Last Updated:May 07. 2008 11:10PM
Published: May 08. 2008 3:30AM

Officials with the Tennessee Valley Authority and local governments have started preliminary discussions that could lead to the development of about 1,300 acres of the TVA Muscle Shoals Reservation.

The prospects could provide an economic boost for the Shoals, both in retail and industrial development.

"What we want to do is work with the community around the Muscle Shoals Reservation to market that property for future economic development," said Tennessee Valley Authority spokeswoman Barbara Martocci.

The property under consideration is about 1,300 acres south of Reservation Road and bordered by Hatch Boulevard, Second Street and Wilson Dam Road. It's unclear if developments would be allowed on all 1,300 acres.

TVA has received requests from local governments, particularly from Sheffield, for portions of property in that area during the past several years, she said.

All TVA property north of Reservation Road, including the walking trails and other recreational areas, would continue to be available for public use.

TVA officials, representatives of U.S. Rep. Bud Cramer's office and representatives of Sheffield, Tuscumbia, Muscle Shoals, Florence and Colbert County met last week to discuss the possible uses of the property.

Martocci said the goal is to redevelop portions of the reservation while increasing business opportunities and jobs in the Shoals.

Colbert County Commission Chairman Tim Leigh said the property would be offered at fair market value to a single entity representing the local governments in the Shoals.

"It's going to be great if it happens," Leigh said.

Florence Councilman Hermon Graham said the next step will involve creating the entity that would work directly with TVA on how the property would be developed and other matters related to the possible partnership.

Graham, who attended the meeting on behalf of Florence Mayor Bobby Irons, said the property would be an outstanding site for a new industrial park. Economic development officials have been voicing a need for more industrial parks in the Shoals.

Martocci said possible uses for the property - commercial, industrial or a combination - have yet to be determined.

One thought being voiced involves possibly allowing retail and commercial development along the outside portions of the property - Hatch Boulevard, Second Street and Wilson Dam Road - while inner portions of the property being used for industrial development.

"This redevelopment effort will support economic development in the communities surrounding the TVA Muscle Shoals Reservation," said Ron Williams, vice president of research and technology applications at TVA. "TVA will continue its presence in the Shoals area at the many facilities that have been in existence for as many as 75 years. Jobs will not be lost, but TVA employees may move to other portions of the reservation."

Martocci said there were a few sites in the reservation that could not be used because of contamination. She said TVA would retain those areas.

The reservation formerly housed a nitrate plant and a fertilizer development operation, among other operations.

Irons said even though the property lies within Colbert County, its commercial or industrial development would benefit Florence and Lauderdale County.

"Colbert County's industrial parks are extremely important to Lauderdale County," Irons said.

Florence and Lauderdale County have worked with the local governments in Colbert County on previous projects that led to jobs for residents in both counties, Irons said.

"We're very interested in being a part of this," Irons said.

Colbert County Commissioner Rex Burleson said the project will take several years to complete since TVA wants a comprehensive master plan created for the reservation property.

"There are a lot of questions to be answered, but I think we're heading in the right direction," Burleson said. "We're working to make something happen with the best mix for that property."

Burleson said he anticipates the entity that will work with TVA on the project would be similar to the Public Parks Authority, which has fostered the tourism project in the area that involves a partnership with the Retirement Systems of Alabama. He said the new agency that will work with TVA would likely be made up of Shoals public officials.

"Shoals officials and TVA leadership are coming together to find the best way to utilize the TVA Reservation," Cramer said. "The discussions are in an early stage, and there will be ample time for Shoals residents to voice their opinion. This land has tremendous potential for the residents and businesses of the Shoals and, if used properly, will further enhance the economy and quality of life of the region."

Russ Corey can be reached at 740-5738 or russ.corey@timesdaily.com.