Connecting the Dots

LETTER FROM THE CH A IRMA N

Economic development is often referred to as a “team sport.” Or a “rela-
tionship business.” Both concepts are embedded in truth to be sure. They
also speak to the “new math” of economic development: connecting the
dots.

It is fitting that our organization is named NETWORKS, as connecting with

the right people, programs, initiatives, and direction have become the
impetus of a strong economic and community development program of
work. Without the properly focused connectivity, an economic develop-
ment organization becomes a lost leader in today’s world of low unem-
ployment, rapidly changing technology, and transitioning workforce once made up of Baby Boomers
and Gen X yielding to Millennials and Gen Z.

In 2018, our connectivity – in terms of relationships and an understanding of programs and the neces-
sary steps in creating a viable, competitive economic development product – created several opportu-
nities for long term success. In addition to substantial investment and steady job growth from the private
sector, we saw significant assistance in the form of grants from our partners at TNECD, TVA, and AEP
which will be crucial in improving our industrial sites. Our work with Oak Ridge National Laboratory led to
taking a group of our advanced manufacturing companies to the lab, where they learned more about
(or, were connected to) the programs available to them; since the trip, at least four of them are utilizing
ORNL’s services.

Although it doesn’t nearly encompass the majority of the work of an EDO, the public spotlight seems to
shine brightest on new job and investment announcements. We did pretty well in that category in 2018
as well, with just over 600 new jobs announced through recruitment of new companies to our area and
expansions of existing industry; these 11 projects represented more than $530 million of investment in our
community and approximately another 950 indirect (or secondary) jobs.

With all of this activity, however, our organization did not make 2018 about what we were doing right.
Last year was about examining what opportunities for improvement existed for NETWORKS and the
communities we serve. You’re probably thinking, “Don’t you do that every year?” and the answer is of
course we do. But last year we made a very intentional shift to constantly question, examine and re-ex-
amine, and then recommit to a newly sharpened focus, the pinnacle of taking stock being at a two-
day strategic planning retreat.

We covered quite a bit of ground, but soon came up with three areas of emphasis on which to more
deeply engage our Board of Directors: product development (buildings and sites), regionalism, and
workforce development. While significant work is well underway in all three areas, including the produc-
tion of a living document that outlines a path to improved regional collaboration and perhaps even
formal agreements among area EDOs, most of the work in each category will be rolled out publicly in
the first half of 2019.

Suffice it to say, while our CEO and staff – the professional economic developers – are on top of the
latest economic development issues and best practices, our Board is very engaged in determining
the direction of our organization. We take this task seriously. In recent years, the disparity of growth
between major metros versus communities of our size has grown wider. But we are confident that we
are better positioned than most to turn this challenge into an opportunity. Doing so is what has made
us Where Tennessee Begins Its Business Day. We just have to continue to work together and connect
the dots.

Carolyn Ferrell
2 • NETWORKS Sullivan Partnership Annual Report • 2018
Each year presents challenges and opportunities to tell our region’s story and extend our brand of Where

MA RKE TIN G & ATTRACTI ON

Tennessee Begins Its Business Day to C-suite executives and leading site location consultants. NETWORKS’s
project management and marketing team continued to rely heavily on its partnerships and relation-
ships with the Tennessee Department of Economic and Community Development, Tennessee Economic
Partnership, TVA, AEP, Northeast Tennessee Valley Regional Industrial Development Association, and other
local and regional economic and community development organizations to reach a broader audience
as well as find some new vehicles to carry our message.

“A community or region of our size can certainly do a great deal to build and promote its own brand
and even generate a fair amount of leads and prospect activity,” Clay Walker, CEO of NETWORKS, said.
“Still, we can’t develop nearly the amount of activity and prosperity on our own than we get from our
partners, TNECD in particular. So, through being a leading partner with TEP, staying in close contact with
the state’s management team and business development directors, other communities and support
organizations, we maximize the benefit of Team Tennessee. While we pride ourselves in creative market-
ing, it would be foolish to ever get away from this great network of partners.”

Team Tennessee
For the third consecutive year, NETWORKS was represented at every outbound TEP event and the or-
ganization’s two state-wide inbound events – the CMA Festival and Consultant Connect’s ECONOMIX
conference – both held in Nashville. (TEP sponsors three other inbound events that are exclusive to the
members in the regions in which they are held, one of them being NETWORKS’s Northeast Tennessee
Red Carpet Tour.) Last year’s slate of events included the IAMC conference in Savannah, Georgia, and
target market trips to Detroit, Chicago, and New York.

