Senate Bill Report — SHB 1870 (Senate Committee on Business, Financial Services, Gaming & Trade, February 20, 2024)

Summary

Senate Bill Report on SHB 1870, as reported by the Senate Committee on Business, Financial Services, Gaming & Trade on February 20, 2024. The bill directs the Department of Commerce to establish and administer the Moving Assets Towards Community Health (MATCH) program, which provides a state pool of matching funds that eligible entities can access through an application process. Beginning December 31, 2027, Commerce must provide a biennial report on the program. The report prints Passed House: 2/13/24, 97-0, Appropriation: None, and an effective date of ninety days after adjournment of the session in which the bill is passed.

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Issuer: Congressional materials
Document type: Report
Date: 2024-02-20
Case: 2024 02 20 A31985 D271285 Bill Report 1870 S Sba Bfgt 24

Cite this document

“Senate Bill Report — SHB 1870 (Senate Committee on Business, Financial Services, Gaming & Trade, February 20, 2024).” Original at app.leg.wa.gov, dated 2024-02-20. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2024-02-20-2024-02-20-a31985-d271285-bill-report-1870-s-sba-bfgt-24/, SHA-256 dbb8500766c7248d9ba9c93e47f817906d2548fceb82af108ce14c99d227b64b.

Full text

SENATE BILL REPORT
SHB 1870

As Reported by Senate Committee On:
Business, Financial Services, Gaming & Trade, February 20, 2024

Title: An act relating to promoting economic development by increasing opportunities for local
communities to secure federal funding.

Brief Description: Promoting economic development by increasing opportunities for local
communities to secure federal funding.

Sponsors: House Committee on Appropriations (originally sponsored by Representatives
Barnard, Ryu, Leavitt, Connors, Couture, Schmidt, Duerr, Slatter, Reed, Chapman, Graham,
Ormsby, Timmons, Donaghy, Paul, Doglio, Reeves, Hackney and Griffey).

Brief History: Passed House: 2/13/24, 97-0.
Committee Activity: Business, Financial Services, Gaming & Trade: 2/20/24.

Brief Summary of Bill
• The Department of Commerce is directed to establish and administer the
Moving Assets Towards Community Health (MATCH) program with the
purpose of increasing opportunities for local communities to compete for
federal grants by providing a state pool of matching funds that eligible
entities can access through an application process.

SENATE COMMITTEE ON BUSINESS, FINANCIAL SERVICES, GAMING & TRADE

Staff: Clint McCarthy (786-7319)

Background: The Department of Commerce (Commerce) is responsible for promoting
community and economic development within the state by assisting Washington's
communities to increase the quality of life of their citizens and their economic vitality and
by assisting Washington's businesses to maintain and increase their economic
competitiveness. Commerce's responsibilities include soliciting private and federal grants

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.

Senate Bill Report -1- SHB 1870
for economic and community development programs and maximizing the impact of federal
funding for economic development through coordination with research facilities to leverage
federal funding for research, development, innovation of new technologies, and transfer of
technology to the private sector to promote business development and jobs in Washington.

Federal grant opportunities address multiple aspects of economic development, including
broadband, clean and efficient energy, climate change resiliency, disaster mitigation and
recovery, housing and homelessness, public infrastructure, semiconductor technology,
transportation, and water and waste management. The majority of the federal grant
opportunities require the applicant to provide a percentage of matching funds, also referred
to as cost sharing. State funds may be used to meet federal match requirements in limited
circumstances, including the Public Works Assistance Account and the Statewide
Broadband Account.

Associate Development Organizations. Associate Development Organizations (ADOs) are
under contract with the state to provide economic development services in the communities
they represent. As part of their contracts, ADOs are required to submit annual performance
reports to Commerce, which Commerce compiles as a report and submits to the Legislature
biennially. The annual base funding an ADO receives from the state is dependent on local
matching funds as well as whether the county served is a rural county. Funding is provided
on a per capita basis. Commerce may consider an ADO's total resources when making
contracting and fund allocation decisions. The mission of an ADO is to further a county's or
region’s economic development goals. There are 34 ADOs serving all 39 counties.

Grant Writers. In 2023 the Legislature directed Commerce to establish a grant program to
support ADOs in recruiting, hiring, and retention of grant writers. Commerce must award
grants on an annual basis and must prioritize grants for distressed areas. In order to receive
the grant, ADOs must apply for the grant. Awardees must provide certain information on
the use of the funds in the required annual report to Commerce.

Summary of Bill: Commerce is directed to establish and administer the moving assets
towards community health program with the purpose of increasing opportunities for local
communities to compete for federal grants by providing a state pool of matching funds that
eligible entities can access through an application process. Beginning December 31, 2027,
Commerce must provide a biennial report on the community health program. The report
must identify federal funds awarded to entities in receipt of the grant funds, describe efforts
made to assist local communities, and contain an analysis of program effectiveness.

Commerce is directed to provide technical assistance as either an agency or through a
contracted party to assist local communities to develop competitive applications for federal
funding to the extent funding is available.

The prioritization model that Commerce uses to award grants to ADOs on an annual basis
to recruit, hire, and retain grant writers is expanded to include grant applications for federal

Senate Bill Report -2- SHB 1870
funds in addition to whether the grant is originating from a destressed area as defined in
statute.

Commerce is permitted to provide a resource guide for applicants for federal grants.

The bill has a null and void clause.

Appropriation: None.

Fiscal Note: Available.

Creates Committee/Commission/Task Force that includes Legislative members: No.

Effective Date: Ninety days after adjournment of session in which bill is passed.

Senate Bill Report -3- SHB 1870

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Original: app.leg.wa.gov