Governor Gregoire Announces $100 Million for Local Economic Development

For Immediate Release: October 29, 2007

OLYMPIA � Governor Chris Gregoire today announced $100 million in public investments to support local governments. The investments are the first to be made by the new Local Infrastructure Financing Tool (LIFT) program.

�These investments match local funds dollar for dollar to increase local economic growth and create jobs,� said Governor Gregoire. �It is just common sense for the state to support urban initiatives that attract the private investment and commercial businesses that make communities desirable places to live, work and play.�

The LIFT program, created by the 2006 legislature and signed by Governor Gregoire, helps local governments promote economic development by providing up to $7.5 million per year in state sales and use tax revenue for 25 years. Financing is provided through a credit against state sales taxes generated in the participating communities.

Washington�s Community Economic Revitalization Board (CERB) approved the following projects:

• The Spokane County River District Revenue Development Area (RDA) at Liberty Lake was pre-selected by the Legislature to receive $1 million per year for 25 years for construction of up to $72 million in public infrastructure. An estimated $1 billion in private investment is expected, resulting in the creation of 9,877 new jobs and more than $2.1 billion in new state tax generated revenues.
  
• The City of Vancouver Riverwest RDA was pre-selected by the Legislature to receive $500,000 per year for 25 years. The City of Vancouver, in partnership with Clark County, the Port of Vancouver and the Fort Vancouver Regional Library District, anticipate construction of $15 million in public facility improvements to be completed by 2010. An estimated $160 million in private investment is expected, resulting in the creation of 376 new jobs and more than $35 million in new state tax generated revenues.
  
• The City of Bothell Downtown Revitalization RDA was competitively selected by CERB to receive $1 million per year for 25 years. The City of Bothell anticipates the construction of nearly $70 million in public facility improvements to be completed by 2012. An estimated $668 million in private investment is expected, resulting in the creation of 10,463 new jobs and more than $190 million in new state tax generated revenues.
  
• The City of Everett Riverfront RDA was competitively selected by CERB to receive $500,000 per year for 25 years. The City of Everett anticipates the construction of $36 million in public facility improvements to be completed by 2010. An estimated $490 million in private mixed-use developments are expected to be in construction over the next five years, resulting in the creation of 1,803 jobs and $13 million per year in additional state sales and property taxes.
  
• The Federal Way City Center RDA was competitively selected by CERB to receive $1 million per year for 25 years. The City of Federal Way anticipates the construction of $35 million in public facility improvements to be completed by 2017. An estimated $450 million in private investment is anticipated, resulting in the creation of 6,086 jobs and $413 million per year in additional state sales and property taxes.

Of the $7.5 million in tax revenue made available through the LIFT program, projects in Bellingham, Vancouver and Liberty Lake were pre-selected by the Legislature to receive annually up to $2.5 million. $2.5 million in competitive funding was available in 2007, with an additional $2.5 million to be available in 2008. The project for Bellingham was approved September 21, 2006.

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