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Mazda Toyota Manufacturing Sets Diversity Spending Target for Construction

As construction progresses on the Mazda Toyota vehicle assembly plant in Limestone County, Mazda Toyota Manufacturing is poised to make a large investment in minority and women-owned business enterprises.

The company said it plans to spend at least 20 percent of the overall cost of construction with those entities.

“Every aspect of MTMUS’s business must closely reflect our customers’ diverse backgrounds and experiences, including our team members, suppliers and business partners,” Mark Brazeal, vice president of administration of MTMUS, said in a press release. “Together with our general contractors and structural steel supplier, we have set an ambitious target that will set the foundation for MTMUS’s future to compete as a world-class manufacturer of vehicles.”

It’s difficult to put an exact figure on how much Mazda Toyota Manufacturing will spend. The total investment in the project is around $1.6 billion, but that includes non-construction costs like equipment and tooling.

Officials say construction of the plant is on schedule and they expect vehicle production to begin in 2021. (Huntsville Business Journal Photo)

Last year, Toyota alone had about a $3 billion diversity spend across the board, according to Victor Vanov, a spokesman for Toyota.

“That includes direct and indirect suppliers,” Vanov said. “What we mean by that is direct is like the specific car parts or components that go into our vehicles; on the indirect side, it might be things like janitorial services, printing, office supplies or maybe hiring a communications firm or consultant group.”

Construction sourcing has progressed and includes recent awards to diverse companies such as Aristeo Construction, a certified Woman-owned Business Enterprise general contractor; and Indiana Bridge, a Minority Business Enterprise structural steel supplier.

Officials say construction of the plant is on schedule and they expect production to begin in 2021.

The project is expected to bring around 4,000 new jobs to the area and the hiring process for some of those is already underway. Those interested can apply for jobs at MazdaToyota.com.

As far as construction is concerned, the company said there are about 2,500 workers on site building the facility with about 70 percent from Alabama.

When finished, the plant will span nearly 65 football fields or 3.1 million square feet; consist of 26,000 tons of steel with some 1,600 steel beams that, if stacked end to end, would reach a height of 80,000 feet – 15 miles.

Burgeoning Regional Economy Ensures Everyone a More Valuable Slice of the Pie

Envision Huntsville as an average size pie.

Standing at city center, look outward in all directions toward the far edges of the pie crust – north toward the state line where visitors from Tennessee get their first glimpse of the city. South where many Huntsville businesses draw daily commuters. East across the mountain, west from neighboring communities and all points in between.

For Huntsville and Madison city leaders, this vision of the pie’s edge does not represent boundaries but, instead, corridors of growth.

“That’s always been our vision for Huntsville’s future and the basis for our regional economic strategy,” said Huntsville Mayor Tommy Battle. “The first part of revitalizing your city is to take the center point, known as the living room of your city, and revitalize it to make it economically viable. Get one area going and stretch it out to other areas.

“Year after year, we have pinpointed growth corridors that help us grow both economically and residentially. The result is an economic revival like what you have been seeing in Huntsville and Madison the past 10 years.”

Private investment land developers have that vision too. During the 1990s, brothers Jim and John Hays and their nephew Jeff Enfinger of Enfinger Development opened a growth corridor to the southeast in Hampton Cove and the Hays Nature Preserve.

In 2000, that development led to the expansion of a residential growth corridor along Taylor Lane in Big Cove, and, by 2010, it had extended into the Goldsmith-Schiffman community.

Also during the 1990s, Huntsville opened a residential growth corridor off Zierdt Road in the Edgewater and Mountain Brook communities southwest of the city. In 2010, it expanded into the Williams community further south.

Battle said that by looking at the local economy like a pie, you will see their strategy unfolding.

“Instead of dividing the pie into fifteen different pieces that get smaller the more users you add, we made the whole pie bigger so we could divide it up differently with more restaurants, entertainment and activity venues, more places to spend retail dollars,” he said. “With a bigger pie, each slice is more valuable.”

The Western Corridor

The Town Madison development along I-565 between Zierdt Road and Wall-Triana Highway in Madison will open a gateway to the city.

Anchored by the new Rocket City Trash Pandas baseball stadium, the development is surrounded by residential, retail, commercial, and entertainment components that have thrown open a west side growth corridor that never existed.

“The location off I-565 is perfect catchment for a broad audience across the Southeast,” said Madison Mayor Paul Finley. “As the interchanges off the highway are completed, you can expect ease of traffic getting to and from the area.

