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Town of Batavia Water Department reminds businesses to flush internal water systems

By Billie Owens

Press release:

The Town of Batavia Water Department reminds businesses to flush internal water plumbing systems if your facility has been closed or unoccupied for several weeks prior to reopening.

Our public water contains a residual chlorine disinfectant. As water use in a building slows or stops, the water tends to stagnate, causing a loss of this residual disinfectant.

This can lead to bacteria growth, as well as taste and odor issues, discolored water, and potential leaching of higher than normal concentrations of service line and premise plumbing materials such as lead and copper. Keeping the water moving, flushed and refreshed, is crucial in these situations to ensure clean, clear water, free of these unhealthy contaminants.

The Town of Batavia Water Department is issuing this guidance to ensure the safety of the water supply and the health and welfare of our customers, as businesses and facilities begin to reopen (due to the coronavirus pandemic) .

The Environmental Protection Agency’s (EPA) has issued guidance for “Maintaining or Restoring Water Quality in Buildings with Little or No Use," the link can be found here.

Or visit the Town of Batavia website for that guidance.

For questions or assistance, you can contact the Town of Batavia Water Department at (585) 356-4900.

Hand sanitizer for the ag community available at no cost, register by 4 p.m. Monday

By Billie Owens

Press release:

Cornell Cooperative Extension of Genesee County is pleased to partner with New York State Agriculture and Markets, CY Farms LLC, and Genesee County Farm Bureau to provide New York State hand sanitizer at no cost to the ag community in Genesee County.

Please register by 4 p.m. on Monday, May 18.

Distribution will take place from 10 a.m. to 4 p.m. on Tuesday, May 19 at the local Cornell Extension office, 420 E. Main St., Batavia.

Genesee County production farms of any type are encouraged to participate, along with farm stands, CSAs, greenhouses and U-pick operations.

The goal is to support safe and healthy workplace practices to keep our agriculture workforce strong.

Liquid hand sanitizer is available by the case -- 4 gallons to a case (with a pump). This is a liquid, not a gel.

For ease of use, businesses may decide to purchase small spray bottles for daily use and refill them from the gallon jug.

Please note that this is a 75-percent alcohol-based liquid gel. It is highly flammable. Keep away from heat, hot surfaces, sparks, open flames and other ignition sources. No smoking. It is not drinkable.

Farms interested in picking up hand sanitizer should complete the online registration here.

Include farm contact information, requested quantity and time slot for pick up (to limit wait times and traffic). 

Quantities may be adjusted before pick up to ensure adequate supplies are available to as many farms as possible.

Details for picking up:

  • Stay in your vehicle and wait for a staff member to direct you to the pick-up area;
  • Whoever is picking up the sanitizer for your farm will need to wear their own face covering and load the cases of sanitizer into their vehicle;
  • If you are getting more than one case, consider bringing a handcart;
  • Please maintain social distancing when picking up;
  • Staff will need to collect some information from you before you can pick up the sanitizer.

Supplies are limited.

The suggested guidelines for each farm are:

  • 1-6 employees: 1 case
  • 7-15 employees: 2 cases
  • 15 plus: 3 – 4 cases

Hawley highlights industries reopening in Phase 1

By Billie Owens

Press release:

Assemblyman Steve Hawley today announced to residents of the Finger Lakes region, which includes Genesee, Livingston, Monroe, Ontario, Orleans, Seneca, Wayne, Wyoming and Yates counties, what industries will be eligible for reopening after this Friday, May 15. 

“I’m excited that the initial road to economic recovery is underway with helping businesses and people get back to work,” Hawley said. “As we follow the safety protocols set forth, and continue to get people back into the field and working again, we can only hope things improve going forward.”

Per the state’s guidelines on what Phase 1 of reopening means, construction, manufacturing, retail (limited to curbside pickup), wholesale trade, agriculture, forestry, fishing and hunting are all set to start the process of returning to normal.

Because the Finger Lakes region is a prime example of boasting some of the best workers in these various industries, Hawley is pleased to see the people’s patience being rewarded. 

If there are any questions regarding the reopening process, individuals are encouraged to reach out to:  flnyf@esd.ny.gov.

Assemblyman Hawley represents the 139th District, which consists of Genesee, Orleans and parts of Monroe County. For more information, please visit Assemblyman Hawley’s Official Website.

Batavia company sold and installed its labeling equipment for bottles of hand sanitizer to fight COVID-19

By Billie Owens

Press release:

Batavia-based Marktec Products Inc. recently sold and installed labeling equipment at the NYS Great Meadows Correctional Facility in Comstock to label hand sanitizer being produced there.

This hand sanitizer is supplied to high-risk communities and governmental entities in New York State through County Health Departments.

At the New York State Great Meadow Correctional Facility in Comstock, where hand sanitizer is produced, bottled, labeled and shipped, inmates previously applied labels by hand, which was a slow process and resulted in some labels being applied unevenly.

The containers are now labeled by inmates using three Advent Model 300 one-gallon labelers and one Advent Model 310 small-container labeler, resulting in labeling speeds of up to 20 containers per minute per machine.

Each labeling machine has a small digital ink-jet printer attached to it, to print the batch number and the date on each label.

Marktec Products Inc. is located at 8785 Ag Park Drive. Former Batavia City Councilman William E. Cox is president of the company, which makes automated systems for marking, labeling and packaging.

GCEDC board approves assistance for two projects

By Howard B. Owens

Press release:

The Genesee County Economic Development Center (GCEDC) Board of Directors voted to accept applications for two projects that will generate $9 million in capital investments.

Bright Oak Solar LLC is seeking incentives to construct a 4 megawatt community solar at a capital investment of $6 million project. The project would be located on Galloway Road in the Town of Batavia.

