Nominations for Indiana Innovation Awards Closing Soon!

Nominations are open for the 2017 Indiana Innovation Awards until the end of July. Any innovation is eligible to be recognized as long as it has been “released” in some form or fashion within the past three years and the team behind the innovation is headquartered (at least partially for interstate/international organizations) in Indiana.

Past winners have included products, services, technologies, processes and initiatives that demonstrate both uniqueness and success.

Awards will be presented at the October 12 Day of Innovation conference in Indianapolis.

Going On the Co-Working Road

The Fish Tank co-working space in Columbus is leading to a variety of business community collaborations.

Business dreams come in many shapes and sizes. A common denominator is having the resources available to help those dreams come true. And the places to make that happen, like the entrepreneurs themselves, are unique in many ways.Business dreams come in many shapes and sizes. A common denominator is having the resources available to help those dreams come true. And the places to make that happen, like the entrepreneurs themselves, are unique in many ways.

The Indiana Chamber’s BizVoice® magazine, in its yearlong series on innovation and entrepreneurship, hits the road in the current issue to learn about the people and places in four communities. They are:

While they vary in size and activity, these and other co-working space share the common bond of bringing people together. I’m confident you will enjoy learning about some of the entrepreneurs who are starting and growing their businesses.

The July-August issue also offers:

  • A continuation of the developing success story at Recovery Force. Three external advisors with varying backgrounds share their insights
  • A guest column that focuses on the green Internet of Things
  • Quick Hits that include a business attraction effort in Anderson; another unique space for entrepreneurs in Wabash; and a successful remote relationship for an ExactTarget alum who didn’t want to leave central Indiana

If you don’t receive each of the six bimonthly issues of BizVoice®, you can subscribe online. If you want to reach an audience of 15,000-plus decision-makers with your products and services, contact Tim Brewer (tbrewer@indianachamber.com) for advertising specials and packages.

Tech Talk: Catching Up on Indiana Chamber Activity

A busy June at the Indiana Chamber of Commerce included items of importance to the innovation and entrepreneurship communities. A brief overview:

Indiana Vision 2025 Report Card
The every-other-year evaluation of our state’s economic performance includes the Dynamic and Creative Culture driver. Unfortunately, the statewide statistical measures don’t match up to the progress being seen in central Indiana and other select areas. Indiana is tied for 44th in the Kauffman Entrepreneurial Index and 35th in venture capital invested.

There are strong performances in university business spinouts, foreign direct investment and exports.

Full details and summaries at www.indianachamber.com/2025.

10th annual employer workforce survey 
While the Report Card showed some progress in educational measures, this survey reinforced the ongoing skills mismatch. Two numbers: 47% of respondents left jobs unfilled in the past year due to under-qualified applicants and 79% indicate filling their workforce is among their biggest challenges. Both trends have only increased over the past four years.

The survey also looks at workforce recruitment strategies, training and drug testing.

Details at www.indianachamber.com/education.

Coming Your Way

  • The July-August BizVoice® includes, among other features, visits to four co-working spaces around the state and a column on the green Internet of Things.•
  • Coming in mid-July is the new EchoChamber podcast. Technology and innovation will be one of the featured subjects. Catch a sneak preview at www.indianachamber.com/echochamber.

Breaking Down the Research Efforts

Research corridors are not new. In our neighbor to the north, the University Research Corridor has been a strong performer over a number of years.

The State Science & Technology Institute has this brief recap of a recent analysis:

Michigan’s University Research Corridor, an alliance of Michigan State University, the University of Michigan and Wayne State University, conducted $1.2 billion in academic R&D in the life, medical and health sciences, and served as a stabilizing force to the state’s economy as one of the only sectors that grew during the 2000s. Those are among the findings of the 2017 URC sector report, which was prepared by Public Sector Consultants.

The report, Leading Discovery: URC Contributions to the Life, Medical and Health Sciences, notes that employment in the life, medical and health sciences sector, which accounts for one in eight jobs in Michigan, is up 18.9 percent since 2000, compared to overall Michigan employment, which is down 9.3 percent.

