SSTI Digest

Frank Shafroth has left his position as lobbyist for the National Governors' Association.

Bill Todd, former CEO of the Georgia Research Alliance, has joined the staff of Gov. Sonny Perdue to work on special projects.

Patrick Von Bargen has joined the leadership team in the Office of the Chairman at the U.S. Securities and Exchange Commission as Managing Executive for Policy and Staff. Mr. Von Bargen formerly was Executive Director of the National Center for Regional Innovation and Competitiveness and Vice President of the Council on Competitiveness.

A Note from the Editor Don't panic, Mother's Day is still 10 days off. You haven't missed the opportunity to reflect on the contributions she made in your life. Most mothers, at least the good ones, try to instill some basic traits in their children that are critical for the growth and improvement of a better society. Honesty, integrity, respect, consideration, compassion, modesty, and responsibility leap to mind. Remember those struggles as a kid when you knew the right thing to do but didn't want to do it? Like, I remember my mom making me shovel the snow for the old lady who lived alone down the street for free when the rest of the gang were building forts for the best snowball fight of the blizzard of `78. My back ached as I walked up the street — just in time to be pelted by a barrage of snowballs from my buddies. Moms often get a bum rap for having to resort to guilt trips to get us to do the right thing. Most of us have to admit, though, we're better people for all that they did . . . when we do the right thing, that is. Which gets us to the little matter of…

Perhaps in no other sector are efforts to grow an industry so dependent on a strong public-private partnership as they are for biotech and the life sciences. Most of the research funding for the field flows from the government to universities and research institutions. Industry then steps up for clinical studies and commercialization. While much that has been covered in the SSTI Weekly Digest on building bio-based economies has focused on local strategic plans and numerous state initiatives, a new paper by Anders Osthol and Johan Lembke for the Regional Innovation and Partnership Project takes a broader look at the role and construct of public-private collaborative relationships for economic development founded on life science growth. With detailed case studies of two North Carolina regions – the well established Research Triangle Park and the nascent efforts of the Piedmont Triad Region – Strategies and Partnerships for Biotech Regions offers recommendations for Sweden that are applicable throughout the Western world. The findings include: Biotech economic development is…

With only two months left in most fiscal years, states must still close a $21.5 billion budget gap in order to comply with their balanced budget requirements, according to a report issued today by the National Conference of State Legislatures. Entering their third straight year of budget shortfalls, state lawmakers have had to close a cumulative $200 billion budget gap. NCSL President and Oklahoma Senator Angela Monson says state policymakers are dealing with complicating factors on both sides of the budget. "Already plagued by anemic revenue performance, lawmakers have been besieged by spending overruns - from Medicaid to homeland security to emergency snow removal," she said. "The problems have been relentless as most states have run out of the simple, painless options." During FY 2003, which began on July 1 for most states, 37 states saw revenues failing to meet projections, while only three reported revenues exceeding budget levels. Forty-five states subsequently revised their forecasts, in nearly every instance downward. The situation is not much brighter for FY 2004. As…

The Senate and Congressional Manufacturing Task Forces garnered support from a majority of senators and representatives for continued funding of the Manufacturing Extension Partnership (MEP). Senators Olympia Snowe (R-ME) and Joe Lieberman (D-CT), co-chairs of the Senate Task Force, drew support from 58 Senators with both parties joining forces to support MEP. Representatives Jack Quinn (R-NY) and Marty Meehan (D-MA), co-chairs of the Congressional Task Force, spearheaded the House effort and won support from 203 colleagues. The California House delegation and Congressional Hispanic Caucus sent letters of their own bringing the total House support to 246 Representatives. The letters support $110 million for MEP in the FY 2004 appropriations bills As in FY 2003, the Administration's FY 2004 budget request recommended phasing out federal funding for MEP to less than $13 million. In FY 2003, Congress provided $106.6 million for the program. The MEP network of 60 centers with 400 locations across the country and in Puerto Rico help manufacturers to adopt and use the latest and most…