J & R Fancher Property Holdings LLC is investing $3 million to build a 32,254-square-foot, three-story facility to be constructed on two acres in the Buffalo East Technology Park* in the Town of Pembroke.

The project will add 17 market-rate, one-bedroom and two-bedroom apartments on the second and third floors, and an interior space comprised of four spaces for commercial tenants, as well as indoor parking and a fitness center.

“These projects continue the momentum in investments in residential housing and the renewable energy sectors,” said GCEDC Board Chair Paul Battaglia. “In just the first few months of 2020, we have projects that will create close to 100 new residential housing units and investments of approximately $28 million in renewable energy sector that will create 26 megawatts of solar energy.”

J & R Fancher Property Holdings LLC is requesting approximately $615,924 of property, sales and mortgage tax incentives. The project is estimated to produce $5.5 of economic impact for every $1 of proposed incentives.

Bright Oak Solar LLC is seeking approximately $978,656 in sales, mortgage and property tax exemptions.

The company will make PILOT (Payment In Lieu Of Taxes) payments over the next 15 years, which are estimated to generate $122,610 in revenues to Genesee County and $257,845 in revenues to the Oakfield-Alabama Central School District. The total increase in PILOT payments and real property taxes for the project is estimated at $394,139 over 15 years.

Since both projects are seeking incentives over $100,000, public hearings will be conducted.

*Buffalo East Technology Park is located at the intersection of routes 5 and 77 and within a mile of Interstate 90 (Exit 48-A). Developed by the Genesee County Economic Development Center, the campus consists of 67 shovel-ready acres zoned for advanced manufacturing. It's home to artisan cheesemaker Yancey's Fancy, which constructed a 112,000-square-foot facility in 2014-2015, and is well suited for high-tech and green-tech projects, light manufacturing and distribution centers. -- Source: ZoomProspector.com

Payroll Protection Program funds still available, round two has more than $2B

By Billie Owens

Press release:

Billions of dollars in potentially forgivable Payroll Protection Program (PPP) capital remains available to small businesses and nonprofits to help provide eight weeks of payroll and certain overhead to keep workers employed.

PPP, created out by the Coronavirus Aid, Relief, and Economic Security (CARES) Act, is responsible for infusing billions of dollars of capital into small businesses nationwide and saving jobs.

The second round, which kicked off April 27, has awarded 2,378,057 loans worth $181,158,888,644 as of close of business on Tuesday, May 5.

More than 900K of those loans, worth $57,296,660,188, were issued by small lenders.

The average PPP loan size is currently $76,000, a $130,000 reduction from the round one size, showing the dollars are further assisting mom & pops. SBA forgives the portion of Paycheck Protection loan proceeds used to cover the first eight weeks of payroll costs, rent, utilities, and mortgage interest.

Loan payments may be deferred for one year, and is retroactive from Feb. 15, so employers can rehire their recently laid-off employees through June 30.

“The Paycheck Protection Program is working. Small businesses are keeping their employees on payroll and earning salary,” said SBA Atlantic Regional Administrator Steve Bulger, who oversees the federal agency’s operations in New York, New Jersey, Puerto Rico and the U.S. Virgin Islands.

“For this federal program to work for you and your employees, I encourage you to submit an application through a PPP-participating bank, credit union, CDFI or online lender.”

Approved Lenders can be found using the SBA Lender Locater at www.sba.gov/ppp.

“Upstate New York small businesses have a lifeline in the Paycheck Protection Program," added SBA Syracuse District Director Bernard J. Paprocki. "The funds loaned from your bank or lender will help pay your team’s salaries for eight weeks and keep your venture intact and well-positioned to not only survive but succeed."

The SBA Syracuse District Office serves 34 Upstate New York Counties from the Hudson Valley and Capital Region to the Mohawk Valley, North Country, Finger Lakes and Southern Tier.

Loan forgiveness is based on the borrower maintaining or quickly rehiring employees while maintaining salaries and hours. PPP loans have a maturity of two years and an interest rate of 1 percent.

A copy of the PPP borrower application form with all information the federal government requires a small business to provide can be found here

Downtown Batavia Public Market opens June 5, with social distancing; ages 2 & up must wear mask

By Billie Owens

Submitted photo and press release:

The Genesee Country Farmer’s Market @ The Downtown Batavia Public Market opens for the season on Friday, June 5th, at the market's location on the corner of Bank Street and Alva Place in the Downtown Batavia Business Improvement District.

Market hours are 9 a.m. to 4 p.m. on Tuesdays and Thursdays, and 9 a.m. to 5 p.m. on Fridays, with the season running from Friday, June 5th, through Friday, Oct. 30th.

In light of the current COVID 19 concerns, the Market will implement enhanced public health guidelines to ensure the safety of Market customers and vendors. Social distancing is encouraged and the vendor stalls will be spaced accordingly. All customers and visitors of the market over the age of 2 years old must be wearing a mask to enter. 

Vendors are excited about the upcoming market season with many of last year's vendors returning, along with some new additions. The market will once again participate in the SNAP (Supplemental Nutrition Assistance Program), DUFB (Double-Up Food Bucks), NYS FreshConnect, WIC (Special Supplemental Nutrition Program for Women, Infants, and Children) and Senior Farmer's Market Check programs. 

The market welcomes the season with a new Market Manager, Wendy Rath (inset photo right). The Genesee Country Farmer’s Market Board of Directors is excited to have her on board and are confident she will be an asset to our vendors and market operations. 

The market is committed to its Mission of "providing a family-friendly environment where the residents of the Greater-Batavia area and Genesee County can shop for fresh, locally grown, produce and specialty artisanal items" -- and its Vision of "making the Genesee Country Farmers' Market @ The Downtown Batavia Public Market a WNY Destination."

