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State Roundup: March 18, 2004
Commerce Ranks Tech Infrastructures
by Chloe Albanesius

     While pockets of science and technology-based economic development are popping up in previously underdeveloped tech sectors, mainstay tech powerhouses like California and Massachusetts continue to dominate, according to a technology infrastructure study released Wednesday by the Commerce Department's Technology Administration.
     The study, the fourth issued by the administration, "recognizes that there is no one-size-fits-all policy formula ... to foster technology development and innovation for all regions of the country," but Commerce hopes the report will serve as a research tool, Phil Bond, undersecretary of Commerce for Technology, said in the report's foreword.
     Researchers found that S&T economic development is "exploding" in cities like Minneapolis, Seattle, Salt Lake City and Boulder, Colo. The study notes that these locations have strong S&T resources such as research universities and private-sector research centers, "demonstrating that S&T-based businesses exhibit the tendency to cluster in areas that have strong technology assets and infrastructure," the report said.
     New business formation results directly from R&D and commercialization from new technologies, with S&T enabling "sustainable competitive advantage," the report said.
     The report breaks down the nation's technology infrastructure by state. Among those states receiving small business innovation research (SBIR) grants, Massachusetts ranks number one among the average number of SBIR awards per 10,000 businesses, while Arkansas comes in last. New Mexico, Maryland, Colorado and New Hampshire follow Massachusetts.
     Montana ranks ninth on the SBIR list, but tumbles to 41 on the list measuring state growth of high-tech industries. New Jersey ranked number one, followed by Massachusetts, Colorado, Virginia and Maryland. West Virginia landed at number 50.

EFF Urges Protest Of Anti-Piracy Bills
     California voters must oppose two bills introduced in the legislature aimed at curbing piracy, the Electronic Frontier Foundation (EFF) urged Wednesday. At issue are AB 2735 and SB 1506, which would require people to include their name and address on all commercially recorded or audiovisual material distributed over the Internet or face up to a year in prison.
     "These California anti-anonymity bills would force everyone -- including children -- to put their real names and addresses on all the files they trade, regardless of whether the files actually infringe copyrights," EFF Legal Director Cindy Cohn said in a release. "Because the bills require Internet users to post personally identifying information, they fly directly in the face of policy goals and laws that prevent identity theft and spam and protect children and domestic violence victims," such as the 1998 Children's Online Privacy Protection Act.
     "This bill creates criminal liability for sharing a single song or even a portion of a song or movie, but leaves no space for fair uses such as commentary, criticism, parody or educational uses of works," said EFF Activist Ren Bucholz. "This bill is supposed to stop piracy, but it may be the most ineffective and harmful method yet proposed."

Michigan Commission Aims To Double College Enrollment
     Michigan Gov. Jennifer Granholm on Monday announced that she is starting a commission committed to doubling the number of college students in the next 10 years and ensuring that those students have advanced skills needed for today's workforce.
     Lt. Gov. John Cherry will head the commission, set to kick off in June. "We must address the skills gap that exists in Michigan," he said in a release. "Our higher education system must keep pace" with the economy. If not, "Michigan is projected to have shortages in many skilled and technical labor fields, which will make it difficult to create and retain good-paying jobs in advanced manufacturing, engineering and high-tech sectors," Cherry said.
     The skills gap could threaten Michigan's economy, Granholm said. At this point, only 22 percent of Michigan adults have bachelor's or advanced degrees, and that is 2 percent below the national average. "Michigan exports too many of our highly educated workers," Granholm said. Retention is key to "compete in the new, knowledge-driven economy."
     In other news, Rhode Island Gov. Donald Carcieri on Thursday will award the first ever "Governor's Award" and "First Lady's Award" at the state's 2004 Science and Engineering Fair. The Governor's Award will give a high school student an internship with a department of state government that corresponds to the student's project, while the winner of First Lady's Award, given to a middle school student, will receive a book specially chosen by the First Lady. Over 75 local schools registered for the 2004 and the two winning seniors will represent Rhode Island at the International Science and Engineering Fair in Portland, Ore., in May.

States Crack Down On Telemarketing Scams
     North Dakota Attorney General Wayne Stenehjem last week announced that two Florida companies paid $10,000 to settle consumer fraud charges. Stenehjem's office in December issued a cease-and-desist order against Cape Canaveral Tour & Travel and Fantasy Vacations for misrepresenting themselves in telemarketing calls to consumers. Callers were falsely told that they were among a "select" group that received the solicitations. As a result, each company was charged $5,000 in lieu of legal penalties and must stop lying when making future calls. The companies must also cancel any contracts they obtained in December.
     Meanwhile, Florida Attorney General Charlie Crist announced that another Florida company must establish a $350,000 restitution fund after it had telemarketers sell offices supplies well above market price to private schools and non-profit organizations.
     In other news, the Florida Supreme Court gave up jurisdiction over Crist's appeal of telephone rate increases -- now allowing the Public Service Commission (PSC) to reconsider its earlier approval of the increases. The commission previously approved a $355 million rate hike, prompting Crist to file an appeal with the Supreme Court and a motion to reconsider with the PSC. PSC now has until May 3 to respond to that motion to reconsider. In the meantime, an automatic stay of the rate hikes is in effect.

Magazine Honors Virginia Tech Officials
     Virginia Gov. Mark Warner was among four lawmakers to make the Government Technology magazine's top-25 list of doers, dreamers and drivers. "It is a tribute to the positive technology-based changes that we have been making in Virginia that four out of 25 people who earned recognition are from the commonwealth," Warner said in a release. "Increasing the efficiency of technology not only saves money. It helps government serve people." Also honored were Secretary of Technology George Newsroom, Roanoke City Manager Darlene Burcham and Virginia Beach CIO David Sullivan.
     In other news, Warner announced last week that America Online would open two new Virginia offices, creating 67 new jobs in Norton and 40 in Richmond.




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