Incentives will create 1,200+ life sciences jobs throughout Massachusetts, including 460+ jobs in manufacturing; 76% of total investment supports expansion outside Greater Boston
WALTHAM— Today, the Baker-Polito Administration announced $20 million in tax incentive awards to 27 life sciences companies. The awards were approved by the Board of Directors of the Massachusetts Life Sciences Center (MLSC), and will create more than 1,200 new jobs across the Commonwealth. The tax incentive awards will support life sciences job growth in 19 different Massachusetts communities, the majority of which are located in or expanding outside of Boston and Cambridge.
“Our administration is committed to making strategic investments that will act as a catalyst for innovation and growth in this critical sector of the Massachusetts innovation economy,” said Governor Charlie Baker. “We are excited by the job creation and company expansion happening across the state and look forward to working with these and other companies to build upon Massachusetts’ overall position as a global leader in the life sciences.”
“This program is an essential key to our economic and workforce development strategy for the life sciences industry,” said Lieutenant Governor Karyn Polito. “Our administration remains steadfast in our commitment to the growth of the life sciences industry, and in our work to expand its success to new cities and towns.”
The MLSC has continued to utilize the Tax Incentive Program to focus on leveraging diverse life sciences assets across the state to encourage growth more equitably throughout Massachusetts.
“We are proud of the continued leadership that the Massachusetts Life Sciences Center has brought to keeping the Commonwealth as the most desirable place for life sciences companies to grow and succeed,” said Housing and Economic Development Secretary Mike Kennealy. “These awards are just one piece of this administration’s efforts to train the next generation of talent, invest in infrastructure and equipment, and do our part to support the groundbreaking advancements being made in labs across Massachusetts.”
“The life sciences industry continues to be a center of innovation and job growth in the Commonwealth, and the tax incentive program is an essential tool to advance the progress that Massachusetts has made,” said Administration and Finance Secretary Michael J. Heffernan, co-chair of the MLSC board. “This program and today’s awardees represent another example of the Administration’s commitment to job growth in every corner of the Commonwealth.”
This year’s program round is estimated to create more than 460 manufacturing jobs and 360-plus R&D jobs. Moreover, 19 of the 27 companies (70 percent) receiving incentives this program round are expanding outside Greater Boston. This translates into 76 percent of the total investment in job creation incentives for this program year going toward expansion efforts beyond Greater Boston.
“Through this program, we are fulfilling our commitment to maintaining the innovation flywheel for research and development, manufacturing, and commercialization in the life sciences here in the Commonwealth,” said MLSC President and CEO Travis McCready. “Both home grown and global companies see Massachusetts as the ideal place for companies to grow and people to live and thrive.”
The Life Sciences Tax Incentive Program authorizes tax incentives each year for growing companies engaged in life sciences research and development, commercialization, and manufacturing. This most recent program round was one of the most competitive yet with nearly 50 applications submitted by life sciences companies across Massachusetts. The primary goal of the program is to incentivize life sciences companies of all sizes to create new, long-term jobs in Massachusetts.
Through previous award rounds, there are 134 active or completed awards, totaling more than $122 million in tax incentives. Prior awardees have created approximately 6,100 new jobs since receiving tax incentives.
“Expanding our presence into Massachusetts reflects our commitment to Boston as a center of innovation for life sciences. We have opened a new office in Post Office Square which provides Medidata a great opportunity to tap into the amazing talent that the region has to offer. Medidata is driving the digital transformation of life sciences, and this expansion in Boston brings us closer to some of the most exciting research companies, biotechs and academic centers in the world,” said Jill Larsen, chief human resources officer, Medidata.
“Masy is so pleased to be recognized by Mass Life Science Center as we continue to add jobs in Pepperell, invest in our business, and support our pharmaceutical, biotech and medical device customers,” said Masy BioServices President Laurie Masiello. “The tax incentive provides real jobs for real families to support our growth and we are proud to make these investments for our customers and our families.”
The Tax Incentive Program is jointly administered by the MLSC and the Massachusetts Department of Revenue (DOR), which oversees the technical administration of the incentives. Jobs that are created must be maintained for at least five years. The Tax Incentive Program mandates that awarded companies submit reports and respond to inquiries by the MLSC and DOR regarding employment figures. If a company receiving a tax incentive under the program does not meet and maintain their minimum threshold for job creation, the credit can be recovered by DOR, requiring that the company pay back all or a portion of the tax incentives it has received.
In June 2018, Governor Baker signed An Act providing continued investment in the life sciences industry in the Commonwealth to invest up to $623 million in bond authorization and tax credits over five years in education, research and development, and workforce training. This legislation will serve to reinforce the Baker-Polito Administration’s commitment to ensuring Massachusetts’ leadership in the life sciences sector.
FY 2019 Massachusetts Life Sciences Tax Incentive Program Awardees
About the Massachusetts Life Sciences Center
The Massachusetts Life Sciences Center (MLSC) is an economic development investment agency dedicated to supporting the growth and development of the life sciences in Massachusetts, home to the most verdant and productive life sciences ecosystem in the world. Through public-private funding initiatives, the MLSC supports innovation, research and development, commercialization, and manufacturing activities in the fields of biopharma, medical device, diagnostics and digital health. Since its creation in 2007, the MLSC has strategically deployed over $700 million in Massachusetts, through a combination of grants, loans, capital infrastructure investments, tax incentives and workforce programs. These investments have created thousands of jobs and propelled the development of new therapies, devices and scientific advancements that are improving patient health and well-being in Massachusetts and beyond.