Crony capitalism: Capital building kerfuffle adds to state budget woes

To lease or to own, that is the question.

It’s vexed state lawmakers for months as they consider moving the Washington State Patrol into new digs.

The House and Senate can’t agree on the answer, adding fuel to the interminable political wrangling in Olympia that’s pushed the state ever closer to a shutdown.

It puts at risk a new state construction budget that would pay for such things as a new cafeteria at Marysville Pilchuck High School and a Washington State University building in Everett.

Here’s the problem: The General Administration building on the Capitol Campus is an aging edifice capable of collapse in the next good-sized earthquake. Lawmakers want to relocate its occupants, many of whom work for the State Patrol.

Two years ago, they settled on a plan to tear down another state-owned building a couple blocks away and replace it with a gleaming new energy efficient one for the State Patrol and other agencies.

The 2013-15 capital budget contained cash for demolition and design. But they messed up the language in a way that made it impossible for the state treasurer to sell the bond-like “certificates of participation” needed to finance construction.

When Rep. Hans Dunshee, D-Snohomish, the project’s chief cheerleader and chairman of the House Capital Budget Committee, set out to fix it this year he found the Republican-led Senate no longer wants to proceed.

Sen. Jim Honeyford, R-Sunnyside, architect of the Senate capital budget, said his party now figures it might be cheaper to lease existing office space rather than build something new. They want a fresh analysis of the options before moving ahead.

But Dunshee said that’s not the reason for the change of heart. He contends it’s because of the influence of an Arlington businessman, Brent McKinley, who spent generously to help elect Republican senators in the 2014 election and could benefit generously if the Senate approach is followed.

McKinley makes his living from renting office space to state agencies. His company, Vine Street Group, collects roughly $2 million a month from 17 leases in Thurston County alone, according to state data provided by Dunshee.

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http://www.heraldnet.com/article/20150625/NEWS01/150629503