Gov. proposes $90M to launch ‘Va. Research Triangle’

In a preview of his 2024-26 proposed budget, Gov. Glenn Youngkin announced Monday that he is including $90 million in one-time funds to create “Virginia’s Research Triangle,” a network between the University of Virginia, Virginia Commonwealth University and Virginia Tech to build collaboration in biotechnology, life sciences and pharmaceutical manufacturing.

Youngkin’s biennial budget plan will include $50 million for U.Va.’s Manning Institute for Biotechnology, $27 million for Virginia Tech’s Fralin Biomedical Research Institute at VTC and $13 million for VCU’s Medicines for All Institute, according to the announcement. The three institutions must first sign a memorandum of understanding with the Virginia Innovation Partnership Authority and each other before receiving the money.

Youngkin plans to unveil his budget proposal Dec. 20, and the Virginia General Assembly will take up the plan and make its own adjustments next year, before returning the budget to the governor for his signature. The General Assembly’s 2024 regular session starts Jan. 10, 2024, although typically lawmakers call a special session in the spring to finalize the budget.

“Today’s investment announcement lays the groundwork for remarkable startup innovation and commercialization that interconnects Charlottesville, the greater Richmond area, Roanoke and the New River Valley. Through this state commitment and private philanthropy, we are building Virginia’s research triangle and network, supporting our higher education institutions’ research endeavors, and expanding Virginia’s university research capacity that will enhance life-saving research development for generations to come,” Youngkin said in a statement. “My administration is committed to building Virginia’s research engine for the future and creating high-paying jobs in the process.”

The governor’s announcement comes shortly after the groundbreaking ceremony for the $350 million Manning Institute in Charlottesville, in which the state already invested $50 million, along with $150 million from U.Va. and $100 million from donors Paul and Diane Manning, who made the donation in January. Dr. Craig Kent, CEO of UVA Health, said in January the institute could help Virginia compete with other U.S. biotech hubs, including North Carolina’s Research Triangle.

VCU’s Medicines for All Institute is already a key part of Petersburg’s pharmaceutical industry hub, which has received federal funding to manufacture more medications domestically. Drug manufacturers started moving production abroad decades ago, leading to national security concerns and supply chain issues in recent years.

In Roanoke, the Fralin Institute is the home of biomedical research scientists in different fields; in September, a foundation established by the estate of Richmond philanthropist Bill Goodwin’s late son, Hunter, gave the institute $50 million to support cancer and neuroscience research.

Youngkin said in his announcement that VIPA will help bring the three institutes’ biotech innovations to market faster and will provide startup support.

“Innovation is at the heart of a thriving economy and the commonwealth of Virginia,” VIPA President Joseph Benevento said in a statement. “Today’s landmark investment announced by Gov. Youngkin will help accelerate university collaboration and elevate Virginia’s leadership in the critical biotech, life sciences and pharmaceutical manufacturing health sectors.”