With the release of BioOhio's Ohio Bioscience Growth Report 2009 this month, I've been thinking about the changes I've seen in our region's life science industry during the last eight years.

Research, the foundation of regional technology-based economic development, has grown extensively at both the University of Cincinnati and Cincinnati Children's Hospital Medical Center, evidenced by national research rankings. UC has current national research rankings in neurology (9th), environmental health (10th), and microbiology, molecular genetics, biochemistry and psychiatry (16th). UC and Ethicon-Endosurgery have a $10 million collaboration in obesity based on UC's national prominence in this area. Children's current national clinical research rankings include digestive diseases (1st.), respiratory diseases (3rd), diabetes and endocrine disorders and neonatal care (4th), Cancer (5th), Orthopedics (6th), neurosurgery and neurology (8th), heart and heart surgery (10th) and kidney disorders (12th).

Early efforts in technology transfer from the University of Cincinnati and Cincinnati Children's have matured, and both institutions have professionally led intellectual property offices. Public universities in Ohio can now hold equity in companies formed from their technology, enabling UC to spin out more companies. Federal funding supports research that generates results with tangible benefits to society, and institutional policies for faculty advancement provide the impetus for commercialization of research. There are more opportunities than ever to create companies from these efforts; opportunities that we have seen firsthand.

At BIOSTART, we support experienced pharmaceutical and medical device executives who license technology from UC and Children's to move medical products to market through a start-up company. To date, we have served more than 120 companies and helped them raise over $180 million in federal grants, contracts, equity investments and strategic partnerships.

Now, some believe that mergers and acquisitions make it difficult, if not impossible, for Cincinnati to create a viable life science cluster. The facts clearly indicate otherwise. The number of locations has increased 37% and the number of jobs increased 15%, driven by medical labs and diagnostic imaging, R&D and pharmaceuticals and therapeutics. The regional life science cluster provides 30,000 jobs, $8.9 billion in output, and $1.9 billion in labor income, while generating $667 million in federal, state and local taxes. Today, our fastest growing companies include Medpace in clinical research, Amylin Pharmaceuticals and Patheon in pharmaceutical manufacturing, and Girindus in contract R&D.  Life science companies are locating throughout the region in Hamilton, Butler, Warren, Clermont, Clinton and Brown counties.

Progress during the past several years is evident, and as we reflect on what we have done to get to this point, we can also take time to look at our near-term challenges, which include:

• Capital availability and access,
• Greater risk tolerance for life science opportunities,
• Executive leadership for our developing companies, and
• Collaboration among our neighbors in Kentucky and Indiana to build a multi-state regional hub for our emerging companies.

However, if our current situation is any evidence of our ability to innovate and advance, these challenges will undoubtedly be tomorrow's successes.

On May 4, Southwest Ohio will vote on a statewide ballot issue that authorizes the renewal and continuation of Ohio's Third Frontier (OTF) program. The purpose of OTF is to firmly establish Ohio as an innovation leader, fuel long-term economic growth and create jobs in our state. Third Frontier was initially funded by issuing state bonds. The first round, approved by Ohio voters in 2005, expires in 2012. The new bond issue provides $700 million in funding over four years and will not raise our taxes!

Statewide, the results of OTF are both visible and verifiable - 571 small businesses created, attracted or capitalized; more than $6.6 billion in economic impact generated; and an average return on the state's investment of 22 percent per year.

These results make the OTF the envy of other states that are trying to transform their economies; something I'm often told by my out-of-state counterparts. Ohio is funding cutting-edge research that leads to the following:

• New innovations and products;
• Early stage funds that provide capital for fledgling companies;
• Business assistance services to small technology businesses that enable them to attract qualified management and other talent;
• Working capital for established companies to develop new product lines and purchase equipment for production of those products; and
• Outreach programs that are attracting new companies of all sizes to Ohio.

No other state has a comprehensive program that supports creation, attraction and growth of technology-based companies.

During the last three years, this program has made a huge difference for our growing life science cluster in SW Ohio. Companies have spun out of P&G Pharmaceuticals, Cincinnati Children's Hospital Medical Center, University of Cincinnati and the community at large. We are seeing an unprecedented number of younger engineers, scientists and physicians who are dedicated to developing and commercializing medical and environmental products that will improve our health and quality of life.

We're creating exciting, sustainable jobs for our college graduates, assisting in the transformation of manufacturing jobs from declining industries to growing industries and fueling an engine that enables us to sustain a diversified economy in SW Ohio.

These facts prove that we're on the right track with the OTF and provide validation for voting for Issue 1 on May 4.