“Where Tennessee Begins Its Business Day is a brand that sends a strong message about Sullivan and
Hawkins counties, and really the entire northeast corner of Tennessee,” said Kyle Spurgeon, President
and CEO of the Jackson Chamber and 2019 Chairman of TEP. “NETWORKS has developed and pro-
moted an image supported by its legacy of economic development success. As we market Tennessee
through the Tennessee Economic Partnership, your brand resonates and strengthens the appeal of an
already desirable location.”

Although not affiliated with TEP, NETWORKS joined a large group of economic development organiza-
tions, including TNECD and TVA, at the Site Selectors Guild annual conference in Cincinnati, arguably
the premier event for interacting with site location consultants.

Not only do these events represent great opportunities to familiarize consultants with our state and commu-
nities, they enable our team to strengthen our relationships with state partners, particularly those with TNECD.

“Within our strategic plan, you find Recruit the Recruiters as a key activity,” Walker said. “Our state’s
economic development team works across 95 counties; we want to make sure we are always front of
mind as they represent the front door to Tennessee for a vast majority of projects. We make sure they
are aware of what we have to offer, in terms of properties, workforce, and our culture. It is our respon-
sibility to keep them informed of pertinent news that helps them sell us. The best way to do that is to
demonstrate our value as a partner.”

Northeast Tennessee Red Carpet Tour

Working under the TEP umbrella, NETWORKS and its partners hosted the region’s signature marketing event
for the fifth straight year, the Northeast Tennessee Red Carpet Tour. Some of the nation’s top consultants at-
tend this annual event, showcasing the area’s business advantages and unique quality of life. The weekend
culminates with VIP access at the Bristol Night Race at Bristol Motor Speedway. This year, a songwriter’s night

NETWORKS Sullivan Partnership Annual Report • 2018 • 3

 at the Birthplace of Country Music Museum was added, featuring Grammy-winning songwriter Tim Nichols.

MARKETING & ATTRA CTION The event has become known for its regional flavor with partners Blount Partnership, Knoxville Chamber
of Commerce, Greene County Partnership, and Northeast Tennessee Regional Economic Partnership
attending and given the opportunity to present overviews of their communities.

The Tennessee Department for Economic and Community Development once again sent several proj-
ect managers and senior management members. Other partners include TVA, AEP, and NETVRIDA.

Quality of Life Video

Two years ago, NETWORKS teamed with Kingsport-based
Cumberland Marketing to produce a Community Video as
a brief overview of our area as a desirable place to live and
do business. The video – which was to be the first in a series
of three to five shorter features with more specific subject
matters – had much more of an impact than anticipated,
boasting more than half a million unique viewers within six
months of its posting. In May of 2018, NETWORKS released
the first of the follow-up videos, spotlighting the area’s quali-
ty of life. The video features the unique, magnetic attributes
our region has to offer in an up-tempo, lively production,
designed to appeal to a broad range of people, particular-
ly millennials.

When the NETWORKS Board of Directors viewed the finished

product prior to it going live, they believed that its regional
tone would be of great value to other economic develop-
ment and tourism organizations, chambers of commerce,
and businesses throughout the Tri-Cities area. Therefore,
NETWORKS made the video available to any organization.
Thus far, 10 organizations have asked for and been granted
permission to use the video.

“This video is very flexible with multiple potential audiences and uses,” Cumberland President Chris Bow-
en said. “I see this finished product as a great tool in not only NETWORKS Sullivan Partnership’s mission,
but for private companies to use when trying to lure top talent to join them.”

Both videos can be viewed at networkstn.com under the News & Events section.

Aerospace Industry Sector

With the funding in place and work underway toward the completion of the Aerospace Park, NET-
WORKS staff members teamed with Tri-Cities Airport setting up appointments with site location consul-
tants to discuss Northeast Tennessee as a destination for aerospace projects, making two outbound trips
(Dallas and South Carolina) to meet with national firms in addition to the inbound Northeast Tennessee
Red Carpet Tour and other efforts with TEP.

“This year has been extraordinary in our efforts to promote and develop Aerospace Park,” Mark Canty,
Director of Trade and Business Development at Tri-Cities Airport, said. “NETWORKS has been a major fac-
tor in our success, especially in raising awareness of the park with site selectors and state and regional
economic development officials. NETWORKS has consistently partnered with us on print advertisements,
trade show displays, and hosting industry visits.

