Tag Archives: investment report

A Weekly Advocacy Message from Mary Woolley: Pope Francis is the Man of the Year; do you know what the Word of the Year is?

Dear Research Advocate:

Here’s a holiday surprise! I am not referring to the budget deal, but to the fact that Merriam-Webster’s 2013 word of the year — determined via the greatest increase in online searches — is “science.” I find this to be refreshing news, providing evidence that interest in science is growing, which in turn is an indication of substantial room for researchers and research advocates to contribute to public understanding and support of science. We appear to have an opportunity ready for the taking to overcome the “invisibility” problem that contributes to holding decision makers back from assigning a higher priority to science.

And speaking of those decision makers, we have a budget deal! While modest at best, it is a starting point for bipartisanship in serving the public’s interest. We can build on this foundation. Please add your voice, as funding is being determined by appropriators. Click here to urge your Members of Congress to support robust funding for NIH, NSF, FDA, CDC and AHRQ. This week, we’ve released our annual Health R&D Investment report, which could provide new context for your messages. The report shows some gains in philanthropy, industry, and voluntary health association support for research but notes woefully inadequate federal funding, especially given what’s at stake for our health and our economy. Continue reading →

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Health R&D Spending Moves Slowly Upward, Driven by Industry, Philanthropy and Voluntary Health Associations

Federal R&D Funding Remains “Woefully Inadequate” to Address Health Threats and Global Competitiveness

Highlights:

  • Overall health R&D spending in the U.S. increased by $4.3 billion (3.5%).
  • Industry, philanthropy and voluntary associations led gains in R&D spending.
  • Federal R&D spending rose 2.2% but a considerable amount is the result of agency reorganization and reclassification.

ALEXANDRIA, Va.—December 17, 2013After declining in FY10-11, health-related research and development (R&D) spending in the U.S. increased by $4.3 billion (3.5%) in FY11-12, according to Truth and Consequences: Health R&D Spending in the U.S. (FY11-12), the 10th edition from Research!America highlighting estimates of U.S. investments. This spending increase was largely driven by industry, philanthropy and voluntary health associations as well as changes in the classification of spending within a few federal agencies. For the full report, click here.

“Industry, philanthropic and voluntary health association R&D spending increases offer a glimmer of hope in this dark era for medical research,” said Research!America’s chair, former Congressman John E. Porter. “Stagnant federal investments jeopardize our nation’s ability to advance medical progress and fuel private sector innovation, a catalyst for job creation and economic recovery.” Continue reading →

A Weekly Advocacy Message from Mary Woolley: “No science; no growth”

Dear Research Advocate,

Sandy was a terrifying October surprise. The devastation in New York and New Jersey is extensive, and it will take a long time to rebuild and to heal. It’s a reminder that not everything is about the election. That said, it is impossible not to think about a major election theme — the role of government — and also to think about climate change, one of many science topics not being discussed in this election season. Yet decisions involving the future of science will be made by those elected. That’s why we need to turn up the advocacy volume as loud as possible after the election, when the lame-duck Congress and the administration, closely watched and influenced by those who are elected November 6, will work on a “grand deal” to avert the fiscal cliff. Even if nothing substantive is decided until the first quarter of 2013, the groundwork will be laid when the lame-duck Congress returns on November 13. Will you be heard then?

We are saving a virtual seat for you during the November 13-16 joint Week of Advocacy. Please join the growing list of partners working to make the biomedical and health research community’s Week of Advocacy a success — learn more on our conference call on Friday (details below) and/or contact edehoney@researchamerica.org to become a partner. As you will see at www.saveresearch.org, we have produced an Advocacy Toolkit with a variety of resources including op-ed and LTE templates, editable scripts for phone calls to congressional offices, messaging points, social media messages, and a grassroots alert.

***A conference call about the Week of Advocacy will be held on Friday, November 2 at 3 p.m. EDT. Please dial in at 877-355-0068, using the code 64054826. We need your ideas and your participation — please join the call. RSVP to alefever@researchamerica.org. ***

“No science; no growth.” This was the message of an important op-ed in The New York Times by Dr. Neal Lane, professor at Rice University, former NSF director and science advisor to President Clinton. Follow Dr. Lane’s lead and write an op-ed or letter to the editor for publication during our Week of Advocacy!

Science has not, in fact, been growing, explaining in part why the economy is so sluggish. Last week, we released our annual U.S. Investment in Health Research report. It has garnered widespread and continuing news coverage inside and outside the Beltway. For a glimpse of how this report helps make the local case, see a story from Examiner.com that explores how dwindling NIH funding could impede plans for economic growth in Alabama. The Burrill Report is also covering the report in a podcast that will be available Friday at this link. Clearly, cutting funding for research is not in the best interest of the nation overall, or of states looking to power local economies with biotech research and innovation. No one wins if science is cut!

Be sure to vote!

