Contrasting Two Corridors: Both Nontraditional; One Established, The Other Emerging Presented to: "Innovations in Economic Development Forum"

Presented by: Tom Ballard Director – Economic Development and Partnerships

February 28, 2007 Contrasting two nontraditional corridors: One more than a decade old; the other just emerging in a virtual fashion

OAK RIDGE NATIONAL LABORATORY U. S. DEPARTMENT OF ENERGY What is the Valley Corridor?

Key institutions and leaders in eight Congressional districts across four states working together to grow and attract the high-tech jobs of the future.

• Led by Blue-Ribbon Board of Directors • Consults closely with Congressional leaders and key institutions • Strategically links the technology-rich Tennessee Valley Corridor from North Alabama through into Southwest Virginia and Southeast Kentucky The Tennessee Valley Corridor, a non-profit organization, has adopted the following mission:

• To promote the Tennessee Valley as one of the nation’s premier science and technology centers • To leverage the abundant research and technology assets and institutions located throughout the Valley for maximum regional economic development and new job creation How did the Tennessee Valley Corridor start?

Like any major initiative, it started with a visionary champion.

• Newly elected Congressman Zach Wamp faced a major challenge in 1995 – end of the Cold War, aging facilities in Oak Ridge, and the likelihood of major program cutbacks. • Instead of accepting the situation, he turned adversity into opportunity by convening the first ever large scale event in Oak Ridge where community leaders focused on preserving the multi-billion dollar investments in Oak Ridge. How did the Tennessee Valley Corridor start?

Like any successful initiative, it gained traction because of its visionary champion. • This inaugural event in 1995 was so successful (hundreds under a tent at times because the city lacked a facility to accommodate the large crowd) that Congressman Wamp decided to “Connect the Valley” and hold another event in Chattanooga in 1996. • The theme that began to emerge was working together across traditional political boundaries to leverage the assets of the Tennessee Valley for economic prosperity. How did the Tennessee Valley Corridor grow?

The vision began to “take hold” and expand in the latter half of the 1990s. • Based on two years of success, the newly named Tennessee Valley Corridor Summit moved to Knoxville and a new Congressional district for the 1997 summit. • A third Congressional district was added in 1998 – Tennessee’s First – as well as Southwestern Virginia. • The TVC moved from an advisory board structure to a formally chartered 501(c)(6) in 1999. How did the Tennessee Valley Corridor grow?

The momentum grew as we moved into the new century. • A third state (Alabama) joined the effort when the 2000 TVC Summit was held in Huntsville. This marked the addition of the Marshall Space Flight Center and Redstone Arsenal to the resource base as the TVC focused on its dual mottos – “Putting Science and Technology to Work” and “National Leadership through Regional Cooperation.” • We held our first ever event outside the region with a 2001 summit in Washington. • Finally, Kentucky was added in 2004. The Corridor’s Bipartisan Congressional Leadership •Congressman Robert Aderholt (R-AL) •Congressman Rick Boucher (D-VA) •Congressman Bud Cramer (D-AL) •Congressman David Davis (R-TN) •Congressman (D-TN) •Congressman John J. Duncan Jr. (R-TN) •Congressman Harold Rogers (R-KY) •Congressman Zach Wamp (R-TN) World-Class Institutions and Initiatives

•Alabama A&M University •DOE’s Oak Ridge National Laboratory •Center for Rural Development •Quillen College of Medicine •East Tennessee State University •Technology 2020 •Kentucky Universities Homeland •Tennessee Valley Authority Security Consortium •University of Alabama Huntsville •NASA Marshall Space Flight Center • Chattanooga •National Institute for Hometown •University of Tennessee Knoxville Security •University of Tennessee Space Institute •National Safe Skies Alliance •U.S. Air Force Arnold Center •National Space, Science and •U.S. Army at Redstone Arsenal Technology Center •Virginia Tech University •National Transportation Research •DOE/NNSA’s Y-12 National Security Center Complex •Oak Ridge Associated Universities •Southeast Regional Research Initiative •DOE’s Oak Ridge Institute for Science •And many more… and Education Since 1995, Summits have taken place in all regions of the Corridor. The timeline of past Summits is as follows:

