Senate Bill Report — SB 5451

Summary

A Senate Bill Report on SB 5451, an act relating to the advancement of quantum economic development, prepared by staff of the Senate Committee on Business, Financial Services & Trade and current as of January 27, 2025. It lists Senators Slatter, Boehnke, Nobles, Shewmake and Stanford as sponsors and committee activity on 1/29/25. The background section describes quantum technology, the federal National Quantum Initiative Act enacted in 2018, the Pacific Northwest National Laboratory and the Northwest Quantum Nexus. The bill summary describes an advisory committee appointed by the director of the Washington State Department of Commerce, which must meet at least quarterly and expires on June 30, 2027, and a grant program to support applicants for federal quantum technology grants. It notes a fiscal note requested on January 24, 2025.

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                            SENATE BILL REPORT
                                  SB 5451

                                      As of January 27, 2025

Title: An act relating to the advancement of quantum economic development.

Brief Description: Concerning advancement of quantum economic development.

Sponsors: Senators Slatter, Boehnke, Nobles, Shewmake and Stanford.

Brief History:
     Committee Activity: Business, Financial Services & Trade: 1/29/25.


                                     Brief Summary of Bill
           • Establishes an advisory committee           to   advance    the   economic
             development of quantum technologies.
           • Specifies the composition and duties of the committee and requires the
             Washington State Department of Commerce to provide staff and
             direction for the committee.
           • Requires the Washington State Department of Commerce to establish a
             grant program, subject to legislative appropriation, to support applicants
             for federal grants related to quantum technology.


SENATE COMMITTEE ON BUSINESS, FINANCIAL SERVICES & TRADE

     Staff: John Kim (786-7453)

     Background: Quantum Technology. Quantum technology is technology using the
     principles of quantum mechanics, which are the laws of physics applying to subatomic
     particles. Some current technologies that have a basis in quantum science include the
     Global Positioning System or GPS, magnetic resonance imaging or MRI, semiconductors,
     and lasers for telecommunications.




     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.

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     Applications of quantum technology under research and development include quantum
     computing, secure communication, quantum data networks, and quantum sensors in fields
     such as positioning systems, communication technology, electric and magnetic field
     sensors, and gravimetry and geophysical research. Some applications of quantum
     computing include quantum simulation, cryptography, optimization algorithms, quantum
     machine learning, and search.

     Legislation. In 2018, the federal National Quantum Initiative Act (NQIA) was enacted,
     which established a plan for advancing quantum technology. The NQIA authorized
     quantum research activities for the National Institute of Sciences and Technology, the
     National Science Foundation, and the United States Department of Energy.

     States that have enacted legislation relating to quantum technology include Colorado,
     Illinois, New Mexico, South Carolina, and South Dakota.

     Entities. The Pacific Northwest National Laboratory is a national laboratory of the United
     States Department of Energy. Its main campus is in Richland, Washington, with additional
     research facilities around the country.

     The Northwest Quantum Nexus is a public-private consortium formed in 2019, with
     objectives including forming public-private research teams and partnerships and cultivating
     a workforce in quantum science, engineering, and technology. Members have included the
     Pacific Northwest National Laboratory, Amazon Web Services, Boeing, Microsoft
     Quantum, the University of Washington, and Washington State University.

     Summary of Bill: Advisory Committee. An advisory committee (committee) is
     established to advance the economic development of quantum technologies. The committee
     members must be appointed by the director of the Washington State Department of
     Commerce (Commerce) and be comprised as follows:
         • the Lieutenant Governor or a designee;
         • one statewide elected official;
         • the director of Commerce or a designee;
         • one or more representatives from an institution of higher education;
         • two representatives from technology companies with headquarters in the state;
         • one representative from an aerospace company with a factory in the state;
         • one representative from a company that builds and sells quantum computers and
            software; and
         • one representative from the Pacific Northwest National Laboratory.

     Commerce must provide direction and ensure accountability for the committee through its
     information technology sector lead within the Office of Economic Development and
     Competitiveness. Commerce must also provide staff for the committee.

     The committee must:


Senate Bill Report                            -2-                                       SB 5451
         • select a chair from among its membership;
         • meet at least quarterly, with the initial meeting no later than August 1, 2025;
         • produce an annual report to the Legislature with recommendations to competitively
           promote a quantum technology ecosystem in the state; and
         • produce a workforce development plan.

     The committee expires on June 30, 2027.

     Grant Program. Commerce, through its Office of Economic Development and
     Competitiveness, must establish a grant program to support eligible applicants for federal
     grants related to quantum technology. Commerce must award grants on at least an annual
     basis. The grant program is subject to the availability of amounts appropriated by the
     Legislature for this specific purpose.

     Commerce must partner with an institution of higher education with a research program in
     quantum technology and may consult with technology companies, the Northwest Quantum
     Nexus coalition, companies that build and sell quantum computers and software, or the
     Pacific Northwest National Laboratory to identify relevant federal grants for the state's
     economic development.

     Commerce may adopt rules to implement the grant program, including specifying the
     manner in which eligible applicants must apply.

     Appropriation: The bill contains a section or sections to limit implementation to the
     availability of amounts appropriated for that specific purpose.

     Fiscal Note: Requested on January 24, 2025.

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

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




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