The URC also was successful in moving discoveries out of the lab and into the marketplace. From 2012 to 2016, the following results relating to the life, medical and health sciences sector were found:

• 1,348 inventions reported by researchers
• 380 U.S. patents issued
• 433 new license agreements
• 32 new startup companies
• $142 million in royalties earned

Tech Talk: Don’t Miss Out on inX3 Extravaganza

What is one of the biggest challenges for Indiana’s technology and innovation communities? Many would agree that it’s securing the needed venture capital to take promising start-ups to the next level.

What is a new event to try and overcome that hurdle? It’s inX3 and it’s coming in just two weeks – June 13-16.

inX3 stands for inspire, innovate and invest. Indiana’s leading tech organizations are coordinating a series of events that will bring together entrepreneurs, venture capitalists and investors. And most of the action takes place at The Union 525 space in downtown Indianapolis.

A special Almost Fail Entrepreneur Reception celebration kicks off the week, which concludes with the next in a series of Indy Civic Hack programs. The two middle days feature a variety of programs – Pitch Competition Finals, Invest Indiana Forum and much more – as well as an AT&T Street Party on June 14.

There’s something for everyone at inX3. Details are on the web site, with app updates available through iTunes and GooglePlay.

inX3 asks the simple question: Are you in? The answer should be equally clear: Y-E-S.

Ball State’s Social Media Center Turns Savvy Students Into Digital Marketing Pros

Today’s college students are immersed into social media while American corporations are looking for employees with such skills after investing heavily into digital marketing.

So, Ball State University created the Center for Advancement of Digital Marketing and Analytics (CADMA), providing students with the certifications, classes and on-site work to prepare them to handle digital marketing in the business world upon graduation.

“In developing CADMA, we found that major corporations have heavily invested in social media command centers, but few universities have created something similar for educating the next generation of technology workers,” said Eric Harvey, the center’s director and a marketing professor. “When it comes to this field, the average starting salary is just shy of $50,000 and companies — from the largest Fortune 500 firms to small start-ups — are seeking well-educated, highly motivated people to fill these positions.”

CADMA includes a social media lab, which is designed to educate students and help them hone skills they learned in digital marketing and analytics courses, including examining consumer behavior, professional selling and content development.

About 100 students have received or are working on social media marketing certifications using teaching modules provided by Google and other major technology firms around the world.

Read more in Ball State Magazine.

Tech Talk: Sapp Moving But Not Going Away

By now, many of you have seen the stories and video (Inside INdiana Business interview) about Dustin Sapp. The Rose-Hulman Institute of Technology grad and Indiana tech leader for more than 15 years is moving to Colorado (for health reasons) but has also taken on a new role with Indianapolis-based Formstack.

Sapp was honored as the first Indiana Vision 2025 Dynamic Leader of the Year when the Chamber instituted the award in 2015. It was based on his business creation efforts – NoInk Communications, Vontoo and TinderBox (now Octiv) – and his contributions in giving back and helping grow the tech community.

Here are a few excerpts from our Dynamic Leader of the Year profile in BizVoice® magazine.

  • On founding a business: “Starting a company is a lot harder than people make it out to be. You can go to an event and it’s all about the energy and the excitement, but they don’t talk about the difficulty. Especially when you first begin – you’re the boss and the employee and the one making the coffee and the custodian and the accountant. It’s often a very lonely job.”
  • On priorities and why work should not be No. 1: “When it comes to burnout, a pattern we see is that it’s most often those who are the most career-driven. They pour everything they have into career, and it’s all that exists for them. So a requirement that I have for people is that they have something that’s more important than this business in their lives. For me, it’s straightforward: it’s my God and it’s my family.”
  • On the tech scene in central Indiana: “Indianapolis has always had the right attitude about the ‘rising tide,’ but now as you list the successes, you have a second level of talent investing back into the ecosystem, starting and joining other companies in earlier stages. We’re seeing a magical moment. Now our biggest gap is in getting a number of $20-$30 million companies, not just one or two. We need that middle tier, not just big successes and early stage start-ups.”

Profound words 18 months ago – and today. Dustin, thanks for everything you have done thus far and will continue to do for your team and our state. We wish you nothing but the best.

Nominations close June 16 for the 2017 Dynamic Leader of the Year award. The winner is selected based on success within their own organization, as well as their efforts to grow the state’s technology and innovation communities. Contact Jesse Brothers at jbrothers@indianachamber.com for more information.

