The NJKI was critical for keeping abreast of the latest medical and scientific developments, according to Kathleen Mullinix, chief executive of WellGen, a biotech based in North Brunswick. Subscriptions to scholarly publications can run hundreds, or even thousands, of dollars per year.

"It's a very powerful and unusually cost-effective way to help small businesses, and now it's gone," Mullinix said. "We are suffering because of this."

Business leaders have expressed concern the service shutdown sends a mixed message about the Corzine administration's goal of promoting high-paying research jobs.

Debbie Hart, president of BioNJ, a trade group for the state's biotech industry, said members had lobbied to restore funding in recent months. In a letter to Gov. Jon Corzine last December, the organization fretted the service might be lost permanently if allowed to lapse.

But Hart said she was encouraged Corzine has earmarked $2 million in funding for NJKI in his austere fiscal 2009 budget.

The State Library had requested $3 million, according to State Librarian Norma Blake, and the smaller amount still has to survive the legislative process. The earliest the service could be restored is June.

Legislators had trimmed $1 million of $3 million allotted for the program last year, which left only enough money to operate the service through February.

Blake said she's received complaints from small businesses in the past week.

"We are starting to hear from more and more former users, even though it was suggested that they explain to the governor and their legislators how important this program was to their business," Blake said in an e-mail.

The NJ Knowledge Initiative was founded in 2005, and was the first service of its kind in the nation. Since then, at least five other states have expressed interest in starting similar programs, Blake said.

Jeff May can be reached at jmay@starledger.com or (973) 392-4282.