The bill establishes a competitive grant program aimed at supporting innovation, sustainability, partnerships, and equity within associate development organizations in Washington state. These organizations play a vital role in the state's economic development, serving all 39 counties and enhancing service delivery through public-private and state-local collaborations. The program's objectives include job growth, business expansion, and fostering an equitable economy.

To facilitate this initiative, the bill creates a new grant account under the custody of the state treasurer, which will be funded through legislative appropriations, private contributions, and other sources. The Department of Commerce is tasked with developing grant criteria and ensuring equitable distribution of funds across the state. Grant recipients are required to report on fund usage, and the department must include grant information in its annual reports to the legislature starting December 31, 2026. The bill also mandates the adoption of rules for its implementation.