March 27, 1997

BILL ANALYSIS

TO:       Members, Committee on Trade and Economic Development

FROM:     Kenny Pittman, Research Analyst (786-7392)

RE:       ESSB 5983 - Assisting industrial investments and projects of state-wide         significance.

BACKGROUND:

Major industrial investments can have a significant impact on a city=s or county=s regulatory process and economic well-being.  State recognition of and assistance with major industrial investments or economic development projects can expedite their completion.

SUMMARY:

A process to expedite the development of industrial projects of statewide significance is created.  Local governments (cities and counties) that have comprehensive plans must include a process, to be followed at their option for a specific project, for expediting the completion of industrial projects of statewide significance. 

An industrial project of statewide significance is defined as either a border crossing that involves both private and public investments or a private capital investment in manufacturing or research and development.  The capital investment requirements are based on the size of the county where the project is located.  The capital investment requirements range from $20 million for a project located in a county with a population of 20,000 or less, to $1 billion for a project located in a county with a population greater than one million.  The director of the Department of Community, Trade and Economic Development (DCTED) may designate a project that does not meet the stated requirements as an industrial project of statewide significance if: (1) the project is located in a distressed area and the economic circumstances of the county merit the additional assistance; or (2) the impact on the region, due to project size and complexity, merits such designation.

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The DCTED must assign an ombudsman to each industrial project of statewide significance.  The DCTED ombudsman must assemble a team of state and local government and private officials to help meet the project=s planning and development needs of each project.  The members of the team include those with responsibility for planning, permitting and licensing, infrastructure development, work force development services, transportation services, and the provision of utilities.

The Work Force Training and Education Coordinating Board must revise its comprehensive plan for work force training and education to address how a state=s work force development system will meet the employer hiring needs for industrial projects of statewide significance.

The Higher Education Coordinating Board must revise its comprehensive plan for higher education policy to include how the state=s higher education system can meet the employer hiring needs for industrial projects of statewide significance.

The Department of Ecology must revise its various planning documents to address how the department will expedite the completion of industrial projects of statewide significance.  The Department of Ecology and appropriate local government must also include in the master programs, adopted under the Shorelines Management Act, and economic development element for the location and design of industrial projects of statewide significance.

The Washington State Department of Transportation, as part of its state transportation policy plan, must address how the department will meet the transportation needs and expedite the completion of industrial projects of statewide significance.

The state Board of Education may provide additional state assistance to school districts that face a special school housing burden because of the development of industrial projects of statewide significance in their boundaries.

Appropriation:  None.

Fiscal Note:  Available (majority of bill). Requested on March 19, 1997 (Section 9).

Effective Date:  Ninety days after adjournment of session in which bill is passed.

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