Quarterly Newsletter

Community Stakeholders Report - Quarter Three - 2023

Clay Walker, CEcD - CEO

Email: cwalker@networkstn.com
Website: linkedin.com/in/clay-walker-cecd-67bbb18
Location: P.O. Box 747 Blountville, TN 37617
Phone: 423-279-7681
Facebook: https://www.facebook.com/NETWORKStn/
Twitter: @ClaytonRWalker

From the Desk of the CEO

Joy to the World (especially Northeast Tennessee)

Our heavy workload has shined the light on the importance of partnerships

Today – October 11, 2023, for those of you not opening your email right away – is National Spread Joy Day. Not the most celebrated holiday, I grant you, but one appropriate for the mood of our office these days.

You might notice something a little special in the brisk fall air if you’ve been around the NETWORKS team in recent weeks. There is the always-present enthusiasm as we continue to work on promising projects from site development to marketing campaigns to existing industry expansions to announcements of new companies coming to our region. The wide array of opportunities is only part of the reason for our excitement. The usual gratification of working in economic development has been amped up lately as we have increased our engagement with so many of our partners. Economic development has long been characterized as a team sport and we certainly rely on teammates, particularly the ED staffs of Kingsport, Bristol, and Hawkins County. Throughout the third quarter of 2023, our working relationships have been in high gear as we have been in lockstep with them and others on every project. And there have been many.

We have also been working at even greater levels of collaboration with partners at the Tennessee Economic and Community Development Department (TNECD), TVA, the First Tennessee Development District (FTDD), and our elected officials within our county, in Nashville, and in DC. We become more engaged with the East Tennessee State University Research Center with each passing week.

Before we had a chance to dedicate the 35-acre rail site in Partnership Park II, we were so deep in negotiations with a prospect that we decided to wait to see how that turned out. Instead of a dedication, we gathered at the site to announce Seaman Corporation will invest $30 million to construct a 350,000-square-foot facility where 58 people will work initially. That number is expected to grow exponentially during Phase II of the project in just a few years. While this was an independent project that began its search with about 100 potential locations, having a Seaman facility in Bristol since 1976 certainly was a factor in our favor. While working with everyone on the Seaman Corporation’s site selection team was an absolute pleasure, I cannot express enough gratitude towards Director of Manufacturing and VP of Bristol Operations Raj Venkataraman for his championing our community.

Meanwhile, in Kingsport, Anita’s was working with KEDB and NETWORKS on an exit strategy for its Northeast Tennessee facility. The snack food manufacturer has been based in California for decades and was optimistic when it expanded eastward in 2018, but market conditions caused the company to rethink this strategy. Instead of packing up and leaving, Anita’s leadership has been negotiating a transition with another company that would not only continue the lease agreement on the building with KEDB, but would protect the jobs in Kingsport as well. There are still details to work out and hurdles to clear, but it says a great deal about a company looking to assist in the transition for the community.

Other key items in the news the past three months include the annual E2E Summit under the direction of the FTDD’s Lottie Ryans which included hearing from the Department of Labor and Workforce Development Commissioner Deniece Thomas, grants received by our partners at the FTDD and Tri-Cities Airport, and a workforce development grant NETWORKS received in working with Bristol, BTES, and Bristol City Schools. We have come to terms and are working out the details of a partnership with Tri-Cities Airport in contracting with consulting firm JLL’s aerospace and aviation department to up our recruitment and development efforts for Aerospace Park (much more on that to come soon).

We were honored to have TVA Senior VP of Economic Development John Bradley address our Board of Directors in September. Speaking of TVA, NETRVRIDA hosted economic developers from our region for a presentation by TVA’s target market specialists which was very informative and generated some great conversations with us and our neighboring counties. We are also optimistic about a prospect we are recruiting that was brought to us by NETVRIDA.

We are fortunate to have so much economic development activity going on in our region and to have the resources in place to properly handle each one. Without our partners, it would be impossible. Fortunately, we don’t have to worry about that because if this past quarter of a year has proven anything, it is that we can count on them to be right there alongside us. And that brings me great joy.

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Seaman Corporation announces expansion in Sullivan County

Tennessee Gov. Bill Lee, Department of Economic and Community Development Commissioner Stuart C. McWhorter, and Seaman Corporation officials announced today the company will build a new 350,000-square-foot facility in Bristol, Tennessee.

Located at Partnership Park II, a Select Tennessee Certified Site, Seaman Corp will create 58 new jobs at its new manufacturing and distribution facility, which will be the company’s fourth facility in Bristol.

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Watch highlights from the event

TNECD press release

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Palmex plans to Lease Anita’s Facility, Manufacturer Investing $16.5 Million in Kingsport

Anita’s Snack Foods is in negotiations to lease its facility immediately to the largest snack pellet manufacturer in the snack industry for Mexico, the United States, Central and South America.

Anita’s has started negotiations to lease its facility in Gateway Commerce Park to Palmex USA and the company is tentatively planning a $16.5 million investment into the Kingsport facility over the next five years, according to a press release.

“Anita’s West Coast business is doing well, but its East Coast business did not do as well as expected,” Clay Walker, CEO of NETWORKS Sullivan Partnership, said. “Those things happen, so Anita’s approached NETWORKS and told us they had found another company to go into the facility.”

