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NORTH GEORGIA SOUTHEAST TENNESSEE SOUTHWEST NORTH CAROLINA
What’ss Onlinee See video of the underwater world at the Tennessee Aquarium
The Smart Set
Retooled and Ready
New industries build manufacturing muscle
Region’s resources cultivate a creative class of entrepreneurs
Radiating Opportunity Mammoth project heats up solar energy prospects
SPONSORED BY THE SOUTHEAST INDUSTRIAL DEVELOPMENT ASSOCIATION | 2010
For those who have quietly dreamed they could have a successful business and a great place to live ‌
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Blue Ridge Mountain EMC is a member-owned electric membership cooperative serving over 48,000 customers in Cherokee and Clay counties in Western North Carolina, and Fannin, Towns and Union counties in North Georgia. BRMEMC is a TVA-served distributor and is headquartered in Young Harris, Georgia. Let us show you that you CAN live in a beautiful, relaxed and friendly mountain community while continuing to grow a successful business or industry. r "WFSBHF HSPXUI PG OFBSMZ NFNCFS DVTUPNFST QFS ZFBS r 1SPVE IJTUPSZ PG TFSWJDF TJODF r 3PCVTU FYJTUJOH JOEVTUSZ CBTF r &YDFMMFOU TLJMMFE BOE BWBJMBCMF XPSLGPSDF r 4USPOH JOEVTUSZ GSJFOEMZ MFBEFSTIJQ r $FOUSBMMZ MPDBUFE CFUXFFO TFWFSBM NBKPS 4PVUIFBTUFSO DJUJFT (Atlanta, Chattanooga, Greenville) r 4QFDJBM JODFOUJWFT HSBOUT BOE MPX JOUFSFTU MPBOT GPS MPDBUJOH BOE FYQBOEJOH CVTJOFTTFT Contact Us Today:
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Conveniently located 85 miles from Chattanooga and 90 miles from Atlanta
Visit us on the Web at www.tsemc.net
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Workstyle Radiating Opportunity
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A mammoth project heats up the region’s solar prospects.
Retooled and Ready
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New industries build growth in the manufacturing sector. Table of Contents Continued
ON THE COVER Natural beauty blends with a vibrant economy. PHOTO BY JEFF ADKINS
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Insight Overview
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Business Almanac
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Business Climate
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Energy/Technology
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Transportation
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Economic Profile
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Livability The Smart Set
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Health
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Education
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DON’T JUST TAKE OUR WORD FOR IT
SOUTHEAST RESOURCE 2010 EDITION , VOLUME 5 MANAGING EDITOR/BUSINESS BILL McMEEKIN COPY EDITOR JOYCE CARUTHERS ASSOCIATE EDITORS LISA BATTLES, SUSAN CHAPPELL, JESSY YANCEY STAFF WRITER KEVIN LITWIN CONTRIBUTING WRITERS CAROL COWAN, JOE MORRIS
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SOUTHEAST AST S RESOURCE NORTH GEORGIA SOUTHEAST TENNESSEE SOUTHWEST NORTH CAROLINA
Wha s What’s Online Onlinnee See video of o thee underwaterr world Tennessee at the Tenn nessee Aquarium Aquariu um
The Smart Set
Lifestyle Find out what it’s like to live here and what makes the community such a special place to be.
Retooled and Ready
New industries build manufacturing muscle
Reg Region’s resources cultivate a creative class of entrepreneurs crea
Ra Radiating Op Opportunity Mam Mammoth project heats up ssolar energy prospects
SPONSORED BY THE SOUTHEAST INDUSTRIAL DEVELOPMENT ASSOCIATION | 2010
Read the magazine on your computer, zoom in on articles and link to advertiser Web sites.
NEWS AND NOTES >> Our editors give you the Inside Scoop on the latest development and trends in the community.
Workstyle
SUCCESS BREEDS SUCCESS >>
A spotlight on the region’s innovative companies
Meet the people who set the pace for business innovation. DIG DEEPER >> Plug into the community with links to local Web sites and resources to give you a big picture of the region. DATA CENTRAL >> A wealth of demographic and statistical information puts the community at your fingertips.
See the Video Our award-winning photographers give you a virtual tour of unique spaces, places and faces.
GUIDE TO SERVICES >> Links to a cross section of goods and services special to the community
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Overview
A Region That Builds On its Strengths SOUTHEAST INDUSTRIAL DEVELOPMENT ASSOCIATION PROMOTES INVESTMENT IN THREE-STATE TERRITORY Two of the most significant foreign capital investments in the United States are taking place in the heart of the Southeast Industrial Development Association’s service territory, cementing the 22-county, three-state region’s attractiveness as a place for new investment and jobs. Playing off the region’s trained and reliable workforce, available product inventories and outstanding quality of life, SEIDA has been a force in attracting investment and jobs. In 2008 alone, the association’s efforts helped facilitate 10 locations, 16 expansions, $1.3 billion in new capital investment and creation of more than 5,900 jobs. Those efforts were capped by
German company Wacker Chemie AG’s plans for a $1 billion facility in Bradley County, Tenn., to produce hyperpure polycrystalline silicon, a key component in photovoltaics for solar energy and semiconductors for the electronics industry. Volkswagen is building a mammoth $1 billion manufacturing complex in Chattanooga that is spurring millions of dollars in additional investment and will create hundreds of jobs when it begins operations in 2011. SEIDA’s staff, board, powerdistributor members and partner organizations collaborate and cooperate to lure companies to southeast Tennessee, north Georgia and southwest North Carolina, where
spectacular natural beauty, an array of cultural and arts attractions, endless recreational opportunities, and high-caliber health-care and higher education institutions combine to make the region a place to invest and thrive. For more on the region’s advantages, contact: Southeast Industrial Development Association P.O. Box 4757 1000 Riverfront Parkway Chattanooga, TN 37405-0757 (423) 424-4245 www.seida.info
Knoxville
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NORTH CAROLINA
Asheville
TENNESSEE
Knoxville Nashville
BL EDSOE
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Almanac
FROM THE GROUND, IN THE AIR The historic Dunlap Coke Ovens Park, a 62-acre site in Sequatchie County, Tenn., features 268 beehive coke ovens used in the early 1900s to convert mountain coal into industrial coke, a product that is used to smelt iron ore.
