Economic Development Success Stories

EDLF Loan Supports New Automotive Supplier

Topre America, a Japanese manufacturer of automotive parts for Honda, Toyota, Nissan, and Mercedes, has opened a new manufacturing facility in Cullman, Alabama, with help from TVA’s Economic Development Loan Fund. The project will create 250 new jobs with a capital investment of almost $125 million.

Topre is building a new production facility in Cullman. Initially, this metal stamping facility will supply products mainly to Japanese companies. The facility will also receive orders from local and European carmakers. Construction of the first of three 250,000-square-foot phases began in October, with completion by early 2004. Topre will used the EDLF funds to help in purchasing equipment. The company was founded in Japan in 1935. 

ED tool helps Alabama-area expansions, retentions

A new economic-development tool that will help in the retention and expansion of local businesses and industries is now available in Cullman, Ala. TVA and the Economic Development Partnership of Alabama are partnering with the Cullman Area Chamber of Commerce, Cullman Economic Development Agency, Cullman Electric Cooperative, and Cullman Power Board to provide the Synchronist Business Information System software.

Communities use the Synchronist system to conduct confidential surveys with local industries to gain critical information about their existing operations. The partners then identify and solve issues facing local firms and identify opportunities to help firms expand and build relationships with local business executives.

“It is extremely important for economic developers to take care of existing businesses and industries,” says TVA Senior Vice President of Economic Development John Bradley. “Their growth is essential to the economy of local communities.”

The Cullman community partnership will use a team approach to inventory and document business needs and opportunities for existing industry growth. “Those communities that are experiencing success are those that focus on partnerships,” Cullman Chamber Chairman Paul Bussman says. “The chamber is pleased to join these partners in reaching out to our existing businesses.”

In fiscal year 2003, TVA worked in partnership with various economic development organizations and partners to help attract or retain 47,000 jobs and leverage $1.58 billion in capital investment. TVA also provided more than $20.6 million in economic development loans. TVA has worked with the Tennessee Department of Economic & Community Development and the Mississippi Development Authority to use the Synchronist system to help create and retain jobs in regions of those states. Read about the Mississippi initiative below.

Mississippi Crescent Puts It All Together for American Eurocopter

An innovative approach to economic development in Mississippi is getting results. American Eurocopter, a subsidiary of European Aeronautics Defence and Space, announced last fall that it will build its newest facility in northeast Mississippi after being recruited by the Mississippi Crescent, a collaborative regional development initiative. The Mississippi Crescent includes representatives of area colleges and universities, local and state governments, business and industry, and power distributors across 34 mostly rural counties. After its formation in 2001, the group banded together with TVA to promote a regional approach to economic development in northeast Mississippi. Working collaboratively, the group is able to leverage resources to make the area more attractive to large industry. American Eurocopter will site its new plant in Lowndes County, Mississippi, and employ 100 people in the manufacture of commercial and military helicopter components. Read more about the American Eurocopter story (PDF, 614 kb, requires Adobe Acrobat Reader).

TVA helps with Mississippi business retention efforts

TVA is working with the Mississippi Development Authority on an economic-development software program, the Synchronist Business Information System.

The Web-based software program is designed to promote the expansion and retention of existing businesses. It enables economic-development groups to determine how they can better help businesses expand and create jobs.

Synchronist includes an automated set of survey tools and 40 reports that issue marketing aids, warnings, and alerts at the click of a mouse. The software develops questions to ask company officials and puts the questions in a survey format. Once the survey’s results are input, the software generates a report that indicates whether the company is pleased, somewhat pleased, or in need of special attention. Synchronist calculates an objective assessment of a company in four areas: value to the community; growth potential; risk of leaving, downsizing, or expanding; and satisfaction in the community.

“We are pleased to partner with MDA to utilize this program,” says TVA Chairman Glenn McCullough Jr. “This software will help our local communities create more jobs for Mississippians by enabling our existing industries to grow and expand.”

Mississippi Gov. Haley Barbour introduced the Synchronist tool to area economic developers at a ceremony April 21 in Jackson, Miss. Amy Bunton, Manager of Existing Business and Industry for TVA Economic Development, represented TVA. Representatives from MDA, the Mississippi Manufacturers Association, Entergy, Mississippi Power, and local communities also attended.

“The retention and expansion of our existing businesses is an integral part of workforce development,” Barbour said. “The Synchronist system will allow MDA to better analyze community trends and provide services that will be most beneficial to the local community.” TVA has also worked with the Tennessee Department of Economic and Community Development and five counties in the upper Cumberland Plateau to use the Synchronist system to help create and retain jobs there.

TVA Loan Fund Helps Close the Deal for Packaging Company

More Tennessee Valley communities are using the TVA Economic Development Loan Fund (EDLF) as a valuable tool to attract companies to their area. Mike Baker, Director of the Hopkinsville-Christian County (Kentucky) Economic Development Council, says the EDLF “was absolutely essential” in putting together a benefits package that attracted Paris Packaging Inc. of Texas, to Kentucky.

The Hopkinsville development group had sought Paris Packaging to replace the potential loss of 300 jobs in that community after International Paper announced plans to close its Hopkinsville operation. “Paris Packaging not only is a welcome new industry in our community,” says Eston Glover, manager of the Pennyrile Rural Electric Cooperative Corporation, “but this plant brought life to what might have been a serious setback for all of us in the Pennyrile region.”

EDLF funds are made available to new and expanding industrial companies for fixed assets such as buildings, machinery, and equipment. Read more about the EDLF.

HVAC Manufacturer Chooses North Georgia

Fannin County, Georgia, was able to draw HVAC manufacturer Whitepath Fabtech to the area with help from TVA Technical Services. TVA provided site evaluation and analysis to demonstrate the suitability of the site for the company’s needs.

“We are very excited about our future in Fannin County and the opportunities it offers Whitepath Fabtech,” said Randy Durden, president of the company. The local officials have shown themselves as professionals in attracting industry, and we look forward to a long and beneficial relationship with them and the community.”

Whitepath moved into a building recently vacated by Kismet Products, which relocated to a larger facility to consolidate manufacturing operations. Whitepath will create 25 jobs immediately and begin operating at 25 percent capacity. It anticipates eventually running 75-employee shifts as the market allows.

Lease Helps Bridgestone/Firestone Keep HQ in Nashville

Bridgestone/Firestone Americas Holding, Inc. has subleased office space from TVA in Nashville’s Highland Ridge Tower. The agreement helped ensure that Bridgestone/Firestone would keep its headquarters in the Tennessee Valley.

Bridgestone/Firestone will sublease the building for the remaining portion of TVA’s lease, which expires in 2007. The tire manufacturer has been looking for office space that would allow consolidation of its Nashville-area employees into one building.

“TVA is pleased to have played a key role in keeping Bridgestone/Firestone’s headquarters and 800 jobs in Nashville,” said TVA Chairman Glenn L. McCullough, Jr. “This announcement is great news for the city, for the State of Tennessee, and for the entire region. It will benefit sustainable economic development in the Tennessee Valley, and it will allow TVA to reduce its leasing costs while providing adequate space for our employees in Nashville that is consistent with TVA standards in other metropolitan areas.”