Industrial construction spurs local economy

Three big construction projects, totaling more than $1.6 billion in investment, are likely to leave Chattanooga well-positioned, even in the midst of an economic downturn, officials predict.

Volkswagen's new assembly plant, Alstom Power's new plant to manufacture nuclear plant turbines and the replacement of TVA's Chickamauga Lock are already a big boon to the local economy, said J.Ed Marston of the Chattanooga Area Chamber of Commerce.

"We have a continuous circulation of new dollars into our community," he said. "These projects have had a tremendously positive impact on our economy."

Mr. Marston said construction jobs mean more money circulating through local retail outlets and restaurants.

In May, local government officials and Volkswagen's board of directors were on-site at Enterprise South industrial park, the home of the $1 billion VW plant, to watch the plant's first wall go up.

Hamilton County Mayor Claude Ramsey said the board's visit showed "one more level of dedication."

"We're making progress. They're making progress," Mr. Ramsey said. "A lot of good things are happening here."

Alstom's plant is being constructed on the same site where 6,000 Combustion Engineering employees once made nuclear plant components. The Chickamauga Lock project, which started in 2006, is being helped with about $59 million in federal stimulus funds.

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