SENATE BILL REPORT

                           ESHB 1818

        AS REPORTED BY COMMITTEE ON TRADE, TECHNOLOGY &

             ECONOMIC DEVELOPMENT, MARCH 24, 1993

Brief Description:  Providing for military dependent communities.

SPONSORS: House Committee on Appropriations (originally sponsored by Representatives Karahalios, Sehlin, R. Meyers, Schmidt, Peery, Wood, Zellinsky, Edmondson, Stevens, Schoesler, Flemming, Mielke, Thomas, Foreman, Eide, Campbell, Pruitt, Holm and Talcott)

HOUSE COMMITTEE ON TRADE, ECONOMIC DEVELOPMENT & HOUSING

HOUSE COMMITTEE ON APPROPRIATIONS

SENATE COMMITTEE ON TRADE, TECHNOLOGY & ECONOMIC DEVELOPMENT

Majority Report:  Do pass as amended. 

     Signed by Senators Skratek, Chairman; Sheldon, Vice Chairman; Bluechel, Deccio, Erwin, M. Rasmussen, and Williams.

Staff:  Midori Okazaki (786‑7444)

Hearing Dates: March 19, 1993; March 24, 1993

BACKGROUND:

Washington is a highly defense-dependent state.  Washington has a complex defense infrastructure, primarily comprised of military installations, an aerospace industry with a significant defense component, and a large network of procurement contractors.   Shifts in defense spending may cause serious economic hardships for defense-dependent communities and its citizens.  Recognizing that a diverse economy will reduce the vulnerability of defense-dependent communities, the Legislature in 1990 created the Community Diversification Program within the Department of Community Development.

SUMMARY:

The Governor may, by executive order, declare a community to be a "military impacted area."  The Governor must then establish a state response team to coordinate state efforts to assist the military impacted area and actively involve the impacted community or communities in planning and implementing a response to the crisis.  The Governor may also seek input from the Community Diversification Advisory Committee and establish community task forces to coordinate the delivery of state services.

The Governor must report to the next session of the Legislature regarding the designation of a military impacted area.  The report should include recommendations on whether the area should become eligible for infrastructure financing programs, training programs, or other services.

SUMMARY OF PROPOSED SENATE AMENDMENT:

The Governor must consult with the Executive-Legislative Committee on Economic Development before designating a military impacted area.

The Governor must report to both the Legislature and the Executive-Legislative Committee on Economic Development on the designation of a military impacted area at the start of the next legislative session.

Revenue:  none

Appropriation:  none

Fiscal Note:  available

TESTIMONY FOR:

The bill creates the necessary structure to provide coordinated service delivery to communities affected by shifts in defense spending and to assess the overall impacts of any spending shift.

TESTIMONY AGAINST:  None

TESTIFIED:  Rep. Sue Karahalios (pro)