not just not feasible for the AHL because so much of its revenue is from ticket sales, concessions, and other in-arena activity.

“As a league, we cannot play without people in the stands,” said Costa. “It’s pretty much impossible to generate any type of revenue, yet we would have the same amount of expense.”

“As a league, we cannot play without people in the stands. It’s pretty much impossible to generate any type of revenue, yet we would have the same amount of expense.”

Before the season was cancelled, Costa was pleased with the momentum the Thunderbirds had been building in their four years as a franchise. Through 31 home games this season, the team had nine sellouts and anticipated at least three more for their remaining games. By contrast, last year they had nine sellouts in their entire 38-game home schedule. He also cited a promotion that received national attention when the team rebranded for one game as the Springfield Ice-o-topes, in a nod to The Simpsons.

With the beginning of a new hockey season four months away, Costa said the AHL has an opportunity to see how other professional leagues handle reopening for games and get a feel for what might work, or not work, as the case may be.

“The NFL will start its season before us,” he noted, “and that will be a real barometer in terms of social distancing at stadiums and what the experience might look like for people going to games.”

He added that state officials and MassMutual Center staff continue to look at ways to make the environment safe for everyone who enters the building. The AHL is also looking at contingencies such as delaying the start of the season to December or January.

“There’s nothing stopping us from pushing back the start and then playing a little longer next year,” Costa said, “especially if it gives us a chance to get a full season in.”

Costa has good reason to be optimistic for a full season next year as it marks the fifth anniversary of the Thunderbirds and begins a new affiliation with the Stanley Cup champion St. Louis Blues. “We’re already deep into planning what the fifth anniversary season is going to look like, and we’re excited about what the future will bring.”

Thompson had similar thoughts on the Starfires and what lies ahead for that team.

While the FCBL has been working on a plan for social distancing at the ballpark — in this case Bullens Field in Westfield — Thompson said working through an unprecedented challenge like this generates more questions than answers. How teams manage ballpark seating and concession operations are just two of the areas where he has concerns. It even affects travel, as the teams play games in three New England states.

“We usually travel on one coach bus,” he explained. “We can’t afford to have fewer people on two buses; it would double our transportation expense.”

Even if summer baseball happens this year, Thompson said coronavirus has already wrecked a special dynamic in the league. Starfire players often come to Westfield from different parts of the country and stay with local host families for the summer.

“Sometimes a family has an 8-year old Little Leaguer in the house who then has a college roommate for the summer, or we have empty nesters who are looking to host a player or two,” Thompson said. “Host families are one of the great things about summer baseball.”

Now, of course, the model of families hosting players is on hold until next year at the earliest.

Rather, Thompson is now looking to have more players from the eastern part of Massachusetts and the Hartford area of Connecticut so they could commute to games in Westfield.

With the Starfires in a holding pattern, it’s doubtful they will get to play their full 56-game schedule. During this time, Thompson has been reaching out to his corporate sponsors to keep them engaged.

“We’re looking at different ways to use our social-media platforms to get our fans involved and to give our corporate sponsors exposure,” he said.

Finding a Winning Formula

The Thunderbirds are also using social media to extend the reach of their sponsors. Costa said one effective technique has been running ‘rewinds’ of notable games from this season on Facebook. In some cases, the potential audience for sponsors can be larger than in-arena exposure.

“Our Facebook presence has grown to more than 22,000 followers, and on Instagram we have 15,000 followers, giving us a core audience of nearly 40,000 eyeballs,” Costa said, adding that many sponsors have already assured him they will be back next year.

When play was suspended, he placed a high priority on reaching out to season-ticket holders about the seven games they would be missing this year. The team provided options such as a refund for the remaining games, or a credit that would apply to tickets for next season. Costa and his staff also offered a third option.

“We’re setting aside some funds to provide tickets to frontline workers next season at no charge and to recognize all their efforts,” Costa said noting that nearly 25% of the season-ticket holders chose that option.

In a similar move, Valley Blue Sox General Manager Kate Avard said the team had planned to dedicate its opening day in 2021 to “honor and support community organizations and first responders who are currently on the front lines of combating COVID-19.”

As the area’s pro sports teams search for some answers concerning the future, they acknowledge they are hard to come by, noting that perhaps the only certainty is no shortage of uncertainty.

But guarded optimism still prevails.

“We have great community partners who want us to succeed for a long time,” said Thompson, speaking, again, for all those in his profession. “Setbacks like this make us more resilient.”

COVID-19 Daily News

BOSTON — Gov. Charlie Baker is expected to detail his four-phase plan to begin reopening the state today.

