HOUSE BILL REPORT

HB 885

BYRepresentatives Brooks, D. Sommers and Silver

Modifying requirements for location of new facilities in distressed areas.

House Committe on Trade & Economic Development

Majority Report:     The substitute bill be substituted therefor and the substitute bill do pass.  (18)

     Signed by Representatives Vekich, Chair; Wineberry, Vice Chair; Amondson, Beck, Belcher, Cantwell, Doty, Grant, Hargrove, Holm, Kremen, McLean, McMullen, Moyer, Rasmussen, Schoon, B. Williams and J. Williams.

House Staff:Stephen Hodes (786-7092)

AS REPORTED BY COMMITTEE ON TRADE & ECONOMIC DEVELOPMENT

MARCH 5, 1987

BACKGROUND:

The legislation passed in recent years by the legislature to provide assistance to communities or businesses in areas of the state which have experienced economic dislocation provides a method for designating areas of the state as economically distressed for the purpose of regulating access to these programs.  There are a number of areas within the state which are designated as economically distressed, but which are located within counties which are not so designated.  When the state constructs new buildings or facilities in such a county, there are currently no restrictions relating to economic distress on the location of new facilities.  The imposition of restrictions may provide the state with an additional tool for responding to local economic distress.

SUMMARY:

SUBSTITUTE BILL:  State agencies proposing to construct new facilities in a county designated as distressed shall locate the facility within the boundaries of a distressed city or town in the county.  State agencies proposing to construct new facilities in a county not designated as economically distressed but which contains a distressed area within its boundaries must locate the facilities within such a distressed area.  This restriction does not apply to the location of facilities in Thurston County nor to higher education institutions.

SUBSTITUTE BILL COMPARED TO ORIGINAL: State agencies proposing to construct facilities in counties designated as distressed fall under the provisions of the substitute, and they are directed to locate facilities in distressed cities and towns in the county. The original bill only applied to counties not designated as distressed but which contained distressed areas.

Fiscal Note:    Requested March 2, 1987.

House Committee ‑ Testified For:     Representative Brooks.

House Committee - Testified Against: None Presented.

House Committee - Testimony For:     There are problems caused when new facilities are constructed in outlying areas when distressed town centers are allowed to deteriorate.

House Committee - Testimony Against: None Presented.