Tech Talkin' Govs III

This is the third in a series of articles as SSTI continues its look at the prominence of tech-based economic development in the Inaugural, State of the State and Budget Addresses given by the nation's governors. Highlights from this week's speeches are provided below.

Hawaii

Gov. Linda Lingle, State of the State Address, Jan. 26, 2004

"Conservation, waste-to-energy programs and alternative energy initiatives can reduce our dependence on fossil fuels and move our state to the forefront of progressive energy policies. To demonstrate the state's commitment and leadership role, I ask you today to pass our bill that mandates 20 percent of all electricity sold in the year 2020 come from renewable sources.

"This ambitious goal would be mandated in steps through a balance of incentives and penalties. We are also proposing a bill to encourage the use of non-fossil fuels by exempting them from the Hawai`i state fuel tax...

"We ask you to work with us in providing improved investment tools to encourage technology industries, as well as non-tech businesses, to locate and stay in our state. The programs we are proposing would encourage investments through professional venture capital managers and offer incentives for investment in University of Hawai`i-based research. The objective would be to help not only start-up firms, but also more mature companies that are ready to launch a product or service."

Kentucky

Gov. Ernie Fletcher, Budget Address, Jan. 26, 2004

"...[T]he global economy is changing rapidly. To prosper we will change with it and we will seize the opportunities of the Knowledge Economy. To do this, we will recognize our universities and our community colleges as essential economic engines. They transfer technology from the laboratory to the work place. They are the incubators of human capital. And for our colleges and universities to fulfill this role, we must invest in their training, technology transfer and research. That's why our budget makes the wise investment of expanding research space in both of our major universities...

"I have provided over $25 million for economic development to support our New Economy initiatives...

"But, let me remind you that our current tax code deters economic development and does not reflect the new, knowledge-based economy. By modernizing our tax system, we will be able to generate economic growth, expand opportunity and avoid such tough times in the future."

Michigan

Gov. Jennifer Granholm, State of the State Address, Jan. 27, 2004

"In December, I convened a Manufacturing Matters Summit and brought together some of the best minds among our business and labor leaders. The detailed agenda we developed together will guide our fight to retain jobs. First, and this was the overwhelming consensus of the bipartisan business and labor leaders who attended our Manufacturing Summit: we all must insist that our federal government pursue international trade policies that level the playing field for our businesses...

"As your elected leader, I would not be doing my job if I did not force the question upon Washington and upon you, the Legislature: How can a state so reliant on manufacturing compete with countries paying $1.57 an hour or with countries offering no benefits, no labor and no environmental standards?

"...In the weeks since our Manufacturing Summit, we’ve begun to make important changes in our tax system to strengthen Michigan businesses... Our State Treasurer, Jay Rising, is leading an effort to restructure business taxes in Michigan to make us even more competitive as a center of manufacturing...

"The second step in growing our economy is to diversify and grab the attention of entrepreneurs... Today, we need to instill that entrepreneurial thinking — to get our residents and our young people imagining that they have the potential to be their own boss, the innovator, the producer of wealth and job... And Michigan will attract and grow their businesses at every stage of development — from a big idea, to a promising start up, to a business wanting to double its growth and provide growing job opportunities along the way.

"New ideas can create entire new industries almost overnight. But our best new ideas in Michigan can also die in the research lab or someone’s garage or migrate elsewhere if entrepreneurs don’t have access to capital here in our state. Tonight, I am announcing that my Administration, through the Michigan Economic Development Corporation, is creating three new financial tools to help businesses take root in Michigan and grow new jobs at every stage of development. These new funds will leverage federal and private dollars to make more than half a billion dollars available for starting or expanding 21st Century businesses.

• The Emerging Business Fund will provide critical assistance to high tech firms trying to turn research conducted at Michigan universities into commercial products. Each matching state dollar we provide through the Fund will allow these companies to obtain eight dollars in federal Small Business Innovation and Research funding.
• The Venture Michigan Fund will give technology start-ups in our Technology Tri-Corridor access to the venture capital they need to become successful job producing businesses. I want to thank the Legislature tonight for its critical role in giving a leg-up to these start-ups.
• And our Small Business Growth Fund will give our small and medium-sized firms – the engines of so much of Michigan’s job growth – access to the capital they need to create new business and employment opportunities.

"Together these three funds send a half-a-billion dollar message to entrepreneurs and businesses — we will help you grow your business and new jobs here in Michigan...

"And because engineers and technology workers are so important to the Michigan workforce, beginning in the next academic year we will make zero percent loans available to students in our public universities who pursue engineering and technology degrees. They’ll keep that zero percent rate as long as they continue to study and work in Michigan.

"...Broadband – high speed internet access to information and customers – is no luxury. It’s a necessity to compete in our high-tech new world. Unfortunately, many areas of Michigan still lack this lifeline to our information-driven economy. I am particularly pleased to announce tonight that by 2007 we will have brought high speed internet service to every corner of our state, through the work of the Michigan Broadband Development Authority."

Mississippi

Gov. Haley Barbour, State of the State Address, Jan. 26, 2004

 We have a complex web of workforce development programs. More than 10 state agencies have some workforce development function... Our community colleges should be given more of the franchise in workforce development and training. They have a proven record of performance in workforce training and a well-deserved reputation for tailoring programs to meet specific needs and, thereby, create jobs. The community colleges have the ability, and they are ready and willing to take on more responsibility.

"To ensure better coordination of workforce development efforts, I propose we integrate the efforts of the state Workforce Investment Board with those of the State Board for Community and Junior Colleges. This will give consistent direction and focus to our overall workforce development strategy...

"Of course, a lot of employees will still get job training from their employers. To increase and improve these programs, I propose giving employers more incentive to upgrade the skills of their workers by reforming the job training tax credit...

"I want to let you know that the largest increase in my budget will be to restore some of what has been cut from our universities and community colleges. My reason is simple: we want to make community colleges a key part of our workforce development efforts and to make our universities the leaders in turning their research into commercial products and services. These institutions are where economic development and education meet, and that is too important a place to cut. Our institutions of higher learning are economic gold mines, and we must do a better job of mining them."

Ohio

Gov. Bob Taft, State of the State Address, Jan. 28, 2004

"Let's continue to support the Third Frontier Project through the tobacco and capital budgets this year. And given the loss on Issue One last year, I will ask you to redirect additional dollars to protect capital investments already made...

"I am asking you to extend the maximum term of our successful Enterprise Zone Program from 10 to 15 years. Michigan and Indiana already have zones that extend beyond our limit. Large projects have longer paybacks and our local communities need all the help they can get to compete for new jobs."