Hmmmm.... Well, it remains to be seen whether this is "conservatism." Looks to me to be more like the standard-issue Business Bribe.
IIRC, Boeing's complaints against Washington State have much less to do with taxes, and much more to do with things like health insurance and a "poor business climate." I don't see that the proposals here really address those issues at all.
Actually they did attack the most generous unemployment scheme in the nation. They've trimmed it enough that construction and other labor concerns are crying foul.
You are right however, much, much more could have been done if they were really interested in keeping Boeing here and attracting more businesses to the State. The nasty secret is a certain segment of our neighbors want Boeing gone. It's a dirty, polluting business that manufactures gas guzzling environmental disasters.
What I want Gov. Loke to explain is how this tax break for the rich is different from the tax breaks he hates from President Bush?