“If people come for a game or event, we hope they stay and experience all that Madison has to offer, including our historic downtown that offers livability with local boutique shopping and dining.”

Finley also believes Madison’s central geography in North Alabama positions it perfectly to feel the positive impact from economic development in the whole state as well as southern Tennessee.

“Madison benefits from Huntsville’s growth with the FBI and other tech development workforce to our east, as well as from the Mazda-Toyota plant to our west. We look to collaborate with Limestone, Morgan and Marshall counties,” said Finley.

The development is envisioned to become a regional destination.

“Right on the interstate, convenient if you are coming from Cullman or Decatur, and where everybody who passes by can see it,” said Joey Ceci, president of The Breland Companies, which is developing Town Madison and the new Clift Farm project on U.S. 72 in Madison. “We are creating a regional destination with baseball, a food hall, and resort style hotels, similar to, but more diverse than Chattanooga.”

Open Southern Border

Recently, Enfinger and his uncles who are also developing McMullen Cove, announced the development of a multi-use Hays Farm development in South Huntsville that will replace the old Haysland Square and turn a 500-plus acre swath of undeveloped land into a new growth corridor to the south that will draw retailers and residents from Airport Road south to the river and beyond.

“There will be a commercial center all the way up to the Enfinger Building on South Parkway with a Village of Providence-type entertainment district surrounded by a city park, a ballfield, and 500-acre Hays Green with a passive walking park,” said Enfinger. “We’d like to maintain the natural green spaces. The Hays Nature Preserve in Hampton Cove has been a regional draw for a lot of people.”

In many ways, Ceci believes that with population growth and so many people commuting here to work every day from other counties, we already have an active regional economy at work.

“You see workers buying groceries, going out to eat and shopping during the workweek, even if they live outside the city,” he said. “I think there is some pent-up demand for some of the development that is occurring.”

Max Grelier, co-founder of RCP Companies who has developed the AC Hotel as part of CityCentre and developing MidCity on the old Madison Square Mall property, has been watching those employee migration patterns into Huntsville for more than a decade.

“We see the regional trade area as about 50 miles and incorporates the 14-county commuter hubs from which Redstone Arsenal and Cummings Research Park draw its employment,” said Grelier. “As a result, Huntsville has become the region’s primary center for healthcare, civic, cultural, shopping, and dining activity.”

Annexation of Morgan & Limestone counties

Add to all this, the annexation of a small portion of Morgan County to the southwest and a huge chunk of Limestone County due west of city center, and you can see the pie expanding!

“Yes, this annexation is a game-changer because it results in the ability to get infrastructure to certain areas and thus create major employment opportunities,” said Charlie Sealy of Sealy Realty. His company has developed several residential properties including The Belk Hudson Lofts and The Avenue in downtown Huntsville, and is building a sister community, The Avenue Madison. “These new jobs will be an economic driver for the economy and create an incredible multiplier effect.”

The annexation is a precursor to the economic development that follows it, said Grelier.

“Annexing was necessary for the economic development of the Mazda-Toyota plant and other larger manufacturers,” he said. “It’s also helpful in attracting investment into commercial real estate projects across the metro area.”

“We’ve only made a foray into Morgan County,” said Battle, “The annexation of Limestone County where Mazda Toyota made a $2 billion land investment has seriously expanded our metro and opened an industrial growth corridor that is a win-win for both parties.”

City funds, thanks to Huntsville’s AAA credit rating from the S&P and Moody’s Investment Services, have pulled their share of the weight. With the power to borrow $85 million for city and countywide projects, of that, Huntsville will allot $25 million for the Mazda Toyota project infrastructure; and another $55 million for capital plans and schools.

Northern Exposure

Included is the revitalization of North Memorial Parkway. Since widening the well-worn highway into a viable parkway traffic corridor, it has encroached on many properties there, making them less viable.

“They don’t have enough depth to sustain retail, so we’ve taken them out and we’re turning that area into a park with greenways and walking trails,” said Battle. “Perception becomes reality.

“Instead of seeing boarded-up buildings when you enter from the north, you see it more as an entryway into North Huntsville – an economically viable area to move into and to be a part of.”

Among the projects is the upgrading of parks that will be instrumental in bringing in sports teams from all over the Southeast, including recreational rugby fields and soccer fields that can also be used for lacrosse.

“We are putting money into the tennis center and into the golf course, which now has cross-country running and mountain bike trails. All of these things tie back to what we call ‘quality of life’ for our residents and activities for our guests,” said Battle. “Travel sports bring people and their families to our area from all over, where they compete, stay in hotels, eat in restaurants, and shop in our stores.”

