SSTI Digest

SSTI extends its sympathies to the family of Indiana Governor Frank O'Bannon. During his interrupted term in office, Gov. O'Bannon proved to be a strong friend of tech-based economic development efforts in the state.

Cameron Carter is serving as interim president and CEO of Indiana's TechPoint, following Donna Gastevich's resignation to spend more time with her family.

The Indiana Proteomics Consortium has changed its name to Inproteo.

Within two years, Indiana's agency for promoting economic development will become a quasi public-private partnership similar in concept to the Michigan Economic Development Corporation. While in Minnesota, an agreement that resolved the budget impasse gives the state's lead science and tech organization a 12-month timeline to fully privatize from the state's support. Indiana's and Minnesota's are the latest moves to test the largely uncharted waters of privatized public technology-based economic development, moves that stem, in part, from governors and state legislatures trying to maintain momentum in the knowledge economy without identifying alternate revenue sources within state government. Indiana Legislation passed this spring will take much of the activity within the $83 million Indiana Department of Commerce, fold in a half dozen other state agencies, including the $37.5 million 21st Century Research and Technology Fund, and create the quasi-public Indiana Economic Development Corporation (IEDC) before the end of FY 2005. The two-year time frame…

During a legislative season that was marked by heated discussions in most statehouses on what to cut or save, Indiana is one of a handful of states so far that focused considerable debate on planting the seeds for a stronger future through technology-based economic development. The compromise crafted between Democratic Governor Frank O'Bannon – who started the discussion when he outlined his Energize Indiana initiative in his State of the State Address – a Republican controlled Senate with a countering JOBZ proposal, and an independent minded House (controlled by the Democrats) positions the Hoosier State among the leaders for promoting a technology-based economy. The state's research and technology community, catalyzed by recissions and cuts in the FY 2003 budget, played a significant and vocal role in pushing for a more comprehensive portfolio of programs and credits for the next biennium. The two-year budget bill recently signed by Gov. O'Bannon includes $75 million for research and development (R&D), $9 million for technology parks and $50 million for venture capital tax credits, among other…

For the second time in three years, the Lilly Endowment is demonstrating its strong commitment to Indiana University's role in life sciences education and research by awarding $50 million to advance the Indiana Genomics Initiative (INGEN). INGEN was launched in December 2000 with a $105 million grant from the Endowment — the largest grant ever made by the Indianapolis-based philanthropic organization and the largest received by IU. The goal is to propel IU forward as a world-class biomedical research institution and to serve as the foundation for a robust life sciences enterprise. The Endowment presented the $50 million grant with the stipulation that it be used in areas of greatest need involving INGEN. "By helping IU attract top-flight researchers and strengthen its role in this highly competitive area, this grant will build the intellectual capital of our state, so vital to Indiana's future prosperity," said N. Clay Robbins, president of the Endowment. According to IU School of Medicine Dean D. Craig Brater, M.D., the most immediate need for INGEN is research space. The…

Timothy Monger is the new executive director for the Indiana Department of Commerce, Monger replaces Thomas McKenna, who has taken the position as cheif of staff to the Lieutenant Governor.

Many organizations are wondering if, when and how severe their budgets could be impacted by the economy and the continuing fiscal crises in the states. While foundation endowments also have taken a hit by the stock market slump, several are increasing their contributions in building local or statewide technology-based economies. Two recent examples highlight the trend and point toward a funding path few TBED efforts have fully tapped. Danforth Foundation Commits $117 Million in St. Louis The St. Louis Post Dispatch reported in a Jan. 9 article that the Danforth Foundation, based in St. Louis, has set aside $117 million over the next two years to support regional economic growth in the plant and biomedical sciences. The story states the foundation's board is "soley dedicated to identifying opportunities and making grants that will further research, spin off commercial opportunities and create jobs." "If our region and state seize the opportunities, plant and life sciences can be the economic engine for St. Louis for decades to come," the foundation's chairman John Danforth…

Indiana Governor Frank O'Bannon unveiled a plan earlier this week to "Energize Indiana" that relies heavily on tech-based economic development.  Gov. O'Bannon's Energize Indiana plan is a $1.25 billion, 10-year initiative that seeks to create high-skill, high-wage jobs in four industry sectors to which Indiana has a claim – advanced manufacturing, life sciences, information technology and 21st century logistics (high-tech distribution) – and to prepare the state's workforce to fill them.   Of the $1.25 billion, $610 million is directed toward supporting university research, university-industry partnerships, construction of university research facilities, and scholarships in targeted fields. Energize Indiana will tap several financial sources to accomplish its goals, but not state tax money. The plan calls for the sale of bonds to generate money for these measures, using as collateral some of the future payments from the settlement of the nationwide lawsuit against the tobacco industry. It would use part of the money already on deposit in a tobacco settlement trust fund, or $195…

Anthony Armstrong returns to the Indiana 21st Century Research and Technology Fund as its new director.

The National Consortium of Entrepreneurship Centers (NCEC) presented on Tuesday the 2002 NASDAQ Entrepreneurial Excellence Awards to entrepreneurship centers at Babson College, Indiana University-Bloomington, and Saint Louis University. The award recognizes achievements and efforts of entrepreneurship centers in the following areas: entrepreneurship research, outreach to emerging ventures, entrepreneurship curriculum, community collaborations, special projects, and overall prestige and recognition in the entrepreneurship field. The award honors centers that have made and will continue to make enormous contributions in advancing entrepreneurship as the force in economic growth throughout the world. Selections are made by a panel of NASDAQ representatives, previous honorees, and distinguished professors of entrepreneurship at some of the leading programs in the country. This year's honorees include the Arthur M. Blank Center for Entrepreneurship at Babson College, Johnson Center for Entrepreneurship & Innovation at Indiana University-Bloomington, and the Jefferson Smurfit…

Most technology-based economic development programs recognize the need to have more people in their states or communities who have received bachelor degrees or higher. Bringing low-income populations into a knowledge-based economy is particularly difficult because of the two significant obstacles low-income students face for college access: insufficient financial aid and inadequate academic preparation. According to a report released last week by the Lumina Foundation for Education, the Twenty-first Century Scholars Program, Indiana's state financial assistance initiative, helps low-income Indiana residents overcome those obstacles. The program also may help address "brain drain" concerns when a state experiences a net outmigration of college graduates. Meeting the Access Challenge: Indiana's Twenty-first Century Scholars Program notes that students who participated as Twenty-first Century Scholars were significantly more likely than non-Scholars to enroll in college. Of the 2,202 Scholars in the study sample, 1,752 — nearly 80 percent — enrolled in an Indiana college or university…