SENATE BILL REPORT

                   SB 6572

              As Reported By Senate Committee On:

              Commerce & Labor, January 28, 1998

Title:  An act relating to the Washington economic development strategy council.

Brief Description:  Creating the Washington economic development strategy council.

Sponsors:  Senators Schow, T. Sheldon, Sellar, Snyder, Horn, Franklin, Heavey, Jacobsen, Newhouse, Winsley, Anderson and Hale.

Brief History:

Committee Activity:  Commerce & Labor:  1/27/98, 1/28/98 [DPS].

SENATE COMMITTEE ON COMMERCE & LABOR

Majority Report:  That Substitute Senate Bill No. 6572 be substituted therefor, and the substitute bill do pass.

  Signed by Senators Schow, Chair; Horn, Vice Chair; Anderson, Franklin, Fraser and Heavey.

Staff:  Jack Brummel (786-7428)

Background:  In 1988, the Washington Economic Development Board developed an economic development strategy for the state but disbanded in 1989 without an implementation plan.  Since then the state has not had a mechanism for policy leaders from the private and public sectors to discuss and formulate economic development strategy.

In 1997 the Department of Community, Trade, and Economic Development (CTED) commissioned a statewide trade and economic development assessment.  The department's consultant found that the state and CTED lack an effective economic development strategy.  The assessment's recommendation was that the state establish a public-private partnership to assume ongoing responsibility for overseeing Washington's economic development strategy.

A new body that would provide an institutional forum for economic development issues would allow the executive branch, the private sector, and the Legislature to jointly address evaluation and strategic planning needs and lay the policy groundwork for the public-private partnerships necessary to long-term success.

Summary of Substitute Bill:  The Washington Economic Development Strategy Council is created.  The council consists of the Governor, five private sector members, four Senators, and four House members.

The council must study and prioritize economic development issues, perform detailed analysis of priority issues, identify economic development goals and objectives, develop strategic plans and implementation recommendations, and monitor the state's progress in carrying out development strategies.

Staffing support comes from existing resources of the Governor's office, the House and the Senate, and the Department of Community, Trade, and Economic Development.  The council may solicit loaned executives from the private sector.

Substitute Bill Compared to Original Bill:  The original bill provided for three Senators and three Representatives.  The substitute provides for four of each.  The substitute allows the Governor to appoint a designee to chair the council.

Appropriation:  None.

Fiscal Note:  Not requested.

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

Testimony For:  CTED would be happy to work on this effort.  The department's primary legislative focus this session is rural economic development.

Testimony Against:  None.

Testified:  Tim Douglas, CTED (pro).