SSTI Digest

On September 20, the Economic Development Administration (EDA) announced $17 million in awards to the 2017 Regional Innovation Strategies (RIS) program awards. SSTI’s Innovation Advocacy Council has worked with members to encourage Congress to support this program, which makes awards to support the creation and expansion of tech transformation networks (i6 Challenge) and early-stage seed capital funds (the Seed Fund Support). In total, EDA made 42 investments that leveraged over $22 million in private, state and local matching funds.

For 32 years, the Engineering Research Centers (ERC) program of the National Science Foundation has provided long-term funding for university-industry-government collaborations focused on addressing specific, complex engineering challenges. The program can be an integral part of a state’s strategy to encourage stronger partnerships among universities and private industry. On September 12, NSF announced $80 million in funding for four more multidisciplinary centers, bringing the total number of ERCs funded since 1985 to 74. The four new ERCs, which may receive NSF funding for up to ten years, are: Fuel derived from shale gasThe NSF Engineering Research Center for Innovative and Strategic Transformation of Alkane Resources (CISTAR) will develop technologies for responsible conversion of light hydrocarbons from shale gas into fuels and chemicals using a network of portable, modular processing plants. Led by Purdue University in partnership with the University of New Mexico, Northwestern University, the University of Notre Dame and the University of Texas at Austin, CISTAR could enable lower carbon emissions and improved energy efficiency, and provide a…

The National Science Foundation (NSF) has announced the recipients of 27 Design and Development Launch Pilots as part of its INCLUDES initiative. The initiative is aimed at enhancing U.S. leadership in science, technology, engineering and mathematics (STEM) discoveries and innovations through a commitment to diversity and inclusion. The 27 pilots feature public-private partnerships that will develop blueprints for broadening STEM participation and are funded through two-year, $300,000 grants. Although the vast majority of awardees are based at universities, the program attempts to engage partners from private and corporate philanthropy, industry, non-profits, K-12 school systems, federal agencies and scientific professional societies, and any other organizations affiliated with STEM. A key feature of NSF INCLUDES is its focus on uniting a wide variety of collaborators to generate pioneering solutions to persistent problems. These pilot projects will create an infrastructure that enables large-scale coordination and wider STEM participation.

The Small Business Administration (SBA) announced that is withdrawing a December 28, 2016, final rule concerning Small Business Investment Company (SBIC) investments in passive businesses – a small entity that does not engage in regular and continuous business activity. Set to take effect on August 18, the final rule would have placed several restrictions on the eligibility of passive companies to receive SBIC investments. The new decision will maintain the current SBA rule that allows passive companies to remain eligible for SBIC investments. The SBIC, however, must receive SBA written approval before making the investment. Under SBA guidelines, Eligible Passive Companies (EPCs) typically are structured as real estate holding companies that must use loan proceeds to acquire or lease, and/or improve or renovate real or personal property that it leases to one or more operating companies for conducting the operating company's business.  After several delays to the December 28 rule, it was withdrawn last month because the SBA contends a change would result in an unacceptable level of risk if SBICs had already structured a significant number of…

Washington, D.C. – From teaching high school students in rural western Kentucky how to become entrepreneurs to connecting entrepreneurs with a worldwide network of partners in a virtual hub, organizations are finding innovative ways to build regional prosperity. Four outstanding examples were recognized today by SSTI, a national organization working to strengthen initiatives to create a better future through science, technology, innovation and entrepreneurship. SSTI’s Creating a Better Future Awards celebrates outstanding economic development initiatives from across the country in a variety of categories. “It’s important that we recognize the good work that is being done throughout the country and showcase the successful programs that others can emulate,” said SSTI’s president and CEO, Dan Berglund. “These initiatives are creating the environments that make it possible for innovation and entrepreneurship to thrive.”

