SSTI Digest

With the goal of creating new access to venture capital (VC) for area businesses, Arizona and Montana are investing up to $50 million into a “fund of funds” concept. Both states are undertaking this multi-management model with the hopes of luring high-tech start-up companies. Their efforts are described in further detail below.

The Office of Advocacy of the U.S. Small Business Administration recently unveiled a new federal government report outlining the state of small business and its contributions to the economy. The Small Business Economy, 2004, the latest in an annual series, analyzes 2003 data.

“In 2003, the overall economic indicators improved as the economy gained momentum,” said Office of Advocacy Chief Economist Dr. Chad Moutray. “Small businesses led the way. However, continued strong economic growth will require an environment that fosters more entrepreneurial activity.”

The report examines the role small business plays in the economy. It focuses on economic trends and indicators, regulatory issues at the federal, state and local levels, innovation and technology transfer, and federal government procurement and small business financing data.

The number of business establishments in the U.S. grew by 17.4 percent between 1998 and the end of 2003, although a slight net decline occurred in 2003 for the first time in six years, according to data recently released by infoUSA.

In its analysis, infoUSA tabulated the number of business establishments in the U.S. at the end of each calendar year, describing an "establishment" as any small, medium or large business, division, brand, organization, association or government office with an assigned telephone number and paid employees.

The Omaha-based company has been compiling and updating the database of business establishments in the U.S. for the past 30 years, and updates the data regularly through more than 20 million phone calls to businesses throughout the U.S. and Canada.

A new U.S. Government Accountability Office (GAO) report sets forth options for Congress to consider in establishing a system of key national indicators.

At a base level, GAO envisions an independent, web-based comprehensive key national indicator system with the nation's best quality data. Such a system, the agency states, would allow the public, media, policymakers, government, and non-government institutions to better understand and assess the position and progress of the U.S., both on an absolute basis as well as compared to other nations. The system would cover traditional areas of American life and public debate such as the economy, society and culture, and the environment. It also would eventually include information on more complex topics such as socio-economic mobility, opportunity, competitiveness, equity or sustainability.

A Visa analysis of innovation and creativity among the nation’s top 50 metro areas has Seattle ranked first in combined scoring, followed by Austin, Nashville, Minneapolis and Washington, D.C. Visa’s Innovation Index measures entrepreneurialism, community support and creativity on a per capita basis throughout the major Metropolitan Statistical Areas. Each of the categories were scored individually.

To measure entrepreneurship, Visa considered the average number of new businesses, expansions, new divisions and the number of patents issued by the U.S. Patent Office in 2003. Austin scored the highest in this measure, followed by San Diego, Palm Beach, Houston and Raleigh.

University of Southern Mississippi Research Foundation President Angie Dvorak was named president of the Area Development Partnership. Dvorak currently serves on the organization’s executive committee.

Jan Griffen has accepted the position of Director of Contracts for the National Institute of Aerospace. Griffen was formerly the director of federal programs for the Virginia Center for Innovative Technology.

Eastern Idaho Economic Development Council has changed its name to Grow Idaho Falls Inc. to better convey its mission.

An advocate for small businesses in Washington known as “Mr. Small Business,” Milton Stewart died of pneumonia on Nov. 5 in Phoenix.

University of Southern Mississippi Research Foundation President Angie Dvorak was named president of the Area Development Partnership. Dvorak currently serves on the organization’s executive committee.

Jan Griffen has accepted the position of Director of Contracts for the National Institute of Aerospace. Griffen was formerly the director of federal programs for the Virginia Center for Innovative Technology.

Eastern Idaho Economic Development Council has changed its name to Grow Idaho Falls Inc. to better convey its mission.

An advocate for small businesses in Washington known as “Mr. Small Business,” Milton Stewart died of pneumonia on Nov. 5 in Phoenix.

Gov. Mike Rounds announced Steve Zellmer will replace Dave Snyder, who resigned his position as board member for the South Dakota Science and Technology Authority. Zellmer previously served as Commissioner, Bureau of Finance and Management and Secretary of Revenue in Pierre.

Thirty-Six Percent Drop in First-Year Foreign Engineering Students Reported

Increased global competition, changing visa policies and diminished perceptions of the U.S. abroad have lead to an overall decline in first-time international graduate student enrollment, according to a survey from the Council of Graduate Schools (CGS). Overall enrollment decreased 6 percent between 2003-2004, the third straight year of decline after a decade of growth, survey results show.

First-time international graduate school enrollment fell 10 percent between 2002 and fall 2003 and fell 8 percent the year before.