Business Magazine - January 2020

J a n u a r y2 0 2 0

VOL. XXXIII NO. 1 | JANUARY 2020

PA CYBER CELEBRATES 20 YEARS OF ONLINE LEARNING

SPECIAL SECTION:

MBA RECOGNIZES MEMBERS’ MAJOR MILESTONES IN 2020

SPOTLIGHT Q&A:

ERIE CEMETERY ASSOCIATION MARKS 170TH ANNIVERSARY

GET TRAINED @ THE MBA NEW YEAR . . .

NEW RESOLUTION! 65 Training Programs  MBA CERTIFICATION PROGRAMS  LEADERSHIP SKILLS  COMPUTER  HUMAN RESOURCES  SAFETY  QUALITY  MARKETING ... AND MORE!

Harness the true potential of your workforce!

Register today @ mbausa.org

FEATURES FEATURE STORY | WHAT’S INSIDE

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New Year, New Decade 2020 brings new opportunities.

SPOTLIGHT Q&A | MILESTONE

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J. Clarke Kuebler, general manager of the Erie Cemetery Association (ECA), discusses the rich history and current operation of ECA, as well as its 170th anniversary in 2020.

COVER STORY | LOCAL PROFILE

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DEPARTMENTS

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BUSINESS BUZZ

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PEOPLE BUZZ

WHAT’S NEW

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LEGAL Q&A

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HR CONNECTION

EDITORIAL

SPECIAL SECTION & EXTRAS 21 EVENTS See photo coverage of the

AWARDS AND PROMOTIONS

LEGAL BRIEF | RESOURCES

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Association’s Economic Outlook IMPACT Series Luncheon on December 12 in Erie.

GET ANSWERS

WORKPLACE TRENDS

Executive Editor Karen Torres ktorres@mbausa.org

Photography Casey Naylon iStockPhoto.com

Contributing Writers Guy Berkebile William Speros

Design, Production & Printing Printing Concepts Inc. printcon@erie.net

PA Cyber Learn how PA Cyber, which serves students in K-12, has become one of the largest, most experienced online schools in the nation as it celebrates its 20th year with its graduating class of 2020.

How to keep it “human” when it comes to outsourcing human resources.

William S. Speros

SPECIAL SECTION | MEMBERSHIP

18 READ ON THE GO! For the most current Business Magazine updates, visit mbabizmag.com

Happy anniversary! Join us in celebrating the hundreds of MBA members that are celebrating milestone anniversaries this year.

ON THE HILL | REGULATIONS

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Advertising Sales Frank Mehler 814/833-3200 fmehler@mbausa.org

Guest contributor Guy Berkebile of Guy Chemical Company Inc. in Somerset, Pennsylvania, shares how the federal Tax Cuts and Jobs Act has benefited his operation and his workforce.

David Thornburg 814/833-3200 dthornburg@mbausa.org

On the Cover: With the 2020 graduating class, PA Cyber is celebrating 20 years of serving and educating students from kindergarten through 12th grade. See page 6 to learn more.

Mission Statement: The Manufacturer & Business

Association is dedicated to providing information and services to its members that will assist them in the pursuit of their business and community interests. – Board of Governors

Manufacturer & Business Association 2171 West 38th Street | Erie, Pa. 16508 814/833-3200 or 800/815-2660 www.mbausa.org

© Copyright 2020 by the Manufacturer & Business Association. All rights reserved. Reproduction or use of editorial, pictorial or advertisements created for use in the Business Magazine, in any manner, without written permission from the publisher, is prohibited. Unsolicited manuscripts cannot be returned unless accompanied by a properly addressed envelope bearing sufficient postage. The magazine accepts no responsibility for unsolicited manuscripts or artwork. The Business Magazine and Manufacturer & Business Association do not specifically endorse any of the products or practices described in the magazine. The Business Magazine is published monthly by the Manufacturer & Business Association, 2171 West 38th Street, Erie, Pa. 16508. Phone: 814/833-3200 or 800/815-2660.

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Boetger Retirement Plan Services

Independent Retirement Plan Services to empower you to provide your employees the most competitive Retirement Plan with low cost funds and the investment manager of your choice.

Beneflex-Erie

Independent Flexible Spending Accounts, Health Reimbursement Arrangements and Health Savings Accounts to empower you to choose the health insurance product and consultant of your choice.

Visit us on the Erie Bayfront

“It has been a pleasure working with you and your staff through the years – more so than any Company I’ve dealt with during my 54 year tenure.”

25-year retiring client

3 Holland Street Erie, PA 16507 (814) 455-4550 www.boetger.com www.beneflex-erie.com

Offering a full range of innovative water management treatments, ProChemTech can create the perfect water treatment system for your unique facility.

CONTACT US Visit our website to learn more.

We are your local Pennsylvania-based water treatment experts.

Call: 814-265-0959 Email: Prochem@Prochemtech.com Website: www.prochemtech.com

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Our patented water treatment technology reduces cooling tower water use, utility costs, reduces maintenance demands, and is environmentally friendly.

FEATURE STORY | WHAT’S INSIDE

A New Year, A New Decade 2020 BRINGS NEW OPPORTUNITIES Happy New Year! 2020 brings with it not only a new year, but also a new decade of opportunities. For employers, the new year offers a fresh start to examine the emerging trends that can profoundly impact their operations and growth potential.

In fact, when it comes to workforce trends, an article by the recruiting firm Prospects finds several key areas for employers to focus on in the new year, from artificial intelligence and the employee experience to team development and mentorship, just to name a few.

1. Artificial intelligence. According to Prospects, “Instead of focusing on what jobs robots can take over from us, companies must look into ways the two forces can work as one, which allows professionals to conduct their work more efficiently and productively. This would help accelerate the speed at which simple tasks can be completed and allow companies to streamline them, so that employees can focus on more complex projects.”

2. The employee experience.

According to Prospects, employers can enhance the employee experience with flexibility (such as work schedules and remote offices) to improve retention. “By integrating a people-centric culture and positive values,” the report states, “companies can expect to better recruit and retain the best talents in the job market.”

3. Team development. According to researchers, “companies are looking to train employees to collaborate effectively with team members and learn to contribute to projects

based on a group perspective … .

This will help organizations to be more effective and productive in innovating and adapting to everevolving business landscapes.”

4. Mentorship. According to Deloitte’s 2016 Millennial Survey, 68 percent of employees who intend to stay with their company for more than five years are twice as likely to have a mentor — a key trend to longterm retention.

In this edition of the Business Magazine, we’ll showcase the organizations that are successfully navigating the complex business world and celebrating milestone anniversaries in the new decade, such as PA Cyber, which is marking its 20th year with its graduating class of 2020.

In this month’s Spotlight Q&A, we’ll also hear from J. Clarke Kuebler of the Erie Cemetery Association on the

organization’s rich history as it marks 170 years.

Plus, don’t miss our special section dedicated to the Manufacturer & Business Association (MBA), which is celebrating its 115th anniversary, and its hundreds of members that are marking milestone anniversaries in 2020. These organizations are recognized for their longevity, leadership and entrepreneurial spirit as they move their operations forward.

Congratulations!

To learn more about ways the MBA can help your business succeed, visit www.mbausa.org!

FOCUS ON SUCCESS!

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For seven generations past, and for all the future, we remain committed to being a trusted part of Erie’s rich history and tradition.

