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Tech Talkin’ Govs 2025: Innovation emphasized in governors’ State of the State addresses—Part 5

By: Laura Lacy Graham

In this final coverage of gubernatorial addresses as they discuss the innovation economy, the following highlights have been selected from State of the States or budget addresses given between Feb. 18 and March 14, 2025, by the governors from Florida, Illinois, North Carolina, and Ohio.  Information on previous 2025 State of the States and/or budget addresses can be found here, here, here, and here.

With revenues for many states relatively consistent with forecasters’ expectations, lawmakers, with a few exceptions, continue to maintain cautious or constrained views of their funding priorities and proposed initiatives. As a result, many governors in SSTI’s analysis of addresses delivered this season speak more to previously implemented programs and their continued successes rather than rolling out many new programs. However, new priorities for growing stronger innovation economies have not been completely overlooked. 

On March 4, Florida Gov. Ron DeSantis gave his State of the State address. Prior to his address, the administration rolled out a number of legislative priorities and budget proposals for fiscal year (FY) 2025-2026, including a tax relief package that would provide $100 million for the creation of a new venture capital tax credit program to incentivizes investment in research, innovation, science, and engineering projects in the state. The credit would be taken against corporate income tax obligations.

Illinois Gov. J.B. Pritzker delivered his seventh combined State of the State and Budget Address on Feb. 19. Pritzker highlighted the need for the state to continue to grow its economy and recent economic successes, including the investments and growth made through the newly implemented Team Illinois economic development initiativea cohesive effort to attract, retain, and expand businesses and career opportunities while showcasing and/or promoting the state’s resources in workforce talent, innovation, clean energy, educational and scientific institutions. Pritzker also has called for allowing the state’s community colleges to offer four-year baccalaureate degrees. These degrees would be offered in key fields such as nursing, advanced manufacturing and early childhood education to address the needs of regional employers and create quality jobs, particularly in rural communities. Within the administration’s FY 2026 spending plan, the governor has proposed $5 million for the state’s Innovation Vouchers Program. This program incentivizes collaborations between early-stage companies and higher education institutions and provides small businesses access to research facilities, advanced technologies, and specialized expertise to accelerate innovation. The spending plan also calls for a three percent increase in the state’s higher education funding

North Carolina Gov. Josh Stein gave his first State of the State address on March 12. Announcing that his administration has set a goal of growing the number of skilled workers in North Carolina, Stein offered efforts to double the number of apprentices over the next four years; provide students with opportunities for certification in high-demand sectors, like in advanced manufacturing, health care, and IT; and increase the number of North Carolinians with educational attainment and/or credentials needed to secure good-wage jobs by expanding the state’s free community program. The governor also lent his support to Propel NC, a proposed initiative designed and supported by the state’s community college system to reward its colleges when students earn credentials for high-wage jobs and allocates program funding based on alignment with business needs or drives economic growth. Stein also announced that he is creating a Council on Workforce and Apprenticeships to unite the state’s community colleges, public schools, and local businesses to advance access and opportunities to good jobs with good wages.

On March 12, Ohio Gov. Mike DeWine delivered his State of the State address. The governor noted the need for more Ohioans to possess the skills and education needed to fill jobs created with the recent technology and automotive business attractions and has directed his lieutenant governor to work with the state's schools, colleges and universities, the business sector, and government agencies to create a new Workforce Playbook to identify and remove barriers that prevent or hinder people from employment to identify the skills sets, education and talent needs in each region of the state, and to determine a course of action to retain existing and recruit talent to Ohio and rally the state’s existing workforce to greater productivity. Among the governor’s higher education proposals, DeWine seeks new accountability measures for university funding that tie state funding to student outcomes, including “how many students get a job after graduation.” As part of that education-employment alignment, DeWine also announced that he would require Ohio’s state colleges and universities to implement meaningful work-based learning opportunities and programs, such as co-op, internship, or externship programs, as a component to a well-rounded academic experience and future employment prospects.

This article was prepared by SSTI using Federal funds under award ED22HDQ3070129 from the Economic Development Administration, U.S. Department of Commerce. (The statements, findings, conclusions, and recommendations are those of the author(s) and do not necessarily reflect the views of the Economic Development Administration or the U.S. Department of Commerce.