our topography is what it is. and a stream that carries water 12 months a year, a stream that provides recreation, life giving water and sources toor ever intended to be touched. i think there's a misnomer. we're talking about what some people have stream, which is basically a drainage ditch or a drainage area, have you a piece of property and you want to make the property more use will, you change the ditch from here to here, they have heavy rains it runs off, it goes in an area that still keeps your property more useful, that's a discussion i'd love to have with with whoever in your office that we could have that with. my time's up, but if you would accommodate me with that, i would appreciate that. >> senator manchin, we understand the importance of the buffer rule to your state, as we move forward, and we can make sure that we're protecting the streams, we make sure we are including you and --

>> in with of, we believe very strongly there's a balance between the environment and economy, and we're more than glad to lead the way if you will. we want a partnership. >> thank you, senator howard. >> thank you. something you touched on a little bit, the listing of the sage roush. i have a letter that you responded to a request for some information. first of all, i want to say thank you. i'm not used to the administration responding to requests for information. it means a lot, and in fact a shared concern that we have for that listing was an important part of that. if the sage grouse were to be listed i think it would have a devastating impact on public lands. one being renewable energy. i have many concerns with land management controls opposed by

blm and sage grouse, and for that reason i'm putting together a working group. have you an interim plan. without the listing an interim plan for -- and it was -- i believe call it instructional memorandum, and that was to maintain and enhance sage grouse habitat, which i think is an appropriate goal. concern i have is that mitigation is not part of the restrictions. and so this is my question. i'm concerned, if the proposed actions themselves would not be more restrictive, perhaps even more harmful than an actual listing. can you respond to that? >> senator howard, it's -- you are focused on a very important issue for all the western states, including nevada. we know there is sage grouse habitat. director abby is moving forward

with new resource management plans to deal with sage grouse in 62 areas, but important to that effort we are working very closely with the states, including your governor governor sandoval, governor looper from colorado, governor meade and otter. hopefully we'll be able to develop a western states habitat conservation program that will protect the species. at the same time allow development to move forward. based on successes we've had with other species and other parts of the country, i am very hopeful. and i do believe that we get it done. >> here's the concern. with this new memorandum that -- as i just mentioned was mitigation, if you have an application for a new mining site, without mitigation, do you think can you maintain or enhance sage grouse habitat? if you had an application for a

solar farm, do you think you could produce and put up a solar farm without mitigation that would maintain and enhance the habitat? same thing with agriculture? can you do the same thing with agriculture? if you have some kind of an application to push agriculture, can you do that without mitigation? that's the concern i'm hearing from my constituents back home. they have no problems with moving forward and your goal -- a healthy goal. the question is, can you meet those goals without some possibility or ability to mitigate mining issues, agricultural issues and renewable energy issues. >> senator heller, i think with respect to all of our permitting programs, including many in your state both on mining and renewable energy and transmission and so many other things, mitigation is part of the package. we have done a good job on that, from my point of view in terms

of requiring mitigation when you have impacts in the development of renewable energy or other projects. it would be better, frankly if we didn't have a complete cohesive plan for sage grouse strategy across 11 states rather than trying to do it project by project. hopefully the effort we have under way with the leadership of director abby and director ash and the governors involved in the states will get us to that point. >> thank you, you answers my question. thank you. >> senator makowsky do you have additional questions? >> i do have a whole bunch of additional questions, in the interest of time, and recognizing that the secretary has given us a great zeal of time this morning, i will submit them in writing. it's my understanding that last year, after a similar budget hearing, took almost six months to get some responses to our questions, and by that time, of course, they're steal, i understand you have an awful lot

on your plate, but if i could ask that we have more prompt replies, i'm going to have the pleasure of having you before the appropriations committee tomorrow, we'll be able to spare you some of the written responses in those questions tomorrow. but if we could have a little more expediency with the responses, i would appreciate it. thank you for being here today. >> we will do our best. >> mr. secretary you've been very generous with your time, as senator makowsky said we appreciate continuing to work with you. that will end our hearing.

up next a discussion on how states can encourage small businesses and economic growth. and after that, a forum examines the impact of voter id laws. >> even a person who's a senator, even a person now who's president of the united states faces a predicament when they talk about race. they face all sorts of predicaments, they face the fact that there are some, an appreciable number of americans who are racially prejudiced. they face the fact that a much larger portion of the american populous wants to deny the reality of race, even now. >> sunday harvard law professor and former law cook randall kennedy on racism, politics and the obama administration the scholar is the author of five books and he'll take your calls e maims and tweets for three hours live on c-span 2.