EAST MEETS WEST Western North Carolina has long been home to the Eastern Band of the Cherokee Nation.
Dunlap, located in the heart of the stunning 125-mile Sequatchie Valley, also lays claims to the moniker “hang gliding capital of the world,” and the colorful gliders are often seen in the skies above the valley.
Many artifacts have been found in the region that trace the Cherokee culture back as far as 11,000 years. Artifacts include finely crafted stone tools and fluted spear points. The Eastern Band of Cherokee Nation is one of the only three federally recognized Cherokee tribes in the United States, and they number around 13,000 in western North Carolina. Today, the Cherokee community offers a number of economic development initiatives in the region and promotes the history and cultural heritage of the tribe. Go to www.nc-cherokee.com to learn more about the Eastern Band, its history, culture and economic development efforts.
LONG LIVE ROCK CITY Located 1,700 feet above sea level atop Lookout Mountain in Walker County, Ga., Rock City Gardens features a 4,100-foot walking trail showcasing soaring rock formations, caves and lush gardens. The Enchanted Trail, which winds its way through the 14-acre site, includes views of rock formations believed to be more than 200 million years old, 400 different species of native wildflowers, plants, shrubs and trees, a 100-foot waterfall, a 1,000-ton balanced rock and spectacular views of seven states from Lover’s Leap. Go to www.seerockcity.com for more.
What’s Onlinee See video of the Lookout Mountain Incline Railway at seresource.com.
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REMEMBERING THEIR SACRIFICE The War Between the States was fought at the front door of the Southeast Industrial Development Association region, which preserves and honors its links to the conflict. Resaca, in Gordon County, Ga., was the site of one of the bloodiest battles of the Atlanta Campaign. A re-enactment takes place each year on the actual battle site, and the Resaca Confederate Cemetery is the final resting place for hundreds of Union and Confederate soldiers. Nearby is Oakleigh, a beautifully restored antebellum residence that was used as General Sherman’s headquarters during the Civil War. Today, Oakleigh is home to the Gordon County Historical Society and it houses a collection of more than 1,500 antique dolls.
NEW THRONE FOR A QUEEN A waterway fixture since her birth in 1925, the Delta Queen is permanently docked but by no means retired. The famed paddle-wheel steamboat and designated National Historic Landmark provided onboard overnight excursions on the Ohio and Mississippi rivers for nearly 500,00 passengers, including U.S. presidents and foreign dignitaries, but was forced to end them when Congress failed to extend an exemption for wooden superstructure ships in 2008. The boat was moved to Chattanooga in early 2009, where it has been renovated and transformed into a unique boutique hotel on the Chattanooga riverfront, near the trendy shops and eateries of the North Shore. One of the main features of the elegant hotel is the Texas Lounge, which offers riverboat-style entertainment, live music and stunning views of the Tennessee River from its large deck. For more on the hotel, go to www.deltaqueenhotel.com.
A JOURNEY THROUGH THE PAST In the lush Chattahoochee National Forest, the Blue Ridge Scenic Railway takes riders on a four-hour excursion through the area known as the antiques capital of Georgia. The 26-mile round trip winds along the Toccoa River for an hour in vintage climate-controlled or open-air rail cars. The ride starts at a historic depot, built in 1905 in downtown Blue Ridge, Ga., then stops for a layover in the quaint sister towns of McCaysville, Ga., and Copperhill, Tenn. Visit brscenic.com for more information.
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HIGH WATER MARK Located atop the Cumberland Plateau, Fall Creek Falls State Park in Bledsoe County, Tenn., features the highest waterfall east of the Rocky Mountains, along with other scenic cascades. Bledsoe County is also known for its agricultural heritage. In fact, the Jack-O-Lantern you light each Halloween may very well have come from Bledsoe County, which labels itself Pumpkin Capital of the World.
CUTTING A RUG More than 2 billion square yards of carpet and floor covering are shipped annually, and 80 percent of the U.S. carpet market is supplied by mills located with a 65-mile radius of Dalton, making northwest Georgia the nation’s carpet capital. The region is home to some 150 plants, with an annual payroll of $4 billion. The Dalton-Whitfield Chamber of Commerce Carpet & Rug Outlet Council maintains a list of carpet outlet stores in the region. For more, ggo to www.daltonchamber.org. g
HERE’S WHERE THEY’RE BITING Watts Bar Dam in Rhea County, Tenn., is one of nine Tennessee Valley Authority dams on the Tennessee River. The reservoir is a popular spot for boating, fishing, swimming, camping and other outdoor activities. A scenic overlook near the dam provides visitors with a panoramic view of the reservoir and surrounding countryside. The sprawling 38,000-acre lake above the dam is one of the state’s best sport fisheries. Rhea County is also home to four natural wilderness trails.
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Business Climate
One for All A team approach helps the region capitalize on two massive projects Story by Joe Morris • Photography by Jeff Adkins
workforce
collaboration
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infrastructure
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oney talks, and the billions being spent by foreign companies in the Southeast Industrial Development Association’s 22-county service area these days speak with a loud and complimentary voice. As the new home of Volkswagen and Wacker Chemie AG, two of the largest foreign direct investments ever in Tennessee, the region has become the focal point not only for large-scale manufacturing efforts, but for the suppliers and other smaller businesses that feed them. And the rooftops are following the new industrial investment, as
construction workers and permanent employees move in, a boon to restaurant, retail and other consumer sectors. “We are in an excellent position to market and showcase the assets of our region,” says Kathy Johnson, program director for the Southeast Industrial Development Association, or SEIDA. In 2008 alone, SEIDA’s work helped lead to 10 locations, 16 expansions, $1.3 billion in new capital investment and more than 5,900 new jobs. German-based Wacker selected the region for a $1 billion solar energyrelated facility in Bradley County, Tenn. Michigan-based Gestamp Corp.,
a subsidiary of a Spanish company, plans a $90 million auto stamping plant that will create 230 jobs next door to Volkswagen’s $1 billion plant now under construction in Chattanooga. IVC US Inc., the U.S. operations of Belgium-based IVC Group, will build a $70 million, 520,000-square-foot facility in Dalton, Ga., its first in the United States. When production begins in 2011, the plant will produce 5,000 sheet miles of vinyl floor coverings each year and create 115 jobs. “We have a fabulous workforce, a lot of available sites for facilities to move into, low-cost, reliable power and a
The Southeast Industrial Development Association region covers 22 counties in Tennessee, Georgia and North Carolina.
