Moving into the 2018 legislative session there was a great deal of chatter on economic development, especially if you put the word “rural” in front of it. The House Democrats pealed out a special caucus solely focused on rural economic development, traveling to small communities statewide to learn about the greatest challenges they face. In the fall of 2017 the Association of Washington Business (AWB) held a large Rural Jobs Summit in Moses Lake where business and government officials, including dozens of legislators, heard from communities and industry about the struggles they face every day.

As the 2018 session approached, there was a sense the Legislature was committed to enacting significant reforms to help our struggling communities. While the Legislature made some gains on the economic development front, sweeping changes failed to materialize, including some of AWC’s priorities, leaving open the possibility we will be back in 2019 pushing for more.

What went well

After several years of advocacy, tourism proponents were successful in getting legislation and money directed towards reviving a publicly-funded tourism department. For years, a public tourism office was housed in the Department of Commerce, but during the Great Recession those funds were diverted to pay for basic operating budget expenses, leaving Washington one of the only states in the nation without a publicly-funded tourism office. That all changed in 2018. SB 5251 establishes a Tourism Marking Authority with the mission of setting up a tourism marketing plan for the state. In its operating budget, the Legislature appropriated $1.5 million for these efforts.

In addition to tourism, the Legislature also appropriated additional funds for rural economic development projects through the state’s Community Economic Revitalization Board (CERB) program. It appropriated an additional $10 million to CERB, $5 million for its loan and grant program, and $5 million for rural broadband buildout.

Where works remains

AWC’s support of Sen. Sharon Brown’s (R-Kennewick) Building Business Ecosystems bill, SB 6499, came up short in 2018. SB 6499 set out to establish a permanent, statewide financing program for economic development modeled after the successful Local Revitalization Financing program. AWC was extremely supportive of this legislation and disappointed it did not receive an opportunity for a vote out of committee. Much of our economic development efforts in the 2018 interim will be exploring whether another large effort to move this policy through in 2019 is possible.

Efforts to codify the Transportation Improvement Board, the Freight Mobility Strategic Investment Board, and the Washington State Transit Association’s Connecting Washington revenues also failed in the 2018 session. These programs offer grant and loan opportunities for our communities large and small, and often are the difference between a project moving forward or stalling. AWC will continue to support the secure funding of these important local transportation programs and look forward to continuing the codification conversation.

As we focus and explore economic development initiatives throughout the interim, we welcome your feedback on what policy changes your community needs to succeed. Please contact Jane Wall with your feedback.