SSTI Digest

In a period of tightening budgets, it is important for stakeholders to know that the investments they are making in tech-based economic development are yielding positive economic results - and returning revenue to the state. Recent impact assessments to examine comprehensive TBED programs in three states show how smart these investments have been. More telling, different evaluation models were used in all three states and they each reached similar conclusions: strategic TBED investments can stimulate economic growth. Pennsylvania A review of the initiatives of Pennsylvania's Ben Franklin Technology Partners (BFTP) program from the period of 2002 to 2006 concluded the state's investment of $140 million, dispersed to more than 500 companies and institutions, has yielded $517 million in state tax receipts - roughly a return 3.5 times greater than the amount spent from state coffers. The values in the assessment by the Pennsylvania Economic League are based on an economic model that includes direct spending by BFTP client firms, indirect spending as a result of BFTP, and induced spending of goods and services by affected employees. Along with using data…

Today's Digest marks SSTI's 600th issue. The Digest's growth in circulation and coverage over the past 13 years parallels the explosive expansion of activities to strengthen regional economies through technology-based economic development. From its humble beginnings as a two-page fax sent out to 50 people on Friday March 1, 1996, to its current world-crossing circulation now in the thousands, the Digest remains committed to delivering timely information that will help state, local and university TBED practitioners succeed. For the history buffs among our readership, nearly every past issue of the Digest is archived on our website: http://www.ssti.org/Digest/digest.htm. The Digest is made possible solely by the financial support of our membership. We encourage our readers to thank them directly (a list is available here) and to join them in becoming an SSTI member to help sustain the oldest free newsletter dedicated to serving the nation's entire TBED community.

As companies across the nation continue to announce massive layoffs during the economic recession, states, localities and private foundations are encouraging entrepreneurial training and providing support services to help create new jobs and assist struggling businesses. Last month, the Kauffman Foundation announced an intensive effort to quickly train entrepreneurs and bolster the nation's economy. The $1 million FastTrac LaunchPad program is a combination of two existing initiatives - the FastTrac NewVenture and FastTrac GrowthVenture - offered in shorter lengths than the normal ten-week courses. The Kauffman Foundation points to U.S. Census Bureau Business Dynamic Statistics data, which indicates that while business startups decline slightly in most of the cyclical downturns, startups remain robust even in the most severe recession over the sample period (in the early 1980s). The following is a sampling of recent announcements in support of entrepreneurship from across the country. New York City New York City, which has suffered major job losses throughout the financial sector, was the first to sign on to Kauffman's FastTrac program. The city's…

On March 12 from 1:00-5:00 p.m. in San Francisco, SSTI is co-hosting a meeting with officials from the Technology Innovation Program (TIP) and the Manufacturing Extension Partnership (MEP) that we would encourage you or one of your colleagues to attend. TIP and MEP are two of the most market-driven programs operated by the federal government. Both programs have launched new investments and innovative services in the last year. Registration and additional information is available at: http://www.ssti.org/tipreg/tipreg.htm.

As instructed by the White House Office of Management and Budget on Feb. 17, at least 25 of the federal agencies that received funding through the Recovery Act have created recovery webpages to allow easier access for potential grantees to the funding opportunities available through the act. In addition, OMB believes the sites will help keep the distribution process as transparent and trackable as possible. OMB also is maintaining a master recovery site, http://www.recovery.gov/ to monitor overall progress of the stimulus bill. Links to 25 agency recovery websites are available at: http://www.recovery.gov/?q=content/agencies

Through exclusive interviews with Excellence in TBED Award recipients, find out first-hand how these award winning initiatives successfully responded to a critical need by applying innovative approaches to generate substantial economic gains for their region. Recently released podcasts include: Mike Cassidy of the Georgia Research Alliance discusses their Eminent Scholars program. The podcast is available at: http://www.ssti.org/media/cassidy.html. Sheryl Bryan of the Virginia Council on Advanced Technology Skills (VCATS) provides details on replicating the program in other states and regions. The podcast is available at: http://www.ssti.org/media/bryan.html

