The South Sound Chambers of Commerce Legislative Coalition (SSCCLS) continues to focus on Economic Vitality and Growth for the South Sound region.  There is a need for full funding of transportation infrastructure investments and investment in human beings (education, workforce development, attainable housing for all and access to mental health and addiction treatment) as keys to our state and region’s economic success. 

 

Our businesses are significantly challenged by the after-effects of the pandemic shutdowns, labor shortages, and continued increases in costs for goods and supplies. The solution for these problems, once again, is not demands for more taxes and fees or regulatory burdens.  We insist our representatives in the Legislature focus on creating policies to encourage the economic viability of existing and new firms, job creation, expansion of the job-ready workforce, and reduced costs for businesses and citizens who are struggling to make ends meet. Below are the key issues that our member Chambers believe are imperative for the region:

 

Transportation: Fully funding transportation infrastructure continues as a key economic development priority for the South Sound region, particularly for the South Sound projects currently underway. The Puget Sound Gateway projects are a key to economic development and revitalization in the South Sound. The Legislature must be intentional in recognizing the critical statewide priority for this region which contains significant warehousing and distribution, in addition to an international airport, two international ports, and access to major highways throughout the state.   Lawmakers must ensure the Puget Sound Gateway projects remain fully funded for on-time completion, especially as our state moves away from gasoline powered vehicles which will impact gas tax revenues.

 

Budget and Taxes:  The Legislature has passed significant spending budgets in recent years.  In addition, a new capital gains tax is in effect and the new climate initiative is producing tax revenues far in excess of projections.   Our businesses are nervous about an economic downturn, especially given the high federal interest rates.  The Legislature must reassess budget priorities to avoid the need for new or increased taxes.  Spending should prioritize increased job opportunities for our state’s citizens, public health and safety, and other necessary supports.  Washington needs to remain competitive for business attraction and retention.  Legislative decisions must work toward that goal.

 

Support Small Business:  Economic development in the South Sound is reliant upon a strong business structure – including small businesses who are people not only creating jobs for themselves, but jobs for others.  The Legislature must support these local job creators by actively reducing unnecessary regulations and avoiding new tax burdens. Policies to support local businesses and their employees include:

 

• No additional regulatory requirements or standards for independent contractors.  These are the people who are working to create their own business due to recent tech-sector layoffs and scarcity of attainable housing near existing job openings.  Businesses who use independent contractors are often other small businesses.  Now is not the time to revolutionize employment law.
• Remove the mandate for long term care insurance:  Our employees are struggling in this economy and a mandate to reduce their paychecks for long term care insurance they may not ever use, OR may not be sufficient for their needs, OR they cannot afford the cost.  In addition, this mandate has driven other options out of our state’s insurance marketplace.  The state’s Long Term Care Act needs to be either repealed or turned into a voluntary program.
• Avoid all increases to employment related costs.  We need all of our businesses, but particularly our small businesses, to be holding onto the employees they have and INCREASING their employees now and into the future.  The state must make adjustments to laws in order to keep employment costs steady and predictable.
• Support local Chambers of Commerce. Chambers of Commerce serve to support our local communities and are vital to economic vitality. Following the pandemic, many chambers have struggled to overcome financial hardship. We ask the Legislature to

show support for these organizations by allowing companies tax credits (such as credits against local and state B&O tax) for expenditures supporting these organizations.

 

Ensure Continued Investments in Workforce Education:  The state made significant investments in our human infrastructure to help with pandemic recovery.  Now, with pervasive workforce shortages the Legislature must ensure the right investments are made in education and training, including on the job training opportunities.  Multiple pathways should be available for individuals looking to get into all trades and professions.  An expanded, well-trained, job-ready workforce must be available for our economy to be successful.

