Nealey, Walsh support job-creation aerospace industry tax incentives; say tax relief should apply to all employers


Nov. 9, 2013

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Nealey, Walsh support job-creation aerospace industry tax incentives; say tax relief should apply to all employers


Saying it would preserve and expand jobs throughout Washington state, 16th District Reps. Terry Nealey and Maureen Walsh voted Saturday in favor of legislation that would extend tax incentives for the state’s aerospace industry and expand aerospace workforce training opportunities at Washington’s community and technical colleges.

Senate Bill 5952 would extend an existing tax preference for the aerospace industry from the year 2024 to 2040, and expand the sales and use tax exemption for construction of facilities in Washington used to manufacture commercial airplanes and wings.

Nealey, ranking Republican member of the House Finance Committee, said the legislation would provide about $8.7 billion in tax relief over the next 27 years to the aerospace industry, providing a significant incentive for The Boeing Company to site and build its next generation jet, the 777X, and carbon-composite wings for its future airplanes, in Washington state.

“While the governor says this is about Boeing, it is actually about the entire aerospace industry and the jobs it supports in Washington. There are hundreds of suppliers to Boeing in Washington that provide tens of thousands of jobs. It is anticipated that the siting of the 777X and future construction of composite-material wings exclusively in Washington would create more than 56,000 new jobs statewide, as well as support retention of existing aerospace jobs,” said Nealey, R-Dayton. “The return on this investment is expected to be about three times the amount of the tax relief provided – about 21 billion dollars. Plus, there’s a positive net affect to all segments of our economy throughout the state, including Eastern Washington and the 16th District.”

Production of the 777x is expected to continue through 2040. If production does not begin in Washington by 2017, the incentives extension is revoked.

“Certainly Boeing and aerospace play critical roles in our economy statewide, so I’m pleased to support these proposals. However, I hope this is just the beginning of the discussion on how we can help create job opportunities in every sector of our economy,” said Walsh, R-Walla Walla. “Improving permitting efficiency and looking at tax relief for all job creators are ideals I have always supported. I’m pleased the governor and majority saw the importance of these concepts with keeping aerospace jobs, and I hope we can apply these concepts to keep and create jobs in retail, service, agriculture and many more sectors of our state’s diverse economy.”

The bill passed the House, 75-11.

The House of Representatives also approved House Bill 2088 by a vote of 77 –9. The $17 million package would expand aerospace workforce training, including 1,000 additional full-time aviation manufacturing education enrollment slots in 24 community and technical colleges in Washington.

“This legislation will help create an educated workforce within Washington that could fill those new aerospace jobs,” added Nealey.

“Many employers are greatly concerned about having access to an educated workforce to easily meet the requirements of the jobs available,” said Walsh. “We can and must do better to ensure Washingtonians have access to an education that meets the job demands out there right now.”

The Senate also approved both measures which are expected to be signed by the governor early next week.

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For more information about Rep. Nealey, visit:
For more information about Rep. Walsh, visit:

Rep. Nealey speaks on the House floor as Rep. Walsh listens on.

PHOTO:   Rep. Terry Nealey, R-Dayton, speaks on the House floor about the importance of legislation to expand aerospace jobs in Washington. Rep. Maureen Walsh, R-Walla Walla, is listening in the background.

Rep. Nealey’s media:
official portrait  silent b-roll  photos on Flickr  YouTube videos  podcast

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