Quality of Life

Town Madison’s $12 million Pro Player Park project with 12 synthetic baseball/softball fields, the $22 million Huntsville Aquatic Center, and the expanding Huntsville Tennis Center are already national attractions for travel sports competitions and events.

“To have a viable and growing economy, we have to offer a ‘quality-of-life’ that attracts people to the area, and quite frankly, we have a lot of jobs on the table too,” Battle said. “To recruit highly-skilled, higher income workers requires a quality of life that is equal to or higher than where they are moving from.”

Battle said “quality-of-life” is found in Lowe Mill, in craft beer, in a vast array of recreation facilities, disc golf, pickleball, art museums and public parks.

“But we still have work to do because people are coming from around the world to work for companies like Blue Origin, Facebook, Aerojet Rocketdyne, and Mazda Toyotas,” said Battle.

Finley is ready for whatever challenges lay ahead for Madison.

“As Madison grows our focus is making sure we are responsible with our citizen’s tax dollars by improving infrastructure and providing a good quality of life in every district of our community,” said Finley. “While areas to the West are experiencing booming growth and increased traffic, we need to not only keep pace with growth but foresee areas that will need improvements down the line.”

Huntsville is also adding hotels, apartments, and homesites as more people move into the city. With a goal of adding 1,000 hotel rooms within walking distance of the Von Braun Center, Battle said it will help draw larger conventions and business meetings.

“Part of the strategy for building smaller hotels instead of one big convention center hotel is to prevent people from living inside the hotel the whole time they are here,” said the mayor. “We want people to experience our city, eat in our restaurants, visit our museums, and shop in our stores.”

Enfinger believes that as we become a more affluent society, people’s wants, and expectations become more demanding.

“It looks like we are evolving in unison with the rest of the country as far as the type shopping we do and the kind of developments we build,” said Enfinger. “Our growth rate is higher than most cities, but I think we follow a national trend in the type developments we can sustain.”

Private Investment is Leading the Way

Private investment must still lead the way and developers such as Breland, RCP, Sealy, and Enfinger are leading the charge.

“When the City can support infrastructure needs or improvements, private investment can take those dollars further,” said Mayor Finley. “This is a win/win for both the City and for the investors. Ultimately, our citizens also reap the benefits of this growth and development.”

“Buy-in is good so far, but much harder than it may seem,” said Grelier. “Huntsville has a great story to tell, but many larger institutional investors are not aware of it or view the market as too small.

“Our team spends most of our time discussing and selling the regional market rather than the immediate project. A big part of Huntsville’s growth moving forward will be how the region is branded to compete for private investment and workforce internationally. It’s a regional story that should include our sister communities.”

He would also like to see the Gen Y & Z workforce move to the area because it’s a cool, fun place to live, and then find a job once they get here rather than moving here for the great job.

“Once this trend reverses, larger private investment and more economic development will follow quickly,” Grelier said.

From the city’s perspective though, Huntsville’s first mixed-use/multi-purpose development at Twickenham Square in 2014 has been a driver in enlarging the pie.

Join us for Part 2 of our series on Huntsville’s growing regional economy in the September issue of the Huntsville Business Journal as we investigate how multi-purpose/mixed-use developments are helping build Huntsville’s regional economy.

 

Huntsville Receives Commerce Dept. Rail Infrastructure Grant

The city has been awarded a $4.1 million grant to help build a bridge to serve the Mazda-Toyota Manufacturing plant.

In a statement, Secretary of Commerce Wilbur Ross announced the Department’s Economic Development Administration‘s grant to the city will also provide opportunities for further industrial and commercial development adjacent to the site. The grant will be matched with $4.1 million in local funds and is expected to help create 320 jobs and generate $128 million in private investment.

“This bridge will help provide Huntsville’s thriving auto manufacturing industry with the critical infrastructure needed to ensure its future success,” Ross said.

“EDA’s recent announcement is excellent news for Alabama’s automotive industry,” said Sen. Richard Shelby, chairman of the Senate Appropriations Committee. “The $4.1 million grant will continue to boost economic development and improve rail infrastructure throughout North Alabama. I am grateful that the Department of Commerce and EDA continue to invest in our state, bringing jobs and long term economic benefits to the region.”

The bridge is needed to accommodate increased commercial vehicle traffic for the plant, which is slated to go on line in 2021 and employ some 4,000 people to produce up to 300,000 vehicles annually.

