SSTI Digest

An initiative aimed at creating 2,500 new jobs throughout New Hampshire will offer low-interest loans to companies who commit to creating new jobs or expanding their current employment base in the state. Gov. John Lynch, along with Citizens Bank New Hampshire President and CEO Thomas Metzger, recently announced the Citizens Job Bank Program, a $100 million fund that will offer loans at 2 percent below prime for a fixed rate of 3.5 percent. According to the governor's office, borrowers must create at least one full-time job for every $40,000 borrowed. The terms of the loan will require that the specified jobs be created within three years after the funds are borrowed. The New Hampshire Department of Resources and Economic Development will administer the program and certify that borrowers fulfill their job creation commitment. Qualified borrowers may apply for a minimum loan size of $250,000 and a maximum of $10 million under the program. "In addition to creating new jobs at existing local companies, it will allow us to attract out of state companies looking to expand or…

Gov. Sonny Perdue recently announced the creation of the state's fourth Center of Innovation. Located in Augusta, the Life Sciences Innovation Center (LSIC) will assist with business incubation and securing matching grants for applied R&D with industry partners through the Georgia Research Alliance. A joint partnership between the state and the Life Sciences Business Development Center of the Medical College of Georgia, LSIC will enhance the likelihood of success for Georgia life sciences companies, according to the governor's office. The center will provide expertise and counsel for life science entrepreneurs, serve as an incubator facility for bio-business, and foster opportunities for joint university and private applied research work. The Georgia Centers of Innovation program was launched in 2003 to enhance long-term economic opportunities and encourage new companies to invest and build in the state. The program focuses on specific industries such as aerospace, agricultural technologies, life sciences, marine logistics, and information technology, The first center, the…

While wider market opportunities have led to increased exporting and lower costs for business operations in some Minnesota companies, others are facing difficult operational challenges as a result of the rapid integration of global business practices, according to a new Issue Brief from the Minnesota Department of Employment and Economic Development (DEED) and Minnesota Technology, Inc. The two agencies jointly released Gearing Up and Going Global: Experiences of Minnesota Businesses in order to better understand the global business experience in Minnesota and its impact on the state's economy. The survey details global business practices, motivations and the impact on business operations and employment was administered to 252 small, medium and large-sized companies. Findings therein offer a preliminary view of Minnesota business experiences in the global marketplace and are expected to help the legislature, economic developers and education system improve efforts to facilitate business, worker and community adjustments. The survey explores current and projected global activities and trends…

The same benefits of higher education to society and individuals found on a national level also are evident at the individual state level and need to be taken into account in state policy discussions, including those on state funding, says a new report from the Institute for Higher Education Policy (IHEP). Using data from the U.S. Census Bureau, The Investment Payoff: A 50-State Analysis of Public and Private Benefits of Higher Education, measures societal and individual benefits of higher education on a state-by-state basis across six indicators. For each state, benefits are documented for residents by education level, ranging from those with a high school diploma to those with a bachelor's degree or higher. The report concludes that almost every state benefits from higher education in all indicators measured, although some states reap more than others. According to IHEP, national averages show that these benefits are widespread and dramatic. In March 2004, six percent of the population age 25 or older with a high school diploma was unemployed, compared to only 3 percent for those with a…

Funding research and development (R&D) is risky business. Using the popular baseball analogies, venture capitalists count on one home run to make up for all of the strikeouts and pop flies. Public support for R&D in private firms, then, could be considered a gamble if policymakers are not patient or understanding of that risk. These programs also must be well managed, with an eye on the market or business aspect of any resulting technologies, to minimize the public's risk. What happens, then, when projects or companies fail? Does a state or community reap any tangible benefits for their investments? One common assumption is value may be gained from knowledge diffusion. For instance, employees of the failed venture perpetuate growth by continuing their R&D work with other firms or in new spin-off efforts. Tracking such assertions is difficult, however, often relying heavily on anecdotal evidence and individual case studies of corporate genealogy in Silicon Valley and Route 128. New research from Statistics Norway searches for spin-offs and knowledge diffusion in the after-effects…

The National Institutes of Health (NIH) data on the top 100 cities for NIH awards in FY 2003 indicates Boston reasserted its leadership over New York for the top spot by increasing its spread by $401 million. Philadelphia and Baltimore remain in third and fourth place for the second year. The fourth year NIH has made the information available, FY 2003 shows the most shift in rankings for many cities. Seattle moved up to fifth place after three consecutive years at sixth. San Diego continued its three-year fall in the rankings, dropping from third place in FY 2001 to eighth place in the latest available data. (Note: One possible explanation could be the addition of La Jolla as a distinct city in the rankings in FY 2002 and FY 2003. Funding to La Jolla institutions doubled between the two years, pushing the city's ranking from 21st in FY 2002 to 7th in 2003). The complete four-year stats are available at: FY 2003: http://grants2.nih.gov/grants/award/trends/top100fy03.htm FY 2002: http://grants1.nih.gov/grants/award/trends/top100fy02.htm FY 2001: http://grants1.nih.gov/grants/award/trends/…

The University of Toledo and its partners are seeking a director for the Toledo Science and Technology Corridor. The Corridor is an initiative to enhance the region's innovation-based economy through investments that promote linkages and collaboration among academic institutions, business industries and government entities. Responsibilities will include developing and implementing a plan that is aligned with the university's various educational missions, obtaining support from community leaders and members of local neighborhoods, preparing proposals and other initiatives to gain external funding, and coordinating joint Corridor projects and activities with partners, as well as technology business recruitment activities. The preferred candidate will hold a Bachelor's degree and, preferably, an advanced degree in a relevant field, among other qualifications. A full description, including contact information, is available through the SSTI Job Corner, http://www.ssti.org/posting.htm.

