Wednesday, December 29, 2021

Director's Update - December 2021

A special thank you; Governor's budget outlook for Commerce; Strengthening communities with affordable housing; Contract opportunity

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A moment of thanks to our Commerce employees and community partners

As we round out these final days of 2021, I want to take a point of personal privilege to thank the people at Commerce. For the past 20 months, many of them have been putting in longer hours than you would ever imagine to ensure communities are supported during this lengthy pandemic response and recovery.

Our work at Commerce relies on partnerships with small businesses, local governments, Tribes and nonprofit organizations. Much of our work is about administering funding in the form of grants or loans so our partner organizations can do work that strengthens their communities. That work spans everything from climate change, childcare and growth management to broadband, housing and economic development. While our portfolio of work is large, our agency is actually quite small. When the pandemic hit, the scale of that work exploded nearly overnight. Federal and state pandemic assistance dollars nearly doubled the funding entrusted to our agency, while our work became twice as complex and exponentially more urgent.

The scale of work required us to grow our agency, and while ensuring our assistance and funding flows uninterrupted, our managers have been continuously recruiting and hiring in a new world which has been proven difficult to attract new talent. I appreciate our clients and community partners who have offered our staff grace and time while they learn and adjust the ways in which we execute our programs, draft contracts and securely release funds.

Our priority is to see that funds are distributed equitably while ensuring good stewardship of those valuable resources. We can only do so with the support, hard work and dedication of our staff, working alongside the dedicated partners who are often on the frontlines of public service during these historically challenging times. We are all in this together, and together we can strengthen our communities.

To all our community partners, thank you for your consistent support of our Commerce teams. We look forward to continuing this work together in the new year and beyond.


Governor's budget proposal sets the stage for significant new funding at Commerce

Photo of Gov Jay Inslee at his 2022 budget release press conference

Gov. Jay Inslee released his proposed supplemental budgets earlier this month, along with policy rollout events focused on homelessness and housing, climate, and salmon. They include several major initiatives that align with Commerce's strategic work.

Despite the ongoing pandemic, the state economy remains strong. Revenue forecasts since March are up more than $3 billion. This puts projected revenues for the state's 2021-23 operating budget at $60.2 billion, and we anticipate significant additional federal funds as well. The governor's proposal leaves $2.5 billion in reserves and restores $600 million into the state's "Rainy Day Fund."

Commerce has been among the agencies deeply involved in supporting communities during the past two years. Our work and ability to respond to the pandemic have been recognized and praised by state leadership. This success keeps us involved in many of the governor's key priorities - responding to the housing crisis, reducing poverty, responding to the climate crisis, and continuing a more equitable economic recovery.

Following are a few quick highlights of governor priorities that involve Commerce.

Reduce poverty ($248 million)

  • Launch new subcabinet on poverty reduction that includes Commerce.
  • Pursue equity-based response to improve overall health, child development and strengthen families and communities.

Expand housing options and resources for individuals experiencing homelessness ($800 million)

  • Help low-income tenants prevent evictions or obtain housing by helping those who are behind on utility bills, and supporting landlords whose tenants receive rental assistance.
  • Secure more facilities to provide tiny homes, enhanced shelters, permanent supportive housing and permanent affordable housing.
  • Expand supportive services for people with behavioral health needs.
  • Transition people encamped on the public right of way to permanent housing solutions.
  • Restore the range of affordable housing types in our cities and legalize multi-family zoning statewide.

Combat climate change ($626 million)

  • Decarbonize the building sector which is Washington's second-largest and fastest-growing source of emissions.
  • Successfully implement the Climate Commitment Act, Washington's cap-and-invest program.
  • Invest more in clean transportation, such as incentives for electric vehicles and building out the state's EV charging infrastructure.
  • Build the clean energy future here with project siting improvements, additional investment in our Clean Energy Fund and solar grants, and a workforce transition effort so we can prepare workers for good-paying clean energy jobs.

Contract opportunity: Seeking nonprofits to expand Small Business Resiliency Network

photo of minority small business owners

Commerce is soliciting community-based nonprofit organizations interested in joining our Small Business Resiliency Network. Network organizations provide culturally- and linguistically- appropriate outreach, translation, education and other assistance to small business owners from historically marginalized communities.

