Supportive Environment for Innovation

The Charleston region is home to numerous biomedical companies employing more than 1600 workers locally. Many of these companies combine manufacturing and distribution elements within their operations. A 2007 Battelle report identified Charleston as one of six emerging medium-sized U.S. regions for the medical device industry.

Key focus areas:

• Medical equipment (hospital and laboratory)
• Medical devices and diagnostics
• Health IT and telemedicine
• Clinical trials and drug/vaccine research
• Bioengineering

Located in the heart of downtown Charleston, the region's largest biomedical employer and asset is the Medical University of South Carolina (MUSC) which employs nearly 11,000 workers and conducts more than $243 million in research annually. Approximately 50 percent of this funding is derived from the National Institutes of Health (NIH).

As part of its 2011-2015 strategic plan, MUSC is creating a "Center for Medical Innovation and Entrepreneurialism" to:

• Provide and coordinate resources and infrastructure to promote entrepreneurial endeavors
• Provide educational and mentorship opportunities in entrepreneurship
• Leverage the expertise of peer institutions and partner with industry

Significant Commercialization Support

The South Carolina Research Authority (SCRA) is a non-profit contract R&D organization established to grow South Carolina's knowledge economy. In partnership with the state's three research universities, SCRA has established a network of Innovation Centers and Launch Zones to assist start-up and existing businesses with commercializing new technologies. Through these Innovation Centers, qualifying companies are eligible for equity financing of up to $200,000.

The Health and Bioscience center at SCRA includes the Buy Accessible Program, the Copper Air Quality Program, the Healthcare Information Technology Standards Panel and the Copper Touch Surfaces Program.

SCRA/MUSC Innovation Center is a state-of-the-art research facility and business incubator with lab spaces designed to support medical and bioscience research. It includes 28,400 square feet of space and 11 wet laboratories. Developed through a partnership with SCRA, the City of Charleston and MUSC, it continues to attract companies and research teams to the region and currently serves as home for eight biopharmaceutical and biotechnology companies.

SC Launch, an SCRA collaboration, was created to facilitate applied research, product development and commercialization programs, and to strengthen South Carolina's Knowledge Economy by creating high wage-earning jobs. SC Launch offers qualifying companies commercialization support, guidance and seed funding, and was recognized by Forbes Magazine as one of the 2010 Top Five Entrepreneurial Support Programs in the U.S..

Growing, Technically-Skilled Workforce

Greater Charleston is ranked among the Top 10 fastest growing U.S. metros for its technical and scientific workforce, including strong growth in related biomedical occupations, such as biochemists, microbiologists, chemists, lab technicians and computer engineers. (Source: Avalanche Consulting, Inc.)

Along with being a Top 10 fastest growing U.S. metro for knowledge workers, Charleston was cited by Forbes Magazine in 2009 as one of the "Best Cities in the U.S. for Technology Jobs".

Local colleges and universities offer an array of relevant degree programs, such as the College of Charleston's interdisciplinary program in discovery informatics, the first undergraduate program of its kind in the country. In September 2011, The Wall Street Journal named the Charleston region as the #1 U.S. Metro for Growth in College Degrees over the past 10 years.

Integrated, Global Infastructure

Charleston offers dual rail access, linkage to multiple Interstates via I-26, and a convenient international airport with direct domestic flights to major cities and quick connections to nearby international hubs.

Need a private airport? The region boasts four executive airports with runways over 5000' and approximate commute times of 15 minutes or less.

The Port of Charleston is a key asset, particularly for biomedical companies seeking to import and assemble equipment/devices prior to shipping them to customers in the U.S.

The Port of Charleston is the most efficient and eighth-busiest U.S. seaport, with five terminals close to the open sea. This deepwater Port expertly handles container (including fully-loaded Post-Panamax vessels), breakbulk, project and heavy lift cargoes up to 500 tons with on-dock rail, excellent oversize clearances inland, and ample open or covered storage.

Reliable, Low Cost Energy

South Carolina's industrial electricity averages 20 - 25% below the U.S. average. The Charleston region is served by two generating electric utilities (Santee Cooper and SCANA/SCE&G) with a combined capacity of 10,275 megawatts, plus two electric cooperatives (Berkeley Electric and Edisto Electric).

