AN ACT Relating to
economic development; amending RCW 43.163.210 and 43.180.160; and declaring an
emergency.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF
WASHINGTON:
Sec. 1. RCW 43.163.210 and 1994
c 238 s 4 are each amended to read as follows:
For the purpose of
facilitating economic development in the state of Washington and encouraging
the employment of Washington workers at meaningful wages:
(1) The authority may
develop and conduct a program or programs to provide nonrecourse revenue bond
financing for the project costs for no more than five economic development
activities, per fiscal year, included under the authority's general plan
of economic development finance objectives((;)). In addition, the
authority may issue tax-exempt bonds to finance ten manufacturing or processing
activities, per fiscal year, for which the total project cost is less than one
million dollars per project.
(2) The authority may
also develop and conduct a program that will stimulate and encourage the
development of new products within Washington state by the infusion of
financial aid for invention and innovation in situations in which the financial
aid would not otherwise be reasonably available from commercial sources. The
authority is authorized to provide nonrecourse revenue bond financing for this
program.
(a) For the purposes of
this program, the authority shall have the following powers and duties:
(i) To enter into
financing agreements with eligible persons doing business in Washington state,
upon terms and on conditions consistent with the purposes of this chapter, for
the advancement of financial and other assistance to the persons for the
development of specific products, procedures, and techniques, to be developed
and produced in this state, and to condition the agreements upon contractual
assurances that the benefits of increasing or maintaining employment and tax
revenues shall remain in this state and accrue to it;
(ii) Own, possess, and
take license in patents, copyrights, and proprietary processes and negotiate
and enter into contracts and establish charges for the use of the patents,
copyrights, and proprietary processes when the patents and licenses for
products result from assistance provided by the authority;
(iii) Negotiate royalty
payments to the authority on patents and licenses for products arising as a
result of assistance provided by the authority;
(iv) Negotiate and
enter into other types of contracts with eligible persons that assure that
public benefits will result from the provision of services by the authority;
provided that the contracts are consistent with the state Constitution;
(v) Encourage and
provide technical assistance to eligible persons in the process of developing
new products;
(vi) Refer eligible
persons to researchers or laboratories for the purpose of testing and
evaluating new products, processes, or innovations; and
(vii) To the extent
permitted under its contract with eligible persons, to consent to a
termination, modification, forgiveness, or other change of a term of a
contractual right, payment, royalty, contract, or agreement of any kind to
which the authority is a party.
(b) Eligible persons
seeking financial and other assistance under this program shall forward an
application, together with an application fee prescribed by rule, to the
authority. An investigation and report concerning the advisability of
approving an application for assistance shall be completed by the staff of the
authority. The investigation and report may include, but is not limited to,
facts about the company under consideration as its history, wage standards, job
opportunities, stability of employment, past and present financial condition
and structure, pro forma income statements, present and future markets and
prospects, integrity of management as well as the feasibility of the proposed
product and invention to be granted financial aid, including the state of
development of the product as well as the likelihood of its commercial
feasibility. After receipt and consideration of the report set out in this
subsection and after other action as is deemed appropriate, the application
shall be approved or denied by the authority. The applicant shall be promptly
notified of action by the authority. In making the decision as to approval or
denial of an application, priority shall be given to those persons operating or
planning to operate businesses of special importance to Washington's economy,
including, but not limited to: (i) Existing resource-based industries of
agriculture, forestry, and fisheries; (ii) existing advanced technology
industries of electronics, computer and instrument manufacturing, computer
software, and information and design; and (iii) emerging industries such as
environmental technology, biotechnology, biomedical sciences, materials
sciences, and optics.
(3) The authority may
also develop and implement, if authorized by the legislature, such other
economic development financing programs adopted in future general plans of
economic development finance objectives developed under RCW 43.163.090.
(4) The authority may
not issue any bonds for the programs authorized under this section after June
30, 2000.
Sec. 2. RCW 43.180.160 and 1986
c 264 s 2 are each amended to read as follows:
The total amount of
outstanding indebtedness of the commission may not exceed ((one and one-half))
two billion dollars at any time. The calculation of outstanding
indebtedness shall include the initial principal amount of an issue and shall
not include interest that is either currently payable or that accrues as a part
of the face amount of an issue payable at maturity or earlier redemption.
Outstanding indebtedness shall not include notes or bonds as to which the
obligation of the commission has been satisfied and discharged by refunding or
for which payment has been provided by reserves or otherwise.
NEW
SECTION. Sec. 3. Section 1 of this act is
necessary for the immediate preservation of the public peace, health, or
safety, or support of the state government and its existing public
institutions, and shall take effect immediately.
