This week we continue our series on state legislation pertaining to the innovation economy that has been enacted this year around the country. This second installment of the States of Innovation 2017 series deals with free tuition.

Over the last several months, economic development organizations, universities, and their partners have announced new efforts to create the building blocks for entrepreneurial development in rural communities. Examples include i2e announcing new efforts to expand entrepreneurial support services to rural communities in Oklahoma and three Indiana universities partnering to support startup growth in rural regions across the state.

Because a research base that generates new knowledge is a key pillar of a technology-based economy, an important strategy in technology-based economic development is the expansion of research capacity. While states may go about addressing this in a variety of ways (e.g., R&D tax-credits, university-industry partnerships, recruiting eminent scholars), Florida drew national attention when it took a different approach last decade, allocating more than $450 million to attract nine research institutes through its Innovation Incentive Program (IIP).

Over the last several months, the Economic Development Administration (EDA) has announced millions of dollars in grants to support tech-based economic development efforts in communities across the country (see recent Digest articles from August 18 and September 8).

Since the beginning of July, the Economic Development Administration (EDA) has announced almost $7.3 million in grants to support advanced manufacturing and support workforce development efforts in communities impacted by the decline coal industry. In Florida and Washington, the EDA announced funding to support the facilities that can house local manufacturing firms and provide the space and equipment necessary for them to create jobs.

In the latest round of state budget proposals, TBED initiatives receive mixed reviews. Some governors are boosting funding while others in cash-strapped states are proposing cuts.

The last of the state of the state addresses are trickling in, with Florida’s governor this week making the case for the state’s economic development organization and business incentives, which the Florida House of Representatives have targeted for elimination. Last month Kentucky Gov. Matt Bevin called for education reform and highlighted the competition for state funds in workforce development. Ohio and Louisiana’s governors are scheduled to deliver their remarks in April.

The perils of regional economies being too dependent on single industry clusters, particularly as it affects the financing of state governments, are playing out in the Great Plains. Kansas, New Mexico, North Dakota, Oklahoma and Wyoming have been or still are experiencing recessions, beginning as early as spring 2015 for two, according to a new analysis by Jason P. Brown for the Tenth Federal Reserve District.

Among the $410 million in items Gov. Rick Scott struck from Florida’s 2018 budget were more than 100 appropriations totaling more than $20 million that would support STEM education, higher ed, R&D and innovation. Instead, the governor wants the state to spend more money promoting tourism. Scott vetoed more than $20 million for innovation-oriented economic development items.

As governors and state legislatures continue their negotiations over state budgets, SSTI has reviewed the latest to be signed. The process has proved difficult in more than a few states, with New Mexico having to overcome several stalemates and still facing shortages while in Oklahoma three-fourths of the state agencies are seeing decreased funding due to the state’s $900 million shortfall.

Despite its location more than 180 miles south of Gainesville, FL,  Sarasota County – which is far better known for its cultural and environmental amenities than industrial strength – will be home to the University of Florida’s first engineering extension office.

Many states across the country already have, or will soon have, signed budgets ready for the 2017 fiscal year.  Over the past few months, SSTI has examined gubernatorial addresses and proposed budgets for a preview of technology-based economic development spending in the coming year. This week, we take a look at what initiatives and spending levels survived spending negotiations in Alabama, Florida, Idaho and New Mexico, as well as an update on the budget situation in Pennsylvania.

A number of governors around the U.S. have already begun rolling out budget proposals for the next legislative session. This week, SSTI examines gubernatorial spending recommendations related to research, commercialization, STEM education and entrepreneurship in Florida and Wyoming.

Florida

Over the past few months, SSTI has followed proposals issued by governors in their budget requests, State of the State Addresses, Inaugural Speeches and other events. Now that many governors have signed spending bills, the SSTI Digest will check on the status of these proposals, and examine the state of technology-based economic development funding in the states. This week, we review actions in Florida and Rhode Island.

On Monday, Oklahoma Gov. Mary Fallin signed a $7.1 billion fiscal year 2016 budget (HB 2242) that includes a 3.5 percent reduction in base higher education funding.

Addressing accessibility, affordability and ensuring workforce preparedness topped legislators’ agendas in many states during the 2014 sessions. States and regions are increasingly competing for talent as the trend toward growing and nurturing innovation ecosystems continues.