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Committee hears ADO funding and reporting changes as rural leaders warn cuts would 'decimate' programs

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Summary

Senate Bill 5677 would alter reporting requirements and change base and matched allocations for associate development organizations (ADOs); rural ADO leaders told the committee that proposed cuts to state ADO funding would sharply reduce local economic development capacity.

Senate staff told the Technology, Economic Development and Veterans Committee on March 18 that engrossed substitute Senate Bill 5677 would change reporting requirements for associate development organizations (ADOs) contracted by the Department of Commerce and adjust base and matched funding allocations.

Martha Whaling, committee staff, said the bill removes King County’s unique small-business reporting requirement, adds a requirement that all ADO annual reports include demographic information meeting federal race and ethnicity standards, and changes how Commerce awards base and matched allocations to ADOs. "An associate development association in a rural county receives a minimum of $85,000 and a maximum of $150,000 base allocation and a match and a matched allocation," Whaling said, noting the bill removes the previous…

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