The Economic Development Administration (EDA) recently announced the recipients of its 2003 Excellence in Economic Development Awards. A total of eight award-winners were named across seven broad award categories. Those pocketing awards in Innovation and Technology-led Economic Development, respectively, are described below. Innovation Utah Division of Business and Economic Development, Utah Smart Site Project, Salt Lake City, Utah - The Utah Smart Site Program develops family-sustaining employment opportunities in rural communities through the attraction, creation and expansion of businesses that use the Internet to provide information technology outsourcing services for clients anywhere in the world. The Utah Smart Site Program has resulted in the attraction of two new businesses, the creation of 13 new IT businesses and the expansion of an additional seven IT businesses. In addition, four firms have announced their intent to locate in Utah's rural communities. These companies have created 618 new jobs with an additional 580 jobs that have been announced - http://…

Washington Governor Gary Locke signed legislation last week that will give a tax break for research and development (R&D) firms. HB 1462 – passing unanimously, 96-0, in the State House and by a majority, 41-4, in the State Senate – prohibits Washington's local governments from taxing the intellectual property of these companies. The new law provides that "a city may not impose a gross receipts tax on intellectual property creating activities." Such activities are said to include R&D that leads to the creation of patents, trademarks or other intellectual property. However, municipalities may continue to tax research firms that occupy a certain amount of square footage or have a certain number of workers. HB 1462 is expected to cost the city of Seattle $1.5 million annually, according to the Seattle Times. More information on the bill is available at: http://www.leg.wa.gov/wsladm/billinfo/dspBillSummary.cfm?billnumber=1462 In related news, tax exemptions benefiting high-tech and biotech companies in Washington were approved last week for another 10 years by the State Senate…

To help make his state a leader in research, development and innovation, New Jersey Governor James McGreevey recently signed an executive order establishing the Commission on Jobs, Growth and Economic Development. Highlighting the state's strengths but calling for it to move forward, even with a $5 billion budget shortfall looming, the governor said the commission is needed to put New Jersey in position to be more competitive. The commission is being charged with five primary functions, including: Working to make New Jersey's university research sector a strong partner for industry; Ensuring that the state has policies and programs in place to support research and development; Developing plans that will attract more federal funding for research; Supporting new businesses and guaranteeing that New Jersey's workforce is trained for high tech jobs; and, Identifying important, emerging technologies and the resources needed to support them. New Jersey's strengths are largely found in its research universities, the governor noted. To improve upon this area, however, Governor…

A recent study by Iowa State University researcher David Swenson suggests the ISU Research Park's substantial and diverse economic activity bolsters Iowa's economy. Focusing on current tenants, Swenson's research shows that the park links directly to almost $88 million in total industrial output. Businesses that provide goods and services to park customers and employees are said to generate an additional $46.3 million in economic activity. Park administrators commissioned the Iowa State Department of Economics to complete the analysis to measure current economic value created by the park's companies and centers. The park has tracked growth by employment and new business starts for more than 10 years; however, it has never studied its overall economic impact. Wages paid by park companies exceeds $36 million annually, according to the data. An additional $16.9 million in wages are generated by businesses providing goods and services to park firms. Park tenants employ more than 900 Iowans. Another 639 central Iowa jobs are generated by businesses providing goods and support services to the…

Florida Incubators Form Alliance to Expand Services The Seminole Technology Business Incubation Center (STBIC) and the University of Central Florida Technology Incubator have partnered, and the benefits are expected to be widespread, the Orlando Sentinel recently reported. STBIC – a joint venture of Seminole County, Seminole County Port Authority and Seminole Community College – is supported by grants from NASA and the Technological Research and Development Authority, which sponsors Florida programs that enhance education and economic development. Eight companies already are housed by SBTIC, but up to 15 more are expected to join in the next year. The UCF incubator, since opening in 1999, has grown from 12 to more than 30 companies, which have generated more than 400 new jobs and more than $100 million in revenues from sales and research and development grants. The incubator consists of more than 70,000 sq. ft., with locations in the Central Florida Research Park, adjacent to the UCF campus in East Orlando, and in Downtown Orlando. Both incubators assist technology-…