For the better part of the year, lawmakers in Michigan have faced the daunting task of balancing both a budget shortfall for fiscal year 2007 and a nearly $1.6 billion deficit for FY 2008. An agreement between Gov. Jennifer Granholm and lawmakers was reached in the early morning hours of Oct. 31, following a one-month extension of the deadline and a brief government shutdown.

During his keynote address at this month's renewable energy conference in St. Louis, President Bush informed attendees that the number of U.S. ethanol plants is expected to increase 40 percent in 2007. As the market for biofuels like ethanol grows, many states are creating plans to support businesses and research that can fill the current need for renewable alternatives at the pump. Among the states having taken steps to build a profitable alternative fuels industry and cleaner and safer highways are Michigan and Tennessee.

Since the creation of its Centers of Excellence (COE) program 20 years ago, the state of Utah has invested in aggregate $49.4 million, resulting in the development of 185 spin-off companies throughout the years, according to a recent review of the COE program, authored by the Bureau of Economic and Business Research at the University of Utah.

The Michigan Innovation Equipment Depot has distributed its first round of life science research equipment to start-ups around the state. The Depot program, developed by Pfizer, Ann Arbor SPARK, MichBio and Michigan's SmartZones, redistributes previously used life science laboratory equipment to new Michigan companies. More than $655,000 and 131 items were awarded in the inaugural round to 18 applicants. The value of this equipment ranged from $25 to $125,000 -- an average of $4,404 per item.

Gov. Jon Huntsman Jr. released last week his fiscal year 2007 budget request, providing a substantial boost in funding for the Utah Science, Technology and Research (USTAR) Initiative. In FY 2005, the legislature appropriated $4 million to fund the initial phase of the initiative. This year, the governor is recommending $62 million for infrastructure and programs.

Following months of debate that ended in a veto last month by Gov. Jennifer Granholm, an agreement was made last week on a $600 million tax relief package for businesses, which now awaits the governor's anticipated signature. Gov.

After several months of debate regarding a number of economic development initiatives, Michigan Gov. Jennifer Granholm signed into law a major economic stimulus bill. However, unhappy with portions of a separate tax break package for businesses, the governor vetoed two of the 10 bills.

Daniel Krichbaum was named Gov. Jennifer Granholm's new chief operating officer, replacing Mary Lannoye who left the administration as chief of staff.