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Volkswagen will ramp up production in 2011 at its assembly plant in Chattanooga.
By the Numbers
$1.3B New capital investment in Southeast Industrial Development Association service area in 2008
5,900 New jobs created through SEIDA efforts in 2008
16 Number of expansions in SEIDA service area in 2008
10 Number of new business locations in 2008
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great network of regional partners who have learned how to focus on regional economic development that’s benefiting all of us,” Johnson says. Those business advantages coupled with a strong air, rail and ground transportation system, are generating inquiries throughout the region from companies seeking to capitalize on Volkswagen now, Wacker in the future and the area in general. “We promote our geographic location in general and certainly in relation to the Enterprise South Industrial Park, where Volkswagen is under construction,” says Jack Hammontree, executive vice president and chief operating officer of the McMinn County Economic Development Authority. “We’re in the center of eastern Tennessee, and at a midpoint between Chattanooga and Knoxville. We’re adjacent to Interstate 75, but also close to other interstates and two major metro-area airports as well.” Proximity to major development is one of many strong points being promoted in and around Dalton, which has seen significant retrenching and retooling in its signature carpet industry in recent years, says Brian Anderson, president and chief executive officer of the Dalton-Whitfield Chamber of Commerce.
“When you’ve got two billion-dollar projects just north of you, that will drive change,” Anderson says. “North Georgia is already experiencing residential growth as a result of people wanting to live here, but work in Tennessee, and we know that retail and commercial development will continue to follow that.” The carpet industry has made capital investments in equipment so it can produce more with fewer people, Anderson says, but companies are targeting the region for their growth plans. “We have not allowed them to slip away,” he says. “We’re creating work within our existing industries, as well as seeking new investment in the area.” A regional approach to economic development, Johnson says, has led not only to the major projects coming to the area, but also to dozens of other relocations and expansions and billions in capital investment. “Now we are helping smaller companies capitalize on the investment of these larger companies,” she says. “Our communities have taken the opportunity to invest in their sites and facilities they are stepping up to become critical players in the economic development and marketing arena.”
They’ve Got the Spaces, Places The Southeast Industrial Development Association service region includes a number of industrial/warehouse properties and raw acreage available for development. Below is just a small sample. For a searchable database of properties, go to www.seida.info and click on the Site and Building Search tab.
AVAILABLE INDUSTRIAL/ WAREHOUSE SPACE 1400 E. 42nd St. Chattanooga, TN 37407 Building: JEPCO Rossville Chromatex Building County: Hamilton Type: Industrial Size: 318,000 square feet 1570 Industrial Blvd Jasper, TN 37347 County: Marion Building: Jasper Industrial Park Type: Industrial Size: 304,920 to 9.8 million square feet 5901 Shallowford Road Chattanooga, TN 37421 County: Hamilton Type: Industrial, warehouse Size: 284,000 square feet 155 Palmer Lane Andrews, NC 28905 Building: Coats American Building County: Cherokee Type: Industrial Size: 253,400 square feet 900 Wauhatchie Pike Chattanooga, TN 37419 Building: KENCO Wauhatchie Building County: Hamilton Type: industrial, warehouse Size: 242,000 square feet 1545 Euclid Ave SE Cleveland, TN 37311 County: Bradley Type: Industrial, warehouse Size: 229,781 square feet 1301 C and L Drive Dalton, GA 30721
Building: Shaw County: Whitfield Type: Industrial Size: 225,000 square feet 3551 Corporate Drive Dalton, GA 30721 Building: E&T Converters Building County: Whitfield Type: Industrial Size: 223,000 square feet 4095 Highway 64 Murphy, NC 28902 Building: Emerson Building County: Cherokee Type: Industrial, warehouse Size: 215,350 square feet 1590 King Edward Ave. Cleveland, TN 37311 Building: Cooke Manufacturing County: Bradley Type; Industrial Size: 211,520 square feet 6301 Enterprise Park Drive Chattanooga, TN 37416 Building: KENCO BP II County: Hamilton Type: Industrial, warehouse Size: 210,000 square feet 1 Edmond St. Calhoun, GA 30701 Building: Edmond Building County: Gordon Type: Office, industrial Size: 196,000 square feet Shaw Building Trenton, GA 30752 County: Dade Type: Industrial, warehouse Size: 192,756 square feet 18 Highway 41 SE Calhoun, GA 30701 Building: Carraro North America County: Gordon Type: Industrial Size: 180,000 square feet
AVAILABLE ACREAGE 581 Highway 411 Benton, TN 37316 County: Polk Size: 450 acres 1570 Industrial Blvd Jasper Industrial Park Jasper, TN 37347
County: Marion Total Acres: 225 Klatt Site Summerville, GA 30747 Building: Klatt Site County: Chattooga Size: 168 acres Trion Industrial Park Trion, GA 30753 County: Chattooga Size: 133 acres Dade County Industrial Park Trenton, GA 30752 Building: Dade County Industrial Park County: Dade Size: 106 acres Morrison Lane Watts Barr Industrial Property Spring City, TN 37381 County: Rhea Size: 100 acres Walker County Business Park La Fayette, GA County: Walker Size: 40 to 340 acres Mt. Verd Road and I-75 Mt Verd Interchange Site Athens, TN 37303 County: McMinn Size: 20 to 223 acres 400 Salem Road Rossville, GA 30741 County: Walker Size: 15 to 107 acres U.S. Highway 411 North and North Industrial Drive North Etowah Industrial Park Etowah, TN 37331 County: McMinn Size: 10 to 600 acres Spring Branch Road Interchange South Industrial Park Cleveland, TN 37353 County: Bradley Size: 10 to 300 acres Union Grove Road Montgomery Farm Niota, TN 37826 County: McMinn Size: 10 to 165 acres
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Radiating Opportunity Wacker project heats up the region’s solar prospects
Story by Joe Morris Photography by Jeff Adkins
W
hether it’s existing technology or futuristic new equipment and processes, renewable energy production is generating new investment and new opportunities. A case in point is Bradley County, Tenn., where the massive, $1 billion Wacker Chemie AG facility will lead the charge. The facility will manufacture hyperpure polycrystalline silicon, which is used by the solar energy industry for photovoltaics and by the electronics industry in semiconductor manufacturing. Around 500 workers will be required in the initial operation, a figure that should grow over time as the initial investment, Wacker’s first in the United States, continues to expand on the company’s 550-acre site, says Gary Farlow, president and chief executive officer of the Cleveland/ Bradley Chamber of Commerce.