A Clearer Path for Indiana’s Innovation Sector

Last summer, the Indiana Chamber formed the Indiana Technology & Innovation Council. A large part of the group’s mission it to protect and advance the public policy interests of related organizations. The Indiana Technology & Innovation Council’s Tech Policy Committee developed an agenda going into the 2017 session with several significant objectives.

We are happy to report – thanks to the work of many – that the group’s first legislative session proved to be highly productive and rewarding, with several key policies to advance innovation, technology and entrepreneurship in Indiana set to become law.

These include enhancing early-stage and scale-up funding for promising Indiana business opportunities, an increased focus on innovation and entrepreneurship, better digital and physical connectivity with other parts of the world, funding for better use of big data and providing funding mechanisms to enhance regional infrastructure projects.

Management and Performance Hub Information Holds Promise
Indiana has been a leader in using government data to improve the delivery of services to its citizens. The Management and Performance Hub (MPH) is an evolving integrated data system that links government agency data and allows for data-driven analytics and research, which can help inform policy and improve the delivery of government services to come from that information. House Bill 1470, Government Data, authored by Rep. David Ober (R-Albion), was the main vehicle to codify the MPH and ensure it has maximum utility for taxpayers, government agencies, the Legislature and other external stakeholders.

The measure started off smoothly, but when it got to the Senate, it was derailed during a hearing before the Senate Commerce and Technology Committee. Based on fear that the information would not be secure or de-identified, the committee amended it to be only a summer study committee issue. Fortunately, the original content was restored by Sen. Brandt Hershman (R-Buck Creek), the bill’s sponsor, on the Senate floor. The Chamber has supported HB 1470 to maximize its utility as a consistent data source and analytical tool for a variety of public issues with multiple stakeholders.

Fortunately, the budget bill, HB 1001, authored by Rep. Tim Brown (R-Crawfordsville) ended up providing good resources to the MPH –$9 million per year for the next two years. This allows MPH the ability to continue to develop to provide timely and accurate information that can help track vital information for the state’s economy, education and a host of other matters where better data can help inform better decisions.

Municipalities Work to Hinder Small Cell Legislation, But It Passes
A bill to more easily move Indiana’s mobile broadband connectivity to the next generation of technology passed the Indiana General Assembly. Senate Bill 213, Wireless Support Structures, authored by Sen. Hershman, focused on streamlining permitting, fees and co-location to increase coverage by current cell towers and facilitate more rapid installation of small cell technology in Indiana communities.

Specifically, an objective was to eliminate excess fees and permitting by local units of government that would hinder installation of small cell antennas. A lot of misinformation was communicated by detractors to say many of the antennas were the size of a refrigerator or Volkswagen, when, in fact, they are much smaller. It is in the providers’ economic interest to co-locate small cell antennas on current towers, light poles or other structures.

This legislation also highlighted an interesting dynamic: Many municipalities who want better broadband in their communities as an economic development tool also want a “say” in the small cell tower locations and to be able to collect fees and issue permits. And those desires are quite strong.

Case in point: There is a provision in the bill that allows Indiana communities to designate local ordinances (and possibly resolutions) to direct where and how those small cell devices can be put in their community by making them an underground or buried utility area. The deadline for seeking this additional protection was May 1. Realizing this, Accelerate Indiana Municipalities (AIM) sent information to its members around the state to quickly pass an ordinance or resolution by that date. Almost 100 locales were considering doing so. But that move may backfire on these same communities whose citizens want
better broadband. What’s more, whether those new ordinances are legal remains to be seen.

The Chamber supports more and better broadband for Indiana and strongly advocated for SB 213 during the process. We appreciate the hard work of Sen. Hershman and Rep. Ober in getting this legislation over the finish line.

Major Tech, Innovation and Entrepreneurship Progress
Several tech innovation issues ended up advancing in the state biennial budget, HB 1001, authored by Rep. Tim Brown.

A Chamber priority was to increase early stage capital in promising Indiana companies. While making the Venture Capital Investment (VCI) Tax Credit transferrable (to attract out-of-state investment to Indiana) didn’t happen, it arguably worked out even better with the creation of the $250 million Next Level Trust Fund. This allows for up to half of the $500 million corpus from the Major Moves highway infrastructure program to be used for investments outside of conservative fixed income investments. It creates a Next Level Indiana Fund investment board with fiduciary responsibility to direct investments in equities or “funds of funds” which could be directed toward promising Indiana businesses.