Parties interested in joining the market to become a Seasonal Vendor or Day Vendor may contact Sharon Brent at (716) 560-0853 or by email at sharon_brent@hotmail.com, or Wendy Rath at (585) 944-5772or by email at wendyrath@yahoo.com.

Qualifying charities, service-groups, or 501c3 organizations that would like to participate in the market may obtain a FREE market stall by contacting the market at (585) 944-5772 or by email at wendyrath@yahoo.com.

GCEDC board to consider incentives for solar park on Galloway Road, Batavia

By Howard B. Owens

Press release:

The Genesee County Economic Development Center (GCEDC) Board of Directors will consider a proposal from Bright Oak Solar LLC for a 4-megawatt community solar project at the GCEDC’s May 7 board meeting.

The proposed $6 million project would be located on Galloway Road in the Town of Batavia.

Because of the COVID-19 pandemic, the meeting will be conducted via conference and online at www.gcedc.com. The meeting starts at 4 p.m.

Bright Oak Solar LLC is the sixth community solar project proposed to the GCEDC board in 2020. If the project is approved, the projects combined would generate approximately $28 million of capital investments in the County ultimately generating up to 26 megawatts of solar energy.

The proposed incentives would set PILOT (Payment In Lieu Of Taxes) payments over the next 15 years, which are estimated to generate $122,610 in revenues to Genesee County and $257,845 in revenues to the Oakfield-Alabama Central Schools.

The total increase in PILOT payments and real property taxes for the project is estimated at $394,139 over 15 years.

If the project’s application is accepted, a public hearing would be held in advance of a final resolution for project incentives.

USDA Advisory Committee on Beginning Farmers and Ranchers to hold public teleconference on impact of COVID-19

By Billie Owens

WASHINGTON, D.C. -- The U.S. Department of Agriculture’s Office of Partnerships and Public Engagement announces that a public teleconference of the Advisory Committee on Beginning Farmers and Ranchers (ACBFR) will be held to discuss the impact of COVID-19 on beginning farmers and ranchers.

The public conference call will be held on May 19 at 2 - 4 p.m. EDT. To listen to the discussion, call toll free 866-816-7252 and use conference ID 6188761.

To share written public comments for the committee’s consideration, email ACBeginningFarmersandRanchers@usda.gov. Written comments must be received by May 18. For more information, see the Federal Register Notice.

Authorized by Congress in 1992, the Advisory Committee on Beginning Farmers and Ranchers advises the U.S. Secretary of Agriculture on ways to develop programs to provide coordinated assistance to beginning farmers and ranchers while maximizing new farming and ranching opportunities. The committee also works to enhance and expand federal-state partnerships to provide financing for beginning farmers and ranchers. Learn more about this advisory committee at the OPPE website.

For further information, contact Maria Goldberg, USDA Office of Partnerships and Public Engagement, at Maria.goldberg@usda.gov or at (202) 720-6350.

GCEDC board to consider assisting mixed use project in Pembroke

By Howard B. Owens

Press release:

The Genesee County Economic Development Center (GCEDC) Board of Directors will consider a proposed $3 million mixed-use project at the Buffalo East Technology Park in the Town of Pembroke at the GCEDC’s May 7 board meeting.

Because of the COVID-19 pandemic, the meeting will be conducted via conference and online at www.gcedc.com.

The proposed $3 million project by J & R Fancher Property Holdings LLC would include a 32,254-square-foot, three-story facility to be constructed on two acres in the park.

The project will add 17 market-rate, one-bedroom, and two-bedroom apartments on the second and third floors, and an interior space comprised of four spaces for commercial tenants, as well as indoor parking and a fitness center.

This is the third project with a residential component that is seeking incentives from the GCEDC board in 2020. The addition of 17 market-rate apartments would bring the total number of new residential units to 82 in the County. The capital investment of the residential projects is $31.6 million.

J & R Fancher Property Holdings LLC is requesting approximately $615,924 of property, sales, and mortgage tax incentives. The project is estimated to produce $5.50 of economic impact for every $1 of proposed incentives.

If the project’s application is accepted, a public hearing would be held in advance of a final resolution for project incentives.

USDA announces ag producers now eligible for SBA disaster loans

By Billie Owens

WASHINGTON, D.C. -- U.S. Department of Agriculture Secretary Sonny Perdue today applauded the announcement that agricultural producers, for the first time, are now eligible for the Small Business Administration (SBA)’s Economic Injury Disaster Loan (EIDL) and EIDL Advance programs. 

“America’s farmers, ranchers, and producers need the same help that other American businesses need during this unprecedented time,” said Secretary Perdue. 

SBA’s EIDL portal has been closed since April 15. However, the Agency is able to reopen the portal today, in a limited capacity, as a result of funding authorized by Congress through the Paycheck Protection Program and Healthcare Enhancement Act.

The legislation, which was signed into law by the President one week ago, provided additional critical funding for farmers and ranchers affected by the coronavirus (COVID-19) pandemic.

In order to help facilitate this important change to EIDL Loan and EIDL Advance assistance eligibility, SBA is reopening the Loan and Advance application portal to agricultural enterprises only.

For agricultural producers that submitted an EIDL loan application through the streamlined application portal prior to the legislative change, SBA will move forward and process these applications without the need for reapplying.

All other EIDL loan applications that were submitted prior to April 15 will be processed on a first-in, first-out basis.

Torrey Farms donates 26,000 pounds of veggies to New Yorkers in need

By Billie Owens

Press release:

The Northeast Dairy Producers Association (NEDPA) today announced that farms and co-ops located across Upstate New York have donated more than 34,000 pounds of milk, beef, fruit and vegetables to fellow New Yorkers in need. 

In addition to the NY-sourced milk and food, packets of crayons and coloring books for kids have also been donated, and were made available to families today, May 1, at Senator Jessica Ramos’ district office in East Elmhurst, Queens.

