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Friday, February 13, 2009
How I See It
Massachusetts must lay a foundation for stimulus funds
The Murphy brothers' software-selling family tree
MHT's Efrain Viscarolasaga: Solar installation booms in New England
MHT managing editor Rodney Brown on NECN: 22 tech companies give back to community
In his inaugural address last month, President Barack Obama pledged to “restore science to its rightful place” on the national agenda. This pronouncement, and the subsequent push by his administration and congressional leaders to dedicate a significant portion of the $900 billion spending plan to scientific research, seems like good news for a tech-focused state like Massachusetts.
But the Massachusetts technology community may miss out on the full benefit of the “stimulus” package unless the state develops a system for tracking opportunities for its employers and universities, and quickly develops a strategy for how taxpayer money will be invested to create new jobs.
A perfect cautionary tale is the more than $10 billion ramp-up in federal Homeland Security funds following Sept. 11, 2001. Much like with the pending stimulus bill, there was no system for investing new Homeland Security funds. There was little oversight and the funds were, at best, invested in a nonstrategic way, and in many cases were spent on indefensible pork products like new garbage trucks.
With nearly a trillion dollars on the table, it is critical that the state create a comprehensive plan for investing an estimated $11 billion taxpayer-funded federal windfall. The tech community is interested in two key areas:
• Education — Nearly $150 billion of the economic stimulus bill is targeted for education. About $21 billion will go to facility improvements. Massachusetts should commit the bulk of remaining discretionary funds to the classroom — but only in communities that reform inefficient municipal health care and district procurement practices that now drain hundreds of millions in annual state taxpayer funds away from the classroom.
Students must be better prepared for the jobs our tech economy needs. Demand for innovative school models such as charter and pilot schools is soaring, but some state and local officials keep the lid on access.
Another proven program, the Massachusetts Math and Science Initiative, is developing advanced-placement programs and teacher support in underperforming districts. Accelerating access by using new federal funds to match private-sector support would help transform this into the type of permanent “system change” Massachusetts students and teachers need.
• Federal R&D — The recommitment to a national science and technology agenda is a great opportunity for our universities, tech companies and research labs. Massachusetts has historically done very well in landing National Science Foundation, National Institutes of Health and Department of Defense funding, but competition among states has become more intense. The state investment programs of the John Adams Innovation Institute Life Sciences Center have helped, but more focus is needed on the state level.
Massachusetts can position itself for recovery by updating the state R&D tax credit to reclaim the “best-in-nation” status it once enjoyed. We should also develop an early-warning system for identifying new funds and new opportunities that can tap into our “shovel-ready” innovation economy.
The state’s tech community supports the efforts of Gov. Deval Patrick and our congressional delegation to ensure that Massachusetts receives its share of federal funds. Let’s not waste this opportunity, however, to create sustainable job growth throughout our innovation economy by reforming broken government systems and improving math and science education as a condition to spending our tax dollars.
Christopher Anderson is president of the Massachusetts High Technology Council in Waltham.
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