NETWORKS courts five prospects for Phipps Bend

ROGERSVILLE — Sullivan County's "NETWORKS" industrial recruitment partnership has gotten six "bites" since adding the Phipps Bend Industrial Park to its bait bucket in January.Unfortunately, one of those projects got away, but NETWORKS executive project manager Michael Parker said Friday it's just a matter of time before they reel in a keeper.On Friday, Parker presented the Hawkins County Industrial Development Board with what was described by some board members as a very positive and optimistic progress update.The one that got away involved a $190 million investment and 340 jobs at the 60,000-square-foot Phipps Bend spec buildingParker said the spec building made it through two rounds of selection before the company eliminated it from possible locations."That may sound like a loss, but in the long run that's actually a great sign if we're getting that far through the selection process," Parker told the IDB.Combined, the other five prospects represent close to $800 million in investment and a little more than 1,000 jobs.Among those five, however, is a whopper that has also caught the interest of the Tennessee Valley Authority — a forging operation that represents close to $700 million in investment and more than 700 jobs."We've already gone through round two of that selection process," Parker said. "The TVA has got a lot of renewed interest in this and they're going to try very hard to point them toward Phipps Bend."The forging plant is looking at 86 acres on the south end of Phipps Bend near the cooling tower ruins. A railroad connection is an option, and TVA is working with NETWORKS to secure options for running rail to that location.Another good prospect is a tool supplier from Germany, looking to invest $100 million.Parker added, "This is another one TVA has a great interest in and they're putting all their resources together to help us submit a very sound (proposal) packet for them."Aside from recruiting new industry to Phipps Bend, NETWORKS is trying to maintain what they have.That may require the help of the Hawkins County Commission in the form of tax incentives.Parker noted that a company is interested in purchasing an existing industry located at Phipps Bend.Parker said that existing plant is looking at communities in Texas and Kentucky to relocate and to close its Phipps Bend operation.Hawkins County will have to offer some sort of incentive to keep this industry, Parker said."I can guarantee you Texas and Kentucky are going to put tax incentive dollars on the board to help recruit," he added. "Right now (the existing plant) pays Hawkins County about $24,000 per year in taxes. It might be worth considering trying to abate that for three, five or even seven years to make it more enticing for them to retain their employees here — and possibly consolidate and add another 25."The new NETWORKS website will be up and running next week, and Parker said Hawkins County and property at Phipps Bend will be listed prominently alongside the Sullivan County property."There's a lot of progress and activity going on, and it's only a matter of time until something lands in Phipps Bend," Parker said. "Phipps Bend has been submitted more than any Sullivan County project here in the past two months. That's just the way the projects (inquiries) come through."Parker added, "The (inquiries) are really shaping up to be almost specific for the Phipps Bend site, and even the spec building. That seems to be a very popular site right now, and something that's receiving a lot of activity. We can't sit here and promise you that in three months or six months you'll have a new prospect or company in here, but there is a lot of activity, and we're seeing a lot of movement now."