Electrolytic tax exemption signed into law
13th District lawmakers support measure that will keep jobs in Grant County

May 11, 2009

OLYMPIA…A temporary business and occupation tax exemption for a company in Moses Lake is now extended through 2018 after the governor signed a bill into law today.

House Bill 1062, co-sponsored by Rep. Judy Warnick, will extend a temporary public utility tax exemption for electrolytic processing businesses. The Senate companion bill was sponsored by Sen. Janéa Holmquist, R-Moses Lake.  “It's important for our state to be constantly looking for ways to keep and create good-paying jobs, and this bill could preserve more than 35 jobs in Grant County alone,” Warnick said. “With 9.2 percent of our working-class citizens currently without jobs, we have to do everything we can to prevent that number from getting any higher.”

“This tax exemption will preserve approximately 100 family-wage jobs in Washington,” Holmquist said. “Since Eka Chemicals’ competitors throughout the world receive these types of exemptions, this bill is about leveling the competitive playing field.” 

The original tax exemption created in 2004 was sponsored by Rep. Bill Hinkle, R-Cle Elum and then-Rep. Holmquist. 

“Increasing costs of power directly affects these businesses whose raw material is electricity, which makes up 50 percent of manufacturing costs,” Hinkle said. “This exemption is working - it helps keep these businesses in Washington, providing good jobs. Extending the exemption is timely and appropriate.” 

The bill passed the House 91-4 after concurring with Senate amendments and passed the Senate 46-2. The measure will take effect July 1, 2009. 

# # #

For more information, contact: 
Sarah Lamb, Public Information Officer - (360) 786-7720
Booker Stallworth, Public Information Officer – (360) 786-7536
Brendon Wold, Public Information Officer – (360) 786-7698