Science City Update

On May 4 in Montgomery County,Maryland,the County Council voted 9-0 to approve a master plan that supports the Johns Hopkins University science city project.Centered around farmland that Hopkins acquired below cost,the site is located off Shady Grove Road,west of I-270 in Gaithersburg,Maryland.It is hoped that about 52,000 jobs will be created by the development.
The university said the master plan demonstrates the best in smart-growth planning and provides the potential for high-paying bioscience and health care jobs,new mass transit,high-quality affordable housing,parks and other important amenities that will benefit the entire county.
Some residents and environmental groups continue to oppose the project even though it was scaled back in size and narrowed in scope.A nephew of the former landowner is also dissatisfied,saying the plan violates Hopkins' agreement with his aunt,who envisioned a smaller,"Jeffersonian" campus on the site.Tim Newell says he is moving toward filing a lawsuit against the university.Facing such opposition is a common ritual for developers of tracts of any size in the Mid-Atlantic region.

University Plans Science City

Johns Hopkins University has been spearheading the drive to build a new research and development complex just north of Washington,D.C. in Montgomery County,Maryland.The Baltimore-based university says it wants to create an exciting,livable,research-oriented Montgomery County of the future.It hopes the 10 billion dollar project will rival Palo Alto,California or the Research Triangle in North Carolina.The mixed use development would include housing and retail as well as R&D.Local residents fear the project would result in more suburban sprawl,spawning heavy traffic.Supporters point to the residential and retail aspects of the plan,which they say will keep workers on site.
The Montgomery County Council has been narrowing the project's scope somewhat,raising the life sciences quotient from 30 to 40% of the site,which lies west of I-270,and diminishing the maximum square footage from 20 million square feet to 17.5 million.This has lessened the concerns of residents,but they still intend to keep a close eye on the matter.A final vote by the Council will probably be taken in June.
R&D projects are highly sought-after by numerous jurisdictions nationwide.Today more than ever,they need the good tax revenue such activity is believed to generate.The Johns Hopkins University Applied Physics Laboratory is an economically successful example of such development in nearby Howard County,Maryland,although it does draw its share of commuters.

Health Care Reform,Part 2:Medtronic Reacts

Under the new health care reform law,Medtronic will have to pay an excise tax of 150-200 million dollars a year,according to CEO Bill Hawkins.They will slow down expense growth to accomodate it.Although there are some good things in the bill,such as the expansion of coverage to more citizens,it will have an impact on research and development-particularly on the smaller companies.It will even impact Medtronic's R&D.It's hard to measure just how much that impact will be,Mr.Hawkins said.
Mr.Hawkins mentioned a recent Medtronic innovation that will improve outcomes and lower costs.It is a replacement heart valve inside of a stent.The device is inserted on a catheter and pushed through the leg to where the old valve is.It is now available outside the U.S.Medtronic hopes to begin U.S. studies on it in the second half of 2010.
Based in Minneapolis,Minnesota,Medtronic operates exclusively in the medical appliances and equipment industry.The NYSE-listed firm employs 37,665 and is active in more than 120 countries.In recent years,it has aggressively sought out acquisitions to augment its product portfolio.Shares of Medtronic were up this morning in early European trading.

Canadian Province Courts Businesses

The Ontario provincial government is courting U.S. businesses through an ad campaign.Ontario indicates that it has a number of strong points for the businesses to consider,such as R&D tax credits;educated workers;and billions in government investment.There is a climate of innovation in the province,creating an ideal environment for green businesses in particular.
Ontario says its R&D tax credits are some of the most generous in the world.And their combined federal/provincial corporate income tax rate is lower than the U.S. federal/state average,the province contends.Ontario is transforming green ideas into green business,which is why over 2500 environmental firms have set up shop there,according to the publicity.
Many U.S. observers have been complaining that high U.S. corporate taxes are making the nation less competitive in the global economy.

Pfizer's R&D Empire

Drug colossus Pfizer has a sprawling research and development segment.Within its two R&D divisions,PharmaTherapeutics and BioTherapeutics,the company is investigating treatments for a host of ailments.The research units in each of the divisions include Allergy and Respiratory;Antibacterials;Biocorrection;Cardiovascular Metabolic&Endocrine Diseases;Genitourinary;Inflammation and Immunology;Neuroscience;Oncology;Pain;Tissue Repair;and Vaccine Research.PharmaTherapeutics is concerned with small molecule therapies,while BioTherapeutics handles large molecule therapies.
Pfizer recently closed on its acquisition of rival Wyeth and is busy integrating the two firms' research and development activities.This will result in the shuttering of six facilities and some 2,000 layoffs.Facilities to be closed are located in New York,North Carolina,New Jersey and the U.K.The company is headquartered in New York City,under CEO Jeff Kindler.