SSTI Digest

For several states, this year's legislative session resulted in continued austerity toward new investments and level funding for established tech-based initiatives producing good results. Workforce initiatives seemed to be the exception, garnering greater attention from state leaders eager to boost employment numbers — especially in high-tech fields. While the existence of a STEM worker shortage has been a hotly debated topic among policy groups (see the May 22, 2013 issue of the Digest), some state leaders, including lawmakers in California, Indiana and Michigan, have prioritized high-tech job training to produce more skilled workers through increased funding for new or established programs in the recently enacted budgets.

Governor Mike Pence has released details on Indiana's statewide public-private collaborative life sciences partnership. The estimated $360 million Indiana Biosciences Research Institute will receive $25 million for the biennium from the state of Indiana to cover startup costs, which will be augmented by another $25 million from industry and philanthropic sources (see the May 8 issue). Industry partners will guide the institute's research and commercialization priorities, which will focus initially on cardiovascular disease, diabetes, obesity and nutrition. Teams led by research “Indiana Fellows” will share resources at the institute and work onsite at industry and university labs with academic and university scientists. Read the announcement...

With a commitment of $25 million over the next two years to establish a biosciences institute, Indiana lawmakers gave their stamp of approval to a major policy goal touted by Gov. Mike Pence during the campaign. The governor and lawmakers hope to build an endowment of $300 million to $400 million over the next five to seven years drawn from corporate and philanthropic sources. The endowment would fund annual operations of the institute and help recruit world-class scientists with an emphasis on technology commercialization, reports the Indianapolis Business News. Funding for the initiative is part of the Indiana Economic Development Corporation's (IEDC) budget. Earlier this week, the governor signed a bill aimed at increasing transparency in the state's economic development activities. Specifically, the bill requires IEDC to aggregate information on performance goals, jobs created, expected jobs, recaptured incentives and tax credits claimed each year.

Measuring impact is critical to the success and sustainability of any economic development initiative, and as the national debate over fiscal austerity and taxpayer spending continues, TBED organizations can expect increased scrutiny and accountability for their investments.

Amid growing skepticism from the public, lawmakers increasingly struggle with finding a balance for funding new efforts that may take awhile to pay off with more pressing state needs. This year, measures to encourage the creation or expansion of high-growth companies through the use of tax incentives have been unveiled in several states. At the same time, lawmakers in some states are pushing for greater disclosure requirements through transparency measures. SSTI has compiled pending and recently approved legislation below.

Pramod Khargonekar has been selected to serve as the National Science Foundation's assistant director for the Directorate of Engineering.

Dan Blake will join the Wisconsin Technology Council as the director of its Wisconsin Angel Network in mid-March. Blake succeeds Zach Brandon, who recently became president of the Greater Madison Chamber of Commerce.

Robert Sternberg, who currently serves as provost and senior vice president at Oklahoma State University, has been named president of the University of Wyoming.

Susan Froshauer has accepted the position of chief executive officer and president of CURE (Connecticut United for Research Excellence), effective April 1.

Governors in several states recently unveiled spending proposals for the upcoming fiscal year or biennium. While fiscal conditions in most states remain fragile, new or continuing investments focused on science, technology and innovation were introduced as pro-growth measures to aid in states' recovery efforts. With the exception of New York Gov. Andrew Cuomo's ambitious economic development plan (see the Jan. 9 issue of the Digest), most of the proposals were on the modest side. They include funding for a life sciences partnership in Indiana, more money for tax credits in Maryland, and additional funds in Nevada and South Dakota for research and commercialization.

The third installment of SSTI's Tech Talkin' Govs series includes excerpts from speeches delivered in Georgia, Hawaii, Indiana and Michigan. Our first two installments were in the Jan. 9 and Jan. 16 issues of the Digest.

Georgia
Gov. Nathan Deal, State of the State Address, Jan. 17, 2013
“Two years ago, we worked together to save our HOPE Scholarship program. As a result, it remains one of the most generous state run scholarship programs in the nation. It is also keeping our best and brightest students in Georgia.

“Today, I am happy to say that my budget will increase the Hope Scholarship by 3 percent over last year, bringing the total funds going to Hope in FY 2014 to nearly $600 million.”

Former Oklahoma Treasurer Scott Meacham has been named president and CEO of i2E.

LaunchTN announced Charlie Brock as the organization's new president and chief executive officer and Stuart McWhorter as the organization's new vice-chair.

BioCrossroads President and CEO David Johnson was named President and CEO of the Central Indiana Corporate Partnership, while continuing to lead BioCrossroads, CICP's life sciences initiative, along with his new duties at CICP. David Johnson succeeds Mark Miles.

Dan Sharp has been named director of UT Austin's Office of Technology Commercialization. Sharp, who holds both law and engineering degrees from UT, formerly was associate director of intellectual property and licensing at the office.

On November 6, in addition to the presidential election, eleven state and two territorial gubernatorial contests will be decided. Seven of these races (Delaware, Missouri, North Dakota, Puerto Rico, Utah, Vermont, and West Virginia) include a sitting governor running for re-election, while the remaining six (American Samoa, Indiana, Montana, New Hampshire, North Carolina and Washington) are open races.

Of the races involving incumbents, four are a Democratic governors being challenged, while three sitting Republican governors are up for re-election — two of them for a full term after completing the terms of the previous governors who left for other positions.

Five of the open races are a contest for a seat being vacated by a Democrat, while only one is currently held by a Republican.

SSTI took a look at the TBED platforms of the candidates for governor.

Delaware

Caren Franzini, the CEO of the New Jersey Economic Development Authority, stepped down after leading the agency for 21 years. Michele Brown, Gov. Chris Christie's appointments counsel, will take over as CEO.

Karen Merrick has joined the Iowa Innovation Corporation as CEO. Merrick previously had been with the Iowa Economic Development Authority.

Thomas Dann, the founder and managing director at CastleHaven Advisors, a Washington, D.C., private-equity firm, was named managing director of the Maryland Venture Fund.

Baiju Shah, the president and CEO of BioEnteprise, is leaving to become the CEO of BioMotiv, a drug development company that spun out of University Hospitals.

Betsy Biemann, who has served as president of the Maine Technology Institute since 2005 has resigned. Joe Migliaccio, manager of MTI's Business Innovation Program, is serving as interim president.

Indiana Gov. Mitch Daniels has been named the next president of Purdue University. Daniels will become the 12th president in Purdue's 143-year history in January at the end of his second term as governor.

David Brukardt has been named the associate vice president for economic development for the University of Wisconsin System.

The Missouri Economic Development Council has named Ryan Mooney as its president for the coming year. Mooney is senior vice president for the Springfield Area Chamber of Commerce and will maintain that position while he serves his term with the EDC.

Two common themes emerged in a trio of reports aimed at growing the bioscience sectors in Indiana, New York and Pennsylvania: the need for a sustained financial commitment from the states and the importance of a shared vision and better communication between policymakers and industry leaders. In all three reports, the authors say the payoff is big for the states. The bioscience and life science industries support high-wage jobs and attract significant federal funds.

Indiana

The Indiana Health Industry Forum unveiled a five-year strategic plan designed to create a renewed interest in growing Indiana's health sciences sector. Developing an early stage funding mechanism focused exclusively on health sciences and complementing the funding with a statewide support infrastructure geared towards health sciences-specific entrepreneurial support are listed as the top two recommendations.