$50M Biotech Initiative Proposed for Iowa

Governor Tom Vilsack has announced a plan to invest $50 million into the creation of a life sciences initiative to help establish Iowa as a leader in the life sciences. Developed with the Regents Universities, Iowa Business Council and leaders in Iowa's biotechnology industry, the biotech plan's success hinges on a three-part strategy:

• A New Mindset: creating a stronger and coordinated state approach for entrepreneurial ventures in biotechnology-related industries in Iowa. This will also include better coordination among the Iowa Department of Economic Development (IDED), Iowa Regents institutions, and private sector business leaders to attract economic opportunity that will help transform Iowa's economy.
• A Regulatory Framework: establishing a state regulatory framework that minimizes risks associated with bioengineered products, ensures safety, and maintains public confidence. This includes adopting a clear framework for crop producers who choose to invest in the production of transgenic crops aimed at pharmaceutical and enzyme development.
• Innovative Support for Start-up Companies: providing public investment and enhanced support for new and expanding Iowa biotech companies or those wishing to relocate to Iowa. This includes three basic approaches for providing the life sciences infrastructure needed to attract new companies:
  • An outreach program to accelerate new business creation and recruitment including enhanced incubator support functions;
  • Enhanced facilities for new business incubation and innovative genetic transformation in plants and animals; and,
  • Enhanced facilities for human pharmaceutical development, including facilities for new business incubation and other services.

Funding for the $50 million life sciences initiative would be allocated across four key initiatives:

• An outreach program to accelerate new business creation, including new business incubator support functions such as operational expenses and personnel ($4 million);
• Construction of and equipment for new business incubator support facilities and R&D support for innovative genetic transformation, including incubator facilities, transgenic animal facilities, and transgenic plant facilities ($14 million);
• Construction of and equipment for new business incubator facilities and R&D support for human pharmaceutical development ($15 million); and,
• Construction of protein extraction facilities and services ($17 million).

The life sciences strategy is part of the proposed Iowa Values Fund, the Governor's $500 million, five-year budget proposal to help transform Iowa's economy. In addition to this $50 million biotech commitment, $250 million of the Iowa Values Fund would be designated for developing the three key industry clusters of life sciences, advanced manufacturing, and information solutions. A portion of the Iowa Values Fund will focus on regional economic development efforts statewide.

More information on the Iowa Values Fund is available at: http://www.governor.state.ia.us