HOUSE BILL REPORT

2SSB 6139

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

As Reported by House Committee On:

Innovation, Technology & Economic Development

Appropriations

Title: An act relating to the joint center for aerospace technology innovation.

Brief Description: Extending the joint center for aerospace technology innovation program.

Sponsors: Senate Committee on Ways & Means (originally sponsored by Senators Mullet, Wagoner, Takko, Wilson, L., Wilson, C., Randall, Conway, Stanford and Carlyle).

Brief History:

Committee Activity:

Innovation, Technology & Economic Development: 2/25/20 [DP];

Appropriations: 2/29/20 [DP].

Brief Summary of Second Substitute Bill

  • Extends the sunset date for the Joint Center for Aerospace Technology Innovation program to July 1, 2030.

HOUSE COMMITTEE ON INNOVATION, TECHNOLOGY & ECONOMIC DEVELOPMENT

Majority Report: Do pass. Signed by 8 members: Representatives Hudgins, Chair; Kloba, Vice Chair; Smith, Ranking Minority Member; Boehnke, Assistant Ranking Minority Member; Entenman, Slatter, Tarleton and Wylie.

Staff: Kyle Raymond (786-7190).

Background:

Joint Center for Aerospace Technology Innovation.

Legislation was enacted in 2012 to create the Joint Center for Aerospace Technology Innovation (JCATI). The JCATI was created to pursue joint industry-university aerospace research, enhance the education of students, and work directly with aerospace firms in Washington.

The JCATI operates as a multi-institutional center under the joint authority of the University of Washington and Washington State University. The JCATI has a board of directors appointed by the Governor, representing a cross section of the aerospace industry and higher education. The Legislature provides $3 million per biennium to the JCATI.

Sunset Review of the Joint Center for Aerospace Technology Innovation Program.

The JCATI is scheduled to terminate July 1, 2020, under the Washington Sunset Act. The Sunset Act requires the Joint Legislative Audit Review Committee (JLARC) to conduct a performance review a year before a program is set to be terminated and provide a report with recommendations regarding whether the program should be retained, modified, or allowed to terminate.

The JLARC conducted a performance review of the JCATI program and published recommendations in December 2019. The Legislative Auditor's conclusion is that the Legislature should continue the program because it is meeting the legislative intent to pursue joint university-industry research, enhance the education of students, and work with aerospace firms in Washington.

Washington Law Against Discrimination.

Washington's law against discrimination prohibits discrimination against a person in the enjoyment of public accommodations, in employment, in real estate transactions, insurance, and credit transactions, and other specific circumstances based on the person's race, creed, color, national origin, sex, military or veteran status, sexual orientation, the presence of any sensory, mental, or physical disability or, in certain circumstances, other factors. Discriminatory acts are considered unfair practices and may be the subject of complaints brought to the Washington Human Rights Commission or filed in court.

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Summary of Bill:

The sunset date for the Joint Center for Aerospace Technology Innovation (JCATI) is extended from July 1, 2020, to July 1, 2030.

When determining industry partners, the JCATI is required to ensure aerospace firms and aerospace industry associations adhere to the values of the Washington Law Against Discrimination (WLAD).

The JCATI has the duty to terminate any relationship, or potential relationship, with an industry partner that has been found by the Office of the Attorney General to have violated the WLAD, unless the industry partner has: (1) fulfilled the conditions or obligations associated with any court order or settlement resulting from that violation; or (2) taken significant and meaningful steps to correct the violation, as determined by the Washington State Human Rights Commission.

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Appropriation: None.

Fiscal Note: Available.

Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.

Staff Summary of Public Testimony:

(In support) The legislative intent for the Joint Center for Aerospace Technology Innovation (JCATI) program was clear. The JCATI has been successful in meeting the program's intent and should be extended.

The JCATI pairs in-state researchers at public higher education institutions with Washington companies to address aerospace technology challenges, while also providing Washington engineering students the opportunity to engage in hands-on learning and networking opportunities in the aerospace industry.

The JCATI has awarded 109 grants, with 64 companies, 65 faculty members, and 392 students benefiting from this program. The theory was the JCATI would bring private investment dollars into these ideas and projects, and this has happened. The program has provided a three-to-one return on investment from partner company contributions and external research funding.

At Western Washington University, the students participating in the program have predominantly been undergraduate students in the Plastics and Composites Engineering program. The research has largely been focused on identifying more environmentally friendly aerospace composite materials.

(Opposed) None.

Persons Testifying: Senator Mullet, prime sponsor; Morgan Hickel, University of Washington; and Becca Kenna-Schenk, Western Washington University.

Persons Signed In To Testify But Not Testifying: None.

HOUSE COMMITTEE ON APPROPRIATIONS

Majority Report: Do pass. Signed by 31 members: Representatives Ormsby, Chair; Robinson, 1st Vice Chair; Bergquist, 2nd Vice Chair; Stokesbary, Ranking Minority Member; Rude, Assistant Ranking Minority Member; Caldier, Chandler, Chopp, Cody, Corry, Dolan, Dye, Fitzgibbon, Hansen, Hoff, Hudgins, Kilduff, Kraft, Macri, Mosbrucker, Pettigrew, Ryu, Schmick, Senn, Springer, Steele, Sullivan, Sutherland, Tarleton, Tharinger and Ybarra.

Staff: Kate Henry (786-7349).

Summary of Recommendation of Committee On Appropriations Compared to Recommendation of Committee On Innovation, Technology & Economic Development:

No new changes were recommended.

Appropriation: None.

Fiscal Note: Available.

Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.

Staff Summary of Public Testimony:

(In support) The Joint Center for Aerospace Technology Innovation (JCATI) program pairs in-state researchers at public higher education institutions with Washington companies to address aerospace technology challenges. The JCATI has issued 109 grants, with 64 companies, 65 faculty, and 392 students benefitting from this program. The state investment is leveraged four times over, resulting in $7 million in private contributions.

(Opposed) None.

Persons Testifying: Morgan Hickel, University of Washington; and Chris Mulick, Washington State University.

Persons Signed In To Testify But Not Testifying: None.