States Finding Innovative Approaches to Stem ‘Brain Drain’

A recent proposal by Senate Republicans in Iowa to eliminate the state income tax for residents under the age of thirty has brought the issue of the out-migration of young, educated adults once again to the forefront. In recognizing that brain drain leads to the loss of necessary skills for global competitiveness and economic development, policymakers across the nation are responding with innovative ideas. While the Iowa Senate Republicans have dropped their proposal, a number of other states are pursuing new approaches.

Iowa ranks second in states reporting the most brain drain, only ahead of North Dakota, according to U.S. Census Bureau data from 1995-2000 (see the Nov. 7, 2003 issue of the Digest http://www.ssti.org/Digest/2003/110703.htm#Census ). Current efforts in North Dakota include a tuition reimbursement of up to $5,000 for students in technology and teaching fields who work in the state after graduating from a North Dakota university. Another approach is the state’s internship program, Operation: Intern, North Dakota’s Future at Work, which matches college students with North Dakota employers.

Clemson University also is offering increased scholarship and grant money to prevent brain drain through a new proposal that would guarantee all freshmen from South Carolina a scholarship or grant that does not have to be repaid. The Clemson Palmetto Pact http://clemsonews.clemson.edu/WWW_releases/2005/February/PalmettoPact.html would award graduates of the Governor’s School for Math and Science, along with all students majoring in math or science education, a scholarship of up to $1,000 per year. The idea is to increase the pipeline of technology-oriented graduates, according to the university. However, all freshmen would be eligible for some form of assistance regardless of their major.

In Maine, Democratic Majority Leader Glenn Cummings recently introduced a legislative measure that would include a $50 million bond proposal to help repay student loans in return for joining Maine’s workforce. Under the plan, recent graduates would be responsible for paying loans while working in Maine, but after the four-year period they would be eligible for up to $20,000 in repayment. Students who have a two-year degree would have to complete another two years to be eligible, and all qualified students must have graduated from either a Maine high school or college and remain employed in the state for a minimum of four years.

What is different about this proposal, Cummings said, is that bond proposals are usually used to pay for brick and mortar projects. The shift to a knowledge-based economy requires a new approach, he added.

State leaders in Maine have been tracking the growing brain drain phenomenon as the state continues to trail other New England states. A 1998 study of Maine college graduates, Where They Go and Why: Finding Maine’s Future Workforce (see the March 28, 2003 issue of the Digest http://www.ssti.org/Digest/2003/032803.htm#Brain ), revealed that three out of four of Maine’s best and brightest students ultimately choose to live and work outside of Maine. In response to the increasing trend, a 13-member legislative task force was appointed in 2003 to come up with ways to keep graduating seniors from leaving the state.

More information on Iowa’s Economic Development proposal is available at: http://www.iowasenaterepublicans.org/
For more information regarding the Maine bond proposal, please visit: http://www.maine.gov/legis/housedems/

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