Massachusetts Governor Unveils $400 Million Plan to Bolster Research and Innovation Amid Federal Uncertainty
Boston, MA – In a bold move to safeguard its status as a global leader in research and innovation, Massachusetts Governor Maura Healey has announced a groundbreaking $400 million investment initiative designed to bolster university and healthcare research across the Commonwealth. The plan, dubbed DRIVE (Finding, Research and Innovation for a Vibrant Economy), aims to create thousands of jobs and solidify the state’s economic future, especially in the face of federal funding disruptions.
Governor Healey articulated her vision, citing “the face of uncertainty from the federal goverment” as a primary driver for this state-led investment. “This is about protecting one of the things that makes Massachusetts so special – our global leadership in health care and helping families across the world,” she stated, emphasizing the critical role of research in both scientific advancement and economic prosperity.
The DRIVE initiative directly addresses concerns raised by a recent report from the University of Massachusetts Donahue Institute‘s economic & Public Policy Research Group. This report highlighted the significant impact of federal research and development (R&D) funding on Massachusetts’s knowledge-based economy.Despite accounting for only 2.4% of national jobs, the state is home to a disproportionately high 11.3% of R&D jobs, a figure 4.6 times the national average. In Fiscal Year 2024 alone, Massachusetts secured $8.57 billion in federal R&D funding, which supported an impressive 81,300 jobs, generated $7.8 billion in income, and stimulated over $16 billion in economic activity across diverse sectors.”Massachusetts is the global leader in innovative research and the discovery of lifesaving cures,” Governor healey declared. “Research funding is also foundational to the Massachusetts economy – it’s economic infrastructure here. This bill is about creating jobs across industries from construction and food services to health care and education.”
How the $400 Million Fund Will Operate:
The proposed $400 million investment, which requires legislative approval, will be strategically divided into two key funding streams:
$200 Million Research Funding Pool: Sourced from the state’s stabilization fund, this allocation will establish a one-time, multi-year funding pool. It is earmarked to support research at universities, hospitals, and other research institutions, and will also fund a new one-year fellowship program designed to support early-career professionals.
$200 Million Public Higher Education bridge Funding Reserve: Funded by revenue generated from the Fair share surtax, this reserve will provide crucial financial support to Massachusetts public higher education institutions. This includes funding for direct and indirect research costs, fostering cross-regional partnerships and joint ventures, and crucially, supporting the retention and recruitment of new research and teaching talent, including graduate students and post-doctoral researchers.Additional Pillars of the Proposal:
Beyond direct funding, Governor Healey’s plan includes the establishment of a new 501(c)(3) entity, the Research Catalyst Fund. This innovative fund will be empowered to accept and distribute philanthropic contributions and matching funds from industry partners. This structure will allow donors to direct thier investments towards specific institutions or projects, or contribute to a shared pool, thereby amplifying the impact of public investments and fostering collaborative research endeavors.
The Research Catalyst Fund will be overseen by a newly