Three locations to serve your family: Erie Cemetery 2116 Chestnut St. Erie, PA 16502 814-459-2463

Laurel Hill Cemetery 4523 Love Rd. Erie, PA 16506 814-833-4401

Wintergreen Gorge Cemetery 2601 Norcross Rd. Erie, PA 16510 814-825-5530

www.ErieCemeteryAssoc.com

We are a family owned heavy highway construction company specializing in asphalt paving, excavation, site development, demolition and sanitary/storm sewer installation work for various state, county and city municipalities. We also perform this specialized work for numerous commercial developments and local companies throughout Erie County.

3340 Pearl Avenue • Erie, PA 16510 Phone: (814) 899-3111 www.jmccormickconstruction.com

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SPOTLIGHT Q&A| MILESTONE

Erie Cemetery Association Marks 170th Anniversary When it comes to longevity in business, look no further than your local cemetery. To maintain one involves not only investment, manpower and maintenance, but also eternal commitment.

Here, J. Clarke Kuebler, general manager of the Erie Cemetery Association (ECA), discusses the rich history and current operation of ECA, as well as its 170th anniversary in 2020.

The Erie Cemetery Association has been in operation since 1850. How did ECA get its start?

In the late 1840s, a group of Erie businessmen saw that the downtown churchyard cemeteries were full, and cemetery care wasn’t a priority for the churches. The group formed a corporation; each member contributed funds to purchase the land now known as Erie Cemetery. The grounds were consecrated in a multi-faith ceremony in the spring of 1851, shortly before the first interment. In 1932, the Corporators opened Wintergreen Gorge Cemetery as an extension of Erie Cemetery, and in 1970, they purchased Laurel Hill Cemetery.

Our Corporators’ vision is one that still serves us well: we remain not-for-profit, non-sectarian and non-denominational, and serve our entire community.

What does it mean to you for ECA to mark 170 years of operation this year?

170 continuous years of caring for Erie’s deceased and their loved ones is a very proud accomplishment; however, 170 years is just a beginning. The service we provide is for perpetuity. There is a lot of responsibility that comes with “perpetuity,” and we take it very seriously.

Every decision we make is guided by the weight of that commitment. Long after each cemetery has completed the last

burial service, our job is to continue to care for all the people interred in our cemeteries, from the founding pioneers who settled and built Erie, to the very last person interred.

Tell us about ECA’s operation today, including total employees and the three area cemeteries it includes.

We currently have 24 full-time and temporary employees working at Erie, Laurel Hill and Wintergreen Gorge Cemeteries. Each year, we assist 600 to 700 grieving families care for a loved one who has passed. We complete approximately 300 cremations each year. We manage and maintain 150 acres throughout all four seasons. We remove and replace numerous trees and plant over 1,350 flowers each spring.

We maintain a fleet of 13 vehicles and numerous pieces of ground equipment.

Finally, we maintain and plow miles of paved roadways.

How has the cemetery business changed since you started?

Like any business, change is inevitable, so too in this profession. We are in the midst of the most significant change right now. The number of individuals choosing cremation is rising, and the needs of the families we serve are changing. We watch the burial trends throughout our region and country very carefully to meet

the changing needs. We monitor our costs closely to remain as economical as possible, while still providing beautiful grounds, respectful services to everyone in our community and a responsibility for the financial wellness of the Association.

This is requiring greater flexibility on our part and a willingness to change to this new model.

What are some plans for ECA in the future?

Our commitment is to encourage people to Celebrate Life Through Remembrance, which is key to the events we plan for the future.

We’re very excited about the launch of the Friends of the Erie Cemetery, a nonprofit created to fill the gap between what’s possible for us to accomplish within our charter, and projects that will preserve the cemeteries historically and aesthetically.

We are also planning non-traditional cemetery activities such as walking tours, carriage rides, and visits from Audubon and arboretum groups, to encourage an understanding and appreciation of what the cemeteries provide for our community.

Visit www.eriecemeteryassoc.com to learn more.

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COVER STORY | LOCAL PROFILE

PA Cyber Celebrates 20 Years of Online Learning Founded in 2000, PA Cyber is headquartered in Midland (Beaver County) and maintains an active network of nine regional offices throughout Pennsylvania. As a public school, the Pennsylvania Cyber Charter School is open for enrollment to any school-age child residing in the Commonwealth of Pennsylvania and does not charge tuition to students or families.

With the 2020 graduating class, PA Cyber is celebrating 20 years of serving and educating students from kindergarten through 12th grade.

“PA Cyber’s online learning environments, personalized instructional methods and choices of curricula connect more than 10,000 Pennsylvania students and their families with highly qualified, state-certified teachers,” says Chief Executive Officer Brian Hayden. “Featuring rich academic content (fully aligned with PA state standards), PA Cyber stands proud of the quality educational opportunities provided to a growing and diverse student population over the past two decades.”

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For a number of reasons, children thrive in PA Cyber’s charter school setting. Similar to traditional public schools, parental support and family involvement remain necessary for any student’s academic success. Coupled with engaging teachers and support staff, PA Cyber’s innovative learning model allows faculty members to use a variety of strategies and robust, evolving curricula to create an individualized education program designed to enrich the online learning experience.

More Than Just Cyber

In addition to its robust online offerings, PA Cyber has established nine office locations throughout Pennsylvania offering resources and support for PA students and families.

“Our regional offices present family and studentcentered activities and programs designed to enrich, enhance, and extend the learning experience,” says Hayden. Activities include: • Orientation Sessions: Orientations are designed to give students and parents the information, training and

support for a strong and successful start at PA Cyber.

Topics include proper set up of equipment, accessing curriculum, navigating courses, and completing and submitting assignments.

Students and families can schedule an onsite orientation session at any of PA Cyber’s regional office locations by contacting their academic adviser.

• Academic Enrichment: Throughout the school year, each of PA Cyber’s regional offices presents a variety of enrichment opportunities. These activities include guidance workshops, career exploration opportunities, STEM programs, book fairs and more.

These activities serve as an engaging way for students to dig deeper into their learning and personal interests while also connecting and collaborating with teachers and peers.

• ArtReach: A joint project with the Lincoln Park Performing Arts Center, ArtReach presents classes and other experiences in the creative and performing arts to PA Cyber students. These include both online and inperson workshops, classes, seminars, performances, and other special presentations in music, theatre, dance, creative writing and the visual arts.

• Social Activities: Learning is a social activity that depends upon both personal and civic engagement.

PA Cyber students and families are part of a true community of learning and are invited to participate in a variety of activities intended to forge local, regional and even statewide connections. These include field trips, movie days, arts and crafts, board games, seasonal parties, open houses and so much more.

The Typical Student Does Not Exist

PA Cyber offers a modern curriculum balancing fine and performing arts with a wealth of other programs, such as STEM (science, technology, engineering and mathematics) courses. Through the Writing Lab, teachers provide

interactive feedback to help students understand specific areas for improvement while heightening the students’ confidence. The PA Cyber library, which is always open, includes e-books, videos, guides and physical resources. In addition, there are chapters of National Junior Honor Society and National Honor Society and other clubs that fulfill a variety of specific interests.

PA Cyber’s Family Link is an outreach program that offers families the chance to connect through field trips and local parent-planned activities. These events broaden and enrich the cyber school experience by creating an important social network for PA Cyber students and their families.

“Students enjoy opportunities to spend time with classmates who share their interests. Parents gain the chance to talk and share ideas with other parents who respect and understand their educational choice,” says Hayden. “Family Link members are also given opt-in access to a secure, online directory of other members’ names, PA Cyber email addresses, grade levels and geographic regions.” This unique directory helps families connect and communicate with others to foster support, enhance learning and create lasting friendships.

