regionalism

In tech-based economic development circles, universities are frequently thought of as engines for regional economic growth, engines whose effectiveness is determined by the volume of research conducted and the ability of faculty and staff to turn discoveries into commercially available goods and services. The authors of two recent academic articles suggest that regional economies are also a key determinant of university success. Steven Casper’s research suggests that social linkages between research faculty and local tech professionals improve university commercialization, while Friedrich Dornbusch and Thomas Brenner find that alignment between local tech industries and university research priorities increases the prevalence of successful university-private partnerships.

The California Governor's Office of Business and Economic Development is preparing to launch four new Innovation Hubs (iHubs) across the state. iHubs, strategically placed within existing clusters, serve as centers of collaboration for regional economic development agencies, venture capitalists, incubators, and higher education to develop joint programming for entrepreneurship (see the September 4 issue). The program is supported by public, private and federal funding and, with the recent expansion, now hosts 16 centers across California. Three of the new hubs will serve specific regions, including the San Joaquin Area, Kern and Ventura Counties and Inland Southern California. The fourth hub will offer a statewide network of manufacturing support. Read more...

Business, civic, and political leaders in St. Louis are coming together to raise $100 million in private funds over the next five years to support the Regional Entrepreneurial Initiative, a new effort aimed at helping emerging regional businesses grow and thrive. The project was launched with funding from the federal government and will draw on several ongoing fundraising initiatives in the community. About 80 percent of the funds will be used to provide capital support for startup businesses, with the remaining 20 percent directed toward entrepreneurial support and mentoring, according to the St. Louis Beacon.

On Thursday, New York Governor Andrew Cuomo's administration announced the winners of a six-month competition to secure funding for regional job creation projects. Over the summer, ten regional economic councils were created by executive order to develop plans that would improve local economies using grants, tax breaks and other state resources. The councils then pitched their plan to state government leaders (presentations and applications are available online). The four winning councils will receive $40 million each to support their plans, with the other six councils splitting the remaining $40 million. An additional $800 million in tax incentives and existing grants will also be available to support strategies in all ten regions. Best plan awardees include:

In Technology Transfer in Southeast Wisconsin, a new report from the Public Policy Forum, researchers call for a "full-fledged collaborative infrastructure" that is adept at transferring technologies developed at the region's research institutions to entrepreneurs that will use them to create businesses and jobs in the region. The report does tout some efforts to develop a collaborative infrastructure for the knowledge economy including the recently established Clinical and Translational Science Institute of Southeast Wisconsin (CTSI) — a collaborative dedicated to using research to inform and improve medical practice that includes the region's prominent research and academic institutions. However, according to the report, "many more dollars are spent on research and development than are recouped in licensing royalties or equity positions in new companies" in southeastern Wisconsin. To remedy this problem, the report provides three models that could enhance regional collaboration in technology transfer and potentially augment the effectiveness of existing efforts:

Building on a decade of work by the Coalition for Plant and Life Sciences, BioSTL launched last month to provide funding and support for emerging bioscience companies. The group also will dedicate resources such as training and recruiting entrepreneurs and increasing venture capital investment to collectively benefit partner organizations working to increase bioscience activity in the region. Washington University in St. Louis, BJC HealthCare, and the St. Louis Life Sciences Project each committed $2 million per year for five years, totaling $30 million to launch the effort. A majority of the funds will be dedicated to pre-seed and seed investments to support new company formation.

The New England Clean Energy Foundation (NECEF), in partnership with the Connecticut Clean Energy Finance & Investment Authority, announced a new initiative to spur innovation and research in clean technology across New England. According to the Boston Business Journal, The New England i6 Green Program leverages a $1.25 million i6 Challenge award from the U.S. Department of Commerce's Economic Development Administration and an additional $1.65 million raised by over 40 partner organizations (e.g., state agencies and nonprofit organizations) to fund a consortium aimed at addressing the region's gaps in the current clean energy innovation ecosystem through a combination of capacity- and network-building. NECEF's i6 program initially will be tasked with two responsibilities:

Much of the recent economic recovery plans coming from governors across the country have focused on growing and nurturing existing businesses through a regional approach to economic development. The idea is that by identifying and defining the unique needs of a region, policymakers and practitioners can then provide the necessary tools and resources to grow industries likely to succeed within a given region, thus improving the overall economic landscape of the state. This approach is happening both in states and at the local level.

A budget agreement reached last week between Gov. Andrew Cuomo and legislative leaders adopts the economic development reforms set forth by the governor to establish a regional strategy for job creation. The approved budget allocates about $200 million in existing capital funds and tax credits to support 10 regional economic development councils and merges the New York State Foundation for Science, Technology and Innovation (NYSTAR), the state's tech-based economic development initiative, into the Department of Economic Development.