California’s efforts to grow the role of its community colleges (CCs) was reinforced with the governor’s recent budget request to establish a fully online public community college, while a report reviewing the state’s established pilot program to offer baccalaureate degrees at some CCs presented some serious questions.

California online community college proposed

With the 2017 data in the books (see our analysis of MoneyTree and useful stats from the Venture Monitor), we can take a more informed look at the prospects for the industry in 2018.

In this week’s review of state budget proposals, Alabama and Arizona’s governors are proposing funding increases for higher education, while Louisiana is facing cuts due to a budget shortfall. In Hawaii, the governor is seeking supplemental funding for the Hawaii Technology Development Corp to expand its grant making capacity, while Idaho and South Carolina’s governors are seeking more money for workforce programs.

Alabama

In an effort to support research collaboration among the state’s largest universities, Illinois Gov. Bruce Rauner’s proposed FY 2019 capital budget would provide $500 million for the University of Illinois Discovery Partners Institute in Chicago’s South Loop. The funds would serve as a state match for private donations from individuals, corporations, and other entities.

A new map of broadband access based on Federal Communications Commission (FCC) data offers a granular look at the internet options available to Americans. Based on data submitted by internet service providers through FCC’s Form 477, the map provides insight on the types and speeds of internet access available on a block-by-block basis across the country. Notably, the maps do not include information on the cost of internet service. 

In a shift from its past economic development efforts, the U.S. Department of Commerce FY2018-2023 strategic plan would move the department to focus almost exclusively on being a commercial services entity. The plan’s points of emphasis are on streamlined permitting and regulations, with direct government activity primarily reserved for common good services — e.g., economic data, cybersecurity and IP protection.

As explored in last week’s Digest, the presence of Eds and Meds institutions can positively influence the levels of human capital in a region, but the need to keep costs low can hinder their overall growth. SSTI’s analysis subsequently found that employment in Eds and Meds industries increased in every state from 2005 to 2015. This article looks at Eds and Meds employment for the largest metropolitan areas in the United States. Mid-sized regions in the Northeast like Rochester, New York (4.4 percentage points), New Haven, Connecticut (2.9 percentage points), and Harrisburg, Pennsylvania (2.3 percentage points) experienced the largest growth in per-capita employment in Eds and Meds industries between 2010 and 2015.

As the U.S. Senate works toward a vote on a bipartisan bill targeted at lifting regulations for some banks, several studies published within the last year have looked at the impact community banks have had on serving small- to mid-sized businesses (SMBs) across the country. Historically, community banks have been the loan originator for nearly 60 percent of business loans made to SMBs and have served as drivers of economic growth and opportunity in rural and underserved communities. The reports highlight the impact of these community banks on small business lending pre and post Great Recession; the resiliency of SMB lending activities by these banks during the Great Recession; and policy recommendations to support community banking.

The Government Accountability Office identified eight trends having strong effects on both the federal government and society as a whole, and those included in the science and tech section of the report are suggested to be critical to the country’s competitiveness.

Citing national security concerns, the Trump administration made headlines this week when they ordered that chipmaker Broadcom stop pursuing its $117 billion bid for its largest competitor, Qualcomm.

Between 2010 and 2015, job and establishment growth was substantially lower in U.S. counties where broadband is less available and technologies are less likely to be adopted, according to new research from the Purdue Center for Regional Development. To measure county-level digital divide, authors from the center developed the Digital Divide Index (DDI), which factors in demographics, jobs, and other establishment trends in the U.S.

The last of the governors’ state of the state addresses for this year have been delivered, and New Jersey’s governor presented his first budget address. SSTI has continued to review the addresses for news on TBED initiatives and presents excerpts of their addresses concerning such initiatives below. Louisiana’s governor is focused on addressing a fiscal cliff while preserving education gains in the state. New Jersey’s governor laid out a vision embracing green energy in the state and growing high school STEM-focused programs.

Valuations of venture backed companies and the number of unicorns are rising based on the leading nationwide surveys, but closer examination of the data reveals not all startups are seeing the effect. The median valuation for female-founded companies, for example, was lower in 2017 (approximately $11 million) than it was in 2007 (approximately $15 million), according to research from PitchBook’s Dana Olson.

