Transcript Slide 1

A New STATE OF BUSINESS
Centers of Excellence Program
The Vision
Presenter: Linda Butts
Sr. Advisor to the Commissioner
ND Department of Commerce
A New STATE OF BUSINESS
What’s the point of state economic
development efforts?
Goal: To increase wealth for North Dakota people.
How do we do that? Good paying jobs through
innovative processes and outcomes.
Governor Hoeven is committed to measuring success of
state e.d efforts not just by counting jobs but by
measuring people’s wealth/wages/income.
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Today’s Competitive Landscape
Globalization is forcing us and everyone around the
world to find new competitive niches in rapidly
changing markets.
Presents opportunities those who are nimble, like ND
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Economic Development Strategies
are changing
20th Century Model- Recruit
21st Century Model- Stoking innovation and fostering
entrepreneurs that exploit the regions assets.
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The capacity to innovate and to grow entrepreneurs
increasingly separates regions that can keep pace from
those that can not.
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Regional strategies are increasingly being shaped by
regions assets like scholarly research.
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Stoking Innovation
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If innovation is the “fuel” for reinventing our
economy, higher education is a primary source for
the fuel.
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Many states are developing new incentives to
unleash the enormous resources housed within
higher education.
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Centers of Excellence: ND’s answer to stimulating
innovation and regional economic growth.
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Centers of Excellence Program
What is a Center of Excellence (COE) for Economic
Development?
A hub of research and development around which
related businesses expand and dynamic new businesses
cluster.
Vision: Centers of Excellence will help stimulate innovation
in North Dakota’s target industries and create new
industry niches.
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Overall Concept
A Vision essential to North Dakota’s future:
– Connects potential of colleges and universities across
the state with private industry to generate higher
paying, skilled jobs, and career opportunities for the
future.
– Will create and attract new businesses, and foster the
expansion of existing businesses.
– Create centers that nurture our best and brightest
minds to commercialize ideas into products, skills, and
services.
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11 Centers Approved for Funds
• North Dakota’s research institutions are a unique asset we
must maximize for growth.
• Legislature has provided for $50 million that will be
leveraged to generate at least $150 million in total funding
resources. $20 million during the 2005-07 biennium and
legislative intent for $30 million in future biennia.
• Eleven Centers of Excellence across the state have been
approved for funding.
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Centers of Excellence Projects:
1. Bismarck State College – National Energy Center of
Excellence
2. NDSU – Center for Advanced Electronics Design and
Manufacturing
3. UND Energy and Environmental Research Center –
National Center for Hydrogen Technology
4. Lake Region State College – Dakota Center for Technology
Optimized Research
5. North Dakota State University – Center for
Agbiotechnology: Oilseed Development
6. North Dakota State University – Center in Surface
Protection
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Centers of Excellence Projects
7. University of North Dakota Research Foundation – Center
of Excellence in Life Sciences and Advanced Technologies
8. University of North Dakota – Center of Excellence for UAV
and Simulation Applications
9. Valley City State University - Institute for Customized
Business Solutions
10. Williston State College - Petroleum Safety and Technology
Center
11. Dickinson State University – Center for Entrepreneurship
and Rural Revitalization – Institute for Technology and
Business
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Bottom Line:
Grow Jobs, Increase Wealth
The 11 approved Centers of Excellence
Projects project the creation
of nearly 5,000 new jobs by 2010.
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Examples
NDSU Advanced Electronics Design and Mnfg.
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AmeriPride increase of $3.6 million in product sales & 15
new high tech jobs plus 25 additional production jobs
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Clinical Supplies Management increase of up to $1 million
in sales & 7 to 10 new jobs
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Pedigree Technologies potential for an additional $25-50
million in sales realized within 5-7 years with possible 400
new jobs.
BSC National Energy Center of Excellence
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3350 new construction jobs and 973 new technician jobs
will be created as a result of new plants being constructed.
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Monitoring the Program
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Department of Commerce set up a 10-year review
program that calls for annual functional reviews of
each center based on 12 specific criteria.
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The goal is for Commerce to work with the Universities
to measure success and ensure the transparency that
is necessary for ongoing legislative support.
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Key Issues for Legislative Support
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2-1 match of private to public dollars
In-kind support: Is it legitimate?
Sustainability of project: Can the facilities ultimately
support themselves without public dollars?
Creating private sector jobs
Measurable benefits to the community and economy
Was the project possible without state COE funding?
Tracking- is there accountability in the existing grants
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Growing ND from Within
Our growth will come from cultivating the resources we have:
• Technology Based businesses and Advanced
Manufacturing: helping existing companies grow and
remain competitive
• Energy and Agriculture – unique time in ND history where
the “marriage” of two of our most abundant assets have
global significance
• Tourism, state’s 2nd largest industry: Legendary campaign
emphasizing historical attractions, badlands, outdoors,
cities/cultural attractions
• Research Institutions – Centers of Excellence
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R&D is Vital
Your work is vital!
Commerce looks forward to working closely with you to help
build partnerships between you and private sector
business people who need your research capacity
Ultimately, it’s a win-win for everyone, and it’s what ND needs
to ensure a bright future!
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