Washingtonians Need Assurances that Boeing Jobs Will Stay Here
Our Senior Fiscal Analyst Andy Nicholas testified yesterday in the House Finance Committee around the proposed tax breaks. Watch his testimony here. He will also testify this afternoon before House Appropriations and Senate Ways and Means.
As mentioned in yesterday’s testimony, any tax package for Boeing should include a “clawback” provision. A clawback could stipulate that if Washingtonians continue to invest in Boeing, then the company needs to agree to keep production here and commit to future investments in the state.
The provision could require the company to pay back any tax incentive dollars should:
- Boeing fail to invest in new Washington state facilities needed to build the 777X by 2017. (Much of the language in HB 2089 accomplishes this).
- Any significant amount of production or assembly of the new 777X, or Boeing’s existing commercial aircraft lines, or future commercial aircraft lines, be subsequently located in any state or country other than Washington state.