The latest in SSTI's annual "Tech Talkin' Govs" series. Five earlier installments of this 2005 review of governors' legislative priorities concerning tech-based economic development are available through the Digest online: http://www.ssti.org/Digest/digest.htm Michigan Gov. Jennifer Granholm, State-of-the-State Address, Feb. 8, 2005 "This Jobs Today, Jobs Tomorrow plan takes dead aim at the challenge we now face...It begins with an unprecedented investment in the future of Michigan – an investment to create 72,000 new jobs by making our state a world-wide center of research and innovation. This year, I will ask Michigan voters to support the 21st Century Jobs Initiative by amending the state Constitution to allow the state to invest $2 billion in bond money to create 21st century jobs – without raising taxes. "...This investment in Michigan’s future will allow us to transform the state that put the nation on wheels into the state that makes those wheels run on pollution-free fuel cells or bio-diesel technology; the state where the research into alternative energies is done…

As the only state to have a net job loss in 2004, Michigan's political leadership recognizes something must change. The state's shifting economy, from one defined principally by its manufacturing sector to one that derives growth equally from knowledge-based industries, is at the center of the matter. Michigan policymakers are challenged to create innovative proposals that preserve one facet of the economy while broadening the other. Recent proposals put forth by the state's Democratic governor and the Republican-controlled legislature appear to be working toward that end. Gov. Jennifer Granholm has made a $2 billion investment to finance R&D in Michigan's research institutions the centerpiece of her Jobs Today, Jobs Tomorrow plan. The Senate GOP has touted its own legislation to promote research commercialization and increases angel investing. Both proposals are aimed at cultivating a climate for tech-based economic development (TBED). Gov. Granholm's 21st Century Jobs Initiative, announced during her State of the State address, figures to be the largest component of her plan to boost…

A recent proposal by Senate Republicans in Iowa to eliminate the state income tax for residents under the age of thirty has brought the issue of the out-migration of young, educated adults once again to the forefront. In recognizing that brain drain leads to the loss of necessary skills for global competitiveness and economic development, policymakers across the nation are responding with innovative ideas.  While the Iowa Senate Republicans have dropped their proposal, a number of other states are pursuing new approaches. Iowa ranks second in states reporting the most brain drain, only ahead of North Dakota, according to U.S. Census Bureau data from 1995-2000 (see the Nov. 7, 2003 issue of the Digest). Current efforts in North Dakota include a tuition reimbursement of up to $5,000 for students in technology and teaching fields who work in the state after graduating from a North Dakota university. Another approach is the state's internship program, Operation: Intern, North Dakota's Future at Work, which matches college students with North Dakota employers. Clemson University also is…

To spur job creation in Ontario, the provincial government recently announced two initiatives focusing on innovation and regional economic growth -- the new Fuel Cell Innovation Program and the newly refocused Northern Ontario Heritage Fund Corporation (NOHFC). By investing $3 million annually through 2008 into hydrogen fuel cell R&D, the Ontario Fuel Cell Innovation Program will strive to make alternative energy technologies that can be fully commercialized in Ontario and marketed globally. The program's approach will be two-pronged: linking small and medium-sized businesses in Ontario with researchers, business expertise and venture capital; and, encouraging the development, deployment and adoption of fuel cell technologies for new and existing manufacturing and commercial application. NOHFC launched six programs to implement its new mandate of fostering sustainable jobs and economic development while increasing economic opportunity for the province's northern communities. New initiatives include: Enterprises North Job Creation Program - offering matching funds of up to $1…

Statewide efforts addressing all of higher education's public purposes are needed to combat the increasing competition and privatization sweeping the nation's public colleges and universities, says a new report from the Futures Project, Correcting Course: How We Can Restore the Ideals of Public Higher Education in a Market-Driven Era. State policies have come to favor an open market with the potential to create unhealthy competition that strays from the traditional goals of public institutions, such as increased access, better instruction, lower costs and greater efficiency, the authors contend. As higher education becomes more competition-driven, they argue, academic leaders feel compelled to chase revenues and rankings rather than to focus on providing a high quality education. The Virginia General Assembly recently passed legislation offering the University of Virginia, the College of William and Mary and 16 other public institutions status as independent entities or chartered universities. By accepting lower state appropriations in return for freedom from state regulations, these…