The following donations were made possible by a partnership between Senator Ramos and a number of New York State farms:

  • 300 pounds of beef donated by La Casa De Leche Farm (Livingston County) and the Northeast Dairy Producers Association.
  • 1,700 gallons of milk donated by Dairy Farmers of America.
  • 20,000 apples equaling 5,700 pounds donated by Farm Fresh First Inc., which markets NY apples from more than 100 apple growers throughout the state.
  • 14,000 pounds of onions, 8,000 pounds of potatoes and 4,000 pounds of cabbage donated by Torrey Farms Inc. (Genesee County) and the New York State Vegetable Growers Association
  • 2,880 pounds of blueberry and vanilla parfait yogurt donated by Upstate Niagara Cooperative Inc., a dairy cooperative located in Western New York.
  • 575 packs of Prang Crayons made with soybean oil donated by the New York Corn & Soybean Growers Association, along with coloring books sponsored by New York dairy farmers and donated through American Dairy Association North East.

On Wednesday, a truck left Western New York packed with beef, vegetables, fruit, yogurt, crayons and coloring books. The truck stopped at Dean Foods in Rensselaer County to pick up 1,700 gallons of milk and arrived in Queens yesterday.

Many areas in Senate District 13, including Elmhurst, East Elmhurst, Jackson Heights, Corona and parts of Woodside and Astoria — are considered food deserts, making it difficult to obtain fresh meals. Additionally, there are few local food pantries that remain open in the area as many residents have fallen ill with COVID-19. 

The donations of food, milk, crayons and coloring books were distributed to families in need today. A hot meal distribution will also take place on Saturday, May 2 at Senator Ramos’ office. 

“In addition to the unspeakable loss of life caused by the coronavirus pandemic, two additional devastating tragedies are unfolding during this crisis — a spike in hunger as the economic pain takes its toll, and the breakdown of our food supply chain,” Senator Ramos said.

“We cannot have hungry families in New York City, and farmers Upstate dumping their product because they cannot sell it. Together with our farmer partners, we created our own network, and we will convert our district office into a food distribution hub to provide our neighbors with fresh produce and meals.” 

Northeast Dairy Producers Association Vice Chair and Owner of La Casa De Leche Farm (Livingston County) Keith Kimball said, “The COVID-19 pandemic has impacted us all -- our families, our businesses and the greater New York community.

"By pooling resources and working together to adapt to unprecedented market disruption, we’re able to get milk, beef and produce in the hands of those in need. I’m proud to partner with farmers, co-ops and processors across the state to make this donation a reality, and thankful to Senator Ramos for hosting the event for families in Queens.”

Maureen Torrey, co-owner of Torrey Farms Inc. in Genesee County, said, “Thanks to the passionate employees on our family farm and our dedicated truck drivers, we’re able to donate 26,000 pounds of vegetables to families in need, including onions that Senator Ramos helped us plant last year.

"This public health crisis has changed life as we know it, but what we’ve learned is that no matter where you live -- Buffalo, Plattsburgh, New York City and everywhere in between -- we’re all New Yorkers -- and together We are New York Tough.” 

(File photo of Maureen Torrey taken in 2013.)

Northeast Dairy Producers Association (NEDPA) is an organization of dairy producers and industry partners committed to an economically viable, consumer-conscious dairy industry dedicated to the care and well-being of our communities, environment, employees and cows.

Tomkins Insurance Agencies hire commercial insurance account executive in Batavia

By Billie Owens

Submitted photo and press release:

Tompkins Insurance Agencies is pleased to announce that Nick Mroz has been recently hired as a commercial insurance account executive.

He will serve the Western New York region out of the agency’s Batavia office at 90 Main St. 

Mroz has 17 years of experience in the financial services and Insurance industry. He was formerly employed by Five Star Bank.

Mroz holds his Life & Health and Property & Causality insurance licenses, and FINRA series 6 and 63 securities licenses. 

He attended Pierce Community College in Tacoma, Wash., and served in the Army.

Mroz and his family reside in Medina, where he is a member of the Medina YMCA, American Legion, and VFW.

Tompkins Financial Corporation reports record year-to-date and first quarter earnings

By Billie Owens

Press release:

ITHACA -- Tompkins Financial Corporation (NYSE American:TMP), parent company of Tompkins Bank of Castile, Tompkins Insurance Agencies, and Tompkins Financial Advisors, has reported record year-to-date and first quarter earnings.

Tompkins Financial Corporation Reports Cash Dividend

Tompkins Financial Corporation announced today that its Board of Directors approved payment of a regular quarterly cash dividend of $0.52 per share, payable on May 18, 2020, to common shareholders of record on May 11, 2020.

Tompkins Financial Corporation Reports First Quarter Earnings

Tompkins Financial Corporation announced net income attributable to common shareholders of $7.9 million, or $0.53 per diluted common share for the first quarter of 2020, compared to $21.0 million, or $1.37 per diluted common share, for the first quarter of 2019. Results for the first quarter of 2020 were negatively impacted by current economic stress resulting from the COVID-19 pandemic, which contributed to the $16.3 million provision for credit losses recognized during the quarter under the new current expected credit losses (CECL) accounting standard. Refer to "Asset Quality" section for further discussion of the impact on the Company's financial statements upon adoption of this new accounting guidance.

