state tbed

It is extremely rare for SSTI to use those first two words in a Digest headline. We feel that compulsion today because of a unique (using its original OED definition of “first/one of a kind”) monograph prepared by Greg Tassey, an esteemed economist who served for much of his career as Senior Economist for the National Institute of Standards and Technology. Throughout his work, he has focused an economist’s lens on public policy’s role in technology, standards, economic growth, and industrial innovation, among other related topics. In this paper, Tassey turns his critical analysis toward technology-based economic development (TBED).

TEDCO’s current portfolio of assisted companies has grown to 326 companies and more than 3,100 jobs, according to an economic impact report by the University of Baltimore’s Jacob France Institute and TEConomy Partners. TEDCO was created by the Maryland State Legislature in 1998 to facilitate the transfer and commercialization of technology from Maryland’s research universities and federal labs into the marketplace. The direct Maryland economic activity generated by these core programs totaled nearly $900 million in 2018, a considerable increase from the $572.3 million in economic activity reported in 2015. Of all TEDCO programs, the Seed Investment Fund has the largest direct impact, accounting for more than half of all employment and direct economic activity.

The 20 new governors elected last November are filling out their appointments, and SSTI’s analysis of those named as state economic development directors reveals an array of backgrounds leading into their new roles. New Republican governors have shown a greater propensity to choose a leader with an industry background, while new Democratic governors have been more likely to appoint  directors with economic development experience. From a former U.S. representative to the owner of a regional pizza chain, here are the highlights of the 16 state economic development directors appointed since November.

With 36 governors being sworn in following the November elections, 20 of those being new faces and 16 who were re-elected, this year’s inaugural and state of the state addresses promise new ideas along with proposed resolutions to existing challenges. As the governors present their plans to constituents, SSTI revisits our Tech Talkin’ Govs series. The first round of addresses presented here reveals new initiatives in education and building the workforce in Idaho, green energy initiatives in Maine, collaboration in Massachusetts, the largest economic investment in workforce in the state’s history in New Hampshire, and more.

An independent economic analysis of the Ben Franklin Technology Partners reveals its impact on Pennsylvania’s economy — boosting the overall economy by $4.1 billion between 2012 and 2016, helping to create 11,407 high-paying jobs and generating $385 million in tax receipts for the state. Because the jobs were created in industries that pay 52 percent higher than the average nonfarm salary in Pennsylvania, the impact on the state’s GSP was greater, according to the report. However, such impact is threatened by decreasing state funding in the program, which is limiting the partners’ ability to fund companies and creating missed opportunities, according to BFTP. State funding for BFTP has dropped more than 50 percent since 2007-08.

New York Gov. Andrew Cuomo has announced more than $763 million for economic development projects throughout the state as part of the regional economic development council (REDC) competition. The program, which tasks leaders in 10 regions to determine economic development priorities, has awarded more than $6.1 billion across 7,300 projects since its inception in 2011. In each region, funding went toward projects such as infrastructure, main street revitalization, feasibility studies, strategic planning, microenterprise funds, and workforce development. Of the total amount distributed this year, more than $20 million went to projects related to technology-based economic development. A (non-exhaustive) list of New York projects related to technology-based economic development receiving funding in this most recent round can be found below, while a full list of awarded projects can be found here.

With 36 governorships up for election — and more than half those open either due to retirements, term limits, or lost primaries — new faces were guaranteed in state offices across the country. As a result of Tuesday’s voting, 20 new governors will be taking office and 16 of 18 incumbent governors that were on the ballot on Tuesday will be serving another term (Illinois Governor Bruce Rauner and Wisconsin Governor Scott Walker were the only incumbent governors. defeated on Tuesday). Democrats flipped governor’s seats in seven states (Illinois, Kansas, Maine, Michigan, Nevada, New Mexico and Wisconsin), while Republicans picked up one (Alaska).  

SSTI has reviewed the results of ballot initiatives affecting innovation following Tuesday’s election. Higher education funding received support from voters in Maine, Montana, New Jersey and Rhode Island; however, a South Dakota measure aimed specifically at developing a fund to assist the state's postsecondary technical institutes and students was defeated. Additionally, Utah voters opposed using gas taxes to fund its schools. Several states had clean energy initiatives on their ballots, with mixed results. Arizona voters rejected a renewable energy amendment, while its neighbor, Nevada, saw voters pass one, and Washington state voters once again rejected a carbon emissions initiative.

The Massachusetts legislature ended its 2018 session with a slate of bills related to tech-based economic development. Legislation for general economic development, life sciences industry, and green communities created new authorizations and provided for more than $1 billion in bond funding authority, with a substantial portion allocation to innovation-related activities. From broadband access to SBIR support to workforce development, the bills created a host of new opportunities for TBED in the Bay State.

New Jersey, long considered a state-leader in technology-based economic development prior to the Great Recession, has committed to reinvesting in its innovation economy. In addition to the legislature overwhelmingly approving a bill to reconvene the New Jersey Commission on Science and Technology — the state’s primary technology-based economic development organization — Gov. Phil Murphy also announced several other initiatives to support innovation and entrepreneurship in the state.