SSTI Digest

Chris Coburn, the founding executive director of Cleveland Clinic Innovations, is leaving at the end of May to join Boston-based Partners Healthcare, the largest healthcare system in Massachusetts.

Mary Jo White has been confirmed by the Senate as the new head of the Securities and Exchange Commission.

Marcel Valois has been nominated for executive director of the Rhode Island Economic Develop Corporation by Gov. Lincoln Chafee.

Erik Mitisek has been named the CEO of the Colorado Technology Association, effective April 29.

Richard Sutton has been named executive director of the South Carolina Commission on Higher Education.

Recent research on the evolving role of universities finds the emergence of an entrepreneurial society has contributed to a broader and more fundamental role for universities — that is to provide thinking, leadership and activity to enhance entrepreneurship capital. University-based entrepreneurship programs and initiatives seem to have gained steam following the recession with federal support for programs to enhance entrepreneurial efforts in states and regions and increased interest from students and out-of-work individuals. Freestanding entrepreneurship schools and creative programming to encourage risk taking are two recent examples of the evolving role of universities in the knowledge-driven economy.

The Information Technology and Innovation Foundation (ITIF) released the sixth edition of its bi-annual State New Economy Index last month. The report uses 26 indicators to assess the progress states have made adjusting to the realities of the innovation economy. Massachusetts lead in the rankings, as it has since the lauch of the index, while Delaware rose four ranks since 2010 to occupy second place. Read The 2012 State New Economy Index...

Amid the economic uncertainty surrounding fiscal cliff negotiations, and what it means for states, some governors are erring on the side of caution when it comes to funding recommendations for the upcoming year. At the same time, several state budget officers are projecting significant revenue shortfalls in the current fiscal year or biennium as a result of lower than expected tax collections.

States could lose an estimated $7.5 billion in federal funding if the automatic spending cuts take effect for 161 grant programs, according to a recent analysis by the Associated Press. States with heavy defense spending, such as California, Texas and Virginia could also take a hit with $33.6 billion in cuts slated for military and defense contractors.

In the coming months, governors from across the nation will present their State of the State addresses — a key time to unveil new and expanded TBED programs. But for some states, shoring up budgets and preparing for worst case scenarios is the top priority.

While election night's main focus was on the presidential race, the importance of ballot measures for states and metros is growing as public services and budgets are being severely trimmed. A recent article in The New Republic reports on a new trend where states are embracing ballot measures as a potential source of dedicated funds for targeted investments in regional economic growth and development.

Aside from California Gov. Jerry Brown's victory in raising taxes on top earners to help fund education and balance the budget, most state measures to increase taxes were defeated by voters. This includes extending a one-cent sales tax increase in Arizona, a cigarette tax increase in Missouri and implementing a 1 percent sales tax increase in South Dakota — all of which were slated to fund education.

In 2012, Big Data has become one of the hottest topics in the news and the minds of both government and business leaders. Big Data is the collection and analysis of data that is too big, growing too fast or is too complex for existing information technology systems to handle. Proponents believe that Big Data provides business, government and other organizations (e.g., nonprofit and social enterprises) the potential to generate high quality insight that enable better decision making, increase productivity, reduce inefficiencies, create new products and services and spur economic growth. In an OPED for informationweek.com, Jonathan Feldman contends existing Big Data projects already are creating social and economic value for business firms and regions, including now-ubiquitous projects such as Google Maps.

A bill introduced less than three months ago to spur economic activity through high-impact university-industry R&D projects and provide tools for tech-based startup companies was passed with overwhelming support in the legislature. In addition to the matching fund, the bill includes funding to provide paid internships to startup technology companies and establishes an entrepreneur and startup venture capital mentoring program. Measures to address the state's skills gap and promote manufacturing competitiveness also are included.

Two bold proposals seeking to make big changes to community colleges in Massachusetts and New Jersey research universities recently were approved by lawmakers. In Massachusetts, more funding for the state's 15 community colleges is tied to increased oversight, performance measures and integration of workforce development initiatives. Meanwhile, New Jersey lawmakers passed a bill merging a medical and dentistry school with Rutgers University in hopes of strengthening partnerships for research projects and drawing more federal funding. In both states, the governors say the reforms are crucial for economic and job growth.

Massachusetts Governor Deval Patrick announced the creation of the Massachusetts Big Data Initiative, a number of steps and initiatives that will help turn the state into a world leader in big data — the collection and analysis of data that is too big, growing too fast or is too complex for existing information technology systems to handle. To achieve this goal, the state will partner with several private partners and research institutions to establish several new initiatives including:

Massachusetts House leaders introduced a bill earlier this week calling for funding to support R&D at universities and research centers, manufacturing grants and workforce training, and a venture capital mentoring program for startups. The measure is touted as a jobs bill to stimulate the state's sluggish recovery by focusing on high-growth sectors of the economy.

The matching grant fund would support science and technology projects sponsored by the University of Massachusetts, research universities or nonprofit research institutions and would require recipients to leverage $3 for every $1 in state funding. The bill includes $25 million in new borrowing authorization and $25 million from a higher education bond bill established in 2008 to support the program.

Another major component of the bill establishes within the Massachusetts Development Finance Agency an Advanced Manufacturing Futures program to provide grants for facilitating growth and competitiveness in the manufacturing field. Under the program, grants could be used for several initiatives, such as:

A new program launched in Massachusetts will help companies commercialize technologies developed under the Small Business Innovation Research (SBIR) program by picking up where Phase II of the program leaves off, providing financial support, coaching and introductions to potential investors. The Massachusetts Technology Development Corporation will initiate the program with $6 million over the next three years. The START program is aimed at helping companies transition from SBIR Phase II contracts, which fund technology development, to the commercialization stage, during which time companies typically rely on private sector funding. MTDC says a lack of private funding is impairing more technologies from coming to market and the START program will fill this gap by paying for patents, building prototypes, performing market research, and writing fundable business plans. The program consists of three stages over three years beginning with stage I grants of $100,000 each for 10 applicants who have won SBIR Phase II contracts. Based on the progress demonstrated over the first year, an additional stage II grant of up to $200,000 will be awarded to five of the most promising companies.

While many state programs provide periodic reports on their activities and impacts, a few states provide regular data on their innovation economy as a whole. These reports can be useful in assessing a state's overall approach to TBED and in finding new areas for strategic intervention. Recently, groups in Massachusetts, Maine and Illinois separately released innovation indices that provide quantitative guides to their state's progress in fostering innovation. Massachusetts The Massachusetts Technology Collaborative's John Adams Innovation Institute has released its 2011 Index of the Massachusetts Innovation Economy, an annual review of the Commonwealth's high-tech economy through 25 indicators. Each year, the index tracks Massachusetts' progress in these indicators, along with comparisons to other U.S. states and national economies. In addition to Massachusetts, the 2011 edition provides indicator data for comparison from seven leading technology states, including California, Connecticut, Maryland, Minnesota, New Jersey, New York, North Carolina, Pennsylvania and Virginia.