BIO Statement on New Bill to Extend Therapeutic Discovery Project Tax Credit

WASHINGTON -- Biotechnology Industry Organization (BIO) President and CEO Jim Greenwood released the following statement regarding the Qualifying Therapeutic Discovery Project Tax Credit Extension Act of 2011, introduced today by Representatives Susan A. Davis (D-CA) and Allyson Y. Schwartz (D-PA) that would extend the Therapeutic Discovery Project:

"The legislation introduced today by Representatives Davis and Schwartz extends the Therapeutic Discovery Project to support continued American innovation and accelerate the development of life-saving cures for numerous prominent diseases, such as cancers, mental illnesses, heart disease and Parkinson's disease. The bill provides much-needed support for biotechnology companies working on breakthrough therapies that could ultimately lower overall health care costs and cure these debilitating diseases within the next 30 years.

"The Davis-Schwartz bill provides a $1 billion credit for each fiscal year 2011 through 2017 and allows the program's qualified investments from 2009 through 2015. Supporting American biotechnology innovation is critical for speeding up development of medical discoveries and cures that otherwise may be delayed or not possible.

"It is critical for the U.S. to maintain its leadership in biotechnology innovation and retain jobs in this country. The biotechnology industry is a thriving sector directly and indirectly employing millions of Americans in high-quality jobs and is an important growth engine for our economy. Leaders of American biotech companies say that the Therapeutic Discovery Project will help them sustain or create high quality jobs by providing capital assistance that supports their work and their work force.

"The 2010 Therapeutic Discovery Project provided $1 billion in support to nearly 3,000 companies across the country. As evidence of the project's popularity suggests, Congress should consider extending the project for its second year and beyond in order to support American innovation and speed the development of life-saving cures.

"BIO commends Reps. Davis and Schwartz for their continued efforts to extend this critical and much-needed program to support biotechnology innovation. We look forward to working with the Congress as they consider this important and timely legislation."