The first phase of the plan will allow places of worship, as well as the construction and manufacturing industries, to resume operations with safety measures in place, according to an e-mail sent to local officials obtained by various media outlets.

While specifics of the reopening plan were still being finalized by the COVID-19 Reopening Advisory Board over the weekend, Baker announced last week that he will take a four-phase approach to reopening the Massachusetts economy during the COVID-19 pandemic. The goal is to methodically allow certain businesses, services, and activities to resume, while protecting public health and limiting a resurgence of new COVID-19 cases.

• Phase 1 will be ‘start’: limited industries resume operations with severe restrictions.

• Phase 2 will be ‘cautious’: additional industries resume operations with restrictions and capacity limits.

• Phase 3 will be ‘vigilant’: additional industries resume operations with guidance.

• Phase 4 will be the ‘new normal’: development of a vaccine and/or therapy enables careful resumption of full activity.

Businesses and activities that provided ‘COVID-19 essential services,’ per Gov. Charlie Baker’s March 23 order, will continue to operate. Certain businesses and activities with a lower risk of COVID-19 transmission will open in earlier phases. Decisions and timing will be influenced by public-health metrics for when the first phase of reopening begins, as well as when it is safe to move into concurrent phases. If public health metrics worsen, the state may need to return to an earlier phase.

COVID-19 Daily News

BOSTON — The Baker-Polito administration announced an expanded COVID-19 testing capacity and strategy. As required to secure COVID-19 testing resources allocated in legislation passed by the U.S. Congress on April 24, the administration will submit its plan to expand testing to the federal government this month.

The plan builds on previously expanded testing criteria, and calls for a boost in overall testing capacity to 45,000 daily tests by the end of July, and 75,000 daily tests by the end of December, with the goal of decreasing positivity rate to less than 5%. Lab processing capacity is also planned to expand, enabling preparedness for a potential testing surge in the fall.

Testing expansion for residents and patients in high-risk congregate settings like state hospitals, group homes, and correctional facilities will continue, and the administration will ensure testing for individuals who are symptomatic, close contacts of confirmed COVID-19 cases, and those whose employment places them at a high risk.

The strategy also calls for randomized testing for surveillance purposes to build on the Community Tracing Collaborative’s contact-tracing efforts, and improved testing turnaround time to provide same-day or next-day results.

When implementing the new testing proposed in this plan, communities with low testing availability, hotspots with high positive rates, and high density areas will be the priorities.

The Baker-Polito administration and CVS also announced the expansion of self-swab and send-testing sites at 10 select CVS drive-thru locations throughout the Commonwealth, which will enable on-the-spot COVID-19 testing at no cost, with results available in two to three days.

These sites are located in Bridgewater, Charlton, Carver, Danvers, Northampton, Raynham, Wellesley, Westport, West Springfield, and Worcester. Individuals who meet testing criteria may register in advance at cvs.com to schedule an appointment.

Coronavirus

Opinion

By Thea M. Lee

This week, Democrats in the U.S. House of Representatives released the Heroes Act, which would provide critical relief and recovery measures to the U.S. economy and the people and businesses in it.

One of the most important features of the bill is that it would provide $875 billion in direct state and local aid, as well as targeted fiscal help for education and Medicaid spending for state governments. This is an essential step forward, given that state and local governments will need up to $1 trillion by the end of 2021.

The bill would also provide an extension of the unemployment insurance (UI) provisions in prior relief and recovery packages. This is excellent news from both a humanitarian and economics perspective — particularly the extension of the increased UI benefits of $600 a week, which was one of the most effective parts of the earlier packages. The bill includes many other key provisions, including investments in coronavirus treatment, testing, and contact tracing, which are necessary to reopen our economy.

Inevitably, some policymakers will express concerns over the price tag, which is estimated to be on the order of $3 trillion. This concern is utterly misplaced in this crucial moment. What are scarce in the economy right now are opportunities for workers to earn wages and demand for firms’ output.

Fiscal resources are not scarce — interest rates (our best real-time signal of scarcity of the federal government’s capacity to take on debt) remain historically low. We need to use what we have in abundance — fiscal resources — to relieve the crushing constraints imposed on families by the scarce opportunities to work and earn income. Investments financed by greater public debt will reduce the severity of the economic crisis and will help avoid a prolonged period of high unemployment that would do far more serious and persistent damage to the economy. In short, these investments will have a very high rate of return.

