Gov. Inslee pushes tax breaks on first day of Boeing 777X special session
Nov 7, 2013, 3:48 PM | Updated: 5:10 pm
A proposed multi-billion dollar package of tax breaks was first on the agenda on day one of a special legislative session, designed to win the new Boeing 777X work for Washington.
Governor Jay Inslee was the first to testify before the House Finance Committee and explained what’s at stake.
“Construction of the Boeing 777X and its carbon fiber wing and assembly of that airplane will be the linchpin for economic growth in the state of Washington for decades to come,” said Inslee.
The governor’s legislative plan would extend to 2040 tax incentives first adopted in 2003 to keep 787 Dreamliner work in Washington. Inslee estimated the tax breaks will save aerospace companies $8.7 billion. Money well spent, if you ask Maud Daudon with the Seattle Chamber of Commerce.
“In fact, for every dollar invested by Washington citizens in tax incentives to date, there’s been an over $3 return in the fiscal benefits to this state.”
Inslee doesn’t want to see another Boeing plant opening in another state.
“With the 777X and its carbon fiber wing built here in the state of Washington, we will reverse the outflow of advanced manufacturing jobs from the state of Washington.”
And to ensure that, Inslee said he’s including a provision that ends the most lucrative tax incentive if Boeing outsources any of the 777X work.
“We believe this will prevent the consequences of what happened with the second line with the 787,” Inslee told lawmakers.
“We think that that’s very important,” said Larry Brown, with the International Association of Machinists. “We suspect that there were those that served in the Legislature in 2003 that did not anticipate the second line going to South Carolina.”
King County Executive Dow Constantine sat shoulder-to-shoulder with his counterparts from Pierce and Snohomish Counties in the House hearing room to endorse the Boeing legislation, which will also bolster hundreds of other aerospace companies in the three counties.
“This is an historic opportunity for the state of Washington,” said Constantine. “Let’s seize it.”
The Legislature will also consider legislation focused on workforce training, new permitting rules, and a $10 billion transportation funding plan as part of the Boeing 777X special session.
