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County divvies up $1.75 millioin from state tax breaks

Saturday, July 21, 2007 12:14 AM PDT

By Tony Lystra

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Cowlitz County has awarded $1.75 million from state tax rebates to local economic development projects.

The so-called Rural Development funds are awarded each year to cities, ports and others to help keep and create jobs. This month's distribution brings the total dollars distributed by the county since the program's inception in 1998 to more than $15 million.


The recipients are:


• City of Kalama, $300,00 to improve the downtown streetscape to encourage shopping

• City of Longview, $350,000 for a new road in the Mint Farm Industrial park to serve the Woodinville Lumber and Tri County Truss site

• City of Castle Rock, $200,000 for improvements to the water treatment plant and $50,000 for a new boat launch

n Kelso/Longview Regional Airport, $50,000 for water, sewer, electrical and other infrastructure for a 10,000-square-foot hangar

• Port of Kalama, $150,000 for a 40,000-square-foot industrial park building and $50,000 for demolition of buildings, new roads, parking, landscaping and design to attract a restaurant, hotel or small conference center

• Port of Longview, $350,000 for permits, design and construction of a new dock that would serve a proposed $100 million grain export facility

• Port of Woodland, $250,000 to widen Guild Road and extend water, sewer and sidewalks adjacent to industrial park land

The Legislature has funded the program through 2023, but counties, including Cowlitz, are lobbying to extend it beyond that, said Claire Hauge, the county's budget officer.

This year's funds represent a departure in policy for the county commissioners. To keep the program going, 75 percent of the money has historically been provided in the form of loans. This year, though, the county asked some applicants to take less money in exchange for grants so the county could fund a larger number of proposals, Commissioner Kathleen Johnson said.

"We just simply threw the formula out the window," Johnson said. "There were a lot of good projects. The small cities really need the help. They don't have other places to go to get more dollars."

By contrast, she said, larger jurisdictions are more likely to leverage capital they already have to get more money.

Asked whether the change from loans to grants may continue into future years, Johnson said, "When next year comes, we'll make that decision again. This worked for this year."

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