Sen. Jerry Moran (R-KS) was one of several legislators who participated in SXSW, including on a panel that also featured Ben Johnson of BioSTL representing SSTI’s Innovation Advocacy Council.

Wyoming Gov. Matt Mead has approved legislation that will help promote economic diversification through innovation in a state that has relied heavily on a relatively small number of resource-based industries. Mead recently signed multiple pieces of legislation that comprise ENDOW (Economically Needed Diversity Options for Wyoming), a 20-year initiative focused on diversifying and growing the state’s economy. Notable bills include Senate File 118, which will establish a dedicated organization to support Wyoming’s entrepreneurs and provide funds to innovative startups, and Senate File 119, which will establish a dedicated fund for workforce training in economic sectors considered a priority for the state.

Across the country, companies reported nearly $300 billion in self-funded and self-performed domestic R&D in 2015, according to recent data from the National Science Foundation’s Business R&D and Innovation Survey (BRDIS), with nearly one-third of this total ($95.0 billion) coming from California. Businesses in Wyoming, Washington D.C., and Utah reported the greatest increase in self-funded and self-performed R&D from 2010 to 2015.

U.S. Secretary of Energy Rick Perry is calling on Americans’ competitive spirit to help solve critical water issues. Perry led a roundtable discussion last week on the use of federal prizes and challenges to drive innovation in dealing with water issues such as alternative water supplies, reducing water treatment costs, greater efficiency in usage, and advancing market-based solutions that incentivize innovation and cooperation.

With final passage and signage pending at the time of publication, the federal budget for FY 2018 provides relatively strong support for innovation economies. The Regional Innovation Strategies program is funded at $21 million, MEP at $140 million and the National Science Foundation at $7.8 billion, increases for all organizations. Other notable innovation programs receiving at least level funding are SBA’s cluster and accelerator programs, DOE’s ARPA-E, NASA science and the National Institutes of Health.

An earlier SSTI analysis detailed the Bureau of Labor Statistics labor force participation projections, revealing a continuing downward trend in the number of workers despite a growing population.

The World Economic Forum (WEF) identified cybersecurity breaches along with environmental degradation caused by human-induced climate change, as the top two risks to the global economy over the next 10 years, according to the 2018 Global Risks Report, the Forum’s annual survey of nearly 1,000 experts from across the planet.  With evidence mounting of Russian hacking of the U.S.

Investments in STEM education, apprenticeship programs, and tech-focused tuition assistance are among a handful of proposals included in the “Marshall Plan for Talent” last Thursday. The plan includes $100 million in talent investments and utilizes a three-pronged approach to training by addressing K-12 education, higher education and the state’s existing workforce. The funds would come from savings due to a state bond refinancing, according to the governor.

For decades, state and local economies have leaned heavily on their anchor institutions during times of economic uncertainty and transition. An analysis finds that total employment in “Eds and Meds” industries increased in every state from 2005 to 2015. This article breaks down the growth and geography of Eds and Meds employment at the state level, while next week’s issue of the Digest will explore this data by metropolitan area.

The National Science Foundation’s new strategic plan argues that the U.S. must continue investing in world-class research, develop a globally competitive scientific and engineering workforce, and foster greater understanding of science and technology among the American public. However, the pressure of new priorities and level funding proposed for FY 2019 have yielded some surprising directions for the agency’s planned investments.

Research and innovation process goals

Addressing what it believes is a global skills gap in IT and job displacement resulting from automation, the World Economic Forum (WEF) launched an initiative that is seeking to reach 1 million people with resources and training opportunities by January 2021. The SkillSET portal is intended to help users acquire the skills and education to adapt to an increasingly digital workplace.

The National Institute of Standards and Technology (NIST) released a new 59-page draft report – NIST Interagency Report (NISTIR) 8202: Blockchain Technology Overview – that attempts to move beyond the recent hype surrounding Bitcoin and other digital currencies (or cryptocurrencies) to