Workforce Development & Quality of Life

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NETWORKS joins partners for Education 2 Employment Summit

Hosted by the First Tennesee Development District, E2E is an annual meeting of employers, educators, elected officials, and community partners to discuss workforce challenges and opportunities. TNECD Commissioner of Workforce Development, Deniece Thomas kicked off the event with a Department of Labor update. The day was filled with topics related to AI, Veterans in the Workplace, the Hiring Our Heroes Initiative, innovation in our high schools, and meeting employee expectations.

More about the event

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FTDD announces multiple workforce and community development grants for the region

The First Tennessee Development District announced that it has been awarded a $1.5 million dollar Work Opportunity for Rural Communities (WORC) initiative grant by the U.S. Department of Labor More details

The FTDD was also awarded $44,800 in Appalachian Regional Commission (ARC) funds through the (INSPIRE) Initiative, to address the barriers to employment for individuals in the recovery and/or justice-involved communities. Details

FTDD announced all 8 counties in the district, representing 28 organizations, have been awarded Community Development Block Grants to address food insecurity. Together, these grants total $3,097,973 and will be used to purchase supplies and equipment to expand capacity to distribute food to low-income communities and populations. Details

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NETWORKS Awarded TVA Workforce Invest Grant

NETWORKS Sullivan Partnership is happy to announce that we have been awarded a TVA Workforce Invest Grant that will be used to incorporate Virtual Reality Training and Career Exploration as part of our growing CTE initiatives within the local school systems.

NETWORKS partnered with Bristol TN City Schools, The City of Bristol, TN, Bristol Tennessee Essential Services, and the Tennessee Valley Authority on this PILOT program and look forward to seeing how our students will benefit from this cutting-edge technology.

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Tri-Cities Airport receives Department of Transportation Grant

Tri-Cities Airport Authority (TCAA) is one of 20 airports from across the United States to be awarded a Small Community Air Service Development Program (SCASDP) grant from the U.S. Department of Transportation. The $900,000 grant will be used to incentivize an air carrier to provide nonstop service to Chicago O’Hare International Airport (ORD).

The SCASDP grant will allow the TCAA to provide a minimum revenue guarantee (MRG), start-up costs, and marketing support to an airline partner for new air service to the Chicago hub.

“We are excited to be awarded the SCASDP grant and the opportunity it provides for our region,” said Gene Cossey, Executive Director of Tri-Cities Airport. “The grant can help us recruit an airline to provide this important connection for our community, and ultimately help stimulate additional economic growth for our region. It is important to note the grant is not a guarantee of service to Chicago.”

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Regional Wage & Benefits Survey Results available

The Regional Wage & Benefit Report, which details the results of the 2023 survey of the region's manufacturers is now available.

Conducted in partnership with economic development organizations and professionals from across the region, the report outlines the wage and benefits structure within the manufacturing sector of 11 counties in Northeast Tennessee and three counties and one city in Southwest Virginia. More

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Kingsport Fun Fest Returns For Another Year

Kingsport’s yearly summer celebration! Bringing enjoyment to Kingsport for more than 40 years, Fun Fest has a rich history of gathering people together with laughter, community, and entertainment. The festival is held over nine days with 100+ events in more than 50 locations across the city.

Danny Gokey kicked off the series on Thursday, July 20th, with opener Ellie Holcomb. Boyz II Men headlines the Friday Night Concert on July 21st with Johnnyswim opening. On Saturday, July 22nd, Eastman presented the festival finale with headliners, Clay Walker and Chris Lane, featuring opener, Brittney Spencer.

Event recap

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Bluff City's 27th Annual Heritage Day Festival

A celebration was held Saturday in Bluff City as thousands gathered to celebrate its Heritage Day Festival.

The festival takes place on the last Saturday of September each year.

There were vendors, food, and music. There was also the biggest car show ever held during the festival.

Mayor Jeff Broyles described the event as a big family reunion.

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A Reunion Like No Other

Bristol Rhythm & Roots is truly a reunion in every sense of the word.

Each year, attendees, workers and artists are seen reuniting with embrace throughout the weekend, and, as a result, this festival possesses a family atmosphere. And when things don’t go quite according to plan, it’s family that smooths out the edges.

BRRR usually fights periodic bouts of showers throughout the weekend, but this year saw heavyweight fights with rain almost every day. It all came out in the wash, though.

Schedules were changed, and staff feverishly negotiated upcoming storms, and in the end the festival felt just right once again.

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September weekend of racing at Bristol Motor Speedway

Denny Hamlin wins the 2023 Bass Pro Shops Night Race at Bristol Motor Speedway

Denny Hamlin took home the win at the 2023 Bass Pro Shops Night Race at Bristol Motor Speedway.

"I beat your favorite driver," Hamlin said to the crowd as boos rained down upon him.

After two rain delays earlier in the night, Hamlin was able to dominate the final stage after Christopher Bell, who finished third, won the first two stages.

Video Recap of the event

Socially speaking

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BMS GM Caldwell honored as Tennessee Tourism Leader of the Year

Jerry Caldwell, president and general manager of the vaunted facility in Bristol, was announced as the winner of the 2023 Tennessee Tourism Leader of the Year Award.

Winners of the award have dedicated their careers to success in the tourism field. Each year’s winners are hand-selected by a panel of previous winners and chosen for their character, work ethic, leadership, and inspiring ability.

“I am truly humbled and grateful for the honor to accept this award,” Caldwell said. “This recognition is a testament to the incredible team of dedicated individuals who work tirelessly to showcase the hospitality of our great state through large-scale events.”

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Event Information