>> now, a national governor's association forum on how states can create an entrepreneurial environment for small businesses and economic growth. speakers include amy wilkinson, a senior fellow at the harvard kennedy school of government and jeff weed man, procter & gamble vice president. this is about an hour and 20 minutes. >> welcome, everybody, my name is sam brownback i'm chair of the committee on economic growth, delighted to have all the governors here and other participants as well. this is going to be an outstanding forum and discussion for what we need to do to create growth and jobs in our state.

governor nixon and i are leading this. i have to draw attention to how incredible this moment is for the two us, if you'll pardon the regional rivalry. today in one hour, the last game between ku and mu will take place. this is a border rivalry that goes back 107 years, jay. we're going to whip you. he can comment as much as he wants. >> jay decided to join a real conference. >> yeah, well, we have a real discussion about that too. >> i think we have a pretty big one up there as well. we have a few teams that know how to play. and a few teams that know how to play basketball too, and a few other sports. they have decided to go another way, we're going to have a nice

rivalry game, that's why this meeting will end on time for sure. so we can make sure we watch it, i do have my jay hawk tie on, that c-span can focus on if you'd like for a good jayhawks shot. we're going to talk a lot about economic development here today, it's going to be a good topic for us, and a good hearing, it's a key one. with that, i'm going to make sure that we move forward on a good clip and get a good sense from our participants. here the governors, and the people that are going to be testifying in front this group today. i want to introduce david parkhurst, the edc committee staff, director and legislative counsel, thank you for your work in guiding the economy, appreciate that. today's session is compliments -- really compliments this morning's session governor heinaman's initiative. as we learned this morning, the design of his initiative is to

provide governors and state policy makers with policies and practical strategies. which i think is the key. this afternoon we'll explore how as governors we can lead efforts to create environmentses to help entrepreneurs this riv and achieve economic suck tess. our nation's success in the global economy starts in the states. states foster and encourage innovation, support industry sector clusters and champion linkages between private firms, academic institutions, research labs. governors can lead the way and often do in creating the entrepreneurial culture we need in america. my state, we're focused on this and what we can do to create a

better business environment. we're focusing on key economic assets and clusters that we have, implementing policies to help our businesses, best take advantage of those regional assets and strengths, facilitating relationships between our universities and private research institutions, created a new office of the repealer to focus on repealing outdated antiquated regulations. champion education and training and focusing on lowering personal income taxes to create a better environment. while traditional statutory and regulatory tools are important, technological innovation often occurs faster than government can process. this does not mean a government plays no role in creating a healthy entrepreneurial climate for suck ecess. but may help move us forward as individual states and as a country. our session today will offer us

a chance to disuntil universal lessons from successful entrepreneurs. governors and ceo's can help the states learn from entrepreneurs and others. it's something we have to do as a country. with that, i want to invite governor nixon to offer any additional comments. and then to introduce our panelists so we can get started. jay? >> thank you. thank the jayhawks for losing to us in football and basketball already this year. and for those folks on c-span, we will complete this in time, we don't want the c-span audience -- it's such a cross-over with the ncaa audience, we wouldn't want to hurt the number of people watching that game. for those you watching at home, you will have time to switch to what you really want to do, watching college basketball. missouri is known as the show me state. we are a nation that work

together to create jobs and move our economy forward. we focus on maintaining rigid fiscal discipline. we held a line of taxes, bald our budget. that gives businesses both large and small the confidence to invest in our state. we're also investing in education, college scholarships and worker training, and also making sure as far as businesses, we're working with small businesses across our state. the real drivers of job growth across our communities. loan programs specifically targeted to help small businesses move forward. also our small business credit initiative, we're investing $27 million to help industries turn their ideas into bricks, mortar and jobs. we're doing that with seven scholarship players on the university of missouri basketball team this year. effective efficient use of scholarship dollars is what it takes to deliver a winning program in the ncaa i guess.

