Arizona Technology Council Announces 2006 Public Policy Agenda.

TEMPE, Ariz. -- The Arizona Technology Council unveiled its 2006 legislative agenda today, in partnership with the Southern Arizona Tech Council.

The key initiatives focus around increasing tax credits for investments in R&D and a commitment to statewide technology business development.

"To build a knowledge-based economy, we must continue to focus on research and development across our universities and businesses, and commit to technology-based business development," said Donna Kent, president and CEO of the Arizona Technology Council. "We plan to build on our legislative agenda successes from 2005, and keep the momentum going."

The 2006 Legislative Agenda:

Advocacy Objectives

1. Increase public/private technology collaboration by increasing investment tax credits for firms that invest in new joint research and development activities with universities.

2. Free up CEDC funds for technology business development and other economic development projects. Increase annual funding commitment for statewide technology business development.

3. Re-authorize State Enterprise Zone program.

Advisory Objectives

1. Educate the legislative and technology communities about the processes, ethics, advantages and disadvantages of stem cell research.

2. Increase support for education.

3. Provide ongoing funding for the Community Telecommunications Assessments, provide state support for a Statewide Telecom Roadmap and Strategic Plan, and establish a Broadband Authority to provide incentives and financing to encourage private sector development statewide telecom solutions in coordination with the Governor's Council on Innovation and Technology (GCIT).

4. Appropriate requested funds for the Critical Path Institute (C-Path, www.c-path.org), a not-for-profit, Tucson-based partnership among the University of Arizona, U.S. Food and Drug Administration and SRI International (formerly Stanford Research Institute) that focuses on research and programs to safely accelerate development of and access to new medications.

5. Create a National Center of Excellence for Border Security, using technology to eliminate illegal immigration and prevent terrorist intrusion.

Monitoring Objectives

1. Monitor and support implementation of SB 1335, 47th AZ. Leg., 1st R.S., 2005:

--Rules promulgation;

--Education and qualification of entrepreneurs;

--Education and qualification of angel investors;

--Implementation progress.

2. Monitor GCIT recommendations:

--Prototype Fund: bridge the gap from concept to demonstrated commercial viability.

--Expanded R&D Tax Credit for volume research at state universities and institutes.

--Bucks for Brains: Kentucky model to allow universities to attract, retain top-notch talent.

Summary of 2005 Public Policy Results

Adopt Small Business Opportunity Program: 30% qualified investor tax credit over 3 years (10% per year); 35% for biotech and rural investments over 3 years; $20m overall program cap over 5 years. SB 1335 was signed into law on May 20, 2005.

Maintain Technology Business Development Funding, line-item appropriations. $250,000 was appropriated and signed into law as a part of the budget on May 21, 2005.

Support a single property tax assessment ratio for primary and secondary property taxes for all classes of property; signed into law on May 20, 2005.

Enhance corporate sales factor to promote high wage job growth; HB 2139 was signed into law May 20, 2005.

Protect funding base for Arizona Job Training Program, and increase training in knowledge-based employment. HB 2137 signed into law May 21, 2005, which refunded the job training fund to full capacity.

About The Arizona Technology Council

Since its inception in 2002, the Arizona Technology Council has stood as the largest association of technology companies in Arizona, whose shared vision is for the state to be recognized as a top-tier center for technology-based businesses. The Council works to carry out this vision by driving partnerships, policies and programs that advance the business climate for Arizona's technology community. By representing, supporting and advocating for member companies through initiatives, advocacy, networking and effective communications, the Arizona Technology Council has had tremendous success in moving Arizona towards becoming a top-tier technology state. The Arizona Technology Council represents 35,000-plus employees at more than 450 of the leading technology companies across Arizona. Represented industries include advanced manufacturing, aerospace, biotechnology, e-learning, environmental technology, software, Internet applications, semiconductors, and telecommunications.

For more information, visit http://www.aztechcouncil.org.