A Future Full of History to be Made

The first PA Cyber graduating class in 2001 boasted just 16 students. However, two decades later, there have been more than 11,000 proud PA Cyber graduates. The Class of 2020 is poised to have more than 1,200 graduates receiving their very own PA Cyber diplomas. So much has changed since that first class in 2000 with so much more to come.

“PA Cyber has grown and matured with its students becoming one of the largest, most experienced and successful online public schools in the nation,” says Hayden. “In fact, it could be the perfect environment for your children to blossom.”

For more information, visit pacyber.org.

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Healthcare • Education • Institutional • Retail • Hospitality • Industrial • Concrete

The Austin Difference

Contractors & Construction Managers Since 1906 814.454.7147 www.eeaustin.com

EE Austin & Son offers a dynamic management team committed to providing construction excellence. Austin is the leading regional general contractor and construction management firm...and has been delivering for its clients since 1906.

EE Austin & Son remains steadfast in its century old promise to...

“Do the right thing...all the time.”

It’s the Austin Difference.

Celebrating

Lighting the Flame of Quality and Excellence Worldwide Since 1980, H & H Machined Products has built a reputation for quality and excellence in the manufacturing of precision component parts for original equipment manufacturers in the energy, medical, electronics, plastics, transportation, and industrial equipment industries.

Then & Now

2540 Manchester Road • Erie, PA 16506-1042 Phone: (814) 838-6801 • Fax: (814) 838-2940 www.hhmach.com

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Celebrating

25

This coming year, the expERIEnce Children’s Museum (ECM) will be celebrating 25 years of providing enriching and engaging learning experiences to children and families across the region.

Since opening in 1995, the Children’s Museum has grown into a significant community asset annually receiving 64,000 visits and engaging 4,000 field trip students and 15,000 children and families through the Mobile Museum and reduced-admissions Museums of All program.

While a lot has changed in 25 years, one thing has remained the same — its commitment to provide all children with hands-on exhibits and programs that inspire life-long learning, support early childhood development and prepare children for future success.

The ECM is the only facility of its kind within a 100-mile radius of Erie, PA where children, families and their schools come together to explore, imagine and ignite a passion for learning through the lens of STEAM. In addition to STEAM knowledge, the Children’s Museum is often the first experience young children have learning about our community and the world through culture, health and history.

The mission of the Children’s Museum is to provide a safe, family-centered educational experience that inspires creativity, exploration and imagination through play, interactive exhibits and innovative programming.

Brief History The Children’s Museum was founded in 1993, as a community project of the Junior League of Erie.

The Junior League’s commitment to a Children’s Museum was sparked by the popularity of its children’s interactive touring art exhibit.

During the early 1990s, the Junior League embarked on fundraising and the cultivation of partnerships with community stakeholders. A key benefactor relationship was established with the Erie Insurance Group through its gift of the Boston Store Livery and Garage building located on 420 French Street.

After extensive renovation, the 1906 historic livery building officially opened as the expERIEnce Children’s Museum on July 8, 1995. When first opened, the Children’s Museum contained many popular multigenerational exhibit experiences including the Grocery Store, Bubble Machine and Recycle Michael.

The Children’s Museum completed its first major renovation of the lower level with new exhibits featuring the concept of “creativity” in late 2012. The following year, Old Town opened, which today provides a rich imaginative play environment of the Doctor’s Office, Bank and Pizza Shop. In 2014, the Children’s Museum made building improvements by renovating and updating the beloved Grocery Store now called the Wegmans Kids Market, adding the Paint with Water exhibit, and opening its first exhibit dedicated to early childhood development.

In 2015, The Children’s Museum expanded beyond its walls to schools and community sites and events throughout the region with the Play to Learn Mobile Museum initiative and the installation of Discovery Corner, its first outdoor exhibit. Discovery Corner is now a nationally certified outdoor classroom, the first in Northwestern Pennsylvania.

For the past 5 years, the Children’s Museum has experienced significant growth including a 100% increase in annual attendance (64,000 visits) and 400% increase in membership (1,400 families). This growth in community usage has maxed out the Museum’s space and capacity to grow its programs and outreach.

Years

Nonprofit Snapshot expERIEnce Children’s Museum The expERIEnce Children’s Museum is a place that has been inspiring creativity and imagination in children for 25 years.

The museum is a nonprofit organization located in the historic cultural district of downtown Erie whose entire mission is to engage children and families in a fun and educational experience and is committed to educating children across a broad range of topics including math, science, art, culture, literacy and health.

420 French Street Erie, PA 16507 Phone: 814/453-3743

eriechildrensmuseum.org

Plans for the new Children’s Museum were unveiled in November 2019 and the Full Steam Ahead Capital Campaign was announced. The $15 million project will double the museum’s current size and triple the number of hands-on exhibits. The new Museum will be built at the museum’s current location, 420 French Street, and will feature exhibits that highlight our community including Lake Life, the Culture Bistro and My Erie. Once completed, the projected annual attendance will increase to nearly 100,000 and will increase the museum’s capacity to serve children through fourth grade.

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s r a e Y 0 4 g n i t a r b e l Ce As an accomplished sociologist and researcher, Dr. Joyce A. Miller established KeyStone Research Corporation (KSRC) in 1980, to provide clients with expertise in evaluation research and social policy expertise by utilizing her skills and experience in developing, implementing and evaluating social service systems.

As companies have worked to understand and master the concepts of quality and continuous improvement in manufacturing and supply chain management, Dr. Miller has designed methodologies that help those same organizations, as well as those working in the service sector, apply continuous improvement practices to the areas of organizational development and customer satisfaction.

In 2020, KeyStone Research Corporation is proud to celebrate its 40th anniversary. Under Dr. Miller’s leadership, KSRC professionals work in partnership with public and private organizations to increase their knowledge and understanding of issues facing their industries and stakeholders, assist in program and system design, evaluate results and assist in the development of strategies for quality improvements, and provide guidance on the design and implementation of organizational transformation strategies.

KSRC provides these services to our clients through three Centers of Excellence: Center for Organizational Assessment and Research – Applied Social Science Research – Program Evaluation – Organizational Assessments

3823 West 12th Street Erie, PA 16505 www.ksrc.biz

Center for Organizational Transformation and Innovation – Process Design and Implementation – Performance Improvement – Program Management – Business Services

Center for Organizational Learning and Leadership – Organizational Development Consulting and Technical Assistance – Training and Education

KSRC has extensive experience in applied social science and evaluation research: • Child Care (improving quality of care and addressing workforce issues) • Aging (health care and other social service needs) • Health Care Delivery Systems (geriatric health centers, managed care organizations and geriatric health care) • Educational Reform (sex equity programs, nutrition education programs, early childhood education and school readiness) • Juvenile Justice (aftercare programs for juvenile delinquents and prevention programming) • Organizational Development (creation of standards-based assessment tools, customer satisfaction surveys, feasibility studies, needs assessments and focus groups) For more information or to learn how KSRC may help your organization evolve to meet the challenges of technology, changing legislation and market expectations, please call us at 814-836-9295.

Celebrating

75 Years

Greenleaf Corporation is a leading supplier of industrial cutting tools, specializing in the manufacturing of high-performance tungsten carbide and ceramic grade inserts and innovative toolholding systems. Greenleaf continues to build on 75 years of innovation and the legacy established by its founder Walter J. Greenleaf Sr., which centers on supplying customers with productive solutions to every metal-cutting situation.

The corporation traces its roots back to the early 1940s when Walter J. Greenleaf Sr. sold tungsten carbide tooling systems to the steel industry in Western Pennsylvania. Greenleaf Corporation was formed in 1945 and began marketing a diverse line or products for the machine tool industry.

