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TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During the first few years of service, low ridership almost caused the local axe to fall on the fledgling system. Through TDOT's persistent aide, the system grew and found a permanent home in one-quarter of a renovated downtown warehouse. Through visionary leadership, the concept of developing the remaining space into a transit-training-childcare facility was born. Today, a downtown campus of Northeast State Community College accommodates 1,000 students and Kingsport Early Childhood Learning Center, a United Way agency, provides childcare on an ability-to-pay basis. Bio Jeff Fleming is a native of Kingsport, Tennessee. He holds bachelor's and master's degrees from ETSU in political science and geography. He began his career in Kingsport as a planning intern in 1984 and was tapped to start-up the city's Geographic Information System in 1992. In 1998, he assumed leadership for the Development Services Department, which includes Building/Zoning, GIS, MPO, CDBG, Transit and Planning. For the past four (4) years, he has served as Assistant City Manager for Development.

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Page 1: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

TAPA Fall Conference Chattanooga October 1, 2004

Session Description

• Kingsport's is one of the newest fixed-route transit systems in Tennessee. During the first few years of service, low ridership almost caused the local axe to fall on the fledgling system. Through TDOT's persistent aide, the system grew and found a permanent home in one-quarter of a renovated downtown warehouse. Through visionary leadership, the concept of developing the remaining space into a transit-training-childcare facility was born. Today, a downtown campus of Northeast State Community College accommodates 1,000 students and Kingsport Early Childhood Learning Center, a United Way agency, provides childcare on an ability-to-pay basis.

Bio

• Jeff Fleming is a native of Kingsport, Tennessee. He holds bachelor's and master's degrees from ETSU in political science and geography. He began his career in Kingsport as a planning intern in 1984 and was tapped to start-up the city's Geographic Information System in 1992. In 1998, he assumed leadership for the Development Services Department, which includes Building/Zoning, GIS, MPO, CDBG, Transit and Planning. For the past four (4) years, he has served as Assistant City Manager for Development.

Page 2: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Historic Church CircleMeadowView Marriott Conference Resort

Historic Shelby Row Strong public schools & music education

Snow at Bays

Mountain Park

Page 3: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During
Page 4: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Transit originates from community visioning process

circa 1996

Page 5: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

The Basics• Prior to implementation of KATS in 1996, Kingsport was largest city in Tennessee without access to public

transportation. Both Johnson City and Bristol have operated buses far longer than Kingsport.• Need for public transportation identified as key goal in Kingsport Tomorrow Vision 2017 process (prior to bus

service, subsidized taxi service was only public transit available to Kingsport residents). • Reduced transportation cost to most “at-risk” Kingsport residents. For example, a subsidized roundtrip taxi ride to

healthcare providers, grocery stores, or shopping centers may cost up to $6 to $10. • A roundtrip bus ride ranges from $0.50 to $1.• Provides “on-call”, curb-to-curb service to disabled residents under ADA• Operates transportation for Senior Center• Provides contractual transportation services to transport students from City elementary schools to after-school

care at Boys-Girls Club, and Girls Inc.• Provides contractual transportation services for Madison House Alzheimer’s Center.• Provides charter service for Fun Fest, conventions, weddings, special events.• In 1996, KATS averaged less than 400 riders per month. In July of 2004, averaged nearly 10,000 riders per

month• KATS offers 4 routes covering all major shopping centers with several transfer points city-wide. Drivers are

trained to help patrons who may not familiar with system and make sure the patron arrives to their destination.

Page 6: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Funding

• KATS is predominantly funded by the Federal and State transportation budget.

• Total Budget = $360,000 per year– Federal portion = $202,900 or 50%

– State portion = $64,330 or 18%

– City portion = $92,670 or 23%

Page 7: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Spin-Offs• The Federal Transit Administration awarded a grant for $424,000 to the Regional Center for Applied

Technology (RCAT). Without the relationship to transit, approximately 50% of the project funding for RCAT would not have been available.

• RCAT is co-located in the KATS building. • RCAT was identified as one of the primary economic initiatives in the 1999 Economic Summit. It will be

an invaluable asset in the city’s effort to re-train the workforce for jobs in the new technology-based economy.

