HOUSE BILL REPORT

                 ESSB 6121

             As Reported By House Committee On:

            Trade, Economic Development & Housing

 

Title:  An act relating to economic development.

 

Brief Description:  Promoting economic development.

 

Sponsors:  Senate Committee on Trade, Technology & Economic Development (originally sponsored by Senators Skratek, Bluechel, Sheldon, M. Rasmussen, Snyder, Loveland, Franklin, Winsley and Ludwig).

 

Brief History:

  Reported by House Committee on:

Trade, Economic Development & Housing, February 24, 1994, DPA.

 

HOUSE COMMITTEE ON TRADE, ECONOMIC DEVELOPMENT & HOUSING

 

Majority Report:  Do pass as amended.  Signed by 13 members:  Representatives Wineberry, Chair; Shin, Vice Chair; Schoesler, Ranking Minority Member; Chandler, Assistant Ranking Minority Member; Backlund; Campbell; Casada; Conway; Quall; Sheldon; Springer; Valle and Wood.

 

Staff:  Kenny Pittman (786-7392).

 

Background:  As global competition increases, other countries and states have developed strategies to safeguard and improve their economies.  In an effort to expand and diversify its economy, the state has developed a variety of programs aimed at work force training, industrial modernization, and export assistance. These programs are part of an overall effort to encourage expansion and diversification of the economy.

 

The 13-member joint Legislative Committee on Economic Development was created in 1985.  The purpose of the committee is to provide consistent involvement of the Legislature in economic development issues.  The committee has not met since 1986.

 

It is felt that the state's efforts lack a structure or institutional forum for the development of a consensus approach to economic development.  This type of approach would allow the executive branch and the Legislature to (1) jointly address evaluation and strategic planning needs and (2) lay the groundwork for the public-private partnership necessary to long-term expansion and diversification of the economy.

 

Summary of Amended Bill:  The Executive-Legislative Committee on Economic Development Policy is created.  The 18-member committee consists of: six members of the Senate, appointed by the President of the Senate; six members of the House of Representatives, appointed by the Speaker of the House of Representatives; the Governor; and five members appointed by the Governor, that include business and labor representatives and may include state agency directors.  All members are appointed for one-year terms.

 


The committee may establish subcommittees.  Non-committee members may serve on these subcommittees.  The committee and its subcommittees may assist in the development of a strategic plan for the state's economic development activities, monitor the economic development efforts of state agencies, evaluate existing policies and programs, and develop and evaluate proposals for new legislative or administrative initiatives related to economic development.

 

The committee is to receive staff support from the Governor's office, the Senate and the House of Representatives.  The committee is scheduled for a sunset review on July 1, 1996 and expires July 1, 1997, unless extended by the Legislature.

 

The joint Legislative Committee on Economic Development is abolished.

 

Amended Bill Compared to Engrossed Substitute Bill:  The amended bill makes the Executive-Legislative Committee on Economic Development Policy subject to the sunset review process.

 

Fiscal Note:  Available.

 

Effective Date of Amended Bill:  The bill takes effect April 1, 1994.

 

Testimony For:  The state needs a comprehensive strategy in economic development.  The days of smoke stack chasing are over.  We need to work with the executive branch and private sector. This bill would bring everyone together to develop a progressive economic development policy.

 

Testimony Against:  None.

 

Witnesses:  Senator Sylvia Skratek, prime sponsor (pro).