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 goal is to create jobs, expand existing businesses, attract new enterprises, and promote an equitable economy.

To facilitate this initiative, the bill introduces a new grant account in the state treasury specifically for funding these efforts. The Department of Commerce is tasked with developing grant criteria in collaboration with stakeholders and ensuring equitable distribution of funds across the state. Grant recipients will be required to report on their fund usage, and starting December 31, 2026, the department must include grant information in its legislative reports. The account will be funded through legislative appropriations, private contributions, and other sources, with expenditures strictly allocated for the annual grants to support the outlined initiatives.