BILL REQ. #:  H-1023.3 

Read first time 02/07/2003.   Referred to Committee on Trade & Economic Development.

     WHEREAS, Washington has developed many world class companies producing family wage jobs and benefits; and
     WHEREAS, Washington continues to be home to entrepreneurs and innovative technologies; and
     WHEREAS, The further development of many of our emerging businesses depends on access to capital; and
     WHEREAS, Businesses that receive private equity investments created 264,000 jobs; and
     WHEREAS, Businesses that receive venture capital investments generated two times the sales and paid three times the federal income tax as the average nonventure capital-backed public company per $1000 of assets; and
     WHEREAS, Venture capital investment in Washington firms provided returns of 15.3 percent to the Washington State Pension Fund over the past 10 years; and
     WHEREAS, Private equity investments by the State Investment Board would strengthen the local venture capital infrastructure and increase access to capital for local companies; and
     WHEREAS, Investment in Washington firms would help accelerate economic growth and increase the tax base; and
     WHEREAS, There are investments in Washington firms that can be done prudently and without a breach of the State Investment Board's fiduciary duties; and
     WHEREAS, Many individual private equity investment decisions for the State Investment Board are made by the Board's General Partners or Fund Managers;
     NOW, THEREFORE, Your Memorialists respectfully request that the State Investment Board develop a policy to encourage prudent investment of the private equity funds under its management and care in more Washington firms; and
     BE IT RESOLVED, That copies of this Memorial be immediately transmitted to the State Investment Board.