Friday Legislative Report - Jan. 22, 2021

BACKGROUND

This 105-day session began with widely held expectations that difficulties working in a remote environment would constrain the scope of issues undertaken. This wasn’t a naive perspective two weeks ago.  While allowing for on-line meetings, local governments have been curtailed in the complexity of issues they address and interim stakeholder efforts on many topics were limited. Many observers are now acknowledging that this legislature is characterized by its willingness to tackle a multitude of difficult, resource-consuming matters. We are seeing big bills tackling subjects such as the Growth Management Act, police reform, local government finances, housing and homelessness, mental health funding, capital gains taxation, carbon taxation, climate change, transportation, and unemployment insurance funding. This list coupled with numerous anticipated bills dealing with economic recovery and COVID response has given us a demanding legislative agenda as we close the second week of session.

The Washington Public Ports Association has put together a package of tools, resources, and information for member ports to increase your effectiveness during the legislative session. Check out our blog posts and handouts here, on the "Tools" section of the Advocacy portion of the website; we update this often.

MODEL TOXICS CLEAN-UP ACT (MTCA)

At this stage in the legislative session, we will not see week-to-week developments in the budget for remedial action grants. Behind the scenes, WPPA brought together the Association of Washington Cities, the Western States Petroleum Association, the Washington State Association of Counties, and the Washington Environmental Council to write in opposition to inappropriate uses of MTCA funds included in Governor Inslee’s budget recommendations. We’ve blogged about the importance of MTCA to ports, and recent examples of job creation and environmental restoration can be found at the Port of Tacoma and the Port of Seattle.

TRANSPORTATION

Representative Jake Fey and five of his colleagues released the House Transportation Package this week, a $26 billion proposal focusing on increasing maintenance and preservation spending, providing opportunities for underserved communities, while also reducing transportation greenhouse gas emissions. We’ve shared details about this plan on our blog.

WPPA also provided testimony opposed to the Governor’s transportation budget (HB 1165) this week because it seeks to freeze existing, fully-funded projects and shift those dollars to other priorities. The delayed projects list was released this week—we have a more complete analysis of this project freeze and implications on our blog.

We also testified opposed to SB 5154, a bill which seeks to prohibit port districts from preventing older trucks from accessing terminals, on the grounds that we do not believe ports currently possess that authority.

WPPA supports HB 1107 which is scheduled to be heard in the House Transportation Committee. The bill expands the size of vessels which can enter and remain in Washington waters without a permit, which in turn has economic benefits for communities that can provide provisioning or repair services.

COMMUNITY ECONOMIC REVITALIZATION BOARD (CERB)

As reported last week, the CERB Board priority to codify their rural broadband program was given a hearing; there were many positive comments made about CERB’s success in funding projects throughout the state. Ports can help advance SB 5175 by explaining to senators the importance of this proposal which helps improve broadband access in rural Washington. In particular, if you have a senator on the Business, Financial Services & Trade Committee, now is the time to ask for support to move this bill.

BROADBAND

SB 5175 establishes, in statute, an appropriated loan and grant program for financing broadband infrastructure projects under the authority of the Community Economic Revitalization Board (CERB). The bill was heard in the Senate Committee on Business, Financial Services & Trade Thursday with strong testimony that included CERB Chair and Port of Pasco Executive Director Randy Hayden, Port of Whitman County Executive Director Joe Poire, and Port of Skagit Director of Planning and Facilities Sara Young.

HB 1336, which creates unrestricted authority for public entities to provide telecommunications services (broadband) to end users, will be heard on January 27 in the House Committee on Community & Economic Development. This high-profile bill, which grants Ports retail broadband authority, has been described by House Democratic Caucus staff as centerpiece of the committee’s focus in this session.

TAX INCREMENT FINANCING (TIF)

The local government tax increment financing proposal is moving forward. This week, a hearing was held in the Senate Business, Financial Services & Trade Committee. The Port of Benton participated in a Tri-Cities Panel and delivered a strong message of support. Overall, ample positive discussion about the value of this tool characterized the hearing. This Tuesday, Jan. 26, activity shifts to the House where the Finance Committee will hear the House companion bill. Again, ports will testify and sign in positively for this proposal.

OTHER KEY PRIORITIES

Aviation

Testimony Thursday on SB 5031 sought to make the Community Aviation Revitalization Loan Program permanent. Its companion bill, HB 1030, will be heard next Monday in the House Transportation Committee; WPPA supports these bills. HB 1198 proposes modest changes to the work being performed by the Commercial Aviation Coordinating Commission. The bill is scheduled for a hearing on Monday in the House Transportation Committee. WPPA supports the work of the commission but has concerns that increasing scope may delay or deter from the commission’s primary objective.

Public Works

WPPA supports SB 5032, which advanced to the Rules Committee this week. Authority to use alternative public works tools including “Job Order Contracting” will sunset this year; this bill seeks to extend the use of these important procurement tools and the important work of the Capital Projects Advisory Review Board. We are following other bills that may also have an impact on public works and infrastructure projects—HB 1103, scheduled for a hearing next Tuesday, seeks to reduce the GHG emissions of commonly used building materials, and HB1308, which would proscribe expanded use of apprenticeships in public works projects. WPPA is evaluating these bills and will work with sponsors to address concerns.

OPMA

More open government proposals are scheduled for hearing this week, including HB 1180 sponsored by Representative Kraft, and HB 1329 sponsored by Representative Wicks. HB 1180 would require ports and other public agencies to allow public testimony at every meeting. HB 1329 would require all public agency meetings to offer a remote option for the public to participate, require videotaping of all meetings, and would allow remote meetings outside a state of emergency; important issues for local governments. WPPA will be analyzing their impact and preparing a carefully crafted response. Both bills are scheduled for hearing on Tuesday, in House Local Government.

Economic Development

HB 1170 would establish a Washington-wide goal of increasing manufacturing. The original bill calls for the creation of a stakeholder group specializing in manufacturing, research, and development to identify recommendations for advancing manufacturing. In addition, the bill would direct the establishment of regional offices to help foster trade learning programs. The Department of Commerce would take the lead on these activities. A substitute bill is being developed and will be heard in House Community & Economic Development Committee on Friday, January 29th. WPPA supports Representative Boehnke’s leadership on this issue.

Another economic development bill would create a grant program to help fund rural infrastructure such as sewer and water projects, broadband and other utilities systems. HB1263 will be given a hearing on Wednesday, January 27th in the House Community & Economic Development Committee. WPPA met with the prime sponsor, freshman Representative Abbarno, a former city council member with an interest in helping local governments in more rural areas, to discuss his proposal, and we appreciate his attention to this important matter.

HB 1091 Clean Fuel Standard (previously Low Carbon Fuel Standard)

The bill was modestly amended in committee to require an independent analysis of the anticipated probable costs or cost savings attributable to the Clean Fuels Program per gallon of gasoline and per gallon of diesel; it passed the House Environment and Energy Committee on Thursday. Policy debate split along party lines, with Republican representatives expressing concern about the impact of the policy on lower income residents and Democrats compelled by the need to reduce Washington’s contributions to the climate crisis immediately.

SB 5126–Washington Climate Commitment Act

As previously noted, the bill was requested by Governor Inslee to establish a carbon pricing scheme (named Cap and Invest in Washington). WPPA Trustees authorized the Association to support carbon pricing legislation that is directly tied to investments in transportation. On Tuesday, WPPA testified in opposition to the Governor’s bill because it fails to commit these resources. We observed that carbon pricing might contribute to Washington’s economic competitiveness to the extent that resulting revenue is invested in transportation infrastructure.