3051494723_80e398a16fThere is hope. Some say that Michigan’s economy is doomed- that there is simply no future in this state. For sure, it’s an easy claim to make with the state’s shrinking automotive industry and a budget deficit that has reached astonishing heights and is still growing. However, after Spotlight Michigan traveled to the Senate Appropriations Subcommittee on Higher Education in Ann Arbor on May 15, we left with one optimistic impression: there’s a promising future for Michigan.

The hearing was convened to discuss budget allocations for higher education. Many stressed the role that Michigan’s research universities can play in bringing the state back.  The presidents of the three research universities, University of Michigan, Wayne State University and Michigan State University, representatives of three economic development agencies (Ann Arbor Spark, Techtown and PrimaCivitas), and three students from the universities, including Jeff LeBrun, Samantha Staley and Spotlight Michigan’s own Elizabeth Kunkle, were all asked to speak on what this state is doing right, what it’s doing wrong, and where we need to go from here. Collectively optimistic, they all seemed convinced that while there is much work to do, Michigan’s best days are certainly not behind it.

A popular topic for the panel was the potential role the University Research Corridor, an alliance of the three research universities that leverages their intellectual capital to feed new enterprises, educate the workforce and plant the seeds for new industries. The panel also stressed the importance of taking advantage of the byproducts of university research, such as the Facility for Rare Isotope Beams (FRIB), which is expected to bring a billion dollars in economic activity and hundreds of jobs to Michigan, U-M’s DOE grant of $19.5 million, to explore new materials to better convert solar energy to electricity and Wayne’s state’s economic development agency’s, Techtown’s, partnerships with innovative firms. Techtown has taken University research and created spin-off companies such as SenSound, which was named one of the top 50 companies to watch for in the state.

The three student presenters also certainly showed that Michigan’s future can be bright. All of the students have become entrepreneurs that have provided value and innovation to the state.  Staley has conducted extensive biology research, which led to   various medical products commercialization.  Lebrun and his business partner, Geoff Horst discussed their own entrepreneurial biotech firm. And of course, Kunkle shared our own unique story of how a group of 13 undergraduates at MSU became entrepreneurs in order to revive this state’s entrepreneurial culture. So where’s this dying economy that everyone is talking about? It certainly wasn’t seen at the senate hearing. With Michigan’s wealth of creative young minds, strategic university partnerships that emphasize the invaluable role of student’s are the key feature to turning around this state’s bleak economic future.

The future of Michigan lies in the unforeseen. Turning around Michigan’s future will involve a lot of risks. It is easy for government officials to pour stimulus money into “new job creation” and training programs, while plugging money into the current health care and infrastructure systems. However, is this really a long term solution? We at Spotlight Michigan don’t think so. The ideas and positive examples presented at the subcommittee hearing that emphasize students’ creative ideas, innovative business ideas and high-knowledge skills is the real solution. Adding new knowledge and finding new ways to get things done in Michigan is the only way to turn this economy around. Therefore, the government should take a risk with the unproven and increase its investment to higher education and to projects that allow student’s knowledge and skills to be transferred to productive outlets. Channeling government money to status quo projects and investments isn’t going to work. That’s a fact. Certainly, some stimulus money is already going towards education and much needed projects but, simply put, the government could and must place a greater emphasis on one of their largest assets: students.

The URC has started to take universities’ role in economic development into its own hands, but it can still do more and must improve its methods. As president Simon stated at the senate hearing, “the URC allows us to better align our assets, strengthening our ability to engage statewide while at the same time enhancing our external reach and reputation.” This is a great start. President Simon then went on to mention all the great things each individual campus and its related development agencies are doing. However, if all three increased their cooperation and developed projects together, the state would benefit even more.

Also, while the URC has done a good job at attracting grants and some big name companies, it and the Michigan government should stress the commercialization of universities’ innovative goods and services research. Commercialization is a key component to changing the traditional economic landscape of Michigan and placing it back on the map as one of the top innovating centers in the world. Also, more than any other demographic, university students have the best innovative ideas, but they also need the most help to make their ideas realities for Michigan. The URC and the government could also play a greater support and financial role in helping to develop student’s ideas and research into corporations that are going to make a real difference in Michigan. Finally, the URC and government could also better highlight the role students themselves play in attracting large companies, emphasizing how the students will add value to the company.

As Michigan’s taxpayer base has shrunk nearly 25% in the past few years and more state institutions are competing for money, Michigan’s universities represent one of the only beacons of hope. As recognized almost unanimously at the senate hearing, university partnerships are key for economic development. It’s now time to really back this thesis. The URC and the government must financialy and publicly recognize the valuable role of students in turning this scary economy around.

-By Kelly Steffen