Senate bill would aidsmall counties

Senate bill would aid small counties

A bill designed to give an economic boost to 12 of Washington’s smaller counties passed out of the Senate Committee on Agriculture and Rural Economic Development on Tuesday.

According to a release from sponsor Sen. Brian Hatfield, D-Raymond, Senate Bill 6476 aims to change the disparity between large and small counties which can’t count on increases to their sales tax revenues like their larger counterparts.

Hatfield, who also serves as Vice-Chair of the committee, said that SB 6476 is designed to help smaller counties generate enough investment capital to plan long term funding for large economic development projects. Currently rural counties may receive .09 percent of the state’s sales tax for financing public facilities for street improvements, bridges, and utility systems.

“For places like Wahkiakum County in my district, as well as a number of counties in Eastern Washington, this will be a shot in the arm for rural economic development,” Hatfield said.

For larger counties, this money is adequate for bonding, but in smaller counties the amount received from the state may not be, the release said. Hatfield’s proposal establishes population centered formulas for increasing the percentage for 12 of Washington’s 39 counties and would also extend the economic development revenue stream from 25 to 35 years.

Ferry County Commissioner Mike Blankenship testified at the hearing, saying that in his county the .09 percent brings in roughly $40,000 annually, which strictly limits the size of the projects in which his county can invest. Hatfield’s bill would aim to provide the smallest counties between $200,000 and $250,000 annually.

Committee Chair Sen. Marilyn Rasmussen, D-Eatonville, called for a vote on the bill just following Tuesday’s hearing. The committee voted to recommend passage of SB 6476 and referred it to the Senate Committee on Ways and Means.