SENATE BILL REPORT
SHB 1958
As of February 24, 2022
Title: An act relating to accelerating rural job growth and promoting economic recovery across Washington through a shovel-ready site certification program and grants.
Brief Description: Accelerating rural job growth and promoting economic recovery across Washington through a shovel-ready site certification program and grants.
Sponsors: House Committee on Capital Budget (originally sponsored by Representatives Berg, Boehnke, Chapman, Ryu, Paul, Peterson, Frame and Taylor).
Brief History: Passed House: 2/9/22, 95-0.
Committee Activity: Ways & Means: 2/24/22.
Brief Summary of Bill
  • Permits the Community Economic Revitalization Board to provide planning program grants to qualifying projects for the costs to achieve shovel-ready status.
  • Increases the maximum award limit on the Community Economic Revitalization Board planning program grants to up to $200,000 after December 31, 2026.
  • Directs the Department of Commerce to develop and implement a shovel-ready certification program, subject to amounts appropriated.
SENATE COMMITTEE ON WAYS & MEANS
Staff: Michael Bezanson (786-7449)
Background:

Community Economic Revitalization Board.  The Community Economic Revitalization Board (CERB) provides financial assistance to local governments and federally recognized tribes for public infrastructure that encourages new business development and economic growth.  The Department of Commerce (Commerce) provides administrative support for CERB.
 
CERB is authorized to make direct loans and grants to political subdivisions of the state and to federally recognized Indian tribes to finance public facilities.  Grants are available for eligible planning and constructing projects.

Community Economic Revitalization Board Planning Program Grants.  CERB provides grant funding for studies to evaluate economic development projects.  Eligible uses include site-specific plans, studies, and analyses that address environmental impacts, capital facilities, land use, permitting, feasibility, marketing, project engineering, design, and site planning.  The maximum award limit for planning grants is $50,000. 
Summary of Bill:

CERB may award planning program grants to projects for costs of achieving shovel-ready status.  After December 31, 2026, the maximum award limit on planning grants is increased to $200,000.
 
Subject to amounts appropriated, Commerce must develop and implement a shovel-ready certification program for certifying sites seeking shovel-ready status designation.  When developing the program, Commerce must consult with CERB, economic development professionals, industry leaders, and local governments.  Commerce may consult with other interested parties at its discretion.  Commerce must establish an application process, criteria for certification, and may adopt rules to implement this section.
Appropriation: None.
Fiscal Note: Available.
Creates Committee/Commission/Task Force that includes Legislative members: No.
Effective Date: Ninety days after adjournment of session in which bill is passed.
Staff Summary of Public Testimony:

PRO:  This bill is a valuable tool to bring in additional economic development to local areas.  It is important to have pre-development work completed for sites to be competitive.   A shovel-ready site is more marketable for businesses.  Allowing funding for more planning projects will help local governments with rising costs.
Persons Testifying: PRO: Marie Davis, Department of Commerce; Randy Hayden, CERB - Community Economic Revitalization Board; Michael Echanove, CERB - Community Economic Revitalization Board; Andrea Alexander, CERB - Community Economic Revitalization Board; Victoria Lincoln, WA Public Ports Association.
Persons Signed In To Testify But Not Testifying: No one.