S-3018

AN ACT Relating to urban/rural economic partnerships; amending RCW 43.63A.560; adding new sections to chapter 43.63A RCW; and creating new sections.

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

NEW SECTION. Sec. 1. Economic vitality is an integral component of each community in the state of Washington and is necessary to ensure a high standard of living and job opportunities for each citizen of the state. During the 1980's, the Puget Sound region has experienced dramatic growth as compared to a moderate increase or even economic decline in rural parts of the state. This economic disparity has provided a unique opportunity for a meaningful economic partnership between both areas of Washington that will assist in transferring excessive business growth in the Puget Sound to rural areas that are in need of increased business activity. The intent of this act in establishing this partnership is to improve the quality of life across Washington and provide quality job opportunities for each citizen of the state.

Sec. 2. RCW 43.63A.560 and 1990 1st ex.s. c 17 s 67 are each amended to read as follows:

(1) The department shall administer a grant program which makes grants to ((~~local~~)) nonprofit organizations for rural economic development or for sharing economic growth outside the Puget Sound region. The grants shall be used to: (a) Develop urban-rural links; (b) build local capacity for economic growth; ((or)) (c) improve the export of products or services from rural areas to locations outside the United States; or (d) assist business in high-growth urban areas to locate new or expanded business operations in rural communities throughout the state.

(2) The department shall consult with, and if necessary form an advisory committee including, a diverse group of private sector representatives including, but not limited to, major corporations, commercial financial institutions, venture capitalists, small businesses, natural resource businesses, and developers to determine what opportunities for new investment and business growth might be available for areas outside high-growth counties. The department shall also consult with the department of trade and economic development. The department shall seek to maximize and link new investment opportunities to grant projects under this section.

(3) The department shall establish a project within the grant program to assist businesses in high-growth urban areas in the Puget Sound region to locate new or expanded business operations in rural communities throughout the state. The department shall endeavor to establish contracts with local governments, including local planning departments, nonprofit agencies, or for-profit corporations that wish to provide businesses in their high growth urban areas alternative locations. The department may also establish contracts with local governments including planning departments, nonprofit agencies, or for-profit corporations that wish to assist businesses in locating in their rural communities.

(4) The department may enact rules to carry out this section.

NEW SECTION. Sec. 3. A new section is added to chapter 43.63A RCW to read as follows:

The department shall develop contract provisions in consultation with local governments, nonprofit agencies, or for-profit corporations that outline the following: The scope and degree of services provided to new or expanding businesses; the time frame in which services are provided to businesses; the responsibility of urban and rural contractors to ensure complementary, nonduplicative services; and guidelines for evaluating effectiveness of the program.

NEW SECTION. Sec. 4. A new section is added to chapter 43.63A RCW to read as follows:

The department, in consultation and advice of the departments of trade and economic development, employment security, and revenue, shall provide the contract parties with general information on possible rural industrial sites, local labor market information, and local economic conditions.

NEW SECTION. Sec. 5. The department shall report to the legislature by January 1, 1993, on the effectiveness of the project under RCW 43.63A.560(3) and make recommendations on whether the project should be continued, maintained, or expanded.