Rep. Habib named to board of Innovate Washington

Rep. Cyrus Habib

Rep. Cyrus Habib will draw upon his background in working with high-tech entrepreneurs in his new position on the board of directors of Innovate Washington, a public-private partnership that seeks to spur cutting-edge economic development in the state.

Habib, who was appointed to the board Feb. 28 by House Speaker Frank Chopp, said:

This is a great opportunity for me to continue my work making Washington the No. 1 state for job creation and business innovation. My work in the Legislature will be substantially enhanced through the connection with business leaders and others at Innovate Washington.

Innovate Washington was created by the Legislature in 2011 to catalyze job creation and 21^st-century economic development by bringing together business and government leaders to focus expertise and investment on emerging technology businesses. It applies public and private financing to foster growth in the sectors of aerospace, advanced materials and manufacturing, clean energy, information technology, agriculture and life sciences.

Habib, a first-term legislator from Kirkland, is a lawyer at Perkins Coie in Seattle who specializes in providing legal services to high-tech startups. He is the sponsor of House Bill 1693, which seeks to attract entrepeneurs to Washington state by offering a business-tax break to new companies in targeted sectors of the economy.

Read this story in Spanish.

Accolades for Washington state's business climate just keep on coming!

During the past few years, everyone from Forbes and U.S. News to the Small Business & Entrepreneurship Council and the U.S. Chamber of Commerce – not a left-leaner in the bunch, mind you – has lauded the Evergreen State as one of the nation's top spots for small businesses, big corporations, importers, exporters . . . pretty much the whole enterprise gamut.

The specific criteria vary from source to source, but common elements repeatedly show up. Among them:

• economic and infrastructure incentives;
• business-friendly regulatory climate;
• healthy talent pool;
• manageable cost of living;
• access to recreation;
• pristine environment; and the state's relatively low taxes.

That last item rankles folks who make political points, and sometimes careers, out of crying about Washington's "punitive" taxes, but what can you do? Facts are facts. That's why just last month, the non-partisan Tax Foundation ranked Washington sixth out of the 50 states in its annual State Business Tax Climate Index. To clear up any misconceptions, that's sixth from the top, as in, sixth-best.

Now comes a new piece of recognition, of a type and specificity that most people probably never imagined. But the fact that our largest city, Seattle, comes in fourth in a global ranking of high-growth technology startup ecosystems is quite a new-economy coup. Silicon Valley, not surprisingly, tops the list. Next in line are Tel Aviv and Los Angeles, then Seattle. And who did the Emerald City beat out? Well, pretty much everyone else. Here's a link to the entire list, but notable "ecosystems" placing down the chart include New York and Boston here in the U.S., and a long list of international tech hotbeds – London, Toronto, Paris, Sydney, Sao Paulo, Moscow, Berlin and Singapore, to name a few.

To produce the comprehensive report, Startup Compass (SC) essentially put the entire world under its microscope to judge "ecosystems" on eight counts – which we'll list here verbatim, along with SC's description. They're pretty interesting. <

• Startup Output Index: The startup output index represents the total activity of entrepreneurship in the region, controlling for population size and the maturity of startups in the region.
• Funding Index: The funding index measures how active and how comprehensive the risk capital is in a startup ecosystem.
• Company Performance Index: The Company Performance Index measures the total performance and performance potential of startups in a given startup ecosystem, taking into account variables such as revenue, job growth, and potential growth of companies in the startup ecosystem.
• Mindset Index: The mindset index measures how well the population of founders in a given ecosystem thinks like a great entrepreneur, where a great entrepreneur is visionary, resilient, has a high appetite for risk, a strong work ethic and an ability to overcome the typical challenges startups face.
• Trendsetter Index: The trendsetter index measures how quickly a startup ecosystem adopts new technologies, management processes, and business models. Where startup ecosystems that stay on the cutting edge are expected to perform better over time. There's a good chance the trendsetter index is a leading indicator of the future success of a Startup Ecosystem. The trendsetter score for example corroborates with the prevailing excitement expressed about the Berlin and Sydney Startup Ecosystems, while also aligning with the anecdotal evidence we have received about the conservative culture and slow pace of adaptation in the Chicago and Tel Aviv startup ecosystems.
• Support Index: The support index measures the quality of the startup ecosystem's support network, including the prevalence of mentorship, service providers and types of funding sources.
• Talent Index: The talent index basically measures how talented the founders in a given startup ecosystem are, taking into account age, education, startup experience, industry domain expertise, ability to mitigate risk and previous startup success rate.
• Differentiation Index: The differentiation index measures how different a startup ecosystem is to Silicon Valley, taking into account the demographics and what types of companies are started there. Since Silicon Valley is the #1 ecosystem it is assumed that other ecosystems will perform better if they differentiate themselves from Silicon Valley and establish their own strengths.

