CSU correct to expand mission into economic development

07/22/2005

Northern Colorado Business Report

Author: Christopher Wood

Colorado State University is getting into the economic-development business. As reported by Northern Colorado Business Report editor Bob Baun in our July 8-21 issue, CSU's board of governors has approved funding for a new associate vice president for economic development.

The new post should be filled by September.

CSU's foray into economic development fulfills a commitment from university president Larry Penley, who has made eco-devo one of the university's four core missions, along with teaching, research and service.

The initiative comes as Northern Colorado continues to reel from the loss of thousands of high-tech jobs, both plant closures (i.e., the pending closure of Celestica Colorado) and employment cuts. Economic-development, government and civic leaders are striving to identify what industries might arise in Northern Colorado to replace those fading high-tech jobs.

Now they'll have some help.

The new associate VP "would coordinate existing programs at CSU that already play a role in economic development, including technology transfer, work-force education, research and development, the CSU Research Foundation (CSURF) and the College of Business," Baun reported.

Penley and others focused on the above-mentioned areas - such as Tony Frank, Hank Gardner and CSURF's Kathleen Henry - understand the important role that a university plays in a local economy, as well as the importance of a healthy and dynamic local business climate to a university.

One area that will get a lot of attention is technology transfer, by which research discoveries made at the university are commercialized in the private sector. The new associate VP will work with CSURF to build a more comprehensive program for tech transfer.

This will create an expanded revenue stream for CSU, which has been cash-strapped along with other Colorado universities because of the state's failure to adequately fund higher education.Both the researcher and the university will reap the reward.

A broad, more-aggressive focus on economic development should reap benefits in other ways as well. For example, we should see more-frequent spinoff of companies from CSU, with university researchers launching their own companies to capitalize on their discoveries, with royalties paid back to the university and new local jobs created.

Spinoff companies often start out small but eventually could become major players in the local economy, such as Heska Corp. of Loveland and Optibrand Ltd. and XY Inc. in Fort Collins - all CSU spinoffs.

Additionally, CSU works closely with the private sector in a variety of research efforts. A position focused on this area will help that collaboration grow, leading to greater investment in CSU's research efforts by private companies.

That, in turn, will make Fort Collins - and all of Northern Colorado - potentially more attractive to companies considering locations here.

Greater emphasis by CSU on economic development - including tech transfer and privately funded research - carries with it some dangers, of course. CSU must guard against research being driven strictly by profits rather than pure science.

But safeguards to prevent that occurrence can be put in place. And, in the end, a choice between a university that slams the door on relationships with business or one fully engaged in building our local economy is an easy one.

Build the relationships. Fast.

Christopher Wood can be reached at (970) 221-5400, (970) 356-1683 or via e-mail at cwood@ncbr.com.