Committee backs creation of Office of Entrepreneurship and Innovation, sends bill to appropriations

Representative Eric Teschka presented House Bill 1172 to the Commerce and Technology Committee, proposing creation of an Office of Entrepreneurship and Innovation placed under the Secretary of Commerce. The committee voted to recommit the bill to the Appropriations Committee, 11-0.

Teschka said the proposal is intended to renew state focus on innovators and entrepreneurs rather than add “an additional layer of government.” He told the committee, “This isn't about adding an additional layer of government ... this is about a focus and a renewed intentionality on our state's best and brightest innovators and entrepreneurs.” He said the bill follows the governor’s executive-branch plan and passed the House earlier with 85 votes.

Supporters — including the Indiana Chamber of Commerce, local chambers represented by Torchbearer Public Affairs, the Indiana Technology and Innovation Association, and the National Federation of Independent Business — told the committee the office would provide a “front door” for startups to access state resources and help coordinate programs targeted at early-stage businesses. Adam Berry of the Indiana Chamber flagged two issues for the committee’s attention: inconsistent naming between the bill and the budget documents and funding levels. He noted that the budget lists an Office of Small Business and Entrepreneurship at about $1,700,000 and urged consideration of a larger allocation if the office is expected to administer youth programs and statewide outreach.

Committee members generally supported the policy goal but repeatedly asked for follow-up on accountability, geographic representation and reporting. Senator Dirie asked how success would be measured; Teschka said the introduced bill had stricter reporting requirements that were relaxed in negotiations and that lawmakers should expect to refine reporting and oversight in future sessions. Several members, including Senator Lising and Senator Zay, urged clarity on which IEDC functions — if any — would move to the new office, and on ensuring services and funds reach all regions of the state, not only Central Indiana.

The committee’s motion was to recommit HB 1172 to Appropriations for further consideration. The motion was seconded and carried on a roll call of 11-0. The committee recorded the vote as 11 in favor, 0 opposed.

Committee members and witnesses said they expect future work on budget levels, reporting requirements and the delineation of responsibilities between the new office and existing economic development entities before the office is fully implemented.