Greenleaf Corporation moved into manufacturing in 1960. In 1969, Greenleaf was the first to introduce CVD-coated carbide inserts to the U.S. marketplace.

Over the next 44 years Greenleaf grew in market share through the development of its technological capabilities and product line. Walter J. Greenleaf Jr. assumed the presidency from his father in 1968, continuing the family legacy of innovation and excellence in manufacturing.

Greenleaf capitalized on its reputable line of carbide products by engineering innovations in the areas of ceramics, ceramic composites, and custom-designed toolholding systems. Greenleaf’s introduction of WG-300®, a whisker-reinforced ceramic insert, which is recognized as one of the most significant advancements in the history of cutting tools, enabled companies to reach previously unachievable machining speeds.

Greenleaf is a world leader in technical ceramic materials for medical, aerospace and electronic

applications. The company manufactures ceramic components that work where exotic metals, carbides and traditional ceramics do not perform well. Greenleaf produces these ceramic material solutions to specific customer requirements utilizing high-quality raw materials and an extensive array of capable production processes.

Under the guidance of James M. Greenleaf since 1994, the company sells and distributes its product lines in more than 60 countries.

Currently, Greenleaf services its global customer base from a number of locations.

Greenleaf’s corporate James Greenleaf, President headquarters in Saegertown, Greenleaf Corporation Pennsylvania and a facility in North Carolina are the mainstays of pioneering breakthroughs in cutting tool technology and manufacturing. On the global front, award-winning customer service and technical support is also achieved through offices in the United States, Europe, and China.

Company Snapshot Greenleaf Corporation Greenleaf Corporation is a leading supplier of industrial cutting tools, specializing in the manufacturing of high-performance tungsten carbide and ceramic grade inserts and innovative toolholding systems.

18695 Greenleaf Drive Saegertown, PA 16433 Phone: 814/763-2915

greenleafcorporation.com

Today, Greenleaf Corporation is positioned to serve the evolving needs of companies in major industries, including aerospace, automotive, bearings, machine tool, and rail, among others. Greenleaf’s products are engineered to provide optimal performance against a wide range of materials under the most rigorous metal-cutting conditions. In addition to a comprehensive line of carbide inserts, Greenleaf offers high-quality ceramic and ceramic-composite materials, which can be custom designed for specific machining applications.

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BUSINESS BUZZ | WHAT’S NEW WABTEC CELEBRATES 150 YEARS OF REDEFINING TRANSPORTATION INDUSTRY

Wabtec Corporation (NYSE: WAB), a high-tech supplier for the freight and transit rail industries, celebrated 150 years of innovation and the grand opening of its new headquarters in Pittsburgh this past fall.

The American Society of Mechanical Engineers (ASME) recognized the significance of Westinghouse’s air brake to society with a Historic Mechanical Engineering Landmark designation. The Westinghouse air brake joins an exclusive collection of 273 artifacts from around the world that have been designated historic mechanical engineering landmarks, heritage collections or heritage sites. The ASME History and Heritage Committee selects these artifacts based on their engineering attributes, role in the evolution of the mechanical engineering profession, and significance to society in general.

As part of its 150th-anniversary celebration, Wabtec also celebrated its new, state-of-the-art offices in the heart of Pittsburgh’s North Shore community. The office will house roughly 250 employees and play a critical role in accelerating the future of transportation.

For more information, visit www.WabtecCorp.com.

1895 1895 1895

125 YEARS 125 YEARS 125 YEARS

Photo courtesy of Wabtec

The company’s origins began in Western Pennsylvania with founder George Westinghouse Jr.’s invention of the automatic air brake — a breakthrough that redefined the transportation industry and saved lives.

Wabtec recently celebrated its 150th anniversary and opening of its new headquarters in Pittsburgh this past fall.

ERIE INSURANCE RANKED AMONG BEST RENTERS INSURANCE COMPANIES

In the guide, ERIE was recognized for its competitive pricing, A+ financial strength rating from A.M. Best and policy features such as personal property coverage, loss-of-use coverage, personal liability and guest medical coverage.

U.S. News’ 360 Reviews guide features in-depth information for consumers on choosing a renters insurance company and covers a range of topics, from the amount of insurance consumers might need to available discounts and coverage options.

U.S. News evaluated renters insurance companies in 2019 based on what is important to consumers, including cost and coverage limits features.

Erie Insurance has been recognized as a Best Renters Insurance Company of 2019 by U.S. News & World Report.

For more information, visit www.erieinsurance.com.

2020 2020 2020

Creating li felong learners, one child at a time Creating li felong learners, one child at a time Early C rProviding e a t i n g lQuality i felong l e aCare r n e r&s ,Education o n e c h i lPrograms: d at a time  6 locations in Erie County Providing Quality Early Care & Education Programs: Providing Early Care & Education Programs:  Ages 6Quality weeks - 12County years 6 locations in Erie Pre-K Counts  6 locations in Erie County Ages 6 weeks - 12 years DHS  Ages 6Counts weeks - 12 years Pre-Klicensed Keystone STARS  Pre-K Counts DHS licensed Infant/Toddler Contracted Slots  DHS licensed Keystone STARS  Summer Programs Keystone STARS Infant/Toddler Contracted Slots  Infant/Toddler Contracted Slots Summer Programs 814-874-0144  Summer Programs www.earlyconnectionserie.org facebook.com/earlyconnectionsinc 814-874-0144 www.earlyconnectionserie.org 814-874-0144 www.earlyconnectionserie.org facebook.com/earlyconnectionsinc Early Connections, formerly the YWCA of Erie, proudly continues our facebook.com/earlyconnectionsinc mission of supporting the success of young children and their families through Early Connections, formerly the YWCA of Erie, proudly continues our leadership, advocacy, and quality programs in early care and education. mission of Connections, supporting the successthe of young and their families our through Early formerly YWCA children of Erie, proudly continues leadership, advocacy, quality programs in early education. mission of supporting theand success of young children andcare theirand families through leadership, advocacy, and quality programs in early care and education.

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Automated concepts & tooling (814) 796-6302 www.acat.us.com HI SPEED SMALL PART ASSEMBLY MACHINES, ROBOTICS, PRECISION MACHINING AND PRODUCTION MACHINING

SPEROS JOINS THE LAW FIRM OF MACDONALD ILLIG ATTORNEYS

The law firm of MacDonald Illig Attorneys recently announced that Attorney Bill Speros has joined the firm.

Speros is a member of the Firm’s Business Transactions, Litigation, and Government Services practice groups.

He received his Juris Doctor degree with High Honors from The George Washington University Law School in 2006. After law school, Speros practiced in Washington, D.C. with two international law firms in the areas of contract negotiation and litigation, corporate compliance and investigations, business acquisitions and international trade.

Since returning to Erie in 2014, he has worked at a global Fortune 250 human capital management company as senior in-house counsel. Prior to law school, Speros served as an officer and pilot in the U.S. Air Force. He is a graduate of the U.S. Air Force Academy and a decorated veteran of several combat and humanitarian operations, including the Kosovo Campaign and the wars in Iraq and Afghanistan.

MacDonald Illig Attorneys is one of the largest law firms in northwest Pennsylvania.

Contact Norm Zymm at 814/833-3200, 800/815-2660 or nzymm@mbausa.org to book your next meeting or event today!

