In his annual “state of the county” assessment, Snohomish County Executive Aaron Reardon is telling various groups, from the Snohomish County Economic Development Council to the Everett Rotary Club and the Everett Area Chamber of Commerce, that support for the Boeing Co. is a top prioirty to maintain and grow the county’s economy through and beyond these tough economic times.
He envisions regional as well as county support, urging business and government leaders to come together in a new regional effort to “shore up investor confidence and increase competitiveness in order to protect existing jobs and attract new businesses.”
His special focus is helping Boeing to choose Snohomish County for its anticipated “second production line” for the 787 Dreamliner. That’s a move Boeing will presumably make as flight testing of the new plane this Spring gives way to ramping up to full production to chip away at a deep backlog of orders that has frustrated airlines waiting for the highly fuel efficient new aircraft.
The fear is that, considering the not-always-friendly business environment in Washington state, Boeing may conceivably find a more hospitable place to increase production of its 787, perhaps in southeastern states where right-to-work laws and lower costs for labor and materials may favor building a new production plant outside of Washington state.
“Securing the second line of the 787 is critical for our region,” Reardon told his audiences. “We must do all that is necessary as a region and state to make certain that the second line … is built here in the Puget Sound.”
Existing businesses in the area want to expand and new businesses want to locate in a region that willingly supports long-time employers, Reardon said. Losing the second line of the 787 “due to a lack of regional competitiveness (would) undermine this effort,” he noted.
He also highlighted several efforts in the county that would help Boeing and other companies, including using federal stimulus dollars to complete a backlog of needed transportation projects such as the Alaskan Way Viaduct in Seattle and Highway 2 safety upgrades in east Snohomish County.
Reardon also wants to expedite research and development for new energy technologies, with the goal of creating thousands of new jobs in those industries.
Locally, he said, the county will continue to work to attract such companies as Korry Electronics, which is constructing a giant new production plant for avionics products at Paine Field, with 600 employees.
Reardon said a new county assessment will soon be completed of land available for new business centers and industrial parks and that county government will continue its efforts “to reduce red-tape that businesses find prohibitive and costly” in setting up or expanding their businesses.
He’s also working toward establishing “an economic summit and promoting legislation to stimulate our local economy,” he said.
Surprisingly, one major step he could take to stimulate the local economy and help ensure the Boeing Co. would remain a prominent part of the landscape was never mentioned.
The debate over embracing passenger airline service at Paine Field, the Snohomish County Airport under his domain, is about to be settled, it appears, without his support.
Yet the county executive is aware that to continue to stonewall efforts for Horizon Air and Allegiant Airways to begin service at the airport this Spring, as they have requested, would mean losing Federal Aviation Administration funding for maintaining the airport. That would include a $70 million stimulus-funds package the FAA is tentatively prepared to provide for the airport over the next few years. That work translates into a lot of local jobs and contracting.
It’s common knowledge that a key part of the state’s agreements signed with the Boeing Co. years ago to entice the 787 program here includes assurances of continued FAA funding, which entails county support for all FAA regulations.
Among other things, those regulations require the county to negotiate fairly with any airlines that apply to provide airline service at Paine Field. Yet the county executive continues his firm stance against accepting, let alone welcoming, the airlines to the county, despite the fact that his own “blue ribbon” committee, appointed in his first term to identify key means of improving the economy, highly recommended airline service at Paine Field.
In economic development circles it’s clearly understood that having airline service is a major key to attracting new businesses to the area, as well as retaining existing businesses.
Also, the Boeing Co. recently squashed reports by Mukilteo’s anti-airline Save Our Communities group that airline service would disrupt Boeing operations. A Boeing spokesman made it clear in recent weeks that airline service would not at all disrupt Boeing operations.
But Boeing also used its announcement opportunity to state as emphatically as it could that what would disrupt Boeing operations, and threraten its future presence in the county, would be to lose federal funding for Paine Field development, such as runway improvements and related aviation operations projects.
That letter should have made the situation crystal clear, economically.
Meanwhile, it appears the Snohomijsh County Council is moving ahead with plans early in February to approve the building of a $1.4 million airline terminal for the use of the two applicants, without the public support of the county executive.
Owning the terminal means operating revenues will go to the county. Also, by limiting the terminal size to serve only the two airlines that have applied, the council is able to curb future airline growth, a concern to opponents.
Four of the county council members, with the exception of Councilman John Koster, are among those opponents. They have strongly opposed accepting airline service at the airport for some time now.
Yet, after examining the situation, realizing the economic benefits for the county’s busineseses (as well as its citizens) and acknowleging that the FAA’s regulations will trump any resistance they might create, the council at least accepts the reality of what they’re facing and that the benefits are sure to be preferable to the penalties of continued opposition.
Three cheers are in order for the members of the Snohomish County Council for their belated but very real support of the local economy, local jobs and the multibillion-dollar presence of the Boeing Co.
John Wolcott is editor of the Snohomish County Business Journal. For more information, visit www.scbj.com.
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