• RCAT has become the training center for the City’s Transportation Planners and KATS staff. Working with the RCAT staff, the city has been able to set up several training sessions utilizing RCAT’S equipment and space. This has been very beneficial to the Transportation Planning staff.

• Kingsport/Sullivan County was recently named as a “non-attainment” area for air quality standards. This rating is linked to ozone levels, which are attributed to urbanization and a dependence on automobiles as a sole transportation mode. To offset the “non-attainment classification”, local government must demonstrate that it is making efforts to improve air quality. One way to meet these requirements is to provide alternate modes of transportation, such as transit, bicycle lanes, greenbelts/greenways, etc.

• KATS offers “FREE” rides to the public on days that are declared “Ozone Awareness Days”.

Page 8: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Ridership HistoryTotal Monthly Ridership

Kingsport Area Transit System

0

2000

4000

6000

8000

10000

12000

14000

Mar

-96

Jul-9

6

Nov-9

6

Mar

-97

Jul-9

7

Nov-9

7

Mar

-98

Jul-9

8

Nov-9

8

Mar

-99

Jul-9

9

Nov-9

9

Mar

-00

Jul-0

0

Nov-0

0

Mar

-01

Jul-0

1

Nov-0

1

Mar

-02

Jul-0

2

Nov-0

2

Mar

-03

Jul-0

3

Nov-0

3

Mar

-04

Jul-0

4

• In March 1996, Kingsport Transit had less than 400 riders per month

• By July 2004, ridership had grown to 10,000 per month, with spikes nearing 14,000

Page 9: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

PeersOperating Expense per Revenue Vehicle Hour

$25.72$27.78

$39.03$41.51 $42.18 $42.20

$46.85$51.04

$0.00

$10.00

$20.00

$30.00

$40.00

$50.00

$60.00

Kingsp

ort T

N

Bristo

l TN

Jack

son T

N

PEER AVERAGE

John

son

City, T

N

Clarks

ville,

TN

Glens F

alls,

NY

Houma,

LA

Source: TranSystems 2004

“In fact, KATS has operating costs per hour lower than every peer for both fixed route and demand response service.”

“The paratransit figures are particularly impressive since KATS has a higher number of demand response vehicles running than most of its peers yet still maintains the lowest cost per vehicle hour.”

Page 10: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

The Future

• System maturation– Alternative 1: Modified radial structure with flexible zones

– Alternative 2: 60-minute headway structure

– Alternative 3: Trunk route with mini-hub structure

– Alternative 4: General public demand-response system

Page 11: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

The Early DaysNewspaper Articles

• Jan 1, 1998 “a decision on the future of KATS is expected in early spring”• Jan 5, 1998 “It’s ‘use it or lose it’ time for Kingsport”• Jan 17, 1998 EDITORIAL “Accepting the grant money would cement the city's long-term

commitment to what has proved a worthwhile program.”• Jan 18, 1998 "If the board decides to accept the grant, I believe that we should continue our

conservative approach regarding our transportation system by renovating or buying an existing building as opposed to trying to build a new structure,'' (Alderman Peggy) Turner said.

• Jan 19, 1998 Kingsport going with Transit Center … “flexibility in the use of the building makes the property particularly attractive. Even though the Cason building ranked third in a city study of possible transit center sites, (City Manager) Connet said, the opportunity for varied use of the structure makes it a top choice.”

• Jan 22, 1998 Hot time in the old town… “Oh well, who had time for movies? We busy folk are too tied up in trying to decide whether or not the BMA will use a TDOT grant to build a transit center. (Transit center is government talk for 'bus stop') Now if the BMA does use a TDOT grant for KATS, we can expect to read MORE words MADE up of all CAPITAL letters that stand for something. One of those words will be DEBT - D*** Empty Bus Terminal.

• Aug 10, 1998 Kingsport officials Friday finalized the $270,000 purchase of a 16,000 sf downtown building that will serve as home to the city's transit center. The city's most recent quarterly statistics show more than 16,000 trips, a 90 percent increase from the prior year.

Page 12: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

The Early DaysNewspaper Articles (continued)

• Nov 2, 1998 “…told the BMA the city's taxi subsidy program is not in compliance with the Americans with Disabilities Act and may have to be discontinued. The city has contracted with local cab companies to provide public transportation since 1985. The taxi program is the only form of public transportation available after 5 p.m. and on weekends when the Kingsport Area Transit Service does not operate.”

