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Orcutt votes to protect
small employers,
attract high-tech employers
Rep. Ed Orcutt's
focus on creating jobs came through loud and clear today in his votes on
three key House bills: two measures the Kalama Republican believes would
hurt employment and one that would encourage growth of Washington’s
high-tech industry.
“We took a step forward by
supporting the renewal of tax incentives for high-tech research and
development, which have led to many new jobs over the past 10 years.
Jobs have been created in Southwest Washington because of those
incentives,” said Orcutt.
House Bill 2546 would renew tax incentives for high-tech research and
development activities created in 1994 and scheduled to expire this
year. Economic development officials, including one from Clark County,
say renewing them is vital for “target” industries like advanced
computing, semiconductors and biotechnology – especially given the
increasing pressure on high-tech firms to move not only their
manufacturing operations offshore but also their R&D.
“The message this sends to
the high-tech sector is: we want you in Washington. We want you in
Vancouver and Longview and Yakima and Bellingham. This would let
employers know with certainty that these credits will be in place for
the
long-term,” said Orcutt, a member of the House Finance Committee.
The state Senate has
passed a similar bill, which means the differences between the House and
Senate measures simply need to be worked out, Orcutt explained.
Orcutt said the positive signal sent by the vote on HB 2546, which would
give high-tech employers more certainty about tax credits, was
contradicted immediately by the passage of House Bill 1869. It would
call for a regular review of tax incentives and take away the certainty
sought not only by the high-tech industry but all other industries in
Washington.
The state Department of Revenue already publishes a regular report on
tax incentives every four years, and as Orcutt pointed out to House
members, the incentives also undergo a thorough review by legislators.
“The process for reviewing tax incentives is already in place,” said
Orcutt, who opposed HB 1869. “The high-tech tax incentives we just voted
to renew are good examples. They were scheduled to expire in 2004, we
reviewed them, and found them deserving of an extension.
“This bill would take away the certainty employers are looking for, and
possibly jobs along with it. We can’t afford that in the 18th District
or across the state.”
Orcutt is a fan of apprenticeship programs but voted against House Bill
2439. The bill would require apprentices to work at least 15 percent of
the total hours on public works projects valued at $1 million or more.
Orcutt said it could keep jobs from going to smaller contractors and
experienced union workers.
“A local company with 25 workers may not be able to compete for a
project because it couldn’t absorb the cost of bringing apprentices on
just to satisfy the 15 percent quota. It’s also possible journeymen who
deserve to work would be left waiting at the union hall while
apprentices take their jobs to satisfy the quota,” said Orcutt. “This
isn’t the direction we should be going.”
Orcutt attempted to change House Bill 2439 so contractors with fewer
than 50 employees would be exempt from the apprentice quota. His
amendment was turned down by a 51-46 party-line vote prior to the bill’s
passage.
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For more information, contact:
Brendon Wold, Public
Information Officer: (360) 786-7698
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