By Ben Sosne
Crews install the Berkshire Innovation Center sign in August 2019 on the building on East Street in Pittsfield. It was a nearly $13 million investment by Massachusetts Life Sciences Center, a quasi- public agency, that made the BIC’s state-of-the-art research and development facility possible, notes columnist Ben Sosne, executive director of the facility.
Photo by Gillian Jones
Massachusetts is home to one of the strongest innovation economies in the world. This innovation economy is driven by key resources such as talent, technology, research activity, and access to capital. Underpinning this ecosystem, however, is an intricate array of quasi-state agencies that play a critical yet sometimes underappreciated role.
At the BIC, we work closely with several of these agencies and have seen their impact first hand. We are proud of these partnerships and proud to support the Healey Administration’s proposed comprehensive economic development bill - The Mass Leads Act – which, among other things, seeks to continue to leverage these agencies to catalyze long-term economic growth in all corners of the Commonwealth.
Quasi-State Agencies
Generally speaking, quasi-state agencies are organizations that have been created through legislative acts to perform specific functions. Unlike traditional government departments, they straddle the line between the public and private sectors. Often described as “hybrid organizations,” they benefit from a combination of public and private sector funding, operate with a degree of independence that allows them to tackle specialized tasks, but are still subject to state oversight.
Structurally, these agencies have a board of directors that typically consists of both public officials and private sector representatives. This blended governance structure again allows the agencies to find a balance between private sector expertise and public accountability; it’s a mix that works
Driving the Massachusetts Innovation Economy
Massachusetts boasts a diverse array of quasi-state agencies that each serve a distinct role in providing strategic support, funding, and other resources to advance the state’s priority sectors and drive our world class innovation economy. Among the most influential are the Massachusetts Clean Energy Center (MassCEC), the Massachusetts Life Sciences Center (MLSC), the Massachusetts Technology Collaborative (MassTech), and MassDevelopment.
Massachusetts Clean Energy Center (MassCEC)
Established in 2008, MassCEC is the economic development agency dedicated to accelerating the growth of the clean energy and climate tech sector in the Commonwealth. MassCEC’s programs provide training for tomorrow’s clean energy workforce, fund climate tech innovation to meet the state’s emission reduction goals, and grow the state’s clean energy economy.
MassCEC not only propels Massachusetts towards a greener future but also strengthens its position as a leader in the global clean energy market. The center’s efforts contribute to job creation, economic growth, and environmental sustainability, reinforcing Massachusetts' reputation as a hub for clean energy innovation. In the last year alone, CEC has played a critical role in helping the BIC launch and grow our accelerator and incubator programs and has continued to provide direct support to clean tech firms looking to scale in the region.
Massachusetts Life Sciences Center (MLSC)
MLSC is charged with maintaining the state’s status as the global epicenter for the life sciences industry. Founded in 2008 as part of a ten-year, $1 billion initiative, MLSC supports the growth of life sciences in the Commonwealth through investments in education, research, and commercialization.
Through a variety of programs, MLSC provides funding and other resources to academic institutions, research organizations, and private companies. Always embracing an ecosystem approach, MLSC encourages multi-institution and cross-sector sector collaboration from a range of private and public sector partners across the Commonwealth. Indeed, it was a nearly $13M investment by MLSC in 2019 that made the BIC’s state-of-the-art research and development facility possible. MLSC was also the primary partner in funding the Institute for Applied Life Sciences at the University of Massachusetts at Amherst.
The Massachusetts Technology Collaborative (MassTech)
MassTech focuses on strengthening the state’s innovation economy through strategic investments in technology infrastructure, workforce development, and collaborative initiatives. Established in 1982, MassTech has a variety of programs focused on talent, ecosystems, and innovation infrastructure across six key divisions: the Mass Cyber Center, the Massachusetts Broadband Institute, the Massachusetts eHealth Initiative, the Innovation Institute, the Center for Advanced Manufacturing, and the newly established Northeast Microelectronics Hub.
Since the BIC opened in Pittsfield in 2020, numerous regional member firms have been intimately engaged with MassTech, launching exciting projects through programs that MassTech offers to support advanced manufacturing, robotics and artificial intelligence, collaborative R&D projects and cybersecurity resiliency efforts.. MassTech has also played an instrumental role in helping the BIC launch and grow our Manufacturing Academy.
MassDevelopment
MassDevelopment serves as the state’s finance and development authority, offering a wide range of services to stimulate economic growth and improve the quality of life in Massachusetts. Established in 1998, MassDevelopment provides financing, real estate development, and technical assistance to businesses, nonprofits, and municipalities.
MassDevelopment’s tax exempt bonds, loan programs, and grants, have made it feasible for many of our BIC member firms to expand their facilities, move to larger facilities, and acquire new technologies. The grant programs were also key to standing up the BIC’s operational efforts – both in helping the organization launch the new facility, expand our programmatic offerings, and open our satellite facility in North Adams. They have and will continue to play an important role in continued redevelopment of the William Stanley Business Park in Pittsfield.
The collective impact of these quasi-state agencies, as well as others not called out through this article, is profound. From my seat at the BIC, I’ve seen how they operate synergistically and are able to address needs across various often unrelated sectors. These quasi-state agencies also share best practices and work collaboratively to vigorously foster an environment conducive to innovation and growth; they are indispensable drivers of the state’s economic vitality and innovation.
MassLeads
In March, Governor Healey filed the Mass Leads Act, her administration’s economic development bond bill designed to strengthen Massachusetts’ global leadership in life sciences and launch game-changing investments in climate tech and applied artificial intelligence. In addition to positioning Massachusetts as a leader in these innovative sectors, the bill also proposes support for small businesses, rural communities, workforce development, along with support for arts and culture.
In total, the legislation recommends approximately $2.8 billion in bond authorizations for capital grants, with $1.75 billion allocated for the reauthorization of current programs and $1 billion designated for new capital endeavors. It also advocates for an additional $750 million in adjustments to economic development tax programs.
At this BIC, we are proud to enthusiastically support the legislation. We see this bill as a catalyst for economic recovery and long-term growth. We are also quite eager to work with the Healey Administration, our local delegation, and our partners at the quasi-state agencies to make sure these investments impact all corners of the Commonwealth, including Berkshire County. The focus on innovation, workforce skill development, evolving needed infrastructure, and having a small businesses focus is exactly what our County needs to propel us on a path of sustainable growth. I believe the time is now to thank these quasi-state agencies for the key part they each play in the game plan for sustained economic development, right here in Berkshire County.