Idaho Legislature Rejects Governor's Request for Tech Programs in FY07 Budget

Gov. Dirk Kempthorne recently received some good news about his future when President Bush nominated him to serve as Secretary of the U.S. Department of Interior. The news was not as rosy on the home front for Idaho's economic future, however, as the state legislature in late March rejected the governor's plans for Idaho to take a more proactive role toward building a tech-based economy.

Funding for key science and technology programs included in Gov. Dirk Kempthorne's fiscal year 2007 budget request was rejected by the legislature last month as lawmakers considered how to disburse a $214 million surplus. The governor announced during his state-of-the-state address he would recommend the full request of the Science and Technology Advisory Council for the state's TechConnect program and increased funding for university research and technology transfer.

For the second year in a row, the legislature denied the governor's request of $300,000 to supplement the state's TechConnect centers. The three centers assist entrepreneurs and technology businesses in their regions and connect entrepreneurs with capital, legal assistance, financial planning, and various other resources. According to the governor's press office, the funding would have been used to open a fourth office in Twin Falls and provide operational funding for all four offices, as well as a statewide TechConnect organization.

In 2005, TechConnect received national recognition by the Small Business Administration's Office of Advocacy for excellence in promoting high technology entrepreneurship. Additional funding sources for the program are derived from federal and private entities.

The legislature also did not provide funding for the governor's science and technology initiative, which included $1 million for the State Board of Education to create two technology-focused programs - a research matching grant program and a statewide patenting and technology transfer office.

The legislature did approve $100,000 for the Small Business Assistance Fund to help businesses in the development of SBIR proposals. Unfortunately, the office that manages the Idaho SBIR Program, would receive just $50,000.

The legislature was kinder to rural economic development efforts as well, approving Gov. Kempthorne's $800,000 request for his Rural Initiative Program and directing $5 million to help offset the cost of extending broadband service into the more rural regions of the state. In the governor's budget request, $500,000 of the funding is to be targeted toward providing grants for science and technology-related projects in rural Idaho. The balance of the request would support general rural community development block grants and a rural economic development specialist position.

H .805 and S.1444 are available through the Idaho Legislature at: http://www.legislature.idaho.gov/index.htm