“Their dedication of resources towards our annual display at the MRO Americas tradeshow ensures that
we have both the proper level of brand recognition in the exhibit hall and a level of presence at the
booth to make the show a success.”

With Canty at the point, NETWORKS partnered with the airport for the fourth consecutive year to exhib-
it at the MRO Americas show in Orlando and to attend and visit with various companies at the NBAA
show for the fifth time in as many years, also held in Orlando in 2018. The team makes joint calls with
target market specialists from TNECD and TVA who are also at these events.
(continued on page 11)
4 • NETWORKS Sullivan Partnership Annual Report • 2018
 A N N OU N CEMENTS
Economic development is a process in constant change. Numerous factors affect the strategies, ex-
pectations, missions, and results of its practitioners. Last year, record low unemployment and advances
in production technologies were evident as investment numbers rose, but labor estimates for new proj-
ects decreased from previous norms. The NETWORKS-served counties of Sullivan and Hawkins were the
ultimate choice of 11 projects. These projects will create 608 jobs, a much lower average of jobs-per-
project than in years past, but represent a record-setting $530,757,500 of private investment.

Anita’s Snack Foods

Anita’s Snack Foods moved into the former Pure Foods
building in Kingsport in July. The California-based fami-
ly-run company, a producer of tortilla and corn chips, will
employ 101 people and invest nearly $4 million. Compa-
ny President Ric Alvarez explained that Kingsport was an
ideal location based on logistics and bordering highways.
Alvarez commented, “Many of our customers ask us to
manufacture and distribute on the eastern side of the Unit-
ed States. We looked at the area and the logistics around
the Kingsport area as being very favorable to do that.”

RMC Advanced Technologies

In May, state and local officials celebrated the an-
nouncement of RMC Advanced Technologies’ new
U.S. headquarters and new manufacturing facility to be
established in Phipps Bend Industrial Park. The compos-
ite components manufacturer will invest $7 million and
create 54 new jobs.

“I want to welcome RMC to Hawkins County and thank

the company for choosing to locate its U.S. headquar-
ters and manufacturing facility in Surgoinsville,” TNECD
Commissioner Bob Rolfe said. “It means a great deal that
another international-based company has chosen our state for its new operations. Tennessee is home
to more than 70 Canadian-owned companies that employ approximately 8,000 Tennesseans and we
appreciate RMC for creating 54 new jobs in our state and Surgoinsville.”

Microporous
In June, Microporous announced plans to expand its Piney Flats operations and celebrated with a
groundbreaking event. The company plans to add 36 employees to its current employment of 134.

The expected capital investment is $20 million. This will further enhance the capabilities of the company
to provide additional products which will supply industries across our region and beyond. The invest-
ment will include new equipment purchases and a 40,000 square-foot addition to the building.

“Microporous’s decision to expand its Piney Flats facility is a true testament to our strong workforce and
superb business environment,” said Sullivan County Mayor Richard Venable. “Microporous leadership
could have chosen to expand elsewhere and we are honored that they chose Sullivan County.”

Ware Manufacturing
Ware Manufacturing announced plans of an expansion, resulting in 32 new jobs and $1.1 million in cap-
ital investment, in May. The company is located in Phipps Bend Industrial Park and is an industry leader
in the manufacturing and distribution of new and innovative products for pets.

“I thank Ware Manufacturing on its decision to expand in Surgoinsville,” said Commissioner Rolfe. “Since
2011, Hawkins County has had 15 projects resulting in the creation of more than 900 jobs. I appreciate
Ware Manufacturing for creating over 30 new jobs in Hawkins County and for its 25-year commitment to
Tennessee and Surgoinsville.”

Master Tool & Die

Tennessee Governor Bill Haslam, TNECD Commissioner Rolfe, and Master Tool & Die, Inc. officials an-
nounced March 5 that the manufacturer will expand in Kingsport.
NETWORKS Sullivan Partnership Annual Report • 2018 • 5
NETWORKS Sullivan Partnership Annual Report • 2018 • 5
 Master Tool & Die, DBA Master Precision Machining, announced in March its plans to expand Kingsport

ANNOU N CE ME N TS operations. This will result in 25 new jobs and $557,500 in capital investment, which will be used for
facility upgrades. The company was founded in 1988 and provides custom CNC machining, welding,
fabrication, and other services for businesses throughout the Southeastern U.S.

