U.S. Senator Olympia Snow (R-Maine) recently introduced a bill to boost the flow of venture capital to small businesses by allowing tax-exempt entities, such as pension funds and university endowment funds, to invest in Small Business Investment Companies (SBIC) without incurring unrelated business taxable income.

The Pittsburgh Technology Council recently issued its annual State of the Industry Report, which reveals that in spite of an extended national recession that began in 2000, the region’s technology industries have held their own, at least through the mid-point of the current economic downturn. The report covers the 13-county southwestern Pennsylvania region and presents industry statistics for 2001, the last year for which complete data is available from government and other sources.

Convincing politicians to make a multi-year investment in a state's economic future is challenging, particularly when commitments made in one budget cycle or administration can be forgotten or ignored so easily in the next legislative session. The FY 2003-04 funding struggle for Michigan's $50 million-per-year-for-20-years life science initiative provides ample evidence: $50 million dropped to $45 million and eroded to $32.5 million because of budget problems.

Pennsylvania Governor Edward Rendell recently unveiled an economic stimulus program that will invest nearly $2 billion in bonds and loan guarantees. The stimulus program is intended to leverage at least $5 billion in private investment in economic development projects, creating jobs in Pennsylvania's small and mid-size cities and towns.

Key provisions of Plan for a New Pennsylvania include:

Congratulations to Steve Zylstra, his staff and the 1,500-plus members of the Pittsburgh Technology Council as they celebrate the organization's 20th anniversary.

Governor Tom Vilsack has announced a plan to invest $50 million into the creation of a life sciences initiative to help establish Iowa as a leader in the life sciences. Developed with the Regents Universities, Iowa Business Council and leaders in Iowa's biotechnology industry, the biotech plan's success hinges on a three-part strategy:

A study released last week by the Economic Development Administration (EDA) and Carnegie Mellon University's Center for Economic Development finds that, within a region, universities are best able to affect the growth of young, emerging clusters. The study, Universities and the Development of Industry Clusters, concludes a "university must have a large base of research and development in order to significantly impact a cluster..."

Jill Felix, chief executive officer of the University City Science Center in Philadelphia, has announced she is stepping down.

The Allegheny Conference on Community Development announced the following three staff appointments: Leigh McIntosh was named special projects director, Katherine Needham is a new senior vice president, and Roger Cranville will serve as senior vice president of business investment for the Pittsburgh Regional Alliance.

Shortly after a General Assembly vote last week, Pennsylvania Gov. Ed Rendell announced the bipartisan approval of the remaining components to the state’s economic stimulus package. The governor's plan is intended to fuel major new investment in communities across the state.

A significant reduction in employment among southwestern Pennsylvania's technology industries in 2002 was not enough to offset signs of a turnaround, according to new data released by the Pittsburgh Technology Council (PTC). Over the second half of the year, a turnaround began to emerge and technology companies accounted for nearly 17.5 percent of the region’s workforce, PTC's annual State of the Industry Report shows.

Looking to jumpstart the federal policy process regarding broadband Internet access, the Alliance for Public Technology (APT) has released A Nation of Laboratories, Broadband Experiments in The States, a report examining various broadband policies and programs nationwide.

With contributions of nearly $64 billion annually to the gross state product, manufacturing remains the largest of all industry sectors in Pennsylvania, according to a new report sponsored by the Team Pennsylvania Foundation. Data released by the nonprofit public-private partnership documents the role of manufacturing in Pennsylvania and analyzes the forces shaping the future of the industry.

Doros Platika is the new chief executive officer for the Pittsburgh Life Sciences Greenhouse.

Teri Ooms is the first director of the new Joint Urban Studies Center in Wilkes Barre, Penn.

Holmes Foster, chairman of the Iowa Values Fund, has announced his resignation.

Package Isn't All Governor Expected; Veto Possible

Breaking new technologies into traditional markets can be challenging, particularly in the energy field it seems. To help overcome that hurdle, the State of Pennsylvania has undertaken a $5 million initiative to help finance the implementation of clean and renewable energy technologies such as biomass and wind power.

Innovation Philadelphia, a public-private partnership, the Greater Philadelphia Chamber of Commerce, and the city of Philadelphia have developed a road map that identifies the future drivers of the Greater Philadelphia economy and provides a framework for developing these drivers.

Dr. Donald Smith has been named interim chief executive officer of the Pittsburgh Life Sciences Greenhouse.

Dennis Yablonsky, chief executive officer for the Pittsburgh Life Sciences Greenhouse, is Governor Ed Rendell's pick to serve as Secretary of the Department of Community and Economic Development.

Ben Franklin Technology Partners of Southeastern Pennsylvania (BFTP/SEP), an independent nonprofit economic development organization, has announced the Commonwealth of Pennsylvania's $2 million commitment to establish the Ben Franklin Investment Partners venture guarantee revolving fund. The fund is the first such development financing vehicle of its kind in the U.S.

Pennsylvania's Tobacco Settlement Investment Board (TSIB) recently approved a commitment of up to $20 million to Birchmere Ventures III LP to invest in life sciences companies based in Pennsylvania. Birchmere Ventures III, a new fund jointly formed by Pittsburgh-based Birchmere Ventures and San Francisco-based Bay City Capital, will raise up to $150 million.

Dr. Doros Platika is the new chief executive officer of the Pittsburgh Life Sciences Greenhouse.

Pennsylvania Gov. Ed Rendell is set to release his fiscal year 2006-07 budget request later this week, which is expected to significantly redesign the state's investment in biotechnology and life science research, according to materials released by the governor's office.