The N.C. Biotechnology Center, a state-funded booster of the research and development enterprise in North Carolina’s Research Triangle, has as much money for grants and loans this fiscal year as a year ago despite a 13 percent budget cut.
Coming up short in tax collections, state legislators approved only $17.5 million for the fiscal year that started July 1, said Norris Tolson, who took over the helm at the biotech center in 2007 after serving six years as state secretary of revenue. But the biotech center made up the difference with about $2.3 million savings that it didn’t have to give back.
“We underspent our budget,” Tolson said about the last fiscal year.
Still, the biotech center will again have to turn down a number of funding requests this year.
Established in 1984 in Research Triangle Park, the state-funded nonprofit has long supported researchers projects on university campuses across the state, paid for equipment, helped recruit companies and university scientists and funded educational activities in K-12 schools, community colleges and museums.
Grants awarded last fiscal years include research grants of up to $75,000 to researchers experimenting with blueberries, fungi and algae to find new treatments for diabetes or to kill cancer cells or viruses. The University of North Carolina bioengineering program at UNC-Chapel Hill and N.C. State University received $195,500 to advance its micromachining capabilities. Duke University received a $145,757 grant to establish an insect transgenesis facility.
The biotech center also earmarked $2.5 million to accelerate development of commercial products from marine biotech research in Eastern North Carolina. (More about the Marine Biotech Center of Innovation here.)
About $8.5 million in grants and loans were approved last fiscal year, said Ken Tindall, senior vice president of science and business development.
But demand for funding is up, Tindall said. The biotech center received requests totaling about $13.7 million last year, or about 61 percent more than it approved.
Former GlaxoSmithKline researcher Subba Katamreddy is among those who applied for a loan and got turned down. To start his own drug discovery company, Vijaya Pharmaceuticals, Katamreddy and his wife invested savings and established a lab in the Park Research Center incubator in Research Triangle Park to explore some ideas he had for next-generation antibacterial and anti-inflammatory treatments. (More on Vijaya Pharmaceuticals here.)
“Demand is up across the board,” Tindall said.
Large drugmakers in RTP, like GlaxoSmithKline, are struggling and cutting R&D budgets and jobs like others in the pharmaceutical industry, but the agricultural biotech sector is booming. RTP is home to U.S. headquarters of BASF and Bayer CropScience and Syngenta’s corporate biotech research hub. The area is also a hub for vaccine research and has growing medical device and nanotechnology sectors.