Major Accomplishments, Jobs and Economic Vitality

Cutting Taxes to Help Washington’s Economy

  • Led an innovative approach to state budgeting in 2003 to identify and fund top priorities first to cut spending and avoid a general tax increase during difficult economic times.
  • Won a package of incentives, including tax incentives and regulatory reform legislation, to persuade the Boeing Company to remain in Washington to build next-generation aircraft.
  • Reformed Unemployment Insurance and Workers Compensation systems in 2003 to reduce business costs and still offer unemployed and injured workers some of the best benefits in the nation.
  • Won passage of a $4.2 billion transportation improvement package in 2003 to begin fixing Washington’s crowded transportation system.
  • Pushed and signed tax cutting measures since 1997 that resulted in $1.04 billion in general tax savings for state taxpayers through 2003
  • Among those actions, cut business and occupation taxes to pre-1993 levels, saving business $611 million through 2003.
  • Sponsored successful legislation in 2002 to clarify types of investment income that are deductible from business and occupations (B&O) taxation. Provides greater predictability and encourages investment in Washington.
  • Cut unemployment insurance taxes to save businesses $356 million by June 30, 2001.
    Signed legislation, which makes unemployment taxes more fair and saves Washington businesses over $158 million in the next three years. (2002).
  • Saved employers and their employees $390 million in industrial insurance premiums through June 30, 2001.
  • Supported the creation of a sixth community empowerment zone for distressed urban areas, giving a sixth zone the economic tools to rebuild a local economy.

Improving Washington’s Business Environment

  • Established the Washington Competitiveness Council and adopted a number of the Council’s key recommendations for improving Washington’s business climate.
  • Appointed a Special Assistant for Business and Regulatory Reform to oversee permit streamlining and other reforms at the Department of Ecology and other permitting agencies.
  • Signed legislation to provide certainty regarding charges for easements on state-owned aquatic lands.

Creating Economic Development Tools for Rural Washington

  • Allowed rural counties to keep a larger portion of the state’s sales and use taxes. Counties can use this .08 percent credit for roads, telecommunications, sewers and other infrastructure, and to promote economic development. Distributions to counties under this program provide about $15 million a year, making it more possible to pursue economic development endeavors.
  • Provided permanent funding for the CERB program. Sponsored and passed new legislation that will provide over $18 million over five years for economic development infrastructure such as water, roads and sewer systems in rural areas through the CERB program. Also successfully pushed for and won $30 million

In additional CERB funds over 10 years from the transportation budget to support rural roads projects that create and retain jobs.

  • Sponsored and passed legislation to allow federally recognized Indian tribes to receive CERB funds to promote private sector projects.
  • Supported and signed passage of a community renewal bill that modernizes the urban renewal statutes and gives cities more tools for fighting blight.
  • Provided tax incentives for technology-based businesses that locate in rural areas.
    Created a business and occupation tax credit of $3,000 per new job, for a 5-year period, for firms that provide services on an international basis.
  • Created a sales and use tax exemption for building large wholesale distribution warehouses in rural areas to promote interstate trade.
  • Created a sales and use tax exemption for building large wholesale distribution warehouses in rural areas to promote interstate trade.
  • Directed $65 million in federal transportation funds to rural communities through the Rural Economic Vitality program. The 42 projects will create or retain over 10,000 jobs in rural areas.
  • Created the Rural Opportunity Fund for planning grants to help local communities prepare sites for economic development and target their resources for greatest impact.
  • Supported a State Parks budget that contributes to local economies in rural counties. Statewide, State Parks generate more than $1 billion in tourism expenditures.
  • Expanded industrial site pilot project to include five new counties. At total of 10 counties may now designate industrial sites outside urban growth areas and plan for new economic opportunity.
  • Assisted small-scale business in rural counties by amending the Growth Management Act to allow for the expansion of existing business or location of new small business, in the footprint of a pre-existing site.

Bringing Modern Telecommunications to Rural Washington

  • Made it easier for telecommunications companies to bring services to rural Washington by allowing “alternative forms of regulation” which help companies afford to provide the services.
  • Speeded up construction of telecommunications systems in rural areas by streamlining the local regulations that companies face when siting or constructing facilities.
  • Ensured a far greater chance for new telecommunications facilities and services to locate in rural areas by authorizing public utility districts and rural port districts to provide wholesale telecommunications services.
  • Provided tax credits for telecommunications-dependent businesses that locate in rural counties.

Improving Washington’s International Competitiveness

  • Aggressively worked to open and promote exports, which increased from less than $29 billion in 1996 to over $40 billion in 1999.
  • Personally directed trade missions to Mexico and Taiwan.
  • Established the Washington Competitiveness Council.
  • Launched the statewide strategy for the Innovation Economy.

Helping Our Vital Agricultural Sector

  • Promoted exports of tree fruits (esp. apples and cherries) during trade missions to Japan and Taiwan.
  • Helped end Taiwan’s acceptance of Chinese apples bearing counterfeit “Grown in WA” labels, thereby enhancing sales of real WA apples.
  • Expanded apple sales to Mexico by helping reduce Mexican tariffs during trade mission.
  • Met with Chinese leaders and helped persuade them to lift ban on importation of WA wheat.
  • Pressured US Department of Commerce to impose tariffs on Chinese apple juice concentrate to reduce “dumping” that was undercutting prices and reducing markets for WA producers.
  • Helped avert trade sanctions prohibiting wheat sales to Pakistan (following nuclear testing).
  • Helped keep Lamb-Weston Company from moving corporate headquarters from Kennewick to Boise.
  • Adopted bill giving tax exemptions to farmers and operators buying equipment to deal with wheat stubble, making it easier for them to stop burning it.
  • Helped growers of specialty crops such as raspberries by distributing federal financial assistance money.
  • Created the “Buy Washington” program to promote Washington grown produce.
  • Signed legislation that led to the development of a program at the Department of General Administration to encourage institutions such as schools and prisons to purchase locally grown agricultural products.