“We are excited that Master Tool & Die has chosen to expand its Kingsport operation, creating 25 new
high-paying jobs for our residents,” said Kingsport Mayor John Clark. “We look forward to working with
Master Tool & Die as it continues to thrive in Northeast Tennessee.”

Universal Machine & Tool

This summer, Kingsport’s Universal Machine & Tool completed a 7,500 square-foot expansion to accom-
modate new equipment, which will allow the company to take on larger work. This expansion resulted
in 20 new jobs and $3 million in capital investment.

AGC Glass
AGC Glass North America announced in January plans to expand its Hawkins County operations. The
glass manufacturer will invest $40.6 million and create 85 new jobs. AGC plans to add more than
100,000 additional square feet of manufacturing space to this facility and will also install a state-of-the-
art MSVD coater to serve the residential and commercial glass markets.

“Our Church Hill, Tennessee facility has two flat glass lines that will support this innovative coater. As the
world’s largest glass manufacturer, this investment in North America allows us to expand the industry’s
largest product offering and continue to augment our world-class service that is second to none,” Mike
Antonucci, Regional President for AGC Glass North America, said. “Our new coater will provide archi-
tects, planners, engineers and developers the ability to create tomorrow’s environment.”

Holston Army Ammunition Plant (BAE)

Holston Army Ammunition Plant (BAE) added 175 jobs in 2018, bringing its employment total up to 985.
The company also announced a $450 million expansion and plans to modernize the design, construc-
tion, and commissioning of all facets of the Holston facility operations in Kingsport. The efforts are varied
and will include large and small scale projects. Construction will begin next year.

Corrugated Container Corporation

Following the company’s purchase by DS Smith in May, Corrugated Container Corporation hired 22 new
employees and invested $3 million in equipment upgrades. This follows the company’s 64,000 square-
foot expansion of the Piney Flats facility in 2017.

Seaman Corporation
Seaman Corporation completed an expansion project in June, creating 10 new jobs and $2.5 million in
capital investment used to purchase equipment. The company produces commercial fabrics, including
the FiberTite® roofing system, which has been used at such Tennessee iconic structures as the Grand Ole
Opry and Bristol Motor Speedway.

“We are thrilled to see Seaman Corporation expanding its presence in Bristol after experiencing the
Bristol community’s great quality of life and business-friendly environment,” said Bristol Mayor Margaret
Feierabend. “We look forward to many more years of partnering with Seaman and its employees.”

Summit Consulting Services, Inc.

Summit Consulting Services announced an expansion in late November. The company, which provides
contract services such as marketing, human resources, payroll, insurance, and employee benefits, plans
to hire 20 new employees and invest $2 million. The larger Bristol facility will include 10,000 square feet
for co-working space.

Neopharma
Neopharma purchased Dr. Reddy’s Bristol operations and plans to hire an additional 50 employees; at
the time of acquisition, Dr. Reddy’s employed 40. The company produces products for and provides
therapy options in the chronic care segment of healthcare. Neopharma is based in Abu Dhabi and has
a presence in more than 50 countries; this is its first operation in the United States.

6 • NETWORKS Sullivan Partnership Annual Report • 2018

In a year that saw unemployment drop to record lows and the number of employed Tennesseans

E X ISTIN G B USINESS & INDUS TRY

continue its rise to unprecedented heights, existing industry services came into sharper focus than ever.
NETWORKS existing industry expansion and retention program – FIRST – was designed to assist large em-
ployers and the entire manufacturing community. The activities of the program include one-on-one visits
and group meetings that include state economic development officials and other resources, particular-
ly those engaged in education and workforce development to ensure that the existing employer base
can establish relationships with these support agencies and each other.

ORNL Visit
One of the most valuable and unique resources our region has
to offer is Oak Ridge National Laboratory. More than a dozen in-
dustries joined NETWORKS staff and partners on a visit to the lab in
March to learn about the many programs offered and potential
for partnerships with the largest US Department of Energy science
and energy facility which conducts basic and applied research
to deliver transformative solutions. Many of the participating
companies are currently working in some capacity with ORNL.

“Oak Ridge National Laboratory prioritizes partnerships with in-

dustry that leverage our unique scientific expertise and capabil-
ities,” said ORNL’s Jesse Smith, Director for Industrial Partnerships.
“Our strong relationships with economic development organizations such as NETWORKS Sullivan Partner-
ship help us connect with innovative companies across the region to explore collaborative opportunities
in manufacturing and other industries.”

