I didn’t think Charlie Baker had it in him. But the governor is finally showing some love to the biotech community with a $500 million plan that ranks among the biggest in his administration.
It’s about time.
The Republican has been noncommittal about making a bold bet on biotech, unlike his predecessor, whose decade-long, $1 billion package of grants and tax breaks has helped make Massachusetts the place to be for life sciences.
As candidate Baker, he poo-pooed picking winners and losers in the economy. Even in front of agubernatorial forum organized by the biotech industry right before the 2014 election, Baker was ambivalent about continuing Deval Patrick’s signature initiative, while Democratic opponent Martha Coakley said she would.
“I think the state can play a role as a partner on this,’’ Baker said at the time, “but I think the lead ought to be driven by the private investors and the product developers and the people who really understand what the opportunity looks like.’’
The reality is that Baker had no choice but to extend Patrick’s winning strategy. Had he not, it would have been like Bob Kraft not renewing Tom Brady’s contract. Baker’s five-year proposal carries the same annual price tag as Patrick’s program, which expires in 2018. Baker is making the initiative his own by focusing more on job training and workforce development — all of which needs to be approved by the Legislature.
Sure, there is some debate about how much the state’s initiative helped grow the Massachusetts life sciences industry, given that we already had the right ingredients: world-class teaching hospitals, universities, venture capital firms, and research talent.
But I don’t think anyone — especially Baker heading into a reelection bid — wanted to tempt fate. The program not only provided incentives for companies to create jobs, but also capital for early-stage biotechs, as well as funding for infrastructure projects such as a laboratory at the University of Massachusetts Amherst and research building at UMass Medical School in Worcester.
At the very least, our state’s life sciences initiative was a stroke of marketing genius. It was a signal to the world that we’re open for business. Do research, start a company, stay awhile, and create lots of jobs. Today, 18 of the top 20 biggest pharmaceutical companies in the world now have a presence here, where many had little to no footprint before Patrick’s initiative launched in 2008.
The other measure of success: imitation. Other states have been desperate to play catch-up, most recently the city and state of New York, which separately unveiled life sciences investments that will total over $1 billion.
Which is another reason why Baker had to extend the state’s life sciences initiative — it was a way for Massachusetts stay in the game.
Jeff Leiden, CEO of Vertex Pharmaceuticals and cochair of the governor’s Digital Healthcare Council, doesn’t think Baker’s initiative signals a change in attitude. Rather, the governor’s style is to take a hard look at something, even if it seems like a no-brainer.
“The approach he is taking — it’s very thoughtful,’’ said Leiden, adding that Baker wants to create the best environment for business. “This isn’t about politics. This is about the innovation economy in Massachusetts.’’
Baker is also taking a page from Patrick in timing the announcement to the industry’s biggest confab, BIO International Convention, which is taking place in San Diego this week. While Patrick was a fixture at the conventions, this will be the first one for Baker as governor.
He arrived on Tuesday, where he will visit a Vertex plant with Leiden and attend a reception at Petco Park hosted by the Massachusetts Biotechnology Council. On Wednesday, Baker will be speak at the convention before a keynote address by former Massachusetts first lady Ann Romney, who has multiple sclerosis and become an advocate for patients suffering from neurological diseases.
News of Massachusetts doubling down on biotech apparently is the buzz of BIO.
Attendees “either want to give me a high five or punch me in the chin,’’ said MassBio president Bob Coughlin. “It’s probably the most exciting BIO convention since we announced the first biotech initiative a decade ago.’’
BIO comes back to Boston next June. That means Baker and Beacon Hill have a year to figure out the details of the next initiative. Wouldn’t it be nice to sign the bill at the convention?
Shirley Leung is a Globe columnist. She can be reached at shirley.leung@globe.com. Follow her on Twitter @leung.
