SSTI Digest

Governors in Arkansas, Mississippi and Wyoming recently unveiled spending plans for the upcoming year or biennium. Funding for many tech-based investments would be maintained or increased under the governors' proposals. New proposals range from additional funds for energy research at the University of Wyoming to new funding mechanisms for colleges and universities in Mississippi. Funding for S&T efforts in Arkansas would remain level. Arkansas Gov. Mike Beebe unveiled a $4.6 billion spending plan for the upcoming year that includes $17.4 million for the Arkansas Science and Technology Authority, the state's lead tech-based economic development organization. This includes $7.9 million in ARRA funds for a project within the Office of Health Information Technology. Authorized funding for the Authority was $9.4 million last year, which incorporated $206,190 in ARRA funds. The governor recommends level funding of $1.9 million for the Seed Capital Investment program, which provides up to $500,000 to support initial capitalization or expansion of tech-based companies and $257,182 in state funds for the Manufacturing Extension Network, the same as last year. The…

Lawmakers approved last week the 2010-11 biennial budget, dedicating more than $76 million for energy research projects funded by the state's share of federal Abandoned Mine Land (AML) funds. The University of Wyoming School of Energy Resources will receive $45 million for development of a subcommerical scale CO2 sequestration research demonstration project, $14 million for clean coal technology research, and $17.4 million for operation of the school. Three bills regulating the wind energy industry also were signed into law by Gov. Dave Freudenthal last week. The wind industry bills signed by the governor mandate a $1 per-megawatt-hour tax on wind energy generated in the state beginning in 2012 (HB 101), set minimum state standards for wind projects (HB 72), and suspend the power of wind companies to use eminent domain for one year (HB 79). The approved budget also appropriates $87 million in total funds to the Wyoming Business Council, which includes $27.7 million for the Wyoming Business Council Division, a slight decrease from the appropriation for the current biennium. The 2010-11 enrolled budget bill is available at: http://legisweb.state.wy.us/2010/Enroll…

The fourth installment of SSTI's Tech Talkin' Govs series includes excerpts from speeches delivered in Alaska, Connecticut, Maryland, Michigan, Nevada, and Oklahoma. The first three installments are available in the Jan 13, Jan. 20 and Jan. 27 Digests. Alaska Gov. Sean Parnell, State of the State Address, Jan. 20, 2010 "We will create even more jobs by funding construction of two new statewide buildings, the Anchorage crime lab I mentioned earlier and we will construct the Life Sciences building at [the University of Alaska, Fairbanks]. … "… Where energy is concerned, we will continue reducing dependency on diesel across Alaska. And we are putting $25 million toward more in-state renewable energy projects. … "… With the Governor's Performance Scholarship proposal, all Alaskan high school students can earn tuition for an in-state university or job-training program. They must complete a more rigorous curriculum than what's now required to graduate from high school. Four years each of math, science, and English and three years of social studies. But for students who take this curriculum, better…

Outlining his budget recommendations for the 2011-12 biennium last week, Gov. Dave Freudenthal asked lawmakers to continue support for research projects funded by the state’s share of federal Abandoned Mine Land (AML) funds. Using $116.1 million available for appropriation in the coming year, the governor recommends $45 million for continuation of carbon sequestration research, $17.4 million to continue operating the University of Wyoming School of Energy Resources, and $14 million for the Clean Coal Technology matching grant program. Gov. Freudenthal also recommends a reserve account in the auditor’s office of $17.5 million in general fund monies to allow continuing operation of the UW School of Energy Resources if AML funding is lost, budget documents note. Other recommendations in the UW budget include: $985,000 for a mass spectrometer to be used for advanced energy research and related studies at the university; and, $660,000 to continue work at the Wyoming Reclamation and Restoration Center.   For the Wyoming Business Council, Gov. Freudenthal recommends $101 million over the next two years, down from $123.6 million last biennium.…

The Piedmont Triad Research Park laid off Bill Dean, director of the park, and Nancy Johnson, marketing director. Park officials said that the park's project manager and executive assistant also were laid off. Colorado Gov. Bill Ritter announced that he has tapped Don Elliman, director of the Colorado Office of Economic Development, to serve as the state government's first chief operating officer. The Florida STEM Council, funded by a $580,000 grant from Workforce Florida, has been created to connect education, workforce, business and economic development leaders to identify opportunities to build and measure the state's supply of workers with skills and knowledge in these fields to support innovation in existing and emerging industries. Malcolm Kahn has been appointed vice president for enterprise development & licensing at Stevens Institute of Technology. Kansas Technology Enterprise Corporation has named Kevin Carr as interim CEO, replacing Tracy Taylor, who resigned last month. Jill Kline has been named the new Wyoming Entrepreneur.Biz associate state…