Sincerely,

Mary Woolley

A Weekly Advocacy Message from Mary Woolley: From rhetoric to decision-making

Dear Research Advocate,

Nine times. That’s how often the word “research” was used in Monday’s third and final presidential debate. Clearly, both candidates recognize the importance of research and the role it plays in keeping our nation competitive. The election and decision-making around deficit reduction will put this rhetoric to the test. I was thankful for the opportunity to contribute to an article in Nature on the outlook for research and the candidates’ sometimes competing, sometimes intersecting visions for our nation. Many indicators point to the need for a “grand bargain”  to avoid the fiscal cliff we have talked so much about. Rumors have it that informal talks are taking place now and will go into high gear during the lame-duck session of Congress beginning November 13. This is a critical time, and I urge you to participate in the biomedical and health research community’s Week of Advocacy, taking place November 13-16. Check out our new webpage (www.saveresearch.org) and join us on a conference call this Monday, October 29 (for details, click here), to hear our plans and to brainstorm ideas on how to maximize our collective impact.

Money matters! Every year, we release our U.S. Investment Report, which tracks domestic spending – public, academic, industry, voluntary health organizations and philanthropic – on biomedical and health research. This year we not only look at the most recent investment numbers, but review the stakes going forward. On both fronts, the news is not good: 2011 saw a drop in overall investment – the first in a decade. And as you well know, the policy landscape is treacherous. Click here to view the report.

Every week, we are learning more about the local impact that sequestration could have on a sluggish economy. The state of Maryland, home to the NIH and Johns Hopkins University, is a powerhouse of research. It stands to lose a staggering $5.4 billion in federal funding under sequestration. That alarming statistic, which comes from a report produced by American Association for the Advancement of Science (AAAS), was highlighted in a story by the Baltimore Sun. Another article, in The Scientist, cites a United for Medical Research (UMR) report to highlight the impact on California, which stands to lose 33,000 jobs and $4.5 billion in economic activity if sequestration goes forward.

If we are to help steer our nation in the right direction, researchers must commit to political advocacy. That was the top-line message from a piece published by Dr. Thomas Pollard, professor of cell biology at Yale University, in the journal Cell. The article provides an excellent introduction to the advocacy landscape and ideas for getting more involved – I hope you will circulate this piece to as many researchers as you can!

Sincerely,

Mary Woolley

U.S. Investment in Biomedical and Health Research on Downward Trend

Pending Budget Cuts will Further Jeopardize Global Leadership in Research and Innovation 

WASHINGTON, DC—October 25, 2012—Biomedical and health research and development (R&D) spending from all sources declined by more than $4 billion or 3% between FY10 and FY11 according to Research!America’s 2011 U.S. Investment in Health Research report. This represents the first drop in overall spending since Research!America began compiling the data in 2002.

The decline follows an uptick in research funding attributed to the American Recovery and Reinvestment Act (ARRA), which allocated $10.4 billion to the National Institutes of Health (NIH) over two fiscal years (2009-2010). The overall downward trend in R&D spending is coming at a time when other nations are ramping up their own investments in research, and meanwhile, pending across-the-board budget cuts (sequestration) could reduce federal biomedical and health research funding by 8%-10% or more.

“Insufficient funding, coupled with deep budget cuts under sequestration, could be devastating for research,” said Research!America’s chair, former Congressman John E. Porter. “Our global competitiveness hinges on a robust investment that will support bright scientific minds, create high-quality jobs and provide a catalyst for private sector innovation.”

Research!America’s 2011 U.S. Investment in Health Research report shows varying levels of health research funding in the private and public sector. For example, federal funding for research totaled $39.5 billion in FY11, a 14% decrease from the previous year’s total of $45.9 billion. Agency funds were distributed across all 50 states to hospitals, universities, independent research institutes and small businesses. Under sequestration, the NIH would lose $2.53 billion in funding in FY13.

“As R&D spending abroad outpaces federal investments here at home, U.S. companies will set up shop in countries with stronger policies to support research,” said Mary Woolley, president and CEO of Research!America. “We cannot afford to become complacent as cures for Alzheimer’s, cancer, heart disease and other serious health threats remain a priority for every American.”

Overall, private industry has continually increased investments in R&D — a total of $77.6 billion in 2011, a 1.4% increase from 2010, despite inflationary pressure and the economic recession. The pharmaceutical industry increased its investment to $38.5 billion, a 3% increase from the previous year. In contrast, biotechnology investment declined by nearly $800 million, or 3%. The medical device and technology sector slightly increased investment in research, totaling $9.8 billion. Currently, more than 80% of R&D among PhRMA member companies is conducted in the United States, but R&D spending abroad has more than doubled over the past decade.

Aside from federal and industry investment, other institutions spent $19.1 billion on health research, an increase of about 5% from the previous year. Universities increased spending of institutional funds for research to $11.9 billion in 2010, a 6% increase. Philanthropic spending decreased slightly, while voluntary health groups increased investment in research by 15%, or $131 million, from the prior year.

According to funding projections in the report, the research investment landscape could worsen in 2013 and over the next decade. The scenario is different in other countries; as just one example, China has identified biotechnology as one of the seven “strategic and emerging (SEI) pillar” industries and has pledged to invest $308.5 billion in biotechnology over the next 5 years. Overall, the report provides analysis that outlines health research as one of the underpinnings of the U.S. economy and a key to improving the health of Americans.

Research!America has issued estimates of the US investment in health research since 2002. All reports in the series are available online at www.researchamerica.org/research_investment.

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