"These are clearly unprecedented times for our country and our communities. I am extremely proud of the exceptional way the Tompkins team has stepped up to the current environment by addressing the specific challenges of our clients and communities who are facing hardships due to the COVID-19 pandemic. Though these are unprecedented times, Tompkins enters this environment well prepared to face the many challenges and difficulties we are all dealing with as a result of the pandemic. Over recent years, we have invested significantly in digital technologies to improve capabilities that allow our customers to bank remotely. We have also invested significantly in our internal systems, which allowed nearly 100 percent of our non-retail employees to transition quickly and securely to remote working environments with limited disruption to our business. Furthermore, we entered 2020 with a strong financial position, coming off a year of record earnings per share in 2019, and with our 2019 Risk Based Capital Ratio at its highest level since 2014."

SELECTED HIGHLIGHTS FOR THE FIRST QUARTER:

Despite the decline in earnings from the prior year, there were several favorable trends noted during the first quarter of 2020, including:

•       Total loans of $4.9 billion were up 3.1 percent over March 31, 2019

•       Total deposits of $5.4 billion increased by 8.4 percent over March 31, 2019

•       Noninterest bearing deposits of $1.4 billion increased by 5.6 percent over March 31, 2019

•       Net interest margin was 3.44 percent for the first quarter of 2020, up from 3.34 percent for the first quarter of 2019, and 3.43 percent for the fourth quarter of 2019

NET INTEREST INCOME

Net interest margin was 3.44 percent for the first quarter of 2020, up compared to the 3.34 percent reported for the first quarter of 2019, and 3.43 percent for the trailing quarter ended Dec. 31, 2019. The improved net interest margin year-over-year was largely driven by lower other borrowing balances and funding costs, primarily in other borrowings. Net interest income of $53.0 million for the first quarter of 2020 was up 2.0 percent compared to the first quarter of 2019.

NONINTEREST INCOME

Noninterest income represented 26.4 percent of total revenues in the first quarter of 2020, compared to 27.2 percent in the first quarter of 2019. Noninterest income of $19.0 million was down 2.3 percent compared to the same period in 2019. Noninterest income in the first quarter of 2019 included a one-time incentive payment of $500,000 (pre-tax) related to our card services business.

NONINTEREST EXPENSE

Noninterest expense was $45.7 million for the first quarter of 2020, which was up 3.5 percent from the same period in 2019, and in line with the fourth quarter of 2019. The increase in noninterest expense from the same period last year was mainly related to higher salaries and wages in the first quarter of 2020, largely reflective of merit increases awarded in 2019.

 INCOME TAX EXPENSE

The Company's effective tax rate was 19.4 percent in the first quarter of 2020, compared to 21.0 percent for the same period in 2019.

ASSET QUALITY

Asset quality trends remained strong in the first quarter of 2020. Nonperforming assets represented 0.46 percent of total assets at March 31, 2020, down slightly from 0.47 percent at Dec. 31, 2019. Nonperforming asset levels continue to be below the most recent Federal Reserve Board Peer Group Average1of 0.56 percent.

Net charge-offs for the first quarter of 2020 were $1.2 million compared to $3.5 million reported in the first quarter of 2019. Net charge-offs of $1.2 million in the first quarter of 2020 was largely related to a single credit, while the first quarter of 2019 included a $3.1 million write-down of one credit, both in the commercial real estate portfolio.

The Company adopted Accounting Standards Update (“ASU”) 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments” (“CECL”), effective Jan. 1, 2020. The Company recorded a net increase to retained earnings of $1.7 million upon adoption of the new standard. The transition adjustment at Jan. 1, 2020 included a $2.5 million decrease in the allowance for credit losses on loans, and a $0.4 million increase in the allowance for credit losses on off-balance sheet credit exposures, net of the corresponding $0.4 million decrease in deferred tax assets. The provision for credit losses for the first quarter of 2020 was $16.3 million, increasing the allowance for credit losses to $52.4 million at March 31, 2020. The increase in the first quarter of 2020 was not a direct result of specific credit risks currently identified in the loan portfolio; rather, the increase was largely a result of the impact of the current economic shutdown related to COVID-19 on economic forecasts and other model assumptions relied upon by management in determining the allowance.

The allowance for credit losses represented 1.06 percent of total loans and leases at March 31, 2020, compared to 0.81 percent at Dec. 31, 2019, and 0.84 percent at March 31, 2019. The ratio of the allowance to total nonperforming loans and leases was 170.74 percent at March 31, 2020, compared to 126.90 percent at Dec. 31, 2019, and 175.51 percent at March 31, 2019.

CAPITAL POSITION

Capital ratios remained well above the regulatory minimums for well capitalized institutions. The ratio of Tier 1 capital to average assets was 9.53 percent at March 31, 2020, down slightly from 9.61 percent at December 31, 2019, and improved from 9.24 percent at March 31, 2019. Consistent with the Company's capital planning practices, during the quarter ended March 31, 2020, the Company repurchased 71,288 shares of common stock at an average price of $78.83 per share. On March 19, 2020, following the announcement of the national emergency related to the COVID-19 pandemic, the Company suspended the purchase of shares under the Company’s share repurchase program. During the quarter ended Dec. 31, 2019, the Company repurchased 35,821 shares of common stock at an average price of $80.25 per share. There were no shares repurchased during the first quarter of 2019.

IMPACT OF, AND RESPONSE TO, COVID-19 PANDEMIC

Economic Environment

The COVID-19 outbreak has led to government-mandated closures and stay at home orders across the nation, which have resulted in deteriorating economic conditions throughout the U.S. The various government orders issued in response to the pandemic are significantly impacting the U.S. labor market, consumer spending and business investments. During March 2020, in response to the deteriorating economic conditions, the Federal Reserve reduced the federal funds rate 1.5 percentage points, to .00 to .25 percent. The Federal Reserve also provided a pandemic-related stimulus package estimated at $4.0 trillion, in order to ease the stress on financial markets. In addition, the United States Congress passed the Coronavirus Aid, Relief and Economic Security Act ("CARES Act"), which would provide approximately $2.5 trillion of support to U.S. citizens and businesses affected by COVID-19.