• Nov 18, 1998 “phones haven't stopped ringing since Kingsport's taxi subsidy program was discontinued two weeks ago. But Taylor said the city had no choice but to end the service.”

• May 16, 1999 “Jeanette Blazier should be Kingsport's next mayor. Amidst dissent she can keep people around the table. The results are, for example, Drive Smart, a

program designed to reduce traffic accidents; KATS, Kingsport's transit system and Community Unity, resulting in the Unity Service, Black History Celebrations and scholarships.”

• As of Sep 7, 2004, there have been 107 newspaper articles (that’s an average of 1.6 articles per month) for 68 months

Page 13: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Kingsport Area Transit Center

•4,000 sf finished

•12,000 sf unfinished

Page 14: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

A seed is planted by TDOT

•December 1997

•A model program suggested

•Transit - Training - Childcare

•Every idea has its day...

Page 15: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Our perfect storm … the convergence of an idea, a location, and leadership

Circa 1999

Page 16: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

A New Day in KingsportOct 21, 1999 -- Kingsport Mayor Jeanette Blazier says city leaders have a common goal but are working

separately to achieve it.

‘‘We need to get our local act together — not that we’re not doing well — but we need to get on the same page and have a common goal,’’ she said.

That goal, said Blazier, is economic diversity.

In a report to the Sullivan County Economic Development Commission, Blazier said that even before the news this week that Eastman Chemical Co. will cut 1,200 jobs, city officials were aware of the need for a more diverse economic base in Kingsport.

An economic development summit is planned for Nov. 4 and 5, during which the Kingsport Board of Mayor and Aldermen, Kingsport Economic Development Commission, Downtown Kingsport Association and city planning staff will meet to discuss economic growth in the city.

‘‘After the news we’ve had in our community this week regarding Eastman Chemical Company, the ultimate goal that we want out of all of this is to have a diversified economic base in our city,’’ she said.

Blazier said that while officials expect manufacturing to continue to be a strong player in the Kingsport economy, they also know they must ‘‘articulate a vision’’ for the economic base of the city.

Blazier called the summit ‘‘groundbreaking.’’

‘‘These players have never been at a common table before,’’ she said. ‘‘They’ve all been doing their own separate planning.’’

Page 17: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Economic Summit

• November 3-4, 1999

• 60 Community Leaders– Local Government, Business,

Community/Neighborhood, State/Regional

• Visioning and Strategic Planning

• Consensus Building

• Groundbreaking

Page 18: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

BMA Economic PrioritiesApproved 3 Jan 2000

• Create an infrastructure plan that supports economic development efforts with emphasis on the following areas:

– MeadowView Convention Center area

– I-81/I-26 = “Tri-Cities Crossing”

– Regional Center for Applied Technology, Northeast State

– Redevelopment - Downtown & Core Urban Area

– King’s Port Commerce Park at Tri-Cities Crossing

– Holston Business Development Center (small business incubator)

– K-Play (new recreation and sports facilities)

Page 19: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

We are beginning to look more like a midwestern rustbelt city than a

booming sunbelt city. What are we going to do about it?

Circa 1999

Page 20: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Key Demographic Factors