The White House Office of Management and Budget released a memorandum on R&D priorities that directs agencies to prioritize basic science and lower costs in their FY 2019 budget requests. R&D investments should be made in military superiority, security, prosperity, energy dominance and health. The memo repeatedly encourages officials to identify, and divest of, research areas where industry is ready to make their own investments toward commercial development. The memo’s R&D priority practices are potentially impactful for regional innovation economies: Increasing Government Accountability and Efficiency. Under this bullet, the administration requests an emphasis on R&D that could “contribute to the public good” but not in areas that can be conducted with private R&D investment; Supporting Innovation Early-Stage Research. The memo directs agencies to consider basic and early-stage applied research and leave later-stage development to industry, although agencies are also encouraged to invest in adapting private innovations for federal use; and, Maximizing Interagency Coordination. Given the wide-ranging nature of many R&D…

Recognizing the growing need for a skilled workforce in the increasingly digital manufacturing sector, a new report from the public-private effort of DMDII and ManpowerGroup aims to capture the changing technology and business interactions, and the job roles that are having an impact on the sector. The year-long body of work attempts to answer, among other questions, how workforce roles and job structures flex to accelerate the succession of a transforming global economy. By defining emerging roles and skills in the digital manufacturing and design space, the authors hope industry and academia will be able to better align for training and hiring. A full copy of the report, The Digital Workforce Succession in Manufacturing is available for download from: UI LABS at www.uilabs.org/taxonomy.  

In a recent report from The Century Foundation, assumptions about the value of a renewed commitment to manufacturing are examined and its importance to the nation’s economic future are reviewed. In Why Manufacturing Jobs Are Worth Saving, the authors review the current status of manufacturing activity, dive into regional data on the role of manufacturing in the economic recovery of communities, and take a look at the quality of the jobs and workforce challenges facing the industry. 

Arizona schools are taking a different approach to developing the next generation of STEM workers and leaders with the Chief Science Officer position, now in 120 schools across the state. The students, from grades six to 12, are elected by their peers and participate in training events where they learn about STEM activities and careers and can advocate for STEM education in their schools. Throughout the year, the students work with industry professionals or community mentors to apply their knowledge in real-world settings. Partners from a variety of organizations help support the training institutes for the students, and frequently host event at their sites or visit the schools. The program garnered the attention of former president Barack Obama and has sparked interest in other states and regions. The Arizona program is a collaborative initiative of Arizona Commerce Authority and Arizona Technology Council Foundation.

Bloomberg’s U.S. Startups Barometer for August 21, 2017 highlights an environment ripe for startups to attract venture capital (VC). The weekly index tracks the overall health of the business environment for private technology companies based in the U.S. Driven by the number of VC financing deals, the barometer set a new record high for the second consecutive week with a nearly 65 percent increase from last year’s index score.

The U.S. Small Business Administration has granted 16 organizations up to $125,000 each and five organizations up to $200,000 in FY 2017 as part of the Federal and State Technology (FAST) Partnership Program. FAST funds help organizations provide outreach and technical assistance to technology-based businesses, with a particular emphasis on broadening participation among underrepresented groups. The organizations – which include state and local economic development entities, small business development centers, and universities – will use the awards to support R&D commercialization and small business innovation through the SBIR and STTR programs. SSTI members receiving FAST Awards include: Oregon BEST, the Ben Franklin Technology Partnership, Launch Tennessee, the University of North Dakota Center for Innovation, the Iowa Innovation Corporation, and the University of Wyoming. 

Numerous foundations are investing in and partnering with anchor institutions to support inclusive and equitable community and economic development, according to a new report from the Funders’ Network for Smart Growth and Livable Community. The report, Anchored in Place: How Funders Are Helping Anchor Institutions Strengthen Local Economies, stems from a study by the Anchor Institutions Funders’ Group (AIFG), a working group established by the Funders’ Network.  The report also includes case studies on how funders are working with anchor intuitions in Albuquerque, Baltimore, Chicago, Denver and Minneapolis-St. Paul. The report includes a survey of foundations working with anchors, which found that the majority of foundations – more than 80 percent – emphasized support for thriving local and minority business communities and employment opportunities for low-income community members as their top priorities.  While many foundations are working with local institutions toward this goal in multiple ways – including but not limited to grant-making – most do not label this work as part of an “anchor” strategy,…