Company Response

During the first quarter of 2020, the Company designated a Pandemic Planning Committee, made up of members of Senior Management, to oversee the Company’s response to COVID-19. The Company implemented a number of risk mitigation measures designed to protect our employees and customers, while maintaining services for our customers and community. These measures included restrictions on business travel and establishment of a remote work environment for all non-customer facing employees. The Company also implemented drive-up only or by appointment only operations across its branch network.

Currently, over 85 percent of our workforce is working remotely and we have imposed social distancing restrictions and provided premium pay for those employees who are required to be on premise to complete essential on-site functions. Due to the significant uncertainty of the current economic climate, and the Company's ongoing response to the pandemic and related shutdowns, annual pay increases for our Company's executive officers (which is comprised of our Senior Leadership Team members) have been deferred indefinitely.

As previously announced, Tompkins has initiated and participated in a number of credit initiatives to support employees and customers who have been impacted by the shutdown associated with the COVID-19 pandemic. For non-executive employees affected by COVID-19, the Company implemented a low interest loan program. The Company also implemented a payment deferral program to assist both consumer and business borrowers that may be experiencing financial hardship due to COVID-19. The current standard program allows for the deferral of loan payments for up to 90 days and customers will be able to request a payment deferral until the middle of May 2020. As of April 20, 2020, the Company had granted payment deferral requests for approximately 2,800 loans to individuals and businesses.

The Company is participating in the U.S. Small Business Administration (SBA) Paycheck Protection Program (“PPP”). This program provides borrower guarantees for lenders, as well as loan forgiveness incentives for borrowers that utilize the loan proceeds to cover employee compensation-related expenses and certain other eligible business operating costs, all in accordance with the rules and regulations established by the SBA. The Company began accepting applications for PPP loans on April 3, 2020, and has approved approximately 2,900 loans totaling about $500 million.

Mr. Romaine added, “We enter the second quarter of 2020 in a period of significant uncertainty surrounding the COVID-19 pandemic and related economic shut-downs. Our long held philosophy of maintaining Tompkins as a sustainable high performing company, supported with prudent risk management practices, is now more important than ever. We believe our healthy capital and liquidity positions will provide flexibility to respond to current challenges. The overall impact of COVID-19 on our consolidated results of operations for the three months ended March 31, 2020 was limited, with the exception of our provision for credit losses. We did see some slowdown toward the end of the first quarter in other areas of our business, including reduced transaction volumes in our card services business, a decrease in wealth management fees due to the decline in financial markets, and decreases in certain other fee related income. However, the extent to which the COVID-19 pandemic will affect our business, results of operation and financial condition going forward is difficult to predict and depends on numerous evolving factors.”

There is currently a great deal of uncertainty regarding the length of the COVID-19 pandemic and the efficacy of the extraordinary measures being put in place to address it. If efforts to contain COVID-19 are not as successful as anticipated, if restrictions on movement last into the third quarter or beyond, or if the federal government's economic stimulus packages are ineffective or delayed, the current economic downturn will likely be much longer and much more severe. The deeper the economic downturn is, and the longer it lasts, the more it will damage consumer fundamentals and sentiment. Similarly, an extended global recession due to COVID-19 would weaken the U.S. recovery and damage business fundamentals. As a result, the pandemic and its consequences, including responsive measures to manage it, have negatively impacted, and may continue to negatively impact, demand for and profitability of our products and services, the valuation of our assets, the ability of borrowers to satisfy obligations, and our ability to meet the needs of our customers, all of which could have a material adverse effect on our business and financial performance.

ABOUT TOMPKINS FINANCIAL CORPORATION

Tompkins Financial Corporation is a financial services company serving the Central, Western, and Hudson Valley regions of New York and the Southeastern region of Pennsylvania. Headquartered in Ithaca, NY, Tompkins Financial is parent to Tompkins Trust Company, Tompkins Bank of Castile, Tompkins Mahopac Bank, Tompkins VIST Bank, Tompkins Insurance Agencies Inc., and offers wealth management services through Tompkins Financial Advisors. For more information on Tompkins Financial, visit www.tompkinsfinancial.com.

Graham Manufacturing eschews layoffs while plant closed, returns PPP loan after Treasury changes rules for publicly traded companies

By Howard B. Owens

Graham Manufacturing, a publicly traded company, made the decision at the start of the coronavirus pandemic to stop almost all manufacturing operations but keep its entire workforce on the payroll -- including 320 of its Batavia-based employees.

"We continue to pay wages and full benefits to all of our employees," said Jeff Glajch, Graham's chief financial officer.

Keeping employees home helps keep them and the community safe, Glajch said, but also means the company's expenses are exceeding revenue.

When the Payroll Protection Program was announced, with rules that allowed any company with 500 or fewer employees to apply for forgivable loans of up to $10 million to help cover wages and salaries for workers, Graham applied for a loan. There was no stipulation in the first set of rules released by the Treasury Department that discouraged publicly traded companies from accepting the loans.

Graham received a $4.6 million loan.

"We felt at the time it was a legitimate application based on the guidance by the SBA (Small Business Administration)," Glajch said. "Last Thursday, the Treasury changed the guidance on publicly traded companies and suggested that publically traded companies should not receive loans. We felt based on the new guidance that we would return the funds and the funds have been returned, based on this guidance, well before anyone reached out to us."

The loan was repaid along with interest for the two weeks the company possessed the funds.

The Treasury changed the rules for loan eligibility after news reports about publicly traded companies such as Shake Shack and Ruth’s Chris Steak House received loans. The reports helped raise awareness of well-capitalized companies receiving taxpayer money at a time when many small businesses were unable to tap into the initial pool of $350 billion because the first round of loans was oversubscribed.

