OLYMPIA -- The Washington Association for a Competitive Economy (WashACE), a coalition of statewide business organizations, just released a new report examining the ominous state of Washington state competitiveness.  The report expands on many of the concerns the Washington Competitiveness Council addressed last year, calling for swift action from the Governor and Legislature on transportation, regulation, taxation, education and housing.

“This research reaffirms the work of the Competitiveness Council and underscores a pressing need for quick and decisive action from Governor Locke and the Legislature,” said Phil Bussey, co-chair of WashACE and president of the Washington Roundtable.

In the report, WashACE urges lawmakers to establish a public policy framework that will encourage businesses to grow here and avoid actions that will hurt competitiveness.  Specific recommendations include:

· Transportation: Improving our statewide transportation system must be the top priority for state government.  Regional financing and governance systems should be authorized for metropolitan centers. 

· Regulation: The regulatory process in state and local government must be streamlined and simplified.  Regulators should focus on outcomes rather than processes. 

· Taxation: Lawmakers must maintain the current balance of business and household taxes.  Existing tax exemptions and incentive programs should be preserved. 

· Education and Workforce Development: The state must sustain its commitment to K-12 education reform and accountability.  Institutions of higher education should have increased management and tuition-setting authorities. 

· Housing: Provide adequate, broad-based financing for necessary infrastructure rather than imposing extraordinary costs on new development.

WashACE commends lawmakers for their focus on transportation this session.  WashACE also cautions that work on competitiveness has only just begun, and state leaders must take action on the remaining priorities of the Governor’s Competitive Council to ensure a return to long-term prosperity.

“This message is not new.  Lawmakers and the business leaders have been concerned with state competitiveness for years.  The difference is that we are now in a state of urgency.  If we don’t see improvements in key areas, companies will take jobs outside of Washington,” said Don Brunell, co-chair of WashACE and president of the Association of Washington Businesses. “We urge lawmakers to heed the warnings in this report, and those offered by the Competitiveness Council.  These issues require attention this session.”

“The decisions we make today, particularly on regulatory reform and taxation, will have an immense impact on our economy, job market and quality-of-life for years to come.  We need bold action to keep jobs in Washington,” Bussey added

To prepare this report, WashACE conducted extensive research on the state’s business climate and interviewed industry leaders across the state. The complete report is available here.