Gov: Ark. Toyota Plant Benefits Tenn.

LITTLE ROCK (AP) -- Tennessee Gov. Phil Bredesen said that while he would like to see a planned Toyota Motor Corp. assembly plant in Chattanooga, his state would still benefit if the plant goes instead to eastern Arkansas.

Bredesen, speaking in Nashville Thursday, denied a report that said his administration had asked Memphis city officials to not back Marion, Ark.'s effort to land the plant. The Commercial Appeal newspaper in Memphis, citing sources, reported last week that Bredesen didn't want Memphis to help Marion while Chattanooga was still in the running for the 2,000-employee plant.

"I am certainly unaware of that," Bredesen said as he referred the question to his economic development team. "Certainly I put first priority on getting the plant in-state, but it certainly would benefit us to have a plant in Marion, Arkansas."

And Mark Drury, assistant commissioner for the Tennessee Department of Economic and Community Development, said Thursday his state's economic officials had not tried to undermine Marion's effort.

"Neither Governor Bredesen nor Commissioner (Matt) Kisber has asked economic development officials from the Memphis area to take a position in regards to any specific development site as it relates to any specific project," he said.

Toyota is reported to be looking for a site to build its Highlander sports utility vehicle. It considered Marion in 2002 before putting its Tundra truck plant in San Antonio, but marketing reasons -- Texas has a huge demand for pickup trucks -- influenced the automaker's decision.

"I'm still satisfied that we have the best location," Marion Mayor Frank Fogleman said Thursday from Washington, where he was meeting with congressmen to discuss his city's economic development effort. "We have a site where they could drive out tomorrow and start to work."

Now, as then, Marion touted easy access to a pair of cross-country interstates, four major railroads, the Mississippi River and a major airport at Memphis. Union Pacific announced last year it was expanding its Marion intermodal yard, where cargo suitable for shipment for barge, rail and trucks come together.

Chattanooga also has major interstates, a railroad and the Tennessee River.

Kay Brockwell, Marion's economic development director, said a study done as the city tried to woo Toyota in 2002 showed that the plant would help create 8,000 jobs -- those in the plant plus others at nearby businesses that would help supply the plant and take care of its workers.

"Probably 25 percent of those jobs would go to Marion people" which would leave another 6,000 jobs to be filled by others in the region, Brockwell said.

"We're sitting across the river from a county with a million people. My math skills aren't terrific, but I can tell you that's where a lot of people will be coming from," said Brockwell, also in Washington.

"I'm glad to see that Bredesen realizes that it's still a benefit for Tennessee," Brockwell. said. "There will still be a lot of Tennesseeans in that plant if it's built in Marion."

Mitch Chandler, a spokesman for the Arkansas Department of Economic Development, said the state considers Memphis a strong partner in its efforts but acknowledged the city might not openly campaign against another Tennessee city.

"In this particular occasion, we can understand why they may not be as vocal as they were in 2002," Chandler said, adding that, behind the scenes, "Something tells me they're pulling for us."

Fogleman said Toyota, if its finalists are Chattanooga and Marion, has put Bredesen in an enviable position.

"They're in the catbird seat," he said. "His state will be helped if either site is chosen."

Associated Press writers Beth Rucker in Nashville, Tenn., and Andrew DeMillo in Little Rock contributed to this report.