Congress has since added another $480 billion to the stimulus package but critics have maintained that publicly traded companies getting loans when they have access to financial resources out of reach to very small businesses is against the spirit of the program.

Glajch said he understands the concern. He said many people view the spirit of the program to help very small companies, particularly restaurants and local shops, who have been hard hit by closures. He said many people view companies with one to 50 employees as needing the most help, but the actual rules allow companies with fewer than 500 employees to apply for the loans.

Those companies with fewer than 500 employers include some of Graham's competitors and those competitors are not necessarily publicly traded. Even though those companies are not publicly traded it doesn't mean they aren't well-capitalized, Glajch said.

"My concern is that we have competitors that are privately held with 200 to 300 employees that have access to capital and, especially grants, that we don't," Glajch said. "There are ma-and-pop's that are struggling and they need this funding and if that was the intent, that was great. It makes sense to fund them and but not our competitors who are much larger."

Besides the 310 employees locally, Graham employs another couple dozen people in other locations. 

Graham could have remained operational. It is an essential business according to New York's pandemic rules. It makes equipment essential to the oil industry and to the Navy. Glajch said the company decided it was more important to keep employees safe than to keep the manufacturing plant open. The firm scaled back to about 20 employees working to fulfill its Navy contracts.

"This is a stressful time for everyone and one of the things we didn't want was for our employees to be concerned about was their financial condition," Glajch said. "This is obviously tough of families so we made the decision to continue to pay our employees. It's important for our employees but it's also important for the community. If they aren't making any money they don't have the ability to spend and that impacts the community also."

Graham is phasing in the return of its workers.

"This is a pretty dramatic change in safety practices and cleaning and sanitation practices," Glajch said. "We've put social distancing rules in place and are slowly bringing people back. We thought bringing back everybody at once was too aggressive. We want to make sure our employees are trained and working in a way that meets all of those safety criteria."

Much of Graham's customer base is the oil industry and coronavirus hits at a time when Russia and other OPEC-block countries were in an oil production dispute, driving down the price of oil, and with people traveling less, oil prices have declined sharply on top of that dispute. So far, that shift in the market hasn't affected Graham, but Glajch said "that will take more time to fully play out."

Investors were informed up-front of Graham's plans to stop production but keep paying employees and there has been no push back from investors, Glajch said.

"Investors understand what we're doing," Glajch said. "They understand we're burning cash by keeping people on payroll. I think at the time we had the conversation, no one wondered how long this would be going on, that they felt this would be finite, like a month or two, and they understood what we were doing."

USDA provides details on the Farmers to Families Box Food Program

By Billie Owens

Press release:

WASHINGTON, D.C. -- On Monday,  the U.S. Department of Agriculture (USDA) Agricultural Marketing Service (AMS), in conjunction with the Food and Nutrition Service (FNS) and the Office of Partnerships and Public Engagement (OPPE), published Frequently Asked Questions for nonprofit organizations seeking to receive food through the Farmers to Families Food Box Program.

Read more about the Farmers to Families Food Box Program FAQ at the AMS website.

On April 17, U.S. Secretary of Agriculture Sonny Perdue announced the Coronavirus Food Assistance Program (CFAP). As part of this announcement Secretary Perdue also created the Farmers to Families Food Box Program.

Through this program USDA will partner with regional and local distributors, whose workforce has been significantly impacted by the closure of restaurants, hotels and other food service entities, to purchase up to $3 billion in fresh produce, dairy and meat products.

The program will begin with the procurement of an estimated $100 million per month in fresh fruits and vegetables, $100 million per month in a variety of dairy products and $100 million per month in meat products.

Participating distributors and wholesalers will then package a preapproved box of fresh produce, dairy and meat products for delivery to food banks, community and faith-based organizations and other nonprofits serving Americans in need.

Additional information on the Farmers to Families Food Box Program is available on the AMS website.

Additional questions may be submitted to:  USDAFoodBoxDistributionProgram@usda.gov

Rotary Club of Le Roy establishes 'Rotary Community Reinvestment Fund' to help ease impact of COVID-19

By Billie Owens

From the Rotary Club of Le Roy:

It is the Rotary International vision statement that perhaps says it best “Together, we see a world where people unite and take action to create lasting change — across the globe, in our communities, and in ourselves.”

Rotarians are a collection of people of action, and we share a strong sense of purpose. In troubled times such as these, Rotarians will rise and meet the needs of their community and the world. It is with that sense of purpose that the Rotary Club of Le Roy has begun the “Rotary Community Reinvestment Fund.”

The impacts of the COVID-19 pandemic are being felt across the globe, but signs of the effects can be seen in our community. In the interest of public safety, nonessential local businesses have been forced to close.

The impact of these closures may not be evident to the naked eye, but the ramifications are impacting our friends and neighbors who own these businesses. As both state and national levels begin to restart the economy, those same businesses that have supported Le Royans in the past will need our support more than ever.

The Community Reinvestment Fund will take donations made by local individuals and families, and direct them to the Le Roy businesses most in need. The Rotary Club of Le Roy, which has served the community for more than 75 years, will oversee the collection and distribution of funds.

There will be a short application for businesses to complete, and a committee of Rotarians will review the applications and submit approved applications to the Board of Directors. The form is available on our website. Fellow Rotarians and their families are not eligible to receive funds through this process.

Individuals or businesses interested in supporting our community can make contributions by mailing a check to: Rotary Club of Le Roy, Attn.: Community Reinvestment Fund, P.O. Box 141, Le Roy, NY 14482.

Any questions can be directed to Jim Ellison (717) 503-5749, or:   jdellison@gmail.com 

Schumer: 'It’s time for New York farmers to recover, regrow, and harvest revenue!'