Further, the investments this bill calls for are the absolute minimum required to address the magnitude of the crisis we are facing. The Congressional Budget Office projects that, without additional relief, the unemployment rate will average 16% in the third quarter of this year and 10.1% for the entire calendar year of 2021. Those numbers, which were released two and a half weeks ago, are now looking overly optimistic, given that more than 30 million workers have already filed for unemployment insurance and millions more continue to pour in.

A deep concern in today’s legislation is the lack of ‘automatic’ triggers for the expiration of the bill’s provisions. There is an enormous amount of uncertainty around how the economic impact of the coronavirus will unfold. Assigning arbitrary end dates to provisions to sustain the economy, as the bill does, makes little sense when the process could be handled automatically, by having provisions phase out as the unemployment rate or the employment-to-population ratio are restored to near-pre-virus levels. Using automatic stabilizers would not be any more expensive than the cumulative cost of multiple extensions of the programs in the bill — but it would prevent destructive lapses in critical programs while Congress negotiates extensions, and it would alleviate corrosive uncertainty by giving businesses, states, and households crucial confidence around budgeting and planning.

Thea Lee is the president of the Economic Policy Institute.

COVID-19 Daily News

BOSTON — The Baker-Polito administration filed a supplemental budget bill for FY20 that will authorize $1 billion in spending necessary to cover incurred and expected costs during the COVID-19 public-health crisis. It is expected that this spending will result in no net cost to the Commonwealth, after anticipated federal reimbursement and other federal funding sources.

These expenses include the purchase of personal protective equipment, rate adjustments for providers of congregate care and other essential human services, incentive pay for state employees on the front lines at certain facilities in operation 24 hours a day, costs of temporary field hospitals and shelters, National Guard pay, the first statewide contact-tracing program in the country, emergency child care for essential workers, and increased costs of local housing authorities and the family and individual shelter system.

This authorization will enable the Commonwealth to leverage federal financial support, most notably aid from the Federal Emergency Management Agency (FEMA), which can only reimburse state spending resulting from eligible disaster-response activities. This legislation would ensure that adequate state spending has been authorized to allow the Commonwealth to continue to protect the public unimpeded until the federal reimbursement process can be realized.

COVID-19 costs not supported by FEMA reimbursement will, to the extent possible, be matched to other available federal revenue sources, including the federal Coronavirus Relief Fund established in the federal CARES Act.

The bill would also attribute federal reimbursements to FY20 if they are associated with COVID-19 response costs incurred in FY20, allowing the use of revenue sources without putting the FY20 budget out of balance.

Coronavirus Special Coverage

Climbing Out

It’s not easy for a business to be shut down — seriously curtailing or even eliminating all revenue — for any period of time. But it’s much more frustrating not to know how long that period of time will actually be. That’s where Massachusetts businesses deemed non-essential during the COVID-19 pandemic stand right now — in a limbo of treading water and being as flexible, creative, and patient as they can while they await word on when the state will reopen its economy, and what form that re-emergence will take.

At some point in early March, Ashley Batlle knew what was coming. And she knew what it meant for her health and wellness spa, Beauty Batlles Lounge, that she opened in Chicopee about a year ago.

“This is a personal, physical-contact business. You’re definitely in close proximity with the client, giving them a service that everyone looks forward to — something they’re accustomed to making part of their schedule,” Batlle said. Yet, the rumblings were that, at some point, the rising threat of COVID-19 was going to force businesses to shut their doors. “So we tried to get as many clients in as we could.”

And then, suddenly, those appointments that clients look forward to were cancelled, postponed until — well, nobody knows yet. And that’s the problem for businesses the state deemed non-essential: the unknown.

Toward the end of April, the Baker-Polito administration extended the statewide essential-services emergency order by two weeks, from May 4 to May 18. Businesses and organizations not on the list of essential services can only continue operations through remote means — if at all possible.

For Batlle, well … she can’t offer facials, waxing, microblading, and other treatments remotely. And she was unable to access benefits through the CARES Act and other government relief measures.

“My anxiety level has been very, very high. It hasn’t been fun, not knowing when we’ll begin to open and what kind of measures will be asked of us by the state and city to be able to reopen,” she said, noting that, as a one-woman operation, it will be easy to comply with social-distancing regulations sure to accompany any sort of reopening.

What’s less certain is how customers will respond — to all types of interactions, not just her services.

“I’m going to be able to open up my doors and get everyone in as quick as possible — that’s what I would love to do, but I think it’s going to be a soft situation, where, little by little, we’re getting back to business,” she explained, noting that some people will be leery of close contact at first, especially since the virus doesn’t tend to show symptoms for a while.

