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Kitzhaber praises high-tech firms Asks businesses to take up the fight for improved roads, enhanced education Wire and staff reports PORTLAND -- Gov. John Kitzhaber praised the success of Oregon's high-tech industry on Tuesday and asked its leaders for their support to improve higher education and roads after he battled the last Legislature over budget increases for both. The Democratic governor noted that the high-tech industry is the prime mover of the state's economy, with exports this year running three times the value of agricultural and timber exports combined. "I wish I could say my administration was as successful," Kitzhaber said. Kitzhaber's speech coincided with the release of Oregon's annual technology benchmarks report, which measures the success of the high-tech industry in the state. The report, compiled from a survey of 77 companies representing half of Oregon's high-tech workforce, found that the industry improved slightly in nearly every category for 1998. Despite the slump in the Asian economy last year, the high-tech industry had $5.4 billion in exports in 1998 compared to $5.1 billion in 1997. The report, sponsored by the American Electronics Association and the Software Association of Oregon, also found that the total industry payroll improved to $3.9 billion in 1998 from $3.7 billion the previous year. The average salary increased to $54,507 from $51,095 and companies paid $150 million in taxes compared with $145 million. "Our industry is stable and the outlook is positive," said Mohan Nair, president of ABC Technologies and chairman of the AEA's Oregon chapter. Some categories, however, declined slightly from 1997, including the revenue growth rate -- down to 11.1 percent from 17.9 percent -- and the employment growth rate, down to 6.4 percent compared with 9.2 percent. But over the next three years, the report projects that high-tech revenues will grow 41.8 percent and employment will grow 27.4 percent, reaching more than 90,000. While nearly three-fourths of the state's 71,400 permanent high-tech employees are based in the Portland area, about 20,000 of them work elsewhere in the state. The report notes that the high-tech sector makes up 13.9 percent of the manufacturing jobs in Jackson County and 22.9 percent in Josephine County. The survey also found most high-tech companies hired Oregonians when they expanded their work forces in 1998. Oregonians filled 91 percent of the office and clerical positions, 77 percent of the technician and operator positions, 69 percent of the software engineering jobs, 60 percent of the hardware engineering spots, 57 percent of professional posts and 55 percent of sales slots. "Our industry has matured and we are taking its role as a leading economic engine for Oregon even more seriously," said Nair. "Clearly the state economy and its citizens are beneficiaries" of high-tech's success, Kitzhaber said. But the governor joined Nair and several industry leaders in warning that the state cannot remain competitive unless it increases support for higher education. Today's Business Index Mail Tribune Copyright � The Mail Tribune 1999, Medford, Oregon USA