Conventional wisdom says small businesses are, depending on which anatomical metaphor you prefer, either the backbone or the heart of our state's, any state's, economy. And technology startups are, at least at the beginning, small businesses. Some never go beyond that point, and many cease to exist before the ink on their new stationery is dry. But Microsoft was a startup. Amazon, too. Farther afield, there's Twitter, and Google, and Zynga, and Instagram (which was recently snapped up for $1 billion by another former startup called Facebook). These enterprises and others like them, including the ones that are just a notion in a future billionaire's brain right now, are STEM in action. They're not the only part of the new economy – we still need dry cleaners and machine shops and that great little restaurant that's going in down the street – but they're a significant part of how Washington can thrive in the 21^st century.

So eat your heart out, Chicago and Melbourne and Bangalore, and good luck next year.

To read this story in Spanish, please click here.

Washington called 'enterprising': Folks in the know say we're gonna go 'Boom!'

Photo: Jeff McNeill via Wikimedia Commons 

A recent Seattle Post-Intelligencer article, Washington captures Top 10 ranking, trumpets news that our very own Evergreen State is one of "10 states that will [wait for it!] boom over the next five years."


That's right, folks: No sooner is the ink dry on an admiring certificate celebrating Washington's status as a Job Creator (see this recent HDC Advance blog: Who says Washington is a top state for producing jobs?), then along comes the National Chamber Foundation, a U.S. Chamber of Commerce think tank, with its Enterprising States Report hailing us at No. 6 on a most-laudable list -- indeed, it's a truly estimable cast and compilation of what these erudite think-tankers call "enterprising states." Yes!


No less a periodical than the redoubtable Forbes magazine says Washington's glowing marks owe to our robust aerospace and technology industries and our hearty standing in foreign trade. The widely quoted publication has previously ranked Washington among the five best states in the entire country to do business.


Go ahead, take a minute or two to check the Chamber Foundation's report linked up there a few lines back. You'll see for yourself these sterling qualities that captured the fancy of these observers long enough for them to single us out: productivity, livability, tax structure, trade, infrastructure, and an environment that encourages innovation. Only the most rebarbative of critics would dare question Washington's place among the top rank, the highest order of business-friendly states.

To read this story in Spanish, please click here.

Rules are falling but the sky isn’t

Can state leaders protect the public interest while slashing regulatory costs for Washington’s businesses? You bet they can! In 2011, for example, lawmakers enacted huge Unemployment Insurance reforms (SB 5135) that helped unemployed workers while saving businesses nearly $300 million.

Lawmakers also added real teeth to the Regulatory Fairness Act (SB 5500) and insisted that state agencies give businesses more time to fix problems before issuing fines (HB 1150). This year’s ongoing reform-work included strengthening the state Office of Regulatory Assistance (SB 6359) and revamping industrial storm-water permitting rules  (HB 2651).

But the big regulatory-relief news this week is the terrific success of a pair of Gov. Chris Gregoire’s Executive Orders (10-06 and 11-03) that directed state agencies to help businesses (and save state tax dollars!) by suspending non-critical rule-making. A new report shows the governor wasn’t kidding when she ordered agencies to curb all non-essential rulemaking:

• 75 rules were eliminated

• 483 rules were put on hold

• 186 adopted rules were required by law

• 118 adopted rules were requested by the regulated communities

• 69 adopted rules were related to managing budget reductions and related government reforms

• 28 rules were adopted to address public health or safety concerns

• 5 rules were necessary due to court order

• 30 rules were adopted after negotiated or pilot rulemaking

In short, as Gary Smith, president of Independent Business Association, was quoted as saying in a recent press release from our governor, “They have proven to be successful.”  Of course, there’s always more that can be done, and House Democrats are already working on reform ideas for next year. Have any ideas? If you do, please share them with one of our HDC lawmakers You might be the inspiration for the next great state reform!

