Virginia Commonwealth University
Medical Sciences Building II and Massey Cancer Center Addition
Medical Sciences Building II (MSB2) will be a 125,000 square foot, eight story
building which will replace the current Nursing Education Building on Broad
Street. The original Capital Project Request described the building use as a
combination of academic, administrative, and research space.
$35 million to be funded $22.55 million in General Obligation Bond proceeds, $3.7
million from State general funds for equipment and furnishings, and $8.75
million from university debt-financed funds.
Revised Project Description
Based on revisions to the Medical School's strategic plan, the building will now
be utilized entirely for research and research support.
to the higher cost per square foot of research space as compared to academic and
administrative space, the addition of a vivarium, and construction cost
inflation since the project was approved by the voters, the project cost will
rise to $56.7 million, a $21.7 million increase.
Request to the Commonwealth
Approve an increase of $21.7 million in the funding plan and provide $16.275
million in general funds and authorize VCU to issue $5.425 million in university
View looking West on Broad
This is a massing concept only and not
intended to reflect the final design.
VCU's research budget in just five years has grown from $136 million in FY '01
to $206 million in FY 2005. Our goal is to reach $300 million by FY 2011.
Importantly, the research effort generates indirect cost recoveries [ICR] which
are payments research sponsors make to offset our research overhead operating
costs. ICR helps pay for faculty and staff salaries, equipment, renovations and
other expenses. Over the past five years, the university has received
approximately $121.4 million in ICR including approximately $30 million in FY
research enterprise has also created, and now sustains, more than 900 FTE
positions at the university. The payroll generated by these jobs exceeds $45
There is a direct correlation between an increase in the research budget and job
growth, payroll growth and ICR growth.
Research also directly impacts the local and state economy. Research related
construction at VCU over the past 6 years exceeds $157 million; VCU has $63
million worth of research projects in the design phase; and we have plans to
build an additional $351 million in research projects by 2020.
goes without saying that none of these economic impacts would exist without a
vibrant research program.
have revised our original plan because we believe our research has a great
impact on patient care, education and the economy. Unfortunately, VCU has
virtually no open space for development and, in order to grow this enterprise,
we have to look to space we already own for expansion.
What Contribution Will VCU Make?
VCU School of Medicine plans to bring in an additional $80 million in new
National Institutes of Health research and training funding over the next six
VCU will add 86
new research faculty
VCU will add
266 FTE employees over this time to support the research mission
investment in salaries, start-up equipment, operating costs, etc. is projected
to be $192 million
increase basic health sciences PhD student enrollment by 80 students, a 43%
transfer efforts will increase and income will grow. The VCU Office of
Technology Transfer started with assets of $50,000 in 1995. Net assets have
grown to over $1.8 million in the last ten years.
As our research
efforts intensify, we will be a magnet to attract other businesses to the area
and downtown Richmond in particular. Philip Morris' decision to invest $300
million and locate in downtown Richmond on Virginia Bio Tech Research Park
property is one very pointed example of how our research activities help
attract big business.
Investing in Research
Research yields quality
of life dividends. One example at VCU is organ transplantation. VCU can be
counted among the institutions that gave birth to the field of human organ
transplantation. Basic research on drugs that suppress the immune system, and
thereby allow a transplanted kidney to avoid rejection, was carried out here.
Research that uncovered the mechanisms of how to overcome organ rejection set
the stage for successful transplantation surgery, which was also pioneered at
our medical center. And today this research continues with VCU's most recent
contribution: pioneering research on adult-to-adult right lobe liver
transplantation. This novel liver transplantation surgery is now widely used in
the United States.
Cancer research at VCU
traces similar pathways. Several years ago, basic research opened the door to a
new approach to treating cancers. VCU researchers discovered a compound which
affected cancer cells and augmented the standard anti-cancer drug therapy. This
basic information was immediately translated to benefit patients by applying it
to the design and implementation of clinical trials to treat cancer in humans.
Likewise, a compound invented by a VCU researcher was found to have properties
that could augment the power of radiation therapy being used to treat brain
cancer. Not only is this drug now in clinical trials, it was the basis of the
formation of a successful biotechnology company. These vignettes illustrate
what biomedical researchers commonly call translational research. Simply stated
it is the movement of basic scientific discovery from the lab bench to the
bedside. It is a strength at the VCU Medical Center that can only be enhanced
and expanded by the addition of MSB2.
The cash flow schedule for this
investment anticipates a construction start date of Summer 2006. In 2006-07,
there would need to be a $14.3 million draw; in 2007-08 the amount would be
approximately $1.9 million.
The annual operating expenses
will be approximately $1.3 million, which is the same amount estimated under the
A one time general fund investment of $16.275 million will literally yield hundreds of millions in
return through job creation, construction spending, technology transfer
revenues, and indirect cost recoveries.
Expansion to the Massey Cancer
The Massey Cancer Center
Addition (MCCA) expansion adds 20,000 square feet for research to the Addition’s
60,000 square feet by adding an extra floor. The MCCA is in close proximity to
MSB 2, which will facilitate planned collaborative faculty research across
several scientific and medical disciplines. The expansion will cost an
additional $12.2 million. VCU is requesting the Commonwealth to support this
project with $6 million in general funds. The remainder will come from
The Massey Cancer Center
is part of an elite group of 60 National Cancer Institute designated centers
across the country. Currently the Center has more than $34 million in annual
external peer-reviewed research funding. A $6 million investment by the
Commonwealth will yield high returns by helping Massey attract more external
funding and finding better treatments and, ultimately, a cure for cancer.