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Washington State i"W!-'.'r1 » T-.rf-^^. -• CONSENT AGENDA ITEM #. 'A S-^.^.f^.: ^;-'.,.'»,,,..,-^.. • •••.. .• , • • • MEMORANDUM TO: Rob Fix DATE: March 2,2021 FROM: Mike Hogan COPIES: Brian Gouran SUBJECT: Port Commission Letter to the Legislature Supporting MTCA Funding ACTION R_EQUESTED A motion requesting the Port Commission sign a letter to the Washington State Legislature opposing fund shifts or transfers from Model Toxics Control Act (MTCA) accounts which would undermine the ability of local governments to clean-up toxic pollution. BACKGROUND In 1988, Washington voters passed Initiative 97 and in 1989, MTCA was adopted as our state's environmental cleanup law. The main purpose of MTCA is raising "sufficient funds to clean up all hazardous waste sites and to prevent the creation of future hazards due to improper disposal of toxic wastes into the state's lands and waters". One mechanism Ecology uses to advance cleanup is to offer Remedial Action Grants to local governments that investigate and clean up contaminated sites under an order or decree. Remedial Action Grants are essential to the Port's efforts to clean up historic contamination, return underutilized property to productive use, create jobs, restore salmon habitat and improve public access to the water. During past legislative sessions, lawmakers have shifted money from MTCA accounts to pay for expenses unrelated to clean-up and underfunded the Remedial Action Grant program. FISCAI^IMPACT None STRAJ^EGIC PURPOSE This action supports the Corporate Goals of the Port's 2021 Budget as follows: • Goal 1: Ongoing Development in the Waterfront District • Goal 1\ Plan Necessary Cleanups • Goal 3: Expansion of Marine Trades • Goal 5: Re-Development of the Bellmgham Shipping Terminal and Log Pond Area • Goal 6: Stimulate Economic Development and Job Creation RECOMMENDATION Approve Action Requested. Attachments: Port Commission Letter to the Legislature PORT Qj7/BELLJ[NGHAM l/\/U^t4^ff^^^— March 2, 2021 The Honorable David Frockt Vice Chair, Senate Ways and Means Committee david.frockt(ff),wa.lcg.gov The Honorable Steve Tharinger Chair, House Capital Budget Committee [email protected] Dear Senator Frockt and Representative Tharinger: While our state deals with unprecedented financial challenges related to COVID-19, we urge you to prevent fund shifts or transfers from Model Toxics Control Act (MTCA) accounts which would undermine the ability of local governments to clean-up toxic pollution. Remedial Action Grants have proven to be the State's most powerful economic development too! and the continued availability of these grants is an important part ofthe Port ofBellingham's economic recovery strategy moving forward. For over 25 years, the Port has successfully used Remedial Action Grants to clean up historic contamination, return underutHized property to productive use, create Jobs, restore salmon habitat, and improve public access to the water. The Port recently added hundreds of new manufacturing jobs to former clean-up sites on Beltmgham's downtown waterfi'ont when All American Marine and Silfab Solar decided to invest locally and build new manufacturing facilities rather than move their production lines out-of-state. Without Remedial Action Grants, the Port would not have had clean land suitable to accommodate these expanding businesses and Washington would have lost jobs to South Carolina and other competitors. The successful completion of the Whatcom Waterway Phase 1 cleanup project, one ofthe largest cleanups in state history, resulted in new marine infrastructure which is supporting the rapid expansion ofWhatcom County's working waterfront where 7% of the total workforce is created or supported by marine trades. According to the Department of Ecology, every dollar spent on remediation results in $6 in tax revenue, $7 in long-term payrolls, and $32 in business revenue as underutilized property is put back into productive use. The multiplier effect of cleanup projects has certainly been the Port's experience in Whatcom County. 1801 Roeder Avenue / P.O. Box 1677, Bellingham,WA 98227-1677 (360) 676-2500 / www.Dortofbellinaham.com With the passage ofESSB 5993 during the 2019 legislative session, revenue into MTCA accounts is projected to be higher and less volatile. Lawmakers have the financial resources necessary to meet Washington state and local governments combined estimated need of $1.4 billion to conduct cleanups over the next ten years. While the Port has made significant progress towards overcoming the legacy of industrial contamination, there is much more work to be done. There is over $100 million In environmental cleanup work remaining in BeIHngham Bay alone. Removing the burden of historic contamination for our children, and our children's children will require continued vigilance from lawmakers to protect MTCA financial resources for the law's intended purpose. The Port supports the Governor's proposed funding of $70.9 million for Remedial Action Grants in the 2021-23 capital budget. This funding level supports ongoing cleanup projects in Bellingham Bay which wiil remove toxics and help rebuild the vast habitat resources which once surrounded Puget Sound. Vacant and unusable property will be upgraded with modern marine trades infrastructure to support new working waterfi'ont family-wagejobs. Each Remedial Action Grant will be matched dollar for dollar by the Port with the investment in a clean environment creating consulting and construction jobs in the near-term, while supporting a strong, sustainable economy over the long-term, During recent legislative sessions, lawmakers have used MTCA revenues to pay for General Fund expenses or shortfalls unrelated to cleanup. While we recognize the State has many funding priorities, the intent of the voters must be honored when they passed Initiative 97 to "[raise] sufficient funds to clean zip all hazardous waste sites and to prevent the creation of future hazards due to improper disposal of toxic wastes mto the state's land and waters. Fund shifts or transfers from MTCA accounts disregard our State's most powerful economic development tool and deny our city centers second chance opportunities. Until the many acres of contaminated land and water are finally cleaned up in our community, and in communities throughout the state, lawmakers must make available the funding levels necessary to rapidly clean-up Eegacy toxic pollution. We understand there are significant financial pressures related to the global COVID pandemic, but urge you to prevent fund shifts or transfers from MTCA accounts. Remedial Action Grants should be considered a priority funding opportunity to clean-up hazardous waste sites, Jump start our economy and put people back to work. Sincerely, Ken Bell, Commission President Michael Shephard, Commission Vice-President Bobby Briscoe, Commission Secretary ec: Senator Liz Lovelett Senator Doug Ericksen Representative Alex Ramel Representative Alicia Rule Representative Sharon Shewmake Representative Debra Lekanoff.
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