Washington's governor is increasing public efforts to woo Boeing and lure a new manufacturing line for the company's long-delayed 787 jetliner, the Associated Press reported.
In a report released today, Gov. Chris Gregoire laid out her case for building the 787 in Washington. The report includes a comparison of tax burdens in Washington and five other states seen as competitors: North Carolina, South Carolina, Kansas, Texas and California.
Officials with North Carolina's Department of Commerce have not publicly confirmed they are trying to attract Boeing, but winning such a plum economic development prize would be a major coup. A project that size would likely involve a large package of state and local tax breaks and other financial incentives.
North Carolina officials have said they want to build on the state's growing base of aircraft and aerospace businesses.
And in 2003, North Carolina was in the running to win Boeing's first assembly line for the 787. North Carolina promised $534 million in economic incentives and a site at Kinston's Global TransPark, but Boeing chose Everett, Wash., for the plant after Washington officials offered $3.2 billion in incentives.
Gregoire's report compares taxes an aircraft assembly plant would pay for various property, corporate and income taxes at seven sites, including Kinston, Moses Lake, Wash., and Everett, Wash. The two Washington sites come in much lower than Kinston, the report claims. The report also boasts that Washington students score higher on SAT and ACT tests than North Carolina students.
A Boeing official said today that the company appreciates Gregoire's report, but added that Washington's workers' compensation and unemployment insurance costs are still too steep.
“While Washington state has made progress, there is still work to do to deal with the high costs of doing business,” Boeing spokesman Bernard Choi told the Associated Press.
Boeing officials are expected to recommend a location for the second 787 assembly line in the next few months. Executives at Boeing headquarters in Chicago are expected to make a final decision by year's end.
Assistant Business Editor Alan M. Wolf joined the N&O in 1999 covering the business of health care. He became an editor in 2001, and helps oversee the paper's daily business coverage and Sunday Work&Money section. He lives in Clayton with his wife and two children. Reach him at 919-829-4572 or 
