SSTI Digest

On Thursday, Illinois Governor George Ryan announced nearly $3 million in state grants for eight Illinois Technology Enterprise Corporation (ITEC) centers, quadrupling the number of ITECs. Funded by the Illinois Department of Commerce and Community Affairs (DCCA), the centers assist technology-based start-up businesses and serve as incubators for the new ventures.

The grants announced for the centers will continue to fund operations at Northwestern University in Evanston and the University of Illinois in Champaign and support six new centers in Chicago, Naperville, Lemont, Peoria, Carbondale and Springfield.

The Illinois Biotechnology Industry Organization has appointed David Miller to serve as president, effective September 3.

The Illinois General Assembly has passed legislation to encourage venture capital investment in technology businesses across the state. HB3212 creates the Technology Development Fund, which permits the State Treasurer to use up to 1 percent of the state's total investment portfolio for equity investments through Illinois venture capital firms.

The Chicago Tribune reported last Friday that the total amount of state funds available for venture capital investment will be as much as $60 million.

Eligible Illinois venture capital funds to receive monies from the new Technology Development Fund must use the state funds to place investments in technology businesses seeking to locate, expand, or remain in Illinois.

John S. Maxson has been named as the new president of The Illinois Coalition. Mr. Maxson fills the position vacated by Shaye Mandle earlier this spring.

The Illinois Innovation Initiative has named Jerry Mitchell to serve as commercialization manager. Mr. Mitchell is also president of the Midwest Entrepreneurs Forum.

Shaye Mandle has resigned as president of the Illinois Coalition to accept a position as the new executive director of the East West Corporate Corridor Association in DuPage County.

More than $1.26 billion in royalties were collected by U.S. colleges and universities in FY 2000, according to the tenth annual licensing survey released by the Association of University Technology Managers (AUTM). In addition, the FY 2000 Annual AUTM Licensing Survey reported 347 new products were introduced to market and at least 454 spin-off companies were created by the institutions, where inventors filed for more than 8,500 U.S. patents.  Attesting to the localized economic development impact of strong university research, more than 80 percent of the start-up companies were located in the academic institution's home state or province.  Other survey highlights include: 

Illinois  The March 7 Chicago Tribune reported that the new 840-acre DuPage County Technology Park has hired its first executive director. Jack Tenison, deputy administrator for county government in Dupage, will start the position April 1 and will work to link development of the property with the nearby Fermi National Accelerator Laboratory, Argonne National Lab, the area universities, and the adjacent airport. The Trib says a $34 million state grant will pay for planning and preliminary construction of the park.  Indiana 

This is the final installment in this year's coverage of the Governors' State of the State and Budget Addresses highlighting issues of importance to the tech-based economic development community. Illinois George Ryan, State of the State/Budget Address and Supporting Press Materials, February 20, 2002

Chicago Chicago CivicNet recently named 22 firms as finalists for an endeavor to build and operate a network connecting 1,600 public buildings in Chicago with fiber optic cable. CivicNet, an initiative of the City of Chicago and the Mayor's Council of Technology Advisors, saw more than 60 companies respond to the Request for Information issued by the City in November 2001. A finalist competing for CivicNet's Request for Proposals (issued in December) will win $25 million a year for the next 10 years to build the digital network that, being extended to private homes and businesses, would mean considerable additional revenue. A listing of the finalists, who must submit proposals by March 29, is available at: http://www.chicagocivicnet.net/

Carbondale, Illinois The latest issue of the Illinois Coalition's TechAlert reports Southern Illinois University at Carbondale has broken ground on the $40 million, 45-acre Southern Illinois University Research Park. Plans call for the park to include 12 buildings totaling nearly 236,000 sq. ft. When full, the park should house approximately 75 companies with 800-1,200 tech-skilled employees. Financing for the initial phase has come from an Illinois FIRST grant of $500,000, a $300,000 Congressional earmark, and approximately $700,000 in other federal funds. Verizon also has invested $800,000 in an on-site fiber optic switching center. The park is adjacent to the university's Dunn-Richmond Economic Development Center, which houses the Southern Regional Center of the Illinois Manufacturing Center and the Business Incubator Program.

With 90 percent of Chicago’s economy in slow-growth sectors such as manufacturing, retail, financial services and real estate, leaders from business, academia, government and nonprofit groups have joined forces to develop and implement a strategy to establish the city as a key player in the New Economy. Mayor Richard Daley unveiled A New Economy Growth Strategy for Chicagoland earlier this month, accompanied by announcements of new initiatives and commitments by leaders of several entities central to the plan’s success.  The plan calls for a unified effort toward two goals: 1) make Chicago a prime location for technology startups, and 2) create world-class leadership in priority New Economy sectors of biotechnology/biomedical, wireless software, software development, and emerging technology such as nanotechnology.  To achieve the first goal, five areas are to receive attention: