This bill amends RCW 43.330.260, adds new sections to chapter 43.330 RCW, and creates a new section to require a state department (not identified in the excerpt) to assemble and maintain, within existing resources, an inventory of federal, private foundation, and business economic development grant opportunities; regularly review the Federal Register for opportunities; provide a federal grant applicant resource guide and a template support letter within five business days of request; consult with specified federal officials (Small Business Administration, Department of Labor, Department of Commerce, Department of Agriculture, and Department of Ecology) and private funders; facilitate joint grant-seeking efforts; create scoring criteria to prioritize applications for state matching funds (including jobs created, households affected, businesses impacted, federal funding amount, and prioritization for rural and frontier counties); expand fundhub.wa.gov to include federal economic development funds by July 1, 2026; and begin biennial public reporting on use of state matching dollars starting December 31, 2027, to the governor and legislature. The bill creates a new “moving assets to create healthy economic development account” in the custody of the state treasurer, funded by appropriations, transfers, and other directed moneys, subject to allotment procedures under chapter 43.88 RCW. The account is new law and may be expended without a separate appropriation only by the director or the director’s designee to provide matching funds to eligible entities for federal awards that promote economic development. It lists eligible project categories (broadband; equity; housing; public infrastructure; innovation; regional development; skills training; transportation; workforce development) and specifies maximum matching amounts: up to 100% of required match for political subdivisions, federally recognized tribes, institutions of higher education (per RCW 28B.10.016), consumer-owned utilities, small businesses, regional planning organizations, economic development organizations (per 13 C.F.R. §312.3 as of Oct 10, 2024), and nonprofits; up to 50% for investor-owned utilities and other eligible entities; up to $100,000 for projects that require no match (with increases to 100% match or $500,000 for projects benefiting a “distressed area” as defined in RCW 43.168.020). Funds are reserved for approved projects and remain committed until written notice of withdrawal or denial; expenditures are permitted only if six specified conditions are met (applicant succeeds in receiving federal funds; other state sources cannot be secured in time; project will produce significant long-term economic benefits; project does not require continuing state support; expenditure will result in new jobs, job retention, or higher incomes; and the expenditure will not supplant private investment). The excerpt does not identify the named department responsible, does not provide a comprehensive statutory definition of “eligible entity,” and does not describe the current scope or contents of fundhub.wa.gov; other sections of the bill or statute that might define terms or add implementation details are not included in the provided text.

If enacted, the state would create a dedicated account to provide matching money for projects that win federal economic development awards and set up a centralized service to help find and apply for those grants. Eligible governments, tribes, colleges, consumer-owned utilities, small businesses, regional planning groups, economic development organizations, nonprofits and similar entities could receive up to 100% of required matches in many cases (investor-owned utilities generally up to 50%), with higher caps for projects in designated distressed areas; if no match is required, small awards of up to $100,000 (or up to $500,000 in distressed areas) can be provided to boost competitiveness. The department named in the bill must compile and keep current an inventory of federal and private grant opportunities, provide a template support letter within five business days, create application-prioritization criteria that favor rural/frontier areas, expand fundhub.wa.gov by July 1, 2026, and report biennially on outcomes; approved projects can have funds reserved but money is only spent after six specified conditions are met. The groups most affected are local governments, tribes, colleges, utilities, small businesses, nonprofits, ports, and economic development partners who would likely find it easier to pursue federal funds and face lower or no matching burdens in many cases; the department will take on new review, outreach, and prioritization responsibilities within existing resources, which could strain staff and affect timing. Because the bill text here does not identify which specific department is responsible, does not fully define every “eligible entity,” and does not describe current fundhub contents, some practical implementation details and how quickly the supports will be available remain unclear.