SSTI Digest

The field of technology-based economic development strives to provide opportunities and support for budding entrepreneurs and technology-based startups in hopes of strengthening our economies. But, policymakers and governments have much to gain directly from the pool of talented tech entrepreneurs. Technology startups are tapping into the $142 billion public sector market and are helping governments reduce costs and improve their services through innovative web applications and, in some cases, total system overhauls.  Late last week, the city of San Francisco launched an Entrepreneurship-In-Residence program for the city in partnership with the White House, the first of its kind. The San Francisco Entrepreneurship in Residence program will select three to five teams of civically focused tech entrepreneurs and provide them mentorship from leaders in both the public sector and the private sector over a six-week period to aid teams in their ventures. Teams’ innovations will focus on challenges in areas ranging from big government data, mobile services, healthcare, transportation, energy to infrastructure. “Products and services that successfully solve…

The co-locating of researchers, donated equipment, and capital are recent examples of key elements provided by private-sector partners to help accelerate technology commercialization. In the past month, leaders from universities and nonprofit organizations across the country have announced new efforts to expand research capacity and bring more products to market by launching innovative centers in collaboration with corporate partners. University-industry alliances often are credited with helping build regional innovation ecosystems with successes cited in new company formation, high-tech job creation and a better trained workforce, among others. Often times, companies look to leverage their R&D activities with complementary initiatives taking place at local universities. So is the case in Burlington, MA, where a new innovation center aimed at accelerating the commercialization of basic research is the product of a partnership between Northeastern University and Rogers Corporation. The George J. Kostas Research Institute for Homeland Security is a planned 4,000-square-foot center to be completed by the end of the year on the university campus. While targeted…

States across the U.S. are directing their attention to science, technology, education and technology (STEM) education, and already have passed a plethora of new initiatives in the current legislative session.  These programs are directed at various levels of education including primary education and higher education, with one program specifically designated for the state’s community colleges. A number of states have created STEM advisory councils under the governors’ offices, following the lead of Iowa and Massachusetts. Such measures suggest that STEM is no fleeting policy issue and that states are beginning to recognize the economic value of making long-term investments in students. Both Connecticut and Massachusetts included funding for STEM initiatives within their most recent budgets. The Massachusetts budget included a line item of $4.75 million for a new STEM Starter Academy that will work with one or more community colleges in the state to train students interested in STEM career fields. Connecticut allocated $1.5 billion to University of Connecticut campuses over the next 10 years to expand STEM facilities and enrollment. See SSTI’s…

A continued trend toward improved fiscal conditions gave rise to targeted and riskier investments in research for several states this legislative session. In particular, lawmakers dedicated funds for life sciences research and for initiatives aimed at commercialization through partnerships with higher education and the private sector. Other states dedicated additional funds to expand promising research and technology-focused initiatives already underway. Lawmakers Support Efforts to Promote Research CommercializationNew funding commitments in life sciences occurred in Connecticut and Indiana. Connecticut lawmakers approved Gov. Dan Malloy’s proposal to create a $200 million fund to spur bioscience R&D as part of a broader economic development agenda announced in his State of the State address. With the passage of SB 842, Connecticut Innovations (CI), a quasi-public venture development organization, over 10 years will provide capital to early stage companies with the goal of driving efforts toward commercialization of new businesses and products. CI also plans to focus funds toward translational research and riskier investments for helping university…

Chris Coburn, the founding executive director of Cleveland Clinic Innovations, is leaving at the end of May to join Boston-based Partners Healthcare, the largest healthcare system in Massachusetts. Mary Jo White has been confirmed by the Senate as the new head of the Securities and Exchange Commission. Marcel Valois has been nominated for executive director of the Rhode Island Economic Develop Corporation by Gov. Lincoln Chafee. Erik Mitisek has been named the CEO of the Colorado Technology Association, effective April 29. Richard Sutton has been named executive director of the South Carolina Commission on Higher Education. Anthony Dennis CEO of BioOhio announced his retirement. John Lewis Jr., vice president and chief operating officer, will serve as interim president.

Recent research on the evolving role of universities finds the emergence of an entrepreneurial society has contributed to a broader and more fundamental role for universities — that is to provide thinking, leadership and activity to enhance entrepreneurship capital. University-based entrepreneurship programs and initiatives seem to have gained steam following the recession with federal support for programs to enhance entrepreneurial efforts in states and regions and increased interest from students and out-of-work individuals. Freestanding entrepreneurship schools and creative programming to encourage risk taking are two recent examples of the evolving role of universities in the knowledge-driven economy. In From the Entrepreneurial University to the University for the Entrepreneurial Society, author David B. Audretsch argues that what distinguishes the entrepreneurial university from the role of the university in the entrepreneurial society is the scope of its mission. While the role of the entrepreneurial university is to create new businesses, ventures and commercialization where it previously did not exist, or to increase the amount of tech transfer from the…

The Information Technology and Innovation Foundation (ITIF) released the sixth edition of its bi-annual State New Economy Index last month. The report uses 26 indicators to assess the progress states have made adjusting to the realities of the innovation economy. Massachusetts lead in the rankings, as it has since the lauch of the index, while Delaware rose four ranks since 2010 to occupy second place. Read The 2012 State New Economy Index...

