In the October 2, 2006 Issue:

Copyright State Science & Technology Institute 2006. 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.

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Wisconsin Offers Free Stem Cell Research Licenses
Last week, Wisconsin Gov. Jim Doyle announced his administration and the Wisconsin Alumni Research Foundation (WARF) had reached an agreement that would allow companies sponsoring stem cell research in Wisconsin to obtain a free, non-exclusive research license under the stem cell patents held by WARF. WARF, which manages more than 720 pending and 880 issued U.S. patents on University of Wisconsin at Madison technologies, will not charge Wisconsin research centers for licenses on its stem cell patents. The agreement is part of Gov. Doyle's plan to help the state capture 10 percent of the national stem cell market by 2015.

The WiCell Research Institute, a subsidiary of WARF and operator of the National Stem Cell Bank, offers technology licenses, stem cell lines, and training for university and private sectors researchers around the world. WiCell provides five of the 21 stem cell lines available for federal funding and maintains more than 460 academic and commercial licenses on human embryonic stem cells. Its licenses directly affect all U.S. companies and research in the field.

The agreement gives Wisconsin a competitive advantage in growing and attracting biotechnology companies over other states active in stem cell research, such as California. Wisconsin's biotech economy generates nearly $7 billion annually and employs 22,000 workers earning well above the average state income. In its announcement, the governor's administration cited predictions that the market for stem cell products could reach $10 billion, and create more than 100,000 jobs over the next 10 years. Gov. Doyle expects the measure to keep Wisconsin at the forefront of this growth.

The agreement is part of a package of incentives offered by the state of Wisconsin, which also includes:

The announcement came less than two months before the state's gubernatorial election. Gov. Doyle's opponent, U.S. Representative Mark Green, has proposed his own plan to invest $25 million over the next four years in medical research that does not require the destruction of early-stage embryos.

Read Gov. Doyle's announcement at: http://www.wisgov.state.wi.us/journal_media_detail.asp?locid=19&prid=2346

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Early Registration Ends Oct. 9 for SSTI's Annual Conference
Stretch your professional development dollar by taking advantage of the $100 discount offered for all registrations made on or before Oct. 9 to SSTI's annual conference! A quick, convenient and secure registration form is available at https://www.ssti.org/Conf06/registration.htm. Information on the conference is available at http://www.ssti.org/conference06.htm.

European Union Outlines 10-Step Innovation Plan
Earlier this month, the European Commission laid out a broad-based innovation strategy to improve the Community's ability to compete effectively in the global economy. Each of the 10 action items listed include several recommendations for the member states to implement individually, as well as select items at the Union level.

Regional innovation strategies comprise a central element of the planning and budgetary allocation of the action plan, and the list includes several components with relevance to the 50 states and the U.S. federal government.

The top priority is for member states and universities to establish innovation-friendly education systems to promote creativity and to focus curricula on skills consistent with a knowledge-based society. In addition, they should provide incentives for structured partnerships of universities with the business community. Finally, member states and universities should ensure that entrepreneurial, management and innovation skills development become an integral part of graduate education, research training and lifelong learning strategies for university staff.

On the Union level, the plan calls for establishment of a European Institute of Technology to serve as a central location for the best European students and researchers to work side by side with business in the development and exploitation of knowledge and research. The center also will train researchers while exploring long-term, interdisciplinary technology areas. More detailed plans for the institute are available at: http://ec.europa.eu/education/policies/educ/eit/index_en.html

Several action items in the plan strive toward increased flexibility and standardization across institutions and member states to facilitate researcher mobility, university-industry collaboration, and labor and workforce attractiveness. Issues to be addressed are as varied and complex as intellectual property rights, research rights, assessment criteria, pension rights, tenure, and knowledge transferability.

The final action area calls for member states to stimulate innovation through procurement, regulatory change, and other efforts to implement strategy for innovation-friendly lead Markets in key technology areas such as eco-technologies.

The action plan memo is available on the Europa site at: http://europa.eu/rapid/pressReleasesAction.do?reference=MEMO/06/325&format=
HTML&aged=0&language=EN&guiLanguage=fr

Links to this paper and more than 4,000 additional TBED-related research reports, strategic plans and other papers can be found at the Tech-based Economic Development (TBED) Resource Center, jointly developed by the Technology Administration and SSTI, at: http://www.tbedresourcecenter.org/.

