Requires a retailer that offers small-scale powered equipment for sale to: (1) Provide equal or greater shelf space to similar products that are powered by an electrical cord or a rechargeable battery; and

(2) Dedicate a portion of its shelf space to adequate signs describing the consumer benefits of choosing electric or battery-powered engines over small-scale powered equipment.

Requires the department of ecology to offer electrical equipment incentive grants on a competitive basis to city or county governments.

Prohibits, with exceptions, state agencies from purchasing small-scale powered equipment if the market offers an alternative item that is powered by an electrical cord or rechargeable battery.

Requires all state agencies to phase out the use of small-scale powered equipment that have alternative items available on the market that are powered by an electrical cord or rechargeable battery on a timeline that ensures that no such items are in use five years after the effective date of this act.

Encourages local governments and school districts to review their purchasing and use of small-scale powered equipment and select, when possible, alternative items that are powered by an electrical cord or rechargeable battery.

Creates the electrical equipment incentive account.

Directs the department of ecology to collect a small-scale powered equipment carbon emissions fee from every person for the privilege of engaging within this state in business as a wholesaler or as a retailer of sales of all small-scale powered equipment.

Directs the department of general administration to suspend the use of all spark ignition lawnmowers, string trimmers, and weed blowers on the capitol campus by October 1, 2009. The department of general administration shall document its transition from small-scale powered equipment to electrical or manual alternatives to aid other state agencies in their implementation of this act.