PEOPLE BUZZ | AWARDS AND PROMOTIONS

ERIE INSURANCE ANNOUNCES RECENT APPOINTMENTS

ERIE INDEMNITY NAMES BOLASH SENIOR VP, GENERAL COUNSEL

Erie Insurance has named Christine Lucas as regional vice president of underwriting for the company’s west region.

Lucas succeeds David Freeman, who retired.

Lucas joined Erie Insurance in 1991 as an underwriter and advanced to roles in management and leadership, most recently serving as vice president and commercial product manager. She is also a recognized expert on cyber insurance and has served on a U.S. Department of the Treasury committee and an A.M. Best panel focused on this evolving topic.

Additionally, Erie Insurance named Karen Rugare to the position of vice president of customer service operations and strategy.

As general counsel, Bolash will serve as the company’s chief legal officer, overseeing the company’s Law Division, Internal Audit and Corporate Legal Department. Bolash will also continue to serve as ERIE’s corporate secretary and join the company’s Executive Council. As corporate secretary, Bolash serves as a key liaison to the Board of Directors and manages the Board’s operations.

The appointment followed the retirement of the Honorable Sean McLaughlin as ERIE’s general counsel in December 2018.

Rugare began her career at ERIE 20 years ago as a media and government relations specialist. She was promoted to the sales and agency division as promotions supervisor and later to assistant vice president and marketing department manager. She is now the vice president of agency and product marketing in the sales and marketing division.

Featured

Erie Indemnity Company (NASDAQ: ERIE) recently announced that Brian W. Bolash has been appointed senior vice president and general counsel for the company and the affiliated companies of the Erie Insurance Group. Bolash previously served as vice president, corporate secretary and senior counsel.

: Board o

Bolash joined ERIE in 2000 as associate general counsel and later assumed additional duties as assistant corporate secretary. Prior to joining ERIE, Bolash was in private practice for 10 years. He began his legal career with MacDonald Illig Attorneys in Erie, Pennsylvania.

f Govern

ors Room

mbabizmag.com • JANUARY 2020

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IT’S TRUE. {YOUR} TIME IS MONEY. HR/LEGAL HELP IS HERE Human resources is a critical component of every business. Yet if you’re like most small-to-mid size companies with limited staff and resources – you spend more time putting out internal fires than solving your customers’ problems, expanding value and improving performance to bolster your bottom line.

MBA HR & Legal Team

PART-TIME, ALL-THE-TIME, ANYTIME HR/LEGAL HELP IS HERE.

Tammy Lamary-Toman, JD, PHR, SHRM-CP

Whether you need assistance on a complex short-term project or a little help week-to-week, our certified-HR consultants and labor and employment law attorney are ready to help put time back on your side!

Part-time Human Resource Services Include: • Employee Relations • Recruitment/New Hire Process • Termination & Employee Separation • Benefit Administration • Employment Law Compliance • Recordkeeping Compliance • Unemployment Compensation • Developing Policies & Procedures • Employee Performance Measurement • Workers’ Compensation • Workplace Harassment Training

Call: 800/815-2660, 814/833-3200  Visit: www.mbausa.org

Vice President/Employment Counsel ttoman@mbausa.org

Stacey Bruce, SPHR, SHRM-SCP Director of Human Resources sbruce@mbausa.org Robyn Hopper, aPHR Human Resource Consultant and Trainer rhopper@mbausa.org Rose Bruno, PHR, SHRM-CP Human Resource Consultant rbruno@mbausa.org

LEGAL BRIEF | RESOURCES

Keeping It ‘Human’ When Outsourcing Human Resources in. Outsourcing all these concerns to an HCM expert, with support from your legal counsel, can relieve much of the burden.

Further, HCM firms provide an unbiased, third-party expert to handle delicate workplace issues. Managers at every level understand that they must prioritize thorny HR issues such as employee conflicts or hostile workplace allegations. Addressing workplace drama takes precious time away from running the business, especially when it entails a lengthy investigation or administrative discipline. An HCM firm and (if necessary) outside counsel can handle these matters efficiently and discreetly while keeping you compliant with the relevant law.

William S. Speros is a partner at MacDonald Illig Attorneys.

He counsels both commercial and government clients on contract formation and disputes, corporate compliance, business acquisitions, internal and external investigations, and various export control and international trade matters.

Many businesses have taken the leap and outsourced some or all human resources (HR) functions to a human capital management (HCM) firm. Outsourcing HR can greatly benefit your company by giving you the freedom to focus on the big picture while shifting mundane but important day-to-day tasks like payroll and benefits to an HCM provider. But HR addresses your company’s most critical employee-related concerns from “hire to retire,” including background checks, hiring and onboarding, wages, benefits, dependent coverage and pension plans. Before you entrust these vital functions to someone outside your company, it is critical that you carefully

weigh the pros and cons from both a business and legal perspective.

The main benefit is cost savings. Small businesses and start-ups, in particular, can realize significant cost savings by engaging HCM firms on an ad hoc basis rather than hiring a full-time HR professional. Likewise, large businesses may see a significant improvement in workplace productivity when they delegate HR administration to an HCM firm with experts in a wide variety of tasks rather than training in-house personnel to master them all. Moreover, many larger HCM providers offer costeffective, bundled solutions that handle numerous HR functions via cloud-based or web-hosted platforms, providing a onestop, software-as-a-service HR shop.

Another benefit is managing legal risk. It’s not easy keeping up with everchanging compliance requirements in labor and employment laws applicable to HCM. It’s even harder if you operate in highly regulated sectors. Outsourcing health benefits or COBRA administration likely means HIPAA requirements. Along with a government contract comes minimum wage laws in the jurisdictions where your employees work. And if your business employs more than 50 individuals, Family Medical Leave Act and Affordable Care Act compliance requirements kick

But here is the flipside: Outsourcing HR can seemingly take the “human” out of human resources. To some extent, HR would no longer be your co-worker down the hall. Instead, it may be miles away or even in another state. A consequence of this inconvenience may be that your new recruiter or benefits administrator doesn’t know the culture of your business the way you do. More importantly, outsourcing HR may mean that you must hand over the security of your proprietary information to an outsider. HCM firms require your confidential data, such as payroll accounts or employees’ personal health information, to administer certain HR tasks. Outsourcing HR means, to some degree, loss of control.

This is why it is imperative that you do not limit your consideration of outsourced HR to its many pros. You must also properly protect yourself against the business, legal and reputational risks that accompany the cons. Make sure your HCM service agreement effectively covers your interests in the areas of confidentiality, data breaches, customer services, indemnity for third-party claims and resolution of employee disputes, to name a few. Doing so will help ensure that outsourcing HR remains a sound and cost-effective business move that protects your brand, all while retaining as much of the human touch in your workplace as possible.

For more information, contact Bill Speros at 814/870-7764 or wsperos@mijb.com.

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LEGAL Q&A | GET ANSWERS AM I REQUIRED TO PROVIDE SEVERANCE PAY TO TERMINATED EMPLOYEES? Employers are not legally required to provide severance pay to terminated employees unless company policies or employment contracts specify that severance pay will be provided.

Many employers offer severance pay, but in order to receive it, employees must typically sign a document releasing the company from any liability for termination.

Employers should note that providing severance pay to some employees and not others could lead to charges of discrimination and other litigation. A nondiscriminatory, consistent severance policy should be established and followed.

ARE WE ALLOWED TO REQUIRE A DRUG TEST BEFORE MAKING AN EMPLOYMENT OFFER? Generally, yes. Drug and alcohol testing for candidates and employees is regulated at the federal level by the Drug-free Workplace Act (DFWA), the Americans with Disabilities Act (ADA), the Fair Credit Reporting Act (FRCA) and U.S. Department of Transportation regulations.

