This bill creates a new state program administered by the Department of Commerce to inventory federal grant opportunities and to provide state matching funds for federal grants that promote economic development, subject to available appropriations. It authorizes the department, if funded, to develop scoring criteria (including economic impact, amount of federal funding, and rural/frontier prioritization) and to award matching funds under specified conditions: applicants cannot otherwise secure state funding, the project will produce long-term economic benefits, and it will not require ongoing state support. The bill sets recipient limits: up to 100% match for political subdivisions, federally recognized tribes, institutions of higher education, consumer-owned utilities, small businesses, regional planning organizations, qualifying economic development organizations, and nonprofits; up to 50% for investor-owned utilities or other applicants; up to $100,000 when no local match is required to increase federal funding likelihood; and increased caps (100% match or $500,000) for projects benefiting a “distressed area.” Matching funds are reserved once a federal agency approves an application and fully reserved upon federal approval until written withdrawal or denial; the department may charge an administrative fee and must require recipients to report on matching dollars, federal funds received, jobs created or maintained, and annual revenue from the federal award. The bill creates a new “moving assets to create healthy economic development account” in the state treasury to receive appropriations, transfers, directed moneys, and gifts for the purpose of awarding these matching funds, makes the account subject to chapter 43.88 RCW allotment procedures, and specifies that only the director or the director’s designee may authorize expenditures. It encourages the department to solicit private donations and to reallocate program funds that would otherwise revert to the new program. The act amends RCW 43.330.260 and adds new sections to chapter 43.330 RCW; it also references definitions in RCW 28B.10.016, 13 C.F.R. Sec. 312.3 as of December 4, 2025, and RCW 43.168.020. Legally, this is a procedural and fiscal change that creates a new grant-matching program and a dedicated account, and it modifies existing statute language. It does not create a crime or change criminal penalties. Important details are missing from the extracted text: specific appropriation amounts or caps to the account are not provided, the bill does not explicitly name “the director,” and detailed application processes, administrative rules, or deadlines beyond the June 30, 2026 funding-contingency (which voids the act if specific funding is not provided in the omnibus appropriations act by that date) are not included.

If enacted, the Department of Commerce would be able to run a program that helps applicants meet federal grant match requirements by awarding state matching dollars from a newly created account, with priority given to projects showing strong economic impact and to applicants in rural, frontier, or distressed areas. Eligible recipients like cities, tribes, colleges, consumer-owned utilities, small businesses, regional planning groups, economic development organizations, and nonprofits could receive substantial matches (some up to 100% or higher caps for distressed areas, while investor-owned utilities would be limited to 50%), and matching commitments would be reserved once a federal agency approves an application, giving applicants greater confidence they can cover a federal match—but all of this depends on the Legislature actually appropriating money for the program and a June 30, 2026 funding deadline that would void the act if unmet. The department and State Treasurer would take on new responsibilities managing the account, setting scoring and award rules, charging administrative fees, and collecting reports from recipients on dollars leveraged, jobs, and revenues; recipients would face new application and reporting requirements. Important specifics are missing from the text provided: exact appropriation amounts, the identity of "the director" authorized to spend the funds, and detailed application and award procedures, so actual program scale, timing, and administrative costs remain uncertain.