Wacker Chemie’s planned $1 billion plant in Bradley County will help transform the region into an energy-sector powerhouse. Right: The region is poised to become a major force in the production of alternative-energy components.
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“The United States is only about 8 percent of the world solar market, and that’s something they believe is really going to take off here,” Farlow says. “We had been working with them since 2005, so they were looking at us and the positives here for a long time.” In addition to inexpensive, readily available power and a nearby river for its cooling system, Wacker is also pleased with Tennessee’s growing profile in the solar industry. One of its major competitors, Hemlock Semiconductor, is setting up shop in Clarksville, Tenn. “They see solar becoming cost-effective and a cheaper alternative in this country, and they wanted to get their presence here established,” Farlow says. “And in addition to the water and power we could offer them, we also could provide a source of chlorine right next door at Olin Corp., so they can run a pipeline for that part of their process.” Economic development officials across the region have watched the Wacker deal unfold with great interest and hope that they can capitalize on the growing energy sector. McMinn County, Tenn., is promoting its proximity to various suppliers and also fielding a steady supply of
inquiries from outside as well, says Jack Hammontree, vice president and chief operating officer of the McMinn County Economic Development Authority. “We are appealing to their suppliers, even though the factory’s operation is still several years out,” Hammontree says. “And we are getting requests for information from their suppliers and their customers. We think that being nearby is going to be a real asset to us, and that we’ll be talking to a lot more people as their opening gets closer.” Wacker’s ambitious investment plans also are generating a lot of excitement in and around Bradley County, both in terms of employment growth and a steady influx of downstream businesses as the product lines increase. “We’re very well positioned when it comes to other people in the solar industry,” Farlow says. “We’ll be at the very beginning of the chain with Wacker, because they make the silicon. From there it will move to other products and eventually to wafer and solar-panel production, and we have tremendous potential to bring those people here as well. This has really put us on the map when it comes to alternative energy.” SERESOURCE.COM
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Retooled and Ready New industries build manufacturing sector growth
Story by Joe Morris Photography by Jeff Adkins
S
ignificant investment in new and existing facilities is giving new muscle to the Southeast Industrial Development region’s manufacturing base. The region’s roster of manufacturers is as impressive for its diversity as its length. Many are even taking over existing plants to solidify their market presence. That’s the case with Shaw Industries, which has purchased Sportexe Construction Services’ plant in Calhoun, Ga. The plant, which makes artificial fields for many sports, will become a part of Shaw’s recreational surfaces division. Volkswagen is revamping the local auto manufacturing industry with its $1 billion plant under way in Chattanooga, and multiple energyrelated enterprises are building on a long history of success to penetrate
current and coming markets with their products and services. “We think one way to attract manufacturing business is through the smell of money being made, and as manufacturers are successful in establishing and expanding their operations here, then others will follow,” says Ray Childers, president and chief executive officer of the Chattanooga Manufacturers Association. “We are seeing that now on many fronts.” The suppliers and related business attached to Volkswagen’s bumper are fueling inquiries and economic development activity not only in Chattanooga and Hamilton County, but in an eight- to nine-county region surrounding it, Childers says. The energy sector is quietly but quickly ramping up operations to
Whirlpool Corp. has brought production of its built-in ovens and cooktops to its manufacturing operations in Bradley County, Tenn., a move that will add 500 jobs.
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produce major components for nuclear plants, as well as for solar and other new-energy producers. “In the next decade or two the energy sector, specifically nuclear energy, may outpace the automotive industry here,” Childers says. French-based Alstom announced a $280 million expansion in Chattanooga to make the largest turbine rotors in the world, a major component used in virtually every power plant — nuclear, fossil or gas. “They’re already doing retrofits on plants around the country, and we see ourselves as being at the center of this service industry. We also have Westinghouse here, and they’re growing, and other major companies are looking at moving into the area as well,” Childers says. Other players heating up the market include Whirlpool, which brought production of built-in ovens and cooktops to its Bradley County, Tenn., facility, adding 500 jobs. Chattem Inc. will invest $35.5 million and create up to 70 jobs by bringing production of its ACT mouthwash line to Chattanooga. In December 2009, French-based Sanofi-Aventis announced it would acquire Chattem for $1.9 billion to create the world’s fifth-largest
consumer health-care company. Columbus McKinnon plans to invest $5.5 million to expand its Dixie Industries specialty forging and assembly operations in Chattanooga, adding 120 jobs. And Arch Plastics Packaging plans to double the size of its Chattanooga pharmaceutical and personal care bottle-making plant to 60,000 square feet and create 60 additional jobs. Pliant Corp. has reversed a decision to close its Dalton, Ga., manufacturing facility and plans to expand it. Pliant is a leading producer of value-added film and flexible packaging products for personal care, medical, food, industrial and agricultural markets. The region should be able to capitalize on the diversity to grow the manufacturing infrastructure now, and then really take off as the economy recovers, Childers says. “We’re well positioned to provide the nuclear and other services because of our location and what’s already here, but we also are benefiting from our manufacturing heritage,” he says. “We’ve made a lot of things here in the past, and we have a lot going on now. Manufacturing is really taking off again around here.”
Wages Southeast Industrial Development Association Wage Information
$24,833 Average wage for all industries
$28,240 Average manufacturing wage
$28,828 Average est. manufacturing wage
Floor covering giant Shaw Industries is among the Southeast Industrial Development region’s major manufacturers.