Despite projected deficits in several Western and Great Plains states, governors in Montana, South Dakota, and Wyoming recently unveiled budget proposals for the upcoming fiscal year, providing level or increased funds for research priorities and workforce training central to each state's economic vitality. The following is an overview of the budget recommendations outlined by the respective governors. Montana Last month, Gov. Brian Schweitzer unveiled a two-year budget that provides several one-time appropriations for workforce training to ensure the state remains competitive in the global economy and sets aside $250 million in reserves. The fiscal year 2010-11 budget proposal includes $73.2 million over the biennium for the Department of Commerce. Included in the governor's request is $100,000 each fiscal year to seed the Montana Fund of Funds, which was created in 2005 under the Montana Equity Capital Act but never funded (see the Dec. 19, 2007 issue of the Digest). New proposals within the Department of Commerce include $8 million over the biennium to provide workforce training grants under the New Worker Training program and $1.6 million over…

Tucker Fagan announced he is retiring as CEO of the Wyoming Business Council to join his sons in starting a Wyoming high-tech company.

Recently released U.S. Bureau of Economic Analysis (BEA) data show Nevada outpaced all other states in the percent growth of its real gross state product (GSP) over the period 2000-2004. The western state's real GSP grew from nearly $74.8 billion in 2000 to more than $90 billion in 2004, a 20.8 percent change, based on 2004 estimates. BEA, which indicates it will provide further detail in its next Survey of Current Business issue, derives 2004 estimates from a "prototype methodology" used to speed up the release of reference year data from past release schedules. The 2004 estimates arrived six months after the reference year, or 12 months ahead of prior schedules. Estimates for 2003 and earlier are based on BEA's regular GSP methodology. Along with Nevada, only two other states experienced greater than 18 percent growth in real GSP from 2000 to 2004 -- Arizona and Wyoming. Real gross domestic product for the U.S. grew by less than 10 percent over the four-year period, as did real GSP for 19 states.…

The scenario: You are a state legislator and have learned high oil and gas prices will provide the state coffers with at least enough surplus revenue over the next five years to have approximately $1,000 per resident. What do you do with the money? Elected officials in Wyoming have chosen to invest $500 million into the state's future through academic scholarships and endowed chairs at the state's universities and community colleges. Once the new endowment fund is fully capitalized, Wyoming high school graduates will receive a scholarship equal to tuition and fees at the University of Wyoming (UW) or any state community college. Signed into law by Gov. Dave Freudenthal on March 3, the bill also authorizes $105 million to be used for endowed chairs and faculty positions. The first part of the act authorizes $400 million for the Hathaway Student Scholarship Endowment Account, which is named after former Gov. Stan Hathaway to recognize his contributions to education in Wyoming. Funding will come from the Budget Reserve Account and it will take at least five years to build the trust to $400…

A pilot program meant to spur entrepreneurship with community involvement is set to begin in Torrington, Wy., in the next two months. A joint venture between the Goshen County School District, Eastern Wyoming College, and Goshen County Economic Development, the project, Planned Approach to Community Entrepreneurship (PACE), is designed to facilitate small businesses and help them achieve higher success rates. The Torrington economy is largely driven by entrepreneurship; however, the county has the fifth highest business failure rate after one year of operation and second highest after three years, according to a recent article in the Torrington Telegram. Starting and maintaining a business in the city has been a major source of frustration for local business owners, and community leaders are hoping PACE will help alleviate some of the frustration by actively involving residents in the project. As part of the project, a coalition consisting of about 30-40 people will be formed to represent different sectors of the community and serve as facilitators for challenges and barriers facing…

The Joint Minerals, Business and Economic Development Interim Committee of the Wyoming state legislature heard testimony last week encouraging the creation of two new initiatives to expand Wyoming's technology-based economic development efforts: a seed capital program and a technology incubator. Seed Capital Loan Program Tucker Fagan, CEO for the Wyoming Business Council, proposed modifications to a $1 million fund to allow the Council to make seed capital available to Wyoming's entrepreneurial community. The funds would come from the underutilized Science, Technology and Energy Authority. The July 12 edition of the Wyoming Tribune-Eagle reported the terms for the loans and/or investments would include a non-refundable $1,000 application fee and a pay-back schedule that accelerates over five years. Maximum payback would depend on the length of time required for repayment and would be no more than twice the original loan amount. Wyoming Technology Center Unfazed by last year's failed attempt to secure $5 million from the state legislature for…

The Wyoming legislature wrapped up its 2001 General Session on March 1. Several laws and supplemental appropriations were made that affect local efforts to grow a stronger tech-based economy.  Senate Enrolled Act (SEA) 10 permits the Wyoming Business Council to use state funds to provide bridge financing to businesses, not to exceed 35 percent of the total cost of any particular project.  SEA 71 creates a ten-year University of Wyoming endowment challenge program through which the state treasurer will match 1:1 each substantial private donation made to the university’s endowment fund. The legislature appropriated $30 million for the program in this year’s budget.  House Enrolled Act (HEA) 32 repeals the sunset provisions for the University of Wyoming technology transfer center program, which without the law, would have terminated July 1, 2001.  The legislature also provided $250,000 for the preliminary assessment, analysis, design and cost estimates for the University of Wyoming to…