The Office of Science and Technology Policy and the National Economic Council have issued a request for information (RFI) on how best to encourage the commercialization of university research and on whether proof of concept centers are an effective tool in early-stage commercialization. The RFI asks for models, strategies and metrics that can help universities contribute to economic development. Responses are due by April 26.

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

The National Science Foundation (NSF) National Center for Science and Engineering Statistics (NSCES) has released a series of InfoBriefs that track U.S. R&D spending from 2009-10, as the country endured and began to recover from the recession. In 2009, U.S. R&D spending suffered its first decline since the 1950s, though that decline was minimal (0.6 percent) and much smaller than the drop in U.S. GDP (2.5 percent). After adjusting for inflation, the $400.5 billion spent on R&D in 2009 represents a slightly larger decrease (1.7 percent) than in current dollars.

With a new approach to supporting innovation by pursing business-led initiatives focused on better meeting private sector needs, Minister of Finance Jim Flaherty presented Canada’s Economic Action Plan 2012, providing $1.1 billion CAD ($1.1 billion USD) over five years for direct R&D support. The budget also includes $500 million CAD ($502 million USD) to increase private sector investments in early stage risk capital and support the creation of large-scale venture capital funds led by the private sector.

Life sciences advocates in Arizona are celebrating the passage of HB 2272, a measure to tighten open records laws that require details of intellectual property be disclosed. Passage of the legislation will protect against the loss of current research contracts or the possibility of missed opportunities due to concerns over the state's previous law, according to a statement by the Arizona Bioscience Industry Association (AZBio).

Lawmakers last month approved a $19.3 billion state budget for FY13, which includes funding for many of the recommendations from a task force convened by Gov. Nathan Deal to enhance the state's innovation economy. Specifically, the budget boosts funding for the Georgia Research Alliance (GRA) to recruit researchers and allocates $5 million for cancer-related research. The legislature also passed a measure expanding the Georgia Jobs tax credits and R&D tax credit.

The National Science Foundation (NSF) released a report on federal research and development (R&D) spending — Federal Funds for Research and Development: Fiscal Years 2008–10. It percents data collected from NSF surveys sent to all 27 federal agencies that were conducting R&D programs in early 2008. Total R&D spending is reported as both outlays and obligations for those three fiscal years (FY). In this report, the basis for reporting is determined by fiscal year:

Innovation quickly is becoming the key phrase for the world’s economies. Increasingly nations are turning their economic development efforts towards building 21^st century economies that are cleaner, more efficient and built on collaboration, both domestically and internationally. The European Union, New Zealand, South Korea and the United Kingdom have announced new initiatives that target increasing their overall competiveness not simply in the short-term, but long-term. 

United Kingdom

While touting broad support from lawmakers for his 2012 legislative agenda during the regular session, Gov. Bob McDonnell also expressed concern about several economic development and education initiatives left out of the 2012-14 biennial budget passed by lawmakers during a special session that ended last month. Just in time for the deadline, Gov. McDonnell submitted $43.9 million in budget amendments, which include restoring funds for research, life sciences and teacher recruitment.

A new $15 million pilot program at the University of Michigan (UM) hopes to make a big impact in the research world by letting professors follow their instincts and allow breakthroughs to happen more naturally. Under the MCubed initiative, three researchers from different disciplines agree to work together or "cube" on a high-risk, high-reward idea. They also receive funding to hire students or a postdoctoral researcher. The university expects to fund research in the exploratory phase that could eventually lead to larger traditional grants.

A program envisioned nine years ago as a $1 billion endowment that would transform Oklahoma into the research capital of the Great Plains was eliminated last week by the legislature. The Economic Development Generating Excellence Fund, or EDGE Fund, which provided grants to high-tech companies, was unable to secure a long-term financial commitment from the state following an initial appropriation of $150 million in 2006. The balance of the fund, about $161 million, will be transferred to Oklahoma universities for the endowed chairs program to fund academic positions and research.