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Gallery
The 9,000-acre Chickamauga and Chattanooga National Military Park spans the Georgia-Tennessee border and commemorates two major Civil War battles. Photos by Jeff Adkins
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Chattanooga is a center of commerce in the region.
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Water from the Rock Creek watershed flows toward Lula Lake and Falls at Lookout Mountain, Ga. Photos by Jeff Adkins
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A butterfly lands on a plant in the Butterfly Garden at the Tennessee Aquarium in Chattanooga.
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Livability
Small Business, Big Successes Quality of life fosters entrepreneurial growth Story by Joe Morris Photography by Jeff Adkins
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rom small business development centers to startup capital assistance to networking, resources for new companies abound throughout the Southeast Industrial Development Association’s 22-county service area. But it’s the region’s quality of life that continues to spur more startups and entrepreneurs to put down permanent roots. What’s even more telling about the area’s quality of life is that it is not just one industry sector but several that are growing, thanks to an influx of people who want to live and work in the same spot. Take Sheila Boyington, who along with her husband, Dane, owns Thinking Media, which provides training programs for WorkKeys skills and other skills-gap remediation programs. The two began the company in 1997, and have found nothing but success from their Chattanooga base, Sheila Boyington says. “I had gotten to know people in the community through volunteering, so when we began the business, we had this strong network that allowed us to have the connections to get what we needed,” she says. “We’ve had continuous support and encouragement of city leaders, which has helped us to grow the business in the way we have. They are focused on building up small business and giving us lots of exposure.” The area’s positives also were a strong lure for Harshad Shah, founder, president and CEO of Hamilton Plastics, who moved the Michigan-based testing lab to Chattanooga and launched Hamilton in 1986. The company now has about 100 employees. Just east in Cleveland, Tenn., T&L Baking Co. has been turning out thousands of angel food and other cakes daily since 1988. Begun by Thomas Pavlou, a native of Cyprus who came to the United States to study, and his wife, Laurie, the
“We have had the continuous support and encouragement of city leaders, which has helped us to grow the business in the way we have.” bakery has been frequently showcased in local and regional media as an example of how a small business can become a major player. “I have a degree in industrial management, so I built the machines and everything,” Thomas Pavlou says. “We bake between 1,500 and 2,000 cakes a day, and we deliver to Florida, Mississippi, Alabama and Kentucky. We supply distributing companies that then deliver to grocery stores in that area.” It’s a long way from Cyprus to Cleveland, but Pavlou says that while studying in the area during college, he fell for its charms, and after marrying, he convinced his wife that the region would be the place to set up shop. Now, with a son studying business in college, it would appear a dynasty might be in the making. “It’s a nice city to live in, and now we’re just looking to make more profits so we can buy more ovens and more equipment, then supply more distributors,” Pavlou says. “We want to expand to Arkansas and Missouri, so we’re working to do that.”
Sheila Boyington credits civic support and encouragement for helping her Chattanooga-based business grow.
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The Land of Rivers, Lakes, Mountains and Valleys A Good Place to Live, Work, Shop and Play Located on the Tennessee River Connected to Three Major Interstates (I-24, I-40 and I-75) by a Four-Lane Highway (Hwy. 27) Major Railroad through County Award-Winning Tennessee Airport of the Year, Featuring 5,000’ x 100’ Runway, with Low-Lead Jet Fuel Available Land Available in Dayton and Spring City Industrial Parks
Rhea County A Certified Three-Star Community
Home of: Historic Rhea County Courthouse and Scopes Trial Museum Bryan College, a Major Liberal Arts College Historic Downtown Shopping Districts Dayton is a Tennessee Main Street Community Ad Sponsored by: Dayton Electric Department
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Rhea Economic & Tourism Council, Inc. (423) 775-6171 £äÇÊ > Ê-ÌÀiiÌÊUÊ >ÞÌ ]Ê/ ÊÎÇÎÓ£ www.rheacountyetc.com DAYTON ELECTRIC DEPARTMENT OFFICE: 399 1st Avenue P.O. Box 226 Dayton, TN 37321 P HONE: (423) 775-1818 FAX: (423) 775-8404
Vintage Business THE REGION IS RIPE WITH WINE-MAKING ENTERPRISE The Southeast Industrial Development region is rapidly building a reputation as a cluster of winemaking enterprise. Soil and climate conditions make it fertile territory for growing numerous varieties of grapes that are being turned into award-winning wines. Crane Creek Vineyards in Towns County, Ga.; Morris Vineyard and Tennessee Mountainview Winery in Charleston, Tenn., and the Ocoee Winery in Cleveland, Tenn., are just a few of the winemakers in the area. Family-owned Morris Vineyard has been in operation since 1965, and added a winery in 1986. It produces nearly 30 varieties of muscadine fruit,
along with grapes and blueberries on a 50-acre farm. A visitors center on site includes a gift shop and tasting room for samples of its eight different varieties of wines. “We’re at the perfect latitude to grow a wide variety of grapes,” says Megan Hearn, tasting room coordinator for Crane Creek Vineyards. “The mountains and climate make it a perfect area.” Founded in 1995 by Eric Seifarth, who also is the winemaker, the Crane Creek operation produces about 4,000 cases – 50,000 bottles – of wine each year. At the 2009 San Francisco Chronicle Wine Competition – the
largest competition of American wines in the world – Crane Creek’s 2007 Seyval Blanc earned a silver medal. Its 2006 Hellbender Red, made from Norton grapes, earned a bronze medal. A tasting room is located in an old farmhouse, built in 1886 and owned by several generations of the Bryson family. “The owners actually lived in it for the first five or six years after they planted the vineyard, while the vines got going,” Hearn says. In addition to the vineyard and winery, Crane Creek offers bed-andbreakfast lodging, a culinary garden, wedding and special events facilities rental, and catering. – Carol Cowan SERESOURCE.COM
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Energy/Technology
Power Player The energy sector generates growth in the region Story by Joe Morris
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convergence of global energy needs and a strong manufacturing sector is happening now in and around Chattanooga with plant upgrades, expansions and retooling, positioning the entire region for explosive growth. The area has seen a recent uptick with SIAG Schaaf Industrie AG ‘s acquisition and expansion of its
Chattanooga wind-turbine tower plant, a move expected to add 120 jobs. French-owned manufacturing giant Alstom is investing $280 million to expand its existing facility in Chattanooga. The complex will build steam and gas turbines, generators and related equipment for use in all types of power plants, and is expected to create around 360 jobs by the time
it is operational in early 2011. These and other investments by notable local and national names such as Westinghouse, which is wrapping up a $25.2 million plant expansion that will add 52 jobs, can only mean good things for the entire region, says J.Ed. Marston, vice president of marketing and communications for the Chattanooga Area Chamber of Commerce.
