Technology, industry incentive funds stay largely unchanged - bizjournals:

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During a session that began with the promise of statd funds fueling startups and attracting establishedc businesses such asclean technology, legislation designed to tweak the existinfg funding system never reached the floor. A bill to createe a $1 billion so-called Sunnu Day Fund for Texas was proposed to obtain federal grants under the Americanb Recovery and Reinvestment Act that could have been usedto jump-starty this area’s clean technologg business. The legislation, introduced by Rep. Mark D-Austin, was viewed as especially cruciall in attracting foreign solar companies looking to establish North American headquarters inCentral Texas.
But the proposal, whicuh received public hearingin April, died in the Housde Appropriations Committee. While its long-term economic effect is unknown, failure of the measurw had animmediate effect. In April, a Chicago-based alliance of vehiclse battery makers selected Kentucky over Central Texas as a locatioj for a proposed federally subsidized manufacturing plant when Texassofficials couldn’t deliver on the Sunny Day Fund.
Sincwe Texas has been doing bettee financially than most other states durinfthe recession, it is in a better position to take advantage of matching federal That advantage may soon disappear when the national economy rebounds, said Isaac Barchas, director of the Austim Technology Incubator. “It was a momen in time when we could have exploitedfour strength,” he “That strikes me as a pretty big opportunity.” Meanwhile, a bill proposesd to add another step in the approvakl process of the state’s Emerging Technology Fund died in the Housse Technology, Economic Development and Workforce Committee. Introduced by Rep. Solomom Ortiz Jr.
, D-Corpus Christi, the bill would have giveb the ETF’s advisory committee the authority to deny and approve all It also would have created a Texa Enterprise Fund board with statewide The proposed changes were designed to tighten oversighr of the ETFafter Gov. Rick Perry’s office awardedc a $50 million ETF granty to the Texas A&M Universituy System for a pharmaceutical manufacturing cente r with money transferred from the TexaaEnterprise Fund. The Enterprise Fund is intended to attracyt new business to the stat e or enable expansion ofexisting businesses.
The ETF, targete more toward startups rather thancorporate giants, is a $200 million progra m started in 2005 to invest in innovativre technologies developed in the state. In the Legislature replenishedthe fund. But after the Texaws A&M flap, the House Appropriationsz Committee granted theETF $136 million for the next two half the amount Perry requested. Although none of the changews to the ETF requested by officiald were adoptedby lawmakers, Susan Davenport, vice president of businesz retention and expansion for the Austin Chambe of Commerce, said the replenishment of the fund was the top “We’re very pleased that it got refundexd because it’s proven itself to be a valuable she said.
“It will be beneficial for the region.”