1995: “Charting America’s Competitive Future” – Oak Ridge, Tenn. 1996: “A Model for Sustainable Communities” – Chattanooga, Tenn. 1997: “Where Nature and Technology Meet” – Knoxville, Tenn. 1998: “From Strong Roots, Building Tomorrow” – Tri-Cities, Tenn./Virginia 1999: “Showcasing Our Technology for Economic Development” – Knoxville/Oak Ridge, Tenn. 2000: “Connecting the Corridor for the Future” – Huntsville/Decatur, Ala. 2000: “Aerospace and Automotive Crossroads” – Coffee and Franklin Counties, Tenn. 2001: “Putting Science and Technology to Work” –Washington, D.C. 2002: “National Leadership Through Regional Cooperation” – Nashville, Tenn. 2002: “Creating Tomorrow’s Technologies Today” – Tri-Cities, Tenn. 2003: “Creating Next Generation Transportation Solutions” – Huntsville, Ala. 2003: “Where Technology Meets the Marketplace” – Chattanooga, Tenn. 2004: “Research. Technology. Jobs.” – Knoxville/Oak Ridge, Tenn. 2004: “Technology: Linking Homeland Security and Hometown Prosperity” – Somerset, Ky. 2005: “National Leadership Through Regional Cooperation” – Washington, D.C. 2006: “Advancing America’s Competitiveness Through Regional Cooperation” – Chattanooga, Tenn. Impressive Keynoters Keynote Speakers at past Summits have included:

•U.S. Secretary of Homeland Security Michael Chertoff •Former U.S. Secretary of Energy Hazel O'Leary •U.S. Secretary of Energy Samuel Bodman •Former U.S. Secretary of Transportation Frederico Pena; former NASA administrator •U.S. Senators , and Jeff Dan Goldin Sessions; Tennessee Governor Phil Bredesen •Former Alabama Governor Don Siegelman •Kentucky Governor Ernie Fletcher •Former Tennessee Governor Don Sundquist •FedEx founder and chairman Fred Smith •Congressmen Zach Wamp, Hal Rogers, Jimmy •Tennessee Valley Authority chairman Bill Sansom and Duncan, Bill Jenkins, Rick Boucher, Bud CEO Tom Kilgore Cramer, Lincoln Davis, Robert Aderholt, Bart •U.S. Deputy Secretary of Commerce David Sampson Gordon, and Bob Inglis •Former U.S. Secretary of Homeland Security Tom •and dozens of other national and regional Ridge leaders. Next Summit

2007 National Summit May 29-30, 2007 MeadowView Conference Resort and Convention Center Kingsport, Tenn. www.tennvalleycorridor.org/summits/detail.html.

Top 10 Reasons the Corridor is one of America’s Top 10 Technology Spots

•Institutions that Collaborate •Lower Business Costs

•Brainpower at Work •Putting Ideas to Work

•World-Class Innovation •Affordable Family Living

•Technology-Driven Talent •Work and Play

•National Leadership Through •Location. Location. Location. Regional Cooperation Other Major Activities: Conferences and Special Events

• Tennessee Valley Venture Forum • ORAU’s National Conference on High-Performance Computing • Oak Ridge New Industrialism Conference • NCORP Regional Demonstrations Project • Support for Regional Events • Southern Growth Policies Board/Southern Technology Council’s Innovation and Technology Forums Successes • Early support and public consensus-building for the Department of Energy's $1.4 Billion Spallation Neutron Source project in Oak Ridge, which is referred to as the "World's Largest Civilian Science Project" • Early organizing seeds in helping the Tri-Cities, TN/VA area becoming the first region in the country to apply for and receive All-American City designation as a great place to live, work and do business.

• Support for the region's Annual Tennessee Valley Venture Forum and other efforts to increase the availability of early venture capital and entrepreneurial support in the region. Successes, continued…

•The development and launch of an innovative Federal Alliance for interagency cooperation between NASA's Marshall Space Flight Center, the Air Force's Arnold Engineering Development Center and the Department of Energy's Oak Ridge National Laboratory and National Nuclear Security Administration’s Y-12 National Security Complex, and the U.S. Army’s Redstone Arsenal. •The formation of new Valley-wide fiber optic telecommunications, partnership between the Tennessee Valley Authority, and the National Center for Computational Science at the Oak Ridge National Laboratory. Successes, continued…

