SSTI Digest

Atlanta Mayor Kasim Reed unveiled Invest Atlanta — the city's new economic development authority that places a renewed effort on job creation and competitiveness. Invest Atlanta will work primarily to attract new investment, grow international trade, fuel innovation and support entrepreneurship. Mayor Reed said, "[Invest Atlanta] represents an effort to modernize our approach to investment, attracting businesses, foreign capital and trade." Mayor Reed, who serves as chairperson of the nine-member board of directors, also announced that the organization is tasked with developing a new regional economic growth strategy. Invest Atlanta intends to leverage the benefits of bond financing, revolving loan funds, housing financing, tax increment financing and tax credits to achieve their economic development goals. Invest Atlanta will be headed by President and CEO Brian McGowan, former U.S. deputy assistant secretary of commerce under President Obama. McGowan said, "Invest Atlanta will continue to honor its traditional mission but will place a renewed emphasis and focus on ensuring that the city has the right atmosphere to help existing companies grow and attract new companies.

A new report from the Center for American Progress contends that increasing globalization, connectivity, access and acceleration of technology has caused an urgent need for investment in innovation. To resolve this issue, the authors believe that the U.S.

The second installment of SSTI's Tech Talkin' Govs series includes excerpts from speeches delivered in Alaska, Colorado, Missouri, and New Mexico. Our first installment was in the Jan. 11 Digest. Alaska Gov. Sean Parnell, State of the State Address, Jan. 19, 2012 "I also thank you for working with me to create a merit scholarship that gives all Alaska's children an incentive to complete a more rigorous high school curriculum. ... "... In its first year, this scholarship has been a remarkable success. Now we must secure it for future years. This legislative session, let us take the $400 million that we set aside last year, and build a strong fence of moral obligation around it. Let us create a fund for that money so the fund's earnings can pay for these scholarships for future generations." Colorado Gov. John Hickenlooper, State of the State Address, Jan. 12, 2012 "We established the Colorado Innovation Network (COIN) to foster collaboration and idea-sharing across private sector, academic and public lines, including the 29 research laboratories in Colorado. ... "...

Gov. Peter Shumlin introduced a plan to invest $8 million in university programs designed to address a shortage of skilled workers. Under the plan, the University of Vermont and Vermont State Colleges each would receive $4 million in one-time funding to implement university-industry partnerships, facilitate re-entry of science and engineering professionals, and expand dual enrollment for high school seniors. In his Budget address to lawmakers last week, Gov. Shumlin cited a disparity between high-quality jobs that are available and skilled workers to fill those positions as inspiration for his higher education proposals. Funding would come from the state's Higher Education Trust, which received $11 million in FY11 from the estate tax, bringing its balance to $29.5 million, reports The Burlington Free Press.

Gov. Peter Shumlin introduced a plan to invest $8 million in university programs designed to address a shortage of skilled workers. Under the plan, the University of Vermont and Vermont State Colleges each would receive $4 million in one-time funding to implement university-industry partnerships, facilitate re-entry of science and engineering professionals, and expand dual enrollment for high school seniors. In his Budget address to lawmakers last week, Gov. Shumlin cited a disparity between high-quality jobs that are available and skilled workers to fill those positions as inspiration for his higher education proposals.

With a sharp decline in state funding available for higher education over the past several years, performance- and outcome-based funding has garnered a great deal of attention in several states seeking to maximize education funds and support economic growth. Governors in Arizona and New Mexico recently proposed significant reforms in higher education funding so that universities with greater R&D expenditures and those that graduate more students in science, technology, engineering and mathematics (STEM) fields would receive a bigger share of state funds. Arizona Gov. Jan Brewer's funding plan for higher education builds on a formula recommendation published last year by the Board of Regents that includes increases in degrees, credit hours and outside research and public service funding. Gov. Brewer recommends moving to the Board of Regents $15 million of the universities' base funding, which would be allocated using each university's share of total general fund support. The state would match the $15 million, for a total $30 million to be allocated by the Board of Regents to the universities based on an agreed-upon funding formula.

