SSTI Digest

Governors across the nation are trying to find ways to prevent their state finances from falling further in the red as revenues continue to fall while costs for Medicare and unemployment remain high. Deficit-reduction plans announced in two states seek to delay payments and cut funding to biomedical research initiatives that were established to expand the states’ research capacity and generate wealth. Connecticut Aiming to close a deficit of nearly $470 million in the current fiscal year, Gov. Jodi Rell announced a deficit-mitigation plan that includes delaying payments of $10 million to the state’s Stem Cell Research Fund and $6 million to the Biomedical Research Trust Fund. The Stem Cell Fund was established in 2005 with a budget surplus of $20 million to be used in fiscal years 2006 and 2007 and supplemented with $10 million per year from the Tobacco Settlement Fund through 2015 (see the May 30, 2005 issue of the Digest). The Biomedical Research Trust Fund was created in 2000 to provide grants to eligible institutions for biomedical research in the fields of heart disease, cancer, and other tobacco related diseases with disbursements from the…

The national recession that began at the end of 2007 is "very likely over," according to Federal Reserve Chairman Ben Bernanke. Recovery, however, may be a long way off. Because states were affected differently by the economic downturn in both timing and impact, recovery for state and local economies is likely to occur at different times. Moody's Economy.com predicts, according to an MSNBC article, that job growth will return first in five states: Colorado, Idaho, Oregon, Texas, and Washington. Four of those states benefit from high-tech industries, and the fifth, Texas, has a strong base of energy industries, the article notes. Re-examining policy and priorities in the early aftermath of the national recession, governors and business leaders in three states that are likely to be at the tail end of the recovery recently unveiled long-term economic development plans to position their respective states for sustained growth in the new economy. Following is an overview of strategic plans and recommendations unveiled in Connecticut, Michigan and Wisconsin. Connecticut Gov. Jodi Rell outlined last week a comprehensive strategic plan for Connecticut…

This year as states were wrestling with significant deficits, several proposals to consolidate TBED initiatives with other units of government emerged. The most recently decided was in Connecticut, where the General Assembly did not move forward with a plan to merge the state's two primary financing agencies, Connecticut Innovations and the Connecticut Development Authority to form a new Connecticut Economic Innovations Authority. Gov. Jodi Rell had proposed the consolidation. Governors in New York, Kansas, and Hawaii also outlined similar restructuring plans for the New York State Foundation for Science, Technology, and Innovation, the Kansas Technology Enterprise Corporation, and Hawaii's High Technology Development Corporation, respectively. As in Connecticut, none of the proposals were approved by the states' legislatures. In New York and Kansas, the stand-alone lead TBED organizations were proposed to be consolidated into the states' conventional economic development departments. In Hawaii, HTDC was to become part of the University of Hawaii system. TBED Sees Cuts in Connecticut Following several months of debate over how to fill a projected $8.5…

Listen to SSTI's Interview with Wayne Sumple and Bob Torrani of the Connecticut Center for Advanced Technology (CCAT) SSTI has an effective new learning tool for TBED policymakers and practitioners seeking guidance in approaches to building and sustaining tech-based economies. Through exclusive interviews with Excellence in TBED Award recipients, find out first-hand how these award winning initiatives successfully responded to a critical need by applying innovative approaches to generate substantial economic gains for their region. CCAT's Manufacturing Supply Chain Innovation 2008 Winner for the Improving the Competitiveness of Existing Industries category Listen to a 10-minute clip of SSTI's interview with CCAT director Bob Torrani and program manager Wayne Sumple or the full conversation (18 minutes). Focusing on the aerospace and defense sector of Connecticut's business, the…