• Tangible funding and improvements for runway extensions at the Port of Huntsville airport as well as other highway, air and industrial infrastructure improvements throughout the Valley. • New federal grants for pilot projects and regional initiatives focused on workforce development, clean transportation and energy security. • Several other key initiatives, partnerships and projects important to fulfilling key federal missions while boosting the region's continued economic development. Consistent Year-Round Initiatives and Projects

Modernization Innovation Education Job Creation One Benchmark of Success:

In 2004, the Tennessee Valley Corridor was recognized by the U.S. Department of Commerce Economic Development Administration as one of the top two regional economic development programs in the nation. The Corridor tied with the famed Research Triangle Partnership in North Carolina as the nation's most outstanding economic development organization designed to “enhance regional competitiveness. For more information: www.tennvalleycorridor.org. Contrasting two nontraditional corridors: One more than a decade old; the other just emerging in a virtual fashion

OAK RIDGE NATIONAL LABORATORY U. S. DEPARTMENT OF ENERGY ORNL is DOE’s “Lab of the South”

NationalNational EnergyEnergy TechnologyTechnology LabLab PacificPacific NorthwestNorthwest ArgonneArgonne Idaho Idaho BrookhavenBrookhaven

LawrenceLawrence BerkeleyBerkeley

OakOak RidgeRidge LawrenceLawrence LivermoreLivermore

SavannahSavannah NationalNational RiverRiver RenewableRenewable SandiaSandia EnergyEnergy LabLab LosLos AlamosAlamos Battelle partner laboratories Southern Growth Policy Board members OAK RIDGE NATIONAL LABORATORY U. S. DEPARTMENT OF ENERGY ORNL’s “Lab of the South” Strategy: Creating a “Virtual Corridor” of “Hub and Spoke” connections

OAK RIDGE NATIONAL LABORATORY U. S. DEPARTMENT OF ENERGY The “Lab of the South” Strategy: Building linkages locally (“Little R”), across the state (“Big R”) and throughout the South “(Big R”)

OAK RIDGE NATIONAL LABORATORY U. S. DEPARTMENT OF ENERGY One of UT-Battelle’s first actions was to conduct a strategic assessment of the Knoxville/Oak Ridge region

We identified several areas where the region was critically deficient The initial assessment said the region lacked an entrepreneurial support system: ƒWe were not creating companies locally based on ORNL technologies. ƒWe lacked access to angel investors and venture capital needed to “fuel” these start- ups. ƒWe needed more serial entrepreneurs and a pool of talented, seasoned managers ready to do everything from mentoring to serving as interim CEOs. ƒWe needed a nimble, outside support organization to do what we could not operate as effectively from within, and we turned to Technology 2020.

OAK RIDGE NATIONAL LABORATORY U. S. DEPARTMENT OF ENERGY UT-Battelle started by building a solid foundation with key local economic development groups

Key Partners in the Oak Ridge/Knoxville area: The “Little R”

• Tech 2020 • ETEC • ETEDA • Oak Ridge Chamber of Commerce • Knoxville Area Chamber Partnership • Oak Ridge Economic Partnership • BWXT Y12 • The Roane Alliance • Blount Partnership

OAK RIDGE NATIONAL LABORATORY U. S. DEPARTMENT OF ENERGY We turned our attention next to expanding our footprint and focus, starting with TN and the TVC

Key partners around the state and the Tennessee Valley Corridor: The “Regular R” • Tennessee Valley Corridor • UT • Knoxville Oak Ridge Innovation Valley • Southeast Community Capital • Tennessee Economic Partnership • The University of Memphis • Tennessee Department of Economic and Community Development • Tennessee Biotechnology Center • ARTE Center • The Enterprise Center • East Tennessee State University

OAK RIDGE NATIONAL LABORATORY U. S. DEPARTMENT OF ENERGY We’ve also worked recently to cultivate strategic partners throughout the South

Key partners throughout the South: The “Big R”

• Southern Growth Policies • Clemson University Board • University of Kentucky • Tennessee Valley Authority • University of Alabama at • Appalachian Regional Birmingham Commission • Auburn • BioSouth • Arkansas Science and • Mississippi State University Technology Authority • Mississippi Technology Alliance