This project was made possible by the regional planning efforts led by the Top of Alabama Regional Council of Governments.

“Reliable infrastructure is crucial to Alabama’s economic success,” said Sen. Doug Jones. “This grant will be welcome news for the Huntsville community as it prepares for the arrival of our state’s newest state-of-the-art auto manufacturing facility. Investments like these are critical to Alabama as we continue to grow and attract new businesses.”

From Rockets to Autos: Panalpina Expects to See More Use for the Giant Antonov 124

Today, a delivery for Huntsville’s aerospace industry.

Tomorrow, overly large, very heavy crucial parts and pieces for Alabama’s growing automotive manufacturing industry.

Workers show the huge space available to fly cargo in the giant Antonov-124. (Eric Schultz / Huntsville Business Journal)

As North Alabama’s automotive manufacturing industry takes off, so are heavy air freight cargo planes likely to soar in and out of the Port of Huntsville’s intermodal cargo center – and we mean really, really big birds such as the Russian Antonov 124, the second largest commercial cargo plane in the world.

In recent weeks, an Antonov sat for the first time alongside Panalpina’s Boeing 747–8 freighter at Huntsville International Airport.

While Panalpina operates Boeing 747-8 contour freighters out of Huntsville four times a week on a fixed schedule, the Antonov provides ad hoc flights on demand from Point A to Point B from just about anywhere in the world. At least, up until now, it only flies into Huntsville a couple times a year for special, overly large deliveries, primarily for the aerospace industry.

Matthias Frey, senior vice president and global head of the Panalpina Charter Network, said that is about to change.

“Manufacturing is among Panalpina’s most important industry verticals,” he said. “Automotive has become a growing priority for us in the state of Alabama and we expect it to get even bigger as they begin installing the assembly lines at the Mazda Toyota plant, and as automobiles begin rolling off that line.”

Frey said Panalpina’s Alabama delegation foresee a growing need for heavy cargo and air freight, especially in Huntsville and Mobile, and he said there is a need for all types of cargo aircraft to accomplish it.

“When you look, for instance at Amazon, their U.S. network uses the Boeing 767 because, although they ship tens of thousands of parcels, most of them are relatively small and stackable and they require speed,” he said.

Panalpina’s 747-8 is a stretch 747 that allows for higher cargo capacity and is a workhorse for standard heavy cargo.

“If you are talking about pharmaceuticals, engines, and mechanical parts, then normally you would go to a Boeing 747-8 like Panalpina,” Frey said.

The giant Antonov-124 has a 25 percent higher transportation than the Lockheed Martin C-5 Galaxy (Eric Schultz / Huntsville Business Journal)

However, the Antonov’s substantially wider body, significantly higher overhead clearance, and hinged nose opens upward for front cargo loading. Built for paradropping and cargo-handling equipment, it is also equipped with two traveling cranes, two winches, a rollgang shifting device and tiedown equipment.

Aircraft and cargo specialists compare it to the Lockheed Martin C-5 Galaxy, but it has a 25 percent higher transportation capability.    

“If you are moving something tall, wide and exceptionally heavy like large machinery and components, especially if you need a wider berth or a crane and winch for loading, then you are more likely to need the Antonov with its front-loading capability,” Frey said.

In 2018, the Panalpina Charter Network set a record with more than 1 million tons in air freight volume, according to a recent press release. The company expects the air freight market to grow by about 3 percent this year, with aerospace, perishables, and, now, automotive expected to be the biggest areas of growth.

Toyota To Produce New SUV at Mazda Toyota Manufacturing Plant


Toyota is shifting future production plans at the Mazda Toyota Manufacturing U.S.A. joint venture assembly plant in Huntsville as an opportunity to build a new SUV.

According to a statement this morning from Toyota, Mazda Toyota Manufacturing will assemble a new, yet-to-be named Toyota SUV along with Mazda’s yet-to-be named crossover model. 

The shift is in response to changing market demands and a growing consumer appetite for light trucks and SUVs which are achieving record sales, including Toyota’s best-selling RAV4.

More details related to the future SUV will be released.

Mazda Toyota Pays Tribute to Huntsville’s Space History

As a tribute to Huntsville’s leadership role with the U.S. space program, Mazda Toyota Manufacturing, U.S.A., will name its two assembly lines Apollo and Discovery.

