Governor Healey Proposes Major Initiatives in Life Sciences

Governor Healey has announced that she is reauthorizing the Life Sciences Initiative that has made Massachusetts a global leader in life sciences. The initiative proposes reauthorizing the Life Sciences Initiative at $1 billion for 10 years and will be included in the administration’s upcoming economic development bill, called the Mass Leads Act, which will require passage by the legislature.

“Our administration is making strategic investments to propel our state forward, particularly amidst heightened national competition in the life sciences…” said Secretary of Economic Development Yvonne Hao. “The Mass Leads Act outlines a bold, long-term strategy that is needed in order for Massachusetts to compete and win. The goal remains to make Massachusetts the best place for people to start and grow their careers, and the best place for companies to start and scale…”

The Life Sciences Initiative has three core parts:

1. Capital: The quasi-public Massachusetts Life Sciences Center will adopt a model that encourages multi-institution, cross-sector collaboration among key industries, such as biotechnology, manufacturing, medical technology, higher education, and healthcare. Through this realignment, the state will be better able to pursue health equity ventures, research and development, and capital eligible initiatives to support the ecosystem.

1. Tax Incentives: This bill proposes to increase the statutory cap for life sciences tax incentives to create more capacity in the future and extends the program to 2033 to demonstrate the state’s commitment for the next decade. This will further enhance a valuable business development tool to attract and retain companies in Massachusetts.

1. Operating: This new strategy also projects annual appropriations for workforce development programming and other strategic initiatives, including support for early-stage companies. Notably, this component of the strategy incorporates an expansion of the administration’s Pathmaker career training program.

Takeda President Julie Kim, who is also a member of the Governor’s Economic Development Planning Council, fully endorsed the effort, “As the largest life sciences employer in the state, Takeda applauds the initiatives outlined by Governor Healey as part of the Mass Leads Act…We are fortunate that in Massachusetts, government and industry work together as “collective entrepreneurs” to lead in emerging industries and tackle complex issues that help enhance our competitive advantage and benefit the health and wellbeing of patients around the world.” (Source: Mass.gov, 29 February, 2024)