State governments are poised to play a vital role in the economic recovery through their use of federally-appropriated funds and through their internal policy responses to the global crisis. Several states are focusing on innovation as a means of recovery. Massachusetts and Maine both recently released the latest editions of their annual innovation indices. These annual publications have long helped to clarify trends in the innovation economy and provided assessment of their performance relative to other states. This year these indices take on new significance as state governments search for potential paths out of the economic crisis. Massachusetts In the seventh edition of the Index of the Massachusetts Innovation Economy, Gov. Deval Patrick, MIT professor Richard K. Lester and six other prominent industry and academic leaders argue for the necessity of increased investments in research and high-tech industry to propel the state through the difficult times ahead. Lester suggests that the state should follow an innovation strategy that focuses on "sustaining the flows of capital, knowledge and people" that are vital to competitiveness but can suffer…

More than 50 research funding opportunities totaling more than $100 million were sent to SSTI Members this week in SSTI's Funding Supplement. This members-only electronic publication provides readers with application information, eligibility criteria and submission deadlines for hundreds of research and economic development funding opportunities offered by the federal government and others. Additional information about SSTI Membership is available at:  http://www.ssti.org/benefits.htm

By streamlining what has been perceived as a lengthy review process for university technology licensing deals, Oregon Attorney General John Kroger hopes to eliminate barriers between Oregon universities and entrepreneurs, thereby accelerating private sector job creation. Unlike most other states, Oregon law mandates the state Department of Justice conduct a separate legal review for its larger technology transfer deals. Tony Green, spokesman for Attorney General John Kroger, said the perception that the process moves more slowly in Oregon was impeding the state's ability to make deals. The attorney general's office reviewed how other states handled their review process and met with representatives in the venture capital community and attorneys who represent private clients in technology transfer negotiations. The reforms announced by the attorney general's office last week to eliminate the mandatory review by the Department of Justice, considered "cumbersome and unwarranted" by special assistant attorneys general employed by the universities to conduct the review, was met with praise by university and business leaders. The universities, with assistance…

A recent Information Technology and Innovation Foundation (ITIF) report ranks the U.S. last among 40 countries in progress toward creating an innovation-based economy over the past decade. The findings contradict several other studies that continue to depict the U.S. as the global leader in economic competitiveness. E-government, broadband, trade balance and corporate R&D were particularly weak areas for U.S. progress relative to other countries. ITIF warns that the U.S. economy will continue its decline in innovation unless federal policymakers recognize the need for a national innovation strategy. The Atlantic Century: Benchmarking EU & U.S. Innovation and Competitiveness offers a different perspective from recent reports from the World Economic Forum and The Economist, which paint a more optimistic picture of the U.S. economy. The report uses 16 weighted indicators to assess competitiveness, including indices related to human capital, innovation capacity, entrepreneurship, information technology infrastructure and economic performance. While the U.S. ranks sixth in terms of overall score, it lags behind every other country on the list for progress made…

First budgets for new presidential administrations are often delayed from their regular February release as new staff within the agencies and White House get settled. The first Bush budget proposal in 2001, for instance, was not released until the 2nd week of April. That contrasts sharply with the Obama Administration's initiation by fire into the federal budget process with introduction and passage of the American Recovery & Reinvestment Act two weeks ago and the budget for the balance of the current fiscal year just passing the House last week and under consideration in the Senate this week. The Continuing Resolution presently keeping the federal government in business expires this Friday so some action must be taken by then. [Note: SSTI will release a special issue of the Digest when a 2009 budget becomes law.] Because the Obama Administration is calling for significant shifts in spending priorities and activities for the federal government, the White House has released a budget outline in advance of its first formal budget request. The 136-page outline, carrying the heavy title of A New Era of Responsibility: Renewing America's Promise, is an innovation in itself…

SSTI has an effective new learning tool for TBED policymakers and practitioners seeking guidance in approaches to building and sustaining tech-based economies. Through exclusive interviews with Excellence in TBED Award recipients, find out first-hand how these award winning initiatives successfully responded to a critical need by applying innovative approaches to generate substantial economic gains for their region. Georgia Research Alliance Eminent Scholars® 2007 Winner for the Expanding the Research Infrastructure category Listen to a six-minute clip of SSTI's interview with Mike Cassidy. The Georgia Research Alliance (GRA) Eminent Scholars program brings pre-eminent scientists to Georgia's research universities and provides them with the tools they need to lead R&D teams with the greatest potential for generating significant gains for the state. The program is principally an endowment based program that couples $750,…