French manufacturer Alstom is investing $280 million to expand its Chattanooga operations to make power generation equipment.
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“Alstom was a giant announcement, and as the facility continues to go up, it’s very impressive,” Marston says. “When SIAG purchased Aerisyn and said they were going to invest $3 million and double the number of employees to 120 over the next two years, that was key here in terms of energy development.” Aerisyn builds towers for windpower generation, while Alstom’s products are suited for nuclear and conventional power generation. “We’re seeing all the energy sectors grow their presence here,” Marston says. The Westinghouse expansion included a scale model of a nuclear reactor so the company could beef up its maintenance and consulting services, giving the region a new presence in the energy-education and training market, Marston says. “Any of these would be a great investment all by itself, but to have all these assets in the community is very attractive to synergistic industries, and it allows for more growth in each sector,” Marston says. Wacker Chemie AG’s plans for a $1 billion solar energy raw material operation in Bradley County, Tenn., shows how industry clusters can come together, he says. “There’s going to be a continuing trend in the United States with both energy consumption and a strong interest in growing green and zeroemission power sources. We have existing companies in those spheres as well as a great deal of technical expertise here right now,” Marston says. To sweeten the pot even more, the presence of the Tennessee Valley Authority and many of its retired employees who have gone into consulting give the region a deep roster of expertise in the energy field. “We are very well positioned to come out of the gate very strongly as the economic climate warms,” Marston says.
The growth in wind energy is sparking new opportunities and investment in the region.
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S TA F F P H O T O
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Transportation
Air to There Airport upgrade gives lift to region’s transportation system Story by Kevin Litwin
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JEFF ADKINS
ouchdown, Heath Shuler. The former University of Tennessee and Washington Redskins quarterback, now a U.S. congressman representing the 11th District of North Carolina, played a key role in getting the Federal Aviation Administration to upgrade AndrewsMurphy Airport in Murphy, N.C. In fact, the security, capacity and safety upgrades even prompted airport officials to change the name from Andrews-Murphy to Western Carolina Regional Airport. “Heath’s involvement has helped us develop an excellent airport here,” says Larry Kernea, Cherokee County Airport Commission board member. “The upgrades and changing the name to Western Carolina Regional will not only allow us to continue serving the small towns of Andrews and Murphy, but also north Georgia counties,
Availability of quality commercial air service is an economic edge for the region.
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S TA F F P H O T O
Transportation Southeast Region Transportation Assets Major highways: Interstates 24, 75, 59; quick connections to Interstates 65, 40, 81, 20, 85 Class I Rail: CSX, Norfolk Southern Corp. Water: Tennessee River with access via the Tennessee-Tombigbee Waterway to the Port of Mobile. A number of private and public port facilities are located along the Tennessee River including Center South Riverport/Industrial Park and Port of Nick A Jack.
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western North Carolina and southeast Tennessee.” One of the key upgrades for Western Carolina Regional was designating it as an airport for any kind of disaster response. In addition, the airport now provides access for businesspeople to charter flights anywhere within a 300-mile radius. “For example, if you need a flight for tonight at 5 or tomorrow at noon to, say, Washington, D.C., the airport sets it up,” Kernea says. “Four-passenger or eightpassenger planes can be booked out of here, or even Learjet aircraft.” Kernea says Western Carolina Regional is also developing an aviation business park on the airport grounds. The upgrade at Western Carolina Regional bolsters the Southeast Industrial Development Association service region’s impressive crop of airports, including Dalton (Ga.) Municipal Airport and Blairsville (Ga.) Municipal Airport, which both provide service for corporate and general aviation aircraft.
Chattanooga Metropolitan Airport offers commercial service for 600,000 passengers annually and is expanding its Hamilton County Foreign Trade Zone 134. The FTZ and its storage facilities will ultimately reach into three neighboring counties and act as a major stimulus for regional economic development. But air travel certainly isn’t the only noteworthy mode of transportation throughout the SEIDA territory. Several major interstates crisscross the region, including I-75, I-59, I-40 and I-24. The proposed Corridor K highway, a route on the Appalachian Development Highway System, would run from I-75 in Cleveland, Tenn., into western North Carolina to U.S. 23 near Sylva. Planning studies are now under way on that project. In addition, port facilities on the Tennessee River allow goods to be shipped by barge and reach the Mississippi, Missouri and Ohio rivers and the Gulf of Mexico. Two major railroads, CSX and Norfolk Southern, serve the region, as do short lines that include the Chattanooga and
JEFF ADKINS STAFF PHOTO
Chickamauga Railway Co. and the Sequatchie Valley Railroad. “It seems like infrastructure improvements occur often in this region, mostly to generate more business. The region’s governing leaders are forward thinkers, which is why the SEIDA region continues to draw industry. Just look at Volkswagen,” says Kernea, referencing the German automaker’s $1 billion assembly plant under construction in Chattanooga. “Hopefully, there will be many more of those kind of announcements to come.”
LIVING GREEN STARTS FROM THE GROUND UP. Major highway access, abundant industrial parks and quality air service are among the region’s transportation advantages.
Living green is making sure the air in your home is healthy for your family to breathe. Test your home for radon and build radon-resistant. It's easy. That's living healthy and green.