with that, it's my job to introduce the true experts with our panel today. amy wilkinson is an entrepreneurship scholar with a joint appointment at the woodrow wilson international center and harvard university. her expertise centers on how leaders must change in order to change today's entrepreneurial age. she's writing a book forthcoming from simon and schuster, based on 250 interviews that will explain how innovation has altered traditional assumptions, and will demonstrate how to harness this change. amy happens a diverse private and public sector background. she's led a mexican art export company. amy worked for mackenzie and company as a strategic consultant the. she has public sector experience serving as a white house fellow.

amy will discuss key characteristics of high impact entrepreneurs and offer some practical policy solutions to help foster an entrepreneurial culture in our state. jeff weed man is president of the procter & gamble company. he leads p&g's technology to identify partnerships that drive innovation and create value across p&g and around the world. jeff's teamme manaers, ac outsourcing technology and trademark licensing, and p&g's connect and open innovation efforts. jeff has also led development of the first ever comprehensive agreements, between p&g and the public university systems of ohio and michigan, to streamline how academia and business work together to drive breakthrough innovations and local business creation. his team formed several agreements with government

research institutes, and entrepreneurs around the world. jeff will talk about the p&g open innovation efforts. let's begin. amy, we look forward to your comments. >> thank you for that introducti introduction. and thank you to the governors for focusing on entrepreneurship and putting on the agenda so prominently. i would like to start with a sent imtd that is circulating among all my friends this week, it goes this week. dear optimist, pessimist and realist, while you are arguing about the glass water, i drank it, signed the opportunist. this is very much the mantra and the mind-set of entrepreneurs. i guess let me flip forward on this presentation. as mentioned this morning, and

as mentioned just now, really to create an ecosystem of entrepreneurship, you want high impact entrepreneurs. you want the groups people that will start companies, and scale companies. it's fantastic to have one and two person businesses. but in order to create jobs and change cultures at the state level certainly, you want people to scale those companies to a significant size. so the facts, the data here are that 1% of young companies, aged 3 to 5 years old really create more than 10% of net new jobs, that's an annual number. the data also show that in the last three decades in the united states that firms less than five years old have created all the net new jobs. yet in the recession, so starting about 2008 that changed. and this is worrisome. i mean, as people who lead states, this is really something

to pay attention to. because starting around 2008, start-ups are starting smaller, and they're staying smaller. and so the big question mark there is, what happens if our gdp comes back, but we're still 7 million jobs short? i mean, what happens if this everythingen doesn't create the jobs and doesn't create the innovation that we need? so really looking to high growth start-ups is an important thing to do. as mentioned, i spent the last few years doing research on this segment of population, that can scale a business over 100 million in revenue in less than five years, and so i can talk real quickly about some of the leadership characteristics that we see in that group. this is the quick aptitudes that i see, these people really find the gap. so they are spotting opportunities that other people don't see. they drive for daylight, which basically is managing speed like a nascar driver.

they are orienting toward the horizon all the time, and they're looking for the light. they fly the oodaloop. that is fast cycle iteration, it's talk eed about a lot in silicon valley. they fail wisely, and by this -- this is not a fear failure, this is a real different mentality out there, it's about placing small bets. it's about innovating through small incremental innovations, the idea is you avoid catastrophic mistakes if you set failure ratios, you may want to fail 10% of the time or 5% of the time in order to know you're pushing the envelope. network minds, this is important, especially for people in this room. what i can see across the research i've done really there are new solution sets. no one can stay in a silo. you can't be a public sector lead ironly, youen cat be an

entrepreneur only a scientist only. we'll see networked solution sets, and it's a lot more than social networking. this is people getting together and putting their brains together to figure out how to solve something. the last aptitudes i see is about gifting goods. this is small kindnesses, we live in a networked world. we are all linked together, it's little tiny small favors that can unlock an unbelievably tremendous value for a community. i'm happy to talk more about any of those characteristics, since we're here as policy makers, let's shift to what do you do to get these going in your states. this is a road map, people, places and policies. we can look at people. four statementsp of the population are going to drive the future of

entrepreneurialship work. i love this picture, this is a little bit counter intuitive in that baby boomers are the fastest growing segment of the population to create jobs. it's not who you think it is, it's people aged 55 to 64 who are really getting out there to start new companies. and the kaufmann foundation has got a lot of research on this, the average age of a first time entrepreneur in the united states is 39. that surprises people, and in fact it tilts toward a lot more people in the baby boomer age range than you would ever expect. there's 76 million people in that demographic and they truly are going to redefine retirement. they may not retire. and there are reasons for that. some of it is people are living longer, they're healthy longer. some of it is economics base, maybe they need to stay in the