Still, most business owners shuttered by the pandemic would love an opportunity to at least try to get back to normal, even if they understand why the governor put the stay-at-home mandate in place.

Rick Sullivan

Rick Sullivan

“We may be seeing the number of cases plateauing, but [development of] a vaccine, or treatment medication, is still in its infancy, so the data still says go slow. I do think some businesses previously deemed non-essential could have protocols put in place to allow partial reopening. However, nobody wants to reopen prematurely and see worse spikes later in the year.”

“While we expected and understand Governor Baker’s decision to extend the stay-at-home advisory, that tough decision underscores the challenging circumstances we find ourselves in as a business community,” said Nancy Creed, president of the Springfield Regional Chamber. “We’re doing a balancing act between wanting to get back to work and getting back to work in a safe manner.”

Many of her members supported the two-week extension; a late-April chamber poll, right before the non-essential closures were extended by two weeks, asked what worried them more: the spread of the virus if restrictions were loosened too soon, or the negative economic impact of not reopening quickly enough. It also asked if Massachusetts was ready for a May 4 reopening.

“Seventy-seven percent responded that the spread of the virus was more worrisome, and an overwhelming number — 91% — responded that Massachusetts was not ready for a May 4 reopening,” Creed said, “clearly revealing that much of the business community is concerned about protecting those most vulnerable and stopping the spread of the disease, and demonstrating the commitment our business community has to the community as a whole.”

Rick Sullivan, president of the Economic Development Council of Western Massachusetts, took a similar outlook.

“I do not think that anyone is surprised that the shutdown has been extended, as the governor has been clear he will follow the data as to when to begin reopening the economy,” Sullivan said. “We may be seeing the number of cases plateauing, but [development of] a vaccine, or treatment medication, is still in its infancy, so the data still says go slow. I do think some businesses previously deemed non-essential could have protocols put in place to allow partial reopening. However, nobody wants to reopen prematurely and see worse spikes later in the year.”

All that may be true, but it’s still difficult — and, for many businesses, exceptionally concerning — to stay closed this long, and possibly longer. Businesses are doing what they can to be creative, in many cases opening doors of commerce they will continue to pursue after the COVID-19 threat passes, or even using the time to support other community members in need (more on that later).

But no one likes the uncertainty of not knowing whether May 18 is the real target for reopening, or just another can to be kicked down the road.

Waiting Game

Paul DiGrigoli would like to reopen, too.

“This has impacted us tremendously,” said the owner of DiGrigoli Salon and DiGrigoli School of Cosmetology in West Springfield. “We haven’t had a chance to reach out to all our clients; some we have. But we just have to wait until Charlie Baker gives us the green light, which hopefully will be May 18.”

He was able to secure a Paycheck Protection Program (PPP) loan, succeeding in the second round of that program’s disbursements after missing on the first round. That will help cover costs like utilities and mortgage interest while keeping his employees paid for eight weeks as well. “We went through Community Bank, and they were phenomenal,” he said.

And he’s getting ready for some anticipated changes when the salon does reopen.

“We bought a lot of hand sanitizer to put at the front desk in the school and the salon, we’ve gotten gloves and masks, and what we’re going to do initially is get the clients’ cell phone numbers and call them from the reception desk to let them know when their appointment is available. And we’ll stick with staying six feet apart, spreading out the stations. Both the stylist and the client will have to wear a mask until further notice. It’s going to be uncomfortable at first.”

As for the school, online training has been effective for theory, but students haven’t been able to practice what they learn.

In general, he told BusinessWest, “we’re really trying our hardest to get back to normal, but we’ve really been handcuffed. There has been frustration and anxiety because we don’t know what to expect.”

Or when to expect it, he added. “We don’t know when it will happen. They’re saying May 18, but who the heck knows? We’re hoping it doesn’t go beyond that, but thank God for the relief funds — that really saved us.”

Claudia Pazmany, executive director of the Amherst Area Chamber of Commerce, polled her members at the end of April and put some of that anxiety into raw numbers. For example, responding businesses are losing an average of $55,837 per month in revenue during the shutdown, and 61% have had to lay off or furlough employees. More than 20% have serious concerns about being able to reopen if the state of emergency extends beyond June 1.

“They’re worried,” she said. “Rent, utilities, and payroll are three areas that continue to be a struggle.”

Amherst is also in an unusual situation, as it’s a small town that loses more than half its population when UMass Amherst and Amherst College aren’t in session. The downtown businesses in particular rely heavily on students — and now there’s talk across the region that colleges might start the fall with distance learning only.