Many states also regulate workplace drug screening policies. Pre-employment testing must be conducted consistently to either all candidates or just to all candidates in safetysensitive positions.

ARE EMPLOYEES ALLOWED UNCONDITIONAL ACCESS TO THEIR PERSONNEL FILES? Whether or not employees are permitted to access their personnel files is most often determined by state law. The Pennsylvania Inspection of Employment Records Law (PIERL) governs employee access to the records employers must keep. Employers may require employees to submit a written petition to review their files.

Once an employee requests to view, or to have a representative view, his or her employment file, the employer must make the file available within a reasonable time, at a location reasonably close to the employer’s place of business, during regular business hours.

However, employers may require employees to inspect their files during their free time.

Employers may also have an agent present during any personnel file inspection.

Accessing Employee Emails Under the Stored Communications Act Have you unwittingly violated the Stored Communications Act (SCA), a federal law enacted as part of the Electronic Communications Privacy Act of 1986? The SCA establishes a criminal offense for whoever “intentionally accesses, without authorization, a facility through which an electronic communication service is provided.” In other words, the SCA protects the privacy of electronic communications while in electronic storage (for example, emails stored on an electronic server). Under the SCA, violators can be sued criminally and civilly.

As it pertains to employers, the SCA has been interpreted to allow employers to access communications stored on their own wire or electronic communications services (for example, employer-provided email service) so long as the access is authorized under the employer’s own policies, and the employer has a valid business purpose for doing so. That interpretation even applies in situations in which the employee considers such messages to be private. Additionally, even if an employer does not require employees to sign an “electronic communication in the workplace” policy, they still likely have the legal right to read employee email messages transmitted through company email accounts.

But what about situations in which an employee uses a personal email account on an employer-provided device? Typically, in these instances, courts have held that an employer cannot access employees’ private, personal email account communications. Other courts, however, have held that employers may monitor personal email accounts if the employee is using employer-provided technology and has consented in writing to a broad policy that allows for the monitoring of all computer use. Of course, the answer to this developing legal topic will vary court-by-court and state-by-state. In the interim, employers may consider addressing the monitoring of emails on employer-provided devices with the following in mind: • Just because employers are legally allowed to monitor emails in some circumstances does not mean they should, or that it is a best practice. Remember that, in most instances, personal email use on work technology is common and harmless.

• Consider drafting a policy or amending a pre-existing policy notifying employees that their use of the company-provided technology may be monitored and that employees have no expectation of privacy on the employer’s technology.

120 YEARS IN BUSINESS!

HVAC, PLUMBING, SHEETMETAL, INDUSTRIAL PIPING AND HVAC CONTROLS. 1356 East 12th Street Phone: (814) 453-4361 x227 Erie, PA 16503 Fax: (814) 459-0858 Email: scobell@scobell.com www.scobell.com

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• Hold a frank discussion with employees regarding the nature and extent of email monitoring and the reasons for its implementation.

Tammy Lamary-Toman, JD, PHR, SHRM-CP, is vice president and employment counsel at the Manufacturer & Business Association. Contact her at 814/833-3200, 800/815-2660 or ttoman@mbausa.org.

HR CONNECTION | WORKPLACE TRENDS EMPLOYERS EXPECT HEALTH BENEFIT COSTS TO RISE NEARLY 4 PERCENT IN 2020, STUDY FINDS

Health benefit costs will grow by nearly 4 percent in 2020, according to early results from the latest Mercer National Survey of Employer-Sponsored Health Plans. Based on responses from 1,511 U.S. employers, Mercer projects that the average total health benefits cost per employee will rise by 3.9 percent in 2020 .

“While this continues the trend of low single-digit increases that began in 2012, health benefit costs are still rising faster than overall inflation. And with the economy slowing, employers know they can’t afford to be complacent,” said Tracy Watts, Mercer’s National Leader for U.S. Health Policy.

Leadership is Essential to Business Longevity, Success From “The Four Secrets to Longevity in Business” to “Eight Keys to Business Longevity,” there are many great articles to help you on your way to business success, and the MBA’s Business Magazine is full of some of the region’s best examples.

Although longevity “tips” jump on and off these lists, many experts agree there’s another key element to consider when it comes to success — leadership. A person who leads his or her employees to be the best, to achieve personal goals while supporting the company’s goals, and who you want to call “boss,” knowing he or she cares about you as an individual, that is the leader we are talking about!

Where does this type of leader come from? There are some theories on leadership development. First, there are natural born leaders. Then, there is the great events theory, which says people can unexpectedly be plunged into a leadership role. Lastly, there is the transformational theory, which transforms a person into an outstanding leader through training, education and experience.

Effective leadership is certainly a combination of these theories, but here at the MBA, we love the transformational theory the best. Our classes include training and education through in-person discussions with other class attendees who all help each other by sharing their experiences, asking questions and providing lots of great answers to put into action immediately. Whether it’s onsite, where participants interact with co-workers, or in one of our Erie or regional public classes, in which attendees interact with leaders from a variety of industries, the class experience can truly be an eye-opener.

Most successful companies agree that in order to have great leaders they need to identify and encourage emerging leaders and cultivate the relationships and environment to support that. It becomes a huge chunk of what is collectively called a company’s “culture” — personified though all levels of the organization. When everyone shares and supports such a culture, longevity is a good bet!

Early indicators are that cost-shifting to employees will be less of a factor than in recent years, with just 43 percent of responding employers raising deductibles or otherwise cutting benefits to hold down costs in 2020. Since 2014, the underlying medical trend — the amount costs would rise if employers renewed plans without making changes — has cooled from 8 percent to 5 percent, easing some of the pressure to make short-term cost cuts.

RESEARCHERS: 64 PERCENT OF PEOPLE TRUST A ROBOT MORE THAN THEIR MANAGER

The increasing adoption of Artificial Intelligence (AI) at work is having a significant impact on the way employees interact with their managers.

As a result, the traditional role of HR teams and the manager is shifting. According to the second annual AI at Work study conducted by Oracle and Future Workplace: • 64 percent of people would trust a robot more than their manager and half have turned to a robot instead of their manager for advice.

• Workers in India (89 percent) and China (88 percent) are more trusting of robots over their managers, followed by Singapore (83 percent), Brazil (78 percent), Japan (76 percent), UAE (74 percent), Australia/New Zealand (58 percent), U.S. (57 percent), UK (54 percent) and France (56 percent).

• When asked what robots can do better than their managers, survey respondents said robots are better at providing unbiased information (26 percent), maintaining work schedules (34 percent), problem solving (29 percent) and managing a budget (26 percent).

• When asked what managers can do better than robots, workers said the top three tasks were understanding their feelings (45 percent), coaching them (33 percent) and creating a work culture (29 percent).

Lisa DeFilippo is a training specialist at the Manufacturer & Business Association. Contact her at 814/833-3200 or 800/815-2660 or email ldefilippo@mbausa.org.

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As we celebrate our 115th year of continuous operation and service to employers in the region, the Manufacturer & Business Association is proud to recognize and congratulate the hundreds of MBA members that also are celebrating milestone anniversaries in 2020. Thank you for all you do to create economic growth and opportunity in your communities and, on behalf of the MBA, may you enjoy continued success now and in the years to come. Congratulations!

220 Years

165 Years

120 Years

80 Years

Eldred Borough Elk Creek Township Greene Township Municipality Oil Creek Township, Crawford County

Valley Township Supervisors

Bell Township Ehrman’s Allburn Florists Farmers National Bank of Emlenton Lyona Bible Church Scobell Company Inc. Warren County Historical Society Warren General Hospital Zurn Industries, Inc.

