House Bill Analysis — HB 1860, Supply Chain Competitiveness Infrastructure Program (Washington, February 14, 2025)

Summary

A House Bill Analysis of HB 1860, creating a Washington state supply chain competitiveness infrastructure program, from the House of Representatives Office of Program Research for the Technology, Economic Development, & Veterans Committee, with a hearing date of February 14, 2025. The brief summary says the bill creates the Supply Chain Competitiveness Infrastructure Program to provide grants and loans, and requires the Department of Transportation to set program priorities through collaboration with critical supply chain stakeholders. The summary of the bill says the Supply Chain Competitiveness Infrastructure Program Account is created in the state treasury. The analysis lists the appropriation as None and says a fiscal note was requested on February 6, 2025.

Summary drafted by a model from the document's text below and checked by script against that text before publication. It is a navigation aid, not a reading of what the document proves. Where AI is used

Full text

Washington State                    BILL
House of Representatives
Office of Program Research   ANALYSIS
Technology, Economic Development, &
Veterans Committee
                                        HB 1860
Brief Description: Creating a Washington state supply chain competitiveness infrastructure
     program.

Sponsors: Representatives Reed, Parshley, Leavitt, Waters, Paul, Zahn, Nance and Cortes.


                                     Brief Summary of Bill
          • Creates the Supply Chain Competitiveness Infrastructure Program
            (Program) to provide grants and loans to ensure successful and efficient
            operation of the supply chain to and from public and tribal ports.
          • Requires the Department of Transportation to set Program priorities,
            determine eligibility, and develop criteria to prioritize projects through
            collaboration with critical supply chain stakeholders.


Hearing Date: 2/14/25

Staff: Martha Wehling (786-7067).

Background:

Port Districts.
Port districts are authorized for the purpose of acquisition, construction, maintenance, operation,
development, and regulation within the district of harbor improvements, rail or motor vehicle
transfer and terminal facilities, water and air transfer and terminal facilities, or any combination
of these facilities. A port district may also, through its commission, spend money and conduct
promotions of resources and facilities within the district or general area through advertising,
publicizing, or marketing.




     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 1860
Any port district may adopt or amend a freight development plan as an amendment to the port's
comprehensive scheme of harbor improvements. The freight development plan is submitted to
several entities, including the Department of Transportation, to coordinate the development and
funding of freight mobility projects. After a port adopts or approves a harbor improvement plan,
any improvements must be in accordance with the plan until the plan is amended.

The Washington Constitution, Article VIII, Section 8, states that the use of public funds by port
districts for industrial development or trade promotion is deemed a public use for a public
purpose.

State Accounts.
In addition to the State General Fund, which may be expended for any lawful purpose, the state
maintains several hundred accounts that are dedicated to particular statutory purposes. These
accounts generally fall into one of three categories: (1) accounts located in the State Treasury,
which always require appropriation by the Legislature; (2) accounts held in the custody of the
State Treasurer, which may or may not require legislative appropriation; and (3) accounts located
in state agencies and institutions of higher education, known as local accounts.

Summary of Bill:

The Department of Transportation (Transportation) is required to set priorities for efficient
operation of a Supply Chain Competitiveness Infrastructure Program (Program). The Program
will provide grants and loans to public ports and federally recognized tribal governments with
public port operations. Transportation may adopt rules under the Administrative Procedures Act
to implement the Program. "Public ports" are the ports authorized through the statutory process.

To set the Program priorities, Transportation will collaborate with critical supply chain
stakeholders to develop performance metrics designed to strengthen the criteria used to prioritize
projects for funding. The parties to the collaborative process will also develop a list of project
types eligible for the Program. The stakeholders include, but are not limited to:
    • the Department of Commerce;
    • the Freight Mobility Strategic Investment Board;
    • the Washington Public Ports Association;
    • federally recognized tribal governments with port operations;
    • trucking representation;
    • rail representation;
    • marine representation;
    • warehouse representation;
    • agricultural representation;
    • manufacturing representation; and
    • clean energy representation.

Eligible projects for the Program are required to align with six goals addressing: operation of the


House Bill Analysis                            -2-                                         HB 1860
supply chain to and from public and tribal ports; advantages of efficient freight movement;
sustenance of the international trade economy; access to market transportation for agricultural
and industrial products; integration and cooperation of freight distribution systems; and
mitigation of the impacts of increased freight traffic on communities. The projects must be
included in a port's freight development plan.

The Supply Chain Competitiveness Infrastructure Program Account (Account) is created as an
account in the state treasury. Receipts from the Legislature, proceeds of bonds, and principal and
interest payments from Account loans are deposited in the Account. Money from federal, state,
local, and private sources may be deposited in the Account by public and private entities. Use of
the Account is limited to projects that focus on enhancing supply chain competitiveness for
public and tribal ports and the capacity of ground and maritime transportation and facilities.
Transportation will receive grant funds through appropriation using existing accounts.

Appropriation: None.

Fiscal Note: Requested on February 6, 2025.

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




House Bill Analysis                            -3-                                         HB 1860


File and source

File

2025-02-19_a32863_d289408_bill-analysis.pdf

Size

9,166 bytes

SHA-256

a83e062db35d349bffeea81b782158170f7d6b9ce6a260cf0cfefc4106db2aaa

Our copy

2025-02-19_a32863_d289408_bill-analysis.pdf

Original

No public link identified.