Capital Budget will create jobs ‘in every corner of the state’

April 25, 2009

OLYMPIA – The House voted late yesterday on a $3.27 billion two-year construction budget that will keep plenty of contractors busy with repair and maintenance of public buildings, as well as new construction projects.

“This budget creates jobs in every corner of the state,” said Rep. Hans Dunshee, D-Snohomish, who chairs the House Capital Budget committee. “Right now at least 25 percent of the construction industry is sitting on its hands, waiting. We’re going to put them back to work.”

The biggest chunk of money in the budget goes to education-related projects. A total of $877 million is set aside for public schools and skills centers, including the school construction assistance grant program. This program throws a vital lifeline to school districts faced with a sudden, pressing repair need, like a leaky roof or a plumbing failure.

College and university campuses will receive funding for preservation and repair, as well as investments in new construction projects. The Miller Hall renovation project at Western Washington University and the Applied Technology and Classroom Building at the WSU-Vancouver campus are two projects that will move forward thanks to capital budget monies.

Aside from education, the recipient of the second-largest amount of capital budget funds is the state operating budget. For the 2009-2011 biennium, a total of $777.1 million in cash is being transferred to the operating budget to help close a record shortfall. The transfer is necessary in order to avoid even more drastic cuts to public education and health care.

“This one-time transfer represents jobs. It keeps teachers in classrooms. It keeps nurses caring for our most vulnerable citizens,” Dunshee said.

The budget received a welcome boost of $189 million in federal recovery dollars. $144 million is specifically to support housing priorities, such as the purchase and rehabilitation of foreclosed properties and the creation of affordable housing.

“These projects will help stabilize neighborhoods in communities across Washington,” said Rep. Timm Ormsby, D-Spokane, House Capital Budget committee vice-chair. “We’re grateful that the federal government recognizes the importance of affordable housing and is giving us some help.”

Overall, the budget reflects the reality of the current economic climate, while still making targeted investments for the long term. Additional highlights include:

• $732 million for higher education projects
• $100 million for affordable housing
• $26.8 million for Skills Centers throughout the state
• $28 million for the Building Communities Fund
• $7.5 million for Youth Recreational Facilities Grants
• $10 million for restoration and rehabilitation of historical buildings and other structures

The budget passed by a vote of 63 to 33 shortly before midnight Friday. The Senate will likely vote on it Saturday. The bill number is SHB 1216.