State roundup: First round of education stimulus cash on its way

Tuesday, May 26, 2009 at 12:30am
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Rally cars kicked up plenty of dust on Perry County's roads this past weekend.

Across the state

Tennessee Republican Party chairman Robin Smith of Hixson resigned from that position. Smith is considered a leading candidate to replace outgoing Third District Congressional representative Zach Wamp, who is running for governor.

Gov. Phil Bredesen announced that the U.S. Department of Education had approved Tennessee’s application for the first $635 million available to the state through the American Recovery and Reinvestment Act State Fiscal Stabilization Plan. The amount represents 67 percent of all funding available to the state for educational initiatives under the American Recovery and Reinvestment Act program. The rest of the money will be available this fall.

Perry County

Bredesen also presented a jobs package plan aimed at reducing unemployment in Perry County using federal dollars from the Recovery Act. The plan will employ nearly 300 unemployed residents in both government- and private-sector employment opportunities. Perry County has the state’s highest rate of unemployment at 25.4 percent. The next highest rate is 18.8 percent.

Rally Tennessee, a Linden-based road racing event held over a closed course of twisting roads, brought some needed economic activity to Perry County over the Memorial Day weekend. Celebrating its fifth year, the acclaimed Rally Tennessee race boasts competitors from all over the world. Although a modest sport stateside, rally racing is big in Europe. The sport features "street legal" cars (the same that fans use in their daily lives) on real roads. And with the designation of longest all-tarmac race in the States, Rally Tennessee has found its niche.


Portland, Ore.-based Nike Inc., which has significant distribution operations in Memphis, announced that it is cutting nearly 1,800 jobs worldwide, or roughly 5 percent of its global work force.

Minnesota-based Medtronic Inc., a medical devices company that also has a significant presence in Memphis, announced plans to eliminate as many as 1,800 jobs from its payroll by the end of June amid efforts to control costs and manage economic pressures.

Haywood County

A report by the Center for Business and Economic Research at UT-Knoxville found that development of the megasite in Haywood County could create between 900 and 2,000 direct jobs, 9,000 indirect jobs and have an estimated direct payroll of $136 million in the first five years of operation. Gov. Bredesen recently announced plans to spend $62 million at the site to create a solar power farm and to install infrastructure.

1 Comment on this post:

By: Renlo_N on 7/2/09 at 3:37

Reacting to a second consecutive quarter of huge revenue losses, Gannett Co has announced that the newspaper publisher will have to cut the number of its employees all over the country. It seems every few weeks there's more Gannett layoffs. Gannett layoffs have been happening all over the country, as one of the largest chain of newspapers has been hard hit by the recession, and it seems no fast cash loans are going to be able to reverse the trend. The next round of layoffs for the newspaper conglomerate is going to be large, with numbers ranging from 1,000 jobs to 4,500 jobs are expected to be cut. Newspapers and other publications have taken an enormous blow during this recession. Papers seen as institutions have closed or gone entirely online, and it seems no fast cash loans and bailouts are going to be made available, and no stopping more Gannett layoffs.