SSTI Digest

New York City officials recently announced the launch of a $2 million seed fund to boost entrepreneurship and the local venture capital market. NYC Seed will provide up to $200,000 for seed-stage New York-based businesses and will offer mentoring and other support for client companies. The initiative is a partnership between several city and state organizations, including the Industrial Technology Assistance Corporation (ITAC), the New York City Investment Fund, the New York State Foundation for Science, Technology and Innovation (NYSTAR), the New York City Economic Development Corporation, and PolyTechnic University.  

The Kansas Technology Enterprise Corporation (KTEC) has announced the launch of a statewide trade association to provide support to Kansas' software and information technology industry. The nonprofit has been registered with the state as the Software and Information Technology Association of Kansas (SITAKS) and is designed to support Kansas software, information technology and telecommunications companies.

Susan Strommer announced she will step down as president and CEO for the National Association of Seed and Venture Funds (NASVF) to explore a new opportunity.

Additional job opportunities are available at http://www.ssti.org/posting.htm.

The National Association of Seed and Venture Funds (NASVF) seeks an energetic chief executive officer (CEO) with strong organizational, interpersonal, communication, and fundraising skills to lead the association as it grows its membership and expands its reach. NASVF is the association for "innovation capitalists" - seed and early-stage investors who champion and invest in local entrepreneurs. NASVF has 120 member organizations and a network of more than 8,000 individuals. For the position of CEO, a graduate degree with five years of experience in entrepreneurial ventures, capital formation, venture capital or a related industry is required. To view the job description, go to: http://www.nasvf.org/web/allpress.nsf/pages/18166

The creation of a single organization to consolidate federal innovation investments, called for by the Brookings Institution and the Information Technology and Innovation Foundation (ITIF) (see the April 23, 2008 issue of the Digest), moved a small step closer to reality with the introduction of authorizing legislation in the U.S. Senate.   S. 3078, the National Innovation and Job Creation Act of 2008, was introduced on June 3, 2008, by Sen. Susan Collins (R-ME) and cosponsored by Sen. Hillary Clinton (D-NY). The bill calls for the creation of a National Innovation Council within the Executive Office of the President and several new grant programs to support state-directed technology-based economic development initiatives.   One of the missions of the National Innovation Foundation proposed by ITIF and Brookings was to consolidate federal programs involved with innovation into a single organizing office. As drafted, S. 3078 would move the following programs to the proposed council:

On June 5, 2008, the government of the Grand Duchy of Luxembourg announced plans for a $200 million five-year molecular medicine initiative that draws on a strategic partnership involving three Luxembourg Public Research Centers (CRPs), the University of Luxembourg and three U.S. research institutes prominent in the field.   The U.S. research institutions include: Translational Genomics Research Institute (TGen) in Phoenix, led by Dr. Jeffrey Trent; Institute for Systems Biology (ISB) in Seattle, led by Dr. Leroy Hood; and, Partnership for Personalized Medicine (PPM) led by Dr. Leland Hartwell, 2001 Nobel Laureate in Physiology or Medicine, and president of the Fred Hutchinson Cancer Research Center also in Seattle.

Three interrelated projects are involved in the plans: a biobank, a center for systems biology and Project Lung Cancer.  

New establishments are responsible for one-third of annual employment creation in the U.S. and have higher measures of productivity when compared to mature surviving establishments, according to a report released last week by the Kaufmann Foundation. Turmoil and Growth: Young Business, Economic Churning, and Productivity Gains, written by Steven Davis of the University of Chicago, John Haltiwanger of the University of Maryland, and Ron Jarmin of the U.S. Census Bureau, sheds light on recent research examining the "churning" process - the continual entry and exit of companies in the national economy.

Looking at U.S. employment rates from 1977 to 2005, the average annual increase in new jobs was almost 18 percent, while the annual decrease in jobs was about 15 percent. In both job creation and destruction, business churning was responsible for roughly one-third of employment change, the rest coming from expansion or contraction within existing locations.

The Bureau of Economic Analysis (BEA) recently published its estimate on the real gross domestic product (GDP) growth of each state for 2007, revising previously released figures for 2003-2006.   SSTI has prepared a table showing real GDP per capita for every state and the District of Columbia from 2003 to 2007. The table includes: Ranking for 2007 state GDP per capita; Comparison of 2007 GDP per capita to the national average; Five-year percent change in state GDP per capita; and, Ranking of five-year percent change.

It's no wonder SSTI's Annual Conference presents such a broad range of perspectives and approaches to TBED each year, when our organization draws in active membership from organizations from all across the continent! For example, with the involvement of the Alaska Manufacturing Extension Partnership, SSTI now has active members in 47 states, the District of Columbia, and Canada.

Membership allows access to the most comprehensive information about tech-based economic development activities across the nation. Our members tell us that one of the greatest benefits of membership is the ability to turn to SSTI when seeking answers to questions or advice on programs. Having answers to our member’s questions and finding the information they need is our top priority. Additional information regarding membership benefits is available at http://www.ssti.org/benefits.htm.

The Aerospace, Manufacturing and Information Technology (AMIT) Cluster of Southern Arizona has consolidated its operations with the Arizona Technology Council.

Automation Alley was one of 19 organizations chosen to receive 'E' and 'E-Star' Awards, given by the president to recognize American export excellence. The nonprofit Automation Alley, an SSTI affiliate, supports Southeast Michigan's economy through a collaborative culture that focuses on workforce and business development.

Raymar Dizon has resigned from the Maryland Venture Fund to become director of technology transfer at Mitre Corp.

Jim Hayes, the president of the Economic Development Partnership of Alabama, passed away on June 6 after a long illness. Hayes was considered one of the state's top experts on economic development.

Florida Gov. Charlie Crist paid a visit to Wall Street last week to celebrate the signing of a new law that will increase the state retirement fund's investment in high-tech industries. Under the new legislation, the Florida State Retirement System will dedicate up to 1.5 percent of the system's trust fund to technology and growth investments. The Miami Herald estimates that this could provide nearly $2 billion for high-tech industries in the state.   The new legislation also will double the number the number of non-pension state dollars that may be used for alternative investments in venture capital firms, hedge funds and direct investments in portfolio companies. This will make $18.4 billion available for initiatives like the Florida Opportunity Fund, which was approved last year.  

Legislators in Alabama, South Carolina and Tennessee recently approved spending plans for the upcoming fiscal year. Highlights of appropriations supporting TBED are included below.   Alabama Alabama legislators wrapped up a special session over the weekend resulting in the passage of a $6.4 billion education budget. Lawmakers agreed to a $5 million increase ($40.8 million total) for the Alabama Math, Science, and Technology Initiative. The appropriation is $5 million less than Gov. Bob Riley’s recommendation of $45.8 million. The initiative, which received a substantial boost during the last legislative session (see the June 13, 2007 issue of the Digest), was created in 2002 to improve math and science education throughout the state.   South Carolina