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House Bill Analysis — HB 1717, Innovation at Associate Development Organizations (Washington, 2023)

Summary

House Bill Analysis for HB 1717 from the Washington State House of Representatives Office of Program Research, for the Innovation, Community & Economic Development, & Veterans Committee, with hearing date 2/7/23 and staff Cassie Jones. The brief description is supporting innovation at associate development organizations, and the sponsors are Representatives Rule, Corry, Paul, Stonier, Chapman, Duerr and Timmons. The brief summary says the bill requires the Department of Commerce to establish an annual competitive grant program to support initiatives to foster innovation, sustainability, partnerships, and equity at associate development organizations. The analysis lists the appropriation as none.

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“House Bill Analysis — HB 1717, Innovation at Associate Development Organizations (Washington, 2023).” Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2023-02-07-a30717-d251493-bill-analysis-9b233a77c5/, SHA-256 a424017f9ae1ff06b7e828d4ad6c93730f63f395219881c31a7b7f41d60403dc.

Full text

Washington State                  BILL
House of Representatives
Office of Program Research   ANALYSIS
Innovation, Community & Economic
Development, & Veterans Committee
                                        HB 1717
Brief Description: Supporting innovation at associate development organizations.

Sponsors: Representatives Rule, Corry, Paul, Stonier, Chapman, Duerr and Timmons.


                                     Brief Summary of Bill
          • Requires the Department of Commerce to establish an annual
            competitive grant program to support and catalyze initiatives to foster
            innovation, sustainability, partnerships, and equity at associate
            development organizations.


Hearing Date: 2/7/23

Staff: Cassie Jones (786-7303).

Background:

Washington State is composed of 39 counties, each one represented by an associate development
organization (ADO) that furthers the county’s or region’s economic development goals. The
Department of Commerce (Commerce) contracts with ADOs in order to increase the support for
and coordination of community and economic development services in communities or regional
areas. The ADOs coordinate businesses recruitment, retention, and expansion activities and
support research, planning, and implementation of regional and local economic development
strategies. The contracting ADOs must:
    • be broadly representative of community and economic interests;
    • be capable of identifying key economic and community development problems,
       developing appropriate solutions, and mobilizing broad support for recommended
       initiatives;



     This analysis was prepared by non-partisan legislative staff for the use of legislative
     members in their deliberations. This analysis is not part of the legislation nor does it
     constitute a statement of legislative intent.

House Bill Analysis                             -1-                                         HB 1717
    • work closely with Commerce to carry out state-identified economic development
      priorities;
    • work with and include local governments, local chambers of commerce, workforce
      development councils, port districts, labor groups, institutions of higher education,
      community action programs, and other appropriate private, public, or nonprofit community
      and economic development groups; and
    • meet and share best practices with other ADOs at least two times each year.

Contracting ADOs must provide Commerce with an annual report including measures of their
performance and a summary of best practices shared and implemented. The reports must include
certain employment data and financial information. Commerce must submit a report to the
Legislature in each even-numbered year on the performance results of the contracts with ADOs.

Summary of Bill:

Commerce must establish an annual competitive grant program to support and catalyze
initiatives to foster innovation, sustainability, partnerships, and equity at ADOs. Commerce
must develop grant award criteria with relevant stakeholders and award funding based on
initiatives that are aligned with its work and priorities. Awards must be given equitably across
the state.

Grant recipients must provide information on the use of the funds in their annual reports.
Beginning December 31, 2026, Commerce must include information on grant award funding and
use in its report to the Legislature on ADO contracts.

The Associate Development Organization Innovation, Sustainability, Partnerships, and Equity
Grant Account is created in the custody of the state treasurer. Revenues to the account consist of
appropriations by the Legislature, private contributions, and all other sources deposited in the
account. Expenditures from the account may be used only for an annual grant to ADOs to
support and catalyze initiatives to foster innovation, sustainability, partnerships, and equity. An
appropriation is not required for expenditures.

Appropriation: None.

Fiscal Note: Available.

Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is
passed.




House Bill Analysis                            -2-                                         HB 1717

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