workforce. but we're seeing them drive a lot of innovation and entrepreneurial growth. as leaders of states, there are certain things to think about here, how do you tap into that population? i mean, they cannot only start companies, they can be angel investors in companies. they certainly can be mentors, they can be advisers. there are certain places where they like to live, making your regions, cities, states attractive to this demographic is important. i'm from the pacific northwest. and an example has been to oregon, it's amazing how many people like to retire in bend, oregon. it really is an example of a place that could do a lot to engage this enterprising boomer segment. gen-y entrepreneurs, this is a guy giving a one-minute elevator pitch. the next generation of people coming up are really interested in being entrepreneurs, 40% of

young adults aged 18 to 24 will say they want to go start a business. and 60% of gen-y will say they'll be a serial entrepreneur. they already started a company, and they believe they will never go work for a large company. they're going to create their own job. that's encouraging, i think for the united states. the question mark here is, what do we do to educate these people to really know how to do that? so it comes right back to the education system. k through 12 education, it's also college programs. i can give you a couple that i hear all the time from entrepreneurs that are really working. so at the k through 12 level, high schools targeted toward stem education. that is something that i hear over and over and over talked about as really important, and a great preparation. there are some examples, north dakota school for science and

imagine mattics. illinois mathematics academy. those are ones that i continue to hear about as really good models for stem education at the k through 12 level. another thing i hear about it project based learning. and so this is another thing that i know it's different high schools are experimenting with it. instead of having teachers teach directly at a class of students. this idea of 12 to 20 students get together and are guided by teachers. from an entrepreneurial perspective, entrepreneurs work in groups, they work in teams. nobody starts a company completely alone. it's very different than our current education system. our current education system is testing individuals, they take individual tests. if they collaborate with anyone we call it cheating, right? in the entrepreneurial system,

have you to collaborate all the time. the idea is, how can you work together and how can you learn together? i think that's a really important thing to think about, trying to foster at every level of education. another example that i love is first robotics. i'm not sure how many people are familiar with first, but it's an additional sort of outside of the high school, junior high and high school experience with building a robot. we're talking about sports, right? and this is the sport the founder says every human being can go pro. everybody can be a pro athlete at critical thinking. so if you can think about building a robot, it teaches you math, science, engineering, it teaches you all the things that you really need to be good at for the rest of your life. as an example of supplemental learning, first robotics is something every single student should know about in every single state. shifting to the college level,

there are examples it's the same logic, working in groups, working in teams, learning through projects. there are examples at the college level, launch pad at the university of miami is doing this in an unbelievable way. so is stanford x or start x at stanford university, they're all programs at the college level that are taking student entrepreneurs and partnering them with angel investors, alumni entrepreneurs, certainly faculty, other students. they're cross collaborative. i was a stanford m.b.a. this is across the medical school, the law school, the arts academies, the design school. it's really a very interesting thing to see piloted at the university level, and any university could do this, any community college could do this.

it's an important thing to try to replicate. now, shifting forward. foreign born entrepreneurs, and i realize immigration is a contentious topic, it's not something that states can address without also working a lot with the federal level. but it's an important thing for championing at the state, local, regional level. foreign born entrepreneurs are representing 30% of all new business owners in the united states. and 25% of the high-tech start-ups, this is most of silicon valley has -- a lot of it has at least one founder who's foreign born. these are companies, there are are some logos on the pre presentation that you know. google, ebay, paypal, yahoo! i spent seven years at stanford. those companies all had founders that were students on our campus, they literally were like

a lot of our other students. there are a lot international students on university campuses. they looked for partners in all cases, they partnered with american students. and so they were immigrant founders partnering with american founders. they needed help, they needed faculty. they needed people to bounce ideas off. they scaled those companies up out of stanford university, yes, they had foreign-born founders but they did a tremendous aumgt for that region, obviously, and they've done a tremendous amount for the world in terms of changing how we all communicate and find information. the foreign born founder segment is something especially at the university -- it ties to the university, there are plenty people that are saying, we need to staple a green card to the back of diplomas or we need an entrepreneurship visa to attract this demographic of people. we really don't want