Greater Charleston is also part of the South Carolina transmission grid, which is served by four generating utilities with a combined capacity of 19,721 megawatts. For natural gas transmission and distribution, the region is served by Carolina Gas Transmission Corporation, a subsidiary of SCANA Corporation.

South Carolina Incentivizes Biomedical Growth

South Carolina offers several programs designed to incentivize the location and expansion of biomedical companies and venture investment with the state and the Charleston region, including:

• An eligibility category for relevant facilities engaged in manufacturing, processing and R&D (NAICS codes 3254 and 334516)
• An enhanced Jobs Development Credit, which allows approved bioscience facilities to capture cash rebates for eligible expenditures
• The ability to negotiate the apportionment formula used to calculate corporate income tax liability
• Equipment depreciations at an accelerated rate of 20%, instead of the previous 11%

More Information on Taxes and Incentives

South Carolina Supports Business

S.C. ranked as one of the Top Five most business-friendly states for the past six years by the Pollina Corporation and as "one of the best places to do business" by a survey of site selection consultants conducted by DCI.

• One of the lowest corporate income taxes in the Southeastern U.S. at 4.6% and no state property or local income tax
• Very favorable regulatory climate

As a right-to-work state, South Carolina's workforce has one of the lowest unionization rates and lowest work-stoppage rates in the nation.

• In 2010, just 1.9% of workers in the Charleston metro area were members of an organized union, well below the national average of 11.9%
• The manufacturing unionization rate in the Charleston region is 5.95%

Competitive wage structure

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The chart below provides wages typically associated with the biosciences sector, or visit our data center to access a more comprehensive list of average wages by occupation (BLS data). For a local wage & benefit survey - broken down by industry sector and company size - contact Hank Taylor, V.P. Global Business Development at the Charleston Regional Development Alliance, at 843.760.4526 or htaylor@crda.org.

Biomedical Cluster, Selected Occupations, Charleston S.C. MSA

Occupation Code	Occupation Title	2010 Average Hourly Wage	2010 Median Hourly Wage
15-1132	Software Developers, Applications	$35.18	$36.86
19-1042	Medical Scientists, Except Epidemiologists	$28.29	$22.40
19-2031	Chemists	$34.31	$32.80
19-4021	Biological Technicians	$19.59	$17.85
19-4031	Chemical Technicians	$20.33	$18.38
29-2011	Medical and Clinical Laboratory Technologists	$25.52	$26.19
51-9011	Chemical Equipment Operators and Tenders	$21.35	$21.44
51-9012	Separating, Filtering, Clarifying, Precipitating, and Still Machine Setters, Operators and Tenders	$18.57	$19.87
51-9023	Mixing and Blending Machine Setters, Operators and Tenders	$19.40	$19.55
51-9061	Inspectors, Testers, Sorters, Samplers and Weighers	$17.44	$16.61
Source: U.S. Bureau of Labor Statistics, 9/2011

The Medical University of South Carolina (MUSC) is the Charleston region's largest biomedical employer and asset, employing nearly 11,000 workers and conducting more than $243 million in research annually. MUSC has strong capabilities and nationally recognized research programs in cancer research, cardiovascular research, bioengineering, neuroscience research, and psychiatry and behavioral sciences.

Among U.S. institutions, MUSC ranks #7 (Chronicle of Higher Education, 2009) for the biggest gains in federal funds for research and development in science and engineering, and MUSC ranks 87 in total research expenditures.

University-Driven Research

MUSC anchors Charleston's health sciences sector. Its research funding grew to more than $243 million for fiscal year 2011, marking the 15th consecutive year of continuous growth.

• Dedicated research centers include the Hollings Cancer Center, which received official designation by the National Cancer Institute; the S.C. Clinical and Translational Research Institute; Rehabilitation Sciences and a Marine Biomedicine Research Center
• The S.C. Clinical and Translational Research Institute has established a robust infrastructure to support accelerated development, translation and transfer of new therapies and diagnostics for the benefit of the broad community MUSC serves
• Two new research centers: the Drug Discovery Building and Bioengineering Building opened October 2011 in the heart of MUSC's campus; dramatically increasing MUSC's research space, promoting scientific discovery and economic development. These facilities offer sterile labs for manufacturing, R&D, and house programs in Cancer Drug Discovery, Biomedical Imaging, Structural Biology, Neurosciences and Genomics offering tremendous opportunities for accelerated technology transfer and partnership
• Faculty from Clemson University and the University of South Carolina are working side-by-side with MUSC scientists on cutting edge research with a wide range of intellectual and technical expertise for drug development, diagnostics and regenerative medicine
• The MUSC Foundation for Research Development serves as the focal point for technology transfer and corporate partnerships