Claudia Pazmany

Claudia Pazmany

“On the flip side, this has stirred a lot of innovation from businesses who have been deemed non-essential or limited; they’ve pivoted or gone online. The creativity and innovation we’ve seen have been really exciting.”

“Initially, there hasn’t been a lot of grumbling, but they’re generally frustrated and just sad. Everything is unknown,” Pazmany told BusinessWest. “They’re fearful — so much is unknown, and delays keep coming. We don’t have a deadline or guidelines; they just keep pushing back the date, and that causes more fear and anxiety.”

Driving Innovation

And also a good deal of invention, driven by necessity.

“On the flip side, this has stirred a lot of innovation from businesses who have been deemed non-essential or limited; they’ve pivoted or gone online,” Pazmany said. “The creativity and innovation we’ve seen have been really exciting.”

Take Zanna, a clothing shop that has been a staple of Amherst’s downtown for decades, but has never had an online store. Until now.

“You have to look at the good in this crisis,” owner Amy Benson said. “In my case, it moved me — encouraged me — to get an online store open. I’ve only owned the store a year, so I didn’t have time to even think about an online store before. Now I did, so I took the time to get it up and going.

“Do I think it’s the wave of Zanna’s future? No, but I think it’s an extension. We’ll probably keep it going once we’re open,” she added, noting that it opens more opportunities. “We’re in a transient community. We see people from all over the country, between the university and Amherst College. We all want things to be the way they were, but we know we’ll have to adapt. Some of these new trends, like my online store, I’m not going to shut that off.”

Benson has been creative in other ways as well, from curbside pickup — with everyone wearing masks — to ‘virtual shopping,’ where she walks a customer around the store using an iPad and FaceTime, showing them tops and bottoms and coordinating outfits.

“We want customers to be engaged, and they want to hear from us because we form those kinds of relationships,” she said. “When we’re FaceTiming, we’re FaceTiming with a friend and shopping with a friend. It’s a really important way to stay connected.

“You have to do something,” she went on. “You can’t just close your doors and do nothing. Our customers are women who have supported us for over 40 years; we’re not going to just shut our doors and not communicate. I do whatever I can to stay engaged with our customers, they’re the lifeline of our business.”

In other words, Zanna has come a long way since last month, when Benson was in “full panic mode” and offering nothing but a gift-certificate promotion. “We’re not bringing in nearly the revenue we would normally, but we’re supporting what we’re able to do right now.”

She’s not alone, Pazmany noted, citing examples like restaurants revamping their online presence with expanded takeout menus to Amherst Books shipping and delivering items to customers, to the Amherst Area Chamber itself, which has been connecting with the business community through marketing seminars.

Doing Some Good

Or taking advantage of an unusual time to do some good in the community.

Dean’s Beans, based in Orange, has seen a surge in web sales as coffee drinkers are brewing more at home due to social distancing and telecommuting. With COVID-19 causing great economic hardship, the company has chosen to share the money from these web sales with the community by helping to fund school food programs — a total of $26,000, in fact, divided among seven Western Mass. school districts.

“Making sure children have access to food throughout this pandemic is crucial, and we are proud to support these essential programs in Springfield, Amherst, and Orange,” said Dean Cycon, founder and CEO of Dean’s Beans. “Part of a company’s profitability is the positivity it generates for others, and we are committed to helping our communities ease the pain of this crisis.”

Amy Benson

Amy Benson

“You have to look at the good in this crisis. In my case, it moved me — encouraged me — to get an online store open. I’ve only owned the store a year, so I didn’t have time to even think about an online store before. Now I did, so I took the time to get it up and going.”

Meanwhile, Batlle has launched the Hero Project, a virtual fundraiser designed to give back to those on the front lines fighting the pandemic. Funds raised will be set aside to provide complimentary self-care services at Beauty Batlles Lounge for healthcare professionals, police officers, firefighters, EMTs, and employees of sheriffs’ departments, once she can open her doors again. Visit beautybatlles.com to donate.

Considering the masks they’re wearing all day long, “they’re going to need facials when this is done,” Batlle joked, before getting serious.

“I reached out to my nurse friends and heard their stories, about the trauma they’re going through. One friend works in the ICU at a COVID unit — she goes into work one day and has four patients, and when it’s time to leave, she only has one. That has to do something to you. How can I give back to them? That’s where the idea for the Hero Project came in.”

It’s a way to pay it forward while anticipating the light at the end of the tunnel, she told BusinessWest. “This isn’t easy on anybody.”

