SSTI Digest

After seven months on the job, Connecticut Innovations President and CEO Chandler Howard is leaving to pursue an opportunity to establish a community bank in New Haven.

Successful companies are forced to change business strategies as market realities shift. It happens all of the time. Browse the business section of your local bookstore and you'll see dozens of titles preaching the need for companies to adopt, adapt and innovate. The continuing restructuring of the U.S. durable manufacturing sector, as alluded to in the Useful Stats piece below, is a vivid example of the importance of abandoning old mindsets for industry: change or die.

Connecticut Gov. M. Jodi Rell is using the midterm budget request as the vehicle to substantially overhaul how the state supports the entire economic development process. Connecticut Innovations, one of the nation's oldest state-created equity finance programs for tech businesses, would be consolidated with departments that cover focus areas ranging from health education and housing to traditional economic development financing.

During her State-of-the-State Address earlier this month, Gov. Rell unveiled her fiscal year 2006-07 midterm budget adjustment proposal and announced plans to restructure the Department of Economic and Community Development (DECD). Under the plan, the new Department of Business and Employment (DBE) will provide programs previously administered by DECD, but with enhanced planning and programmatic features, according to the governor's office:

Chandler Howard, co-president of Bank of America, is leaving to become president and CEO of Connecticut Innovations.

ACCRA, a national nonprofit research organization, has named Jeffrey Blodgett of the Connecticut Economic Resource Center (CERC) as president of the Board of Directors for 2005-06, beginning July 1.

Yesterday proved a big day for supporters of stem cell research as measures advanced in both Connecticut and Massachusetts. The Massachusetts law described in the May 16 issue of the Digest became law immediately after the state Senate voted 35-2 and the House voted 112-42 to override Gov. Mitt Romney's veto. In Connecticut, the House voted 113-27 to pass Senate Bill 934, leaving the measure to Gov Jodi Rell for her signature.

While the Massachusetts battle was fairly partisan between the Republican governor and the Democratic controlled legislature, the story in neighboring Connecticut suggests the conflict over embryonic stem cell research is more ideological than partisan.

Recognizing the benefits of a skilled workforce to match the new manufacturing and high-tech jobs of the 21st Century, states are turning to worker training and retraining programs in order to remain economically competitive. During the past month, Tennessee, Nebraska and Connecticut committed a combined total of $37 million for worker training initiatives.

The Tennessee legislature approved Gov. Phil Bredesen's 2005 jobs package, which includes $20 million to expand job training across the state and develop a statewide broadband strategy. House Bill 2287 establishes the FastTrack infrastructure development and job training assistance fund within the Department of Economic and Community Development. Funds will be used for infrastructure development and job training assistance grants and loans.

While the topic of embryonic stem cell research has been at the forefront of S&T policy since 2001, attention has shifted to the states in the last six months. Last fall, California voters overwhelmingly approved a $3 billion bond issue to support embryonic stem cell research over the next decade. This vote triggered action in a number of states concerned about the loss of researchers to California and increased activity on Capitol Hill to overturn the Presidential directive that limits the use of federal research funds to only those embryonic stem cell lines derived before Aug. 9, 2001.

Last week's Digest reported on three reports that have been issued recently raising concerns about America's standing in the world in encouraging innovation. Each of the reports suggested stronger action on the part of the public and the private sector to ensure the U.S. will remain competitive.

Since the beginning of the year, the Digest has reported through its Tech Talkin' Govs series that the states are making investments for the future. This week, we devote this edition of the Digest to a sampling of how the governors are proposing to put money up to match their rhetoric.

Victor Budnick, executive director of Connecticut Innovations, has announced his retirement effective April 1.

Gov. Jodi Rell recently announced the results of a study of the strengths and weaknesses of Connecticut’s infrastructure for innovation, technology transfer and development of new businesses. A report prepared for the Connecticut Technology Transfer and Commercialization Advisory Board of the governor's Competitiveness Council presents the results.

The report examines successful university-based technology transfer and commercialization initiatives in the U.S. and at the University of Cambridge in England. It notes five factors that could help states position their universities as centers of innovation and business growth: strong academic leadership and research capabilities, availability of early-stage capital, commitment to and support of entrepreneurship programs, and the existence of infrastructure such as innovation centers, incubators and research parks.

Connecticut Gov. Jodi Rell named Marie O'Brien to oversee the Connecticut Development Authority.