• Population

• Income

• Cost of Living

• Median Age

• Median House Value

Page 21: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Population

• Kingsport, TN

– City 44,905

– Urbanized (TN-VA) 95,766

• Bristol, TN

– City 24,821

– Urbanized (TN-VA) 58,472

• Johnson City, TN

– City 55,469

– Urbanized 102,456

• Cleveland, TN

– City 37,192

– Urbanized 58,192

• Morristown, TN

– City 24,965

– Urbanized 54,368

• Oak Ridge, TN

– City 27,387

– Urbanized 39,599

• Knoxville, TN

– City 173,890

– Urbanized 419,830

• Chattanooga, TN

– City: 155,554

– Urbanized (TN-GA) 343,509

• Asheville, NC

– City: 68,889

– Urbanized 221,725

• Greenville, SC

– City 56,002

– Urbanized 302,194

• Spartanburg, SC

– City 39,673

– Urbanized 145,048

• Roanoke, VA

– City 94,911

– Urbanized 197,422

Page 22: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Per Capita Income

• Kingsport, TN

– City $20,549

– Urbanized (TN-VA) $19,788

• Bristol, TN

– City $18,535

– Urbanized (TN-VA) $18,061

• Johnson City, TN

– City $20,364

– Urbanized $18,250

• Cleveland, TN

– City $18,316

– Urbanized $17,412

• Morristown, TN

– City $15,894

– Urbanized $17,068

• Oak Ridge, TN

– City $24,793

– Urbanized $21,711

• Knoxville, TN

– City $18,171

– Urbanized $21,306

• Chattanooga, TN

– City: $19,689

– Urbanized (TN-GA) $20,596

• Asheville, NC

– City: $20,024

– Urbanized $20,107

• Greenville, SC

– City $23,242

– Urbanized $20,826

• Spartanburg, SC

– City $18,136

– Urbanized $21,093

• Roanoke, VA

– City $18,468

– Urbanized $21,093

Page 23: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Overall Cost of Living

Johnson City, TN 88.2

Kingsport, TN88.8

Bristol, TN 89.2

Cleveland, TN 91.1

Chattanooga, TN 91.8

Morristown, TN 93.3

Knoxville, TN 93.7

Spartanburg, SC 94.3

Greenville, SC 95.7

Asheville, NC 103.1

Oak Ridge, TN 105.3

Roanoke, VA 109.4

Page 24: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Median Age

• Kingsport, TN

– City 41.9

– Urbanized (TN-VA) 40.3

• Bristol, TN

– City 39.9

– Urbanized (TN-VA) 39.6

• Johnson City, TN

– City 36.9

– Urbanized 37.5

• Cleveland, TN

– City 34.0

– Urbanized 34.4

• Morristown, TN

– City 36.1

– Urbanized 35.8

• Oak Ridge, TN

– City 43.4

– Urbanized 41.8

• Knoxville, TN

– City 33.4

– Urbanized 36.0

• Chattanooga, TN

– City: 36.8

– Urbanized (TN-GA) 37.0

• Asheville, NC

– City: 39.2

– Urbanized 40.4

• Greenville, SC

– City 34.6

– Urbanized 35.6

• Spartanburg, SC

– City 34.7

– Urbanized 35.6

• Roanoke, VA

– City 37.6

– Urbanized 39.0

Page 25: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Median House Value

Chattanooga, TN $75,800

Johnson City, TN $94,600

Cleveland, TN $96,800

Knoxville, TN $96,800

Morristown, TN $96,800

Bristol, TN $99,700

Kingsport, TN$99,800

Greenville, SC $104,300

Spartanburg, SC $104,400

Asheville, NC $125,500

Roanoke, VA $136,600

Oak Ridge, TN $138,500

Page 26: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Summary

• Compared to the 12 selected cities, Kingsport has: – 7th highest city population– 8th highest urbanized population– 3rd highest per capita income– 2nd lowest cost of living– 2nd highest median age– 7th highest median house value ($99,800)

Page 27: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Our goal: to become the first K-14 public education system

in America

Page 28: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Summit Outcome

• Educated workforce• Attract/retain young adults• Transit-training-childcare

• “Educate & Grow”– first K-14 program in the nation– create college campus downtown

• Nurture the seed planted by TDOT back in 1997

Page 29: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Educate & Grow 2000Goals

• To encourage our youth to seek advanced training and post-secondary educational opportunities

• To provide an incentive to our youth to remain in the area

• To act as a catalyst for downtown redevelopment

• To address workforce development issues by creating a skilled labor force

• To provide easier access for our current workforce to additional training

Page 30: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

So we hit the road to bring our dreams to life…

first to Nashville, then Atlanta

Page 31: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

We Propose a Partnership

• Federal Transit Administration

• Economic Development Administration

• Appalachian Regional Commission

• TN Dept of Transportation

• TN Dept of Economic & Community Development

• TN Board of Regents (Northeast State)

• City of Kingsport

• Sullivan County

• Kingsport Economic Development Partnership

• Kingsport Times-News

• Kingsport Area Chamber of Commerce

By working together in a community partnership, we can create a new paradigm that links mass transit, workforce training, and multi-faceted

economic development to create a a healthy, well-connected city that is truly livable.

