The State : State Grant Program Told

Gov. George Deukmejian, whose Administration has suffered some major setbacks in its efforts to lure high-tech industry to California, announced Saturday the creation of a program to provide $20 million each year in research grants for projects with “commercial potential.” In his weekly radio address, Deukmejian said the California Competitive Technology Program is intended to bolster research by private firms that agree to link with California universities or federal laboratories within the state. The governor said he intends to focus the program initially on research into superconductivity--the transmission of electricity with no resistance. The governor’s plan is to award $10 million in grants during the next fiscal year, which begins July 1, and double that amount in each subsequent year. But with the state facing an estimated $1-billion shortfall and the potential of deep cuts in some services, Deukmejian could run into trouble with the Democratic-controlled Legislature.