“Thanks to our team members’ creativity and innovative thinking, Mazda Toyota Manufacturing is proud to name our two future assembly lines Apollo and Discovery in a nod to our city’s heritage as the birthplace of our nation’s space program,” said Mark Brazeal, vice president for administration at MTM. “The scores of brilliant men and women who worked tirelessly to further mankind’s progress and exploration into the unknown gives our team motivation to add to the Rocket City’s history as a producer of world-class vehicles.”

Apollo was NASA’s program that resulted in 12 American astronauts walking on the moon. The Space Shuttle Discovery completed 39 missions, surpassing the number of flights made by any other orbiter in NASA’s fleet. Discovery also launched the Hubble Space Telescope into orbit and was the first American spacecraft piloted by a woman, Eileen Collins.

Construction of the MTM plant remains on schedule, with the start of production expected to begin in 2021. Up to 4,000 new jobs will be created and hiring is underway.

In August 2017, Toyota and Mazda announced a collaboration to establish MTM, a $1.6 billion joint venture that will assemble up to 300,000 vehicles annually. The plant is in the Greenbrier area of Huntsville-Limestone County.

Auto Supplier DaikyoNishikawa to Locate First U.S. Plant in Huntsville, Creating 380 Jobs

Japan-based DaikyoNishikawa US will build a $110 million auto parts manufacturing facility in Huntsville, the company announced Tuesday.

“Huntsville welcomes DaikyoNishikawa to our growing regional network of automotive suppliers,” Mayor Tommy Battle said. “They’re joining an outstanding partnership with Mazda Toyota Manufacturing U.S.A., and we’re collectively witnessing the birth of a major automotive hub for the U.S. and the world.”

The company will be on-site at the Mazda Toyota Manufacturing U.S.A. assembly plant under construction. DNUS will create approximately 380 jobs and produce plastic automotive parts. Construction is expected to start in July and production slated for 2021.

DNUS is the first on-site partner announced for Mazda Toyota Manufacturing U.S.A., a $1.6 billion joint-venture assembly plant being built on a 2,500-acre site in the Limestone County portion of Huntsville.

“With this being DaikyoNishikawa’s first U.S. manufacturing facility, we welcome them home to Limestone County and look forward to being a key partner in their future success,” said Limestone County Commission Chairman Collin Daly. “This $110 million investment that will bring 380 new jobs is a testament to the strong workforce in our region that has earned global recognition.”

DNUS has established a temporary office in Huntsville and a human resources director to prepare for hiring. Jobs are listed at joblink.alabama.gov.

Limestone, Madison Counties Lead State in Capital Investment, Job Creation

Limestone and Madison counties topped all other counties in Alabama for new capital investment (CAPEX) and job creation, according to the 2018 New & Expanding Industry Report just released by the Alabama Department of Commerce.

Limestone County led the state with CAPEX of $1.7 billion, followed by Madison County with $1.1 billion in new capital investment. The Limestone County figures are heavily driven by the $1.6 billion Mazda  Toyota Manufacturing USA plant under construction in Huntsville-Limestone County.

Furthermore, according to the report, Limestone County ranked first in job creation at 4,172 jobs. Madison County ranked No. 3 at 1,043 jobs.

However, Harrison Diamond, Business Relations officer for the City of Huntsville, said the report contains a caveat.

“The numbers for our area are even better when you realize that Huntsville is now comprised of Madison, Limestone and Morgan counties,” said Diamond, “Limestone’s numbers included some investment not in Huntsville, but when you pull it all together, Huntsville’s CAPEX is $2.7 billion with 5,189 jobs created in 2018.”

Growth in automotive and aerospace remained strong in 2018, boding well for North Alabama, which has momentum for the rest of 2019.

The report outlines 357 economic development projects totaling a record-breaking $8.7 billion in CAPEX statewide with 17,062 jobs from new and expanding industries. That is the highest increase since 2015 at $7.1 billion.

“This success solidifies my belief that we are building a more dynamic economy in Alabama and creating a pathway to greater prosperity for its citizens,” said Greg Canfield, secretary of the Alabama Department of Commerce.