Page 32: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Center for Applied Technology at KATS

Economic Development Administration (EDA) $ 236,500

Appalachian Regional Commission (ARC) $ 150,000

Local funds $ 135,000

Surface Transportation Planning (MPO) $ 198,000

Federal Transit Administration $ 414,000

TOTAL: $1,133,500

* Plus a paying tenant. Northeast State pays KATS $45,000 per year in rent

Page 33: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Grand Opening

September 16, 2002

Page 34: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During
Page 35: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Enrollment exceeds expectations

0

200

400

600

800

1000

1200

1400

1600

Spring 02 Fall 02 Spring 03 Fall 03 Spring 04 Fall 04 Spring 05 Fall 05

Semester

Nu

mb

er o

f S

tud

ents

Page 36: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During
Page 37: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

September 8, 2004

• “Cline is among more than 5,100 students enrolled at the college this semester, which marks the eighth consecutive fall that Northeast State had posted a new record enrollment. The figure includes 1,054 first-time freshmen, a 19 percent increase over fall 2003.”

• “The community college's growth came even as many students had more financial flexibility to attend more expensive four-year institutions thanks to the Tennessee Lottery Scholarship program.”

Page 38: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

The Future

• Adjoining land has been purchased for $182,000 to eventually double the footprint of RCAT

• A multi-story facility is possible, further expanding the future options

• The property now consumes the face of an entire city block on Main Street in the heart of an historic block in downtown Kingsport

• Strategic location opposite the Downtown Kingsport Association’s new headquarters and “The MAC” (Main Art Center)

Page 39: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

There were several elements that came together simultaneously and created great synergy -- our perfect storm, if you will.

First, as we established a transit system and remodeled an oversized facility to accommodate it, TDOT officials suggested that we consider an innovative partnership providing cross-functional access between transit-training-childcare. Initially, this idea was not embraced by local officials, but we proceeded with renovating 2,400 sf of a 16,000 sf building to accommodate transit operations.

Second, the local newspaper publisher had an idea while mowing his yard. What if we paid for 2 years of college for our graduating seniors? What would that do for economic development? What would it do for workforce development? He began fleshing out these ideas with the local community college president.

Third, an election yielded a new mayor and 3 new aldermen -- a majority of 4 on a 7 member board.

Fourth, an "Economic Summit" was held to bring together 60 community leaders from CEOs to non-profits, from local government to state government, from volunteers to educators. The question, "What are WE going to do about our local economy?". We invited experts in economic development and the economy. The economist told us our demographics look like those of a rustbelt community of the early 80s. He further explained the void in the "youth" sector and our overdependence on manufacturing (40% of our economy). He explained that new skills are necessary to diversify to a more technology-driven economy -- skills which our workforce simply didn't have. We have long had a reputation for excellent K-12 education, but we always send our best and brightest off to college in some other place and they rarely return -- "brain drain". Through facilitated brainstorming and consensus-building, the idea of "Educate and Grow" moved to the top of the list and everyone was excited about the prospects. We have several other economic development initiatives, but this one tops the list.

With broad-based community consensus, this idea moved forward quickly. The only criticism is that we moved so fast we didn't initially ask the County or others to participate. However, they got on board and provided their graduates with scholarships, too. We expected somewhat of a snowball effect -- which is great -- but we wanted to be first. We wanted to be able to tell economic development prospects that education is so important to the people of Kingsport, TN, that we pay for 2 additional years. Isn't this the kind of place you want to bring your business? A place that gets results? A government that is nimble and progressive?

Northeast State came on board from the onset. They taught us the importance of community colleges, because they too are nimble (and inexpensive). Universities tend to be larger and more unwieldy. Northeast State developed curricula to support IntelliThought, a software company specializing in e-business who is having a hard time finding qualified workers. The company is 2 blocks from the transit center in downtown Kingsport. In 2 years, a student can feasibly move from high school to tech job (or they can continue in a 4-year local university at their own expense).

