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Fleetwood Plant is Up and Running
(Excepts from the Macon County Times, January 10, 2008)

Like a Phoenix rising from the ashes, the more than year-long idled Fleetwood plant reopened Monday, December 17, 2007.  The move from the Gallatin [Tennessee] plant, which is closing, began the previous week.

"All of the employees at the Gallatin plant were offered the opportunity to move to the Lafayette location, and more than 90% of them came," said Bill Graves, general manager of the plant.

The number of people currently employed at Fleetwood is 170, including staff and management employees.

The California-based company decided to close its Gallatin factory and move its entire Middle Tennessee production capability to Lafayette last November.  The modern lay-out of the Lafayette factory, built in the late 1990's, and the good, reliable local workforce were said to be factors in the move.

 

 


Nestlé Waters North America, Macon County Bottling Plant

 

 

"On behalf of Nestlé Waters North America, let me express my company’s continuing delight with having one of our water manufacturing plants located in Macon County. From the time we first arrived in this community back in 2001, and especially after we finished construction of our plant and began production a few years back, we have been impressed with the quality of the workforce and overall wonderful quality of life here. And, of course, the great natural beauty of this part of the country speaks for itself.

Macon County has been a great place for Nestlé Waters to be, and we especially value our employees here."

Mark Smidebush
Plant Manager
Nestlé Waters North America
July 2008

 

Nestlé Waters North America opens Plant in Macon County

Beginning in the early 2000s, the Perrier Group [since purchased by Nestlé] began looking into setting up a bottling plant in Red Boiling Springs, Tennessee.  Construction on the US$!00 million plant began in 2002 and was completed in 2003.

Nestlé worked with the City of Red Boiling Springs, Macon County, the Tennessee Department of Economic and Community Development, and the State of Tennessee to facilitate the project.  

Nestlé bottles waters found locally and also transports water in tanker trucks from other Tennessee locations for bottling in Red Boiling Springs.  In addition to this water, Nestlé had a major need for additional, city water for use in cleaning the facilities, etc.  The State of Tennessee was able to provide a US$4 million grant to run a pipeline from Lafayette, the county seat of Macon County.  This is just one example of how the local and state governments were able to fit the new bottling plant with the resources it needed.

Tri-County Electric, Macon County's local energy company, quickly met all of Nestlé's energy needs, and North Central Telephone Cooperative was able to run advanced fiber-optic lines to the new bottling plant to meet Nestlé's specialized communications needs.

Today, Nestlé Waters North America employs over 150 people and ships over 140 tractor-trailers per day from its Macon County bottling plant.  The water is bottled under the Nestlé Pure Life brand.

 

 


Red Barn Winery in Lafayette Mentioned as Tennessee Success Story by Governor Bredesen
(See highlighted text below)

It’s a pleasure and a privilege to be with all of you today. I’d also like to say, up front, how pleased I am to meet the representatives of the companies receiving the Governor’s Award for Trade Excellence.

As someone who has worked for a company that conducted business internationally…and having spent time in Europe at the beginning of my career … I know that it can sometimes be intimidating to reach out to customers in foreign countries … especially for small firms.

I’m pleased to see these Tennessee companies have made that leap of faith … and that they are finding success in doing so. Congratulations to all of you.

I also know that in business, winning new customers is important … but it’s equally important to take care of the customers you have … for many Tennessee companies, Canada is one of those customers, and we’re pleased to have Deputy consul General Steven Gawreletz (GAR-litz) with us today.

He is an expert on the subject of trade policy … and I’m sure that, like me, he knows that the ties that bind the U.S. and Canada are stronger than the differences we may have from time to time … Steven, thank you for joining us today.

Many of you were here with me at this conference a year ago… the theme of my remarks then was “Next Steps” – in an election year, I was looking ahead, and I took the opportunity to lay out some of the areas I’d like to focus on if given the privilege of a second term.

Today, I’d like to look back at the progress we’ve made since that day, as well as take a look ahead to the future. I am happy to be speaking to you after a year of great economic growth. We can truly say that we’ve covered a lot of ground, and that the future looks brighter than ever.

And I am so pleased with the partnerships that have allowed this to happen, and can’t stress their importance enough.

But I’ll cut right to the chase … I know what the big question is on many people’s minds: What can we do to spur economic growth in our rural communities?

Yes, Tennessee is enjoying economic growth … the progress we’ve made in the past few years has truly been great … we’ve had revenue surpluses fueled largely by the Franchise and Excise tax … due mostly to the success we’ve had in attracting new companies to our state, as well as helping Tennessee companies expand.

But the reality is that this growth is limited – we’ve discovered that the increase in those tax collections come from 12 or so counties, mostly around Nashville, Knoxville, Memphis, Chattanooga.

We all know that Tennessee is a largely rural state, and that we need to keep these areas well in mind when it comes to planning for economic development. Our rural counties present more of a challenge in this regard than our more urban areas, but we are ready to meet that challenge head-on.