It would be easier with some clarity from Beacon Hill, but that’s not coming right now. Instead, Baker convened a Reopening Advisory Board of public-health officials, representatives from the business community, and municipal leaders from across the Commonwealth. They are charged with advising the administration on strategies to reopen the economy in phases based on health and safety metrics, and are expected to develop a report by May 18.

That’s just the report date. So it’s easy to see why businesses might not suddenly be reopening on that date.

“Personally, every time Governor Baker gives us a date when we’re going to open, I think, ‘hmm, I don’t know if that’s going to happen,’” Benson said. “I’m always thinking, ‘what’s the worst-case scenario? June 1? They keep pushing it back.”

That’s why it bothers Batlle that some proprietors of businesses like hers continue to offer services from their home.

“We should all just be staying stationary; we’re all in the same boat,” she said. “That just puts more stress on business owners who are actually following the rules, and it’s could extend the time we’re going to be out of work.”

Which, for too many business owners and employees across Western Mass., already feels like too long.

Joseph Bednar can be reached at [email protected]

Coronavirus

Analysis

By George O’Brien

As the Commonwealth begins the arduous task of turning its economy back on, the complicated situation conjures images from a scene in the movie Apollo 13.

That movie chronicled what became known as the ‘successful failure’ of that ill-fated flight to the moon almost exactly 50 years ago. Those familiar with the story know that, just over halfway to the moon, an explosion damaged the Odyssey spacecraft’s service module. Long story short, the crew had to abandon the Odyssey for the lunar landing vehicle Aquarius, and subsisted there while those at NASA figured out a way to get the crew home.

To get back to Earth safely, those at NASA had to eventually figure out a way to somehow start up the command module, which had been sitting idle for days, without power, in temperatures far below zero. If you’ve seen the movie, you remember a scene where one of the crew members, frustrated by the slow movement on a firm plan to restart the spacecraft, muttered ‘they don’t know how to do it’ to his colleagues.

At this precarious moment in history, many in the Commonwealth are tempted to say the same thing. Like the Odyssey, the state’s economy has been essentially frozen for several weeks now. Unthawing and restarting it will be a complicated process, and, just as with Apollo 13, there is no shortage of Ph.D.s working on the problem and trying to find a solution.

And, just as with that flight, there is obviously a lot at stake. With Apollo 13, it was three lives. With this pandemic … well, according to a report from the Massachusetts High Technology Council, the jobs of at least 40% of workers making less than $40,000 a year are at risk. Already, nearly 25% of the state’s workers have filed for unemployment benefits over the past six weeks. That’s right — close to one worker in four has sought relief. And the numbers could go higher still.

“It will be different, and it will be different for quite some time. Anyone who still believes a switch can be flipped and we can go back to where we were is sadly mistaken.”

Suffice it to say this will be an extremely complicated process, and those undertaking it have to get it right. If they go too fast or move improperly, a setback will likely prove even more devastating for the state’s economy — an economy that was, as we all know, humming right along.

Indeed, just a few short months ago, the Boston-area economy was absolutely bursting at the seams. Cranes were everywhere, major corporations were moving to the city, and people were looking to high-speed rail as a way to somehow possibly relieve the congestion, sky-high prices, and intolerable commutes that were defining life inside Route 128.

It seems like those public hearings in downtown Springfield on high-speed rail options were years ago, not several weeks ago.

And the same can be said of the employment picture across the state and even here in Western Mass. It was only a few months ago that we were all talking about the skills gap and how companies with vacancies couldn’t fill them. The word ‘ghosting’ became part of the vocabulary, a term used, in some instances, to describe someone who, between the time they were offered a job and was scheduled to start, found something better. Every employer had a ghosting story — or several of them.

Not to carry the Apollo 13 analogy too far (too late), but the state’s economy was absolutely soaring, a rocket ship bound for new heights. And then … the explosion.

Now, the task at hand is to restart the economy and get people back home, to where they were. But that’s where the analogy ends. Home is much different than it was when we left, and there’s no just going back to it.

The return to something approaching normal, or a new normal, will be slow, as in painfully slow, and gradual. It will be to workplaces where people wear masks, work at least six feet apart, and get tested for the virus regularly. It will be to a casino where the slot machines are spaced widely, one might use a long, plastic stick to press buttons on those slots, and where thermal cameras monitor the temperature of patrons. It might well be a phased-in return where those who are older and most vulnerable, as well as those most able to work remotely, return last. It will be to a business community where the vast majority of ventures are simply fighting for their lives.