Health Sciences South Carolina is a collaborative network joining medical organizations and colleges/universities from across the state to provide a structure and vehicle for medical research, including clinical trials. Current members include the Medical University of South Carolina, the University of South Carolina, Clemson University and three major healthcare systems: Greenville Hospital System, Palmetto Health and Spartanburg Regional Healthcare System.

The South Carolina SmartState Program unites the state’s three research universities on collaborative research projects. Current focus areas include:

Advanced Tissue Biofabrication Brain Imaging Cancer Disparities Cancer Drug Discovery Cancer Stem Cell Biology and Therapy Childhood Neurotherapeutics Clinical Effectiveness and Patient Safety Gastrointestinal Cancer Diagnostics Health Facilities Design and Testing Healthcare Quality Healthful Lifestyles Inflammation and Fibrosis Research

Lipidomics, Pathobiology and Therapy Marine Genomics Medication Safety and Efficacy Molecular Proteomics in Cardiovascular Disease and Prevention Neuroscience Proteomics Regenerative Medicine Renal Disease Biomarkers Stroke Tobacco-Related Malignancy Research Translational Cancer Therapeutics Vision Science

Full list of SmartState Programs.


SC BIO supports and advances South Carolina's life science industry through collaboration, advocacy, workforce development, and support for business operations.

SC Med Tech supports the growth and success of the medtech industry in South Carolina by fostering the creation of innovative medical device companies; aiding in the sustained growth of existing South Carolina medical device companies, and cooperatively working together to assist in the marketing and recruitment of world-class medical device companies.

Marine Biomedicine & Environmental Sciences is a core research competency with five collaborating organizations occupying the Hollings Marine Laboratory, including one of three NOAA SmartState Programs in the agency's Ocean and Human Health Initiative. The lab houses more than 150 researchers, fellows, students and staff focused in an interdisciplinary fashion on the reciprocal relationships between organisms and their marine environment, with applications for aquaculture and human health and disease.

The five member institutions are:

• National Oceanic and Atmospheric Administration (NOAA) National Ocean Service
• National Institute of Standards and Technology (NIST)
• S.C. Department of Natural Resources (DNR)
• MUSC's Marine Biomedicine and Environmental Sciences Center
• Grice Marine Lab of the College of Charleston

The U.S. Department of Agriculture's South Atlantic Area research laboratory conducts research to improve genetic populations of vegetable crops and to develop knowledge on disease and pest biology, ecology and epidemiology.

The Savannah River National Laboratory (SNL), a key Department of Energy industrial complex, is home to bio-environmental engineering and has extensive experience in the characterization, development and deployment of bioremediation processes for a wide variety of contaminants that regularly plague the natural environment.