Across the U.S. and Canada, universities continue to forge public-private partnerships focused on creating a formalized approach to turn university research into market-ready products and startup companies. Three universities and their respective partners recently have announced efforts to bring inventors, the community and investors closer together. They also intended to provide potential entrepreneurs with the skills, mentorship and resources need to launch a startup company. Simon Fraser University Simon Fraser University (British Columbia, Canada) launched a $210,000 high-tech entrepreneurship initiative that will establish an incubator targeted at third- and fourth-year business and applied sciences students. The program will provide skills, mentors and resources to help launch new, student-led startups from innovative ideas. Students accepted into the program will take a variety of courses and have access to mentors, scholarships and a product design studio. Over the next seven years, the university hopes to accept 20 to 25 students with the goal of producing six potential companies or products annually.

The National Science Foundation's National Science Board has released the 2012 edition of its biennial compilation of U.S. science and engineering indicators and trends. This year's release includes an interactive tool to view state S&E data and a separate digest with 30 key data points for evaluating U.S. progress. While the U.S. still leads the world in many of these key metrics, developing countries appear to have made significant strides in S&E competitiveness, according to the report. Additional data will be available after February 15.

Between 2002 and 2010, small- and medium-sized enterprises (SMEs) created 85 percent of new jobs in the European Union (EU), according to "Do SMEs Create More and Better Jobs?" — a new report from the European Commission. During this period, SMEs' annual employment growth (1 percent) grew at twice the rate of large enterprise (0.5 percent). Fueled mostly by the birth of new SMEs, net employment in the EU rose by an average of 1.1 million new jobs each year. In 2010, SMEs employ 67 percent of all workers in Europe. The report contends that these results imply that the employment share of the SME size class has increased over time, and indicates the increasing relevance of SMEs to the EU's overall economy. The study also shows that new firms (younger than five years) are responsible for an overwhelming majority of the new jobs. However, only 50 of new firms last past the first five years. The report contends that newly born SMEs more than compensates for job loss caused by the death of enterprises in all size classes.

SSTI's Tech Talkin' Govs series has returned for its 12th annual edition. The series highlights new and expanded TBED proposals from governors' State of the State, Budget and Inaugural addresses across the nation. The first installment includes excerpts from speeches delivered in Georgia, Iowa, New York, Kentucky, South Dakota, Vermont, and Virginia. Georgia Gov. Nathan Deal, State of the State Address, Jan. 10, 2012 "... I want to announce two ambitious goals. Georgians deserve a world-class, public medical university, and it will be a priority of this administration to have a medical college among the top 50 nationally. ... "... Also within this push, the Georgia Health Sciences University will seek to become the state's second National Cancer Institute designated Cancer Center ... This designation would mean greater access to research dollars and enhance our ability to recruit top cancer specialists. "... To support this goal of a second Georgia-based Cancer Center, my budget proposal includes an investment of $5 million. ... "...

U.S. Secretary of Commerce John Bryson recently presented the key findings of a year-long study into the challenges and opportunities facing the national innovation economy (full video of the event is available at the Center for American Progress site). Over the past decade, a number of warning signs, such as declining job creation, poor student preparedness in science and math and aging infrastructure, have indicated that the U.S. is en route to a less dominant position in the global economy. The Department of Commerce (DOC) report focuses on the need for the federal government to collaborate with the private sector to increase research spending, improve STEM education and revitalize manufacturing. One year ago, Congress reauthorized the America COMPETES Act, which required DOC to prepare a report on U.S. economic competitiveness and innovation. A 15-member Innovation Advisory Board, with representatives from federal agencies, regional groups, foundations and the private sector, worked throughout 2010 on the report.

Virginia Gov. Bob McDonnell unveiled his 2012 legislative and budget actions that support his administration's ongoing Opportunity to Learn K-12 education agenda. The governor's proposed budget also includes $438 million in new K-12 funding over the next biennium.