Based on historic enrollment projections with a factor for the attraction of "free college", we estimate that $250,000 ($150k county and $100k city) will fulfill this need. At $1,600 per year per student, we can accommodate 160 students. However, each student must apply for all other forms of grants first. Any money that is "left on the table" goes into an endowment so it is not lost from year to year. During the first semester, 150 students applied countywide, but 50 received other scholarships leaving 100 on the Educate & Grow program. The next semester, approximately 70 of the 100 returned. The downtown center opens this fall and we'll see how that effects enrollment. (If you need to know more details, I can put you in touch with Northeast State).

So, what do we get for our investment? We fill a dangerous demographic void and slow the graying of our community. We get qualified workers for economic development prospects. We obtain a "starving student" employment base for our restaurants, retail, etc. We get a college presence in downtown with the potential for 1,000 students per day (although the scholarships are good at any Northeast State location). We get a critical linkage between transit, training and a United Way childcare agency -- ride public transportation, drop off the kid(s) next door, take classes across the street -- improve your life and economic future; therefore, improving the city's life and economic future.

Summary

Page 40: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Positive news for a change…

Page 41: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

• Oct 6, 1999 KATS changing routes to improve ridership• Nov 5, 1999 Economic Summit opens with a challenge to take some risks and 'think outside the box'• Nov 6, 1999 Proposal introduced at summit calls for city to pay tuition for city's graduating seniors to attend Northeast State• Nov 18, 1999 Small business development critical in Kingsport's economic future• Nov 18, 1999 This town ain't made for walking• Nov 24, 1999 Kingsport Transit Building could be used to house new Northeast State branch• Dec 2, 1999 Downtown Kingsport Association celebrates 25th anniversary by reflecting on a year of change• Dec 16, 1999 Panel hears details of Northeast State campus for downtown Kingsport• Dec 27, 1999 Regulations prohibit use of transit buses to provide school transportation• Jan 3, 2000 Maybe Model City should do away with school buses• Jan 13, 2000 Development Partnership pushing for downtown Kingsport college campus, new multi-purpose sports complex• Jan 25, 2000 KATS opens new downtown transfer station• Jan 26, 2000 Kingsport Area Transit System opens new downtown transfer station• Feb 9, 2000 Kingsport Economic Development Partnership discusses funding priorities• Feb 10, 2000 Kingsport leaders say state officials receptive to proposal to establish Center for Applied Technology• Mar 7, 2000 Kingsport Board of Mayor and Aldermen told outsiders look at data and see Model City as a mid-1980s rust belt town• Mar 9, 2000 Work progressing on downtown branch of Northeast State Community College• Mar 18, 2000 Gas prices have businesses, non-profits weighing options• Mar 21, 2000 Kingsport Board of Mayor and Aldermen balks at size of budget draft's documentation, proposed tax increases• Mar 26, 2000 Kingsport’s expected revenue growth consumed by existing debt; detail of proposed 2001 budget shows • Mar 28, 2000 Kingsport BMA faces the nitty, gritty of what will and won't make it into the city budget• Mar 29, 2000 Downtown Kingsport Association told that Model City Coalition's efforts beginning to bear fruit• May 5, 2000 Cost-benefit analysis for development efforts, and a curriculum for the Regional Center for Applied Technology • May 12, 2000 Committee snags $500,000 to establish Regional Center for Applied Technology• May 15, 2000 Times-News publisher offers Northeast State grads advice for the road of life• May 17, 2000 Kingsport Board of Mayor and Aldermen approves budget• May 20, 2000 By looking at big picture, Board of Mayor and Aldermen shows it does care about kids • May 28, 2000 KATS offers summer youth pass• July 24, 2000 Board of Mayor and Aldermen in search of ‘theme’ for retreat, economic development high on the agenda• Aug 23, 2000 Downtown Kingsport Association to support Regional Center for Applied Technology • Sep 23, 2000 Regional Center for Applied Technology will be boon for city • Sep 23, 2000 Weekly business calendar -- update on the proposed Educate and Grow scholarship • Oct 4, 2000 Regional Center for Applied Technology projected to open by fall 2001, have 1,000 students within 5 years• Oct 7, 2000 Board of Mayor & Aldermen acted wisely on Regional Center for Applied Technology• Oct 15, 2000 City's economic efforts to be showcased at Governor’s Conference• Oct 18, 2000 Optimistic, 'exuberant' outlook for Kingsport’s economic development future at Governor's Conference• Oct 31, 2000 Kingsport's paid-tuition program could become state model• Dec 13, 2000 Tennessee posts $7 billion in private investment in 2000• Dec 17, 2000 All ETSU and Northeast State want for Christmas is full funding for higher education • Dec 20, 2000 City officials approve budget priorities• Dec 26, 2000 It’s been a good year for development • Jan 16, 2001 Tennessee should do more to educate workers• Jan 29, 2001 Board of Mayor and Aldermen envisions strong, vibrant downtown• Feb 9, 2001 Kingsport Chamber looks back at successes of 2000 at annual dinner• Mar 10, 2001 RCAT on track for Fall 2002 opening• Mar 10, 2001 BOE seeks changes to BMA's strategic plan