Making Growth Management Work

  • Revised the Growth Management Act to give rural areas more flexibility to plan under the Act.
  • Gave state funds and technical help to local governments to help them develop their growth management plans.
  • Signed legislation that extended timelines for local updates of growth management plans, and allows locals to synchronize various planning requirements into a single activity.
  • Supported the coordination of technical assistance provided by various state agencies to local governments. This coordination will increase agency efficiency and responsiveness to local governments planning under the GMA.

Helping the Labor Community

  • Created the first Project Labor Agreement in state history. Agreement requires labor/management cooperation in the construction of state buildings. Also urged the Sound Transit Board to implement a Project Labor Agreement for that multi-billion project to ensure timely completion.
  • Improved apprenticeship programs through legislation directing that both union and nonunion programs are to be approved by the State Apprenticeship Council if they meet the program quality standards. (01-03)
  • Approved funding to improve workplace safety and enforcement of labor laws for agricultural workers in Washington State. (Accident Account, Medical Aid Account) (2002)

Improving Housing for Farmworkers

  • Won passage of an $8 million capital appropriation to build permanent and temporary community-based migrant housing. Action assumes that $40 million will be available over the next ten years to increase housing opportunities for seasonal and migrant farm workers (1999).
  • Provided additional funding to develop more temporary and permanent farmworker housing. $8 million State Building Construction Account. (01-03)
  • Created a single agency responsible for rule-making, enforcement and technical assistance for on-farm housing.
  • Created a one-stop clearinghouse for information on farmworker housing financing, loans, rules and technical assistance.
  • Approved funding to increase safety for farmworkers. (2002)

Helping the Labor Community

  • Created the first Project Labor Agreement in state history. Agreement requires labor/management cooperation in the construction of state buildings. Also urged the Sound Transit Board to implement a Project Labor Agreement for that multi-billion project to ensure timely completion.
  • Improved apprenticeship programs through legislation directing that both union and nonunion programs are to be approved by the State Apprenticeship Council if they meet the program quality standards. (01-03)
  • Approved funding to improve workplace safety and enforcement of labor laws for agricultural workers in Washington State. (Accident Account, Medical Aid Account) (2002)

Creating a Construction Workforce for the Future

  • Ordered that 15 percent of workers on all state projects be apprentices, ensuring with each building we build, we are investing in the workforce for the next building.

Boosting the Minimum Wage

  • Successfully campaigned to pass a minimum wage initiative in 1998 that allows a family of three to live above the poverty level.

Getting Dislocated Workers Back to Work

  • Led the creation of the most comprehensive dislocated worker program of any state in the nation.
  • Introduced and won passage of legislation to provide extended unemployment benefits for dislocated workers in retraining. The legislation provides up to a 74 weeks of unemployment benefits for workers in retraining, the most comprehensive program in the nation.
  • Created 1,320 student slots (FTEs) at the state’s Community and Technical Colleges, resulting in retraining opportunities for thousands of dislocated workers. (2002)

Helping Financially Struggling Families Find Jobs, Keep Their Jobs, Get Better Jobs and Build a Better Life for Their Children

  • Implemented WorkFirst welfare reform. Over 90,000 welfare recipients are now working.
  • Decreased the caseload of families receiving case assistance by 40 percent and used funds from the caseload drop for training and child care.
  • Provided help with tuition and basic skills training to low-wage workers.
  • Provided child care subsidies to working families with annual incomes under $34,000.
  • Continued funding for low-income housing. Grants are provided to local governments, housing authorities, tribes and non-profit agencies to build and operate low-income and assisted-living housing. $65 million State Building Construction Account & Housing Trust Fund (01-03)

Helping Business in Washington State

  • Extended the Linked Deposit Program to allow minority and women owned businesses to apply for loans at a reduced interest rate. (01-03)
  • Continued funding for local governments loans for infrastructure-related projects. The funding will create and retain jobs through private, industrial, and commercial development. $5.275 million State Building Construction Account & Public Facility Construction Loan Revolving Account. (01-03)
  • Designed Electronic Filing (ELF) system to allow businesses to file and pay their taxes directly over the Internet. Users can customize returns to fit their business, instantly access the latest tax information, and “warehouse” payments so their taxes are not paid until the due date. System also automatically calculates tax data, targets potential errors or omissions, electronically submits the return to the state Department of Revenue, and provides a receipt to prove the return was filed and paid. Entire process takes about 10 minutes and confidentiality of taxpayer information is protected.
  • Invested $750,000 in federal funds to offset worker-training costs for new or expanding companies. This will promote economic development and train or upgrade workers’ skills so they earn more.

Encouraging Technology Transfer, Entrepreneurship, and New Business Creation

  • Supported continued funding of the Washington Technology Center and the Spokane Intercollegiate Research and Technology Institute to work with Washington state companies and academic researchers to fund and facilitate market-driven, high technology focused, industry-university R&D partnerships to create economic development opportunities and enhance technology transfer statewide. $20 million GF State (99-03).

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