OAK RIDGE NATIONAL LABORATORY U. S. DEPARTMENT OF ENERGY These new partnerships are related to our strategic thrust of expanding our footprint and focus

We have embraced the South while simultaneously promoting new local and multi- state initiatives

ƒAlex Fischer led an aggressive effort to raise $35 million locally for Innovation Valley Partners, a sidecar fund to the $150 million Battelle Ventures initiative. ƒTTED, in conjunction with a number of the research directorates and many of our partners, has adopted a set of program priorities to more effectively engage ORNL with groups around the local area as well as the State of Tennessee and South. ƒORNL is building on the early commitments to start-up companies with a “first of its kind” S&T Park within the secured area of the lab that will fuel stronger industry alliances.

OAK RIDGE NATIONAL LABORATORY U. S. DEPARTMENT OF ENERGY We are leveraging these relationships to build sustainable initiatives that support ORNL and the “region”

We are moving aggressively to simultaneously maintain our local momentum while also positioning ORNL as the “Lab of the South”

ƒJim Roberto challenged us to not let the local area and the South miss the economic benefits of the DOE investments in nano at ORNL. (RESULT: Innovation Valley Nano Alliance and Southern Nano Network.) ƒThomas Zacharia challenged us to help find a cost effective route for ORNL’s telecommunications needs. (RESULT: FutureNET that rides on previously dark fiber on the TVA transmission grid and connects many universities to ORNL.) ƒFrank Akers and several Mississippi universities wanted a larger R&D opportunity in homeland security. (RESULT: The $25 million a year Southeast Region Research Initiative headquartered in ORNL’s NSD.)

OAK RIDGE NATIONAL LABORATORY U. S. DEPARTMENT OF ENERGY We are leveraging these relationships to build sustainable initiatives that support ORNL and the “region”

We are moving aggressively to simultaneously maintain our local momentum while also positioning ORNL as the “Lab of the South”

ƒORNL and TVA brainstormed on the best way to bring more automotive R&D to the region. (RESULT: The Southern Automotive R&D Alliance that links ORNL with an initial group of six Southern universities – Alabama-Birmingham, Alabama-Tuscaloosa, Clemson, Kentucky, Mississippi State and UT.) ƒReinhold Mann challenged us to help formulate a regional consortium of those interested in bioenergy. (RESULT: The still unfolding Southern Bioenergy Alliance in conjunction with the Southern Technology Council.) ƒDana Christensen challenged us to help with a pilot program in energy efficient building technologies on a broad scale. (RESULT: A still-in-progress effort.)

OAK RIDGE NATIONAL LABORATORY U. S. DEPARTMENT OF ENERGY The “Lab of the South” is driven by a core philosophy of true collaboration

We seek alliances that build on some key fundamental principles

ƒ We start by fully understanding technology-based economic development priorities, programs and strategies of each state. ƒ We identify ways that ORNL’s world leadership capabilities can support these individual state priorities. ƒ We find ways to link state technology resources to ORNL expertise. ƒ We seek opportunities to leverage individual state capabilities into regional alliances involving several states.

OAK RIDGE NATIONAL LABORATORY U. S. DEPARTMENT OF ENERGY The “Lab of the South” is driven by a core philosophy of true collaboration

We seek alliances that build on some key fundamental principles

ƒ We start by fully understanding technology-based economic development priorities, programs and strategies of each state. ƒ We identify ways that ORNL’s world leadership capabilities can support these individual state priorities. ƒ We find ways to link state technology resources to ORNL expertise. ƒ We seek opportunities to leverage individual state capabilities into regional alliances involving several states.

OAK RIDGE NATIONAL LABORATORY U. S. DEPARTMENT OF ENERGY TVC and the “Lab of the South”: Two complementary initiatives to build a stronger technology-based economy in the South

OAK RIDGE NATIONAL LABORATORY U. S. DEPARTMENT OF ENERGY For More Information:

Thomas B. Ballard Director, Economic Development and Partnerships Oak Ridge National Laboratory P. O. Box 2008 Oak Ridge, TN 37831-6196 865/241-8900 (Voice - Main Number) 865/241-1948 (Voice - Direct Number) 865/241-4265 (Fax) 865/805-0032 (Cell) [email protected]

OAK RIDGE NATIONAL LABORATORY U. S. DEPARTMENT OF ENERGY