Galaxy Federal Credit Union John V. Schultz Company Inc. Limestone Twp. Roy B. Constable Stores Inc. Triangle Gasoline Company

215 Years Millcreek Township School District Springfield Township

160 Years Herbol Insurance Agency Inc. Sisters of St. Joseph of NWPA St. Joseph Parish

155 Years Zion Baptist Church

210 Years Johnsonburg Borough

145 Years

205 Years

Erie County Bar Association Saint Vincent Hospital/AHN

Allegheny College

140 Years

195 Years First Presbyterian Church

B. F. Fields Inc. Moving & Storage Rogers Brothers Corporation The Country Club The Keystone Friction Hinge Co.

Borough of Ridgway Dresser Natural Gas Solutions Greg Borland Memorials Rockdale Township

110 Years

135 Years

105 Years

Ellwood City Forge Episcopal Diocese of Northwestern Pa. Venus Telephone Corporation

Builders Association of Northwestern Pa. Calvary Baptist Church Corry Manufacturing Company Ferrier Hardware, Inc. Greenleaf Corporation Jameson’s Candy, Inc. Penn Beer Company Potter County Conservation District

70 Years

G. J. Miller Auto Supply Klein Plating Works, Inc. The Electric Materials Company

180 Years

Dollar Bank Jamestown Coating Technologies Williamsport/Lycoming Chamber of Comm.

John Cockerill Pleasant Ridge Manor

130 Years

Amthor Steel, Inc. Ervin Amasteel Heffner Brothers O’Leary Dental Group Titan Tool Co., Inc. Watson Memorial Home

B & L Wholesale Supply, Inc. Berkey’s Nursery Erie Animal Hospital Forsyth Drilling Inc. Fugh Refrigeration, Inc. Grand Valley Manufacturing Company Hagan Business Machines, Inc. Kinzua Water Treatment, Inc. Laser Sales Inc. Seifert’s House of Furniture Inc. Sherry Distributors Inc. Titusville Community Development Agencies W. M. Aiken & Son Williams Dental Laboratory Inc.

90 Years

60 Years

190 Years South Shenango Township

185 Years St. Hippolyte & Our Lady of Lourdes

Borough of Union City Knights of St. John Bldg. Association Loyal Christian Benefit Association

170 Years Erie Cemetery Association Youngsville Borough

125 Years Asbury Graphite Mills, Inc. Boys & Girls Club of Erie, Inc. Early Connections, Inc. Erie Press Systems Grace Baptist Church State Line Supply Company

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115 Years

75 Years

JANUARY 2020 • mbabizmag.com

100 Years

A. Servedio Electric Motor Service JLW Ventures Inc. Susquehanna Transit Company Inc. Williams Insurance & Travel

Allegheny Beverage Company Clarion County Broadcasting Corporation Corner Water Supply & Service Corp.

Fairview Township Water & Sewer Auth.

Garnon Truck Equipment, Inc.

International Bakery Penn Tech Federal Credit Union R. Rindfuss Drilling, L.P. RAM Electric Inc. Redbank Valley Municipal Authority Suburban Building Center Inc. Suburban Water Authority Sugarcreek Borough USI Insurance Services, LLC

50 Years 3-H Abrasive Company Action Printing & Business Forms Inc. Advanced Finishing USA Chivers Construction Co., Inc. Conneaut School District Foam Fabricators Inc. Grove Manor Harborcreek Township Sewer Authority Heath Oil, Inc. Kahle’s Kitchens Lamjen, Inc. Midstate Beverage Co. Mountain Laurel Federal Credit Union Ralph S. Alberts Co. Inc. Sil-Base Co., Inc. Skinner Group Inc. Smith, Bertocchi, Arbaugh & Hall, P.C. Summit Township Water Authority The DJB Group Universal Polymer & Rubber, Ltd. Ward’s Landscape Service Inc. Willie’s Smoke House LLC Worthington Municipal Authority

40 Years Allegheny Forestry Inc. Allegheny Tool & Manufacturing Co., Inc. Aries Sprinkler Protection Co. Inc. Bob Ferrando Ford Sales, Inc. Campbell Studios Inc. Chemtech Oilfield Chemicals Chipsco Inc. Family Optical Center Forest Park Enterprises Inc. G. W. Becker, Inc. Gander’s Do-Little Dairy LLC Great American Ventures Inc. H & H Machined Products Co. HAVIN, Inc. Herbstritt Sons Home Improvement Center Hospice of Metropolitan Erie HPM Industries

Integrated Fabrication & Machine Inc. John Koller & Son Inc. Keystone Research Corporation Klaiber Construction KOA Speer Electronics, Inc. L. M. Wander and Sons Landscaping, Inc. Laser Tool Inc. Lawrence C. Scully DMD Long’s Auto Body, Inc. Mid-State Amusement Company, Inc. Richards & Associates P.C. Richlyn Manufacturing Inc. Russo Heating & Cooling Inc. Sara’s Ice Cream Pub, Inc. Scokim Inc. Teamwork Graphics Inc. Thomas Erie, Inc. Valesky’s, Inc. Venango County Humane Society

30 Years American Health & Safety Inc. Armanini, Kolodychak, & Basile, LLP Boetger Retirement Plan Services Community Resources for Independence Consumer Direct Sports Supplies, Inc. DeLullo Trucking Corp.

DJA Inspection Services Inc. Drumheller Creative, Inc. Emmaus Ministries, Inc. Evergreen Contracting Inc. Evergreen Metallurgical Gary K’s Auto Sales, Inc. GeoSource Inc. John A. Romeo and Associates Inc. Johnsons Tire Service, Inc. Joseph R. Kalik, D.O. Koldrock Water’s Inc. Lawrence County Drug & Alcohol Commission M. K. and Associates Inc. MGM General Construction Corporation Miller Overhead Door Company PA Sintered Metals, Inc. Perry Construction Group, Inc. Provider Resources, Inc. Robbins Financial Advisory Service Inc. Simpson Machine Stello Foods, Inc. Steve Lewis Contracting Inc. Supports Inc. Toby Food Group, Inc.

Trans 58 Unlimited Staffing Inc. Velocity Network, Inc. Vicary Insurance Agency Watts and Pepicelli, P.C. Weld-It Construction Co. Woodlands Bank

25 Years Actco Metrology Services Co. Beacon Lubricants Inc. Brockway Area Sewage Authority DieTech Tool & Die, Inc. Dimension Carbide, Inc. Eades Insurance Agency EnTech Plastics Inc. ExpERIEnce Children’s Museum HBKS Wealth Advisors JBM Technologies John M. Gorlowski, M.D. Marino Construction Works Inc. Maxpro Technologies, Inc. Millcreek Community Church Montagna Concrete Construction LLC Oil City Warehouse Mall Oil Valley Internal Medicine Association Palace Business Centres Inc. Penn-Sylvan International Inc. Proclean Unlimited R. Elliott, Inc. Redbank Chevrolet Inc. Rien Construction Company RSJ Enterprises Inc. Seneca Printing Express Inc. The Caring Place Tri County Church of God Troyer Sand & Gravel, LTD USA Choice Internet Vision Tool & Manufacturing Inc. Waterford Precast and Sales Inc. Wise Physical Therapy & Sports Medicine X-Act Technology, Inc.