It will be different, and it will be different for quite some time. Anyone who still believes a switch can be flipped and we can go back to where we were is sadly mistaken. This is made clear by the stubbornly high numbers concerning cases and deaths in Massachusetts, and the fact that, just a few days ago, the governor ordered people to wear masks in public.

The state has to find a way to reopen the economy — it can’t stay closed much longer — and also keep people safe, not overwhelm the healthcare system, and not present a scenario where we take one step forward and two or three back.

Apollo 13 had a happy ending — even if the crew didn’t get to moon. But this isn’t a movie, and we don’t know how it’s going to end.

George O’Brien is the editor of BusinessWest

COVID-19 Daily News

BOSTON — The Baker-Polito administration announced a four-phase approach to reopening the Massachusetts economy during the COVID-19 pandemic, and published mandatory workplace-safety standards that will apply across all sectors and industries once reopening begins.

The goal of the phased reopening, announced on May 11 and based on public-health guidance, is to methodically allow certain businesses, services, and activities to resume, while protecting public health and limiting a resurgence of new COVID-19 cases.

• Phase 1 will be ‘start’: limited industries resume operations with severe restrictions.

• Phase 2 will be ‘cautious’: additional industries resume operations with restrictions and capacity limits.

• Phase 3 will be ‘vigilant’: additional industries resume operations with guidance.

• Phase 4 will be the ‘new normal’: development of a vaccine and/or therapy enables careful resumption of full activity.

Businesses and activities that provided ‘COVID-19 essential services,’ per Gov. Charlie Baker’s March 23 order, will continue to operate. Certain businesses and activities with a lower risk of COVID-19 transmission will open in earlier phases. Decisions and timing will be influenced by public-health metrics for when the first phase of reopening begins, as well as when it is safe to move into concurrent phases. If public health metrics worsen, the state may need to return to an earlier phase.

Additionally, the Department of Public Health (DPH) and the COVID-19 Command Center, in consultation with the Reopening Advisory Board and based on feedback from industry, labor, and community coalitions, has developed Mandatory Workplace Safety Standards to reduce the risk of COVID-19 transmission as employees and customers begin to return to workplaces during the first phase of reopening. These standards are applicable to all sectors and industries that will be open in phase 1, and create new workplace requirements for social distancing, hygiene, staffing and operations, and cleaning. These standards are being released to give workplaces time to plan and prepare for reopening.

For social distancing, all people, including employees, customers, and vendors, should remain at least six feet apart to the greatest extent possible, both inside and outside workplaces. Businesses should establish protocols to ensure employees can practice adequate social distancing, provide signage for safe social distancing, and require face coverings or masks for all employees.

For hygiene, businesses should provide hand-washing capabilities throughout the workplace, ensure frequent hand washing by employees and adequate supplies to do so, and provide regular sanitization of high-touch areas, such as work stations, equipment, screens, doorknobs, and restrooms throughout the worksite.

For staffing and operations, businesses should provide training for employees regarding social-distancing and hygiene protocols. Employees who are displaying COVID-19-like symptoms should not report to work, and a return-to-work plan should be established.

For cleaning and disinfecting, businesses should establish and maintain cleaning protocols specific to the business. When an active employee is diagnosed with COVID-19, cleaning and disinfecting must be performed. Disinfection of all common surfaces must take place at intervals appropriate to that workplace.

The Reopening Advisory Board is scheduled to provide its full report to Baker on Monday, May 18.

COVID-19 Daily News

BOSTON — Saying he wanted to bring Massachusetts in line with what surrounding states were doing, Gov. Charlie Baker allowed golf courses to reopen on May 7, albeit under strict conditions.

“Golf courses are not essential businesses and cannot have employees working on-premise,” the new state guidelines note. “Notwithstanding this restriction, essential services, such as groundskeeping to avoid hazardous conditions and security, provided by employees, contractors, or vendors, are permitted. Private operators of courses may permit individuals access to the property so long as there are no gatherings of any kind, appropriate social distancing of six feet between individuals is strictly followed, and the business operator and golfers abide by the specific guidelines for golf courses. Municipalities may decide to open municipal courses under these guidelines, if they so choose.”

Among the other regulations currently in place:

• All staff must wear face coverings while on property.

• Course facilities including but not limited to the clubhouse, golf shop, restaurant, bag room and locker room must remain closed.

• No caddies or golf carts are allowed. Push carts may be used. Players must either carry their own bag or use a push cart.

• All golfers must maintain proper social distancing of at least six feet at all times, And groups of players are restricted to no more than four players at one time.

