SSTI Digest

Breaking new technologies into traditional markets can be challenging, particularly in the energy field it seems. To help overcome that hurdle, the State of Pennsylvania has undertaken a $5 million initiative to help finance the implementation of clean and renewable energy technologies such as biomass and wind power. The initiative, Pennsylvania Energy Harvest, will help improve air quality, preserve land and protect local watersheds while providing economic opportunities for the state’s agricultural community.

Innovation Philadelphia, a public-private partnership, the Greater Philadelphia Chamber of Commerce, and the city of Philadelphia have developed a road map that identifies the future drivers of the Greater Philadelphia economy and provides a framework for developing these drivers.

A Road Map for Regional Growth: Connecting the Greater Philadelphia Innovation Economy represents the broader interests and perspectives of the 11-county regional business community, nonprofit community, higher education, and local agencies and governments. It articulates regional competitive advantages and identifies target opportunities that, if developed in a focused and determined manner, will allow Greater Philadelphia to reclaim a role as a leading global innovator.

The Pittsburgh Technology Council recently issued its annual State of the Industry Report, which reveals that in spite of an extended national recession that began in 2000, the region’s technology industries have held their own, at least through the mid-point of the current economic downturn. The report covers the 13-county southwestern Pennsylvania region and presents industry statistics for 2001, the last year for which complete data is available from government and other sources.

Convincing politicians to make a multi-year investment in a state's economic future is challenging, particularly when commitments made in one budget cycle or administration can be forgotten or ignored so easily in the next legislative session. The FY 2003-04 funding struggle for Michigan's $50 million-per-year-for-20-years life science initiative provides ample evidence: $50 million dropped to $45 million and eroded to $32.5 million because of budget problems. For FY04, the governor has requested only $20 million for the line item and added several other demands on the shrinking pot of funds.

Getting a state's General Assembly to stick to it for 20 years, as Pennsylvania's Ben Franklin Technology Partners (BFTP) has seen since 1982, takes strong gubernatorial and legislative leadership across terms, administrations and parties — and results worthy of the increased public funds.

Pennsylvania Governor Edward Rendell recently unveiled an economic stimulus program that will invest nearly $2 billion in bonds and loan guarantees. The stimulus program is intended to leverage at least $5 billion in private investment in economic development projects, creating jobs in Pennsylvania's small and mid-size cities and towns.

Key provisions of Plan for a New Pennsylvania include:

Congratulations to Steve Zylstra, his staff and the 1,500-plus members of the Pittsburgh Technology Council as they celebrate the organization's 20th anniversary.

Dr. Donald Smith has been named interim chief executive officer of the Pittsburgh Life Sciences Greenhouse.

Dennis Yablonsky, chief executive officer for the Pittsburgh Life Sciences Greenhouse, is Governor Ed Rendell's pick to serve as Secretary of the Department of Community and Economic Development.

Ben Franklin Technology Partners of Southeastern Pennsylvania (BFTP/SEP), an independent nonprofit economic development organization, has announced the Commonwealth of Pennsylvania's $2 million commitment to establish the Ben Franklin Investment Partners venture guarantee revolving fund. The fund is the first such development financing vehicle of its kind in the U.S.

The multifaceted fund provides a guarantee of up to 25 percent of any loss experienced by a group of qualified private investors – angels – in seed investments made in technology companies located in southeastern Pennsylvania. The goal is to respond to the capital needs of these early-stage companies, most of which have experienced difficulties raising early stage risk financing and other challenges as a result of the economy's downturn.

Kevin Harter is leaving his position as president of the Central Pennsylvania Technology Council to become senior vice president of the new Life Sciences Greenhouse of Central Pennsylvania.

Pennsylvania Governor Mark Schweiker has been named President and CEO of the Greater Philadelphia Chamber of Commerce. The Governor will assume his new position on Feb. 1.

Fritz Bittenbender will become president of the Pennsylvania Biotechnology Association in December.