We’re working with members of the General Assembly to approach the problem systematically, and we’ve got a lot of plans in the works, which I will be pleased to share with you in detail in a few minutes.

But first, looking back over the year that has passed since we last met, I want to say how much I appreciate the vote of confidence last November on what we achieved on the economic front during our first term, and I want to re-state something I’ve said before: we’re not coasting through the second term.

We in government realize what a truly limited amount of time we have to positively affect the lives of our citizens. My approach to Tennessee’s economic growth is straightforward: I intend to leave our state better off then when I took office.

As I’ve said from day one … to do that will require a partnership … both the state and local communities have to work together. To share the benefits, we must share the responsibilities.

This brings us back to our rural communities, and the need to partner to find ways to spur economic growth all over the state. Last year, one of the things I discussed with you was the need to create higher-skilled, better paying jobs in our rural communities…the reality is, there’s a lot of people in our state who don’t live near one of our major cities … or in a suburban area … and these are the people who we need to ensure have the opportunity for a well-paying, secure job.

In many of our rural counties, unemployment and poverty remain persistently high … and these are places where prospects for attracting new industry face significant challenges.

Working with committed legislators like State Representative Craig Fitzhugh from Ripley … we’ve used data from the University of Tennessee to outline a series of tiered Jobs Tax Credit enhancements for these counties.

I’m talking specifically about places like the upper Cumberland Plateau … rural parts of the Tennessee River Valley stretching from Kentucky to the Alabama and Mississippi state lines … large stretches of our state that simply can’t be left behind or ignored when it comes to talk of economic development.

So what are we doing to ensure this?

I’ll start with taxes. We want to aggressively utilize the expanded Jobs Tax Credit in those rural counties to spur job growth … and we’re marketing that effort in a program called the Rural Opportunity Initiative, or R-O-I. We’ve made a map available here today which shows which counties will receive the enhanced tax credits under R-O-I … I hope you’ll have the chance to take a look and see if this new incentive can benefit your community.

Speaking of new incentives … we have lots of them. But they’re only effective if people take advantage of them. So the vital next step is in your hands: education – that is, we want you to educate yourselves on our new incentives … so you can in turn get the word out to your communities.

In your conference material, you’ll find a booklet called “The Tennessee Toolkit” which outlines the programs and incentives now available to communities.

I hope you’ll get a sense of the sheer size and scope of the changes we’ve made to Tennessee’s package of incentives, and spend some time familiarizing yourselves with which ones might work in your community.

Remember the essential need for partnership … we need your help … these programs are useless unless people know about them. You are the vital key in getting the word out and setting things in motion.

I’m also very pleased to report on the progress of the Rural Opportunity Fund.

Working with the General Assembly and private lenders, we’ve created a new pool of venture capital, specifically for businesses in rural areas. We’ve already appropriated more than a million dollars in funds through ECD to start the fund … ultimately leveraging more than $10 million in private investment.

Those dollars will be loaned to businesses in our rural areas … small and independent businesses that have already gotten off the ground, and need help in growing and expanding. Private fundraising has already begun … and private lenders are embracing the concept because they can receive credits against their franchise and excise tax liability.

The Rural Opportunity Fund is a truly innovative partnership, and I’m excited about the opportunities that will arise from this new source of capital for small and independent business growth here in Tennessee.

A year ago, I also spoke about the need to broaden the range of projects that can qualify for our FastTrack Infrastructure Development Program to include more speculative projects.

The idea is that it’s very difficult for communities in rural areas to garner the attention of business unless there’s a ready-made site or existing building the company can move into. Our goal is to help rural communities, even though they may not have a “bird-in-hand” project at that moment.

I’m pleased to say this program is up and running … and you’ll be able to learn more about it here today.

Another idea that’s garnered a lot of attention this past year is the “Orange Carpet Tour.”

Why Orange Carpet? Chambers in our biggest cities customarily bring site selection consultants in for what’s called “Red Carpet Tours” … a day or two of briefings … and tours of sites capable for development.

We’re now ready to begin scheduling similar tours in our rural communities … the Orange Carpet Tours.

The big difference, however, is that the rural communities will receive feedback.

Communities will make their best pitch to consultants … and the consultants will give them written reports about the viability of what they’ve seen and heard.

I believe it’s a win-win situation: the consultants learn about what a community has to offer … and the community gets an assessment of their strengths and weaknesses from an objective economic development professional.

One note, though, to communities interested in hosting an Orange Carpet Tour: You’ve got to do your homework. I can’t emphasize that enough.

I’ve asked ECD to focus this program on rural communities that have done the basic blocking-and-tackling necessary to position themselves for economic development.

If a community hasn’t done its homework … hasn’t done the self analysis … or developed a five year plan … or taken the appropriate steps on a community development front … then scheduling an Orange Carpet Tour would be a waste of time for everyone involved.

So I’ll say it again: do your homework, then let’s talk.

This is just another piece of the partnership… with shared responsibility at both the state and local level. You do your part … then we can do ours.