20 Years 3D Creative Services Inc. Always On Our Own American Molding & Technologies Inc. Arrow Electric Inc. Asbury Woods Partnership Inc. August D’Onofrio Inc. Ball Lawn & Landscape, Inc. C. Carlin Plumbing Inc. Charlton Repair Inc. CJ’s Home Decor & Fireplaces LLC

David James Laird Associates Directional Systems Earthscape, Inc. Falls Creek Powdered Metals Inc. Gallina Inc. Gathagan Investment Co. LP Geometric Design & Technology, Inc. Gonstead Family Chiropractic P.C. International Cartridge Corporation Jacamo Inc. Lake Erie Rubber & Manufacturing Lakeside Auto Sales LaSource Corporation Liberty Pressed Metals, LLC New Wilmington Family Medicine Assoc.

North Coast Plastics Inc. Panache Erie LLC Partners for Performance Pediatric Cardiology of Erie Price Tool, Incorporated Rae-Lyn Enterprises Inc. Ravan Inc. Retirement Services of Erie, L.L.C. Scott William Sanders Targeted Pet Treats Tee Riffik Screen Printing Thermalmax Inc. Unique Sunburst Partners UPMC Hamot Surgery Center, LLC Warrior Run Area Fire Department WestPAnet, Inc. Young’s Hot Tub Sales & Service Center Inc.

10 Years Azule Sky, LLC Bartlett Signs, Inc. Colonial Family Pharmacy KINBER Meadville Urgent Care Physicians LLC Mercer Spring & Wire, LLC North East Hardwoods Inc. Purchase & George PC Seymour’s Garage LLC TECHWORX, LLC Vogt Heating & Cooling Inc. X-Tronix LLC

*Anniversary information is based on member records as of October 2019. We regret any errors or omissions.

Please contact the Manufacturer & Business Association at 814/833-3200 or 800/815-2660 with updated information for inclusion in future publications.

mbabizmag.com • JANUARY 2020

19

ON THE HILL | REGULATIONS

Pro-Growth Policy in the Real World

MBA Members Say Tax Cuts and Jobs Act Helped Increase Revenue, Add Staff and Expand Operations Guy Berkebile is the founder and CEO of Guy Chemical Company Inc. located in Somerset, Pennsylvania.

Editor’s Note: The Manufacturer & Business Association (MBA) is dedicated to advocate for pro-growth policy. As part of these efforts, the Association often provides examples of how bad policy affects its members. Conversely, it is equally important to praise good policy when it works. Those not directly involved in the business world are forced to rely on mere talking points when speaking on business policy. Yet, those who live the effects know the real story.

The federal Tax Cuts and Jobs Act (TCJA) was praised by the business community but criticized by media pundits as hurting the middle class. The Association decided to put this to the test. According to the MBA’s 2019 MBA Government Affairs Survey, the majority of survey takers indicated they benefited from the Tax Cuts and Jobs Act. When prompted how they used the savings and additional revenue, the top vote-getters included: investing into their company, raises/bonuses for their employees and new hires.

This is great news, but it is even better when we receive direct feedback from Association

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JANUARY 2020 • mbabizmag.com

members. The following is the experience from MBA member Guy Berkebile of Guy Chemical who details how he and his employees benefited from the pro-growth provisions: “The expensing of capital asset purchases is a provision of the 2017 Tax Cuts and Jobs Act that is unknown by many people.

As a manufacturer who relies heavily on equipment, this provision is as important to us as the actual reduction in the corporate tax rate.

Located in Somerset, Pennsylvania, Guy Chemical Company Inc. is a formulator, compounder and packager of adhesives, sealants and greases for a number of national and international brands. Within two months of the 2016 election, we began seeing an uptick in orders so large that we were unable to keep up with demand using the existing equipment and physical plant.

We needed to expand.

Prior to 2018, the tax laws required business owners to depreciate (deduct) the cost of assets with a long useful life over a period of years. The Tax Cuts and Jobs Act was signed into law by President Trump in December 2017 allowing business owners to deduct the entire cost of purchased assets, new and used, in the year the equipment is put into service. The result is a reduction in net profit declared and lower taxes paid to the government, making the asset purchase more affordable.

And, boy, did we take advantage of this change in the tax law.

In desperate need of additional manufacturing equipment to keep pace with orders, we purchased three new chemical mixers, expanding our mixing capacity by four times! We purchased two new packaging lines, new pumps, and a new heater/chiller unit. We also furnished a new R&D laboratory that is five times larger than our existing lab.

Finally, we acquired a company in Vermont, Ultramotive Corporation, that specializes in filling sealants into power cans.

The net result for Guy Chemical in 2018 was an investment in the millions of dollars, savings in the hundreds of thousands of dollars, revenue increase of almost 30 percent and 29 new jobs.

More importantly, we are now set with excess productive capacity to continue our growth in the future.”

Worth Noting: To those with doubts on how good policy can work for you, look no further than Guy Chemical. If you still think the “middle-class” didn’t benefit from this policy, ask Guy’s 20 new hires how their economic situation improved, not to mention the manufacturers with sales from all the newly purchased equipment. If you would like to learn more about the MBA’s Government Affairs team and how it advocates for your success, vist mbausa.org or call 814/8333200.

The 2020 economic outlook, as well as the regional impact of the Shell cracker plant in Beaver County, were the focus of the Manufacturer & Business Association’s (MBA) recent IMPACT Luncheon on December 12 at the Association’s Conference Center in Erie. The event was presented by the MBA, in conjunction with the Business Magazine, the Economic Research Institute of Erie (ERIE), Penn State Behrend and event sponsor Barnhart Transportation. To see photos from the luncheon, visit www.mbausa.org

Economic Research Ken Louie, Ph.D., director of the State Behrend, Institute of Erie (ERIE) at Penn s for the regional discussed the statistics and trend and national economic outlook.

MBA Marketing Director Tammy Polanski introduced Bryan and Tim Barnhart of sponsor Barnhart Transportation.

Amy Bridger, senior director of Corporate Strategy & External Engagemen t at Penn State Behrend, addresses the poten tial impact of the Shell ethane cracker plant in Beave r County on the region.

crowd of approximately The IMPACT Luncheon drew a rence Center.

100 people to the MBA’s Confe

Representatives from event sponsor Barnhart Transportation joined the MBA, MBA Business Magazine, Economic Research Institute of Erie and Penn State Behrend in presenting the IMPACT Luncheon.

Arleen Thompson of Barnhart Transportation, Mitch Willis of FocusCFO and Brenda Sandberg of the Erie-Western PA Port Authority were the winners of the MBA Business Magazine’s Happy Holidays Raffle Drawing. The winning names were drawn at the December 12 event.

The next IMPACT Luncheon is set for April 23 at the Conference Center in Erie, featu ring guest speaker Ann Scott of Erie Insurance (show n here), on the topic of Women in Leadership.

ted the beautiful Larese Floral Design in Erie dona eon. poinsettias for the IMPACT Lunch

mbabizmag.com • JANUARY 2020

21

PRSRT STD US POSTAGE PAID ERIE, PA PERMIT #199

It’s nice to know that sometimes you don’t have to change a thing.

96% of businesses that choose UPMC Health Plan stay with UPMC Health Plan.

You’ve given a lot of thought to your employees’ health coverage. And you’ve come to a familiar conclusion – nothing’s better than UPMC Health Plan. Choose us for affordable plan options.

Full in-network access to UPMC along with other doctors and hospitals in the community.

Care when you travel. Service from a designated Health Care Concierge. And health tools that keep up with busy lives and schedules. All this is worth sticking with, don’t you agree?

To learn more, visit UPMCHealthPlan.com/employer.

#stickwiththeplan