Port authority nears completion of TIGER grant application for $34 million

The Northwest Tennessee Regional Port Authority recently held their July meeting in Lake County.

During the financial report, Northwest Tennessee Regional Port Authority Chairman Jimmy Williamson thanked Gibson Electric and the Dyersburg Chamber of Commerce for their donations of $1,000 and $5,000, respectively, to go toward an economic study.

Williamson thanked attorney John Lannom for his pro bono work. Lannom's office donated $3,225 worth of time to the port project during the month of June.

Next, Maurice Owen, port manager, gave his report to the board.

He said he had been concentrating most of his time, working on the Transportation Investment Generating Economic Recovery or TIGER grant program application. The application deadline is Sept. 15.

Owen also said he and Williamson had met with Dr. Murat Arik at Middle Tennessee State University. Arik will work on the cost-benefit analysis portion of the grant for the port. He did a labor work-force study in 2005 for the port authority and is familiar with the area.

"He's very in tune with what we need to do," said Owen.

Owen was impressed at how organized and interested Arik was in the project. Owen will integrate his business plan for the port with Arik's analysis.

Owen has also been working with Randall Rhodes on developing a budget for the port's construction and has been keeping in touch with some prospective rail-to-truck customers.

"That's always going to be a potential source of business for the port," said Owen. "It doesn't always necessarily all have to be barge-related business."

After Owen's report, Williamson said the economic study is critical to the TIGER grant. He then commented on how intensive the study is to complete.

"Normally an economic study takes about six months," said Williamson.

Arik's study will consist of three major components.

* The economic impact of construction.

* The economic impact of operating the port facility.

* The economic impact of possible industry relocations.

Williamson said the TIGER grant can only be 25 pages long, so they will have to include Internet links.

"Just condensing what we've been doing for the last 15 years to 25 pages is going to be rough," said Williamson.

The TIGER grant has a minimum of $20 million that may be applied for.

"We're in about the $34 million range," said Williamson. "We're still in a reasonable range for this size grant for what we're trying to do."

Williamson then noted the Army Corps of Engineers should be completely finished with the harbor by Sept. 1, if all goes well.

Attorney John Lannom gave an update on the federal court case involving the port authority, Lake County, the U.S. Army Corps of Engineers and the Secretary of the Army.

Lannom said Lake County and the port authority obtained a dismissal from the case.

"The case is largely a review by the federal judge of the environmental assessment undertaken by the corps," said Lannom. "Ms. Jonas, who is a member of the Haynes family, contends the corps didn't adequately study all the things that needed to be studied for their environmental assessment."

Lannom also said Lake County Mayor Macie Roberts was continuing his condemnation actions in state court.

"We are in control of about 1,000-plus acres that is the campus of the port plus the mitigation lands," said Lannom. "I would hope by the end of the year we would probably have concluded all of that acquisition activity."

Williamson said the port authority should have an answer as to whether or not they will receive the grant around the beginning of next year.

Executive Director of the West Tennessee Industrial Association (WTIA), Mike Philpot, said a draft version for the Free Trade Zone (FTZ) application should be finished by the middle of August and ready for submittal By Sept. 1. WTIA is an organization owned by the power distributors of West Tennessee and serves in promoting the economic development of West Tennessee.

Philpot noted the FTZ must be within 60 miles or a 90-minute drive from the most northern point of Shelby County and they have possibly cleared that hurdle.