 

• K-12 Education: K-12 funding should remain steady and support districts providing students with all learning methodologies available.   School districts should be given flexibility with their levies to ensure they can fill funding gaps as necessary based on the needs of their students.  The SSCCLC believes it is important to provide appropriate secondary transition instruction and planning for developmentally disabled (DD) students ages 18-21 to ensure they can be independent and employable.  We support legislative changes proposed by the DD community to ensure proper funding and accountability. Additionally, in the wake of the Wahkiakum decision and the excess revenue in state coffers, the state must ensure K-12 facilities are not subject to continuing reliance on rejected bond measures that increase constructions costs and delay access to equity in education.
• Career and Technical Education/Workforce Education: The Legislature should ensure that adequate education dollars continue going to CTE programs and that all students/displaced adults have access to relevant CTE courses and workforce development programs, including pre-apprenticeship programs.
• Higher Education:  Education pathways that facilitate economic growth (including certificate programs, licensing and apprenticeship programs, and Associate and Bachelor’s degrees) have a high value for the South Sound region. These programs, and pathways needed to complete these programs, should be a funding priority for the supplemental budget.

 

Housing Attainability – The SSCCLC supports policy proposals and commits to work in partnership with Legislators and stakeholders to ensure housing is attainable for ALL economic segments of the population in the South Sound region.  This is important to attracting and retaining businesses and the workforce for those businesses. Supported proposals include:

 

• Amendments to housing and land use regulations: The state Growth Management Act should be amended to help eliminate the current housing supply deficit, and to accommodate the future market demand for housing. Additionally, the Legislature should create financial and legal incentives to achieve housing goals. Finally, the Legislature should repeal the HOA-CC&R exemption from new housing supply mandates. That exemption from accommodating housing unfairly favors more affluent cities and neighborhoods, potentially restraining access to affluent communities by historically marginalized households.
• Transit Oriented Development (TOD): Comprehensive plans under the Growth Management Act should be amended to accommodate 50-years of population growth instead of the current 20-year growth planning period. The Legislature should provide cities with some stability in TOD mandates so that actual construction of TOD housing can move forward in the next 24 months.
• Multi-Family Tax Exemption (MFTE): The Legislature should provide flexibility and incentives for cities to participate in the MFTE and extend the MFTE to 20-years rather than the current 8-12 years.
• The Legislature should continue to pursue policy changes, such as lot-splitting, to establish smaller lot and/or smaller unit size products to increase affordable ownership opportunities in a manner that is consistent with the existing community. 

 

Energy and Climate Change -- As utilities continue to face a transformational change in their industry, responding to evolving customer expectations and rapidly changing technological advancements, policy makers need to ensure utilities can be nimbler in a rapidly changing marketplace. Utilities must be responsive to market changes, as well as customer desire for real-time adoption of emerging technologies that allow for greater control over energy choices, cleaner and greener power – all while maintaining an affordable low cost.  Policies encouraging the use of performance and incentive-based regulation, along with appropriate glide paths and compliance tools - to aid in the reduction of greenhouse gas emissions on the electric grid - must be advanced to allow for the transformational changes in the utility sector.

 

• Transmission siting & permitting – as the state works to bring more renewable energy online, several new transmission lines are needed.  Legislation to help expedite the siting permitting of these lines are a priority.
• Keep housing and utility costs affordable by avoiding policies that reduce fuel choice. Instead focus on consumer education, appliance efficiency and new technologies.

 

Public Safety -- Public safety is an important part of community vitality and economic growth.  Our businesses, employees and customers must feel safe.  In addition, retail theft issues – which have been increasing – do not just result in increased prices, labor shortages and store closings.  They also make our citizens less safe, decrease access to necessary products and increase food and other product prices which hurts all South Sound citizens, particularly those with fixed or low incomes.

We urge the Legislature to immediately work on solutions that do the following:

 

• The Legislature’s 2023 action to address vehicle pursuits was an important first step, but it’s now clear the 2023 legislative “fix” did not go far enough in restoring the ability of police to address legitimate and serious public safety concerns. The Legislature must revisit and finish those needed improvements to provide accountability and ensure the safety of families and businesses.
• Improve and increase public safety funding.
• Help retailers by passing policies that give them tools to make their stores, employees, and customers safer.
• Enact legislation that will stop organized retail crime rings and remove access to sell stolen products through online sources.

 

Health Care – An operational hospital care system is a key to any community and the South Sound is no exception.  The SSCCLC supports policies and funding that will help hospitals increase their workforces and improve their ability to effectively treat the citizens of our region.