H-1255.1  _______________________________________________

                          HOUSE BILL 1473

          _______________________________________________

State of Washington      55th Legislature     1997 Regular Session

By Representatives Sheldon, Buck, Veloria, Morris, Kessler, Scott and Dickerson

Read first time 01/28/97.  Referred to Committee on Capital Budget.

Providing supplemental appropriation authority for the development loan fund.

    AN ACT Relating to providing supplemental appropriation authority for the development loan fund; amending 1995 2nd sp.s. c 16 s 108 (uncodified); creating a new section; making an appropriation; and declaring an emergency.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1.  The legislature finds that the development loan fund is a revolving loan fund capitalized primarily with federal funds.  The fund, administered by the department of community, trade, and economic development, provides low-interest loans to businesses in  economically distressed areas and other parts of the state.  During the 1995-97 biennium, the department provided three million six hundred thousand dollars in loans, thereby exhausting its 1995-97 appropriation authority six months prior to the end of the biennium.  However, due to early repayment of several loans, the account has an estimated fund balance of approximately one million seven hundred thousand dollars.  In order to make the fund balance available for issuance of new loans prior to the end of the biennium, it is necessary to provide a supplemental appropriation.

    Sec. 2. 1995 2nd sp.s. c 16 s 108 (uncodified) is amended to read as follows:

    FOR THE DEPARTMENT OF COMMUNITY, TRADE, AND ECONOMIC DEVELOPMENT

    Development loan fund (88-2-002)

           Reappropriation:

               St Bldg Constr Acct‑-State.......... $   2,000,000

               Wa St Dev Loan Acct‑-Federal........ $     186,654

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                         Subtotal Reappropriation....            $    2,186,654

           Appropriation:

               Wa St Dev Loan Acct‑-Federal........ $ ((3,500,000))

4,200,000

               Prior Biennia (Expenditures)........ $   5,932,935

               Future Biennia (Projected Costs).... $  20,000,000

                                                     -------------

                         TOTAL................. $   ((31,619,589))

32,319,589

NEW SECTION. Sec. 3.  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 takes effect immediately.

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