Summary of Bill (Proposed Substitute): I. Washington State Aerospace Training and Coordination Institute. A Washington state aerospace training and coordination institute is created to enhance the vitality of the aerospace industry by improving the state's aerospace training, education, research, and development programs. The institute is to coordinate and develop curricula for schools and programs that provide aerospace workforce education and training.

The institute must be headquartered in Snohomish County and overseen by a board of advisors. The members of the advisory board will consist of representatives from both aerospace and high education fields. The duties of the board include:

developing a comprehensive plan on aerospace training and education programs;
evaluating training programs and research efforts;
completing an inventory of the training programs and research efforts;
developing a program, in partnership with the Office of Superintendent of Public Instruction, that will generate interest and prepare students for postsecondary careers in the aerospace industry; and
producing a biennial report to the Governor and the Legislature on the institute's progress in evaluating the state's aerospace training programs.

The board must employ an executive director. The director will employ staff to carry out the functions of the institute.

A Washington aerospace futures account is created. The Governor may authorize expenditures from the account for the purpose of statewide aerospace workforce and industry development, including programs and activities related to workforce training, education, research, development, and aerospace industry retention and expansion.

II. Center for Aerospace Technology Innovation. A center for aerospace technology innovation is created, headquartered at the UW (UW), to lead a collaborative effort between the state's universities, private industry, and government for the aerospace industry. The center must:

perform and/or facilitate research supportive of state science and technology objectives as they relate to aerospace;
provide collaborative research in the aerospace field;
develop out of state support for the center's research activities; and
provide a venue for productive interaction between the state's academic research institutions and the aerospace industry.

The center will be overseen by a board of directors consisting of two representatives from the aerospace industry, the Director of the Department of Commerce; and the provosts, or their designated representatives, from the UW and Washington State University (WSU). The board members are appointed by the Governor. The duties of the board include:

establishing criteria for the selection of research projects to be supported by the center;
approving and allocating funding for research projects conducted by the center;
providing annual progress reports on the funded research projects; and
completing biennial reports to the Governor and the Legislature concerning the center's overall performance.

The UW, WSU, Central Washington University, Eastern Washington University, Western Washington University and The Evergreen State College are eligible to apply for a sales and use tax refund from the Department of Revenue for services rendered in respect to installing, repairing, cleaning, altering, or improving equipment used directly in aerospace product development or tangible personal property that is consumed in the development of an aerospace product.