Investing in Connecticuts Economic Future Tim Sullivan, Deputy - - PowerPoint PPT Presentation

Tim Sullivan, Deputy Commissioner Connecticut Department of Economic and Community Development

Investing in Connecticut’s Economic Future

October 13, 2016

State of the State

• Unemployment is at a nearly eight-year low,

while wages are at the highest point ever

• Since August 2015, the state has added 18,600

private sector jobs

• Personal income has grown in every quarter in

2014 through Q1-2016

• State continues to streamline regulations and

use LEAN tools to improve productivity

Diverse Industry Sectors Insurance/ Financial Services

Green Technology Bioscience Digital Media

Advanced Manufacturing

Tourism

Massachusetts

Strategic Northeast U.S. Location

Talent Development

• Next Generation CT–targeted $137M investment

in STEM disciplines at UConn

• Wide variety of STEM education programs –

Young Manufacturers Academy, 142 students in 2016

• 2011 Jobs Bills authorized up to $20M to expand

existing and develop new manufacturing programs in community colleges

• Manufacturing Innovation Fund programs aimed

at developing future pipeline of talent serves 300 companies

Add Manufacturing Talent Increase STEM Education Strategy Goal Selected Outcomes

Massachusetts

Strategic Northeast U.S. Location

Talent Development

• CI’s Technology Talent Bridge, Entrepreneurs-in-

Residence program, accelerators and co-working spaces have served 500+ entrepreneurs

• CTNext entrepreneur support system provides access

to talent, space, expertise, services, and capital. Recent projects:

− A 100 Coder Training Academy working in New Haven, Stamford − STEM Skills Challenge – tests student developers, connects the best with top tech firms − iTalent Initiative connects universities and tech companies

Entrepreneurial Support Strategy Goal Selected Outcomes

Massachusetts

Strategic Northeast U.S. Location

Innovation

Strategy Goal Selected Outcomes

• CT has moved from 32nd to 12th in academic R&D

spending

• Increased # of engineers/engineering faculty at UConn;

# of grads up 70%

• $1.5B construction investment in Next Generation CT at

UConn to build new classrooms/labs and buy new equipment

• Connecticut Innovations’ investments have grown from

$9.4M to $20.2M in last 4 fiscal years (115% growth)

• Connecticut Bioscience Innovation Fund provides funds

to early stage companies, and nonprofits building commercialization infrastructure ($200 million fund)

More R&D Capacity at UConn Expand CI’s Investment Capacity

Massachusetts

Strategic Northeast U.S. Location

Quality of Life

• Workforce housing has increased by thousands of

units, with a focus on key urban, TOD areas. Being absorbed rapidly

• Have supported cities and towns along MetroNorth

and new light rail from New Haven-Springfield to develop retail, housing and other TOD

Improve Transit Oriented Development

• Comprehensive Energy Strategy (strategy for all

residential, commercial, and industrial energy issues)

• CT Green Bank provides low-cost financing to support

renewable energy and efficiency, including C-PACE and Energy on the Line

Comprehensive Energy Policy Strategy Goal Selected Outcomes

Strategic Northeast U.S. Location

DECD Toolbox Tax Incentives

• Credits
• Abatements

Technical Assistance

• Expertise
• Research
• Work with partners

Financing

• Loans
• Forgivable Loans
• Grants

Strategic Northeast U.S. Location

Investing in Connecticut’s Manufacturing Anchors

Strategic Northeast U.S. Location

Manufacturing Innovation Fund

• Originally capitalized with $30M in bond funding, was expanded in 2015 with an

additional $20M in FY16 and $20M in FY17

• As of August 2016, more than $37M has been obligated to its programs/initiatives
• Manufacturing Voucher Program
• Helps CT manufacturers undertake innovative projects to improve productivity, efficiency

and competitiveness (e.g., new equipment, training and software)

• Incumbent Worker Training Program
• Financial assistance to help manufacturers keep their workforce’s skills up to date
• Apprenticeship Initiative
• Provides incentives to increase the number of apprentices in manufacturing (financial

assistance in the form of wage subsidies, competency testing and tuition reimbursement)

• Other Programs:
• Energy on the Line
• Young Manufacturers Academy
• Dream It. Do It.

