Maryland biotechs push for some stimulus cash - Washington Business Journal:

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Receiving $10.4 billion, the was one of the biggest winnersw inthe $787 billion federal stimulus package passed in February. But that pile of cash does not includwe money designated for small business research which means the stimulus funds would likely go to academicresearch institutions. Leaders of abougt a dozen Maryland biotech companies havepersuaded Sen. Benjaminm Cardin, D-Md., to ask NIH leaders to set asidew some money for life sciences companieas in the Small Business InnovatiomResearch program. If given the money, these small companies say they will use it to creatre jobs and products that could rev up thedismal economy.
Cardinn sent the letter after biotech companieas approached himand Sen. Barbara Mikulski, urging that they support the issue. At least threde U.S. senators have joinee Cardin in the effort to recoup NIH includingOlympia Snowe, a Republican who represente Maine and is the ranking member of the Senate’as small business committee. Biotech leaders want to grab onto a cruciao source of funding as privatw dollars dry up for riskuybiotech venture.
“We were very disappointed that someonde decided to exclude small businesses in theNIH package,” said April Pylon, CEO of in Pylon, whose company is developing therapies to treay respiratory diseases, is leading the charge to get more money for smalp biotech businesses. Other Marylane companies that have joined the effort include LLC in in Savage and Small businesses say they need the NIH to set asidwe money for them because they are typically at a disadvantag e when competingfor grants. Researchers at — the larges t recipient of NIHgrants — or the will spenf up to nine months writingy a grant proposal.
Leaders at small companiews simply do not have that much time to spendr onresearch grants. Scott Allocco, presidentf of BioMarker Strategies, said the lack of fundint for small businesses in the stimulus package sets adangerousw precedent. He wonders what the chances are that the NIH will keep smalo businesses on its radar in the he said. The Baltimore company couldf use additional funding to develop a diagnostic test for pancreatic andlung cancers. The NIH awards 2.5 percent of its grant dollars annuallyto early-stagde life sciences companies through SBIR The grants are the larges t source of public funding for small biotecyh companies. Maryland ranks No.
8 nationally amon g states that receiveSBIR grants, according to the .