Mainebiz

V O L . X X I N O. X X S E P T E M B E R 7 , 2 0 1 5 6 UMaine System to buy more local food Some 20% of food served at six of the seven University of Maine campuses will come from local producers within the next fi ve years. e UMaine System on Aug. 31 released a request for proposals for a dining and food service provider, requiring the win- ning bidder to slowly ramp up the purchase of local food over the next fi ve years, according to the Bangor Daily News. e only UMaine cam- pus that isn't aff ected by this commit- ment is the system's Orono campus, which uses its own provider. UMaine System's announcement is considered a major win for a group of Maine growers, harvesters and agricultural organizations that has been pushing for the commitment. In the fi rst year of the contract, the provider will have to purchase 15% of its food from local producers and that percentage will increase until reaching 20% in 2020. e newspaper said the 20% fi gure is equal to about $1.7 million in local food purchasing. State unemployment rate continues to lag U.S. average Maine's unemployment rate in July was 4.6%, nearly unchanged from the previous month and more than 1% less than it was a year ago. e Maine Department of Labor reported that an estimated 32,000 people were unemployed in July, 7,500 fewer than a year ago. e national unemploy- ment rate in July was 5.3%, unchanged from the previous month and a decrease from 6.2% one year ago. Maine's unemployment rate remained under the average of 4.7% for the New England states. e state's unem- ployment rate was lower than Rhode Island (5.8%), Connecticut (5.4%) and Massachusetts (4.7%), and higher than New Hampshire (3.7%) and Vermont (3.6%). Maine's employment-to-pop- ulation percentage was 60.4% in July, the 94th consecutive month the state has been above the national average of 59.3%. Unemployment rates are seasonally adjusted. Maine home sales surge in July Single-family existing home sales in Maine increased in July by 20% over the same month last year while the median sales price increased by a smaller percentage. Maine home sales reached 1,749 units in July, with 1,455 units having sold in the same month last year, according to new data from the Maine Realtors Association. e state's median sales price in July was $188,900, a 4.08% increase from a year ago. On the national level, single- family existing home sales in July increased 11% from the previous year, according to the National Association of Realtors. e national median sales price for July was at $235,000, a 5.8% increase. Home sales in the Northeast for July increased 9.4% while the regional median sales price increased 1.3% to $277,200. SunEdison withdraws one wind project, for now Renewable energy developer SunEdison said it has withdrawn its plan for a 23-turbine wind farm in Hancock County in order to address environmental issues raised by the state. e Bangor Daily News reported that SunEdison expects to refi le the project's application some- time in the future, with spokesman John Lamontagne saying "we remain confi dent that this is an excellent clean energy project." e newspaper noted that the Maine Department of Inland Fisheries and Wildlife earlier this year said it opposed the project over concerns that it would be deadly to migrating birds and bats. Separately, SunEdison is con- sidering whether to build a 26-tur- bine wind farm in the Misery Ridge area of Somerset, according to the Kennebec Journal. e renewable energy developer has installed two meteorological towers there to test wind conditions but said "it's very early in the process." MITC gets $161K to boost Maine exports e Maine International Trade Center is receiving a $161,000 federal grant to help small businesses in Maine export their products. e Portland Press Herald reported that the funding comes from the U.S. Small Business Administration as part of its State Trade and Export Promotion grant initiative. e newspaper said the initiative aims to boost the number of exporting businesses and the value of those businesses' exports. Summit scales back plans in two areas Summit Natural Gas of Maine is scal- ing back build-out plans for two of its target regions, citing a lack in demand, according to two separate reports. e Morning Sentinel reported that Summit is reducing its 2015 build-out plan in the Augusta and Waterville areas. Mike Duguay, Summit's direc- tor of business development, told the newspaper that customer demand for natural gas isn't as high because of low oil prices. e newspaper noted that Summit's main competitor in Augusta, the Iberdola-owned Maine Natural Gas, is still moving ahead with expansion plans regardless of current oil prices because the company expects to pick up more customers when natural gas becomes cheaper than oil. e Forecaster reported that Summit is reducing its build-out plans in Cumberland, Falmouth and Yarmouth by 15% this year. Cumberland Town Manager Bill Shane told the news- paper that an increase in construc- tion costs and a decrease in heating oil prices were the likely culprits for Summit's reduction plans. B U S I N E S S M A I N E Business news from around the state S T A T E W I D E Buoy Local partners with Bangor Savings for statewide expansion Buoy Local, a Portland gift-card startup, has gained an important supporter in one of Maine's largest independent banks as it plans to expand its coverage for local merchants beyond southern Maine. Sean Sullivan, one of Buoy Local's co-founders, told Mainebiz it has started a new partnership with Bangor Savings Bank that will give it extra marketing muscle in its effort to become the fi rst brand Mainers think of when it comes to gift cards that support the local economy. "We think for the long-term validity of this business, it needs to be top-of- mind for Mainers," Sullivan said. "We see an opportunity to increase our market share in terms of gift card spending in Maine and, in doing so, helping small businesses and giving Mainers more of a personal choice for spending." Buoy Local was founded in November 2013 after Sullivan and co-founder Kai Smith met at the inaugural Portland Startup Weekend earlier that year. The startup sells gift cards that are currently accepted at nearly 100 local, inde- pendent businesses, mostly in greater Portland, with the goal of encouraging Mainers and others to support the local economy. The startup recently reached what it calls a major milestone, with spending on Buoy Local cards topping $100,000 out of the more than $180,000 loaded onto gift cards so far. Sullivan said the company expects to double the latter fi gure within the next six months. Buoy Local's partnership with Bangor Savings is coming together as it plans to shift its focus from working individually with merchants, who currently pay the startup an annual fl at fee to accept Buoy Local cards, to a more wholesale approach, where groups representing merchants would pay the startup some sort of fee so that all of its members could accept the cards as a benefi t or add-on value, Sullivan said. "The bottom line is, when you're an economic development group, your goal is to bring business to your membership. You need to provide value to your members," Sullivan said. "We can provide value to their members that is quan- tifi able and supports data-hungry business owners." Buoy Local could have pursued a statewide expansion on its own, but thanks to a serendipitous series of events starting last summer, the startup will be able to use Bangor Savings' internal marketing team to help facilitate meetings with groups representing merchants across the state. Buoy Local connected with Bangor Savings last summer when it won an award from Entreverge, an award program sponsored by the Portland Regional Chamber of Commerce's group for young professionals, Propel. Bangor Savings happened to be a sponsor of the event. "Bangor Savings is involved in a number of initiatives that support Maine businesses of all sizes," Gregg Piasio, senior vice president and director of pay- roll and merchant services at Bangor Savings, said in a statement. "With Buoy Local, we see an opportunity to provide a new tool for small business customers to grow their businesses, while giving Mainers a chance to demonstrate their pride for their community. We feel fortunate to be partnering in a unique offering that fi ts so well with our overall approach to the Maine market." — D Y L A N M A R T I N

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