Weekly interest and loan rates | Northwest stock contest 2004 Tax tips | Consumer affairs | Home values

State paid $715,000 to consultants to assist with 7E7 bid

By David Bowermaster
Seattle Times aerospace reporter

E-mail this article Print this article Search archive

Martha Choe, the former executive director of the Department of Community Trade and Economic Development, said the agency paid Deloitte's bills in full last year.

But the economic development agency is asking the state Legislature to reimburse $250,000 of the costs as part of a supplemental budget request for 2004.

Other state agencies and regional economic development agencies supplied $200,000 to cover the site-selection consultants' fees, Choe said. The balance of $265,000 came from the agency.

"It's a lot of money, but it's worth every penny," Choe said. "There's no way the state could have met the challenges (of the 7E7 proposal) without national expertise like Deloitte provided."

Deloitte tapped experts in the air-cargo industry who helped the state respond to Boeing's request for aid converting and operating 747 freighters that could move large 7E7 components by air, Choe said. Likewise, Deloitte human resources experts helped shape the state's workforce training proposals to Boeing, she said.

The agency is also requesting an additional $465,000 from the Legislature to cover the state's costs of administering the 7E7 contract through the end of the 2005 fiscal year.

That amount includes the salary through the end of May of the person who will coordinate the implementation of the state's 7E7 contract with Boeing — that person being Choe; the salaries of Robin Pollard, who will be aiding Choe, and one assistant through 2005; and other administrative expenses, Pollard said.

The state will also perform a 7E7 economic impact study, requested by Boeing.

Pollard was the agency's deputy director until Gov. Locke named her to assist Choe with the state's 7E7 obligations.

Washington state did not hire Deloitte directly. Rather, the agency hired Development Counsellors International, a New York public-relations firm, in December 2002 to burnish Washington's image. DCI hired Deloitte as a subcontractor.

David Bowermaster: 206-464-2724

Copyright © 2004 The Seattle Times Company