Projects in the City of Huntsville

Company                                                                  Year     Jobs                 Investment ($)

BAE Systems Inc. 2018 200 45,500,000
BWXT 2018 5 0
Custom Assembly inc. 2018 75 0
DC Blox 2018 5 10,867,600
Dynetics 2018 130 24,455,643
EOS 2018 100 2,500,000
Facebook 2018 100 750,000,000
Kohler 2018 149 175,470,698
LG Electronics 2018 159 28,100,000
Mitchell Plastics 2018 95 18,315,000
Mynaric USA 2018 2 0
Novocol Healthcare 2018 7 1,000,000
Radiance Technologies, Inc. 2018 60 18,990,000
Redline Steel 2018 50 11,111,454
St. Gobain 2018 2 13,000,000
Torch Technologies 2018 40 6,325,000
Toyota/Mazda JV 2018 4000 1,600,000,000
VT Miltope 2018 10 0

Total                                                                                                5,189               2,700,000,000

Mazda Toyota Plant Reaches New Heights with Milestone

With the first steel column now in place, construction is well underway for Mazda Toyota Manufacturing U.S.A. (MTMUS). Team members celebrated the milestone with a small gathering at the plant site Tuesday.

Despite a heavy rain season, construction of the $1.6 billion advanced manufacturing facility in Limestone County remains on schedule.

MTMUS President Masashi Aihara

“Today marks an exciting milestone for the MTMUS team and the state of Alabama,” said Masashi Aihara, president of MTMUS. “We are fully committed to this project and we can now see the beginning of our new campus taking shape.

“Soon, we will be proud to say ‘built in Alabama with pride.’”

Construction highlights include:
 * 3.0 million cubic yards of dirt graded for site preparation. This is enough dirt to fill the Empire
State Building twice!
 * 150,000 cubic yards of gravel poured to create the plant foundation, equal to filling 46 Olympic‐size swimming pools.
 * 2,500 construction workers projected to be on site by late summer 2019.

MTMUS is expected to create up to 4,000 jobs and is currently in the process of hiring professional staff and skilled maintenance positions. Additional job postings will be added throughout the summer, with production hiring starting later this year. Interested candidates can learn more at www.mazdatoyota.com.

Ivey Announces I-565 Widening Project

MONTGOMERY – Following through on a campaign promise, Gov. Kay Ivey announced Wednesday a widening project for heavily traveled I-565.

She also said a second project will expand the I-65 interchange at Tanner.

The two major transportation projects were selected by the Alabama Department of Transportation for the Rebuild Alabama Act First Year Plan 2020.

The first project includes resurfacing and revising lanes on Interstate 565 from Interstate 65 to County Line Road to provide an additional lane in each direction through the partial use of shoulders, making it a six-lane interstate. The second project will allow for the expansion of the interchange on I-65 at Tanner and widening Browns Ferry Road to be extended westward across to U.S. 31.

“While the Huntsville and surrounding areas are booming with continual economic growth, it was imperative we make enhancements to their infrastructure system for the nearly 60,000 vehicles traveling on I-565 daily. Both improvement projects will be significant strides for this area,” Ivey said. “This will improve the daily commute for several thousand drivers and provide access to the new Mazda-Toyota joint assembly plant. When we began on the road to Rebuild Alabama, I promised our state would see real results, real improvements and a promising future, and we’re certainly delivering on that.”

Both improvement projects will greatly increase access to the Mazda-Toyota Manufacturing plant development, relieve congestion on I-565 and will help pave the way for further economic growth.

“The state of Alabama and the city of Huntsville continue to be great partners to spur growth in this area, as well as across the state. We saw it when Alabama landed the coveted Mazda-Toyota joint assembly plant, and we’re seeing it today with the announcement of these two important infrastructure projects,” Huntsville Mayor Tommy Battle said. “Governor Ivey has been instrumental to our recent successes, and I was proud to support her in her efforts to Rebuild Alabama. Adding lanes to this critical corridor ensures our continued economic growth.”

Ivey signed the Rebuild Alabama Act into law March 12, after it received overwhelming bipartisan support in the Alabama Legislature. The bill, sponsored by Rep. Bill Poole and Sen. Clyde Chambliss, gradually increases Alabama’s fuel tax over the next three years.

“I commend Governor Ivey’s leadership in passing Rebuild Alabama and her commitment to keep Alabama growing,” Alabama House Speaker Mac McCutcheon said. “Additional lanes on Interstate 565 will greatly reduce congestion and aid commerce in one of the fastest growing regions of our state. I, along with my colleagues, are pleased to see such quick returns from the Rebuild Alabama Act passing.”

Beginning in January, state, county, and municipal governments in Alabama will begin to see additional revenue from the fuel tax increase of six-cents which begins in September. In fact, once the 10-cent increase is fully implemented in 2021, Madison County will receive an additional $3.5 million dollars and Limestone County will receive $1.27 million, on top of what they already receive, to be used for various transportation infrastructure projects.