• Members-only clubs can allow guests as determined by the security personnel on the golf course. Private clubs that allow non-members to make reservations can do so at their discretion.

• The tee-time policy must be 15 minutes between groups. Golfers must stay in their car until 15 minutes before their tee time and must return to their car immediately following play.

• Online and remote payment options must be utilized.

• All golfers must use their own golf clubs. Sharing golf clubs or rental golf clubs is not allowed.

• Flagsticks must remain in the hole. Hole liners must be raised so picking a ball out of the hole doesn’t occur.

• Bunker rakes must be removed, and ball washers must be removed or covered. The practice putting green, driving range, and chipping areas must stay closed as well.

• Facilities must have readily accessible hand sanitizer.

Coronavirus

Opinion

To date, Gov. Charlie Baker has enjoyed strong amounts of support from the business community and state residents in general when it comes to his handling of the COVID-19 pandemic. Indeed, a recent Boston Globe/Suffolk University/WGBH News poll showed that 84% approve the governor’s handling of the crisis, and 85% back his decision to extend the stay-at-home advisory and closure of non-essential businesses.

But behind those numbers is growing restlessness and, in some cases, defiance. And it’s all justified. Thus far, the governor has erred on the side of caution — some have even taken to calling him ‘Cautious Charlie’ — but people are tiring of caution. They want action. They want a plan. They want the state open for business again.

They see it happening in other states — and soon, they’ll see it right next door in New Hampshire and Rhode Island — and they want to see it here.

Beyond closing the state’s non-essential businesses — while leaving giant retailers like Home Depot open, creating a demoralizing state of haves and have-nots — and ordering people to wear masks, Baker has provided little real leadership on the question of when and how the state’s economy will reopen. And groups like the Greater Boston Chamber of Commerce are starting to demand some answers.

The GBCC and other groups want answers on childcare — those facilities have been ordered closed until the end of July — as well as on public transportation, testing, tracing, and more. They want more than a target date for reopening the economy — they want a plan. The governor’s doesn’t have one yet, and this is a big reason why there is more than a whiff of defiance in the air.

This lack of a plan when most all other states have one is just one example of a lack of real leadership from the Baker administration to date. Here are some others:

• The Soldiers’ Home. This is one of the great tragedies during this pandemic and Baker’s greatest failing thus far. To date, roughly 30% of the 226 residents who were living at the home when the first resident there succumbed to COVID-19 have died. The situation has stabilized, but only because there are many fewer residents. Yes, most of the residents are very old, and nursing homes have been especially susceptible to outbreaks. But a number of lapses enabled the virus to sweep through the Soldiers’ Home like wildfire.

Baker claims not to have known about the outbreak until March 29, by which time several veterans had died, and he further said he was “appalled” by the lack of reporting by the man he appointed to lead the facility, Bennett Walsh — who has no experience running a healthcare facility on his résumé. Meanwhile, Walsh disputes the governor’s accounts, saying he provided daily updates to state officials.

Who’s telling the truth? In some respects, it doesn’t matter. There has been a massive failure of leadership on this matter, and it starts at the very top.

• Golf. To those who don’t play the game, this seems trivial, but golf is a good example of Baker being stubborn and not using basic common sense. There are dozens of businesses that would love to be called ‘essential’ and reopen for business, but for most — restaurants, hair salons, tattoo parlors, and even most retail stores — social distancing is a real issue.

But golf? Most courses boast more than 100 acres, and the busiest of courses might have 100 people on them at given point. That’s one acre per person. It’s easy to social distance, people get exercise (especially if they walk), and at least one small portion of the economy gets to start the process of clawing its way back. New Jersey and even New York are opening golf courses. Massachusetts? Maybe someday. It just doesn’t make any sense.

• His Reopening Advisory Board. The 17-member panel, named last month, is now working “three, four, five hours a day on Zoom calls” with “different verticals” to come up with a plan, the governor said on April 30. The problem is, he should have been saying that weeks before. He knew the day he shut down non-essential businesses in late March that he would need a panel like this to provide needed guidance. He waited a month to put one together, and when he did, he made it far too small and didn’t include representatives from several key sectors, especially tourism and hospitality.

And then, he gave the panel until May 18 to come up with a plan. People doing business in the Commonwealth don’t want a plan on May 18 — they want to start opening on May 18.

We’re still in the early stages of this pandemic, which means Gov. Baker still has plenty of time to show he has what it takes to be a good leader. Right now, he’s getting spotty marks — at least from us — and, overall, a grade of ‘incomplete.’