By Billie Owens

From Senator Charles E. Schumer:

U.S. Senate Minority Leader Charles E. Schumer today revealed that as part of his negotiation priorities for the interim emergency bill that passed the Senate yesterday, he has ensured that agricultural enterprises will be added as an eligible recipient for grants of up to $10,000 and low-interest loans through the Small Business Administration’s (SBA) Economic Injury Disaster Loan (EIDL) program.

This assistance can help cover business expenses, including payroll and other operating expenses.

Schumer has relentlessly advocated for New York’s farms during the coronavirus (COVID-19) crisis, securing more than $9.5 billion in emergency funding in last month’s CARES ACT for the agricultural sector suffering massive financial losses due to reduced demands and supply chain disruptions, and calling on the United States Department of Agriculture (USDA) to immediately release aid to hardest-hit agricultural businesses, 

“Making our hardworking Upstate farmers eligible for this vital federal emergency grant-and-aid program was a huge priority for me and I am proud to have secured them this much-needed and well-deserved access to a program that could be a lifeline in these very difficult times,” Senator Schumer said. “I fought hard because just like any other small business in New York, access to this funding could be a vital lifeline for our farmers during this time of crisis.

"In good times, New York farmers are some of the best in the world and work long hours on tight margins, but in the midst of a global pandemic, they are losing revenue streams, suffering huge financial losses and being forced to discard their products. They need all the help we can offer – and they need it now.”

About 23 percent of New York State’s land area, or almost 7 million acres, is farmland, and with more than 33,000 farms across the state and nearly 700 farmer’s markets, New York’s agricultural sector is one of the hardest-hit industries in the nation. Additionally, 96 percent of farms in the state are family-owned.

Since the March passage of the CARES Act, there has been demand from the agricultural community for the SBA to include agricultural enterprises to the EIDL program. With this fix to the EIDL program, farms and other agricultural enterprises under 500 employees will be eligible to apply for SBA grant and loan disaster assistance.

Schumer added, “the bill originally pushed by Senate Republicans had absolutely no fix for our farmers, nor did it have any money for the entire Emergency Injury Disaster Grant and Loan Program. But we stopped that bill so we could make vital improvements, like making sure our farmers had full access to all key forms of federal aid to get through the tough times.”

Here are the facts:

  • Farmers and other agricultural enterprises are now eligible for the EIDL program.

o   The bill passed in the Senate yesterday adds agricultural enterprises under 500 employees as an eligible recipient for grants of up to $10,000 and low-interest loans through the SBA’s Economic Injury Disaster Loan Program.

o   There has been a demand from the agricultural community for SBA to change its rules so agricultural enterprises would be eligible for the SBA’s EIDL loans and the new EILD grant program, but no such rule change has happened.

o   The interim emergency bill proposed by Democrats called for this key fix to support the nation’s farmers, which would not have happened under the original proposal that would have solely increased in funding for PPP. 

Here's a breakdown of the number of farms in each region of New York:

Region

# of Farms (2017)

Western NY

3,814

Finger Lakes

5,945

Southern Tier

7,028

Central NY

7,537

Capital Region

6,240

Hudson Valley

2,246

NYC

36

Long Island

592

Total

33,438

Next Level Fitness auctioning off everything, register and bid online through April 27

By Billie Owens

Press release:

Next Level Fitness, located at 59 Main St. in Batavia, is auctioning off all their equipment from the three-story facility. 

Hundreds of items will be auctioned, including gym equipment such as weights, workout machines, treadmills to mats, exercise balls and more. 

The auction also features general items including some furniture, shelving and multiple televisions.

For interested entrepreneurs, the building will be available for lease in the upcoming months as well.

What: Next Level Fitness Liquidation 

When: now thru April 27

Where: online

How: Interested buyers can bid and register online here

Hawley outlines Assembly Republicans' plan to 'Jump-Start New York'

By Billie Owens

From Assemblyman Steve Hawley:

Citizens across the state have rallied in response to the COVID-19 viral outbreak in a way that couldn’t make me prouder to serve them. People are making the necessary sacrifices to ease the burden on our healthcare workers and our healthcare system, while at the same time protecting each other and preventing this disease from gaining any foothold in our society.

While the work that is being done is unquestionably important, it is equally as important for us to begin planning for the future, when society does eventually reopen. Part of that plan has to include security for our small businesses, which will not only help to revitalize the economy, but create jobs for many of those looking to get back to work. That’s why I’m proud to support the Assembly Republicans' bold and transformative plan, the “Jump-Start New York” initiative, as a way to get all New Yorkers safely back to work and our new "normal" life. 

Our plan presents a guide for finding economic relief for these small and local businesses in the short term, while also ensuring stability in the long term. By combining federal and state actions, the plan will offer financial relief and protections to small businesses and their workers. It also will remove the costly regulations that stifle growth and will open doors for employers to gain access to assistance that will be critical in allowing them to succeed in such a short amount of time.

The plan is incredibly multifaceted, but I did want to highlight a few that I feel are key to restarting the economy on the right foot.

The first is using any allocated state settlement money to provide immediate cash needs for nonessential businesses to reengage in the economy. Another is the reevaluation of what qualifies as an "essential business," widening the scope and allowing these businesses to resume while following proper health protocols.

Furthermore, the plan allows for the expansion of film tax cuts to nonessential businesses and sole proprietors. The goal of this work is to ensure that the fiscal health of New York is just as secure as the public health of New Yorkers, and with this initiative, I believe we can make that a reality.

It’s true that the severity of this outbreak has hampered our economy significantly. And while we do what we must to help our healthcare professionals ensure they can do their jobs, it also comes down to us to ensure that we help small businesses prepare for the future.

Early and decisive action is the best solution to ending this pandemic, and saving the economy.

To learn more, please read the full proposal here and call or email me with any questions or comments.

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