House lawmakers fell short of overriding Gov. Paul LePage's veto of a $20 million bond for R&D projects that would have gone to voters in November following passage in the legislature earlier this month. The money would have been used by the Maine Technology Institute to provide competitive grants to businesses, nonprofit organizations, university research labs and others for R&D and commercialization projects through the Maine Technology Asset Fund (MTAF).

PCAST provides several recommendations that will continue the success of NNI and translate the benefits of investments in nanotechnology to the public. Individual recommendations are given in four categories of key importance: strategic planning, program management, metrics and EHS research. Specific recommendations for 2012 and beyond include, but are not limited to:

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 sixth installment of SSTI's Tech Talkin' Govs series includes excerpts from speeches delivered in New Hampshire and North Carolina. Our first five installments were in the Jan. 9, Jan. 16, Jan. 23, Jan.

A recent Office of Science and Technology Policy (OSTP) memorandum instructs major federal research agencies to provide open access to federally funded research and digital scientific data. All federal agencies with an extramural research budget that exceeds $100 million will participate, following the example of the National Institutes of Health (NIH), which implemented a similar policy in 2008. Over the next six months, these agencies will draft plans to ensure that any results of federal research published in peer-reviewed scholarly publications are available to the public.

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.

Over the past thirty years, state research and development (R&D) tax credits have become one of the most common state tools to boost their local technology economy. Few studies, however, have attempted to provide a comprehensive evaluation of their effectiveness. In this article, SSTI provides an overview of the literature on state R&D credits, examining why states introduce these incentives and whether or not tax credits are an effective policy tool to promote high-tech businesses and jobs.

Several reports, assessments, and plans have been released related to energy development — particularly clean energy. On March 15, both President Obama's Blueprint for a Clean and Secure Energy Future and the Government Accountability Office's review of the Department of Energy's loan programs were released. In addition, the Information Technology and Innovation Foundation published their report on recent trends in federal investment in clean energy, specifically from the American Recovery and Reinvestment Act of 2009.

Gov. Inslee of Washington released his budget request for the 2013-2015 biennium in his Working Washington plan. Among the priorities are STEM educational investments and clean energy research and development. Overall, the Governor's proposed budget totals more than $34.4 billion, and would result in nearly $532 million in reserves, without proposing new taxes.

U.S. innovation policy, which in the latter half of the twentieth century became focused on massive federal investment in basic research, is no longer tenable, according to a new report from the Information Technology and Innovation Foundation (ITIF). In the post-World War II era, the federal government funded a wide variety of costly basic research projects at U.S. universities and federal laboratories without a guiding economic strategy for these investments.

While New Mexico continues to lead the country in R&D intensity, California remains at the top in R&D expenditures, according to new National Science Foundation (NSF) data from 2009 and 2010. The new report provides updated, detailed statistical tables on current and historical patterns (1953 to 2010) of U.S. research and development (R&D) expenditures by performing sector, source of funds, character of work and state.

A new program that builds upon the successes of North Dakota's Centers of Excellence and Research Excellence programs will fund up to half of the cost of R&D and commercialization projects conducted by the state's research universities. Under Research North Dakota (RND), the development and commercialization of new products will be achieved on a project-by-project basis and state funds will be matched with private-sector cash investment.

Earlier this month, National Oceanic and Atmospheric Administration (NOAA) released their five-year plan for R&D activities that align with the agency's long-term goals within a rapidly changing society and environment. The plan, entitled Research and Development at NOAA: Environmental Understanding to Ensure America's Vital and Sustainable Future, calls for expanding socioeconomic and integrated ecosystems research and improving its internal and external technology development partnerships.

As developed nations slowly rebuild economies damaged by the Great Recession, many are looking to innovation and manufacturing to spur their economic revival. Similar to President Obama's proposed National Network for Manufacturing Innovation (See the March 14, 2011 issue of the Digest), several foreign government are developing networks of manufacturing research and development (R&D) centers to strengthen the ties between research and industrial needs.