The North Carolina State Senate has given bioscience funding a top priority in its proposed 2007-09 state budget. The Senate spending plan would provide millions in new funding for the North Carolina Biotechnology Center (NCBC), which saw its proposed funding cut by House budget planners earlier in May. The Senate budget would also provide monies for a variety of new state biotechnology and life science initiatives not addressed in the House budget plan.

Of key importance, the Senate budget would provide $3 million in recurring funds the North Carolina Biotechnology Center's centers of innovation initiative. The new program, which has been strongly supported by NCBIO, will provide start-up funding for technology-specific commercialization partnerships created to accelerate development of new biotechnology-related products and services. Technologies initially targeted by the program may include biofuels, marine biotechnology, and natural products and integrative medicine. The Center is already working with interested parties to develop business plans for centers to be funded by the new program. The Senate funding plan reverses a $228,000 cut in NCBC's budget proposed by the State House.

In addition to expanded funding for NCBC, the Senate budget includes $5 million in new money for another of NCBIO's priorities -- the new SBIR/STTR matching grants program operated by the North Carolina Board of Science and Technology. The program has been funded on a non-recurring basis since 2005. The Senate budget legislation would extend funding at current levels through the 2007-08 fiscal year. The House budget appropriated $4.8 million for the program.

Senators also allocated money for start-up of university research operations and related activities at the North Carolina research campus. The spending plan includes $4.3 million for new faculty positions, $4.2 million for facility rental and an additional $8 million in non-recurring funding for start-up costs and equipment. In addition, the Senate budget includes $100,000 in recurring and $1.3 million in non-recurring funding for community college operations at the campus. The House budget allocated $1 million in non-recurring money for all state activities at the Campus.

Other bioscience funding included in the Senate budget includes $5 million in additional operating funds for bioengineering and other engineering sciences at North Carolina State University, $1 million in additional funding for the Biomanufacturing Research Institute and Training Enterprise (BRITE) at North Carolina Central University, $4 million in funding for the Wake Forest University Institute for Regenerative Medicine, $ 3 million for a new Center for Bioenergy Technologies at North Carolina State University.

For complete lists of Senate and House bioscience funding proposals, click here (pdf) .

For the fourth consecutive year, North Carolina has the nation's third largest biotechnology industry according to Scott Sarazen, who is Ernst & Young's Global Biotechnology Markets Leader.

Sarazen presented findings from the Ernst & Young 2007 Beyond Borders report, at the NCBIO annual membership meeting, May 14th, in Durham, prior to the opening of Biotech 2007. Sarazen says Ernst & Young no longer ranks the states as part of the annual report, but if it did, North Carolina would remain number three.

Sarazen said the North Carolina companies that E&Y tracked had 2006 revenues of $326 million; reported losses of $61 million (a 47 percent decline from 2005); invested $191 million in research and development; and raised $188 million in total funding, including $131 million in venture capital.

In looking at the U.S. biotechnology industry, the report notes two emerging trends in the industry, "the sector's coming of age and its associated move toward aggregate profitability." The report states that 2006 was the best year on record for biotech financing, excluding the bubble year of 2000.


The number of strategic alliances in 2006 more than doubled compared to 2005.

For more information about the report go to www.ey.com/beyondborders.

In other annual meeting activities, state Rep. Ty Harrell (D-Wake) discussed the importance of NC's life science industry and welcomed members to the meeting on behalf of the General Assembly. NCBIO President Sam Taylor updated the membership on the life science legislative agenda. Members elected the following to the NCBIO board of directors: Jonathan Bryant (BASF Plant Science), John Cox (Biogen Idec), Tim Gupton (Hughes Pittman & Gupton), Ken Lee (Hatteras Advisors), Ana Menendez (Cardinal Health), Mark Paige (Novozymes), Russ Read (Forsyth Technical College) and Robert Schotzinger (Viamet).

"FDA Device Regulation & Medicare Device Reimbursement," will be the topic of the MedTech Forum, June 6th, 5:30 p.m. when medical device community members meet at the MCND Auditorium, 3021 Cornwallis Road, Research Triangle Park.

