In the June 11, 1999 Issue:

Copyright State Science & Technology Institute 2002. Information in this issue of the SSTI Weekly Digest was prepared under a cooperative agreement with the U.S. Department of Commerce, Economic Development Administration. Redistribution to all others interested in tech-based economic development is strongly encouraged — please cite the State Science & Technology Institute whenever portions are reproduced or redirected. Any opinions expressed in the Digest do not necessarily reflect the official position of the U.S. Department of Commerce.

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$162 Million Available for Distance Learning & Telemedicine
The US Department of Agriculture's (USDA) Rural Utilities Service has released the application guide for the 1999 Distance Learning & Telemedicine (DLT) Program. The DLT program provides financial assistance for schools, libraries, and rural medical services to acquire equipment and telecommunications facilities for optimal service delivery.

Three types of applications and awards are included in the DLT program: grants, loans, and a combination of loans and grants. In FY 1999, the USDA will award $7.5 million in grants, $100 million in loans, and $55 million in combination grants and loans.

More money is available for the FY 1999 DLT program than has been awarded through all six previous funding cycles combined. Since its inception in 1993, USDA has funded 252 projects in 43 states and two US territories, totaling $62.5 million in grants and $3 million in loans.

Due dates, instructions, match requirements, selection criteria and submission information differ for the three types of awards.

Applications for grants must be postmarked by July 9, 1999. DLT grant funds may be used to cover 70 percent of total eligible project costs. Grants may be used to: acquire (lease or purchase) eligible equipment and instructional programming; provide technical assistance and instruction for using eligible equipment; develop instructional programming; and, conduct engineering and environmental studies related to other grant activities. Grants may not be used for several costs and types of projects, including salaries of educational, medical or administrative personnel. A complete list is provided in the application guide.

Projects requesting loans or a combination of loans and grants will be addressed on a first-come, first-served basis with no deadline other than if the proposer wishes to be considered in the current fiscal year. If funding is sought for the current fiscal year, applications should be submitted by August 31, 1999. There are no match requirements for projects awarded loans or a combination of loans and grants. Uses of DLT funds for loan and combination loan and grant are generally broader than those under the 100 percent grants, but still do not cover salaries, benefits or wages, or a few other items spelled out in the application guide.

The USDA Rural Utilities Service advises applicants that the DLT regulation (7 CFR Part 1703 amended May 12, 1999) must be used in conjunction with the DLT application guide. Both can be downloaded from the following webpage: http://www.usda.gov/rus/dlt/dltregs.htm

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NSF Releases MRSEC Solicitation
The National Science Foundation's (NSF) Directorate for Mathematical and Physical Sciences Division of Materials Research has announced that approximately $22 million will be awarded in FY 2000 for grants to support 10-15 Materials Research Science and Engineering Centers (MRSECs).

Awards are expected to range from $500,000 to $5 million per year and last for up to five years. Proposals from existing centers will compete against new proposals. Selections will be made in September, 2000.

The MSRECs are intended to support interdisiplinary and multidisciplinary materials research and education of the highest quality while addressing fundamental problems in science and engineering that are important to society. They are expected to have strong links to industry and other sectors and to develop a national network of university-based centers in materials research.

MRSECs are supported by NSF to undertake materials research of a scope and complexity that would not be feasible under traditional funding of individual research projects. An MRSEC may encompass one or more interdisciplinary research group (IRG). Each IRG involves several faculty members and associated researchers, addressing a major topic or area in which sustained support is critical to progress.

Eligible applicants are academic institutions in the U.S. with broad research and education programs in the area of condensed matter physics, solid state and materials chemistry, materials science and engineering, and related areas of science and engineering.

Pre-proposals are due September 10, 1999 and are mandatory to be considered for the competition. Only two pre-proposals may be submitted by any one institution. Any one individual may be the principal investigator for only one pre-proposal. NSF will accept full proposals for MRSECs by invitation only, based on the results of the pre-proposal evaluation. Full proposals will be due on January 21, 2000. Principal Investigators will be notified of the results of pre-proposal review on or about November 12, 1999.

Existing MRSECs are located in the following states: Alabama, Arizona, California (4), Colorado, Illinois (2), Indiana, Kentucky, Maryland (2), Massachusetts (3), Michigan, Minnesota, New Jersey, New York (4), Pennsylvania (2), Rhode Island, Texas, and Wisconsin. Information regarding MRSECs, including current awards, can be found on the NSF website at http://www.nsf.gov/mps/dmr/mrsec.htm  

Inquiries about the MRSEC program and this solicitation (NSF 99-125) should be directed to one of the program directors: Dr. Carmen Huber at 703/306-1996 or via e-mail at chuber@nsf.gov  or to Dr. Ulrich Strom at 703/306-1832 or via e-mail at ustrom@nsf.gov .

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Growth in States' R&D Spending Outpaced Others Over Last 30 Years
Adjusted for inflation, state R&D expenditures grew at an average annual rate of 3.3 percent between 1965 and 1995, compared with the nationwide R&D spending growth of 2.5 percent per year for the same period, according to What is the State Government Role in the R&D Enterprise? This report was issued by the Research and Development Statistics Program of the National Science Foundation's Division of Science Resource Studies.

Several R&D indicators included in the report, however, indicate that while total state R&D spending has grown, the states' share of US R&D spending and US Gross Domestic Product (GDP) has declined.

The report is based on data collected by NSF or through NSF-sponsored research on periodic surveys of state R&D expenditures and annual academic R&D surveys.

The report states that while total state R&D expenditures increased by $240 million (constant 1992 dollars) between 1987 and 1995, state R&D as a percentage of US R&D activity in 1995 remained at the 1987 level of 1.37 percent.

While never a large portion of the US GDP, state R&D as a percentage of US GDP for 1995 actually declined slightly from the 1987 share of 0.037 percent to 0.035 percent. In 1965, the figure was 0.031 percent.

Copies of What is the State Government Role in the R&D Enterprise? (NSF report number 99-348) may be downloaded from the NSF website: http://www.nsf.gov 

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Midwest VC Conference Seeks Presenters
The Ninth Annual Great Midwest Venture Capital Conference will be held November 8-9, 1999 in Indianapolis, Indiana. The Indiana Business Modernization & Technology Corp. (BMT) is seeking applications from emerging technology businesses to present their business profiles and capital needs to a variety of potential investors at the event.

Presenter participation is limited to 30 companies. Each selected participant is allotted 12 minutes of presentation time and a display booth in the exhibit hall to facilitate further discussions with prospective investors.

A wide variety of industries have been represented in the past with technology-related businesses, particularly software developers and Internet firms, tending to dominate.

Half of the presenter positions are already filled, although the deadline for presenter registration is August 27, 1999. Participation is not limited to Midwest companies: firms from Utah and New Mexico are among the presenters who have secured positions on the conference agenda.

Presenter registration, presenter profiles, and additional information can be obtained at the conference website: www.greatmidwestvcc.com 

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