SSTI has an effective new learning tool for TBED policymakers and practitioners seeking guidance in approaches to building and sustaining tech-based economies. Through exclusive interviews with Excellence in TBED Award recipients, find out first-hand how these award winning initiatives successfully responded to a critical need by applying innovative approaches to generate substantial economic gains for their region. Connecticut Innovations Eli Whitney Fund 2007 Winner for the Increasing Access to Capital category Listen to a nine-minute clip of SSTI's interview with Peter Longo. Connecticut Innovations, through its Eli Whitney Fund, provides critical early-stage funding of up to $1 million to support research, development and marketing efforts in emerging technology companies. Applying private sector…

Adding to a growing number of governors proposing to consolidate state economic development agencies, Gov. Jodi Rell last week announced in her budget request her intention to overhaul Connecticut's job creation infrastructure by merging several state agencies into the Department of Economic and Community Development (DECD). In recent months, governors in New York and Kansas, for example, have touted cost savings, streamlining government services, and creating a more efficient system to assist in business development and job creation as reasons for the proposed mergers. However, in two cases, critics have argued the consolidations would lead to a loss of key programs serving the TBED community (see the Jan. 21, 2009 and the Dec. 17, 2008 issues of the Digest). Under Gov. Rell's proposal, the state's two primary financing agencies, Connecticut Innovations, a 20-year-old quasi-public agency that provides venture capital to high-tech start-up companies, and the Connecticut Development Authority would be combined to form a new Connecticut Economic Innovations Authority. DECD would oversee the state's Small Business Innovation Research (SBIR) outreach program and the tourism…

Four recipients selected as best practice models in technology-based economic development were honored during an awards ceremony last week in Cleveland during SSTI's 12th Annual Conference. The awards follow a national competition emphasizing impact and replicability in approaches to building and sustaining tech-based economies. "A crucial component to growing the nation's economy is supporting programs that are successful in developing and implementing initiatives that create high-paying jobs and provide U.S. businesses with the tools they need to compete in the global economy," said Dan Berglund, SSTI President and CEO. "This year's award recipients have generated significant returns for local, state and regional economies, each having an impressive story to share."  The following recipients were selected to receive the Excellence in TBED Award for 2008: Maryland Technology Transfer Fund - Commercializing Research Category A program of the Maryland Technology Development Corporation (TEDCO), the Maryland Technology Transfer Fund supports product development in early-stage companies by providing funds to defray the…

Peter Longo was appointed president and executive director of Connecticut Innovations. Longo previously served as the organization's deputy director and acting executive director.

Edward Bowman Jr. was selected as chairman of Connecticut Innovations. Bowman replaces Elaine Pullen, who resigned to focus on her consulting business.

Elaine Pullen resigned as chairman of Connecticut Innovations to focus on her consulting business.

In keeping with the July 1 fiscal year deadlines, several states passed their budgets last month. The following states passed budgets that include funding for alternative energy, R&D tax credits, and science, technology, engineering and math (STEM) initiatives.    Connecticut The FY 2008-09 biennial budget includes funding for initiatives aimed at developing a fuel cell cluster in the state. The budget for the Connecticut Department of Economic and Community Development appropriates up to $375,000 to assist the Connecticut Center for Advanced Technology (CCAT) in establishing a hydrogen fuel cell coalition and industry cluster, championed by Gov. Jodi Rell in her Budget Address (see the Feb. 19, 2007 issue of the Digest). In addition, the budget provides up to $450,000 to CCAT for the purpose of drafting a fuel cell economic development plan.   New Hampshire Lawmakers passed SB 134, establishing an R&D tax credit aimed at encouraging innovative companies to create jobs. The measure, proposed by Gov. John Lynch in his Inaugural Address (see the Jan. 8, 2007 issue of the Digest…

The following were named recipients of the 2005 National Medal of Technology: Alfred Cho, adjunct vice president of semiconductor research at Alcatel-Lucent’s Bell Labs in Murray Hill, N.J. Dean Sicking, professor of civil engineering at the University of Nebraska-Lincoln Wyeth Pharmaceuticals Team in Madison, N.J. Genzyme Corporation in Cambridge, Mass. Semiconductor Research Corporation in Durham, N.C. Xerox Corporation in Stamford, Conn.