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The following item was prepared by Bill Noxon of the National Science Foundation.

Yesterday's Providence Journal-Bulletin reports the Rhode Island Economic Policy Council (RIEPC) has reduced by merger the number of Slater Centers. With the goal of increasing the impact of the state's annual $3 million investment, the restructuring from six to four centers is intended to reduce overhead and administrative costs, allowing more of each resulting center's funding to flow into emerging businesses.

Tennessee's Sullivan County took a big step toward reducing the presence of a brain drain when it approved a scholarship program for its high school graduates.

The third part in a series, "Tech-talkin Govs" highlights programs, policies and issues in tech-based economic development that were considered in the following governors' State of the State and Budget addresses.



California

Gray Davis, 2002-2003 Budget proposal, January 2002

http://www.dof.ca.gov/HTML/Budget02-03/00_toc.htm

Last week, Texas Governor Rick Perry announced the formation of the Governor's Council on Science and Biotechnology Development. The Council will strive to create a seamless system of innovation from the laboratory to the marketplace in rapidly developing areas of biotechnology — such as biopharmaceutical development, bioinformatics, genomics and nanotechnology.

Lincoln, Nebraska

Two of SSTI's sponsoring organizations, the Kansas Technology Enterprise Corp (KTEC) and Virginia's Center for Innovative Technology, are looking for strong candidates to fill two critical positions. A brief description of each opportunity is provided below. More detailed information is available on SSTI's website at: http://www.ssti.org/posting.htm

Yesterday's edition of USA Today reported "the Commerce Department's Manufacturing Extension Program [sic], funded this year at $107 million...would be eliminated [in FY 2003] because the White House says they should be financed by the private sector."

With biotechnology taking center stage on several occasions during the past year, President Bush has appointed an 18-member Council of Bioethics to address some of the more controversial aspects of the field. Policy suggestions to emerge from the council are likely to impact the activities of the significant investments many states and localities are making for biotechnology research and seed capital.

The nation faces social and economic crisis unless America succeeds in promoting and taking advantage of racial and ethnic diversity, according to a report released last week by the Business-Higher Education Forum (BHEF).

This week, the SSTI Weekly Digest continues its series on governors' State of the State addresses, highlighting those portions concerning programs, policies and issues immediately affecting the tech-based economic development community.

Describing Maine as making "modest progress" in strengthening its capacity for innovation-driven economic growth, the Maine Science and Technology Foundation (MSTF) released on Tuesday The Maine Innovation Index 2002, a report on Maine's performance in the new economy.

Five Shoes Waiting to Drop on Arizona's Future, a 50-page report released by the Morrison Institute of Public Policy, details five key trends that could harm the state's future if they are not well managed.

Three Texas cities, Dallas, Houston and Austin, top the second annual Affordibility Index prepared by techies.com, a technology workforce placement company. The study tracks which cities offer the best combination of top salary and low cost of living for information technology professionals.

Salt Lake City, Atlanta, the DC/Baltimore corridor, Seattle and Phoenix round out the top eight metro areas.

AEA, formerly the American Electronics Association, in conjunciton with the Nasdaq stock market, has released CyberEducation 2002, a compendium and comparative analysis of several trends and educational statistics from across the country.

Friday's issue of the Idaho SBIR Competition Newsletter brought to our attention two announcements from the SBA regarding the SBIR Program. Proposed changes for the program were included in the Dec. 3 online issue of the Federal Register. We reprint an extended excerpt of the text from the Idaho SBIR Competition Newsletter verbatim below, with our great appreciation for the work of Dr.

Even with record participation from 165 U.S. universities and 32 research hospitals, the 13th annual licensing survey conducted by the Association of University of Technology Managers (AUTM) reveals a 6.7 percent drop in the number of start-up companies created with technology licensed from the responding schools.

For many university tech transfer operations, the need to generate revenues to support the office and attempt to meet the often pie-in-the-sky expectations of school administrators can force licensing efforts toward only the biggest deals. Thanks to a large donation to serve as an endowment, the University of Southern California (USC) Viterbi School of Engineering will be able to count on $1 million in interest income to support its technology transfer activities.

On the heels of a report from the National Academy of Sciences (NAS) urging reform for interdisciplinary research, Congress gave its final approval of a bill designed to effectively promote collaborative research among universities and the public and private sectors.

Whether it is explicitly stated or implicitly understood, one of the distinctions between technology-based economic development (TBED) and more traditional economic development functions is TBED's goal of encouraging the creation of high-skill, high-wage jobs to raise the standard of living for the state or region's residents. An area's income levels and its positive change over time could be considered measures of success toward that goal.

It may not be getting much attention from the White House or Congress, but encouraging innovation and technology-based economic development through coordinated national strategies and initiatives is very much on the legislative agenda of many other countries around the world. Recent highlights from the past few weeks include (all dollar figures are for U.S. equivalencies):

While 2002 marks the 20th anniversary of the creation of the Small Business Innovation Research (SBIR) Program, it also may be remembered as the first time an agency successfully finagled its way out of SBIR's requirement that 2.5 percent of extramural R&D be awarded to small technology companies.

Each year, SSTI looks at the various addresses given by the nation's governors at the beginning of the year. While the aftermath of September 11 weighs heavily in the content of this year's State of the State addresses, the important role tech-based economic development plays for strengthening state and local economies during a recession has not been overlooked by many governors.

Some of the biggest tourist destinations in the U.S. — Las Vegas, Reno, Atlantic City, Orlando and Honolulu — and the biggest cities — New York, Los Angeles and Chicago — will suffer heavy job losses as a result of the Sept. 11 terrorist attacks, according to a new study from the Milken Institute.

Against a backdrop of futuristic vehicles at the Detroit Auto Show on Wednesday, Secretary of Energy Spencer Abraham and executives of Ford, General Motors and DaimlerChrysler announced a new cooperative automotive research partnership between the U.S. Department of Energy and the U.S. Council for Automotive Research (USCAR).