SSTI Digest

The U.S. Department of Energy (DOE) recently announced a new organizational structure in response to the Bipartisan Infrastructure Law and the Energy Act of 2020. The new organizational structure intends to facilitate the implementation of clean energy investments from these new laws more efficiently and introduces two new leadership positions: the undersecretary for infrastructure and the undersecretary for science and innovation. The undersecretary for infrastructure will also lead three new offices: the Grid Infrastructure Office, the State and Community Energy Program, and the Office of Manufacturing and Energy Supply Chains.

A new $113 million grant program intended to strengthen and modernize the Registered Apprenticeship Program (RAP) will designate up to $50 million for equity partnerships and pre-apprenticeship activities. The U.S. Department of Labor announced the new grant program to enable more workers to earn while they learn and find reliable pathways to the middle class. Using a coordinated investment strategy, the Apprenticeship Building America grant program will bring the RAP model to new sectors and industries.

Eligible applicants include nonprofits, labor organizations, public and state institutions of higher education, and county governments. Applications are due by April 25. Finalists will receive awards from $1 to $8 million. More information is available here.

Missouri has a new tool to support the advancement of entrepreneurship and innovation across the state. The Missouri Technology Corporation (MTC), in partnership with TEConomy Partners LLC., identified strategic recommendations and actions to drive innovation and entrepreneurship in Missouri developed under the Missouri Innovation and Entrepreneurship Strategy Steering Committee. The report says that MTC has had significant impacts on the state's economy, revealing that its total program portfolio has generated an economic activity return of $100.74 back to the state for every $1 invested.

Two separate reports provide evidence of nearly $100 billion in donations to 864 U.S. institutions of higher education and 8,635 nonprofits in FY 2021, according to articles in the most recent Philanthropy News Digest. The $52.9 billion directed to universities represents a 6.9 percent increase from the previous year, while the $46.4 billion donated to nonprofits represents a 9 percent jump. The largest contributors to the academy were foundations, accounting for 33 percent of receipts. Meanwhile, nonprofits in the environmental sector saw the largest annual increase, 19.3 percent, yet the sector remains one of the smallest of 11 classifications.

To mark the anniversary of its executive order on supply chains, the White House released a fact sheet this morning outlining past and future actions to strengthen American competitiveness. The release includes several initiatives that have not been discussed widely before, including that: the Export-Import Bank of the U.S. will vote this spring on an initiative to finance exports of semiconductors, biotech and energy products; the 16 Manufacturing USA institutes will begin holding roundtables on scaling technology and promoting workforce initiatives; and, the Small Business Administration will institute a new committee of industry leaders to advise the agency on startups’ innovations and challenges, as well as host a new America’s Seed Fund (i.e. Small Business Innovation Research) Start-up Expo.

This edition of SSTI’s Useful Stats explores Gross Domestic Product (GDP) of the nation’s urban areas and the top industry contributors to GDP in these areas. Specifically, this analysis explores both metropolitan area (defined by the Office of Management and Budget as areas with an urban core of more than 50,000 population) and micropolitan area (defined as areas with an urban core of between 10,000 and 50,000 population) GDP in 2020, as well as the top contributing industry to area GDP.

The Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs of the National Institutes of Health (NIH) supported the development of 99 drugs from 1996-2020 — a total that includes 16 percent of all such treatments that made a “significant” advance over available medicines. This finding is just one of the impacts that the National Academies of Sciences, Engineering and Medicine (NASEM) attributes to the program in a new report.

To put the NIH SBIR/STTR program’s contributions to drug development in context, SBIR/STTR is less than four percent of NIH’s extramural R&D budget. Further, NIH R&D is just part of total U.S. spending on drug-related research, which is also funded by foundations and businesses (for example, the National Science Foundation recorded nearly $5.9 billion spent on R&D by biotech businesses in 2018 alone).

This week, the Senate energy committee discussed new funding for the U.S. Department of Energy’s (DOE) implementation of hydrogen research and development projects using funds from the Infrastructure Investment and Jobs Act. The infrastructure act provides DOE with $8 billion to create four regional clean hydrogen hubs, as well as $1 billion for clean hydrogen electrolysis demonstration projects and $500 million for R&D on the manufacturing processes and recycling methods for clean hydrogen development. During the hearing, witnesses spoke to the importance of innovation for helping to drive down costs while creating economic opportunities, and a DOE representative announced a forthcoming request for information (RFI) on the programs.

As total Higher Education Research & Development (HERD) expenditures increased nationally and in most states from 2019 to 2020 despite the COVID-19 pandemic and global recession, HERD intensity also increased. HERD intensity is an indicator of the relative importance of R&D spending by colleges and universities to regional economies, and is calculated as HERD expenditures as a percentage of total gross domestic product (GDP). This edition of Useful Stats expands on previous SSTI analysis of total HERD expenditures in 2020 (the most recent figures available), specifically examining HERD intensity by state for the five-year period from 2016 to 2020.

To boost inclusive innovation and entrepreneurship in climate technology, the Office of Energy and Renewable Energy (EERE) should provide funding for intermediary organizations who work directly with underrepresented communities to integrate clean energy education activities; and EERE should make it easier to request federal funding by streamlining the application process. Those are the recommendations resulting from EERE’s efforts to broaden access to funding opportunities and enable an inclusive and just entrepreneurial innovation ecosystem in climate and energy technologies.

Alabama, Minnesota and Pennsylvania governors are proposing new or increased funding for innovation initiatives. Alabama could see a substantial increase in its Alabama Innovation Fund, while Minnesota’s governor is looking to boost the state’s startup ecosystem and Pennsylvania would increase funding for the Ben Franklin Technology Partners, which has worked for more than 30 years to grow the state’s innovation economy.

A research team including members from MIT and the Federal Reserve Board assessed the Paycheck Protection Program (PPP) to determine if the initiative was able to keep businesses from closing and people from becoming unemployed. The authors present the highlight finding, which has been covered in multiple publications, as indicating that only about 23-34 percent of PPP funds went to workers who would have lost their jobs otherwise.