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Inside Look at the Rest of the World
The EU is moving forward, and we're delighted that Mary Kavanagh, the Counselor for Science, Technology and Education at the European Commission Delegation to the United States, will be joining us in Oklahoma City to provide insights on what our friends across the Atlantic are doing. Mary is one of more than 40 speakers that will be sharing their insights with attendees of SSTI's 10th Annual Conference. More information on the speakers is available at http://www.ssti.org/Conf06/bios.htm.

Michigan's Jobs Fund Commits $200M for Commercialization, VC
Michigan Gov. Jennifer Granholm has announced the first round of awards from the states new 21st Century Jobs Fund initiative. Totaling more than $100 million, these awards will support applied research and later-stage commercialization of promising new technologies developed at Michigan's public and private research centers. The inaugural round of 61 awards is expected to create more than 3,000 new in-state jobs and to fuel new business development in the life sciences, alternative energy, homeland security, and advanced automotive technologies.

The Fund is managed by the Michigan Economic Development Corporation (MEDC), which operates as a partnership between the state, private companies and local communities. Approximately $800 million of the $2 billion fund overseen by MEDC will directly support the commercialization of new technologies over the next 10 years.

The current round of awards includes:

Life Sciences 25 awards $45.7 million
Alternative Energy 4 awards $8.9 million
Advanced Automotive Materials & Manufacturing 26 awards $37.3 million
Homeland Security/Defense 6 awards $9.3 million

Awards generally range between $500,000 and $2.5 million; however, the largest single award from this round is a $6.27 million investment in Adaptive Materials Inc. to commercialize research in portable fuel cell technology. Most of the research and commercialization projects selected have received financial support from the state in the past. The fund will contribute to several ongoing projects to extend support networks and business services to start-up firms in fields such as the Core Technology Alliance (CTA Corp), a network to advance life sciences in Michigan.

Gov. Granholm also recently approved $109 million for private equity, mezzanine and venture capitals funds investing in Michigan companies. The 21st Century Investment Fund is overseen by fund manager Credit Suisse and is a component of the Jobs Fund, which is intended to help diversify the state economy investing in sources of local capital and co-investing alongside other funds. The first round of commitments is expected later this year.

Learn more about the 21st Century Jobs Fund initiative at: http://www.michigan.org/medc/21stcenturytour/overview/index.asp.

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Idaho and Oregon Tech Councils Endorse Spending Proposals for TBED
TBED agencies in two northwest states have released proactive wish lists for state TBED investment in their respective 2007 legislative sessions.

Idaho
In a Sept. 12 teleconference, Idaho Gov. Jim Risch's Science and Technology Advisory Council agreed upon a $38.8 million package to attract and grow new technology businesses, as well as a tax credit program to encourage private investment in high-tech companies.

According to an article in The Idaho Statesman, the council's recommendations include:

Additionally, the tax credit program would provide a 45 percent state tax credit for investing in Idaho bioscience companies and a 35 percent credit if they invest in high-tech firm in other fields. The estimated cost of the program is $50 million.

The council's recommendations will be considered by Gov. Risch for inclusion in his executive budget request in 2007. The proposals must also be approved for inclusion by the winner of the Idaho governor's race in November between Republican U.S. Rep. Butch Otter and Democratic businessman Jerry Brady, before being submitted to the state legislature.

Oregon
At a meeting last month, the Oregon Innovation Council revealed its state Innovation Plan, which includes a $38 million economic stimulus package. Gov. Ted Kulongoski pledged to make the recommendations a top priority in his 2007-09 budget, should he be re-elected in November.

Ron Saxton, Gov. Kulongoski's opponent in this fall's gubernatorial race, also endorsed the council's recommendations.

The council's proposals include:

Read more about Oregon's 2006 Innovation Plan at http://www.oregoninc.org/plan.htm.

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Innovation on Your Agenda?
Ours too! The 22 breakout sessions offered during SSTI's annual conference Nov. 1-2 cover innovation, entrepreneurship and all of the most critical issues for transforming regional economies. Check out the full agenda and slate of outstanding speakers at http://www.ssti.org/Conf06/schedule.htm.