"The pandemic revealed enormous disparities in who is most likely to be able to find and successfully apply for help, and who is often left out. This is especially true for small business owners in many racial, ethnic and underserved communities," said Jessica Camacho, the network's director. "We're expanding this network to help ensure an equitable economic recovery and future for all our communities."

Applications are due Jan. 7, 2022.

Learn more


Strengthening communities by expanding affordable housing opportunities

Housing Trust Fund ends year with record investments throughout Washington

Commerce announced its largest ever single award amount for grants and loans that support 40 affordable housing projects in at least 16 counties across the state.

  • The Traditional Housing Trust Fund (HTF) awards include 20 multifamily rental unit projects that will create or preserve 1,281 rental units and 10 homeownership projects to build or support 166 homes for people with low incomes.
  • The HTF Rapid Capital Housing Acquisition program includes 10 projects for 487 new units for emergency or transitional shelters. This represents the purchase of a cumulative total of 15 buildings to alleviate homeless housing needs immediately.

Awards total nearly $131 million, and support the acquisition and development of over half a billion dollars of housing development.

"These housing investments are absolutely crucial so we can address the many factors and circumstances that prevent people from finding or keeping safe, stable and affordable housing," said Gov. Jay Inslee. "Housing is a fundamental necessity for the safety and vitality of families and communities, and I appreciate how quickly Commerce is working to get these projects underway."  Read more about this funding


Aerial photo of new Unity Commons affordable housing project in Olympia

Unity Commons opens to serve single adults in Olympia

We were delighted to join the Low Income Housing Institute and Interfaith Works to celebrate the Dec. 21 opening of Unity Commons in Olympia, Thurston County's only purpose-built shelter for single adults. Commerce's Housing Trust Fund helped support the project which consists of a shelter and rental units for people with severe and persistent disabilities, many of them elderly. 

Watch video


Photo of groundbreaking ceremony at Martha's Place permanent supportive housing project in Mt. Vernon

Breaking ground for Martha's Place in Mount Vernon

Also this month, we attended a groundbreaking ceremony for Martha's Place, a permanent supportive housing project of Catholic Community Services in Mount Vernon that will provide 70 units for people experiencing homelessness in Skagit County. The Housing Trust Fund is a proud funding partner, providing a $2.7 million grant.


Photo of Highland Village affordable housing project in Airway Heights

Highland Village provides affordable homeownership and rental opportunities

Project partners Habitat for Humanity, the City of Airway Heights, Spokane County, Greenstone Homes and Community Frameworks celebrated with a tour of Highland Village, a new project offering both desperately needed affordable homeownership and rental housing opportunities.


Broadband Update

Public Works Board approves funding for 15 broadband construction projects across Washington state

At their December meeting, the Washington State Public Works Board approved over $44.6 million in conditional grants for 15 broadband construction projects in unserved and underserved communities across the state.

The need for broadband construction funding remains high. Applicants requested more than $90 million for 29 different projects, and the board approved qualified projects until all available program funds were exhausted. Demand exceeded available funds by 209%.

Continue reading

Broadband office awards four digital navigator grants for services statewide

Image of little girl working on a computer

The Washington State Broadband Office approved $73 million in grants for Digital Navigator services throughout Washington state. Digital Navigator services are essential in helping new internet users get online. These resources will support individuals seeking work, families supporting students, English language learners, Medicaid clients, people experiencing poverty, and senior citizens.

read MORE

Sign up for e-mail updates from the Broadband Office.


On the Road: Touring SEL and WSU's Composite Materials and Engineering Center 

Photo of Lisa Brown, Brian Young, Chris Green and Michael Furze in Pullman at SEL

Just prior to the holidays, Schweitzer Engineering Laboratories CEO David Whitehead (center) hosted me, along with (left) Michael Furze, assistant director of the energy and environmental justice division, Chris Green, AD for the Office of Economic Development and Competitiveness, and (right) Brian Young, Governor's Clean Tech Sector Lead, at SEL in Pullman. I especially enjoyed touring and learning more about Little Edisons School, which serves 120 children of SEL employees. Michael, Chris and Brian toured SEL's Innovation Studio,

Photo of Lisa Brown and Commerce team at SEL in Pullman

In the afternoon, we were treated to a fascinating tour of WSU's Composite Materials and Engineering Center and the PACCAR building. CMEC is focused on research and development of sustainable infrastructure materials and fuels, helping advance our state's leadership in clean energy technology

WATCH VIDEO

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