$1.9 Billion Illinois VentureTech Proposed

As part of his FY 2001 budget request, Illinois Governor George Ryan announced a five-year, $1.9 billion package of technology-related initiatives intended to put Illinois in a leadership position among states in science and technology. Illinois VentureTech includes several education and computer technology acquisition programs and the following S&T and research-related initiatives:

• More than $86 million would be used to boost funding for technology development programs in several organizations and agencies. The proposed budget for the Department of Commerce and Community Affairs (DCCA) includes the creation of a new Bureau of Technology and Industrial Competitiveness to enhance the state’s technology industry and to prepare workers for high-tech jobs. The bureau’s budget would include $25.8 million for technology programs, including an additional $4 million for the Technology Advancement and Development Act. Under the Act, DCCA would provide assistance to companies and research institutions to analyze, develop, and market technology products or processes that allow businesses to become more competitive. Another $4.5 million would be used to build a Technical Training Center.
• The proposal calls for doubling the state’s investment for the Illinois Technology Enterprise Corporation (ITEC), a statewide system of entrepreneurial development centers designed to assist company start-ups and growth. Additional funding would be used to support incubators focused on information technology and biotechnology.
• The University of Illinois would receive $80 million for a new post-genomics research institute, $93 million for a new medical school in Chicago, $53 million for a pharmacy science facility, $31 million for a new building for the National Center for Super Computing Applications, $71 million for a new chemical sciences building, $19 million for a new microelectronics laboratory, and an $11 million MRI facility in Chicago.
• $30 million will leverage $170 million in other funding for a biomedical  research facility at Northwestern University.
• $8 million would be directed for rural health telemedicine systems run by Southern Illinois University.

Some of the funding for Illinois Venture Tech would be derived from the state’s tobacco settlement monies. In addition, Governor Ryan is proposing to authorize use of up to $800 million in state-directed venture capital over the next three years to increase the amount of investment funding available in Illinois. Public investment contributors would include the Illinois Development Finance Authority, the State Board of Investment, and the State Teachers’ Retirement System along with a five-year allocation in state budget.