OLYMPIA — A high-level advisory panel to ensure the state remains a competitive force in the aerospace industry sailed through a House committee Monday.
But it received a lukewarm embrace from the Boeing Co., the firm likely to benefit most from its work.
Legislation creating the Washington Council on Aerospace passed the House Community and Economic Development and Trade Committee. The panel would have 13 members and operate out of the governor’s office.
The council “will help us stay ahead of the curve as we compete with other states,” Gov. Chris Gregoire told lawmakers in a hearing on the bill. “Washington still has the edge on aerospace. We need to make sure that edge stays razor sharp.”
The panel would coordinate worker training programs at community and technical colleges and aerospace-related research at four-year universities. It also would recruit aerospace companies and provide policy advice to the governor and the Legislature.
Gregoire proposed the council following release last week of a study by Deloitte Consulting that concluded Washington is losing ground to states like Kansas, Texas and the Carolinas in the competition for new aerospace business.
She said she wants the panel to devise a longer-term state strategy on aerospace, which is a $36 billion industry for Washington. She views the council as a vehicle to ensure that if Boeing expands production of its 787 and 737, it does so in Washington.
Boeing is Snohomish County’s largest employer, making up nearly 22 percent of the county’s wages.
A string of supporters of the legislation echoed her sentiment.
“We know we are in competition,” said Bob Drewel, executive director of the Puget Sound Regional Council. “If we are not working this issue every day, we will not continue to foster an aerospace industry.”
A Boeing representative said in looking at only the long term, the legislation “fails to address the more pressing and significant findings” in the study. Those show costs associated with unemployment insurance, worker’s compensation, wages and labor strife are greater here than in other states and leave Washington with more disadvantages than advantages, said Boeing lobbyist Trent House.
“As Deloitte points out, Washington has a lot going for it,” House said. “Unfortunately, the legislation before you this morning does not attempt to address these fundamental findings relating to the state’s competitiveness.”
Representatives of the Association of Washington Business and the Washington Roundtable said dealing with unemployment insurance and worker’s compensation this session will aid all companies. It also will complement the governor’s goals for cementing the state’s competitive position within the aerospace industry.
The legislation is expected to be considered next by the House Ways and Means Committee.
Meanwhile, there is a separate effort under way to create a central aerospace training center in Snohomish County.
Today, a proposal for the Washington Institute for Aerospace Technology and Advanced Manufacturing will be considered by the House Ways and Means Committee. Rep. Mike Sells, D-Everett, authored the legislation based on ideas floated by the Aerospace Futures Alliance.
Jerry Cornfield: 360-352-8623, jcornfield@heraldnet.com.
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