You know, something that we cannot forget, when we talk about rural economic development, or even overall economic development on a statewide level, is that Tennessee is an agricultural state. With 84,000 farms, we’re fourth in the nation. With that in mind, it is important to remember: rural economic development is largely agricultural development. Though it is vital to bring industry to our rural areas, we also must keep that fact in sight. With two-and-a-half billion dollars total farm income in the state, we can’t afford to forget it.

In Tennessee, agriculture is a major force in our rural communities … every farm dollar rolls over six or seven times in the community’s economy…reflected in the purchasing of machinery and equipment, loans from local banks, property taxes and the like. Small farmers are truly small businessmen, and we are providing incentives for them to diversify and maximize their potential.

We’ve recently expanded our Tennessee Agriculture Enhancement Program to make available $26 million dollars in matching fund loans to farmers looking to expand in certain innovative areas: cattle, hay and feed storage, animal health, product diversifying, the opening and expansion of farmer’s markets.

We’ve had a lot of success stories with this program … One great example is a tobacco farm in Macon County that converted to a vineyard, winery, and tourist destination. Not only have the farmers changed with the times, diversified and developed a value-added product in their wine-making … they’re also bringing tourism to their area … and dollars into the community ... It’s a benefit to everyone, and this program is full of stories like it.

Now, turning our sights a bit further afield than Macon County … many of you have probably read about the state’s upcoming trade mission to China. I’m pleased that Lt. Governor Ramsey and Speaker Naifeh will be joining me on this important trade initiative.

We’ll be opening the Tennessee-China Development Center while we’re there … the state’s first-ever trade office in that country.

Some of you may be wondering what benefit - if any - this trade mission can have to your community. Well, I firmly believe that we will build relationships that will benefit Tennessee communities both urban and rural. Our trade relationship with China rose to $1-point-eight billion dollars in 2006 … it has risen more than 11-hundred percent in six years…making Tennessee one of China’s fastest growing trading partners among U.S. states.

Over $900 million dollars of that $1-point-eight billion came from the purchase of Tennessee agricultural crops by China …. So it’s clear that this trade mission is one that will directly benefit rural Tennessee.

Last but not least, in the field of technology, many of you will recall that a year ago I also emphasized our need to grow technology jobs.

Some in our tech sector have urged us to move much faster in this area, but we’re approaching it systematically, and smartly, with an eye to the long term … over the past year, we’ve had a good debate over how to best move forward.

We’ve been working with the General Assembly’s Broadband Task Force to look at expanding access to high speed data transmission across our state … a key to economic development.

I’m pleased to say that we’ve contracted with a national non-profit organization to create “Connected Tennessee.” Working with broadband providers, we’ve taken the first step: that is, we’ve collected data on our state’s broadband infrastructure and mapped out where we have access … and where we need it.

Now that we’ve got the “lay of the land” … we can develop strategies to take us where we need to be.

We’ve also taken a closer look at the Tennessee Technology Development Corporation and asked ourselves whether it is the best vehicle to drive technology policy in Tennessee. We’ve concluded that it is … but we’ve restructured its mission.

We’ve built a new board, made up of members with stronger technology backgrounds…experts in their field, as well as entrepreneurs and others who will have strong, informed views about how to move forward. The board has asked Eric Cromwell to serve as its new president … I’m so pleased that he’s agreed…and I’ll tell you why.

Innovation Tennessee has a $5 million dollar fund of “seed capitol” … a fund designed to assist innovative new businesses … and to help Tennessee’s universities and laboratories move new ideas into the commercial marketplace.

Eric’s background in the creation of the FedEx Institute in Memphis and in managing a technology incubator there makes him ideally suited to managing this project…he’s worked closely with the consultants who developed the business plan for Innovation Tennessee, and knows as much about it as anyone in the state.

It’s partnerships like this one that will lead Tennessee into the future … partnerships that are forming across the public and private sector every day.

A year ago, I concluded my remarks by stressing the need to “get the talk right” about Tennessee … and the evidence is clear that we’ve taken steps in that direction.

We’re now standing on solid ground … we’ve got our fiscal house in order … and upgrades from the bond rating agencies … and although I’ve had some differences with members of the General Assembly about the best way to utilize our strong tax collections … in the end, we reached a good compromise.

I’ve come to realize that a Governor enjoys a lot more advice when it comes to spending a surplus…then when it comes to cutting the budget.

But we must all understand that the national economy will determine much of the challenges we face in the coming year … volatility in the markets….a decline in the number of jobs created nationally last month … speculation about recession …. All of these things make it that much more important to position ourselves in a way to take advantage of all the economic development opportunities that come our way.

Tennessee is well positioned … and that’s due in large part to the hard work and commitment all of you have put into this … and, most importantly of all, the strong partnerships we’ve built over the past four years.

I’d like to take this opportunity to personally thank you for all that you do. Because what we are really talking about, here today … is making better lives for the people of Tennessee. Working together, I know we will make the future even brighter.

Thank you.

 

 

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