Virginia Governor Creates Office for Telework, Broadband
With an eye toward easing traffic congestion, air pollution, and distributing employment opportunities more widely around Virginia, Gov. Timothy Kaine has created an Office of Telework Promotion and Broadband Assistance. The Office will encourage and promote telework activities for public and private employers, and work to advance innovative models that expedite the deployment of "last-mile" broadband technologies throughout the Commonwealth.

"Telework is a family-friendly, business-friendly public policy that helps us recruit and retain a high-quality workforce in a competitive job market," Governor Kaine said. "It also protects environmental quality and promotes energy conservation by reducing traffic congestion and vehicle emissions. Telework also allows a better balance between work and family."

With portable computers, personal digital technology, and high speed telecommunications links, many employees today can work almost anywhere at least some of the time. The Virginia General Assembly set a goal of shifting a significant number of jobs into alternative work schedules by 2010, which will involve expanded use of telework. State agencies are being surveyed to gather baseline data on the amount of telework currently conducted.

The Office will also actively promote the adoption and deployment of affordable broadband services throughout the Commonwealth.

Created by Executive Order, the new office will be housed within the Office of the Secretary of Technology. More information is available at http://www.technology.virginia.gov/.

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How'd They Get Them Do That?
Did you know Oklahoma City voters taxed themselves to the tune of $500 million to add punch to the quality of life they enjoy in their metro area? Now, the city boasts world-class cultural, arts, sports and entertainment venues — already attracting more than $2.5 billion in additional investment. Excited with the results, now voters have approved another pot of money to turn every public school into a tech-savvy, 21st century learning center. It's every economic developer's and TBED strategist's dream come true! Your chance to hear and see how Oklahoma City achieved such success is offered as a full-day pre-conference workshop for SSTI's annual conference. More details are available at http://www.ssti.org/Conf06/preconference.htm#Preconf2.

Useful Stats
Revised Per Capita Personal Income by State, FY 2003-2005
The U.S. Bureau of Economic Analysis (BEA) recently released revised estimates of state personal income from 2003-2005. According to BEA's data, the U.S. as a whole showed an increase of 9.64 percent in per capita personal income over the three years. Twenty-seven states experienced per capita personal income growth greater than the national average. The District of Columbia ranks first at 15.66 percent, followed by Wyoming (13.96 percent), Hawaii (13.81 percent), Oklahoma (13.21 percent), Nevada (12.61 percent), Alabama (12.46 percent), Florida (12.38 percent), New Mexico (12.33 percent), Maryland (12.18 percent) and Idaho (12.01 percent).

The District of Columbia topped the nation in per capita personal income from 2003-2005. The remaining top 10 states showed little movement over the three-year period — Connecticut, New Jersey, Massachusetts, Maryland, New York and New Hampshire held their ranks among the top seven, respectively, and Colorado remained at 9. However, Minnesota dropped two ranks to 10 in 2005 and Virginia moved up two ranks to 8 in 2005.

Iowa climbed the most of the states in rank by per capita personal income, jumping five places from 36 in 2003 to 31 in 2005.  Hawaii, Nevada and Wyoming were just behind, moving up four places during that time span.

SSTI's table ranking all 50 states and the District of Columbia by revised per capita personal income from 2003-2005 is available at: http://www.ssti.org/Digest/Tables/100206t.htm

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What's Next for TBED?
While politicians across the nation are worrying about where their paycheck will come from in January, TBED programs are determining the best investments elected officials should make for transforming regional economies to be more competitive in a knowledge economy. Join SSTI in Oklahoma City Nov. 1-2 to learn about some of the most successful TBED strategies around the country and trends that should influence future directions. More information is available at http://www.ssti.org/conference06.htm.

Job Corner
SDBIO Seeks Executive Director
The South Dakota Biotech Association (SDBIO) is seeking an executive director to manage and coordinate its daily operations, communications initiatives, government relations, member services, and marketing. The executive director will establish a yearly budget and determine funding sources, develop a strategic plan for growth and expansion, and carry out duties, as set by the board of directors. A bachelor's degree is required; an MBA or J.D. degree is preferred. Background experience with government or business also is preferred. More information on this opportunity and others is available through the SSTI Job Corner at http://www.ssti.org/posting.htm.

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