In the February 1, 2002 Issue:

Copyright State Science & Technology Institute 2003. 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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Kerry-Bond Letter Reminds Defense of its SBIR Obligation
The Missile Defense Agency (MDA), formerly known as the Ballistic Missile Defense Organization, may have cut the amount of research funding it is required to award small tech companies, but the Department of Defense still must meet its full 2.5 percent set-aside obligations, points out Senators John Kerry of Massachusetts and Christopher "Kit" Bond of Missouri in a strongly worded, bipartisan letter to Defense Secretary Donald Rumsfeld. The Senators are the chairman and ranking member of the Senate Committee on Small Business & Entrepreneurship, respectively.

An eleventh hour insertion in the 2002 Defense Appropriations Act reduced MDA's set aside requirement for the Small Business Innovation Research (SBIR) Program from $148.8 million to only $75 million [see the 1/11/02 SSTI Weekly Digest for more information].

The Kerry-Bond letter reminds Secretary Rumsfeld that the Small Business Act requires the Department of Defense to award 2.5 percent of its entire extramural R&D budget to tech companies with fewer than 500 employees — regardless from which component within the department those funds originate. The legal argument suggests other defense agencies, such as the Navy, Army or Air Force, would have to cover the $75 million obligation shirked by MDA.

The Jan. 29, 2002, letter requests that Secretary Rumsfeld "reply to us in writing by close of business on Friday, February 8, 2002, as to how the Department plans to make up that difference."

The full Kerry-Bond letter is available on the Senate Small Business Committee website: http://www.senate.gov/~sbc/

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NSF Releases $160M Math & Science Partnership RFP
With the goal of supporting partnerships that unite the efforts of local school districts with science, mathematics, engineering and education faculties of colleges and universities, the National Science Foundation (NSF) has released the first request for proposals (RFP) for the $160 million Math & Science Partnerships (MSP) initiative. Involvement of additional stakeholders, especially states, is highly encouraged, according to the RFP.

The program seeks to improve student outcomes in high-quality mathematics and science at all levels, from pre-K to 12. By stressing partnerships, MSP emphasizes that mathematicians, scientists and engineers participate in the effort to impact the teacher workforce and to work with teachers and administrators to substantially improve student achievement. NSF expects teachers and higher education faculty, as well as administrators and school guidance counselors, to be significantly involved in proposal development and program implementation.

In making award selections expected to total 85-90, NSF will look for innovative approaches that effectively engage higher education institutions in addressing the program's goals. Two broad categories or types of proposals will be accepted.

Each proposed partnership must include one or more institutions of higher education and one or more school district partners, which are encouraged to include other partners that bring needed human and institutional resources to the collaboration. Lead organizations — with fiscal and programmatic responsibility — must be one of the following: 1) a preK-12 local, tribal, regional or state educational system, 2) an institution of higher education, 3) a higher education system or consortium, or 4) an educational consortium, private foundation, or other public or non-profit private school or organization focused on preK-12 education.

The RFP emphasizes that projects involving fewer than 10,000 students are strongly encouraged to form larger consortia to impact more students and teachers for greater cost-effectiveness.

Responses are due by April 30, 2002, and October 15 annually thereafter. Optional letters of intent for the first year's competition may be submitted on or before March 15, 2002.

More information can be obtained from the RFP at: http://www.nsf.gov/cgi-bin/getpub?nsf02061

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Mississippi Technology Alliance Releases First Annual Index
The first-ever Mississippi Innovation Index was released Wednesday by the Mississippi Technology Alliance.

Targeting technology-based economic development in Mississippi, the Index groups baseline data into eight categories and establishes a data collection process for 24 science- and technology-related indicators. Initial analyses suggest:

With publication of its first annual Mississippi Innovation Index, the state has what it hopes will be a consistent and reliable source of data that will enable it to clarify national rankings. An executive summary of the Index is available at: http://www.technologyalliance.ms/innovation_index/index.html Full copies of the Index may be obtained by contacting Heath Hall at (601) 960-3610 or hhall@technologyalliance.ms.

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Kansas, Inc. Charts Ambitious Future for Kansas
Kansas, Inc., a nonpartisan public-private organization, recently released the findings and recommendations of its team of economic development consultants and more than 1,100 Kansans as a comprehensive update to Kansas' economic development strategic plan.

Making the Knowledge Economy Work for All Kansans emphasizes commitment to a cooperative environment by both public and private sectors in Kansas. Considered the state's most ambitious look at economic development in nearly 15 years, the report highlights five strategic objectives, including 47 policy recommendations, that address the challenges facing Kansas:

Copies of Making the Knowledge Economy Work for All Kansans are limited in supply; a 20-page color brochure, outlining all objectives and policy recommendations, is available by contacting Kansas, Inc.'s Ann Marshall at (785) 296-1460.

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Tech-talkin' Govs: State of the State Addresses and Budget Requests
Again, "Tech-talkin Govs" highlights programs, policies and issues in tech-based economic development that were considered in the following governors' State of the State addresses.

