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🔒Manufacturing master test

Here’s an opening line that John Karp uses when meeting Maine manufacturers: “Would you like a chance to get your new products to market up to eight times faster with 60% less risk?” The question isn’t rhetorical. Since earning a black belt in innovation engineering from the Innovation Engineering Management System, an offshoot of Doug […]

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About R&D funding

Gov. Paul LePage’s veto of a $20 million bond for R&D this spring was criticized by both Democratic and Republican lawmakers. Many business leaders, well aware that Maine’s investment in R&D is one-third of the U.S. average and one-sixth of the New England average, expressed disappointment in the governor’s decision.

So it was an obvious question to ask UMaine Chancellor James Page: If he had the chance to sit down with the governor, what would he tell him about the relationship of R&D spending, either through a bond or through the General Fund, to the university system and to Maine businesses?

Page’s reply was diplomatic, planting him squarely in the middle of the debate regarding LePage’s R&D veto:

“I think everybody understands the value of R&D,” he says. “The question is: Are we getting the right return?

“So in terms of the governor or any political leadership demanding a very thorough account of how these dollars are being spent — whether they route directly to a business or whether they route to a nonprofit or a university, and then whether the seed money provided to R&D eventually returns through businesses to the taxpayer — you could make good cases that both are appropriate.

What is critical is that we have a good solid accountability, because if we are going to continue to ask the taxpayers for more and more money, we have to show that it issues in patents and intellectual property that further more research, or which brings more money into the state in various forms … and in jobs. Are they actually being commercialized and turned into jobs? In a small state like ours, where $20 million is a lot of money, I think we need to be right down at the level of demonstrating that in ‘Place A’ that spending created 25 jobs and in ‘Place B’ it created a patent that will create some business opportunities and in ‘Place C’ it preserved the ability of an industry to stay in its lead position.”

Implicit in Page’s answer is the notion that recipients of R&D funding need to do a better job of showing Mainers how there has been a solid return on R&D investment. He cited the composites industry and wind power technology as two R&D areas that seem to offer tangible benefits to Maine industries.

“Take offshore wind power,” he says. “This could be an enormous economic boon, if and when it’s fully developed in the Gulf of Maine — of course doing it in a way that protects the fisheries, which are of equal importance to our state’s economy. Assuming that is done, the work that has been done and is being done at [University of Maine’s Advanced Structures & Composites Center] … that work could drive enormous, enormous investments to the benefit of this state.”

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