HOUSE BILL REPORT

ESB 5631

BYSenators West, Smitherman, Anderson, Warnke, Lee, Saling and Smith

Creating an interstate trade compact.

House Committe on Trade & Economic Development

Majority Report:  Do pass.  (11)

      Signed by Representatives Cantwell, Chair; Doty, Ranking Republican Member, G. Fisher, Moyer, Rasmussen, Raiter, Rector, Schoon, Tate, Walk and Youngsman.

House Staff:Bill Lynch (786-7092)

AS REPORTED BY COMMITTEE ON TRADE & ECONOMIC DEVELOPMENT

MARCH 22, 1989

BACKGROUND:

The three Pacific Northwest states of Washington, Idaho, and Oregon represent a large consumer and producer population with many common areas of interest regarding international trade.  Those three (and several other states) are served by the Northwest Area Foundation and several bilateral agreements to cooperate exist for a wide range of issues.

Representatives of the three states have had several discussions on ways to further cooperate on mutually beneficial projects.

SUMMARY:

The Pacific Northwest Interstate Compact on International Trade is established.  Washington State's participation is ratified, and a compact committee is organized.  The Governor, with consent of the Senate, appoints two of the four committee members (one from east and one from west of the Cascades), the President of the Senate and Speaker of the House each appoint one.  Positions on the committee are held for three years.  One of the two gubernatorial appointments is for an initial term ending January 15 of the second year following appointment.

The compact becomes effective upon ratification of one of the other two states.  It recognizes that although areas of competition are healthy and will remain so, the compact itself will strive to identify worthwhile areas for cooperation in trade, investment, tourism and commerce.

Other states, provinces, municipalities or organizations may be asked to join specific projects.

Fiscal Note:      Available.

House Committee ‑ Testified For:    Senator Jim West, Bill Prime Sponsor; and Senator Alan Bluechel, Washington Senate.

House Committee - Testified Against:      None Presented.

House Committee - Testimony For:    There are a number of areas in which Idaho, Oregon, and Washington can cooperate in international trade.  Joint marketing of wheat, for example, will result in cost efficiencies for the state.  Much of the increase in international trade will also be shipped through Washington ports.

House Committee - Testimony Against:      None Presented.