Strategic Northeast U.S. Location

Supporting Connecticut’s Tourism Industry

• $14 billion in annual economic impact
• 82,500 direct jobs
• 7,000+ new direct jobs since the

end of the recession

• 120,000 total (direct and indirect)

jobs are supported by the tourism sector

• Recent relaunch of www.ctvisit.com
• Now ~4 million annual site visits

Tourism is a major growth industry in Connecticut

Strategic Northeast U.S. Location

Brownfields: Creating Livable, Vibrant Communities

• Since FY12, CT has invested $173M in 100+

projects to remediate and redevelop brownfields across the state

• For every $1 invested by the state, $4.99 has

been or will be invested by non-state partners

• FY16 projects: $8.37 of non-state

investment for every $1 invested by the state

• $36M of new funding was authorized for FY16-

17, up from $30M in previous biennium

• Brownfield Areawide Revitalization (BAR)

grants: new comprehensive cluster-based planning program

• $1M total awarded to 6 communities

Two Roads Brewing Co.

• Two Roads invested almost $2.85M

to purchase 101 year-old building in Stratford and another $18M to transform itself into a microbrewery

• Received $500,000 grant from DECD

for site remediation and $100,000 EXP grant

Strategic Northeast U.S. Location

Small Business Express Program (EXP)

Hampford Research Inc.

• EXP is helping the specialty chemical manufacturer

expand in Stratford

• A $180,000 loan and $100,000 matching grant
• Project retained 31 jobs and will create 2
• Matching grants of up to $100,000 or loans/forgivable loans in amounts

up to $300,000

• To date, 1,601 companies have been provided more than $251 million

in financial assistance

• Companies will create 6,362 jobs and retain 17,822
• All industries are represented – including manufacturing, healthcare and

bioscience, business and financial services, construction, and main street retail

Strategic Northeast U.S. Location

New Initiative: Connecticut Port Authority

• Quasi-public state governmental body whose primary responsibilities include:
• Marketing Connecticut’s ports
• Pursuing federal and state funds for dredging
• Coordinating, planning and implementing capital projects
• Key milestones:
• Appointment and convening of the 15-member Board of Directors
• MOU with DECD for support services
• Transfer of State Pier and other DOT responsibilities
• Search and appointment of Executive Director
• Creation of a statewide strategic plan for increasing economic activity and

strengthening our maritime policies

“Connecticut's ports will be in a stronger position to attract more private investment and import and export business.” – Governor Dannel P. Malloy

Strategic Northeast U.S. Location

New Initiative: Technology Talent Fund

• 2016 legislation establishing a Technology Talent Advisory Committee within

DECD, with the ultimate goals of:

• Identifying greatest gaps in Connecticut’s tech talent
• Developing and/or implementing programs that help fill those gaps
• Advisory Committee
• Currently composed of 11 members, including representatives from UConn,

the Board of Regents for Higher Education, and private industries

• First meeting will be held October 4
• Potential programs might include:
• Partnerships with public and private colleges and universities to build

business-oriented IT curricula to support technology and tech skills

• Develop training programs for high school students to introduce computer

programming, web design, animation, etc.

• Develop summer and after-school coding boot camps to teach coding to

elementary and middle school students

Strategic Northeast U.S. Location

New Initiative: Innovation Places

• Public Act 16-3 established CTNext as a subsidiary of CI
• 11-member Board of Directors
• Key initiative: Innovation Places
• Higher education initiatives, existing program expansion
• Innovation Places Vision:
• Entrepreneurship and innovation stakeholders throughout each community

collaborate to develop and implement strategy such that Connecticut develops top-tier destinations for entrepreneurs and technology talent

• Value Proposition:
• Incentive funding for collaborative visioning & planning (initial applications

being reviewed now)

• Direct funding for implementation projects
• Indirect funding through other state economic development entities for

compelling plans and collaborative communities

Strategic Northeast U.S. Location

Opening Soon: DistriCT NHV

Former CT DOT Bus Garage (470 James Street in New Haven) being converted into a “Google-style” tech campus (100K SF, opening early 2017, leasing now)