To read this story in Spanish, click here.

STEM education is key to growing Washington’s economy

Two new jobs reports show that Washington’s economic recovery is accelerating and that lawmakers are smart to invest in science, technology, engineering, and math (STEM) education.

One new report, from the U.S. Bureau of Labor Statistics, shows Seattle had the eighth best job growth among the top 100 metro areas in the nation over the past 12 months – posting a healthy gain of 39,100 jobs.

More good news comes from the Forbes/Praxis Strategy Group study and the Puget Sound Business Journal (PSBJ). They’re reporting that Seattle not only led the nation in high-tech and STEM job growth over the past decade, the Emerald City is still reaping the benefits of strong growth in high-tech and STEM jobs.

The Forbes study reported in the PSBJ shows that Seattle beat out rivals such as Silicon Valley to become the best city in the nation for high-tech jobs over the past decade, with a whopping 43 percent increase in high-tech employment and an 18 percent increase in STEM jobs. The study also showed Seattle’s leadership in high-tech jobs has held firm during the past couple of years. In fact, the study says, “the Seattle metro area has posted 12% tech job growth over the past two years and 7.6% STEM growth, handily beating the performance of Silicon Valley.”

And the good news in high-tech employment continues. The PSBJ points out “Forbes' findings seem to be backed up by recent announcements that Amazon is hiring 1,000 new tech workers in Seattle and that other big tech companies, such as Facebook and Google, are expanding offices in the area.”

These numbers show we’re on the right path, but we can’t let up on the gas pedal just yet. Lawmakers like Rep. Marcie Maxwell (D-Renton) continue to push for additional investments in STEM education. In the December special session, Rep. Maxwell sponsored bills that created competitive STEM grant programs and added STEM knowledge to the Professional Educators Standards Board certification process. Both bills received bi-partisan support before being signed into law.

To read this story in Spanish, please click here.

Rep. Upthegrove honored by Kent Chamber for helping businesses

Rep. Dave Upthegrove

The plight of one Kent restaurant led to new legislation that saves jobs in this South King County city, and helps other businesses all over Washington.  The measure's prime sponsor, Rep. Dave Upthegrove, was one of two recipients of the Kent Chamber of Commerce's "Government Employee of the Year" award this year.

Rep. Upthegrove was motivated to sponsor House Bill 2491 after he was contacted by the owner of a popular locally-owned eatery in his district.  The restaurant happened to be located at a site where a different restaurant - under completely different ownership - had gone out of business. But due to a technicality in state law, the new restaurant was being assessed a 500 percent increase in its unemployment insurance rate - even though it had nothing to do with the previous restaurant's failure!  That's because unemployment insurance rates are based, at least in part, on the number of employees a business has laid off. Since the previous business laid off all its employees when it closed its doors, the new restaurant was being penalized with a much higher rate.

Doesn't make much sense, does it?  Rep. Upthegrove didn't think so either, so he introduced a legislative fix, which the governor will sign into law tomorrow. Thanks to this fix, the Kent restaurant will get some relief on its unemployment insurance rate and won't have to let any workers go. And no other business in our state will have that problem ever again.

In addition to House Bill 2491, Rep. Upthegrove sponsored or worked on several other measures this year to help local businesses and strengthen South King County's economy, which you can read about here.  We congratulate him on his well-deserved award.

To read this story in Spanish, click here.

Get paid for helping injured workers keep their jobs

Good things come to those who keep injured workers on the job under the new Stay at Work program launched this week.

If you’re an employer and you keep injured workers doing safe, light-duties until they fully recover and can go back to their regular activities, you may be entitled to a partial reimbursement from the state Department of Labor & Industries.

The Stay at Work program was part of the Workers’ Compensation System legislation sponsored by Rep. Tami Green and passed by the Legislature last year.

“This is a win-win for both workers and employers,” said Green. “Workers recover more quickly and are less affected by lost wages. Employers save on worker’s comp premiums and the expense of hiring someone to backfill the injured worker.”

In addition to the Stay at Work program, these other reforms in the Workers’ Comp package aimed at reducing costs for employers and improving workers’ health will be launched by L&I this year: a Workers’ Compensation Provider Network, expansion of the successful Centers for Occupational Health and Education (COHE), and Structured Settlement Agreements.

Read the L&I press release here.

