The Virginian-Pilot
                             THE VIRGINIAN-PILOT 
              Copyright (c) 1994, Landmark Communications, Inc.

DATE: Friday, September 30, 1994             TAG: 9409300498
SECTION: LOCAL                    PAGE: B1   EDITION: NORTH CAROLINA 
SOURCE: BY BETTY MITCHELL GRAY, STAFF WRITER 
                                             LENGTH: Medium:   84 lines

N.C. TRYING TO ATTRACT DISNEY'S ATTENTION OFFICIALS HOPE A TAR HEEL SITE COULD REPLACE HAYMARKET.

Now that Walt Disney Co. has abandoned plans to build an American history theme park in Northern Virginia, North Carolina officials are planning to step up their efforts to lure the world's most famous mouse to the Tar Heel State.

But some state historians and economists said North Carolina should be cautious in its pursuit of Mickey Mouse and Donald Duck.

``We are certainly interested,'' said Angie Harris, spokeswoman for the Department of Commerce. ``We have had some general conversations with Walt Disney Co. and we certainly are going to make another effort.''

Department of Commerce economic development officials have not set a timetable for contacting Walt Disney Co., she said, adding, ``But I feel sure it will be in the near future.''

One source on Thursday said the state has worked quietly with the Walt Disney Co. for a number of months to identify possible sites for the theme park.

So far, sites in the Piedmont have a slight edge over other areas of the state. Hyde County, where economic planners are seeking a ``Disney-like'' theme park as part of that county's economic development plan, is not one of the likely sites, the source said.

North Carolina is one of several states and several locations that have expressed interest in Walt Disney Co.'s theme park since Disney officials announced late Wednesday that they have abandoned plans to build their park in Haymarket, Va.

Disney officials said the company is accepting written proposals from other sites interested in the park but one company spokesman said that Virginia remains the preferred place.

``Virginia is still our first choice,'' said Disney spokesman Claudia Peters in an interview from Disney's America headquarters in Gainesville, Va.

Disney said it was giving up on its efforts because of increasing opposition that began immediately after the park was announced.

Disney had announced last November plans to build a $625 million Disney's America on a 3,000-acre site in western Prince William County. The opening was set for 1998 and Virginia Gov. George F. Allen had said Disney's America would generate 19,000 jobs statewide by 2007.

Senate leader Marc Basnight said in an interview from New Bern that while a Disney theme park may not be appropriate for every part of the state, some areas could benefit from it.

``We have a number of locations that would certainly prescribe to their wants,'' he said. ``I'm sure North Carolina is already pursuing that.''

Area economists say North Carolina should be cautious in its pursuit of Disney and consider the costs to state taxpayers as well as the benefits.

``States have to be very careful in going after big ticket items like this,'' said Carson W. Bays, East Carolina University economics professor. ``Siting one of these things somewhere is not a `no-cost' deal. These things are so attractive that you can expect some competition for it.

``Once states get into competition for an industry, a lot of those advantages like jobs and payrolls are eroded in ways that may not be obvious.''

The Commerce Department's Harris said that recruiting Mickey Mouse and his fellow Disney characters will not be North Carolina's sole economic focus in the coming weeks.

And while the state welcomes the chance to talk to Walt Disney Co., Mickey and his colleagues should not expect a long list of incentives to locate in North Carolina like those offered to German automobile manufacturer Mercedes Benz.

``This will not be the focal point for our economic development,'' she said. ``This will not be another Mercedes Benz.''

After Disney announced plans for the Virginia theme park, opposition arose from historians and preservationists who said the park would offer ersatz history only six miles from the site of the famous Manassas Civil War battles.

Meanwhile, the site manager at Bentonville Battleground near Newton Grove, one of North Carolina's most famous Civil War battles, said North Carolina economic developers should take into account similar concerns when making their pitch to Disney.

``I'm certain that there are areas within the state that would benefit from a Disney theme park,'' said John Goode, Bentonville site manager. ``But I certainly would not welcome it near this battleground. It would be in extremely poor taste.''

KEYWORDS: DISNEY AMERICA WALT DISNEY CO. by CNB