Biomedical Firms in the Charleston S.C. MSA

Company	Web Address	Product/Service
DEVICES
CR Bard - Medical Division	www.crbard.com	Specialty catheters
Ion Surgical Technologies	N/A	Products to lessen reliance on bone-displacing implants for rotator cuffs and ACLs (start-up)
MicroVide, LLC	www.microvide.com/	Microdialysis and microfluidics applications to measure pathways and drug effects (start-up)
Restorative Physiology Group, LLC	http://restorativephysiology.com/	Implantable devices for treatment of diseases of the human spine (start-up)
Revolutions Medical Corporation	www.revolutionsmedical.com	Safety-engineered medical devices, including syringes, blood-drawing devices and catheters
EQUIPMENT
Avancen	www.avancen.com	FDA-approved dispenser using RFID for patient-controlled oral drug delivery (start-up)
Belimed, Inc.	www.belimed.us/	Infection prevention technology for medical, biopharma and research clients
Berchtold USA	www.berchtoldusa.com	State-of-the-art, integrated surgical suites
Getinge USA, Inc.	www.getingeusa.com	Surgical tables and lights
Hill-Rom, Inc.	www.hill-rom.com	Specialty medical equipment
NanoScreen, LLC	www.nanoscreen.com	Syringe heads, pipette tips and liquid handling robots for pharma/biotech research
Sabal Medical, Inc.	www.sabalmedical.com	Mobile medication delivery systems with integrated barcode verification
TRUMPF Medical Systems, Inc.	http://www.us.trumpf.com/products/medical-technology.html	Products for the operating theatre and intensive care unit
Varian Interay	http://www.varian.com/us/xray/products/immediate_delivery/	Fluoroscopic x-ray apparatus and tubes; Interay headquarters
PHARMA / BIOTECH
ArborGen, LLC	www.arborgen.com	Technologies to improve forest sustainability and produce tree-based biofuel
Biochemed Corp.	www.biochemedglobal.com	Rare human biological specimens (primarily serum and plasma) for diagnostics (start-up)
Cell & Tissue Systems	www.cellandtissuesystems.com	Cell and tissue preservation and manufacturing techniques for regenerative medicine
Charleston Laboratories, Inc.	www.charlestonlabs.com	Opioid drugs with minimal or no opioid-induced nausea and vomiting (start-up)
Charleston Pharma	www.charlestonpharma.com	Worldwide exclusive license for use of eight specific antibodies and the method of treating cancer with an anti-nucleolin antibody
Charles River Laboratories Inc.	www.criver.com	Limulus Amebocyte Lysate (LAL) reagents and accessories for endotoxin detection
FirstString Research, Inc.	www.firststringresearch.com	Peptide-based therapies for wound healing, reduced scarring and tissue regeneration (start-up)
Halimed Pharmaceuticals Inc.	http://charlestonlifesciences.com/companies.php	Early stage biotechnology company developing a pipeline of drugs for affective disorders (start-up)
Intrexon - Protein Production Division	www.dna.com/divisions	Fully-human antibody-based therapeutics using a 100% invitro system
ImmunoMod, LLC	www.immunomod.com	Therapies for prevention/cure of diabetes and related metabolic disorders (start-up)
Iverson Genetics, Charleston Laboratory	www.iversongenetics.com	Advanced genetic testing to health care providers to promote early disease detection
Microbial Fuel Cell Technologies, LLC	www.mfctech.net/	Biofuels from feedstocks through a microbial and bioelectrochemical process (start-up)
Raisio Staest US, Inc.	http://www.raisiogroup.com/www/page/mainpage	Stanol ester, an active food ingredient proven to reduce cholesterol
SphingoGene, Inc.	www.sphingogene.com/	Cancer therapeutic development company focused on sphingolipid metabolism, a key factor in tumor cell survival and metastasis
Surfagen	www.surfagen.com	Novel nanoparticle systems for the delivery of siRNA therapeutics (start-up)
VaxyGen	http://vaxygen.com/	Vaccine development, assay services and manufacturing process consulting relative to biopharmaceutical and vaccine products
SERVICES
AAIPharma Services Corp.	www.aaipharma.com	Contract development and manufacturing of sterile products for small molecules, biologics and proteins
Appmet, Inc.	www.appmet.com	Dimensional, physical and electrical calibration services for electronic and electrical test equipment
Advanced Technology International (ATI)	www.ati.org	Non-profit facilitator of applied research & technology commercialization: biotech, metals, advanced materials, composites, robotics, maritime, energy
Coastal Carolina Research Center	www.coastalcarolinaresearch.com	Contract clinical trials, medical research and drug studies for a variety of diseases and conditions
D-Finitive Cell Technologies	www.dcelltech.com/	Contract R&D services, specializing in hematopoietic and other stem cell products
GEL Laboratories, LLC	http://www.gel.com/	Mass spectrometry analytical and instrumentation services, radiobioassay services, chemistry and chemical analysis, etc.
Medical Research South, LLC	www.researchsouth.com/	Full service clinical trial management organization
NCGS Laboratory	www.ncgs.com	Contract diagnostic and therapeutic clinical trials focusing on infectious diseases and oncology
Palmetto Medical Research (PalMR)	www.pmg-research.com/facilities-clinics/palmetto.aspx	Integrated Site Network (ISN) of clinical research facilities
Pharmaceutical Research Network	www.prnorb.com	Ophthalmology-dedicated contract research services for pharmaceuticals
Source: Center for Business Research, Charleston Metro Chamber of Commerce, 11/2011.