To read this story in Spanish, click here.

Disparity: Mainstream Washington women mainly treading water in wages

Call it the Evergreen Ceiling. Maybe that’s an appropriate and awfully unfortunate new Washington sobriquet -- what with our ranking 41st nationally in the wage disparity between women and men.

So reports the U.S. Bureau of Labor Statistics, according to this recent "Disparity in wages puts Washington at No. 41" article in the Spokesman-Review newspaper.  Here’s the specific, state-by-state table on the bureau’s website.

That's right. By a good many measures, the Evergreen State justly prides itself on the accomplishments of citizens who make up more than half of its population:

• Women U.S. senators? Check.

• Woman governor? Check.

• Woman Chief Justice of state Supreme Court? Check.

• Woman majority leader in state Senate? Check.

• Women significant percentages in both state legislative chambers? Check.

But when it comes to wages for average working women, that's another story. Consider that in 2010 women totaled 938,000 and men 1,255,000 of the state's workforce of 2,193,000.

Washington women working full time earned $748 a week in 2010, which is 76.5 percent of the $978 that the men here took home every week. On average, U.S. women earned $669 a week, which is 81.2 percent of the median weekly wage of $824 for men.

To read this story in Spanish, click here.

Blue-ribbon board named for Probst’s Opportunity Scholarships program

The Opportunity Scholarships undertaking spearheaded by Rep. Tim Probst of Vancouver got a blue-ribbon boost Dec. 20 when Gov. Gregoire named the program’s board of directors.

The five men and two women bring to the board a distinguished record of achievement at some of the state’s leading corporations, including Boeing, Microsoft, Weyerhaeuser, Costco and Puget Sound Energy.

The program, designed to make college more affordable for middle-class families and approved by the Legislature earlier this year, received a major financial infusion in June when Boeing and Microsoft pledged $50 million for the scholarships.

Additional details can be found on our website here.

To read this story in Spanish, click here.

Washington jobs increase again . . . and again . . . and again

It might come as a blow to some folks we know who make a living talking about “Washington’s unfriendly business climate,” but the latest data show the Evergreen State added 12,000 new private-sector jobs in November.  

And lest you think this is a fluke, November was the 14th month out of the last 15 during which job growth in the state showed a net gain. 

We’re not out of the woods yet, of course; while the overall unemployment rate dropped again last month, it still tops 8 percent.  And for an unemployed breadwinner, knowing that someone else got a job may be nice, a cause for hope . . . but that doesn’t put bread on the table.  

That’s why House Democrats are continuing efforts to help Washington’s economy return to the upward path it was on before the Great Recession threw the world into turmoil.  It’s clear these efforts are paying off, and new legislation planned for the 2012 session will continue the positive trend.

To read this story in Spanish, click here.

Boeing/Machinists deal is a big deal for Washington’s credit rating

The good news just keeps pouring in! Over the past few weeks we’ve learned that:

• Small businesses are getting help to export their goods and services.
• Businesses will have reduced costs in 2012 thanks to state reforms.
• Boeing’s 737 MAX will be built in Renton.
• Consumer Reports gave kudos to five Washington businesses.
• Our Ag industry is doing better than expected.

All of these are evidence that our economy—while still struggling, is recovering slowly but surely.

After hearing back in August that Standard & Poor’s had downgraded our nation’s credit rating, we are proud to hear that our state’s credit rating is in good shape, according to Nicole Johnson, Moody's Investor Service Senior Vice President.

Photo:  Machinists News Blog

In her report dated December 12, Johnson stated that the deal between Boeing Company and the International Association of Machinists (IAM) union, which secures thousands of jobs and provides union members a bonus that could boost sales tax collections, is credit positive for Washington state.

Moody’s rating for Washington is Aa1, which is defined here as “Obligations rated Aa are judged to be of high quality and are subject to very low credit risk. The modifier 1 indicates that the obligation ranks in the higher end of its generic rating category.”

The newly ratified contract will enhance economic stability throughout the entire state. Johnson’s report highlights that the manufacturing sector in Washington accounts for 9.3% of all private sector jobs, and that, of those, the ones that include Boeing machinists are a substantially bigger part of the state’s economy: the durable goods manufacturing component that includes aerospace is 71.4% of all Washington manufacturing jobs compared to 61.3% nationwide.

