Economy up--but have we learned anything?

12/30/2009

By Jim Poole and Patsy Nicosia

Economy up--but have we learned anything?

Some experts believe the national economy has turned the corner on the recession, and the same may be true for Schoharie County, according to local business leaders.
And although most agree the county’s economy was never robust to begin with, they’re also cautiously optimistic as 2010 begins.
“This county never had a lot, so it seems to be able to dig in better in a recession,” said Anne Myers, president of the county Chamber of Commerce.
“I don’t believe we were hit as hard as some other places,” agreed Jodi Rutt, the Chamber’s executive director.
Others noted that despite the closing of Aero Ford and several other smaller businesses, the local economy hasn’t taken a major hit.
“We’ve seen some businesses go out, and we haven’t replaced some that have gone out,” said Tom Putnam, chairman of Fenimore Asset Management.
“In general, I see the economy stable but not improving.”
A fair segment of local retail stores did well in 2009. Ms. Rutt pointed to restaurants in Middleburgh, where the Chamber has its new office, and Dr. Myers noted Grapevine Farms, The Apple Barrel and The Studio for Art and Craft.
It’s those businesses and others, Dr. Myers said, “that anticipate needs and trends and are able to adapt.”
With his wife Jacqui Hauser, Brian Kaiser owns The Studio for Art and Craft. He also works at SUNY Cobleskill and is president of Cobleskill Partnership Inc., the downtown business improvement group.
He believes The Studio, which opened a little more than a year ago, did well because “people are still looking for ‘shop-local’ opportunities” and haven’t severely cut their entertainment budgets.
But while he said that other sectors of the economy are struggling, Mr. Kaiser agreed that the county’s weathered the recession fairly well.
The county’s economic disaster came early in the decade, when Guilford Mills and Storyhouse closed.
“We’ve had our recession,” Mr. Kaiser said. “We’ve had that experience.”
Still, all agreed the local economy needs fixing. If the retail sector is mixed, agriculture is in crisis mode.
“I don’t think the economy of Schoharie County––and all of Upstate New York, for that matter––will thrive till we solve the whole farming issue, and not just dairy farming,” Dr. Myers said.
“Farming needs to be viable, and farmers need to get a decent dollar for what they produce.”
Assemblyman Pete Lopez agreed, adding that he’s not convinced those in power realize the trouble farmers and others are in.
“Until we get dairy back on track, manufacturing back on our soil, renewable energy in place, I’m not sure we’re going to be out of the woods,” Assemblyman Lopez said.
“And I’m not sure those things are universally embraced.”
In other words, Assemblyman Lopez is afraid Albany and others haven’t learned a lesson from the most severe recession in 70 years.
Winnie Nelson, Schoharie County Farm Bureau president, said that while some in agriculture are finding niches, it will be a long time before the dairy industry recovers.
“They’re not meeting expenses, let alone making enough to live on,” Ms. Nelson said. “Even our long-established farmers who’ve made wise decisions are losing money. It’s really beyond their control. I’m not sure how long it’s going to take to come back from that.”
Like Assemblyman Lopez, Earl Van Wormer, chairman of the Schoharie County Board of Supervisors, called himself “cautiously optimistic.”
“The local economy hasn’t been super-great in a while,” Mr. VanWormer said in reference to unemployment numbers, “but talking to local business people, they’re starting to get orders in.
“There are some bright spots—like Mesa Technologies and Stella McKenna’s project. Still, I think it’s going to take longer to get out of this hole than people think. And unless New York State figures out how to become a lot more business-friendly, it’s going to take a lot longer.”
Both Mr. Putnam and Mr. Kaiser were more hopeful––assuming efforts were stepped up. They pointed to attempts to sell or fill the former Guilford Mills plant in Cobleskill.
“Look how long it’s taken to replace that large business,” Mr. Putnam said. “I would think someone would be interested in it, but that takes some real marketing skill.”
Mr. Kaiser agreed, arguing that the county has a labor force and space but needs a sharper focus on marketing.
Such a focus may come with Cobleskill’s new mayor, Mark Nadeau, whom Mr. Kaiser said appears more willing to put time and energy into making the Village of Cobleskill more attractive to businesses.
Also, Mr. Kaiser said, the college is investing in a variety of improvements.
Those factors can only help, he added.
“I’m cautiously optimistic,” Mr. Kaiser said. “Infrastructure improvements and more focused efforts on marketing and economic development will ultimately draw more attention. That’s what we need.”