Utah
Michael Leavitt, State of the State, January 28, 2002
http://www.utah.gov/governor/stateofstate.html

Wisconsin
Scott McCallum, Budget Reform Act of 2002, January 22, 2002
http://www.wisgov.state.wi.us/budget/index.a

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State and Local Tech-based ED RoundUp

Dallas
The Office of the Vice President for Research and Graduate Education at the University of Texas at Dallas (UTD) has created an external advisory council to provide insight into research trends, entrepreneurial activities, government liaison and global outreach. The council, which is composed of members of academia and both the commercial and defense industries, is being asked to help administrators plan the future of the university's research, assist in maintaining a sense of direction and focus in present work research, and interact closely with UTD's internal research council. UTD has a legislatively mandated emphasis in the natural sciences and engineering and management sciences.

Greenville, South Carolina
An unidentified developer has purchased 132 acres near Interstate 85 to build a research park with a $40 million wind tunnel, according to the Associated Press. The park, pending approval by nearby Clemson University's board of trustees, would attract research funding for Clemson and would be geared to the motorsports and automotive industries. Serving as a facility for Clemson's motorsports engineering program, the park's wind tunnel would be used in automotive research to study the effects caused by air swirling around a moving vehicle.

Lancaster, Pennsylvania
The Pennsylvania State Employees Retirement System has promised $20 million to begin venture capital investments in downtown Lancaster, the Lancaster New Era recently reported. Part of a $100 million fund to bring small companies to an incubator, the commitment makes way for a proposed $10 million renovation of three floors in the former Lancaster Press building. Emerald Assets Management, a company overseeing the initiative, is expected to complete investment agreements that could place up to $50 million in the fund by the end of March. Emerald also is looking for assistance from the state's Department of Community and Economic Development to cover the renovation costs.

Roanoke, Virginia
The newly named Business Technology Park at Radford University awaits renovations to the 110,000-square-foot building in which it will be housed, according to the Roanoke Times & World News. Already home to the university's Small Business Assistance Center, the building has space for 10 tenants in offices measuring 4,000-5,000 sq. ft. each. Tenants will have access to the university's offices for international trade expertise, management and leadership development, and technology training, among other shared services. The park is being situated in the former Carilion Health System building on 78 acres of St. Albans Hospital property in Pulaski County.

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Departures

Rick Kovar, executive director of the Rhode Island Technology Council for the past two years, resigned from his position. The 242-member Council is beginning the search for a new director.

John Anderson, CEO for Enterprise Florida since 1996, has announced his retirement effective in June. The nonprofit organization that handles economic development for the state has been accused in recent months for negative audit findings by the state, overstating its impact figures, and for Anderson's comment that the organization is not in the job creation business.

The North Carolina Technological Development Authority is going through staff cuts and reorganization after a critical audit caused the state to pull its funding. Five management and staff positions, comprising 40 percent of the organization's workforce, have been eliminated to regain the state's support and public confidence.

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NET Entertains National Business Plan Competition
To give environmental technology entrepreneurs the chance to have their business plans analyzed by experts and win money for it, the National Environmental Technology (NET) Incubator in Wilberforce, Ohio, is hosting the first annual National Business Plan Competition.

Prizes including $10,000 for first place, $5,000 for second place and $2,500 for third place will be awarded. The company deemed "Most Likely to be Funded" will have the opportunity to present its plan before a panel of investors at the Energy and Environmental Network's Early Stage Capital Forum in Boston on May 8. In addition, two years of free rent in the NET Incubator will be granted to the finalist with the business plan deemed most likely to succeed, yet not ready for equity funding.

Entrants must be companies — either currently operating or in the formation stage — that have the intent to manufacture or have proprietary enabling technology or software that will allow rapid growth. Companies must have a business plan that demonstrates a clear business model and intent to expand significantly; the business plan must be for a seed, start-up, or early stage venture. In addition, the company described must be organized to do business in their home state as a corporation, partnership, limited liability partnership, or limited liability company.

A distinguished panel of experts will review business plan submissions and give feedback on how to improve companies' models and methods of presenting the plans. A $200 entrance fee applies; participants eliminated before the finals will be reimbursed $150. All entrance materials must be postmarked on or before February 15, 2002. Other eligibility requirements apply. For more information, visit: http://209.190.53.22/competition/incubator.htm

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SSTI Publication Catalog Hits the Web
With more than 110 great titles to aid the policy, practice and study of tech-based economic development, the SSTI Publication Catalog, Resources for Building Tech-based Economies officially is online.

Placing the catalog on the World Wide Web is the latest effort to reflect the SSTI's commitment to making available quality information on science and technology policy issues and tech-based economic development. From Accessing Capital to Commercializing Technology, 17 categories arranged by the most common objectives of local, state and national entities make it easy for users to locate specific titles.

Whether you're new to the field or a seasoned professional, SSTI is confident at least one publication in Resources for Building Tech-based Economies will significantly improve your understanding and application of tech-based economic development policies. Visit the SSTI Publication Catalog online at: 
http://www.ssti.org/Publications/publications.htm

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