Also worth noting is that Washington has regained the 5,000 Boeing aerospace jobs that were lost during the recession and the sector is expected to grow as the company increases production (to fill these orders and  these, and these) over the next several years.

The Bureau of Labor Statistics reports that Aerospace jobs are well-paying, with an average hourly wage of $37.57 compared to $23.32 for all manufacturing workers. In Washington, Johnson states in her comment, spending from those high wages have a multiplier effect that contributes to the overall strength of our state’s economy.

To read this story in Spanish, click here.

Boating association honors Upthegrove for championing copper paint phaseout

Applying copper-based biocides to the underside of boats and other marine vessels helps keep the growth of algae and barnacles in check. But these “anti-fouling” paints  leach copper into our waterways that is toxic to aquatic life, and are extremely costly for boatyards to clean up.

That’s why lawmakers passed a bill last session to begin transitioning away from copper-based anti-fouling paints to other effective but less toxic alternatives.  The bill was a great example of the business and environmental communities coming together in order to protect Washington’s “Evergreen Legacy” – in this case, our precious waterways and marine life - as well as our small businesses.

Yesterday, the Northwest Marine Trade Association – which represents 640 small businesses across Washington – gave its “Legislator of the Year” award to Rep. Dave Upthegrove for his leadership on the bill.  Rep. Upthegrove was the bill's House sponsor, and as chairman of the Environment committee helped ensure its smooth passage.  In his acceptance speech to the NMTA, Rep. Upthegrove noted that Puget Sound has played a large role in his life going all the way back to his childhood, when he and his brother would play at Seahurst Beach in Burien.  His district is also home to boatyards that benefit from cleaner, safer marine vessel paints.
  
You can read the press release about his award here.

To read this story in Spanish, click here.

Want help selling your stuff in the rest of the world? You got it!

Our state is still facing financial challenges, but two recent announcements show Washington has a brighter future to look forward to.

Last week we heard that Boeing’s 737 MAX will be built in Renton and today we have great news for businesses that want to sell their products abroad.

Back in June of 2010, Governor Gregoire announced the Washington Export Initiative to increase the number of companies exporting their goods and services, and up the total export sales out of Washington. The state initiative complements the National Export Initiative, President Obama’s plan to double the nation’s exports by 2015. After 16 months of hard work by the Department of Commerce, the $1.6 million Export Washington program for small businesses was launched yesterday.

While small businesses make up about 95 percent of all Washington businesses, only 4 percent are currently exporting. This new program will grow that figure by helping open up international markets for about 100 Washington companies and generate $58 million in new export sales.

For more information on this program and how it can help your business, read the Department of Commerce press release.

To read this blog post in Spanish, click here.

State reforms lead to reduced business costs in 2012

Rep. Mike Sells

Thanks in part to legislation passed by the House and Senate last year, most businesses in Washington will see not only their workers' comp premium stay steady, but also a significant drop in unemployment insurance costs.

This would be the first time since 2007 that L&I rates have not increased, saving businesses $150 million next year. It is important to remember, however, that some businesses still might see premium increases based on their recent claims history and risk class. For example, restaurants and retail stores will see a 3% drop, but construction and forest products could see a slight increase due to the injury claims.

As far as unemployment insurance costs, most employers in the state will receive a lower tax rate in 2012, and all rate classes will drop. In fact, tax rates for employers that had no layoffs in the past four years will plummet by 71 percent, to an all-time low for that rate class (side fact: 91% of employers in rate-class 1 are small businesses with fewer than 5 employees).

In total, the tax-rate reductions will equal about $207 million, in addition to the $300 million in savings sponsored by Mike Sells, Chair of the House Labor & Workforce Development Committee, and passed by the Legislature last year. "Without the actions we took last year to bring relief to business owners still struggling through an economic slump, these rate reductions wouldn't have been possible," said Sells. "This news, combined with yesterday's 737 MAX announcement, show that the recent steps we've taken, and reforms we've implemented to respond to our businesses' needs, are paying off." 

Kris Tefft, AWB general counsel and government affairs director on employment law and workers’ compensation, agrees: “Today’s announcement reflects the value of the reform measures passed in 2011, without which employers would surely have seen rate increases next year. We’ve appreciated the opportunity to make our case that this is not the time for any sort of rate increase on business,” said Tefft.


Here's a handy fact sheet and FAQs from ESD's website on the adjusted rates.