Transloading Facility Exploration

In recent years, many companies have expressed a need for more warehouse space available for
lease, particularly facilities served by rail. NETWORKS staff has been working towards identifying potential
sites, private developers, and management companies in the hopes of creating such a multi-tenant
facility through a public-private partnership. Once grant programs were identified to develop a rail-ac-
cessible site in Partnership Park II, a transloading facility became a potential use for the property. NET-
WORKS and its partners began looking at best practices including a visit to one of the more successful
facilities in Somerset, Kentucky.

Bristol Hiring Expo

The City of Bristol’s Hiring Expos, held at Bristol Mo-
tor Speedway, have become the standard when it
comes to matching companies with would-be staff
members in recent years. Its economic develop-
ment and marketing team continued to expand
its program this year. Supported by NETWORKS, the
expo also allowed participation by Sullivan Coun-
ty companies outside of the City as well as those
located in Bristol, Virginia. Each expo offers thou-
sands of open positions within 50 or more compa-
nies, many of which are filled on the spot.

E2E Summit
The First Tennessee Development District held a regional Education to Employment (E2E) Summit in
Washington County in late August. The event brought together education and workforce development
organizations, business and industry leaders, elected officials, and economic developers to discuss solu-
tions to building a stronger workforce pipeline.

“A strong, skilled workforce is one of the top three things businesses thinking about investing in an area
want to know exists in a region,” Lottie Ryans, Director of Workforce and Literacy Initiatives for the FTDD,
said. “They understand the region will be where the workforce comes from, so knowing that everyone is
working together to build that pipeline is critical.”
(continued on page 11)

NETWORKS Sullivan Partnership Annual Report • 2018 • 7


Strategic Planning R etreat
8 • NETWORKS Sullivan Partnership Annual Report • 2018
Re-examining and altering the organization’s Strategic Plan
is nothing new to NETWORKS Sullivan Partnership’s staff, Board
of Directors, and stakeholders. They review the plan and
make appropriate changes each fall. But in the summer of
2018, leadership decided that a more thorough, thoughtful
self-examination was needed. After all, NETWORKS has taken
on many new programs of work and gone through numerous
changes in staffing and leadership in recent years. The team
carved out two days to take inventory of its performance, identify the most pressing areas of focus, and
game-plan on some of the specific issues.
The retreat, hosted by the Regional Center for Advanced Manufacturing (RCAM) and Bristol Motor
Speedway, was facilitated by Jody Lentz, of Nashville, who has worked with several economic develop-
ment organizations over the years including the Nashville Area Chamber of Commerce and TVA. NET-
WORKS CEO Clay Walker met Lentz while participating in the Nashville Chamber’s retreat more than 10
years ago.
While most of the existing NETWORKS Strategic Plan was left in place with minor modifications – such as
marketing and branding, the Recruit the Recruiters strategy, existing industry services and maximizing part-
nerships with other local, regional, and state economic development groups, professional organizations,
area business and industry, and stakeholders – the team assembled, identified, and put a strong emphasis
on three areas of focus:
Product Development: beyond the grants and site improvements currently underway (please see the Prod-
uct Development section of this report), our region is noticeably low on inventory of shovel-ready industrial
sites. To keep up in the highly competitive arena of economic development, more sites need to be identi-
fied and controlled and many of our existing sites’ topographical and infrastructure shortcomings must be
addressed.
Regionalism: a word that has gotten a great deal of attention in recent months in Northeast Tennessee. The
Board and its partners concluded that NETWORKS was best suited to be a leader in a regional economic
development effort, perhaps even expanding our brand of Where Tennessee Begins Its Business Day and
our attraction and marketing work to include a broader geographical area if those governments and
existing EDOs saw value in it.
Workforce Development & Attraction: as workforce continues to be the driving factor behind an over-
whelming majority of new business attraction and existing business expansion decisions, economic devel-
opers have become more engaged in this challenge. While we anticipate continuing to partner with other
organizations such as NeTREP in programs they are leading, we will also continue to work with our partners
and network of resources to ensure we are doing everything possible to provide an ample, qualified work-
force for new and existing industry.
Lentz said of the retreat, “It was great to work with Clay’s team and Board on a strategy for NETWORKS;
they are doing all of the right things to make the most of their communities’ unique opportunities and
challenges. Their emerging approach to regional economic development promises to help businesses and
working people across the Tri-Cities area.”
Since the retreat, several steps have been made by staff and partners assigned to each of those strate-
gies’ committees. Properties best suited for economic development (primarily manufacturing) are being
identified and current publicly owned sites and
parks are being evaluated and prioritized to im-
prove their marketability. An outline and white It was great to work with Clay’s
paper have been prepared in draft form for a new team and Board on a strategy
regional structure and division of responsibilities
among existing groups. It includes a concept of a for NETWORKS; they are doing all of the
regional umbrella. NETWORKS and NeTREP’s Board right things to make the most of their
leadership and CEOs have begun discussions about communities’ unique opportunities and
how each organization can and should evolve for
challenges. Their emerging approach to
the betterment of the region and are working with
the mayors of the Tri-Cities and Sullivan and Wash- regional economic development promis-
ington counties to ensure the action plan fits into es to help businesses and working people
the regional strategies being developed within the across the Tri-Cities area.
public sector. The workforce committee is evaluating
current programs and resources in Northeast Tennes-
see and examining best practices within Tennessee JODY LENTZ
and nationally. Retreat Facilitator
The best marketing and recruitment programs will not mean much to a community that does not have

