| Washington State House of Representatives Office of Program Research |
BILL ANALYSIS |
| Community & Economic Development & Trade Committee | |
SB 5399
This analysis was prepared by non-partisan legislative staff for the use of legislative members in
their deliberations. This analysis is not a part of the legislation nor does it constitute a
statement of legislative intent.
Brief Description: Developing a work group to support industry clusters as an economic development tool.
Sponsors: Senators Kilmer, Kastama, Kauffman, Shin, Schoesler, Berkey, Delvin, Rockefeller and Rasmussen.
Brief Summary of Bill |
|
Hearing Date: 3/21/07
Staff: Tracey Taylor (786-7196).
Background:
In 2003, the Legislature established the Economic Development Commission (Commission).
The duties of the Commission include: reviewing and periodically updating the state's
economic development strategy and performance measures, and performing an annual
evaluation; providing policy direction to the Department of Community, Trade and Economic
Development (DCTED); identifying policies and programs to assist Washington's small
businesses; assisting the DCTED with procurement and deployment of private funds for business
development, recruitment and promotion; providing policy direction to the DCTED regarding the
development of strategies that: (1) promote business retention, expansion and creation within the
state; (2) market state products and services; (3) promote the state's business climate; (4) enhance
relationships and cooperation between local governments, economic development councils, state
agencies, and the Legislature; (5) integrate economic development programs; and (6) increase the
flexibility of funds available for economic development. The Commissioners shall also meet
with the chairs and ranking minority members of the legislative committees overseeing economic
development policies.
In the spring of 2006, the Governor directed the Workforce Training and Education Coordinating
Board (Workforce Board) to review Washington's workforce development system and
recommend improvements. In response, The Workforce Board issued the report "Washington
Works: Strengthening the Workforce for Washington's Future." The Workforce Board
recommended a series of steps to strengthen the connections between workforce development
and economic development programs. The report recommended a new framework for
coordination of public investments in workforce and economic development, especially for
cluster-based initiatives.
Summary of Bill:
The Commission and the Workforce Board are directed to convene a working group consisting
of the DCTED, the Employment Security Department, the State Board for Community and
Technical Colleges, a representative of local economic development councils, and a
representative of local workforce development councils. This working group shall create a
framework for the identification of economic clusters, as well as the service and resource
delivery to the clusters.
The working group must specify a process for the identification of substate geographic
concentrations of firms or employment in an industry and their customers, suppliers, supporting
businesses, and institutions. In addition, the working group must establish criteria for identifying
strategic clusters, which are important to the state's economic prosperity and identify the public
resources available which could be more intensively devoted to assist clusters. Also, the working
group will identify the mechanisms by which public resources can be coordinated and more
efficiently delivered to support the growth and competitiveness of clusters.
Appropriation: None.
Fiscal Note: Available.
Effective Date: The bill takes effect 90 days after adjournment of session in which bill is passed.