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Published: Friday, March 6, 2009

Case to be made for 2nd 787 line here

OLYMPIA -- Gov. Chris Gregoire says she thinks Washington is the best place for the Boeing Co. to open a second production line for the Dreamliner.

Now she wants to prove it, and the Snohomish County Economic Development Council will be asked to help.

Gregoire said Thursday she wants an analysis of how Washington stacks up against other states in terms of competitiveness. This would include a comparison of such things as the costs of unemployment insurance, workers compensation, labor, materials, taxes and exemptions.

She said the information could help convince Boeing to pursue additional production of its 787 aircraft here, if it decides to go that route. It also will help bolster the state's case to federal officials to award Boeing the contract to build aerial refueling tankers in Washington.

"We want to know where we sit relative to other states and if necessary what we can do about it," said Bill McSherry, Gregoire's special adviser on aerospace, on Thursday.

Talks are under way to contract with the development council to do the work, he said. It will take about a month and should be done before Chicago-based Boeing Co.'s board of directors meets in mid-April.

Boeing is considering opening a second production line to deal with a backlog of orders for the 787 aircraft. No decision has been made.

"There is no timeline that I know of," said Boeing spokesman Bernard Choi.

Regarding the analysis, he said the resulting information "is not just for Boeing. It is for all businesses. Anything the state can do to create a more business-friendly environment is a good thing."

Also Thursday, Senate Majority Leader Lisa Brown, D-Spokane, introduced legislation entitled the "aerospace competitiveness act."

For now, the bill has no content but would be the means of making changes that help keep Boeing producing planes here.

"We are working to put the best case forward," she said.

Brown said she has heard rumors of Boeing's plans but nothing specific from the firm itself.

"If the decision (on a second line) has been made, we don't know what it is," she said. "The idea is to be sure we are ready."

Reporter Jerry Cornfield: 360-352-8623, jcornfield@heraldnet.com.

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