PRODU CT DEVELOPMENT
places for companies to locate or one that cannot provide a skilled workforce or the programs and
facilities for continued training. Last year, NETWORKS and its partners were able to continue their tradi-
tion of making sound investments in our economic development product, with the assistance of some
meaningful site development grants, and our education and workforce development organizations
gave us plenty of good news to market.

Aerospace Park
State, regional, and local officials gathered in October for an event
to celebrate the remarkable funding efforts at Aerospace Park. The
largest investment, $8.5 million, is being covered by Sullivan and Wash-
ington counties and the cities of Bristol, Johnson City, and Kingsport.
TDOT awarded $4.1 million toward the project, TNECD contributed a
$500,000 Rural Development Grant, and TVA awarded Tri-Cities Air-
port an InvestPrep Grant. When complete with the funded phase of
the site, the already prepared and Select Tennessee Certified Site of 32 acres will increase to 105 acres,
nearly completing the entire park. Aerospace Park has direct runway access and partners with NET-
WORKS to market the site to fixed wing projects, with an emphasis on MRO operations.

Bristol Business Park

In August, Bristol Tennessee Essential Services broke
ground on a site development project: 36 acres of a 50-
acre site will be excavated to suit the construction of a
420,000 square-foot building. This project was made pos-
sible by a $500,000 TNECD Rural Development Grant and
TVA InvestPrep Grant. Bristol Business Park, a BTES-owned
property, is one of four Select Tennessee Certified Sites in
the NETWORKS service area.

Partnership Park II
NETWORKS property Partnership Park II received the largest
award possible in a Site Development Grant from TNECD. The
$1 million will be used to complete site grading improvements to
create a 30-acre pad-ready rail site. Partnership Park II is also a
Select Tennessee Certified Site.

College and University Partnerships

Northeast State Community College and the Regional Center for Advanced Manufacturing (RCAM)
continued to grow this year with strategic partnerships that will support workforce development in the
region. In August, Northeast State and Bristol-based King University announced a dual admission agree-
ment, which eases the transition from community college to a four-year program by providing guid-
ance from academic advisors at both institutions, and culminates in a lower-cost bachelor’s degree.
Northeast State’s Aviation Technology program announced an expanded laboratory for students later
that month. Milligan College and Northeast State also renewed their transfer agreement for nursing,
allowing Northeast State graduates to enter Milligan with junior status in the BSN program for initial licen-
sure. Tusculum University also signed a dual admission agreement with Northeast State.

In October, Northeast State celebrated a $29.8 million, 114,475 square-foot Technical Education Complex
with a groundbreaking. The ground floor will house lab space for skill sets related to advanced manufac-
turing, including welding, CNC machining, and HVAC. The
top floor will be home to Business Technologies programs
and will have space for programs such as computer pro-
gramming and cyber security.

Dr. Bethany Flora was appointed as President of Northeast

State in November following James King’s retirement. Dr.
Flora was previously the associate director of the Center
for Community College Leadership at ETSU, where she
also served as an associate professor of postsecondary
leadership.
NETWORKS Sullivan Partnership Annual Report • 2018 • 9
 RCAM’s Northeast State Registered Apprenticeship Program continues to thrive. In September, four

P RODUCT DEVE LOPME N T apprentices from Johnson City-based Fiber Innovation Technology (FIT) signed on to the innovative ap-
prenticeship program. Elizabethton-based Snap-On Tools sponsored an apprentice later in the month.
The program has now grown to 94 apprenticeships.

