SSTI Digest

According to National Science Foundation (NSF) data released two weeks ago, companies spent in aggregate $247.7 billion on R&D expenditures performed in the U.S. in 2006. Leading the nation was California, with $58.4 billion in industrial R&D, followed by Michigan ($16.5 billion), Massachusetts ($15.6 billion), New Jersey ($14.6 billion), and Texas ($13.3 billion).   SSTI has prepared a table presenting the state rankings for industrial R&D performed in 2006, the per-state gross state product in 2006, and each state's industrial R&D intensity. The industrial R&D intensity is the ratio of industry-based R&D to the gross state product.   Using these calculations, Massachusetts experienced the largest industrial R&D intensity in 2006, at 4.64 percent. This was followed by Michigan (4.38 percent), Connecticut (4.04 percent), Washington (3.89 percent), and California (3.35 percent). The industrial R&D intensity for the U.S. as a whole was calculated to be 1.89 percent.  

Texas Gov. Rick Perry's Competitiveness Council has released its recommendations following a year-long study of the state challenges in the global economy. The study found that Texas lacks the institutional organization to execute transformational economic programs and will require greater collaboration between state agencies to remain competitive in high-tech industries.

The Colorado Governor's Energy Office added to its staff three regional representatives: Bob Mailander, Joani Matranga and Mona Newton.

The Houston Technology Center has launched its new Emerging Technology Council.

For an industry that takes in more than $10 billion per year, video games receive relatively little dedicated support for economic development initiatives. When video game creators do attract the attention of federal and state politicians, it is often because of allegations of violent content and for encouraging sedentary lifestyles amongst consumers. A handful of states, however, have launched programs and credits that actively encourage the growth of the industry.   Texas joined these states last week when Gov. Rick Perry signed a bill approving up to $22 million in incentives for the entertainment sector, including video game companies. The money will be used to offer grants that will cover up to 5 percent of the total in-state spending on any video game project. The awards may range up to $250,000. Similar grants will be available for film, advertisement and television production through the program.

Last week, Texas Gov. Rick Perry signed off on the state’s budget, but not before making substantial use of his line-item veto. Overall, the approved $151 billion FY 2008-2009 budget increases general revenue spending by $7.7 billion (11.8 percent) over the current biennium. Much of that new spending will support education in the state; however, a number of programs, particularly those connected to higher education, failed to receive the governor’s approval.   In all, Gov. Perry vetoed nearly $200 million in higher education spending. The largest of the cuts resulted from the governor’s decision to end group health insurance for faculty at the state’s community colleges. The veto is the result of a long-standing argument over whether or not the state should bear the financial responsibility for these benefits, according to a recent Austin-American Statesman article. The governor charged that many community colleges had inappropriately inflated their budget requests to receive funding for costs that should be covered by local taxes and tuition.  

Texas Voters Likely to Decide on Similar Level for Cancer Research After years of legal challenges to the California Stem Cell Research and Cures Act, the path for funding the $3 billion initiative has been cleared by the California Supreme Court. Texas may soon join the race to fund medical research with its own $3 billion bond issue supporting cancer research.   The California Supreme Court last week declined to hear an appeal challenging the constitutionality of Proposition 71, effectively ending the lawsuits that have held up most of the bond funding for three years, according to the California Institute for Regenerative Medicine (CIRM), the state agency that manages the project.   Voters in 2004 approved the bond issue, which immediately faced challenges from groups opposed to stem cell research. A ruling last year from the Superior Court and Court of Appeals deemed the act to be constitutional in its entirety.  

Texas Gov. Rick Perry unveiled his budget proposal for fiscal year 2008-09 with an additional $300 million to recapitalize the state’s Emerging Technology Fund (ETF). The program provides loans and grants to commercialization projects with ties to state universities, and to create research centers in key technology areas. The funding would represent a significant expansion of the program, which received $200 million when it was established in 2005 and no new funding in 2006.  

Governor Urges Pension Fund to Invest in Emerging Tech Companies Starting in January, a new advisory council within the Texas Governor’s Office will begin work on a long-term strategy to bolster the state’s economic competitiveness. The Competitiveness Council will be charged with designing an overall framework for cooperation between public and private organizations involved in economic development. Gov. Rick Perry will appoint the group’s members by the end of the year.   The governor made the announcement during his keynote address at the Texas Lyceum’s 2006 Public Conference in San Antonio earlier this month. Gov. Perry told the audience of state economic development leaders that the new state strategy devised by the council would be a logical extension of other recent Texas TBED initiatives, such as the Texas Enterprise Fund and the Emerging Technology Fund.  

Ramiro Cavazos is resigning as economic development director for the City of San Antonio to become director of research and economic development for the University of Texas Health Science Center, effective Nov. 3.

John Butler, director of the Institute for Innovation and Creativity, was appointed distinguished scholar and adjunct professor at Babson College.

The University of Texas at El Paso hired Tony Woo as the assistant vice provost for research and technology transfer.