In addition to the Next Level Trust Fund, legislators adopted options for Indiana public employees and teachers with defined contribution plans to invest up to 20% of their contributions in an Indiana-focused fund.

This summer, the Legislative Services Agency is conducting a deep study of the impact of the VCI. That report is due in October 2017 and based on information that comes from that report, we hope to better advocate for the enhancement of the tax credit during the 2018 session, if warranted. In SB 507, authored by Sen. Randy Head (R-Logansport), the expiration date of the VCI tax credit of 2020 was eliminated so the tax credit now has more certainty for the future.

House Bill 1001 also funded $30 million for the 21st Century Research and Technology Fund. Additionally, $15 million for each of the next two years was allocated for the Business Promotion and Innovation Fund, which combined several requests. It gives authority to the Governor and the Indiana Economic Development Corporation (IEDC) to incentivize direct flights from international and regional airports in Indiana, encourage regional development activities (aka Regional Cities), advance innovation and entrepreneurship education programs through strategic partnerships and support international trade.

The Indiana Biosciences Research Institute was funded for $20 million for year two of the budget. This should pay dividends down the road to further grow Indiana life sciences opportunities.

Better Performance Metrics to Recertify Technology Parks
Certified technology parks (CTPs) around the state will benefit from House Bill 1601, authored by Rep. Todd Huston (R-Fishers). The bill requires IEDC to develop new metrics for performance of CTPs as they are up for recertification.

The IEDC will work with local units of government to develop the metrics. They will include the criteria used to evaluate each category of information by a CTP and a minimum threshold requirement to be recertified in each category.

This is good for both state and local governments to ensure the CTPs are truly being an effective driver of economic activity for that community and region. The bill did not receive any no votes during the legislative process and was supported in a bipartisan fashion. The Chamber backed the bill and appreciates the good work that Rep. Huston and Sen. Hershman, the Senate sponsor, did to ensure its passage.

A Flurry of Executive Orders

President Trump’s number of executive orders has now topped 30; a look at the latest that occurred during the week:

  • America First Offshore Energy Strategy – Akin to a study committee, it directs Interior Secretary Ryan Zinke to review the current five-year development plan on the Outer Continental Shelf for offshore oil and gas exploration, as well as review the regulations and permitting process for development and seismic research. Zinke also will take comments from the public in addition to conducting his own examination – probably through the U.S. Fish and Wildlife Service with input from the Department of Exterior and the Environmental Protection Agency. The order also prevents Secretary of Commerce Wilbur Ross from designating any new or expanding existing marine monuments and/or sanctuaries. Most likely, President Trump – even if he wins another term – will be out of office before anything could really change in this area.
  • Establishment of the Office of Trade and Manufacturing Policy – The goal is strengthening domestic manufacturing and reducing the trade deficit. This directive puts Peter Navarro, President Trump’s principal trade adviser, in a permanent post – one enforcing the “Buy American” policies the President has established as a priority. On a related note, signed the same day was the Order Addressing Trade Agreement Violations and Abuses. “As far as I can tell, there has never been a systematic evaluation of what has been the impact of the World Trade Organization agreement on the country as an integrated whole,” Ross said during the press announcement. The Indiana Chamber strongly supports free trade agreements that create free and fair trade for the United States. We believe that international trade touches Indiana business of all sizes at some level. With 95% of the world’s consumers outside the U.S., Indiana and the nation would be shortsighted not to recognize the benefits of maintaining and even expanding our commerce ties with other countries.
  • Establishment of the American Technology Council – The objective is to help the government transform and modernize its digital services. President Trump will preside over the group, which will give “advice to the president related to policy decisions” regarding our government’s use of information technology.
  • Order Promoting Free Speech and Religious Liberty – Undoubtedly heavily influenced by Vice President Mike Pence, this directive offers relief to those groups that object on religious grounds to the Affordable Health Care Act provision mandating employers to provide certain health services, including contraception. They now can lawfully not abide by this provision. The order also allows the Internal Revenue Service to exercise “maximum enforcement discretion” over the Johnson amendment, which prohibits tax-exempt religious entities from stating political endorsements or opposition to a candidate.