CED and NCBIO's NCMD medical device membership forum are partnering to host the event where participants can receive the latest regulatory medical device updates and learn more about Medicare device reimbursement. Kirk Dobbins and Jeffrey Gibbs from Hyman, Phelps & McNamara, PC will provide "A View from Washington" when they discuss the following:

• Recent Regulatory & Legislative Developments In FDA Device Regulation: What's Changing?
• Obtaining Medicare Device Reimbursement: From Development to Market

The AdvaMed 2007 conference (October 1-3) will offer a variety of workshops and panel discussions on subjects such as Medicare reimbursement, compliance, intellectual property, global market opportunities, corporate finance, public policy, emerging company issues, 21st century health care and the value of medical technology.

Whether a company needs to finance, partner or license technology, AdvaMed 2007 will provide introductions to key decision-makers – featuring a business development program, an investor forum for emerging growth companies, and an exhibition showcasing the latest medical technologies and products. The conference will be in Washington, D.C. NCBIO members will receive a $100 discount on registration. NCBIO members will receive more details in future updates.

For more information click here.

Patent Law Reform

The Biotechnology Industry Organization (BIO) has joined more than 100 companies, associations, venture capital firms and universities in sending a letter to key leaders of the U.S. House of Representatives and U.S. Senate to urge a cautious approach to reforming patent law that continues to protect biomedical innovation.

In the letter, the organizations expressed concern that provisions of "The Patent Reform Act of 2007" (H.R. 1908/S. 1145) pose serious threats to medical innovation and American technological leadership. The letter was addressed to House Speaker Nancy Pelosi, House Minority Leader John Boehner, Senate Majority Leader Harry Reid and Senate Minority Leader Mitch McConnell.

"We strongly believe that certain provisions [of the legislation], such as those dealing with apportionment of monetary damages for patent infringement, expansive PTO rule making authority, an open-ended post grant opposition system, and a narrow grace period will not strengthen our patent system but instead will fundamentally undermine patent certainty, discourage investment in innovative technologies, and reduce publication and collaborative activities among academic scientists," wrote the organizations. "The harm to investment in tomorrow's technologies would be felt immediately, and would hurt U.S. competitiveness for years to come."


BIO 2007

The 2007 BIO International Convention, produced by the Biotechnology Industry Organization (BIO), drew record 22,366 attendees, a nearly 15 percent increase from the previous year, with representatives from 48 states and 64 countries. One-third of attendees came from outside the United States. The event was held May 6-9, in Boston. The 2008 BIO International Convention will be held June 17-20 at the San Diego Convention Center in San Diego, Calif.

June 6, MedTech Forum: FDA Device Regulation & Medicare Device Reimbursement. Hosted by CED and NCMD, the Forum will provide the latest regulatory and reimbursement updates for medical devices. MCNC Auditorium, RTP, 5:00 p.m. to 8:00 p.m.

More information.

June 18, Biotech Forum: Trends in Exit Strategies. Biotechnology Center Auditorium, RTP, 4:00 p.m. to 7:30 p.m.

More information.

September 13, Bio NC Life Science Career Fair. Hosted by HireHealth.com and BioSpace.com, the Fair will give job seekers an opportunity to meet face-to-face with the region's elite biopharmaceutical employers and to interview for hundreds of open positions. Sheraton Imperial Hotel, RTP, 11:00 a.m. to 4:00 p.m.

More information.

November 5, Nanotechnology in Biology and Medicine. Hosted by the North Carolina Biotechnology Center, UNC-Charlotte, and the Carolinas Medical Center, the conference will feature experts with state-of-the-art presentations on nanotechnology as it relates to biology and  medicine. Cannon Research Center Auditorium at Carolinas Medical Center, Charlotte, 8:30 a.m. to 7:00 p.m.

More information.

November 6, SEBIO 2007 Venture Conference. Pinehurst.

More information.