For three decades, the SSTI Digest has been the source for news, insights, and analysis about technology-based economic development. We bring together stories on federal and state policy, funding opportunities, program models, and research that matter to people working to strengthen regional innovation economies.

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R&D funding remains stable, but sources fluctuate

Over the past two decades, business has done most of the heavy lifting for research and development (R&D) funding. Calculated in the dollar value of 2012, business funding increased from $10.4 billion in 2000 to an estimated $36.0 billion in 2021.

The National Center for Science and Engineering Statistics (NCSES) keeps track of these types of statistics, and the above data is from Business Sector Increases Funding for Basic Research, one of three InfoCharts released last month.

The “Business Sector Increases Funding for Basic Research,” InfoChart, written by NCSES’ Gary Anderson, explains that although federal funding increased from 2000 to 2005, it has remained stagnant since then at near or below $40 billion.

Public will have quicker and easier access to federally funded research results

Over the last month, the Department of Energy (DOE), National Science Foundation (NSF), and National Institute of Standards and Technology (NIST) have released plans for complying with a 2022 White House policy that requires scientific papers resulting from federally funded research to be freely available upon publication, sunsetting the current one-year embargo period by 2025.

New CEDS guidelines emphasize equity, broadband, climate resilience, and workforce development

The Economic Development Administration (EDA) has updated its Comprehensive Economic Development Strategy (CEDS) Content Guidelines, effective April 2023. CEDS are strategy-driven plans for economic development prepared through a regionally owned planning process. Designed to build regional capacity and economic resilience, an active CEDS is a prerequisite for EDA designation as an Economic Development District (EDD), which serves as the main conduit through which TBED organizations may seek funding from EDA’s Public Works and Economic Adjustment Assistance program.

NSF expands its advanced materials network with nine new centers

The National Science Foundation (NSF) is expanding a network of research centers across the country to translate university-based R&D into new, and hopefully, better advanced materials. In late June, NSF announced the distribution of $162 million to support the creation of nine more Materials Research Science & Engineering Centers (MRSECs), bringing the total number of centers to twenty. Each of the new centers will receive $18 million over six years.

NSF reports the latest MRSECs will expand the centers' portfolios to pursue a broad range of research projects to unlock new capabilities in several areas: semiconductors, artificial intelligence, biotechnology, sustainable energy sources and storage, advanced manufacturing, quantum computing and sensing, and other areas critical for U.S. leadership in materials research. In addition to enabling new commercial opportunities and industries in the U.S., the centers will train students and early career researchers who will become tomorrow's scientific and technical leaders.

The nine new MRSECs are the:

Senate committee continues Commerce, Science funding for FY 2024

The Senate appropriations committee advanced a set of FY 2024 funding bills this morning that largely continue level funding from FY 2023. While the full bill text is not yet available, a press release about the commerce and science bill identified $200 million for the Engines program at NSF, $175 million for the Manufacturing Extension Partnership at NIST, and $50 million for Build to Scale, $41 million for Tech Hubs, and $2.5 million for the STEM Talent Challenge at EDA. These amounts are all inline with the funding provided through regular FY 2023 appropriations but do not yet include any of the supplementary amounts included in last year’s omnibus (e.g., Tech Hubs was funded at a total of $500 million in FY 2023); see SSTI’s article on FY 2023 funding for details.

Join your peers at SSTI conference in Atlanta this Sept. 6-8

SSTI’s Annual Conference is in Atlanta this Sept. 6-8. The event will feature numerous opportunities to connect with your peers from across the country who are working to strengthen their regional innovation economies through roundtables focused on specific areas of practice and workshops on communications, building stronger organizations, and diversity, equity, and inclusion. The entire conference is available for a registration fee of just $390. Reserve your spot today!

An overview of the schedule can be found below. Visit 2023.ssticonference.org for the full agenda.

September 6

Content options include a full-day introduction to tech-based economic development, a workshop on organization management, and roundtables for attendees to meet with, and learn from, peers working across the country on risk capital and higher education.

NOFO for $200M Recompete released; take another look at your area’s eligibility

Did you use the Recompete Mapping Tool to check your eligibility for this new EDA funding opportunity when the fact sheet and map were first released? If you did, and you got the response, “Contact your local economic development office” don’t stop there! EDA has updated its mapping tool in the past few days to reflect significant flexibility in program eligibility. These changes mean that many more regions may be able to successfully compete for strategy development awards and, ultimately, implementation awards.

For areas that were previously marked as partially eligible, the mapping tool now directs users to the Census Tract Viewer, which helps to better-identify regions that can still compete for program funds. Specifically, this viewer shows that your local community may qualify if it:

SBIR reduction at DOE

The U.S. Department of Energy (DOE) has reduced its funding for the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs. The cut at the Office of Science—the agency’s primary program administrator—appears to be about 35%. The change resulted from congressional direction that the agency had miscalculated its SBIR set-aside and is intended to make the Office of Science’s calculation more consistent with that of the other programs in DOE. The reduction will likely result in tougher competition for SBIR/STTR awards at the agency in the foreseeable future.

Forecast predicts generative AI to make many white-collar workers blue

If a recent forecast from McKinsey & Company is correct, climate change isn’t the only rough ride ahead over the next decade for regional and national economies.

“The next several years will take us on a roller-coaster ride featuring fast-paced innovation and technological breakthroughs that force us to recalibrate our understanding of [generative artificial intelligence’s] impact on our work and our lives,” the team of researchers from McKinsey writes in The economic potential of generative AI: the next productivity frontier.

Policymakers, higher education leaders, TBED practitioners, and urban planners would be wise to take notice: no aspect of regional innovation policy portfolios is likely to be untouched.

NIST plans to increase public access to federally funded research results

NIST has released a plan to make its scientific data and publications more readily available and accessible, following a memo from the White House Office of Science and Technology Policy (OSTP) instructing all government agencies to do so. NIST has presented its plan in its June 30 Draft for Public Comment, now open for comment. Comments may be submitted until 11:59 p.m. Eastern Time on August 14 here.

DOL is looking for apprenticeship advisors

The Acting Secretary of Labor (Secretary) requests nominations of qualified candidates to be considered for appointment to the Advisory Committee on Apprenticeship (ACA) for the 2023-2025 membership term. Registered Apprenticeship is highly dependent on its stakeholders' and partners' engagement and involvement for its operational effectiveness. Apart from the ACA, there is no single organization or group with the broad representation of employers, labor unions, and public entities available to consider the complexities and relationship of apprenticeship activities to other training efforts or to provide advice on such matters to the Secretary,

Candidates for consideration to be members of the ACA must represent a constituent base connected to apprenticeship activities. ACA Members should also have:

Gen Z workforce inspires shift in broadband

As more households rely on faster forms of internet, broadband internet service has begun to be treated as a necessity in the home and workplace. But its use has varied by generation; according to Pew Research Center, 99% of US adults ages 18-29 report using the internet, while only 75% of senior citizens (65+) can say the same.