Just call 866-730-green or visit www.epa.gov/radon
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Health
Well Treated Locally based providers fortify the region’s quality of care
Story by Joe Morris Photography by Jeff Adkins
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et sick, stay home, get better. It’s a simple prescription, but without local health-care options, many people aren’t able to get it filled. Happily, that’s not the case for residents in southeast Tennessee, north Georgia and western North Carolina, where high-quality medical facilities serve residents from the largest cities to the most rural areas. And whether it’s through new facilities, upgrades to existing buildings or the addition of new technology and procedures, the region’s providers are determined to bring the best available care to the communities they are in. Memorial Health Care System operates two acute-care hospitals, including Memorial Hospital and multiple satellite facilities, in and around Chattanooga. The system has more than 700 affiliated physicians throughout its network and has been recognized nationally by Thomson Reuters on its 100 Top Hospitals list. While Memorial is known for its many cutting-edge treatments, the system also works to add innovative services. At the Memorial Women’s Center, for example, patients waiting for mammograms or other procedures can enjoy free sessions with a skin specialist or dietitian, while also having breakfast, lunch or even a massage. Chattanooga is also headquarters of BlueCross BlueShield of Tennessee, which provides services to nearly 5 million members nationwide. In north Georgia, Hutcheson Medical Center provides a full range of services from its Fort Oglethorpe flagship to a 137,000-resident service area that includes Catoosa, Dade
and Walker counties. The 195-bed hospital, which is accredited by the Joint Commission on Accreditation of Healthcare Organizations, has more than 200 physicians and 400 registered clinical nurses and staff affiliated with it. Murphy Medical Center, a 57-bed facility in Murphy, N.C., serves seven counties in North Carolina, Georgia and Tennessee. Recent additions to the hospital include a 64-slice CT scanner, upgrades and renovations to patient rooms, and enhancements throughout the information-technology system to allow for computerized patient care at bedside, says Kristen Brown, marketing manager. The medical center is extending its Murphy Group Practice physician group into neighboring Hayesville, N.C., to offer needed services in that area, as well as building a new urgent-care and family practice center that can handle a growing volume of patients. When it opens in mid 2010, that facility and others like it will highlight the deep commitment that care providers have made in the region. “Having a comprehensive medical center in a community keeps patients near their home, family and friends during their sickness or injury,” Brown says. “And it supports our local economy — we are the largest employer in the county, directly contributing $36.3 million in salaries and benefits to people in our area.” Just as importantly, she adds, “Our being here draws employers, workers and retirees to our area. Accessible, quality care is one criteria companies and people research before deciding to move to a new location.”
The Southeast Industrial Development region’s health-care providers have invested heavily in new technologies and facilities.
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The Right People for the Job Colleges ensure a full pipeline of skilled workers
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Education
Story by Joe Morris
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customized training programs. All have created strong partnerships in their service areas that economic development professionals in the region say are best in practice. With a seven-county coverage area, Georgia Northwestern Technical College is a major resource for the region. The school, formed in 2008 by the merger of Coosa Valley Technical College and Northwestern Technical College, offers a full range of coursework from its home
and satellite campuses, says Dr. Craig McDaniel, president. “Our mission is workforce development and occupational education, and our focus is on preparing people from our region for work,” McDaniel says. “With the job losses in our region, we’ve seen our enrollment go up, and we now have more than 6,100 students. We’re retraining those people for different careers, while also positioning ourselves
PHOTOS BY JEFF ADKINS
ite selectors say a well-trained workforce is their first priority when scouting a potential location. When they visit the 22-county service area of the Southeast Industrial Development Association, they check that requirement off the list right away. The area’s community colleges and workforce development providers offer everything from certificate courses to two- and four-year degrees, as well as
Cleveland State Community College in Cleveland, Tenn. Left: Georgia Northwestern Technical College in Rock Spring
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visit our
advertisers Blue Ridge Mountain EMC www.brmemc.com
Meigs County www.meigscountytnchamber.org
Chattanooga Area Chamber www.chattanoogachamber.com
North Georgia Electric www.ngemc.com
Cleveland Bradley County www.clevelandchamber.com Cleveland State Community College www.clevelandstatecc.edu Cleveland Utilities www.clevelandutilities.com Dalton Whitfield Chamber www.daltonchamber.org EPB www.epb.net Georgia Northwestern Technical College www.gntc.edu Hampton on the Lake www.hamptononthelake.com McMinn County EDA www.mcminncoeda.org
Northwest Georgia Joint Development Authority www.nwgajda.com Rhea Economic & Tourism Council www.rheacountyetc.com Sequachee Valley Electric Cooperative www.svalleyec.com Southeast Industrial Development Association www.seida.info Tennessee Career Center www.secareercenter.org Tri-State Electric Membership Corporation www.tsemc.net
Connect. Grow. Prosper. In Northwest Georgia When you partner with North Georgia Electric Membership and the communities of Northwest Georgia
www.ngemc.com
www.tva.gov
North Georgia EMC P.O. Box 1407 Dalton, GA 30722-1407 (706) 259-9441
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www.seida.info
Energy Solutions Technical Services Economic Development Business Retention
Two Good, Four Better GA. COLLEGE ADDS BACHELOR’S PROGRAMS
to work with new businesses coming in, everyone from Volkswagen suppliers to health-care companies. We have more health-care programs than any other college in Georgia, and those graduates go to work and have a tremendous economic impact in the region.” Strong community outreach is also a focus at North Carolina’s Tri-County Community College, a two-year institution serving students in Cherokee, Clay and Graham counties. The college works with commuter students to provide college transfer, vocational, technical and adult-education programs in a wide range of fields. And the impetus to provide and expand work-related programs also is very much felt at Cleveland State Community College, in Cleveland, Tenn., where more than 5,000 students take degree and noncredit courses each semester. A school strategy is strong links to new and existing industries, and many different avenues are used to
achieve that objective, says Lloyd Longnion, director of training and continuing education. Many companies have scaled back their in-house training departments, so the college is stepping into that role, Longnion says. Through a collaborative network, the college provides skills development for dislocated workers and partners with local governments and economic development councils. “We’re listening to the descriptions of the businesses they’re courting, and working to make sure that the people here can be trained,” Longnion says. “We’re well positioned to assess and certify the learning ability of the workforce here, and emulate the kinds of learning situations that are going to occur on the plant floor or within that company’s walls. We’re going to be a proxy for the training that would normally go on within the corporation.”
Training and vocational programs are a major component of the work of the Southeast Industrial Development region’s colleges.