ACT Work Ready Community Certification

Hawkins and Sullivan counties received ACT’s Work Ready
Community (WRC) designation in December, becoming
the first two counties in East Tennessee to receive the des-
ignation. This initiative is aimed at making communities
more competitive by closing the skills gap that threatens
economic growth, and the effort provides a communi-
ty-based framework that: links workforce development to
education, aligns with the economic development needs
of the region, and matches individuals to jobs based on
skill levels.

Dr. Jeff McCord, Vice President, Economic and Workforce Development for Northeast State and chair
of Sullivan County’s Work Ready Community Committee noted, “It was a great idea that came to the
community through the United Way, but it has also been a long effort with plenty of barriers. Still, we had
a very strong team composed of individuals from industry, government, economic development, K-12
education, and higher education who just made it happen. It’s the way it’s supposed to work.”

Team News
In late summer, Project Manager Brian Ritz resigned from his position with NETWORKS to pursue a business
opportunity with a longtime colleague. Leadership took his departure as an opportunity to restructure
and realign current staff with their evolving responsibilities, promoting Michael Parker from Executive
Project Manager to Director of Economic Development and Dana Glenn from Administrative and Mar-
keting Coordinator to Director of Marketing and Business Development.

With those roles redefined, Abby Mease of Bulls Gap joined the team as Administrative Assistant. She
and her husband, Rob, recently relocated from northern Ohio, where she worked for 15 years as the
Accounting and Administration Manager for Ovation Polymer Technology and Engineered Materials.

Tully Earns CEcD

Lynn Tully, Development Services Director for the City of Kingsport, earned the highest designation in
the economic development profession, passing the test to become a Certified Economic Developer
(CEcD) through the International Economic Development Council (IEDC). The designation confirms the
highest levels core of competencies across the breadth of topics necessary to being a well-rounded
and successful economic developer.

Luttrell Joins Bristol Economic Development Staff

Although he was already considered a part of the team through his work while on the City of Bristol’s
marketing department, one might say Jon Luttrell earned his letter jacket when he was named Business
Development Specialist for the City.

Luttrell filled the vacancy created when former Director of Business Development Mike Sparks, who had
retired from that position to work in the Business Development Specialist role in recent years, announced
his retirement from the City earlier in the year.

Parker, Luttrell Honored among Forty under 40

Luttrell and Parker were named to the Tri-Cities Business Journal’s Forty Under 40, chosen for their busi-
ness achievement and community involvement. More than 80 nominees were submitted, with the ulti-
mate group being honored at a gala in October that was attended by more than 250 business leaders.
It marked the second consecutive year for a NETWORKS team member to be selected, as Glenn was
among the honorees in 2017.

10 • NETWORKS Sullivan Partnership Annual Report • 2018

EXISTING BUSINESS & INDUSTRY (continued from page 7)

STRATE GIC PLANNING

Eastman Recognitions
2018 was another big year for Eastman, earning numerous awards and recognitions. In February, the
company was named one of the World’s Most Ethical Companies® for the fifth consecutive year. East-
man received the Extraordinary Employer Support Award from the Department of Defense program,
Employer Support of the Guard and Reserve (ESGR); this is only the second time a company based in
Tennessee has earned this recognition. The company also received the 2018 ENERGY STAR® Partner of
the Year Sustained Excellence Award. This marks Eastman’s seventh ENERGY STAR Partner of the Year
Award and fifth Sustained Excellence recognition. Forbes identified Eastman as one of America’s Best
Large Employers, ranking #232 out of the 500 large employers on the list.

Miyake Hosts Open House

Miyake Forging North America held a grand opening of its plant in Phipps Bend Industrial Park in Sep-
tember. Company executives, government officials, chambers of commerce, and economic develop-
ment organizations were given tours of the 45,000 square-foot facility. Miyake, a Japan-based bearing
and parts company, announced in June of 2017 that it would invest $13.7 million in the project and hire
some 60 people.

MARKETING & ATTRACTION (continued from page 4)

“MRO Americas and NBAA are the premier shows for the type of projects that best suit our region and,
of course, Aerospace Park,” said Director of Economic Development Michael Parker. “Like so many
marketing avenues, trade shows really are a process, a relationship building exercise. We have many
regular contacts tracking the developments of the park, how Northeast State Community College’s Avi-
ation Program is growing, and other economic development programs in our region and these shows
are great opportunities to nurture those relationships and start new ones.