To read this blog post in Spanish, go here.

House Democrats applaud news of Renton landing the 737 MAX, contract deal

No one knows airplanes better, and no region of the world builds them better, than Washington State. That’s the message House Democrats in Olympia conveyed as news broke of a tentative deal between Boeing and its machinists’ union, leading to the announcement that Renton will be the home of the new 737 MAX.

Democratic caucus leader on the Pegasus Project, Larry Springer points to the decade of work between the HDC and the aerospace community to land the 737 Dreamliner and the tanker as the reason why the MAX will be built here. “We’ve championed new investments, funding, and reforms in recent years, fostering growth and jobs in the industry.” They include:

• Workforce development scholarships and grants worth millions to train aerospace workers 
• New educational state facilities providing new resources to manufacturers and workers 
• Aerospace training programs through state community and technical colleges 
• Streamlined permitting processes for Boeing and its aerospace manufacturing partners 
• Reforms at L&I and ESD, which reduced premium rates for workers’ comp and unemployment insurance 

Co-leader on the Pegasus Project, Marcie Maxwell, recounted some personal memories. “I’ve watched the maiden voyage of every 737 for many years from my Renton home. Many of my neighbors are proud of their work designing and building generations of Boeing planes. This is great news for Boeing, for Renton, and for the hundreds of suppliers across 29 counties in our state.

“The bottom line is, we’re building more airplanes faster and better than ever before,” said House Democratic Caucus Chair Eric Pettigrew. “And winning the new 737 MAX in Renton is a sign that we’ll be doing so for a long, long time.”

Read the full press release here.


Check out this link highlighting some recent posts that contributed to today's good news.

To read this blog post in Spanish, click here.

Governor rolls out action agenda for aerospace industry

With a strong emphasis on enhancing our state's education system and workforce development, Governor Gregoire announced her strategy proposals today to ensure Washington remains the preeminent hub of aerospace design and manufacturing and keeps growing good-paying jobs.

The strategy developed by a partnership of business, labor and government leaders, was rolled out at Renton Technical College this morning.

“There is no question that Washington state is the best place in the world to build the Boeing 737-MAX jetliner,” Gregoire said. “And I believe that when all is said and done – Boeing will make the best decision and build this game-changing aircraft in this state. But I never take anything for granted – especially in a global market where business can go anywhere at a speed unknown even a decade ago.”

Gregoire’s proposal includes:

• Investing $450,000 to expand the governor’s Launch Year program and provide 12 high schools with aerospace curriculum support to prepare high school students to enter the workforce. The investment would also provide two Skills Centers with aerospace manufacturing support to help train additional high school students;
• Spending $250,000 to add “Project Lead the Way” courses at 10 high schools – courses where students learn to problem-solve using their science, technology, engineering and mathematics skills;
• Putting $7.6 million toward expanding capacity at the University of Washington and Washington State University to enroll 775 more engineering students; and
•  Investing $1.5 million, with additional support from companies, foundations and donors, to create a Center for Aerospace Technology Innovation at UW and WSU to support university research that will grow the aerospace sector and lead to new jobs in our state.

Gregoire also proposed creating a new Governor’s Aerospace Office to provide focus, direction, oversight and coordination to grow Washington state’s aerospace industry. The office will also gather industry intelligence to advise the governor in advancing Washington’s competitiveness nationally and globally.

Gregoire's plan also includes asking the Legislature to extend an existing aerospace tax incentive for pre-production expenses from 2024 to 2034 to realign the lifespan of the incentive to match the anticipated production duration of the 737-MAX.

Click here to read Gregoire's news release.  

For handouts and presentations, click here.

Investing in our communities with tax-dollar funded jobs

Detractors of state government sure love talking about how our government can't create jobs, only inhibit job growth. But, as the Seattle Times reports today, maybe they should check with the residents of Aberdeen, who are more than happy to welcome state-funded jobs constructing the components of a 520 bridge replacement, which have replaced the dwindling timber industry jobs in the area. Smart investments of tax dollars are bolstering new industries in high-demand fields, and bolstering communities hard hit by the recession.   

Excerpt:

"In a county that has limped along with a 13 percent unemployment rate, one of the highest in the state, the $367 million contract to build the pontoons — some as long as a football field and weighing 11,000 tons each — is pumping new life into a once-thriving timber town that fell on hard times and stayed that way for years.