By expanding to four-year programs in some areas, Young Harris College has broadened educational opportunities for students in north Georgia. The Towns County institution has a rich history of two-year programs, but its decision to become accredited for four-year tracks means that more college students can stay in the region to complete a bachelors degree, which is a plus for business and industry. That was one factor among many considered when the ramped-up accreditation was sought, says Cathy Cox, president of Young Harris College. “The trend is not good for the sustainability of private, two-year colleges,” Cox says. “We have a strong endowment, but we don’t want to become a dinosaur in higher education. We wanted to assure the long-term viability of the college, as well as be a better economic development engine for the region.” After almost two years of working with the Southern Association of Colleges and Schools to become accredited, Young Harris seated its first junior class in fall 2009. The school received approval for four majors: Music, English, Biology and Business, and hopes to add others, eventually raising its 650-student enrollment to around 1,200. The college’s staff is being expanded accordingly, and work continues on an ambitious, $75 million building project that includes a 200-bed residence hall, student recreation center and multiuse campus center. “Look at the research done across the country and, without exception, communities that have a college are doing better than those without one,” Cox says. “Part of that is the job creation, but it’s also the cultural and other amenities a college brings to the region.” – Joe Morris SERESOURCE.COM
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ECONOMIC PROFILE BUSINESS SNAPSHOT The SEIDA region provides an abundance of human, natural and industrial resources. Sitting at the southern end of the Appalachians, the region encompasses north Georgia, southeast Tennessee and southwest North Carolina. The 22 counties have a combined population of more than 1 million. Major population centers include Chattanooga, Cleveland, Tenn., and Dalton, Ga.
POPULATION Region, 1,058,736 Tennessee counties Bradley, 96,472 Bledsoe, 13,142 Grundy, 14,220 Hamilton, 332,848 Marion, 28,247 McMinn, 52,511 Meigs, 11,790 Polk, 15,671 Rhea, 30,781 Sequatchie, 13,580 Georgia counties Catoosa, 62,825 Chattooga, 26,801 Dade, 16,142 Fannin, 22,618 Gordon, 52,800 Murray, 40,304 Towns, 11,042 Union, 21,351 Walker, 64,799 Whitfield, 93,835 North Carolina counties Cherokee, 26,568 Clay, 10,389 Population Centers Chattanooga, 155,190 Cleveland, Tenn., 38,627 Dalton, Ga., 33,045
CIGNA, 1,850 Hutcheson Medical Center, 1,312 Parkridge Health System 1,080
LABOR FORCE STATISTICS Region, 517,476 Tennessee counties Bradley, 47,090 Bledsoe, 4,850 Grundy, 6,100 Hamilton, 168,350 Marion, 133,20 McMinn, 24,500 Meigs, 5,190 Polk, 7,140 Rhea, 13,400 Sequatchie, 6,320 Georgia counties Catoosa, 34,912 Chattooga, 10,981 Dade, 8,334 Fannin, 11,021 Gordon, 25,744 Murray, 19,991 Towns, 5,940 Union, 11,388 Walker, 32,955 Whitfield, 44,295 North Carolina counties Cherokee, 10,680 Clay, 4,975
MAJOR EMPLOYERS Manufacuring Shaw Industries, 9,900 Mohawk Industries, 5,825 McKee Foods, 3,200 Beaulieu Group Carpet, 2,606 La-Z-Boy Chair Co., 1,684 Pilgrim Poultry, 1,839 Porpex Inc., 1,800 Roper Corp., 1,242 Mt. Vernon Mills, 1,143 Whirpool Corp., 1,200 Nonmanufacturing BlueCross Blue Shield of Tennessee, 4,500 Erlanger Hospital System, 3,410 Provident Cos., 2,800 Memorial Health Care System, 2,152
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MEDIAN HOUSEHOLD INCOME Region, $38,268 Tennessee counties Bradley, $39,362 Bledsoe, $34,655 Grundy, $26,844 Hamilton, $45,511 Marion, $39,059 McMinn, $36,934 Meigs, $36,876
Polk, $34,660 Rhea, $37,682 Sequatchi $38,683 Georgia counties Catoosa, $47,022 Chattooga, $33,356 Dade, $40,654 Fannin, $35,710 Gordon, $42,769 Murray, $35,817 Towns, $40,383 Union, $42,302 Walker, $37,568 Whitfield, $43,408 North Carolina counties Cherokee, $35,221 Clay, $37,419
HOUSING MARKET Mean Home Prices, Detached Home (2007) Chattanooga, $179,457 Dalton, Ga., $207,648
TRANSPORTATION Major airports: Chattanooga Metropolitan Airport www.chattairport.com Western Carolina Regional Airport www.cherokeecounty-nc.gov/ departments/airport/ Airports in Huntsville Ala., Nashville and Altanta are within two-hour driving distance of several parts of the region Major highways: Interstates 24, 75 and 59 cross the region, and Interstates 65, 40, 81, 20 and 85 are within close proximity Rail: CSX Transportation, Norfolk Southern Corp. Water: The Tennessee River with access via the TennesseeTombigbee Waterway to the Port of Mobile. A number of private and public use port facilities are located along the Tennessee River including Center South Riverport/ Industrial Park and Port of NickA-Jack. Sources: www.seida.info quickfacts.census.gov
What’s Onlinee For more in-depth demographic, statistical and community information on Southeast Resource, go to seresource.com and click on Economic Profile.
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4 CLEVELAND BRADLEY COUNTY 37 CLEVELAND STATE COMMUNITY COLLEGE
7 NORTHWEST GEORGIA JOINT DEVELOPMENT AUTHORITY 32 RHEA ECONOMIC & TOURISM COUNCIL
20 CLEVELAND UTILITIES C4 DALTON WHITFIELD CHAMBER 24 EPB 2 GEORGIA NORTHWEST TECHNICAL COLLEGE
C3 SEQUACHEE VALLEY ELECTRIC COOPERATIVE 24 SOUTHEAST INDUSTRIAL DEVELOPMENT ASSOCIATION 41 TENNESSEE CAREER CENTER
12 HAMPTON ON THE LAKE 8 MCMINN COUNTY EDA
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