Other Media Attention

While NETWORKS utilizes traditional means of spreading and reinforcing its brand such as print and on-
line advertising, its marketing philosophy of seeking unique platforms to reach its audience was preva-
lent throughout 2018.

“Print advertisements, presence at trade shows, direct mail and e-mail campaigns, and other tried and
true methods of reaching people are certainly in our portfolio; it’s unlikely we will ever abandon these
vehicles completely,” says Dana Glenn, Marketing and Business Development Director. “But we look for
nontraditional avenues as well, that aren’t as crowded with other economic development groups com-
peting for attention. In the magazines in which we advertise, we like to show up in the editorial content,
giving us third-party validation. We look for the next big thing before it becomes the norm, such as the
Success Files report and our ad campaign in professional sports franchises’ yearbooks.”

CEO Clay Walker was featured several times in national and international site selection publications to
discuss Northeast Tennessee’s differentiating advantages in areas such as education and workforce
development, the aerospace sector, and land development. Success Files with Rob Lowe, a syndicat-
ed news magazine television series, was in post-production of a feature about Northeast Tennessee as
destination for aerospace manufacturing facilities
at year’s end. The four-minute segment – which
prominently features Tri-Cities Aerospace Park – is
expected to run on up to four major networks in
early 2019. NETWORKS was able to secure the spot
through a competitive process among several
other EDOs the news company had identified as
candidates through an on-line search. NETWORKS
and Tri-Cities Airport, along with other partners, will
be able to post the feature on their websites. The
feature will be added to the video loop at aero-
space trade shows as part of the NETWORKS and
Aerospace Park exhibit booth.

NETWORKS Sullivan Partnership Annual Report • 2018 • 11

 Downtown Kingsport saw almost $600,000
RE TA IL in new investment, including a large
expansion of the public library, and a
new entrepreneur’s “Inventor Center”.
Other new retailers downtown include
Reedy Creek Bikes, Boomtown Clothing,
Perfectly Unhinged, and the Bays Moun-
tain Brewery currently under construction.
Along with retail development, down-
town homes and lofts have increased
with renovations under way at 114
Cherokee and the completion of the first
phase of Town Park Lofts. The Fort Hen-
ry Mall added Charley’s Steakery and
Sweet Spoon.

Downtown Bristol will soon welcome Lost State Distilling

to its downtown; a groundbreaking celebrating the
repurposing of the building was held in July, and the
company will be fully operational in early 2019, produc-
ing craft gin, rum, and small batch Tennessee whiskey.
New downtown retailers include the Hemp Cove, and
new tenants at the Pinnacle include Burgerim and
Drake’s.

NETWORKS Sullivan Partnership is the economic

development organization serving the North-
eastern Tennessee communities in Sullivan –
including charter partners Bluff City, Bristol,
and Kingsport – and Hawkins counties. Our
team of professionals is ready and able to assist you and
your company reach your fullest potential here.

Where Tennessee Begins Its Business Day

Voting Members: Carolyn Ferrell, Robinette Co – Chairman; Bill Sumner, Bell – Vice Chairman;
David Wagner, Bank of Tennessee – Secretary/Treasurer; Jerry Caldwell – Bristol Motor Speedway;
John Campbell – AccelNow; John Clark – Mayor, Kingsport; Michelle Denise – Bristol;
Margaret Feierabend – Mayor, Bristol; David Golden – Eastman; Lea Powers – Bristol;
Richard Venable – Mayor, Sullivan County; Irene Wells – Mayor, Bluff City; Eddie Williams – retired

Ex-Officio Members: Dr. Michael Browder - BTES; Jeffery Dykes – BrightRidge; Jeff Fleming – City Manager, Kingsport;
Dr. Gary Lilly – Bristol City Schools; Dr. Jeff McCord – Northeast State Community College (RCAM);
Dr. Jeff Moorhouse – Kingsport City Schools; Evelyn Rafalowski – Sullivan County Schools;
Bill Sorah – City Manager, Bristol; Rick Tunnell – AEP; Clay Walker – NETWORKS CEO

PO Box 747, Blountville, TN 37617 • networkstn.com • 423.279.7681

Clay Walker, CEcD • CEO Dana Glenn • Director of Marketing & Business Development
cwalker@networkstn.com dglenn@networkstn.com

Michael Parker • Director of Economic Development Abby Mease • Administrative Assistant

mparker@networkstn.com amease@networkstn.com