Page 42: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

• Mar 16, 2001 School board weighs statement on RCAT• Apr 24, 2001 BOE candidates air views on school funding, RCAT• Jun 27, 2001 Incoming chamber president outlines vision for city• Aug 15, 2001 Jenkins announces $380,000 in federal funding for RCAT• Sep 25, 2001 City accepts $1 million grant money for NSTCC satellite• Sep 30, 2001 RCAT will be major benefit for city• Oct 16, 2001 Regional Center for Applied Technology $80,000 short of goal• Jan 25, 2002 Education, training are keys to success in high-tech world• Mar 2, 2002 City, county higher education initiatives garner international attention• Mar 11, 2002 RCAT, Educate and Grow wise investments in higher education• Apr 3, 2002 Hilleary lauds city's K-14 education system• Apr 18, 2002 Transit Center, RCAT pairing good for city• Jun 5, 2002 Communities see value of Educate and Grow• Jun 9, 2002 Construction begins on Regional Center for Applied Technology• Jun 10, 2002 Groundbreaking held for Kingsport Child Development Center• Jun 21, 2002 BMA reviewing possible cuts in service, personnel• Jun 29, 2002 State shut-down back-up plans in place at ETSU, Kingsport Center, NSTCC• Jun 29, 2002 Regional Center for Applied Technology faces good, bad news• Jun 30, 2002 NSTCC hopeful classes won't be delayed for RCAT opening• Jul 10, 2002 Crews stepping up work on Regional Center for Applied Technology• Jul 24, 2002 RCAT opening a 'good start', says NSTCC President• Aug 7, 2002 NSTCC making backup plans for RCAT students as semester looms• Sep 1, 2002 RCAT on track and under budget as opening nears• Sep 14, 2002 RCAT dedication step forward for region• Sep 14, 2002 RCAT to hold ribbon-cutting• Sep 16, 2002 RCAT + technology classes for high school students = economic development• Sep 16, 2002 Vision realized as RCAT opens its doors in downtown Kingsport• Sep 30, 2002 Kingsport Child Development Center opens doors to new facility, changes name• Oct 9, 2002 RCAT opening expected to boost transit ridership• Mar 13, 2003 KATS ridership on the upswing• Mar 14, 2003 Jitney, KATS a resounding success• Mar 16, 2003 RCAT spring semester enrollment climbs• Apr 2, 2003 RCAT, Educate and Grow beginning to show their potential• Apr 21, 2003 Great city services• May 3, 2003 BMA candidates outline economic development strategies• May 16, 2003 KATS nearing ridership goal• Aug 17, 2003 RCAT enrollment outpacing expectations• Aug 25, 2003 RCAT, Educate and Grow record successes• Nov 27, 2003 KATS ridership tops 100,000, sets milestone• Nov 29, 2003 Survey aims to shine light on Kingsport business needs• Dec 4, 2003 KATS reaches impressive milestone in ridership• Mar 1, 2004 Kingsport negotiating for property near RCAT• Apr 24, 2004 KATS offering free trips to grocery shoppers• Jun 25, 2004 RCAT's success overtaking expectations• Jul 5, 2004 RCAT enjoying incredible success• Jul 12, 2004 KATS giving free rides on Ozone Action Days• Aug 11, 2004 How will we cope with a post-industrial Kingsport?

Page 43: TAPA Fall Conference Chattanooga October 1, 2004 Session Description Kingsport's is one of the newest fixed-route transit systems in Tennessee. During

Summary

Integrating transit, training and childcare has paid off!