Georgia Candidates Look to Tech Companies for Economic Growth

Two candidates vying for Georgia governor unveiled proposals to create technology jobs and invest in biomedical R&D. Democratic nominee Roy Barnes would expand the scope of the Georgia Research Alliance (GRA) to build on programs that accelerate technology transfer. Barnes credited the organization with a 20-year track record of helping create high-value companies based on university research. Republican nominee Nathan Deal would expand access to capital for biotechnology startups and create a Certified Capital Company (CAPCO) program to help fuel R&D. Georgia's current governor, Sonny Perdue, is term-limited in 2010. Both candidates offer job plans that aim to advance the state's position as a leader in the biotechnology industry.

Roy Barnes (D)

Roy Barnes, who served one-term as Georgia's governor from 1999 to 2003, announced last month proposals to strengthen the state's technology and biomedical infrastructure as part of a comprehensive jobs plan that also includes capital access programs for small businesses and a manufacturing supply chain initiative to support industry clusters within the state.

To help accelerate the distribution of technology products to market, Barnes would expand certain programs within GRA to focus on building relationships between technology companies and research institutions. GRA's current portfolio of programs includes the Eminent Scholars program to recruit university researchers, Centers of Research Excellence, and VentureLab, a technology commercialization program. He cites the Ben Franklin Technology Partners program in Pennsylvania and the Maryland Technology Development Corporation as models for facilitating tech transfer from state universities.

The Barnes plan also includes a $25 million investment to establish InVest Georgia Biomedical Research Park. The funding would back private developers who invest in construction of dedicated research facilities, similar to the Research Triangle in North Carolina, according to Barnes' campaign website. Barnes also would refocus the Georgia Cancer Coalition, which was created during his previous term as governor, and expand the concept to additional medical research areas.

Barnes also is touting a $300 million jobs tax credit available to employers who increase their total payroll either through adding new jobs, increasing hours for existing employees, or raising salaries. In support of small businesses, he would create a Georgia Capital Access Program to promote lending.

To help equip workers for high-tech manufacturing jobs, Barnes wants to partner technical colleges with trade associations and businesses. His plan also calls for promoting the resources offered by the Georgia Manufacturing Extension Partnership to small manufacturers and developing a supply chain initiative similar to one created by Business Oregon for the wind energy industry to build local supply chains for Georgia industry clusters. Roy Barnes' jobs plan is available at: http://www.roy2010.com/images/stories/jobs.final.pdf.

Nathan Deal (R)

A former congressman, Nathan Deal is running his campaign on a five-point plan that includes proposals to enhance economic competitiveness such as creating a CAPCO program to fuel R&D, maximizing access to capital for small businesses, and exempting startup companies from corporate income taxes for the first ten years. A portion of Deal's blueprint for economic development in Georgia is centered on growing the biotech and medical device industry in order to create high-paying jobs.

Deal wants to establish Georgia as a leader in biotechnology, leveraging the resources of the state's world-class universities and research institutions. Georgia currently is ranked among the nation's top ten states in biotechnology, but Deal says growth in the industry is hampered when compared to competitor states because of challenges in obtaining venture capital for startup companies. To bring in new businesses and encourage entrepreneurship, Deal wants to cut corporate income taxes by one-third and exempt startup companies from corporate income taxes for the first ten years.

Part of his plan for increasing access to capital for small businesses included establishing a CAPCO program, which relies primarily on the private sector to invest in targeted geographies or industries, according to his campaign website. The CAPCO model for stimulating job creation has been the subject of much debate over the years throughout states.

Nathan Deal's Real Prosperity: A Blueprint for Economic Development in Georgia plan is available at: http://www.dealforgovernor.com/pdf/RealProsperity.pdf.pdf