AN ACT Relating to the creation of a forest products market development task force; creating new sections; making an appropriation; and declaring an emergency.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1. The legislature finds that:

(1) A healthy forest products industry in Washington state is of substantial importance to the economic well-being of the state, providing significant employment and state and local tax revenues, which are particularly important to areas throughout the state which depend on this industry for a large part of their economic base;

(2) The forest products industry in this state has recently and is continuing to suffer a serious decline, resulting in mill cutbacks and closures, layoff of workers, dislocation of families and communities, and declining tax revenues;

(3) The causes of this decline are complex and interrelated, but among the causes are continued high interest rates which limit new construction, increasing shares of domestic markets being captured by Canadian imports, a strong dollar which reduces export demand for forest products, and high transportation costs which reduce the competitiveness of northwest products in domestic markets; and

(4) Expansion of international markets for this state's forest products offers opportunities for future improvements in the health of the industry; however these improvements could be frustrated by trade barriers and tariffs by other countries.

The legislature further finds that state agencies and institutions and the forest products industry possess considerable expertise in industrial development and commodity marketing and that it is in the state interest to pool existing expertise and resources to develop strategies to improve the competitive position of this state's forest products industry in domestic and international markets.

NEW SECTION. Sec. 2. There is hereby created the forest products market development task force. The task force shall consist of the commissioner of public lands, the director of commerce and economic development, two members of the senate, one from each major political party to be appointed by the president of the senate, two members of the house of representatives, one from each major political party to be appointed by the speaker of the house of representatives, a representative of the University of Washington Center for International Trade for Forest Products, and fourteen members appointed by the governor including at least one member from each of the following forest product sectors: Log exports, manufactured wood products, pulp and paper and hardwood mills. Also included shall be a representative of the port districts and other persons who have expertise in forest product trade export, financing, and marketing matters. The task force shall include at least one member from each congressional district in the state. Appointments under this section shall be made within twenty-one days after the effective date of this act. Task force members shall be reimbursed for travel expenses under RCW 43.03.050 and 43.03.060, except legislative members shall be reimbursed under RCW 44.04.120.

The commissioner of public lands shall temporarily chair the task force, until such time as the group organizes and selects a permanent chair. The task force shall be staffed by the department of natural resources and the department of commerce and economic development. The task force may hold meetings at least once a month or when determined advisable by the committee. The initial meeting of the task force shall be held within forty-five days after the effective date of this act.

NEW SECTION. Sec. 3. The purposes of the forest products market development task force are:

(1) To identify foreign and domestic trade and market-related problems affecting the state of Washington's forest products industry;

(2) To identify strategies that could be employed which would improve the state's forest products industry's competitive position in domestic and international markets;

(3) To provide coordination of present efforts by state agencies, institutions, and the forest products industry to minimize the effects of trade barriers and transportation-related problems;

(4) To consult with national institutions and industry organizations and the state's congressional delegation regarding federal initiatives which affect the competitive position of this state's forest products industry; and

(5) To identify and prioritize areas in which additional research is needed and to provide recommendations on the funding of high-priority programs.

NEW SECTION. Sec. 4. The forest products development task force shall:

(1) Issue a preliminary report by December 1, 1985, to the state legislature and to the state's congressional delegation which includes recommendations for state and federal legislation, strategies, and a report on the trade status of forest products produced in the state; and

(2) Issue a final report by June 1, 1986, to the state legislature and the state's congressional delegation with any additional recommendations and an outline of the activities and accomplishments of the task force.

The task force shall terminate on June 30, 1986, unless reactivated by the legislature after a determination of the task force's effectiveness.

NEW SECTION. Sec. 5. There is appropriated from the general fund to the department of natural resources for the activities of the forest products market development task force for the fiscal year ending June 30, 1986, the sum of thirty-five thousand dollars, or so much thereof as may be necessary, to carry out the purposes of this act.

NEW SECTION. Sec. 6. This act is necessary for the immediate preservation of the public peace, health, and safety, the support of the state government and its existing public institutions, and shall take effect immediately.