SENATE BILL REPORT

SB 5997

As of February 27, 2003

Title: An act relating to clarifying the economic development powers of cities, towns, and counties.

Brief Description: Clarifying the economic development powers of cities, towns, and counties.

Sponsors: Senators Honeyford and Hargrove.

Brief History:

Committee Activity: Economic Development: 2/28/03.

SENATE COMMITTEE ON ECONOMIC DEVELOPMENT

Staff: Jack Brummel (786-7428)

Background: Washington statutes currently provide that it is in the public interest for cities and counties to engage in economic development programs. Cities and counties may contract with nonprofit corporations in furtherance of economic development. There is concern that current statutory language is not broad enough to allow the flexibility needed by cities and counties to carry out economic development activities.

Summary of Bill: Cities and counties may engage in economic development activities and programs and may transfer or loan any funds, property, or services to the state, other cities or counties, other political subdivisions or instrumentalities of the state, the federal government or any Indian tribe. Cities and counties may contract with for-profit, nonprofit, or other entities to carry out economic development activities.

Nothing in the bill may be considered limiting of the authority of cities, towns and counties. Prior actions consistent with the bill's provisions are ratified, confirmed, and validated.

Appropriation: None.

Fiscal Note: Not requested.

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