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South Sound Wednesday, March 27, 2002

Locke signs bundle of pro-business bills

Legislation boosts Boeing benefits, adds permit center

PATRICK CONDON THE OLYMPIAN

OLYMPIA -- For the past year, Gov. Gary Locke has faced Republican charges that he and other Democratic leaders have done little to improve the state's business climate.

On Tuesday, Locke signed a package of bills he said would do just that.

The changes in law were all recommended by the Washington Competitiveness Council, which Locke formed last year in the wake of The Boeing Co.'s decision to move its headquarters from Seattle to Chicago.

"This was a mission to ensure that our state -- the incubator of so much high-tech growth and entrepreneurship over the last two decades -- remain competitive and business-friendly," Locke said at the bill-signing ceremony, which took place at Boeing Field in Seattle.

Critics charge that the bills Locke signed won't change the difficulties faced by Washington businesses.

"I'm glad he signed these bills, but I think they were very easy to sign," said Carolyn Logue, director of the state chapter of the National Federation of Independent Business. "There's nothing that makes it easier for small business to hire people -- which is how you really help the economy."

Among other changes, the six bills Locke signed will:

- Create a permit assistance center in the governor's office to help businesses wade through the licensing requirements.

- Incorporate economic development planning into the state's Growth Management Act.

- Clarify the kinds of investment income that are deductible from the state's business and occupation tax.

- Extend unemployment benefits for laid-off Boeing workers.

"Our faith was shaken when Boeing decided to relocate their corporate headquarters," Locke said. "I resolved to make certain that our business climate be second to none."

Logue said small businesses would better benefit from a freeze in the state's minimum wage and a permanent scrapping of the planned workplace safety rules.

Locke recently postponed the implementation of the rules for two years.

"Boeing is not the only business in this state," Logue said. "How do we make the state better for emerging businesses -- the new Boeings?"

Logue said her members are worried that the Legislature will be forced to increase business taxes next year, when they return to face what is likely to be another budget shortfall that exceeds $1 billion.

While Democrats managed to patch this year's budget shortfall without raising taxes, Logue said business owners have little confidence that the same feat will be accomplished next year.

On the Web:

- Gov. Gary Locke

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