The pontoon project will produce 300 union-wage jobs over several years. While it's not the only burst of recent good news for Aberdeen, it's clearly the most visible...

The project has meant nothing but good news to Aberdeen.

"The restaurants are ecstatic to have them here," Mayor Bill Simpson said. "People always knock down Grays Harbor County, but I see it as a booming area, doing better and better all the time."

Merchants agree.

"It's bringing a lot of smiling faces," said Dave TerBush, who works for Home Depot. "It's all positive for the harbor. We've been discovered."

Added Deanna Russell, owner of Teri's Steakhouse, which opened about a year ago downtown: "It has done nothing but boost the economy, a real plus to the community."

Our own representative, Dean Takko from Longview, is also quoted with regards to the booming business at the nearby port, which is exporting Chryslers and biodiesel made in America. "If you would have told me five years ago we'd be exporting cars to China out of Grays Harbor, I would have said you're crazy. It's huge. The biodiesel plant is running at 100 percent capacity."

Washington State: #1 in new business creation

More promising (and, for some, potentially paradigm-shifting?) news about Washington: We beat all other states when it comes to business creation.

Nationally recognized Economic Modeling Specialists Inc. (EMSI) conducts a study ranking each state based on its net creation of business “establishments,” defined as a single physical location of some type of economic activity. Businesses, lawmakers, and lobbyists all rely on the EMSI study for business-friendly policy reviews and planning.

According to their summary, Washington State ranked No. 1 in 2010 with the formation of more than 8,300 new business establishments. It was third in the US in 2009 and 11th in 2008. Massachusetts, Texas, New York, and Illinois joined Washington as the largest net establishment creators.

From 2009 to 2010, 29 states had net business establishment decline. Michigan had the largest drop, while California, Colorado, and Ohio, and Georgia were also in the bottom five.



To read this blog post in Spanish, please go here.

Job gains in state steady, but not enough to drop unemployment rate

New monthly numbers released be the state Employment Security Department show a consistent increase in new jobs over the past 11 months. But those numbers are offset by job losses and a stagnant economy. 5,700 jobs were added in July, but the unemployment rate remained at 9.3 percent.

Year over year, more than 37,000 jobs have been added in Washington, accounting for a gain of 46,000 private-sector jobs and a loss of 8,800 government jobs.

According to ESD, industries that posted gains in July were leisure and hospitality, which added 1,700 jobs; manufacturing, up 1,600; retail trade, up 1,200; transportation, warehousing and utilities, up 1,200; professional and business, up 1,100; financial activities, up 1,000; construction, up 800; and government, up 500.

Jobs were lost in other services, down 2,200, and information, down 1,000.

If you or someone you know is looking for work or may qualify for unemployment insurance, visit: ESD's website here.

To read this blog post in Spanish, please go here.

Lift your apple cider glass and celebrate the end of a costly NAFTA dispute

The end of a small tariff war with Mexico could mean mucho dinero for Washington's agricultural industry.

One of the provisions of the 1994 North America Free Trade Agreement allowed commercial trucks open access across the US borders with both Mexico and Canada.

But access on this side of the border was not fully granted due to safety and environmental concerns. And in 2009, Congress cut funding for a pilot program to allow long-haul Mexican trucks to circulate in the U.S.

In retaliation, Mexico placed tariffs on 99 American products including tree fruit - our very own cherries, pears, apricots and, of course, apples. These tariffs have cost our fruit growers tens of millions of dollars.

But there’s good news in the very, very near future, as an agreement signed Wednesday will allow U.S. and Mexican trucks to freely transport goods across the shared border.

Consequently, Mexico will soon remove the tariffs. Twenty percent will be reduced almost immediately and the rest will come off in the fall. Great timing, too, because Mexico is Washington’s largest apple export market.

According to the Yakima Herald story:

Mexico is the state's largest apple export market, accounting for more than 10 million boxes annually. The 20 percent tariff imposed on apples in 2010 has cost growers an estimated $44 million annually.

Losses to the pear, cherry and apricot industries are estimated at $30 million since those products were first subjected to the tariff in 2009, according to estimates provided by the Northwest Horticultural Council. The council represents Northwest growers on trade and regulatory issues.

Read the full story in the Yakima-Herald Reporter.

To read this blog post in Spanish, go here.