Amid the economic uncertainty surrounding fiscal cliff negotiations, and what it means for states, some governors are erring on the side of caution when it comes to funding recommendations for the upcoming year. At the same time, several state budget officers are projecting significant revenue shortfalls in the current fiscal year or biennium as a result of lower than expected tax collections. States could lose an estimated $7.5 billion in federal funding if the automatic spending cuts take effect for 161 grant programs, according to a recent analysis by the Associated Press. States with heavy defense spending, such as California, Texas and Virginia could also take a hit with $33.6 billion in cuts slated for military and defense contractors. In the coming months, governors from across the nation will present their State of the State addresses — a key time to unveil new and expanded TBED programs. But for some states, shoring up budgets and preparing for worst case scenarios is the top priority. Following is a synopsis of recent news announcing budget deficits throughout the states and possible short- and long-term solutions from state officials.…

While election night's main focus was on the presidential race, the importance of ballot measures for states and metros is growing as public services and budgets are being severely trimmed. A recent article in The New Republic reports on a new trend where states are embracing ballot measures as a potential source of dedicated funds for targeted investments in regional economic growth and development. Aside from California Gov. Jerry Brown's victory in raising taxes on top earners to help fund education and balance the budget, most state measures to increase taxes were defeated by voters. This includes extending a one-cent sales tax increase in Arizona, a cigarette tax increase in Missouri and implementing a 1 percent sales tax increase in South Dakota — all of which were slated to fund education. Voters were more supportive of borrowing to invest in higher education infrastructure, but rejected measures to improve teacher standards and build new revenue streams for universities. The only energy issue on the ballot appeared in Michigan and failed to garner enough voter support. Measures to provide more state authority for providing economic…

In 2012, Big Data has become one of the hottest topics in the news and the minds of both government and business leaders. Big Data is the collection and analysis of data that is too big, growing too fast or is too complex for existing information technology systems to handle. Proponents believe that Big Data provides business, government and other organizations (e.g., nonprofit and social enterprises) the potential to generate high quality insight that enable better decision making, increase productivity, reduce inefficiencies, create new products and services and spur economic growth. In an OPED for informationweek.com, Jonathan Feldman contends existing Big Data projects already are creating social and economic value for business firms and regions, including now-ubiquitous projects such as Google Maps. Deloitte predicts the Big Data industry likely will experience accelerating growth and market penetration through the rest of 2012 due to government and private investments in R&D pilot projects. Although still its infancy as an industry, mostly dominated by publicly-and-privately-supported pilot projects, Big Data has come a long way over the last couple years…

A bill introduced less than three months ago to spur economic activity through high-impact university-industry R&D projects and provide tools for tech-based startup companies was passed with overwhelming support in the legislature. In addition to the matching fund, the bill includes funding to provide paid internships to startup technology companies and establishes an entrepreneur and startup venture capital mentoring program. Measures to address the state's skills gap and promote manufacturing competitiveness also are included. The goal of the matching grant fund is to invest in high-growth areas with priority given to large-scale, long-term R&D activities that have the greatest potential to support science and technological innovation and job opportunities through industry partnerships. To this end, the state hopes to identify two or three technology areas that afford the best opportunity for a competitive global advantage and provide significant matching funds in response to federal solicitations for high-impact projects. The bill authorizes $25 million in new bond funding with another $25 million from previous bond authorization. Funds will be…

Two bold proposals seeking to make big changes to community colleges in Massachusetts and New Jersey research universities recently were approved by lawmakers. In Massachusetts, more funding for the state's 15 community colleges is tied to increased oversight, performance measures and integration of workforce development initiatives. Meanwhile, New Jersey lawmakers passed a bill merging a medical and dentistry school with Rutgers University in hopes of strengthening partnerships for research projects and drawing more federal funding. In both states, the governors say the reforms are crucial for economic and job growth. MassachusettsThe skills mismatch in the labor market is a hot topic for state and education leaders. Businesses say they have jobs to fill but not enough qualified people to fill them. Many state leaders are responding to the call from industry by working with colleges to better match employer needs. Gov. Patrick's plan to provide more skilled workers for regionally specific jobs by increasing oversight and integration of workforce development initiatives was included in the FY13 budget signed into law this week (see the Feb. 22, 2012 issue…