As July 1 approaches, the beginning of the 2008 fiscal year for most states, several state legislatures are still working to wrap up their appropriation bills. Maine and Tennessee are two of the most recent to close their books on next year’s budgets, and each has included increased funds to support TBED initiatives. Highlights for both states are provided below.
 
Maine

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.

 

A bill designed to keep new Maine graduates living and working in the state after college became law last week with Gov. John Baldacci’s signature. The Opportunity Maine bill, LD 1856, creates a tax credit to assist graduates with their student loan payments and enables employers of graduates to pay off the student loans.

 

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.

 

TBED People
Michael Burcham has been named the first president of the Nashville Entrepreneur Center. Burcham currently serves as a clinical faculty member at Vanderbilt University's Owen Graduate School of Management.

Patrick Draper has been appointed as president and CEO of the Toronto Region Research Alliance.

Arlene Garrison has been appointed as vice president of University Partnerships at Oak Ridge Associated Universities.

Four bond issues totaling $108.3 million appear headed for passage by voters following the primary election yesterday. Two of those measures are aimed at job creation efforts through capital investments, funding for R&D, and renewable energy measures. The Associated Press has projected the $23.75 million economic development bond as winning with a narrow lead of 51-49. The energy bond is passing with 59 percent of the vote.

With the goal of integrating STEM learning into schools and strengthening teacher effectiveness in STEM areas, Science Foundation Arizona (SFAz) is launching the Arizona STEM Network, which will be implemented over the next five years in school districts throughout the state. In Texas, officials are counting on a new $30 million fund to produce more STEM graduates by recruiting top-notch research faculty to the University of Houston (UH). The Arizona STEM Network builds on Gov. Jan Brewer's plan for STEM education announced in 2010.

As many states near the mid-point of their 2012 legislative sessions, we thought it would be a good time to take a look at some of the bills advancing in statehouses that could impact states' efforts to improve economic conditions. Several states are seeking to advance access to capital initiatives as they continue to struggle with declining revenue and tight credit restrictions. The following overview provides a sampling of TBED bills supporting access to capital, R&D enhancements and higher education standards.

Providing Access to Capital

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.

Rice University's Rice Alliance for Technology and Entrepreneurship has been named the top university business incubator in the world by the University Business Incubator (UBI) Index based in Sweden. The group reviewed 550 university business incubators and studied 150 incubators to determine the top incubators in the world based on their value for the ecosystem, their value for clients, and their attraction rate and past performance. Other U.S.

A number of states recently have taken action to expand R&D tax credits and other legislation that would support innovation, commercialization and manufacturing. Hawaii, California, Maryland, Texas, and Florida have signed into law tax incentives and R&D tax credits and an R&D tax credit in New Hampshire went into effect.  The Maine legislature also passed a capital tax credit that will begin in 2014.

At the close of many recent legislative sessions, states across the country moved to strengthen their high-tech workforce while supporting industry cluster development.

As many state legislative sessions wind down, a clearer picture of the current direction of state innovation policies is emerging. This week’s SSTI Weekly Digest presents a few of the major trends in technology-based economic development initiatives approved by state legislatures during their most recent sessions. While this review is not meant to be comprehensive, it should illuminate the shifts states are making to refine their investments in the high-tech economy by providing smarter, more targeted support.

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.

The fourth installment of SSTI's Tech Talkin' Govs series includes excerpts from speeches delivered in Maryland, Missouri, Montana, Tennessee and Texas. Our first three installments were in the Jan. 9, Jan. 16 and Jan. 23 issues of the Digest.

Upbeat revenue forecasts and shared economic principles have Republican governors in four states requesting more funds for higher education tied to performance metrics or workforce outcomes. Recent budget proposals introduced in Florida, Ohio, Pennsylvania and Texas focus on competing for talent and jobs through efforts to encourage STEM learning and teaching and incentivizing outcomes such as graduating more students in high-demand fields, conducting research and more. College affordability is addressed through measures that would freeze tuition or cap increases.

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.